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HomeMy WebLinkAboutJanuary to December (4)o m c7 m m m City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a Level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - DECEMBER 9, 1996; 5:00 P.M. CLOSED SESSION - DECEMBER 9, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS INSTRUCTING CITY'S REAL PROPERTY NEGOTIATOR REGARDING THE PRICE AND TERMS OF PAYMENT FOR THE PURCHASE, SALE, EXCHANGE, OR LEASE OF REAL PROPERTY AS TO ONE (1) PARCEL. PROPERTY: LEASE SITE 129W-133W NEGOTIATING PARTIES: CITY HARBOR DIRECTOR AND MILT GUGGIA, TENANT NEGOTIATIONS: ASSIGNMENT OF LEASE SITE TO MING DYNASTY, INC. PUBLIC SESSION - DECEMBER 9, 1996 • VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS 9 1 •A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE SPECIAL MEETING OF DECEMBER 3, 1996 - PULLED A-2 CANCELLATION OF DECEMBER 23, 1996 CITY COUNCIL MEETING A-3 AWARD OF CONTRACT FOR COST ALLOCATION STUDY A-4 REPORT ON BUDGET CALENDAR FOR FISCAL YEARS 1997/98 AND 1998/99 A-5 RESOLUTION NO. 92-96 SETTING COST AND FINDINGS FOR PUBLIC IMPROVEMENT WATER FOR CLOISTER'S PROJECT A-6 RESOLUTION NO. 88-96 APPROVING SOLID WASTE FRANCHISE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND MORRO BAY GARBAGE SERVICE A-7 RESOLUTION NO. 85-96 APPROVING STOP SIGN INSTALLATION AT DUNES STREET AND MORRO AVENUE A-8 RESOLUTION NO. 93-96 AUTHORIZING THE POSITION OF HARBOR PATROL SUPERVISOR IN THE HARBOR DEPARTMENT A-9 RESOLUTION NO. 91-96 APPROVING CAL POLY CREW TEAM PRACTICE AND REGATTA •A-10 RESOLUTION NO. 95-96 APPROVING ASSIGNMENT OF THE LEASE AGREEMENT FOR LEASE SITE 129W-133W FROM MILT GUGGIA ENTERPRISES, INC. TO MING DYNASTY, INC. B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 94-96 APPROVING CITIZEN'S REQUEST TO ESTABLISH A VOLUNTARY NO FISHING ZONE C. NEW BUSINESS C-1 CONSIDERATION OF CITY COUNCIL'S "ORDER OF BUSINESS" C-2 APPOINTMENTS OF COUNCILMEMBERS TO VARIOUS COUNTY BOARDS AND COMMISSIONS C-3 SCHEDULE INTERVIEW DATE FOR APPOINTMENTS TO CITY COMMISSION AND BOARD VACANCIES C-4 DISCUSSION OF COUNCIL/STAFF/COMMISSION/BOARD MEMBER WORKSHOP CALENDAR C-5 RESOLUTION NO. 84-96 APPROVING CITY INVESTMENT POLICY AND DELEGATION OF INVESTMENT DUTIES TO CITY TREASURER . C-6 PRESENTATION OF 1995/96 FINANCIAL AUDIT 2 C-7 RESOLUTION NO. 87-96 INDICATING TOTAL TRANSPORTATION DEVELOPMENT ACT • (TDA) FUNDS CLAIMED FOR FISCAL YEAR 1996/97 D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RESOLUTION NO. 89-96 ORDERING THE FORMATION OF THE NORTH POINT NATURAL AREA LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT D-2 PUBLIC HEARING TO REVIEW: 1) THE FINAL GRANTEE PERFORMANCE REPORT PREPARED FOR THE 1995 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) ECONOMIC DEVELOPMENT PLANNING/TECHNICAL ASSISTANCE GRANT, AND WASTEWATER RECLAMATION FEASIBILITY STUDY, BUSINESS RETENTION AND EXPANSION IMPACT - PHASE I (#95-EDBG-373); AND 2) THE CITY'S ELIGIBILITY FOR 1997 CDBG APPLICATIONS AND ACTIVITIES 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 772-6200 FOR FURTHER INFORMATION. • COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. • IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 3 \J • 9 MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - DECEMBER 9, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Novak called the meeting to order at 5:00 p.m. PRESENT: STAFF: CLOSED SESSION Cathy Novak Rodger Anderson Dave Elliott William Peirce Janice Peters None Dave Howell David Hunt Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Anderson moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) Mayor Novak read the Closed Session statement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:40 p.m. E-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS INSTRUCTING CITY'S REAL PROPERTY NEGOTIATOR REGARDING THE PRICE AND TERMS OF PAYMENT FOR THE PURCHASE, SALE, EXCHANGE, OR LEASE OF REAL PROPERTY AS TO ONE (1) PARCEL. PROPERTY: LEASE SITE 129W-133W NEGOTIATING PARTIES: CITY HARBOR DIRECTOR AND MILT GUGGIA, TENANT NEGOTIATIONS: ASSIGNMENT OF LEASE SITE TO MING DYNASTY, INC. MOTION: Councilmember Elliott moved the meeting be adjourned. The motion was seconded by Councilmember Peirce and unanimously carried. (5-0) The meeting adjourned at 5:40 p.m. • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Novak called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: Cathy Novak Rodger Anderson Dave Elliott William Peirce Janice Peters ABSENT: None STAFF: Dave Howell David Hunt Rick Algert Bridgett Bauer Bill Boucher Janeen Burlingame Jeff Jones Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Harbor Director City Clerk Public Works Director Administrative Assistant Fire Chief Finance Director Police Chief Recreation and Parks Director Acting Planning Director David Hunt led the Pledge of Allegiance. LIGHTEN UP Jack Hansen presented the "Lighten Up." MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Novak presented Janice Peters and Dave Elliott with Certificates of Appreciation for serving as Planning Commissioners. Mayor Novak introduced Dave Silstra of the California Peace Officers Standards and Training Commission, who presented Police Chief Joe Loven with an Executive Certificate. Mayor Novak made the following announcements: The Fire Department and Firefighters' Association sponsored 44 burn kids to pizza and the Lighted Boat Parade. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 3 • The tree lighting and boat parade were both successful. She thanked the Recreation and Parks and the Police Departments for their efforts. Workers are removing Twin Bridges to assist with water flow. Councilmember Anderson stated a volunteer work crew repaired skate park equipment on Saturday which was a worthwhile event. PUBLIC COMMENT Charles Palmer apologized to Dale Reddell for mentioning his name in an uncomplimentary fashion at the December 3rd meeting. He said he also made some untrue statements, and he finds it necessary to retract his words and apologize to Council. Morro Bay Crime Prevention Coordinator Joanne Reddell stated the Caroling Cop Car will be out Wednesday and Thursday, December 18 and 19. She thanked the community for its warm support and noted Councils participation in Neighborhood Watch. Mrs. Reddell said community service volunteers are providing a Safe Ride Home Program, 772-6228, to help eliminate drinking and driving. Lloyd Reeves referred to Item B-1 (Resolution No. 94-96 Approving Citizen's Request To Establish A Voluntary No -Fishing Zone) and noted he performs volunteer service and donates equipment for use • by the community, and stated he will continue to do so even if his no -fishing zone is not successful. He said far-sighted fishermen have offered to help him with fish planting, and expressed disappointment there have been no Councilmember or Harbor Advisory Board member to take advantage of his offer to take them to Lover's Cove. Don Lockwood, Harbor Advisory Board Chairman, addressed Mr. Reeves' comments, stating the Board is not in favor of this proposal. He said Mr. Reeves' survey results are flawed, and the Board has investigated this issue thoroughly. Kevin Gotch spoke in support of Mr. Reeves' proposal, stating he has removed a lot of monofilament line from the bay. He said Mr. Reeves is spending his own money to restock the area and is trying to help the bay. Chris Livingstone requested Council support Mr. Reeves' proposal and noted Mr. Reeves will pay all costs. Patrick McGibney spoke in support of Mr. Reeves' proposal as the kelp forest habitat will improve. He noted the ban is voluntary and people will want to help the bay. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 4 • Chuck Rawlinson stated he supports Mr. Reeves' proposal and signage, especially if the signs are professional and educational. He has taken hundreds of diving students through the area over the past several years and there is a drastic drop in fish numbers. Leabah Winter referred to Item C-1 (Consideration of City Council's "Order of Business"), stating the moment of silence should remain, and prayers should not be instituted. She requested Council pull Item A-5 (Resolution No. 92-96 Setting Cost and Findings for Public Improvement Water for Cloisters' Project) from the agenda because the fee issue is still up in the air. Ms. Winter stated reduced fees for Cloisters will result in a loss of over $200,000 to the water and sewer funds. She said Cloisters' owners should pay the fees agreed to in the 1990 vesting map contract. Ed Ewing stated Council should read the State Tidelands Grant before deciding on the no -fishing zone. He paraphrased the wording, stating the public should not be hindered or restricted in their right to fish. Mr. Ewing stated signs will intimidate people so they will not fish, and he suggested Council seek permission from the State Lands Commission. He referred to Item A-10 (Resolution No. 95-96 Approving Assignment of the Lease Agreement for Lease Site 129W-133W from Milt Guggia Enterprises, Inc. to Mind Dynasty, Inc.), stating he approves of the transfer with exceptions. Mr. Ewing stated there has been a problem regarding unpaid water bills, and the docks need to be repaired. He said the subleasor was supposed to pay the City a percentage of retail sales, which was not done. Mr. Ewing stated the public parking spaces have been used by the business with permission of the Harbor Department. He said he wants to make sure past problems are not continued to the new leaseholder. Lynda Merrill referred to Item C-1 (Consideration of City Council's "Order of Business"), stating the practice of formal religion is very personal, and people do not want to participate in other types of religion. She feels it will be difficult to allow all religions to be represented, and requested the Moment of Silence be continued. Ms. Merrill also noted 7:30 p.m. for Public Hearings is appropriate for working people. Nelson Sullivan referred to Item A-5 (Resolution No. 92-96 Setting Cost and Findings for Public Improvement Water for Cloisters' Project), stating Cloisters should be charged $176,000 instead of less than $20,000 for 55 WEUs. He said all conditions are frozen at vesting, according to the City Attorney, and the cost was $3,075 per equivalency at the time of vesting. Mr. Sullivan stated Cloisters will not have to perform any retrofit or replace any pipe and will only pay the cost of paperwork. He said the City is giving away $157,000, and a full community • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 5 • television program could have been supported for over five years at this cost. Bill Raflowski also referred to Item A-5 stating more public input is necessary. He noted Councilmember Elliott should prove he is an environmentalist. Wally McCray said the Public Works Advisory Board is asking for help to water trees planted throughout the City. He said a grant has been received from the U.S. Forest Service and the State of California Division of Forestry to help water trees, and 25 to 50 volunteers are needed three hours a month. Mr. McCray said a professional arborist will teach people to trim and water trees properly, and he asked people to call the Public works Department to sign up for this educational opportunity. Reverend Chris Perry, Post Chaplain for the San Luis Obispo National Guard, noted every session of the United States Congress begins with prayer, and the United States President takes oath of office using a Bible. Nancy Castle stated the First Amendment prohibits laws regarding prayer in public meetings, and requested the moment of silence be continued. Rosalie Valvo spoke in support of the moment of silence, as she • feels prayer imposes religion. Dr. John Parker referred to the cultural resources section of CEQA stating no archaeological or cultural inspection was performed at Cloisters, which is a violation of CEQA. He said the City could be hit with a lawsuit if a site is disturbed, and he offered to help the City develop policies and procedures. Linda Donnelly spoke in support of prayer at Council meetings. John Barta spoke against prayer at public meetings, stating prayer has a chilling effect on people with different views. Greg Barney spoke in support of Mr. Reeves' proposal and stated there will be no cost to the City. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Anderson requested the discussion of trees on public property, which is still incomplete, to be placed on the agenda. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 6 • A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE SPECIAL MEETING OF DECEMBER 3, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 CANCELLATION OF DECEMBER 23, 1996 CITY COUNCIL MEETING Mr. Howell recommended Council cancel the December 23, 1996 City Council meeting. A-3 AWARD OF CONTRACT FOR COST ALLOCATION STUDY Mr. Howell recommended Council award the contract for the Cost Allocation Study to David M. Griffith and Associates. A-4 REPORT ON BUDGET CALENDAR FOR FISCAL YEARS 1997/98 AND 1998/99 Mr. Howell recommended Council accept the report and budget calendar as submitted. A-5 RESOLUTION NO. 92-96 SETTING COST AND FINDINGS FOR PUBLIC • IMPROVEMENT WATER FOR CLOISTER'S PROJECT Mr. Howell recommended Council approve Resolution No. 92-96 granting an award of water equivalency units for public improvements associated with Tract 1996, the Cloisters Development. A-6 RESOLUTION NO. 88-96 APPROVING SOLID WASTE FRANCHISE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND MORRO BAY GARBAGE SERVICE Mr. Howell recommended Council approve Resolution No. 88-96 approving the Solid Waste Franchise Agreement between the City of Morro Bay and Morro Bay Garbage Service. A-7 RESOLUTION NO. 85-96 APPROVING STOP SIGN INSTALLATION AT DUNES STREET AND MORRO AVENUE Mr. Howell recommended Council approve Resolution No. 85-96 authorizing the installation of stop signs on Dunes Street at Morro Avenue. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 7 A-8 RESOLUTION NO. 93-96 AUTHORIZING THE POSITION OF HARBOR PATROL SUPERVISOR IN THE HARBOR DEPARTMENT Mr. Howell recommended Council approve Resolution No. 93-96 authorizing the position of Harbor Patrol Supervisor in the Harbor Department. A-9 RESOLUTION NO. 91-96 APPROVING CAL POLY CREW TEAM PRACTICE AND REGATTA Mr. Howell recommended Council approve Resolution No. 91-96 authorizing the issuance of Public Area Use Permit No. 1031 with conditions. A-10 RESOLUTION NO. 95-96 APPROVING ASSIGNMENT OF THE LEASE AGREEMENT FOR LEASE SITE 129W-133W FROM MILT GUGGIA ENTERPRISES, INC. TO MING DYNASTY, INC. Mr. Howell recommended Council approve Resolution No. 95-96 approving the assignment of the lease agreement for Lease Site 129W-133W from Milt Guggia Enterprises, Inc. to Ming Dynasty, Inc. Councilmember Peters pulled Items A-5 and A-6. MOTION: Councilmember Peters moved the City Council approve the • Consent Calendar with the exception of Items A-5 and A-6. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) A-5 RESOLUTION NO. 92-96 SETTING COST AND FINDINGS FOR PUBLIC IMPROVEMENT WATER FOR CLOISTER'S PROJECT Councilmember Peters stated there has been confusion regarding this issue. She said the water equivalency units were approved; however, the price was not determined at the time. Councilmember Peters stated the City Attorney was looking into a reduction of fees, and requested clarification from the City Attorney. City Attorney David Hunt responded Cloisters has a vesting tentative map, which freeze frames laws and ordinances in place at the time the application was completed. He said fees were a lot higher then, and he did not know the answer posed by Council at the last meeting regarding fee reduction. Mr. Hunt stated the old fees can be waived, because the developer can request waivers and conditions under the Subdivision Map Act. Councilmember Peters asked how many other projects could be eligible for this same reduction. I LJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 8 • Acting Planning Director Shauna Nauman responded there is a Peoples Self -Help Housing project which will probably need banked water equivalencies. She said City Council will determine fees when this affordable housing project comes forward. Mr. Hunt stated there are ways to distinguish this project from others with vesting tentative maps. He noted this is a one-time finding based upon a public project, and the City will receive the property when the project is completed. Councilmember Elliott stated Cloisters has to fund and build public facilities, maintain those facilities, and then return them to the City. He said half the water equivalencies will be returned, and no payment should be demanded by the City for public property. Councilmember Elliott stated the developer should get his money back for 26.4 units when they are returned. Councilmember Peirce stated he wants reassurance this will not set precedence for future subdivisions. Ms. Nauman responded the water equivalency awards apply to parklands only, and individual homes will have to abide by the same rules as anyone else in the City. Ms. Nauman stated there will be no water equivalency awards from the bank for any single- family residence. • MOTION: Councilmember Anderson moved the City Council approve Resolution No. 92-96 awarding water equivalency units to the Cloisters Project (Tract 1996) for the purpose of constructing public parks, rest rooms and restoring wetlands. The motion was seconded by Councilmember Peirce and carried with Councilmember Elliott voting no. (4-1) A-6 RESOLUTION NO. 88-96 APPROVING SOLID WASTE FRANCHISE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND MORRO BAY GARBAGE SERVICE Councilmember Peters addressed Item A-6, stating the garbage company is represented by the law office she works for. She contacted the Fair Political Practices Commission and ascertained she can vote without conflict of interest. MOTION: Councilmember Peters moved the City Council approve Resolution No. 88-96 approving the Solid Waste Franchise Agreement between the City of Morro Bay and Morro Bay Garbage Service. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 9 • B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 94-96 APPROVING CITIZEN'S REQUEST TO ESTABLISH A VOLUNTARY NO FISHING ZONE Harbor Director Rick Algert stated upon direction from the City Council on August 12, 1996, the Harbor Advisory Board reviewed the proposal at their meeting of October 3, 1996 and moved to approve the proposal, with the exception to not allow signage at the Target Rock area, and further recommended periodic reviews every four months to be conducted by qualified biologists. Mr. Algert recommended the City Council: 1) approve Resolution No. 94-96 authorizing establishment of a "voluntary no -fishing zone" at Target Rock as proposed by Lloyd Reeves; 2) support the Harbor Advisory Board recommendation of October 3, 1996 and direct staff to prepare a revised resolution allowing a "voluntary no -fishing zone" without signage and with monitoring of the project every four months; or 3) deny Mr. Reeves' request for establishment of a "voluntary no -fishing zone" at Target Rock. Councilmember Peters asked how people will know the area is a "voluntary no -fishing zone" if there are no signs? Mr. Algert responded Mr. Reeves can encourage people not to fish • in the area, but his proposal will certainly be limited in its effectiveness. Don Lockwood, Chairman of the Harbor Advisory Board stated he does not really want a no -fishing zone; however, board members will accept his proposal to feed and plant fish and to monitor the situation. He said many special interest groups would like to cordon off a little bit of Morro Bay for their own purposes. Councilmember Anderson stated the middle ground proposed by the Harbor Advisory Board might be an initial approach, which could be examined again in six months to see if it is successful. He said signage could be considered temporarily. Councilmember Anderson stated he supports the concept of two mooring blocks with chain for kelp attachment, and he feels the fishing community will be supportive over time. Mr. Reeves responded the mooring blocks and chain were utilized at Diablo Canyon and this idea was his second proposal which included signs. He said the cost for this proposal would be about $6,000 out of his pocket, and the Harbor Advisory Board has denied the use of signs. Mr. Reeves stated he is again proposing his first project as it is not so expensive. Councilmember Peirce asked if Mr. Reeves will continue with the . project if the Council approves it without signs. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 10 • Mr. Reeves responded he will not release fish without signs, as people have no idea what is going on. He said fish feeding attracts certain species, and he will continue the activity. Councilmember Peters stated the project should be approved if Mr. Reeves is allowed to have signs, so he can determine whether or not his plan will work. She said a temporary period of four months could be approved to see if it is worthwhile and if it interferes with any other activity. Mayor Novak stated commercial fishermen have seen themselves closed out before. She said Mr. Reeves intends to create a permanent no -fishing zone in the future, and he should be willing to help find a middle ground. Mayor Novak stated it is not in the City's best interest to create a permanent no -fishing area, as everyone is encouraged to use the bay. Councilmember Elliott stated the Council is either going to benefit a private business or perform restoration. He said restoration should involve the City and volunteers from all different factions to establish a program. Councilmember Elliott stated a voluntary no -fishing area will lead to other problems, along with more special interests. He said it works for Catalina Island because it is a much larger area, but Morro Bay is small and there is limited shore area. • Councilmember Peirce stated it would be beneficial to remove all the tangled monofilament, but such action will create a restoration program. He does not support a private business being able to stake out a chunk of the bay. Councilmember Anderson stated he is looking for middle ground, and noted Cal Poly's Rowing Program is another temporary use of the bay. He said he would like to see a short-term trial project with the option of reviewing it in a few months. Councilmember Peirce asked who would perform the monitoring? Councilmember Anderson responded monitoring the program could be conducted by the Department of Fish and Game or a qualified biologist. He said it should be an outside agency, and perhaps one of them would be interested in seeing if this project works. Councilmember Peters stated she will support a trial period with signage, and asked if chain a will set the area off in an obvious manner. Mr. Reeves stated the mooring blocks and chain were a separate proposal in a different area, which is not being proposed to Council tonight. He said he went back to the original proposal • because he does not want to pay $6,000. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 11 • MOTION: Mayor Novak moved the City Council deny Mr. Reeves' request for establishment of a "voluntary no -fishing zone" at Target Rock. The motion was seconded by Councilmember Elliott and failed with Councilmembers Anderson, Peirce, and Peters voting no. (2-3) MOTION: Councilmember Anderson moved the City Council approve the Harbor Advisory recommendation to support a "voluntary no -fishing zone" without signs and with conditions for monitoring the zone every four months. The motion was seconded by Councilmember Peirce. The motion was withdrawn. Councilmember Elliott stated the Department of Fish and Game will not monitor this project, because it is not large enough. He said he does not understand if monitoring will focus on fish or fishermen. Councilmember Elliott stated he feels the City should be involved in a restoration project, which will benefit Mr. Reeves, the divers, and the fishermen. He said he does not see a purpose in monitoring and does not believe a professional could be found for such a project. Councilmember Anderson suggested the issue be returned to the Harbor Advisory Board, and requested Council support to direct • staff to contact the Department of Fish and Game to see if they would be interested in monitoring the project. Mr. Algert responded the Harbor Advisory Board will seek a restoration program which will satisfy the divers, the fishermen, and Mr. Reeves. MOTION: Councilmember Anderson moved the City Council return this proposal back to the Harbor Advisory Board to seek compromise; and direct staff to contact the Department of Fish and Game to determine interest in monitoring the project. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) Mayor Novak called for a break at 7:15 p.m.; the meeting resumed at 7:30 p.m. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RESOLUTION NO. 89-96 ORDERING THE FORMATION OF THE NORTH POINT NATURAL AREA LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT Recreation and Parks Director Andrea Lueker reviewed the process for the formation of the proposed assessment district and • recommended the City Council approve Resolution No. 89-96 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 12 • ordering the formation of the North Point Natural Area Landscaping & Lighting Maintenance Assessment District. Mayor Novak opened the hearing for public comment; there were no comments, and the public hearing was closed. MOTION: Councilmember Anderson moved the City Council approve Resolution No. 89-96 ordering the formation of the North Point Natural Area Landscaping & Lighting Maintenance Assessment District. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) D-2 PUBLIC HEARING TO REVIEW: 1) THE FINAL GRANTEE PERFORMANCE REPORT PREPARED FOR THE 1995 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) ECONOMIC DEVELOPMENT PLANNING/TECHNICAL ASSISTANCE GRANT, AND WASTEWATER RECLAMATION FEASIBILITY STUDY, BUSINESS RETENTION AND EXPANSION IMPACT - PHASE I (#95-EDBG-373); AND 2) THE CITY'S ELIGIBILITY FOR 1997 CDBG APPLICATIONS AND ACTIVITIES Acting Planning Director Shauna Nauman introduced Doug Svensson of Applied Development Economics. Mr. Svensson reviewed the Annual Grantee Performance Report for the City's 1995 CDBG Economic Development Planning/Technical • Assistance Project, and Water Reclamation Feasibility Study (Phase I). He recommended the City Council approve the 1995 final grant product, and Water Reclamation Feasibility Study (Phase I); accept the Final Grantee Performance Report, and authorize the submission of a final closeout packet to the State Department of Housing and Community Development. MOTION: Councilmember Elliott moved the City Council approve the 1995 final grant product, the Water Reclamation Feasibility Study (Phase I); accept the Final Grantee Performance Report, and authorize the submission of a final closeout packet to the State Department of Housing and Community Development. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) Public works Director Bill Boucher stated Phase II of the Water Reclamation Study is a possibility, and a request was received this afternoon from the Economic Opportunity Commission for $80,000 for senior home repairs. He requested Council provide staff direction regarding potential for 1997 grant applications. Mayor Novak opened the hearing for public comment. Ed Ewing stated block grant funds have been used for low-income • housing, but they can also be used for business retention and MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 13 • expansion. He said more facilities for visitors to stay in are needed, and he pointed out there used to be a camper -trailer park at Morro Rock. Mr. Ewing stated some of the grant money should be combined with parking in -lieu fees to create parking lots. He said some money should be used to find ways to bring more people to the City. Councilmember Anderson stated agreement with Mr. Ewing, and asked Mr. Boucher to point out specifications on grant funding. Mr. Boucher responded no final decisions have been made for next year's grant opportunities, and the two planning grants are separate. He said the Wastewater Reclamation Study addresses interception of the waste stream from the southern portion of the community to the Chorro Valley with discharge into Chorro Creek, which will provide benefits overall to the City. Mr. Boucher stated tangible retention and expansion benefits could result regarding jobs and businesses, which is the purpose of the Phase I study. Leabah Winter asked if expansion of Dial -A -Ride services could be appropriate in this discussion. Mayor Novak closed the hearing to public comment. Mr. Svensson stated the public hearing tonight is intended to • solicit overall comments on the fund use. He said specific grant applications will come back for further public hearings before submission to the State. Councilmember Elliott stated wastewater reclamation should be a priority, and parking is one of the biggest problems in the City. Mayor Novak stated a wish list can be created, starting with wastewater reclamation. She referred to the focus on evaluating infrastructure needs for the target group, particularly in North Morro Bay. Mayor Novak also referred to the Dial -A -Ride (DAR) request. Mr. Boucher responded the DAR request will be addressed by ongoing operation and maintenance costs, as the buses and buildings are in existence. He said he does not believe these grants are focused toward construction. Mr. Svensson stated he will further research DAR under public services. He said planning grants are not competitive but first - come first -served, and the City can receive the grants as long as they get to the State before the money runs out. Mr. Svensson stated the reclamation study was the last one funded last year when the money ran out. He said the $800,000 construction funds are quite competitive, and applications must compete with 180 • other cities looking for funds. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 14 • Mayor Novak stated Phase II reclamation and infrastructure work are the top two items on her list. She feels parking is also a good idea. Councilmember Anderson stated State Water can be piped from the south end of Morro Bay to North Morro Bay, but water cannot be piped from North Morro Bay to South Morro Bay. He asked if such an infrastructure need will fit into the grant application. Mr. Boucher responded a current grant will identify neighborhoods where the target groups exist, and there is a possibility funding could be sought which will benefit the entire community. He said eligible neighborhoods must be identified first, along with infrastructure deficiencies. Councilmember Peters stated Phase II of the Water Reclamation Study is a priority, and parking is an urgent community need. She said developing attractive long-term parking areas behind Morro Bay Boulevard businesses could be a priority as well. Councilmember Peters stated building low-income housing above stores in the downtown business area could be another goal and will fit within the terms. She said undergrounding utilities is another area for consideration, if it will fit the criteria. Councilmember Peirce agreed reclamation is the highest priority, • but he also feels parking is a way to revitalize downtown and bring people to Morro Bay to bolster the sagging business district. He said a healthy business district provides money for other projects. Councilmember Peirce stated there are infrastructure needs and the home repair program will be beneficial as well. He said DAR would be a good place to invest remaining funds. Councilmember Anderson stated water reclamation and treatment facilities are his highest priorities. Councilmember Elliott stated the full amount of money was not received last year because of the time limitations. He asked about deadlines and the possibility of being late this year. Mr. Svensson stated the allocation process will not open until June 1997, and it will stay open until funding runs out, probably in September. He said the State reviews applications at the end of every month until the funds are used up. Mr. Boucher stated he will bring specific applications and recommendations back to Council based on input received tonight. No further action was taken on this item. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 15 C. NEW BUSINESS C-1 CONSIDERATION OF CITY COUNCIL'S "ORDER OF BUSINESS" Mayor Novak addressed the proposed change in the "Order of Business" and requested support to the amendments by approving Resolution No. 96-96. Councilmember Anderson asked if prayers from some religions could be considered offensive to others, and stated he is concerned about opening a "can of worms." He said he is comfortable with the moment of silence, and comments reflect a preference for spiritual quiet time rather than a prayer from specific churches. Councilmember Elliott agreed with Councilmember Anderson, but noted there is precedence for prayer. He said he does not want to make a big issue out of this, and people should not be offended by any particular prayer. Councilmember Peters stated her religion is based on prayer, and she personally prefers the moment of silence. She would not be offended by the religion of another, but people might feel they are losing their own opportunity for a moment of silence. Councilmember Peters feels the moment of silence provides each person a way to express their own faith and personal belief. • Councilmember Peirce stated a non -denominational prayer by a visiting minister would be appropriate, and he has no strong feelings either way. Mayor Novak stated the revised order of business will also permit the Public Hearings to start much earlier. MOTION: Mayor Novak moved the City Council approve Resolution No. 96-96 rescinding Resolution No. 77-93 and re- establishing the "Order of Business" at City Council meetings, and setting certain rules of procedure governing public comments and Councilmember abstentions. The motion was seconded by Councilmember Peirce and carried with Councilmembers Anderson and Peters voting no. (3-2) C-2 APPOINTMENTS OF COUNCILMEMBERS TO VARIOUS COUNTY BOARDS AND COMMISSIONS The following appointments were made: COUNCIL SUBCOMMITTEE ON EMPLOYEE GRIEVANCES Councilmember Peters and Councilmember Elliott (Councilmember Anderson - alternate). • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 16 • COUNTY SOLID WASTE TASK FORCE & INTEGRATED WASTE MANAGEMENT Mayor Novak as Delegate and Bill Boucher as Designee. COUNTY WATER ADVISORY BOARD Councilmember Anderson as Delegate and Bill Boucher as Alternate. SAN LUIS OBISPO REGIONAL TRANSIT AUTHORITY (SLORTA) Mayor Novak as Delegate and Councilmember Peirce as Alternate. SAN LUIS OBISPO AREA COORDINATING COUNCIL (SLOCOG) Mayor Novak as Delegate and Councilmember Elliott as Alternate. TECHNICAL TRANSPORTATION ADVISORY COMMITTEE (TTAC) Bill Boucher as Member. CMC CITIZENS' ADVISORY COMMITTEE (TWO YEAR TERM) Councilmember Elliott as Member. JOINT CITIES/COUNTY/SCHOOL DISTRICT ADVISORY COMMITTEE • Councilmember Elliott and Dave Howell as Members. ECONOMIC OPPORTUNITY COMMISSION Councilmember Peirce as Member and Councilmember Peters as Alternate. CITY SELECTION COMMITTEE Mayor Novak as Member. AIR POLLUTION CONTROL DISTRICT (APCD) Councilmember Peirce as Member and Councilmember Peters as Alternate. LEGISLATIVE DELEGATE Mayor Novak as Member. WATER CONTRACTORS ADVISORY COMMITTEE Bill Boucher as Member. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 17 • MOTION: Councilmember Elliott moved the City Council approve the appointments as listed above. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) C-3 SCHEDULE INTERVIEW DATE FOR APPOINTMENTS TO CITY COMMISSION AND BOARD VACANCIES Council scheduled Thursday, January 23, 1997 to interview candidates to serve on City Advisory Boards/Commissions to begin at 6:00 p.m. in the City Hall Conference Room. C-4 DISCUSSION OF COUNCIL/STAFF/COMMISSION/BOARD MEMBER WORKSHOP CALENDAR Council scheduled Thursday, February 20, 1997 to hold a workshop between the City Council and staff members to begin at 6:00 p.m. in the Community Center Multi Purpose Room. Council scheduled Thursday, February 27, 1997 to hold a workshop between the City Council and Advisory Board Members/Commissioners to begin at 6:00 p.m. in the Veterans' Memorial Building. C-5 RESOLUTION NO. 84-96 APPROVING CITY INVESTMENT POLICY AND DELEGATION OF INVESTMENT DUTIES TO CITY TREASURER Finance Director Jim Koser reviewed the City's Investment Policy • and recommended Council adopt Resolution No. 84-96 approving the policy and delegating investment duties to the City Treasurer. MOTION: Councilmember Peters moved the City Council approve Resolution No. 84-96 approving the City Investment Policy, and delegating investment duties to the City Treasurer. The motion was seconded by Councilmember Elliott and unanimously carried. (5-0) C-6 PRESENTATION OF 1995/96 FINANCIAL AUDIT Finance Director Jim Koser introduced the 1995/96 Financial Audit and introduced Mike Butcher of Butcher & Chambers whose firm prepared the audit. Mr. Butcher stated 90% of all municipal audited financial statements have qualifications, mostly due to appraisal costs. He said systems of internal controls and compliance with Federal and State financial programs have also been evaluated during the audit, and no material discrepancies or problems were discovered. Councilmember Peirce asked why payments have not been made to the California Coastal Conservancy annually as specified. Mr. Koser responded it was an oversight and the monies will be • forwarded properly in the future. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 18 • Mayor Novak stated it is the first time in five years the City Council has received an audit in the same year the fiscal year ended. She said this is the first time since 1992/93 when revenues exceeded expenditures. Mayor Novak thanked staff for their efforts. Councilmember Elliott thanked Mr. Koser and said he appreciates the clarity of the audit. MOTION: Councilmember Elliott moved the City Council accept the Fiscal Year 1995/96 Financial Audit Report. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) C-7 RESOLUTION NO. 87-96 INDICATING TOTAL TRANSPORTATION DEVELOPMENT ACT (TDA) FUNDS CLAIMED FOR FISCAL YEAR 1996/97 Administrative Assistant Janeen Burlingame reviewed the TDA claim for Fiscal Year 1996/97. Ms. Burlingame recommended Council: 1) approve the City's Fiscal Year 1996/97 claims for Local Transportation Fund monies in the amounts of $141,317 (local), $51,080 (regional), $3,952 (local bike and pedestrian projects), and $1,250 (TDA audit cost); 2) approve the City's Fiscal Year 1996/97 claim for State • Transportation Authority monies in the amount of $12,171, and authorize the Mayor to sign Resolution No. 87-96; and 3) select how the currently unallocated transit funds should be used. Mayor Novak suggested the excess $5,329 be used for a Dial -A -Ride (DAR) Saturday pilot program. Councilmember Peirce agreed and said promotion will be necessary. Councilmember Elliott stated Saturday service in the past was used very little. He believes the excess should go toward the deficiency in the Cost Allocation Plan. Councilmember Anderson agreed with Councilmember Elliott and stated he is concerned with meeting farebox revenues. He asked if the 10; will be met? Ms. Burlingame responded she is projecting 12%, which is a small increase. Councilmember Anderson stated previously when the City added Saturday DAR service, it jeopardized the 10k minimum revenue. He feels the deficits should be taken care of first, so the General Fund does not have to provide a larger subsidy. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 19 • Mr. Boucher responded Saturday service was terminated because of lack of farebox revenues. He said he hopes the pilot program will provide up-to-date data on whether or not Saturday service is viable. Councilmember Anderson asked if the other options could be covered without this funding. Mr. Boucher responded South Bay Boulevard will be completed long before the end of this fiscal year, so there will be no method to absorb additional expenditures. He said the Cost Allocation Plan identified General Fund direct and indirect costs on behalf of the Transit Fund, and the budget was balanced overall and acknowledged a shortfall of $70,000. Councilmember Peters stated she supports DAR, but she does not know if $5,000 will go far enough. She said it would be preferable the money go toward something already approved and in effect. Councilmember Anderson stated this is an opportunity to test Saturday service, but he asked if future grant money will be unavailable because of this decision. Mr. Boucher responded he does not believe Saturday service can be successful, but Mr. Svensson will research any possibilities. He • said there is currently no way to quantify ridership and financial impact of Saturday service because data is four years old. Mayor Novak stated this is an opportunity to test Saturday service, and the extra money is not enough for the Cost Allocation Study at any rate. She said data collected would be useful to encourage further grants. Councilmember Elliott stated it is not a whole lot of money, but he would rather use it toward an existing debt. He would prefer to seek other funding for Saturday service of DAR. Councilmember Peirce stated there have been discussions about how to help low-income and senior citizens, and about how to provide more parking. He said increasing the viability and ridership of DAR serves all those needs. Councilmember Peirce stated he would like to see if active promotion will encourage Saturday ridership. Councilmember Anderson asked if the City can afford to increase the DAR subsidy at this time. He does not want to start the service if the City cannot afford to continue it, as people will have to readjust their schedules at the end of six months. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - DECEMBER 9, 1996 PAGE 20 Councilmember Peters stated definite funding should be found for at least one year. Mr. Boucher stated $200,000 was spent on Surf Alley and there was no budget allocation for the project. He said the other project is in a deficit position as well. Councilmember Elliott asked if the money comes and goes from the same General Fund. Mr. Boucher answered affirmatively, but he would prefer allotting the money to South Bay Boulevard and Surf Alley projects because of Public Works, accounting procedures. Councilmember Peters suggested allowing Mr. Boucher to decide the best use of the $5,000. Councilmember Elliott asked Mr. Koser for his opinion. Mr. Koser responded the bottom line is needed funds come from the General Fund, and the issue for him is not to create a new appropriation or additional authority for the Public Works Department. Mr. Boucher noted this money is transit money not yet received and the money has to be allocated and used for legitimate • transportation purposes. He said the money cannot be placed into the General Fund without specifying it for transportation. MOTION: Mayor Novak moved the City Council put $5,329 toward the South Bay Boulevard project to remedy funding deficiencies with the existing scope of the project so as not to allocate additional construction not yet contemplated. The motion was seconded by Councilmember Peters and unanimously carried. (5-0) MOTION: Councilmember Peters moved the City Council approve Resolution No. 87-96 approving claims for TDA funding for Fiscal Year 1996/97. The motion was seconded by Councilmember Elliott and unanimously carried. (5-0) F. The meeting adjourned at 9:50 p.m. Recorded by: Bridgett Bauer . City Clerk City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a Level of municipal service and safety consistent with and responsive to the needs of the public. SPECIAL MEETING - DECEMBER 3, 1996; 6:00 P.M. VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. increase the effectiveness of the Public Comment Period, the following Tules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF NOVEMBER 25, 1996 A-2 RESOLUTION RECITING THE FACT OF THE GENERAL MUNICIPAL ELECTION HELD ON NOVEMBER 5, 1996, AND DECLARING THE RESULTS THEREOF B. UNFINISHED BUSINESS - NONE 40 3 NEW BUSINESS C-1 REMARKS BY COUNCILMEMBERS ANDERSON AND NOVAK C-2 PRESENTATION TO, AND REMARKS BY, COUNCILMEMBERS CROTZER AND UNGER, AND MAYOR YATES C-3 OATH OF OFFICE TO MAYOR NOVAK AND COUNCILMEMBERS ELLIOTT AND PEIRCE C-4 REMARKS BY COUNCILMEMBERS PEIRCE AND ELLIOTT AND MAYOR NOVAK C-5 DISCUSSION AND POSSIBLE SELECTION OF VACANT COUNCILMEMBER SEAT C-6 OATH OF OFFICE OF SELECTED COUNCILMEMBER (IF SO SELECTED) C-7 DISCUSSION AND SELECTION OF VICE MAYOR D. PUBLIC HEARINGS, REPORTS & APPEARANCES - NONE F. ADJOURNMENT • RECEPTION FOLLOWING THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE • ACCESSIBILITY TO THE MEETING. 2 u n LA MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - DECEMBER 3, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt Rick Algert Bridgett Bauer Bill Boucher Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mike Pond Steve Sylvester Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Harbor Director City Clerk Public Works Director Finance Director Police Chief Recreation and Parks Director Interim Planning Director Acting Fire Chief City Engineer Cub Scouts Troop 218 led the Pledge of Allegiance. LIGHTEN UP Gary Ryan presented the "Lighten Up". PUBLIC COMMENT City Engineer Steve Sylvester presented Mayor Yates with a framed flow -chart of the Chorro Creek Bridge Project. The following citizens spoke in support of appointing Colby Crotzer to the vacated seat on Council: Barry Dorfman, Bud Zeuschner, Christine Granados, Gene Shelton, Mary Phillips, Roz Rogoff, Rosalie Valvo, Marilyn Rossa, Ann Freeman, Laurie Lavine, Bill Raflowski, Leabah Winter, Ann Patton, Bruce Risley, Linnea Thomas, Jim Wood, Joe Giannini, Nelson Sullivan, Cathy Duncan, Steve Weber, Ric Deschler, Jeff Odell, Lynda Merrill, Grace Dean, and Susan Mullen. MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - DECEMBER 3, 1996 PAGE 2 • The following citizens stated the newly -elected City Council should make the decision on who to appoint to fill the vacant seat on Council: Jack Hansen, Harry Rogers, Jack Curry, John Barta, Dave West, and Ed Smith. Charlie Palmer stated the present City Council has accomplished more than any Council in the past. John Lemons reviewed the history of past City Council actions with this same situation. Bob Tefft addressed the apparent separation of groups in this City. Lila Melly asked why there is so much interest tonight, and not at regular meetings. She said based on meetings she has watched on Channel 54 there is little public input. Geri Cave thanked the community for their support at the "Spirit of Morro Bay" which was held last Saturday evening. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, • the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF NOVEMBER 25, 1996 A-2 RESOLUTION RECITING THE FACT OF THE GENERAL MUNICIPAL ELECTION HELD ON NOVEMBER 5, 1996, AND DECLARING THE RESULTS THEREOF MOTION: Councilmember Unger moved the City Council approve the Consent Calendar. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) B. UNFINISHED BUSINESS - NONE. C. NEW BUSINESS C-1 REMARKS BY COUNCILMEMBERS ANDERSON AND NOVAK Councilmember Anderson thanked Mayor Yates for his hard work, especially on the Chorro Creek Bridge Project. He also thanked the Council for their comradeship. Councilmember Novak thanked the Council for their hard work and commitment to the City of Morro Bay. E MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - DECEMBER 3, 1996 PAGE 3 • C-2 PRESENTATION TO, AND REMARKS BY, COUNCILMEMBERS CROTZER AND UNGER, AND MAYOR YATES Mayor Yates presented Councilmember Crotzer with a Certificate of Appreciation for his service on the City Council. Councilmember Crotzer reviewed the accomplishments during his term on the City Council. Mayor Yates presented Councilmember Unger with a Certificate of Appreciation for her service on the City Council. Councilmember Unger commented on her experiences during her term on the City Council. Councilmember Novak presented Mayor Yates with a Certificate of Appreciation for his service as Mayor. City Administrator Dave Howell presented Mayor Yates with an engraved plaque and clock from the City Department Heads. Mayor Yates expressed gratitude to those who were helpful during his term as Mayor. C-3 OATH OF OFFICE TO MAYOR NOVAK AND COUNCILMEMBERS ELLIOTT AND PEIRCE • City Clerk Bridgett Bauer gave the Oath of Office to the newly - elected Mayor and City Council. C-4 REMARKS BY COUNCILMEMBERS PEIRCE AND ELLIOTT AND MAYOR NOVAK Councilmembers Peirce and Elliott and Mayor Novak thanked those who supported them to serve on the City Council. C-5 DISCUSSION AND POSSIBLE SELECTION OF VACANT COUNCILMEMBER SEAT The City Council discussed the appointment for the vacated seat on the City Council and made the following motion: MOTION: Councilmember Anderson moved the City Council appoint Janice Peters to fill the vacated seat on the City Council which term will expire December, 1998. The motion was seconded by Councilmember Elliott and unanimously carried. (4-0) MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - DECEMBER 3, 1996 PAGE 4 • C-6 OATH OF OFFICE OF SELECTED COUNCILMEMBER (IF SO SELECTED) City Clerk Bridgett Bauer gave the Oath of Office to Janice Peters. Councilmember Peters took her seat with the City Council. C-7 DISCUSSION AND SELECTION OF VICE MAYOR MOTION: Councilmember Elliott moved the City Council appoint Councilmember Anderson as Vice -Mayor. The motion was seconded by Councilmember Peirce and unanimously carried with Councilmember Anderson abstaining. (4-0-1) D. PUBLIC HEARINGS, REPORTS & APPEARANCES - NONE. F. ADJOURNMENT The meeting adjourned at 8:35 p.m. A reception followed. Recorded by: Bridgett Bauer City Clerk Z 0 m m m 9' • City of Morro Bay City Council Agenda Mission Statement The City of Mono Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - NOVEMBER 25, 1996; 5:00 P.M. CLOSED SESSION - NOVEMBER 25, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-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. E-2 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES DISCUSSIONS REGARDING PERSONNEL ISSUES INCLUDING ONE (1) PUBLIC EMPLOYEE REGARDING DISCIPLINE/RELEASE/EVALUATION. PUBLIC SESSION - NOVEMBER 25, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. • 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS 0 1 A. CONSENT CALENDAR Wnless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF OCTOBER 28, 1996 AND NOVEMBER 12, 1996 A-2 STATEMENT OF CASH AND INVESTMENTS - OCTOBER 1996 A-3 EXPENDITURE REPORT - OCTOBER 1996 A-4 RESOLUTION NO. 86-96 APPROVING THE ASSIGNMENT OF LEASE SITE 93-95/93W- 95W FROM SANTA LUCIA NATIONAL BANK TO THE HELD FAMILY TRUST A-5 PROCLAMATION DECLARING NOVEMBER 1996 AS "NATIONAL HOSPICE MONTH" B. UNFINISHED BUSINESS B-1 ORDINANCE NO. 453-REVISION TO MORRO BAY MUNICIPAL CODE 12.08.080 REGARDING PUBLIC TREE REMOVAL BY OWNER; (SECOND READING/ADOPTION) C. NEW BUSINESS C-1 CONSIDERATION OF THE APPROVAL TO PERFORM BIKEWAY PLAN STUDY 2 REVIEW OF DRAFT REQUEST FOR PROPOSALS OF MORRO BAY DIAL -A -RIDE OPERATIONS AND MANAGEMENT FRANCHISE AGREEMENT D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 REQUEST FOR AWARD OF BANKED WATER EQUIVALENCY UNITS FOR CLOISTER'S PUBLIC PARK IMPROVEMENTS D-2 RESOLUTION NO. 82-96: INTENT TO FORM THE NORTH POINT SUBDIVISION NATURAL AREA LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT AND APPROVAL OF THE ENGINEERS REPORT D-3 REVIEW OF CITIZENS OPTION FOR PUBLIC SAFETY PROGRAM; (AB 3229 FUNDS) 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 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. /a i • • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - NOVEMBER 25, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt CLOSED SESSION Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Anderson moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. E-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. E-2 GOVERNMENT CODE SECTION 54957; PERSONNEL ISSUES DISCUSSIONS REGARDING PERSONNEL ISSUES INCLUDING ONE (1) PUBLIC EMPLOYEE REGARDING DISCIPLINE/RELEASE/EVALUATION. MOTION: Councilmember Unger moved the meeting be adjourned. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. 11 • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 25, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: None STAFF: Dave Howell City Administrator David Hunt City Attorney Rick Algert Harbor Director Bridgett Bauer City Clerk Bill Boucher Public Works Director Janeen Burlingame Administrative Assistant Jim Koser Finance Director Joe Loven Police Chief Andrea Lueker Recreation and Parks Director • Shauna Nauman Interim Planning Director Bill Boucher led the Pledge of Allegiance. LIGHTEN UP Bill Peirce presented the "Lighten Up". MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: ♦ In Closed Session, the majority Council approved the City Administrator receive a step increase in salary; ♦ Installation of the newly -elected City Council will take place December 3, 1996 at 6:00 p.m. at the Veteran's Memorial Building; ♦ Chorro Creek Bridge will be opening as scheduled; ♦ The City will be processing its own payroll beginning January 1997, with a savings of approximately $10,000; ♦ A public meeting is scheduled with the Coast Guard regarding the loss of the Cutter is scheduled for December 5, 1996 at • 7:00 p.m. at the Veteran's Memorial Building; `A MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 25, 1996 PAGE 3 • ♦ San Luis Coastal Unified School District has withdrawn their appeal of the mini -golf project; ♦ The Arco project at Morro Bay Boulevard/Quintana Road has been approved and will break ground in January or February. PUBLIC COMMENT Roger Ewing thanked Councilmembers Unger and Crotzer for serving the citizens for the past four years and wished Mayor Yates bon voyage. He said either Colby Crotzer or Steve Mathieu should be appointed to the new City Council, because of the number of votes each received. Bill Raflowski expressed concern that Morro Bay Municipal Code Section 17.68.015 (campaign signs) was violated during the recent election, as there were four violations. He said the Police Department had no definition of "site," so nothing was done. Mr. Raflowski said Harry Rogers did not comply with a request from City Administrator Dave Howell to remove large signs. Mary Phillips stated her water bills are higher because they are sent out each month instead of every two months. She feels low water users pay a disproportionate share of water costs. Ms. • Phillips said one of the golf course wells is agricultural and has been closed so it would not get into the City's drinking water supply. James George IV requested removal of Item A-4 (Resolution No. 86- 96 approving the Assignment of Lease Site 93-95/93W-95W from Santa Lucia National Bank to the Held Family Trust) from the agenda until the issue has been resolved in Federal Court. He asked the City Council instruct the City Attorney to stipulate the matter will be heard by Judge Raffiti forthwith. Margie George stated Mr. Held holds Lease Site 86, which was in bankruptcy twice and he did not lose his lease. She said her lease has been terminated and her property has been taken away. Ms. George said the case must be heard by an Article 3 judge, and the City Council should not hear Item A-4 tonight. Nelson Sullivan criticized Cathy Novak for receiving large donations from John King. He said election winners violated campaign sign rules, and he feels Mr. Rogers should be penalized for a misdemeanor code violation. Royal Martin expressed support for Councilmember Crotzer's appointment to the new City Council. • Mayor Yates closed the public comment period. 3 • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 25, 1996 PAGE 4 DECLARATION OF FUTURE AGENDA ITEMS Councilmember Anderson said rules regarding campaign signs should be made clear to all candidates in the future. City Attorney David Hunt expressed doubt about the constitutionality of the code provision because of free speech considerations. He said the code section should not be enforced because it applies to political signs only, and the ordinance is being evaluated so it will be content neutral. Councilmember Crotzer stated Ms water users should be addressed. A. CONSENT CALENDAR Phillips concerns about low Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF OCTOBER 28, 1996 AND NOVEMBER 12, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 STATEMENT OF CASH AND INVESTMENTS - OCTOBER 1996 Mr. Howell recommended Council receive the report for information. A-3 EXPENDITURE REPORT - OCTOBER 1996 Mr. Howell recommended Council approve the Expenditure Report. A-4 RESOLUTION NO. 86-96 APPROVING THE ASSIGNMENT OF LEASE SITE 93-95/93W-95W FROM SANTA LUCIA NATIONAL BANK TO THE HELD FAMILY TRUST Mr. Howell recommended Council approve Resolution No. 86-96 approving the Assignment of Lease Site 93-95/93W-95W from Santa Lucia National Bank to the Held Family Trust. A-5 PROCLAMATION DECLARING NOVEMBER 1996 AS "NATIONAL HOSPICE MONTH" Mr. Howell recommended Council adopt the proclamation declaring November 1996 as "National Hospice Month". Councilmember Anderson pulled Item A-4 from the Consent Calendar. C! MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 25, 1996 PAGE 5 • MOTION: Councilmember Unger moved the City Council approve the Consent Calendar with the exception of Item A-4. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) A-4 RESOLUTION NO. 86-96 APPROVING THE ASSIGNMENT OF LEASE SITE 93-95/93W-95W FROM SANTA LUCIA NATIONAL BANK TO THE HELD FAMILY TRUST City Attorney David Hunt stated statements by the Georges are completely baseless according to law or fact, in his legal opinion. MOTION: Councilmember Novak moved the City Council approve Item A-4 approving the Assignment of Lease Site 93-95/93W-95W from Santa Lucia National Bank to the Held Family Trust. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) B. UNFINISHED BUSINESS B-1 ORDINANCE NO. 453-REVISION TO MORRO BAY MUNICIPAL CODE 12.08.080 REGARDING PUBLIC TREE REMOVAL BY OWNER; (SECOND READING/ADOPTION) • City Administrator Dave Howell presented Ordinance No. 453 for second reading and adoption. • MOTION: Councilmember Crotzer moved the City Council have Ordinance No. 453 reading by title and number only, and moved for adoption of Ordinance No. 453 revising Morro Bay Municipal Code 12.08.080 regarding public tree removal by owner. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mr. Howell read the ordinance by number and title only. C. NEW BUSINESS C-1 CONSIDERATION OF THE APPROVAL TO PERFORM BIKEWAY PLAN STUDY Public Works Administrative Assistant Janeen Burlingame stated the City's Bikeway Plan is a portion of the Circulation Element of the General Plan and will be reviewed in order to determine whether the proposed bike routes meet the current and future local and regional needs. She recommended the City Council approve a bikeway study upon approval by SLOCOG of a Regional State Highway Account grant. 5 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 25, 1996 PAGE 6 SCouncilmember Crotzer stated he has been interested in this project for six years, and he noted some funding had been utilized for the new Chorro Creek Bridge. He said he is confident bike lanes will be provided so children can transit safely from Morro Bay to Los Osos. Councilmember Crotzer expressed dismay the State Parks system has no money available for bike lanes, and he complimented PG&E for access land provided through plant property. He noted cooperation with the high school will be necessary to use paths provided by Cloisters. MOTION: Councilmember Crotzer moved the City Council approve the performance of a Bikeway Plan Study by the Public Works Department upon approval by the San Luis Obispo Council of Governments of a Regional State Highway Account grant. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) C-2 REVIEW OF DRAFT REQUEST FOR PROPOSALS OF MORRO BAY DIAL -A - RIDE OPERATIONS AND MANAGEMENT FRANCHISE AGREEMENT Public Works Administrative Assistant Janeen Burlingame reviewed the draft Request for Proposals (RFP) of Morro Bay Dial -a -Ride Operations and Management Franchise Agreement and recommended the City Council review the draft RFP's, and authorize dissemination • of the document. Councilmember Novak suggested an option for weekend service if funding becomes available. • Ms. Burlingame stated weekend service was not successful when attempted a few years ago, but she agreed such an option could be included in the RFP. Councilmember Crotzer stated inter -community travel is a huge need, and he hopes privatization will make the concept of a network possible between Morro Bay, Cayucos, and Los Osos. He advocated free transit for certain groups in an attempt to curb air pollution and reduce traffic. Mayor Yates stated Saturday service has not been attempted because of monetary constraints, although there is a market for it. Councilmember Novak said Sunday transit is also desirable because of church services. Councilmember Crotzer advocated expansion of all public services, so people can take advantage of City facilities. 9 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 25, 1996 PAGE 7 • Councilmember Anderson expressed doubt about a wish list being included in the RFP. He said farebox revenues are minimal and 90°s of Dial -A -Ride service is subsidized by the General Fund. Councilmember Anderson stated Saturday service was dropped in order to meet minimum farebox revenues. Mayor Yates replied the inclusion of weekend service would be an option in the RFP, so some cost estimates can be received. MOTION: Councilmember Unger moved the City Council approve the report, direct the Public Works Department to incorporate the majority of Council comments, and authorize dissemination of the document. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates called for a break at 7:03 p.m.; the hearing resumed at 7:30 p.m. D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 REQUEST FOR AWARD OF BANKED WATER EQUIVALENCY UNITS FOR CLOISTER'S PUBLIC PARK IMPROVEMENTS • Acting Planning Director Shauna Nauman stated the applicant for Cloister's has requested the City Council allocate 54.8 water equivalency units (weu) from the retrofit "bank" in order to move forward with the public improvements that have been dedicated to the City and the State for public use. She noted upon award of the requested 54.8 weu, the applicant will pay the current water availability fee of $355 per equivalency, or $18,332.20. Ms. Nauman recommended the City Council award 54.8 water equivalency units from the retrofit "bank" for the public park, restrooms and open space portion of the Cloisters' development. City Attorney David Hunt stated this project is unique because it is being built for the City and will be given to the City. He said a resolution should be brought forward if a fee waiver is desired by the City Council, so precedent will not be set by this project. Mayor Yates asked if Cloisters will pay the full equivalency regardless of whether or not the property is given to the City. • Ms. Nauman responded affirmatively. Councilmember Crotzer asked Ms. Nauman why there was a retrofit program. He stated lack of resources resulted in the program to allow building to continue. it MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 25, 1996 PAGE 8 • Ms. Nauman responded the retrofit program provided a way to allow development under a moratorium imposed by the Coastal Commission. She said the 2 to 1 ratio created twice as much water needed in order to proceed with development, and the result has been the creation of a bank. Ms. Nauman stated the City Council is authorized to allocate water from the bank. Councilmember Crotzer stated he has believed in infill because of the bank, and he feels Cloisters should participate in retrofitting existing properties to get the WEUs. Ms. Nauman responded the property will be dedicated to the City for public use and public benefit, and it is up to the City Council to decide whether or not to allocate WEUs. Councilmember Crotzer stated this developer could save water by retrofitting houses for this project, and water will be taken away from people who want to build homes on existing lots. Mayor Yates opened the hearing to public comment. Nelson Sullivan disagreed with Mr. Hunt's determination that this project is exempt from Measure I. He asked if there is a two- year record regarding the savings from the retrofit program, as • required in the Coastal Permit. Mr. Sullivan stated the Water Allocation Model may provide the answers when it is completed. He said the fee schedule should address equivalency costs. Mary Phillips stated the City Council should find out how many senior citizens have been forced to sell their properties while awaiting infill permits. She said Cloisters should not have been approved until all the infill lots were completed. Jeff Ferber, RRM Design Group, stated Cloisters is not asking for water for 120 building lots. He noted the project owners will pay 100% for all public land improvements, and lot owners will pay water costs through the assessment district in perpetuity. Mayor Yates closed the hearing to public comment. Councilmember Unger stated the entire Albertson's Shopping Center required only 30 WEUs, and 54.8 WEUs will be allocated for this project alone. She said the project is illegal and even water can be bought with enough money. Mayor Yates stated Cloisters is paying for public land improvements to be returned to the City. He said water for this purpose is reasonable and falls under the highest priority, which is public lands. Mayor Yates stated it is inherently unfair to charge the same amount for water which will be given back and for • water which will be kept forever. He would drastically reduce fees for water which will be returned to the bank. r] • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 25, 1996 PAGE 9 Councilmember Novak stated the parks and restrooms will be used by the public, and there is no gain to the property owners. She said there is banked water left over for infill construction, and this project will provide enjoyment for everyone. Councilmember Crotzer stated this is an opportunity to save more water, which is the City's No. 1 priority. He said water is being given away to meet a condition required by the City. Mayor Yates stated this use meets the highest priority for banked water, and the City placed the condition for wetlands on the developer. Councilmember Anderson stated he supports charging current fees, not the ones existing in 1990, and he agrees with the Planning Director's recommendations. Mayor Yates stated full price is being charged for the WEUs, which will be given back to the City and then the developer will be charged again. Councilmember Unger stated it is almost double jeopardy to charge the developer twice for the same water equivalencies. She will not support the project in any event. Councilmember Crotzer said the project avoids an initiative subsequently passed by the citizens, so all fees should be frozen. He said the project would not have gone forward without the legal interpretation on Measure I. Councilmember Anderson stated he is looking for compromise between charging some amount or waiving fees completely. He said the project is moving forward and the community will benefit from the open space and restrooms. MOTION: Mayor Yates moved the City Council award 54.8 Water Equivalency Units to Cloisters, and the project will pay fees as amended verbally by staff, and staff will bring back findings to support the fees. The motion was seconded by Councilmember Novak and carried with Councilmembers Unger and Crotzer voting no. (3-2) D-2 RESOLUTION NO. 82-96: INTENT TO FORM THE NORTH POINT SUBDIVISION NATURAL AREA LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT AND APPROVAL OF THE ENGINEERS REPORT Recreation and Parks Director Andrea Lueker introduced the resolution of intent to form the North Point Natural Area Landscaping and Lighting Maintenance Assessment District and • recommended the City Council review and approve the Engineer's Report and adopt Resolution No. 82-96. 0 U MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 25, 1996 PAGE 10 Mayor Yates opened the hearing to public comment; there was none and the hearing was closed. MOTION: Councilmember Anderson moved the City Council approve the Engineer's Report and adopt Resolution No. 82-96 declaring the intent to form the North Point Subdivision Natural Area Landscaping & Lighting Maintenance Assessment District, and waiving the 45-day noticing requirement. The motion was seconded by Councilmember Novak and carried with Councilmember Unger voting no. (4-1) D-3 REVIEW OF CITIZENS OPTION FOR PUBLIC SAFETY PROGRAM; (AB 3229 FUNDS) Police Chief Joe Loven reviewed the Citizen's Option for Public Safety Funding (COPS Program/AB3229) and recommended the City Council approve the Police Department request to expend revenues from the COPS Program on those items which will benefit the appropriate "front line" police services and crime prevention programs. Mayor Yates opened the hearing to public comment; there was none and the hearing was closed. MOTION: Councilmember Crotzer moved the City Council approve the Police Department request to expend revenues from the State COPS Program (AB 3229) on those items which will benefit the appropriate "front line" police services and crime prevention programs. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) F. ADJOURNMENT The meeting adjourned at 8:20 p.m. Recorded by: Bridgett Bauer City Clerk 10 City of Morro Bay City Council Agenda Mission Statement The City of Mono Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - NOVEMBER 12, 1996; 5:00 P.M. CLOSED SESSION - NOVEMBER 12, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS INSTRUCTING CITY'S REAL PROPERTY NEGOTIATOR REGARDING THE PRICE AND TERMS OF PAYMENT FOR THE PURCHASE, SALE, EXCHANGE, OR LEASE OF REAL PROPERTY AS TO ONE (1) PARCEL. PUBLIC SESSION - NOVEMBER 12, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP 6 111YOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF OCTOBER 28, 1996 - 40 THIS ITEM HAS BEEN PULLED FROM THE AGENDA 1 -2 RESOLUTION NO. 80-96 APPROVING CHORRO CREEK BRIDGE/SOUTH BAY BOULEVARD RIGHTS -OF -WAY AGREEMENTS A-3 RESOLUTION NO. 81-96 AWARDING CONTRACT FOR CHORRO CREEK BRIDGE REVEGETATION; (PW 96-35) A-4 RESOLUTION NO. 79-96 APPROVING CURBSIDE RECYCLING FRANCHISE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND RALCCO RECYCLING A-5 RESOLUTION NO. 83-96 APPROVING MARINA SQUARE PARKING IN -LIEU APPEAL FINDINGS B. UNFINISHED BUSINESS B-1 AWARD OF VIDEO PRODUCTION SERVICE FOR CITY COUNCIL MEETINGS TO ALPHA VIDEO B-2 REVIEW OF MASTER TREE LIST REVISION C. NEW BUSINESS C-1 CONSIDERATION OF REQUEST BY CHAMBER OF COMMERCE FOR RECONSIDERATION OF MORRO BAY MUNICIPAL CODE SECTION 17.44 REGARDING PARKING IN -LIEU PAYMENT SCHEDULE D. PUBLIC HEARINGS. REPORTS & APPEARANCES 0-1 RESOLUTION NO. 82-96: INTENT TO FORM THE NORTH POINT SUBDIVISION NATURAL AREA LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT AND APPROVAL OF THE ENGINEERS REPORT D-2 UPDATE OF WATER ALLOCATION MODEL AND ASSOCIATED POLICY DOCUMENT AMENDMENTS (CONTINUED FROM OCTOBER 28, 1996) D-3 ORDINANCE NO. 453: CONSIDERATION OF REVISION TO MORRO BAY MUNICIPAL CODE 12.08.080 REGARDING PUBLIC TREE REMOVAL BY OWNER; (FIRST READING/INTRODUCTION) F THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772- 6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. • Pa • • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - NOVEMBER 12, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember (arrived at 5:05 p.m.) Cathy Novak Councilmember ABSENT STAFF: CLOSED SESSION Ahnawake Unger Dave Howell David Hunt Councilmember City Administrator City Attorney MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Anderson and unanimously carried. (4-0) Mayor Yates read the Closed Session statement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:18 p.m. E-1 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS INSTRUCTING CITY'S REAL PROPERTY NEGOTIATOR REGARDING THE PRICE AND TERMS OF PAYMENT FOR THE PURCHASE, SALE, EXCHANGE, OR LEASE OF REAL PROPERTY AS TO ONE (1) PARCEL. MOTION: Councilmember Novak moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (4-0) The meeting adjourned at 5:18 p.m. 11 • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 12, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak ABSENT: Ahnawake Unger STAFF: Dave Howell David Hunt Rick Algert Bridgett Bauer Bill Boucher Janeen Burlingame Jeff Jones Jim Koser Joe Loven Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Harbor Director City Clerk Public Works Director Administrative Assistant Fire Chief Finance Director Police Chief Interim Planning Director Finance Director Jim Koser led the Pledge of Allegiance. LIGHTEN UP Roger Ewing presented the "Lighten Up". MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements ♦ Twin Bridges will be closing tomorrow at 7:00 a.m., and he is confident the contractor will finish on time; ♦ Election results will be received from the County Clerk's office on November 15th; ♦ The engine on the Coast Guard surf rescue boat blew up and another boat has replaced it. He and Councilmember Novak have written the Coast Guard to express concerns about possible removal of the cutter without public hearings; ♦ Item D-1 (Resolution No. 82-96: Intent to Form the North Point Subdivision Natural Area Landscaping & Lighting Maintenance Assessment District and Approval of the Engineers Report) has been pulled from the agenda; 2 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 12, 1996 PAGE 3 • ♦ A request has been received to hear Item A-5 (Resolution No. 83-96 Approving Marina Square Parking In -Lieu Appeal Findings) after Item C-1 (Consideration of Request by Chamber of Commerce for Reconsideration of Morro Bay Municipal Code Section 17.44 Regarding Parking In -Lieu Payment Schedule). Mayor Yates stated he will be stepping down on Items C-1 and A-5. MOTION: Mayor Yates moved the City Council re -arrange the agenda in order to hear Item A-5 after Item C-1. The motion was seconded by Councilmember Novak and unanimously carried. (4-0) PUBLIC COMMENT Vicky Landis addressed Resolution No. 63-93 which was approved by the City Council three years ago in support of medical use of marijuana, and she thanked Council for their courage in pioneering this issue. She provided a press release from the Medical Marijuana Commission and stated she and her husband are coordinators for the San Luis Obispo Cannabis Buyer's Club. Ms. Landis said there will be a lot of problems to work out regarding passage of Proposition 215, as it is very vague. She noted the buyers club will focus strictly on well -documented patients and • doctors. Roger Ewing applauded the City Council for addressing Item D-3 (Ordinance No. 453: Consideration of Revision to Morro Bay Municipal Code 12.08.080 Regarding Public Tree Removal by Owner; First Reading/Introduction). He said he committed a grave error in judgment at the last meeting when he spoke in favor of an appellant without knowing all the facts, and he apologized. Roz Rogoff addressed Item B-1 (Award of Video Production Service for City Council Meetings to Alpha Video) and requested Council to consider the bid from David Westphal who worked for her at KBAI. She believes bids from local businesses should receive extra points, because they support the City's tax base. Steve McGrath, RALCCO, congratulated citizens for the 90% recycling rate. He noted over 900 tons were collected in 1994, over 1,000 tons in 1995, and 1,499 tons to date this year. Mr. McGrath said the overall increase is 64%, which is the equivalent of 250 garbage trucks not going to the landfill. John Zaver addressed Item C-1 (Consideration of Request by Chamber of Commerce for Reconsideration of Morro Bay Municipal Code Section 17.44 Regarding Parking In -Lieu Payment Schedule), stating parking in -lieu fees have a negative impact because • businesses are forced to provide large sums of money before they open. He suggested the use of secured property to provide 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 12, 1996 PAGE 4 • businesses three to five years to make payments. Mr. Zaver also addressed Item D-2 (Update of Water Allocation Model and Associated Policy Document Amendments) and recommended the City Council vote against this measure because it will have a detrimental effect on both citizens and businesses. Charles Palmer addressed Item D-1 (Resolution No. 82-96: Intent to Form the North Point Subdivision Natural Area Landscaping & Lighting Maintenance Assessment District and Approval of the Engineers Report) suggesting vacant lots receive a water allocation and pay a monthly water and sewer bill to establish water rights. Janice Peters addressed Item B-1 (Award of Video Production Service for City Council Meetings to Alpha Video) stating Alpha Video has proven its technical excellence, dedication to the City, and has established a good format. She stated she does not believe the cheapest deal is always best. Pat Renshaw of Alpha Video stated it has been a pleasure to tape the meetings and thanked the City Council for giving the company a chance. David Westphal, Video West Productions, stated he would like to revise his bid upward to $6,000, for the record. Mr. Westphal • said he has started a number of documentaries, including one on the Morro Bay Police Department and another on school PTA meetings. Harry Rogers stated in -lieu parking is a cloud over the City, and changes need to be made. He said he is working with the Chamber of Commerce and will have some suggestions in the near future. Steve Mathieu, Video Broadcast Committee, echoed the staff recommendation to select Alpha Video. He noted there are 12 to 14 volunteers and a number of television programs in the works. Mr. Mathieu stated disconnection of Alpha Video would thwart everything which is underway at this time. Mayor Yates closed the hearing to public comment. DECLARATION OF FUTURE AGENDA ITEMS - None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF OCTOBER 28, 1996 • This item was pulled from the agenda. V. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 12, 1996 PAGE 5 • A-2 RESOLUTION NO. 80-96 APPROVING CHORRO CREEK BRIDGE/SOUTH BAY BOULEVARD RIGHTS -OF -WAY AGREEMENTS Mr. Howell recommended Council adopt Resolution No. 80-96 approving the Right -of -Way Agreement, Easement Agreement and Agreement and Grant of Easement with the State Department of Parks and Recreation. A-3 RESOLUTION NO. 81-96 AWARDING CONTRACT FOR CHORRO CREEK BRIDGE REVEGETATION; (PW 96-35) Mr. Howell recommended Council approve Resolution No. 81-96 awarding the project contract to Acacia Landscaping and Erosion Control, Inc. in the amount of $225,655. A-4 RESOLUTION NO. 79-96 APPROVING CURBSIDE RECYCLING FRANCHISE AGREEMENT BETWEEN THE CITY OF MORRO BAY AND RALCCO RECYCLING Mr. Howell recommended Council adopt Resolution No. 79-96 approving the Curbside Recycling Franchise Agreement with RALCCO Recycling and authorize the Mayor to sign. Councilmember Crotzer pulled Item A-3 from the Consent Calendar. • MOTION: Councilmember Crotzer moved the City Council approve Items A-2 and A-4. The motion was seconded by Councilmember Anderson and unanimously carried. (4-0) A-3 RESOLUTION NO. 81-96 AWARDING CONTRACT FOR CHORRO CREEK BRIDGE REVEGETATION; (PW 96-35) Councilmember Crotzer asked Mr. Boucher why there was such a difference in the bids. Public Works Director Bill Boucher responded all bids were for the same types and sizes of plants, and the format was a lump SUM. MOTION: Councilmember Crotzer moved the City Council adopt Resolution No. 81-96 awarding the contract for the Chorro Creek Bridge Revegetation to Acacia Landscaping and Erosion Control, Inc in the amount of $225,655. The motion was seconded by Councilmember Anderson and unanimously carried. (4-0) 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 12, 1996 PAGE 6 • B. UNFINISHED BUSINESS B-1 AWARD OF VIDEO PRODUCTION SERVICE FOR CITY COUNCIL MEETINGS TO ALPHA VIDEO Administrative Assistant Janeen Burlingame reviewed the award of Video Production Services for City Council meetings to Alpha Video stating the Public Works Department received three bids for this service. She noted Alpha Video has proven they are a reliable company and can provide a quality product to the City that can outweigh the $25 difference in prove from the lowest bidder. Ms. Burlingame added there is no requirement to accept the lowest bid. Councilmember Anderson asked if other Commission/Committee meetings will continue to be taped and telecast at no cost. Ms. Burlingame responded the other public meetings are being taped by volunteers, not Alpha Video. Councilmember Anderson asked if the City Council will be examining this issue again in six months. Ms. Burlingame responded affirmatively. • Councilmember Novak stated she favors Video West, because Mr. Westphal guarantees Public works Advisory Board and Harbor Advisory Board meetings will be taped, and workers will be paid. She said she feels she must support the lowest bidder. • MOTION: Mayor Yates moved the City Council award Video Production Services to Alpha Video Productions. The motion was seconded by Councilmember Crotzer and unanimously carried. (4-0) B-2 REVIEW OF MASTER TREE LIST REVISION Public Works Director Bill Boucher reviewed the proposed list revision which increases the number of tree species from the current 39 to 71 as well as provides more detailed information regarding each tree species. He recommended the City Council adopt the revision to the Master Tree List as submitted. Council consensus was in support of staff recommendations. MOTION: Councilmember Novak moved the City Council adopt the revision to the Master Tree List as submitted by staff. The motion was seconded by Councilmember Crotzer and unanimously carried. (4-0) G MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 12, 1996 PAGE 7 • C. NEW BUSINESS C-1 CONSIDERATION OF REQUEST BY CHAMBER OF COMMERCE FOR RECONSIDERATION OF MORRO BAY MUNICIPAL CODE SECTION 17.44 REGARDING PARKING IN -LIEU PAYMENT SCHEDULE Mayor Yates stepped down due to conflict of interest. Vice -Mayor Novak introduced Arby Kitzman and Suedene Nelson who made a presentation regarding this issue. Arby Kitzman, Chamber of Commerce Vice -President, proposed a change in the parking in -lieu fee code section which requires payment before businesses open. He stated a committee could work with City staff to develop a new code to allow flexibility. Mr. Kitzman said under -capitalization is one of the highest causes of business failure, and in -lieu payments add to the problem. He said he feels businesses could open sooner and more sales taxes could be collected if the code section is changed. Mr. Kitzman stated more money would be available for inventory, and stores and store -fronts could be improved with this amendment to the code. Suedene Nelson, Chamber of Commerce Executive Director, stated 99% of City businesses are mom and poppers, and there are many • required expenses up front. She said no money can be taken out of a business for two years, and the business community needs support from the City. • Vice -Mayor Novak expressed support for payments on parking in - lieu fees if there is collateral or bonding available, so the City does not have to worry about collecting payments. Councilmember Anderson stated payments would be acceptable if there are secured notes and interest is collected. He said a business -like, legal procedure is necessary, and many people have borrowed in -lieu fees as part of the business financing package. Councilmember Anderson stated there is an existing procedure for businesses to obtain security to ensure public improvements are completed. Councilmember Crotzer concurred; however, the only business which was allowed a payment plan folded and left town. He said bankruptcies are often complicated and lengthy, and he does not want the City to go through such a process. Councilmember Crotzer stated occupancy permits are one way to ensure receipt of in -lieu payments. 7 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 12, 1996 PAGE 8 • MOTION: Vice -Mayor Novak moved the City Council direct staff to bring back an ordinance allowing for payment of fees, including bonding, collateral, or some type of security which will keep the City in a responsible, business -like fashion. The motion was seconded by Councilmember Anderson and carried with Mayor Yates abstaining. (3-0- 1) Councilmember Crotzer stated he would like some mechanism described in the motion. Councilmember Anderson stated there are several mechanisms available, including the type which is applicable to public improvements. Councilmember Novak stated the Finance Department can provide recommendations and options can be made available to business owners. City Attorney David Hunt noted this ordinance will be part of the Local Coastal Plan and will not be effective until certified by the Coastal Commission. A-5 RESOLUTION NO. 83-96 APPROVING MARINA SQUARE PARKING IN -LIEU APPEAL FINDINGS • MOTION: Councilmember Crotzer moved the City Council adopt Resolution No. 83-96 approving the Marina Square parking in -lieu appeal findings. The motion was seconded by Councilmember Anderson and carried with Mayor Yates abstaining. (3-0-1) • Mayor Yates returned to his seat with the Council. Mayor Yates called for a break at 7:13 p.m.; the meeting resumed at 7:39 p.m. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RESOLUTION NO. 82-96: INTENT TO FORM THE NORTH POINT SUBDIVISION NATURAL AREA LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT AND APPROVAL OF THE ENGINEERS REPORT This item was pulled from the agenda. 3 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 12, 1996 PAGE 9 • D-2 UPDATE OF WATER ALLOCATION MODEL AND ASSOCIATED POLICY DOCUMENT AMENDMENTS (CONTINUED FROM OCTOBER 28, 1996) Acting Planning Director Shauna Nauman reviewed the update to the Water Allocation Model and associated policy document amendments. She recommended the City Council authorize staff to initiate the LCP amendment review process, and approve the process to sunset the Retrofit Program. Mayor Yates opened the hearing for public comment. Harry Rogers stated new residents should not have to pay an unfair portion to hook up to water, as some costs belong to the City. He said each owner should be charged the full cost of meter installation. John Barta reminded Council that people have been paying taxes for years on vacant lots, while they have been denied the right to build. He said the issue is one of principle, and vacant lot owners will be unfairly burdened if they have to pay a water tax. Mr. Barta urged Council not to divide the community, and he stated all citizens should pay for water equally. Dale Reddell stated the people who own vacant lots should be offered water meters and the opportunity to connect before they • build. Mayor Yates closed the hearing to public comment. Mayor Yates asked if the Public Works Director should estimate fees to new development for procurement and delivery of water, which is subjective. Councilmember Crotzer stated conservation should be encouraged under the City's Water Management Plan. He does not believe an amendment to the LCP should be implemented at this time, and the new City Council should address this issue. Councilmember Crotzer stated there will be increased revenue needs, if the reclamation plant is under consideration. He said future growth demands are bringing the State Water Project into the City, and future growth should pay for increased infrastructure. Councilmember Crotzer stated a larger sewage treatment plant will be necessary as well, and planning should look further into the future. Mr. Hunt addressed the issue of vagueness, stating Government Code Section 62000 refers to "development fees." He said the fee has to be tied to the cost caused by the development, and the City cannot charge higher fees. Mr. Hunt noted an AB 1600 study will have to be conducted and staff will provide the City Council with a determination; Council will then decide how much should be • recovered. E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - NOVEMBER 12, 1996 PAGE 10 • MOTION: Mayor Yates moved the City Council authorize staff to initiate the LCP amendment review process and approve the process to sunset the retrofit program. Comments from the public and the City Council are to be transmitted to the Planning Commission for their review. The motion was seconded by Councilmember Anderson and carried with Councilmember Crotzer voting no. (3-1) D-3 ORDINANCE NO. 453: CONSIDERATION OF REVISION TO MORRO BAY MUNICIPAL CODE 12.08.080 REGARDING PUBLIC TREE REMOVAL BY OWNER; (FIRST READING/INTRODUCTION) Public Works Director Bill Boucher reviewed the revision to Chapter 12.08 of the Morro Bay Municipal Code and recommended the City Council approve Ordinance No. 453 for first reading and introduction. Mayor Yates opened the hearing for public comment. Harry Rogers stated the City Council appoints Commissions and hires staff with expertise, and now runs the risk of overriding public opinion and wasting a lot of time by deciding to allow appeals in all cases and under all circumstances. He said Council shows disrespect for department heads when all decisions • are appealable. Mayor Yates closed the hearing to public comment. He said he believes all issues should be appealable to the City Council. Mayor Yates stated the City Council generally upholds a unanimous Commission decision; however, citizens should have the right to appeal to the City Council. MOTION: Councilmember Crotzer moved the City Council approve Ordinance No. 453 for first reading and introduction by number and title only. The motion was seconded by Councilmember Anderson and unanimously carried. (4-0) City Administrator Dave Howell read Ordinance No. 453 by number and title. F. The meeting adjourned at 8:10 p.m. Recorded by: Bridgett Bauer • City Clerk 10 PA City of Morro Bay 40 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 28, 1996; 5:00 P.M. CLOSED SESSION - CITY HALL CONFEREN 595 HARBOR ST. OCTOBER 28, 1996 E ROOM - 5:00 P.M. MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956.9(A); CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION ♦ STATUS REPORT ON ALL PENDING LITIGATION. THIS IS A REPORT ON STATUS AND NO ACTION MAY BE TAKEN ON ANY MATTER NOT SPECIFICALLY LISTED. COUNCIL MAY REQUEST A SPECIFIC MATTER BE AGENDIZED IN THE FUTURE FOR ACTION. ♦ CITY OF MORRO BAY V. DON FUNK, SAN LUIS SUPERIOR COURT CASE NO. CV 079045. E-2 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS INSTRUCTING CITY'S REAL PROPERTY NEGOTIATOR REGARDING THE PRICE AND 40 TERMS OF PAYMENT FOR THE PURCHASE, SALE, EXCHANGE, OR LEASE OF REAL PROPERTY AS TO ONE (1) PARCEL. PUBLIC SESSION - OCTOBER 28, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so 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 state your name and address for the record. to three minutes. ♦ All remarks shall be addressed to Council, individual member thereof. 1 forward to the podium and Comments are to be limited as a whole, and not to any COUNCIL DECLARATION OF FUTURE AGENDA ITEMS 4. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF OCTOBER 14, 1996 A-2 STATEMENT OF CASH AND INVESTMENTS - SEPTEMBER 1996 A-3 EXPENDITURE REPORT - SEPTEMBER 1996 A-4 RESOLUTION NO. 76-96 APPROVING APPLICATION FOR ENVIRONMENTAL ENHANCEMENT GRANT FOR QUINTANA ROAD BIKE LANES AND HABITAT RESTORATION A-5 RESOLUTION NO. 77-96 APPROVING ASSIGNMENT OF LEASE SITE 129W-133W FROM MILT GUGGIA ENTERPRISES TO MING DYNASTY INC. B. UNFINISHED BUSINESS B-1 REPORT ON WATER RATES AND FUTURE COSTS B-2 REQUEST FOR AUTHORIZATION TO EXECUTE DOCUMENTS FOR REVENUE BOND REFINANCING ON STATE WATER PROJECT B-3 ORDINANCE NO. 452 - AMENDMENT TO MORRO BAY MUNICIPAL CODE CHAPTER 17.36 (ZONING) TO IMPLEMENT THE DESIGN GUIDELINES PORTION OF THE WATERFRONT MASTER PLAN; (SECOND READING AND ADOPTION) C. NEW BUSINESS C-1 STATUS REPORT ON NATURAL HISTORY MUSEUM RENOVATION PROJECT D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 CONSIDERATION OF APPEAL OF PLANNING COMMISSION CONDITIONS FOR APPROVAL OF CONDITIONAL USE PERMIT 10-96; (PRICE: APPLICANT/APPELLANT; 2040 IRONWOOD AVENUE: LOCATION) D-2 CONSIDERATION OF APPEAL OF PLANNING DIRECTOR'S DECISION REGARDING NUMBER OF REQUIRED PARKING SPACES FOR FINAL PHASE OF MARINA SQUARE PROJECT D-3 CONSIDERATION OF COMMUNITY DEVELOPMENT BLOCK GRANT WASTEWATER RECLAMATION FEASIBILITY STUDY (PHASE ONE); INTERIM REPORT D-4 UPDATE OF WATER ALLOCATION MODEL AND ASSOCIATED POLICY DOCUMENT AMENDMENTS D-5 RESOLUTION NO. 78-96 TO INITIATE PROCEEDINGS TO FORM A LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT FOR THE NATURAL AREA OF NORTH • POINT SUBDIVISION 2 o ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT • REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 3 • • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - OCTOBER 28, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: ABSENT: STAFF: CLOSED SESSION William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger None Dave Howell David Hunt Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Unger moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:50 p.m. E-1 GOVERNMENT CODE SECTION 54956.9(A): CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION ♦ STATUS REPORT ON ALL PENDING LITIGATION. THIS IS A REPORT ON STATUS AND NO ACTION MAY BE TAKEN ON ANY MATTER NOT SPECIFICALLY LISTED. COUNCIL MAY REQUEST A SPECIFIC MATTER BE AGENDIZED IN THE FUTURE FOR ACTION. ♦ CITY OF MORRO BAY V. DON FUNK, SAN LUIS SUPERIOR COURT CASE NO. CV 079045. E-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. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) The meeting adjourned at 5:50 p.m. • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt Rick Algert Bridgett Bauer Greg Beuer Bill Boucher Jeff Jones Jim Koser Marci Laurent Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Harbor Director City Clerk Acting Police Chief Public Works Director Fire Chief Finance Director Admin. Assistant - Planning Recreation and Parks Director Acting Planning Director City Administrator Dave Howell led the Pledge of Allegiance. LIGHTEN UP Ed McCracken presented the "Lighten Up." MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: ♦ Harbor Director Rick Algert has been instructed to continue negotiations for assignment of Lease Sites 129W-133W, therefore Item A-5 (Resolution No. 77-96 Approving Assignment of Lease Site 129W-133W from Milt Guggia Enterprises to Ming Dynasty Inc.) has been pulled from the agenda. ♦ The City Attorney has been instructed to refrain from seeking an appeal on the Don Funk court case regarding release of public records. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 3 • ♦ The City Administrator will continue discussions with Bill Hayward to ensure a viable business will replace Hayward Lumber. ♦ Fire Department personnel assisted with the Malibu fire and are to be commended. ♦ Bridge closure is scheduled for November 13 through November 27, 1996, and delays will escalate as these dates draw closer. Councilmember Unger stated the school board debate will be carried on Channel 54. PUBLIC COMMENT Karen Stewart, Keystone Motel owner/manager, complained about messy eucalyptus street trees and broken sidewalks. She suggested a biologically minded school club research suitable trees for replacement since the City no longer maintains trees. Roger Ewing addressed Item D-1 (Consideration of Appeal of Planning Commission Conditions for Approval of Conditional Use Permit 10-96) stating the appellants are being put through the wringer regarding drainage on their property. He also addressed • Item D-2 (Consideration of Appeal of Planning Director's Decision Regarding Number of Required Parking Spaces for Final Phase of Marina Square Project) stating he opposes reducing the fees by $80,000. Colleen Wheeler, Natural History Association Executive Director, presented the status report on the renovation project underway at the Morro Bay Museum in the State Park. Rita DeBurnett stated many school children visit the museum, and noted the renovation project has support from Friends of the Estuary and the National Estuary Program. Sam Blakeslee spoke in support of the museum renovation project and compared it to the Monterey Aquarium as a learning resource. Rosalie Valvo encouraged Council support for the museum project. She also stated Steve Mathieu is the "Channel 54 guy" and is to be recognized and commended for his efforts. Charles Palmer addressed Item B-1 (Report on Water Rates and Future Costs) and Item B-2 (Request for Authorization to Execute Documents for Revenue Bond Refinancing on State Water Project), stating these items should be Public Hearings as they address financial concerns of citizens. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 4 • Leabah Winter stated she feels Frank St. Denis should apologize to Councilmember Crotzer because of his statements at the last City Council meeting. She noted neither Mr. St. Denis nor Mr. DeCarolis are Morro Bay residents and should not be writing scurrilous letters to the editor. Ms. Winter stated Mr. St. Denis was incorrect when he said State Water would cost less than $500 per acre foot, and she feels attacks on Advocates for a Better Community are unfair and must stop. She said water rates have increased 851 since 1994, not 40%, according to the water report, which is unclear and hard to read. Mary Phillips spoke in support of Proposition 218 stating she feels it will help bring citizens together. Lynda Merrill addressed Item B-2 (Request for Authorization to Execute Documents for Revenue Bond Refinancing on State Water Project) asked if the projected population growth on Page T-1 in the water report is a dream, a nightmare, or a mistake. She said the figure of 14,700 violates Measure F. Ms. Merrill encouraged citizens to shop locally and show support for local businesses while the bridges are closed. She added the political signs on Harry Rogers' property are in violation. Nelson Sullivan stated Measure L would provide more citizen control over public access television. • Bill Olson stated water rates must be kept in perspective by comparing them with other cities. He expressed support for the museum project. Ray McKelligott stated Don Funk has obtained three victories against the City in recent court actions. Harry Rogers stated it is the Council's job to run the City, and allowing appeals on all issues shows a lack of trust in Planning Commissioners. He objected to those who have complained about the political signs on his property, stating he has paid $25,300 in property taxes for this land which he.has not been allowed to use for 11 years. Susan Mullen asked the City to cease in lawsuits against Don Funk. She also referred to Item B-2, stating 14,700 does not match Measure F on Page T-2 of the water report. Ms. Mullen referred to Page T-8 of the report asking for clarification on ground water pumping. She referred to Page T-11, stating the report indicates water rates will increase. Ms. Mullen expressed support for collection of in -lieu parking fees from Marina Square. Steve Mathieu thanked Police Officer Steve Grindrod for the • Police Explorers who participated in the Scouting Halloween weekend at Lake Lopez. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 5 • Warren Dorn presented an American flag, made in Pasadena, to the City. DECLARATION OF FUTURE AGENDA ITEMS - None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF OCTOBER 14, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 STATEMENT OF CASH AND INVESTMENTS - SEPTEMBER 1996 Mr. Howell recommended Council receive the report for information. A-3 EXPENDITURE REPORT - SEPTEMBER 1996 Mr. Howell recommended Council approve the report as submitted. • A-4 RESOLUTION NO. 76-96 APPROVING APPLICATION FOR ENVIRONMENTAL ENHANCEMENT GRANT FOR QUINTANA ROAD BIKE LANES AND HABITAT RESTORATION Mr. Howell recommended Council approve Resolution No. 76-96 and authorize the Mayor to sign the application. A-5 RESOLUTION NO. 77-96 APPROVING ASSIGNMENT OF LEASE SITE 129W-133W FROM MILT GUGGIA ENTERPRISES TO MING DYNASTY INC. Mr. Howell recommended Council pull this item from the agenda. MOTION: Councilmember Unger moved the City Council approve the Consent Calendar with the exception of Item A-5. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) B. UNFINISHED BUSINESS B-1 REPORT ON WATER RATES AND FUTURE COSTS Public Works Director Bill Boucher presented a report requested by Council regarding the City's water rate structure which included components and current financial status, and potential future cost components not included in revenue/expenditure • consideration. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 6 • Councilmember Unger referred to Page 2, asking about the expense of running the desal facility. Mr. Boucher responded the plant cost more than $1,000 per acre foot in 1995, not counting debt service. Councilmember Anderson asked if there are any indications the City is not paying enough at this time to cover State Water costs. Mr. Boucher responded there could be an accumulation of factors over time, such as increased State Water debt service, loss of the school district, or Proposition 204. He noted he does not contemplate a rate increase of extreme magnitude. Councilmember Crotzer stated he does not believe people know the City is trying to double the amount of available State Water at this time. He expressed concern about infrastructure collapse because of artificially low water rates. Councilmember Crotzer asked if there is a capital financing and prudent reserves plan in place. Finance Director Jim Koser responded the current rate structure provides no funds for capital projects or reserves, except as listed in the report. • Councilmember Crotzer stated the State Water Project has historically been unable to meet deliveries, and the City is trying to double its allotment from 1,313 to 2,626 acre feet which will increase the City's obligation to pay for future improvements or catastrophic repairs. Councilmember Unger stated the City has been paying for the State Water Project since incorporation in 1964. She pointed out the citizens of Morro Bay voted for State Water, and she has been telling people rates look level at this time. Councilmember Crotzer stated passage of Proposition 204 could impact water costs. He noted he has informed people all along the cost of State Water would not be less than $500 per acre foot. Mayor Yates stated rates have been increased twice in the last four years, and obligations are being met. He said he believes future increases will not amount to more than 1% or 226, although there is no crystal ball to predict the future. Councilmember Anderson stated he requested this report because he is concerned rates do not cover costs. He said he wants to know what the rate increase would cover in order to determine what • other measures would be necessary. Councilmember Anderson stated MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 7 • money will be available for capital projects when the desal plant is paid for. No further action was taken on this item. Mayor Yates called for a break at 7:36 p.m.; the meeting resumed at 8:05 p.m. C. NEW BUSINESS STATUS REPORT ON NATURAL HISTORY MUSEUM RENOVATION PROJECT This report was presented during the Public Comment Period. D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 CONSIDERATION OF APPEAL OF PLANNING COMMISSION CONDITIONS FOR APPROVAL OF CONDITIONAL USE PERMIT 10-96; (PRICE: APPLICANT/APPELLANT; 2040 IRONWOOD AVENUE: LOCATION) Acting Planning Director Shauna Nauman reviewed the conditions for approval of Conditional Use Permit 10-96 which the Planning Commission approved at their September 16, 1996 meeting. The appellant, Geraldine Price, is appealing the requirements for a drainage way and paved driveway stating these are unnecessary • burdens which serve no beneficial purpose. Ms. Nauman recommended the City Council deny the appeal and uphold the Planning Commission's conditions of approval, and direct staff in regards to the refund of the appeal fee. Mayor Yates opened the hearing for public comment. Geraldine Price, appellant, requested the City Council remove the conditions of approval for drainage and parking requirements. She noted flooding has not been a problem on her property, except for the floods of 1995. Mrs. Price stated the addition of one room and one spout to the apartment will not create a change in water flow. She asked for less costly alternatives of surfacing the driveway stating the code allows gravel driveways. Mrs. Price also noted there is plenty of parking space on the property. She said her tenant would like to continue to park by his house to protect his car against neighborhood car burglaries. Mrs. Price also requested Council consider the refund of her appeal fee. Thad Baxley requested the City Council deny Conditional Use Permit 10-95, as a laundry room has been made into a studio apartment in violation of the building code. He said increased traffic has increased the amount of water run-off on his property. Mr. Baxley stated he asked Mrs. Price to install • additional drainage, and he was told it was his problem as he lived down the hill from her. He asked the Planning Commission MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 8 • to look at drainage and parking problems, and the decision was to install a drainage swale along the Price's back property line. Mr. Baxley stated the Price's tenant was told to park in back, along 160 feet of dirt driveway, which increases the water run- off problem. He asked the City Council to uphold Planning Commission findings. Everett Tunget spoke in support of the appellant's request. He said the City Council can show support for senior citizens by assisting the Prices. Ed McCracken stated concrete paving is expensive and sheds water, and he believes gravel would be more effective. Ray McKelligott spoke in support of the appellants and stated they should not have to build an expensive swale. He suggested the neighbors build a retaining wall to protect their property. Mr. McKelligott stated parking at the south end of the property would impose hardship on the north -end tenant. Mary Shon Lin stated she lives across the street from the Baxleys and she has watched the drainage problem worsen and cracks develop in the Baxley's house. She said water must be drained through a channeling system so downhill neighbors are not affected, and neighbors should make concessions in order to get • along. Louise Baxley stated the water became a problem when three new downspouts were pointed towards their property. She said the water run-off onto their property is a result from the addition on the Price's property, and relief has been a long time coming. Billie Beaudreau, 691 Ponderosa, stated Council should base their decision on facts. Harry Rogers recommended one solution may be to catch the excess water in a cistern and pump it back up the hill into the City system. Mary Phillips suggested refunding the appeal fee so Mrs. Price can install a gravel driveway, which would take care of the problem. Mayor Yates closed the hearing to public comment. Councilmember Anderson stated it appears the conflict between the neighbors is bigger than the issues before Council. He suggested the dirt driveway and turnaround area could be graveled and a swale dug to stop the drainage across the property. Councilmember Anderson stated Mrs. Price is willing to gravel the driveway and • dig a drainage swale to the street, and he believes this solution would eliminate 9816 of the problems. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 9 • Councilmember Unger stated when she looked at the property, she saw two very large erosion drainage areas coming from the downspouts on the Price property and pointing directly toward the Baxley property. She said she feels sorry for Mrs. Price's plight; however, the Baxley's backyard looks like the Mohave Desert and has huge cracks, and she understands the traffic problem. Councilmember Unger stated some of the traffic problem could be mitigated by moving one car around front, but Mrs. Price does not want to take such action. Councilmember Novak stated a drainage swale is a good idea and would only cost $400 to $500. She said she feels a gravel driveway would be a better solution than blacktop, and one car should park in front to help alleviate the problem. Councilmember Novak stated one of the City's service clubs could help the Prices with the project. Councilmember Crotzer stated both the Baxleys and Prices are willing to find solutions. He said minor grading would deflect water into the street, and more paved surface will exacerbate the problem. Councilmember Crotzer stated people prefer to park close to their living space. Mayor Yates asked if a swale would meet Planning Commission • conditions. Ms. Nauman responded the swale meets one condition, and the other condition is whether or not to pave the driveway and how far to pave it. She said Commissioners required paving only in the area designated on the map, and the driveway to the rear unit would remain dirt. Ms. Nauman stated the condition can be amended if the City Council decides to gravel all the way back. Councilmember Crotzer stated he does not believe the addition of gravel all the way back would be beneficial, as it would make walking more difficult and slow water absorption. He said there is some riprap in place, and more could be added along the property line to keep the water away from the Baxley property. Councilmember Unger stated she asked a paving contractor about clay soil and was told gravel would run off to the Baxley property, unless there is a drainage swale. She said the contractor recommended chip seal, which is more porous. Mayor Yates stated he believes gravel would be noisy and undesirable for the Baxleys. Councilmember Anderson stated there are many kinds of gravel, such as redrock and Number 2 road base, which is crushed granite. • He said proper base would slow water and but still be penetrable. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 10 • Mayor Yates asked how road base could slow water down. Public Works Director Bill Boucher responded the ordinance allows a range of surfacing, and he offered to work with the applicant to determine the best material without using asphalt or concrete. Mayor Yates asked the Baxleys why they feel the parking area needs to be surfaced, if the swale is acceptable to stop and channel the water. Mr. Baxley responded Commissioners felt a surface was necessary for the parking area. He said the number of vehicles traversing 160 feet is a problem, because the cars tear up the dirt and rain pushes it toward his garage. Mr. Baxley said he has to shovel the dirt, and the swale would help. Planning Commission Chairman Dave Elliott said the intent was to mitigate traffic along the back of the property. He said the tenant traverses Ponderosa all the way back and parks east -west alongside Unit A; however, he could access the area from Ironwood if the fence was removed. Chairman Elliott stated the intent was not to pave the entire area, but to park everyone off Ponderosa so as not to transit the entire area. Mayor Yates stated the most important item is to alleviate the • water problem, and Mrs. Price can work with both the Planning and Public Works Departments to find the best method to construct the drainage swale. Councilmember Anderson stated both tenants will park as close to their doors as possible, whether there is paving or not, which is why he would like some sort of surfacing on top of the adobe. MOTION: Councilmember Anderson moved the City Council condition a swale dug along the adjoining back property line to divert water to the street instead of across the property line; and gravel, redrock, or use some sort of surfacing material to be placed on top of the adobe to the back unit, as well as alongside the unit closest to Ponderosa, as determined by the Planning Department to encourage water to soak in. The motion died for lack of a second. MOTION: Mayor Yates moved the City Council deny the appeal for the drainage swale, which Mrs. Price has already agreed to; the drainage swale will be adequately maintained to prevent water going from the Price property to the Baxley property; and further moved the City Council will not require the parking area to be paved. The • motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 11 MOTION: Mayor Yates further moved the City Council refund the appellant half the appeal fee. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) D-2 CONSIDERATION OF APPEAL OF PLANNING DIRECTOR'S DECISION REGARDING NUMBER OF REQUIRED PARKING SPACES FOR FINAL PHASE OF MARINA SQUARE PROJECT Mayor Yates stepped down due to a conflict of interest. Acting Planning Director Shauna Nauman reviewed the determination on the number of parking spaces required to complete the Marina Square project located at 601-699 Embarcadero, which is being appealed by the project owner, Stan Trapp. Ms. Nauman stated reducing the requirement as requested by the appellant would reduce the funds available to resolve parking problems identified by the City. She recommended the City Council deny the appeal and uphold the Director's determination that an in -lieu payment of $248,000 for 62 parking spaces is required to complete the Marina Square project, and direct staff whether or not to refund the appeal fee. Councilmember Crotzer asked if interest payments have been received as requested in the City Attorney's October 3, 1996 • letter. City Attorney David Hunt responded interest payments have been made since July 1996. Councilmember Unger asked if a precedent has been established by allowing another applicant to make payments on in -lieu fees. Mr. Hunt responded a certificate of occupancy cannot be issued unless all parking in -lieu fees are paid. Vice Mayor Novak opened the hearing for public comment. Stan Trapp, Marina Square owner, stated he thought an agreement had been reached in March with Mr. Koser on a monthly payment schedule of in -lieu fees. He said it became apparent there was a large discrepancy between his calculations and Mr. Koser's. Mr. Trapp acknowledged a minimum balance of $162,000 and agreed to pay retroactive payments in starting in July. He said he had not heard of a fixed seating option for the restaurant, and noted the TCBY requirement for 11 seats is incorrect. Mr. Trapp stated the office space is only used intermittently by himself, and the requirement for three spaces is excessive. Ed Ewing stated staff is wrong to charge three spaces for an • office used intermittently, but the restaurant and retail spaces should follow the same assessment procedure as everyone else. He MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 12 • said the property belongs to the State, and the Tidelands Grant prohibits discrimination. Leabah Winter stated TCBY is more crowded than the delicatessen ever was, and lunch is served as well. Vice -Mayor Novak closed the hearing to public comment. Mr. Hunt noted the real issue is interpretation of the City ordinance, which states either fixed table seating or floor space can be used, whichever is greater. He said TCBY is in phase two, which has been completely finaled, while the restaurant is in phase one, so changes to TCBY would not be allowed. Mr. Hunt stated it is possible to seek an exception for the office space. Councilmember Unger asked if the Council has the discretion to use either number of seats or square footage. Mr. Hunt responded Council is bound by the ordinance, but discretion is provided in the interpretation of square footage. Councilmember Unger stated there is a great deal of square footage which will not be used by guests, including the wait area, the kitchen, hallways, freezers, and refrigerators; she said one parking space could be eliminated because of the unused • space. Mr. Hunt stated Council can perform the calculations, keeping in mind staff has been using a different interpretation for other buildings. Councilmember Anderson stated he paid a lower rate on the Anderson Building office space upstairs and a higher rate on the retail stores downstairs, for a total of $52,000. He said the people who use the offices are the same ones who run the stores. Ms. Nauman stated spaces in the past were determined by total gross floor area, and calculated at one space for 300 square feet. She said it has been determined the calculation should be one space for 250 square feet. Councilmember Anderson said this discussion revolves around either six or nine restaurant spaces and fixed tables or square footage. He said the idea of actual use of the tables with a built-in penalty is appealing, if full payment of past due amounts is collected. Mr. Hunt stated the balance due must be collected before issuance of certificate of occupancy. • Councilmember Unger asked about the difference between Otter Rock and Hoppe's. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 13 • Ms. Nauman stated Otter Rock seating was calculated on gross floor area. She said original approval was for a take-out restaurant, but a higher table count resulted from permit modification. Ms. Nauman said there was also the issue of indoor/outdoor ratio. Councilmember Crotzer stated the only area open to equivocation would be office space. He said he would be willing to give up two parking spaces if Mr. Trapp will provide guarantees. Vice -Mayor Novak asked if TCBY's 11 spaces count toward the total for the entire complex. Ms. Nauman responded certificates of occupancy have already been granted for phase one, and the number of spaces was based on the tenant at the time. She said spaces run with the unit, and it is set up to become a restaurant. Ms. Nauman noted the only items left are Hoppe's and office space. Councilmember Unger stated Council is addressing three spaces for the office and 56 indoor and two outdoor spaces for the restaurant. Ms. Nauman pointed out there was one space floating around, • because of staff error. She said one tenant lacks a space. Councilmember Crotzer stated parking space cost is under- estimated, and the true cost is closer to $15,000 each. He believes $4,000 is user-friendly; however, he is willing to listen to arguments to reduce office requirements. Vice -Mayor Novak stated usable space by restaurant customers is less than calculated by staff. She said she feels the number of spaces required for offices is excessive throughout the Embarcadero. Vice -Mayor Novak stated there are not enough categories and she would support a different method of calculating food service area requirements. She said sales tax revenues and a percentage of the gross are being received by the City, and people are going out of business. Councilmember Anderson stated a lot of businesses have gone through the process and there would have to be some unique findings in this case. He said all restaurants have space not used for seating. Councilmember Anderson said parking needs to be built, and the money needs to be collected. He said he thought parking payments in the past were a mistake. Councilmember Unger stated the City is not in a position to grant more time to Mr. Trapp. She said Marina Square has an obligation • to pay the fees. Councilmember Unger stated the City liened Mr. Trapp's property to assure receipt of fees. She said the 7 • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 14 requirement for three office spaces is too much, and the maximum is being squeezed out of the applicant as far as the restaurant is concerned. MOTION: Councilmember Crotzer moved the City Council deny Mr. Trapp's appeal and a special finding be made that the office space be stipulated to be used by only one individual, that the improvements on -site be stipulated by agreement signed by the City Attorney, should the use increase beyond that, one parking in -lieu space will be added on to the sum total recommended by staff minus two. The motion died for lack of a second. Vice -Mayor Novak stated she is seeking Council consensus on the number of office spaces. Councilmember Crotzer stated Council would have to make a finding this is a special case and should be calculated differently than all other waterfront projects. Vice -Mayor Novak stated the general office space is used only by Mr. Trapp, and Mr. Trapp is willing to sign an agreement confirming limited use. Ms. Nauman pointed out restaurant spaces are calculated on areas used by customers only. She said the ramp, waiting area, bathrooms, and kitchen were not counted for Hoppe's in -lieu fees. Councilmember Anderson stated returned if parking solutions other businesses would rather whole Embarcadero suffers Councilmember Anderson stated percentage of gross sales at special treatment according to the in -lieu fees will have to be are not found. He said he and solve the parking problem, and the because of inadequate parking. i previous Council had adjusted the Marina Square, which amounts to some people. MOTION: Councilmember Crotzer moved the City Council deny the appellant's request for appeal and follow staff recommendations with reduction of total number of parking spaces required by two, with special findings the office space is in fact only used by one individual; staff will provide findings conditioned upon increased use, which will result in payment of further in -lieu fees; and staff will provide a resolution which includes findings and a clear statement of intent. The motion was seconded by Councilmember Anderson and carried with Vice -Mayor Novak voting no and Mayor Yates abstaining. (3-1-1) • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 15 MOTION: Vice -Mayor Novak moved the City Council direct staff to bring back an ordinance allowing for a schedule for payment of parking in -lieu fees. The motion was seconded by Councilmember Unger and failed with Councilmembers Crotzer and Anderson voting no and Mayor Yates abstaining. (2-2-1) Vice -Mayor Novak said this is an unusual situation because a piece of property across the street can be used as a collateral. She said a lot of money is involved and business owners should not be forced to come up with so much cash at one time. Councilmember Crotzer said the burden is increased on the General Fund when parking requirements are decreased. Councilmember Anderson stated the parking fees are financed along with all the other construction costs. MOTION: Councilmember Crotzer moved the City Council deny the request for return of the $100 appeal fee. The motion was seconded by Councilmember Anderson and carried with Councilmember Unger voting no and Mayor Yates abstaining. (3-1-1) Mayor Yates returned to his seat with Council. B-2 REQUEST FOR AUTHORIZATION TO EXECUTE DOCUMENTS FOR REVENUE BOND REFINANCING ON STATE WATER PROJECT Public Works Director Bill Boucher stated approval of execution of documents for revenue bond refinancing allows the City to formalize participation in CCWA refinancing of the State Water Project Local Facilities revenue bond realizing annual savings of approximately $33,000 per year starting in Fiscal Year 1997/98 and savings over the term of the bond in the total estimated amount of $888,000 through Fiscal Year 2022/23. Mr. Boucher recommended the City Council authorize the City Administrator to execute documents on behalf of the City. MOTION: Councilmember Unger moved the City Council authorize the City Administrator to execute documents for revenue bond refinancing of the State Water Project. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 16 D-3 CONSIDERATION OF COMMUNITY DEVELOPMENT BLOCK GRANT WASTEWATER RECLAMATION FEASIBILITY STUDY (PHASE ONE); INTERIM REPORT Public Works Director Bill Boucher stated the primary purpose of the Wastewater Reclamation Feasibility Study is to determine whether wastewater reclamation may be of economic benefit to the City in terms of job and business retention and expansion. He added the study is fully funded through a Community Development Block Grant and current water fund revenues. Mr. Boucher recommended the City Council review and accept the report as interim, and direct staff to complete the study and return for consideration of acceptance of the final report. Mayor Yates opened the hearing for public comment. Dave Paradies, Morro Bay National Estuary Program Director, stated Chorro Creek used to have steelhead and other important species, and reduced stream flow has been considered detrimental to the bay since the 1970s. He said reclamation could save jobs, keep the creek in good shape, and provide a more reliable City water supply. Mr. Paradies stated high -quality water can be put back into the watershed instead of pouring it into the sea and everybody would win. He said he hopes details of engineering and economic studies will result in a reclamation project. John Barta stated streamflow and pumping tests may indicate ground water pumping does not change the status of Chorro Creek, and reclamation may not be necessary. He said he supports the basic concept of providing habitat for steelhead and other species. Ed Ewing stated he favors the project because he does not support dumping any waste into the ocean. He said he questions how the City will obtain the $7 million necessary for the project. Mr. Ewing stated adverse impacts to Cayucos should be avoided, and he urged the City to investigate funding sources. David Phillips, Cayucos Sanitary District Manager, stated he received the staff report very late, and he expressed concern about the adverse financial impacts on Cayucos. He said the City should have sought input from the Sanitary District before the report was presented to the City Council. Mayor Yates closed the hearing to public comment. Councilmember Unger agreed with Mr. Phillips about consultation with Cayucos when both communities are involved. She said she will not support the project until Cayucos has had time to study the proposals. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 17 • MOTION: Councilmember Novak moved the City Council accept the report, direct staff to complete the study, and return for consideration of acceptance of the final report. The motion was seconded by Councilmember Crotzer and carried with Councilmember Unger voting no. (4-1) MOTION: Councilmember Crotzer moved the City Council go past 11:00 p.m. in order to discuss Items B-3 and D-5. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) B-3 ORDINANCE NO. 452 - AMENDMENT TO MORRO BAY MUNICIPAL CODE CHAPTER 17.36 (ZONING) TO IMPLEMENT THE DESIGN GUIDELINES PORTION OF THE WATERFRONT MASTER PLAN; (SECOND READING AND ADOPTION) Councilmember Anderson stepped down due to a conflict of interest. Acting Planning Director Shauna Nauman introduced Ordinance No. 452 for second reading and adoption, and requested the City Council conduct the second reading by title and number only, and adopt Ordinance No. 452 announcing findings and adopting amendments to Title 17 (Zoning) of the Morro Bay Municipal Code. • MOTION: Councilmember Crotzer moved the City Council have Ordinance No. 452 read by title and number only. The motion was seconded by Councilmember Novak and carried with Councilmember Anderson abstaining. (4-0-1) City Administrator Dave Howell read Ordinance No. 452 by title and number only. MOTION: Councilmember Crotzer moved the City Council adopt Ordinance No. 452 amending Chapter 17.36 of the Morro Bay Municipal Code to implement the design guidelines portion of the Waterfront Master Plan. The motion was seconded by Councilmember Novak and carried with Councilmember Anderson abstaining. (4-0-1) Councilmember Anderson returned to his seat with Council. D-5 RESOLUTION NO. 78-96 TO INITIATE PROCEEDINGS TO FORM A LANDSCAPING & LIGHTING MAINTENANCE ASSESSMENT DISTRICT FOR THE NATURAL AREA OF NORTH POINT SUBDIVISION Recreation and Parks Director Andrea Lueker reviewed the formation of a Landscaping and Lighting Maintenance Assessment District for the natural area of North Point Subdivision. She recommended the City Council adopt Resolution No. 78-96 declaring • Council's intent to initiate the proceedings to form such assessment district. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 28, 1996 PAGE 18 Mayor Yates opened the hearing for public comment; there were no comments and the public comment period was closed. MOTION: Mayor Yates moved the City Council approve Resolution No. 78-96 to initiate proceedings to form a Landscaping & Lighting Maintenance Assessment District for the natural area of North Point Subdivision. The motion was seconded by Councilmember Anderson and carried with Councilmember Unger voting no. (4-1) D-4 UPDATE OF WATER ALLOCATION MODEL AND ASSOCIATED POLICY DOCUMENT AMENDMENTS This item was continued to the November 12, 1996 City Council meeting. F. ADJOURNMENT The meeting adjourned at 11:08 p.m. Recorded by: • Bridgett Bauer City Clerk 0 City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. PUBLIC SESSION - OCTOBER 14, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF SEPTEMBER 23, 1996 A-2 CONSIDERATION OF POLICY REGARDING WATER BILL INSERTS & MESSAGES A-3 RESOLUTION NO. 73-96 MODIFYING PARKING RESTRICTIONS OF OVERSIZED VEHICLES ON THE EMBARCADERO A-4 RESOLUTION NO. 74-96 OPPOSING PROPOSITION 218 A5 REQUEST FOR FACILITY USE FEE WAIVER FOR FUND RAISER 1 A-6 REQUEST FOR FACILITY USE FEE WAIVER FOR CANDIDATES FORUM *-7 REJECTION OF CLAIM AGAINST THE CITY; (GRIGSBY) A-8 PROCLAMATION DECLARING OCTOBER 23 -31, 1996 AS "RED RIBBON WEEK" B. UNFINISHED BUSINESS - NONE C. NEW BUSINESS C-1 COUNCILMEMBER REQUEST FOR COUNCIL REVIEW OF PUBLIC TREE REMOVAL ORDINANCE REVISION; (CROTZER) C-2 COUNCILMEMBER REQUEST FOR COUNCIL REVIEW OF WATER RATE INFORMATION; (ANDERSON) D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 CONSIDERATION OF RENEGOTIATING SONIC CABLE TV FRANCHISE AGREEMENT D-2 APPROVAL OF CONDITIONAL USE PERMIT 60-95/COASTAL DEVELOPMENT PERMIT 31-95 FOR CONSTRUCTION OF TWO MINIATURE GOLF COURSES AND A 2,238 SQUARE FOOT ARCADE FACILITY; (231 ATASCADERO ROAD) D-3 ORDINANCE NO. 452 - AMENDMENT TO MORRO BAY MUNICIPAL CODE CHAPTER 17.36 (ZONING) TO IMPLEMENT THE DESIGN GUIDELINES PORTION OF THE WATERFRONT MASTER PLAN; (FIRST READING/INTRODUCTION) WADJOURNMENT `l THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. K C� • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell Philip Sinco Rick Algert Bridgett Bauer Bill Boucher Jeff Jones Jim Koser Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator Assistant City Attorney Harbor Director City Clerk Public Works Director Fire Chief Finance Director Recreation and Parks Director Interim Planning Director Bill Boucher led the Pledge of Allegiance. LIGHTEN UP John Barta presented the "Lighten Up". MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: ♦ Notice has been given that Hayward Lumber will be closing their Morro Bay store by the end of this month; ♦ Congratulations to the Harbor Festival for a huge success; ♦ Chorro Creek Bridge is progressing and closure of South Bay Boulevard will occur two weeks before Thanksgiving; ♦ Public Works Director Bill Boucher reports the Public Works Department will connect the new Kern Avenue water pressure reducer on October 17th, and the work will result in low or no water pressure to higher elevation customers for about five hours. He said the old reducer has become unreliable and must be replaced. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 2 • Councilmember Novak made the following announcements: ♦ Thanks to the Finance Department for providing donation information on the Yerba Buena stoplight in the water bills; ♦ She attended the California Marine Affairs and Navigation Conference with Harbor Director Rick Algert, which resulted in $300,000 for dredging, and $5 million secured for breakwater reconstruction of the south jetty and dredging the following fiscal year; ♦ She contacted Chevron, which is undergoing an air quality mitigation program, about funding conversion of the Police fleet to propane. She said 30 cents per gallon will be saved, although mileage will be slightly lower; however, there will be fewer maintenance requirements and longer engine life. Councilmember Unger asked Councilmember Novak about the conversion costs from gasoline to propane per vehicle. Councilmember Novak responded it is $1,200 to $1,500 per vehicle. Councilmember Crotzer noted there is a discrepancy between Council's decision and the ballot initiative "Measure M" wording • which is not entirely accurate. He said information should be provided through public review rather than through administrative decisions. Mayor Yates responded to Councilmember Crotzer's comment, stating a memo from the City Administrator indicating a mailout will contain the proper language. He said wording was left out which committed the City to use the money from the tax increase for Police and Fire Services and Public Transportation. City Administrator Dave Howell stated the ballot measure should contain the language approved by the City Council, but a few words were inadvertently left out. He said he has authorized an addendum which will be mailed to all registered City voters at a cost of $3,000. Mr. Howell added the measure has to contain the language approved or the measure could be invalidated if approved by the voters. Councilmember Crotzer stated City money should not be used to promulgate the measure's passage to the voters via a mailer at City expense, and he does not want the measure to pass. He wants to seek an opinion from the City Attorney on the propriety of such expenditure. Mayor Yates responded the City is not promulgating passage of the measure, as only the language is being corrected, not a position • pro or con. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 3 • Councilmember Crotzer stated a mailer to every City voter should offer a balanced view of both sides. He also noted public discussion being viewed on Channel 54 would be preferable. Mayor Yates said he cannot see where the measure is being promoted, if Council's language is clarified. Councilmember Crotzer said another mailer should be sent which states the measure should not pass. He said this procedure is not fair to himself or Steve Mathieu who co-authored the argument against this measure. Councilmember Anderson stated improper language would result in a challenge if the measure passes, and Council is duty-bound to provide correct language to the voters. He does not know how the error occurred, but it does not matter at this point. Assistant City Attorney Philip Sinco responded he has not had enough time to conduct an analysis, but he agrees about the necessity to correct the language. PUBLIC COMMENT Roger Ewing stated the City Council should change the law on the • appeal process regarding tree removal on public property. He urged reconsideration of the issue, because public access to the democratic process is being denied. Mr. Ewing stated dialogue has been opened with Sonic Cable, thanks to Steve Mathieu, and he feels the City should move forward with renegotiation of Sonic's contract. Nancy Bast addressed Item C-1 (Councilmember Request for Council Review of Public Tree Removal Ordinance Revision) stating the City Council's decision to abolish the private property tree ordinance also emasculated the law governing public trees. She said the Planning Commission was given sole discretion on the fate of any tree on public land. Ms. Bast stated the Front Street trees received a death sentence because they were messy and blocked the view of private property owners. Rosalie Valvo stated trees support hummingbirds and other life and provide oxygen. She said cutting down trees on the Embarcadero arbitrarily removed a lot of life, and now the area is barren. Frank St. Denis stated Councilmember Crotzer has accused him of lying about State Water, and he feels this level of conduct needs to be brought to both voters' and Council's attention. He said an apology is due the 64% of Morro Bay voters who voted for State Water three times. Mr. St. Denis stated the will of the people • will be recognized soon when State Water arrives. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 4 Mary Phillips addressed Item A-4 (Resolution No. 74-96 Opposing Proportion 218) stating it is part of Proposition 13 and gives local cities the right to vote on certain tax issues. She also said the City may not be able to sell Police cars to other areas if they do not burn gasoline. Ms. Phillips objected to the way the water disinfection letter was sent out. Harry Rogers expressed his support for the miniature golf course project. He also stated the closure of Hayward Lumber results in the loss of 20 jobs as well as the second largest sales tax producer in the City. Mr. Rogers said there was a reference to rampant development in the "Advocate", and asked where such development could occur. He said years of no -growth and big development scare tactics have now resulted in the loss of Hayward Lumber. Lynda Merrill addressed Item A-2 (Consideration of Policy Regarding Water Bill Inserts & Messages) asking about outside special interests being able to insert messages thus opening Pandora's Box. She expressed support for Item A-8 (Proclamation Declaring October 23-31 as "Red Ribbon Week"). Ms. Merrill asked for the prohibition of alcohol during City events where children are present. She also referred to the Public Works Advisory Board packet, which contains a letter stating the State Water • Project cannot deliver 1,313 acre feet, so twice as much must be requested as insurance, and she does not feel State Water is reliable. Ralph Gunther stated he was issued a citation for operating a parking lot for his employees and ordered to close it. He said he has been threatened with arrest if he opened the lot during Harbor Festival, but another Embarcadero property owner has been allowed to open a parking lot with no citations. Mr. Gunther stated the present administration has subjected Embarcadero businesses to selective enforcement by the Police Department. He noted rents have been lowered for, and parking in -lieu fees have not been collected from, certain leaseholders. Mr. Gunther stated 20 new businesses have opened without parking. Rudy Lemich stated a great number of accidents have occurred at the intersection of San Joaquin and Greenwood Avenue; he provided copies of a letter and accident photographs to Council. He requested Public Works and the City Council address the placement of stop signs at this intersection, as this section is a major route for school children. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 5 • John Barta stated the Planning Commission held two discussions on two trees on the future Front Street parking lot. He said parking lot plans would not allow the trees to remain, and Commissioners decided to let the applicant to remove one of two trees. Mr. Barta stated three trees will be required as replacement, one of which will be quite large. Steve Mathieu stated corrections to "Measure M" should be considered carefully, as the absentee ballots have already been mailed to voters. He said there will be an unfair marketing influence if the correction mailer goes out. Mayor Yates closed the public comment period. Councilmember Crotzer stated State Water allotment increases City obligation to the statewide system, which could impact the City substantially costwise. DECLARATION OF FUTURE AGENDA ITEMS - NONE. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. • A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF SEPTEMBER 23, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 CONSIDERATION OF POLICY REGARDING WATER BILL INSERTS & MESSAGES Mr. Howell recommended Council adopt the proposed policy regarding the availability and use of water bills to disseminate information to Morro Bay water customers. A-3 RESOLUTION NO. 73-96 MODIFYING PARKING RESTRICTIONS OF OVERSIZED VEHICLES ON THE EMBARCADERO Mr. Howell recommended Council approve Resolution No. 73-96 modifying parking restrictions of oversized vehicles on the Embarcadero. A-4 RESOLUTION NO. 74-96 OPPOSING PROPOSITION 218 Mr. Howell recommended Council approve Resolution No. 74-96 opposing Proposition 218. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 6 • A-5 REQUEST FOR FACILITY USE FEE WAIVER FOR FUND RAISER Mr. Howell recommended Council deny the request for facility use fee waiver for the Quota Club Fashion Show fund raiser. A-6 REQUEST FOR FACILITY USE FEE WAIVER FOR CANDIDATES FORUM Mr. Howell recommended Council approve the request for facility use fee waiver for the Chamber of Commerce Candidates Night scheduled for Wednesday, October 16, 1996. A-7 REJECTION OF CLAIM AGAINST THE CITY; (GRIGSBY) Mr. Howell recommended Council reject the claim against the City made by Timothy Grigsby on September 3, 1996. A-8 PROCLAMATION DECLARING OCTOBER 23 -31, 1996 AS "RED RIBBON WEEK" Mr. Howell recommended Council adopt the Proclamation declaring October 23 - 31, 1996 as "Red Ribbon Week". Councilmember Crotzer pulled Items A-1, A-2, A-4 and A-5 from the Consent Calendar. • MOTION: Councilmember Crotzer moved the City Council approve the Consent Calendar with the exception of Items A-1, A-2, A-4, and A-5. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF SEPTEMBER 23, 1996 Councilmember Crotzer referred to Page 18, Paragraph 2 and changed the word "length" to "height". Councilmember Novak referred to Page 2, Paragraph 4 stating the Yerba Buena Stoplight account is with the City of Morro Bay, not Mid -State Bank. She also referred to Page 7, stating the Harbor Festival could supply more money for the trolley if they received an increase in gate receipts. Councilmember Unger referred to Page 14, Paragraph 1, stating one leg of the diagram of the building plan would be cut off, not 33 steps. MOTION: Councilmember Unger moved the City Council approve the September 23 minutes as amended. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) n U MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 7 • A-2 CONSIDERATION OF POLICY REGARDING WATER BILL INSERTS & MESSAGES Councilmember Crotzer asked for clarification of Item A-2. Finance Director Jim Koser reviewed the proposed policy regarding the availability and use of water bills to disseminate information to Morro Bay water customers. Councilmember Unger stated she supports providing the public with City information; she asked if added costs have been budgeted. Mr. Koser responded the costs would fall under the category of operating supplies; departments have other means of providing bulk mailing, albeit more expensive than this one. Councilmember Unger stated these additional costs could have been assumed at budget time, but there was no mention of increasing costs for water bills. She said the next Council will be in the red next year if expenditures keep rising, even by small increments. Councilmember Crotzer stated he feels "other matters of general interest" referred to municipal activities, and asked for clarification from the City Administrator. • Mr. Howell responded it would be prudent for Council to limit insertions or enclosures to the water bill to interests of City concern. He said inclusion of non-profit mailers could open Pandora's Box, and only City -sponsored events should be considered. Mr. Howell said the overall cost of this program is substantially less because it is being accomplished without one employee. Councilmember Crotzer stated a non-profit agency funded by the City should be included if it wanted to provide something of interest as far as civic affairs are concerned. Councilmember Novak stated it is necessary to look at the total picture, as the new water billing system is computerized with bar codes, resulting in elimination of a lot of staff time. She said both money and staff time will be saved, and the general public will be helped because envelopes are now supplied. Councilmember Anderson suggested insertion of "City" in front of "matters" in No. 2(B) of the Policy Statement. He said the elimination of one staff position saves a great deal more than additional mailing costs. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 8 • Mr. Koser stated the cost would have been $1,370 if a bulk rate mailing had been accomplished separately. He said departments include amounts for communications within their budgets, and the new system will save $30,000 per year because of reduced labor. MOTION: Mayor Yates moved the City Council adopt Item A-2 with the following changes to the Policy Statement: No. 2(B) will have the word "City" between "other" and "matter"• and strike No. 4 entirely. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) A-4 RESOLUTION NO. 74-96 OPPOSING PROPOSITION 218 - "THE RIGHT TO VOTE ON TAXES ACT" Councilmember Crotzer stated he would like to open discussion in order to address Ms. Phillips' concern about Proposition 218. Councilmember Novak stated Proposition 218 could cause Morro Bay to lose thousands of dollars if a special election is necessary to pass everyday fees deemed necessary by Council. She pointed out only property owners would be allowed to vote on measures tied to the land, and renters would not be able to vote. Councilmember Unger stated her overall duty is to the City per se, and this proposition would be crippling and would deprive the • City of a great deal of funds. MOTION: Councilmember Novak moved the City Council approve Item A-4, Resolution No. 74-96 opposing Proposition 218. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) A-5 REQUEST FOR FACILITY USE FEE WAIVER FOR FUND RAISER Councilmember Crotzer addressed Item A-5, stating Quota Club donates funds to many local charities and members usually make money through bake sales. He said the waiver should be granted. Councilmember Anderson stated there are many worthy groups and organizations which would be encouraged to seek fee waivers if this one is granted. He said the minimum fee covers basic services. Councilmember Novak stated precedent should not be set by granting a waiver. Recreation and Parks Director Andrea Lueker explained the four fee categories: Non-profit groups, who receive the lowest fees; residents of Morro Bay; non-residents of Morro Bay; and profit - making groups. She said the numbers are based on direct facility costs: energy, maintenance, and staff person. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 9 . MOTION: Mayor Yates moved the City Council approve Item A-5, rejecting the request by Quota Club for a fee waiver. The motion was seconded by Councilmember Novak and carried with Councilmembers Unger and Crotzer voting no. (3-2) B. UNFINISHED BUSINESS - NONE. C. NEW BUSINESS C-1 COUNCILMEMBER REQUEST FOR COUNCIL REVIEW OF PUBLIC TREE REMOVAL ORDINANCE REVISION; (CROTZER) Councilmember Crotzer stated public street trees are a matter of public trust and can be quite valuable. He said statistics have shown trees of a certain diameter can be worth upwards of tens of thousands of dollars. Councilmember Crotzer stated appeals of removal of public trees by private property owners should be heard by the elected officials on the City Council. He said only elected bodies should be responsible for allowing the killing of public trees. Public Works Director Bill Boucher stated the provision for Planning Commission review was contained in the original 1965 ordinance or the 1982 revision. He said the last revision to • this portion of the Municipal Code added a definition of drip line and clarified grounds for City removal of a healthy tree. Mayor Yates pointed out the ordinance has been in effect for 30 years, and it is not true this Council put this law into effect. Councilmember Anderson stated the City Attorney made it clear Council had no option and the decision had been made. Councilmember Unger stated there should not be anything which is not appealable to the Council as the last authority. She said she feels everything should be fair game for the people of the City, and said she supports bringing this issue back and trying to change it. MOTION: Councilmember Crotzer moved the City Council delete the language in the current ordinance which states "sole discretion", and replace it with common legal language indicating an appeal to the City Council is possible. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) 0 • r1 LJ • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 10 C-2 COUNCILMEMBER REQUEST FOR COUNCIL REVIEW OF WATER RATE INFORMATION; (ANDERSON) Councilmember Anderson requested Council support for the preparation of a report from the Public Works Director and Finance Director regarding City water rates as far as any possible increases in the next few years. Councilmember Crotzer stated new tanks are being built and are not in the financing package for State Water, and requested clarity on water tank costs. He said no report has satisfied everyone, and there may be political reasons for any municipal body not to admit what the future holds for rate increases. He said people thought State Water would be cheaper than it is, and rates will continue to go up. Councilmember Anderson stated whether there was State Water or on water rates now and whether water costs. new tanks would be necessary not, but he wants clarification or not those rates will cover Councilmember Unger stated the people have voted three times for State Water and the Council must comply. She said the question should be: what can be done to mitigate costs? Councilmember Unger stated costs are fixed for construction, labor, and pipe. She said the City is legally and morally obligated to bring in State Water, and environmental mitigation is the only cost which has any give and take. Councilmember Unger stated the County has always placed the cost at $950 to $1,480 per acre foot, which is holding true. She said money from the last water rate increase is paying for the big tank under construction. Mayor Yates stated he has stated all along that water rates would double or worse, and everyone knew rates would go up; however, he believes the rates are now stable He said the report will be provided and then be attacked as political. Councilmember Crotzer stated there were three votes for State Water, but one vote overwhelmingly preferred Nacimiento. He said some people stated State Water would cost $480 per acre foot, which is misleading. MOTION: Councilmember Anderson moved the City Council receive a report from the Public Works Director and Finance Director regarding water rates, and whether or not raises already in place are meeting expenses as anticipated. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates called for a break at 7:45 p.m.; the meeting resumed at 8:05 p.m. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 11 • D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONSIDERATION OF RENEGOTIATING SONIC CABLE TV FRANCHISE AGREEMENT Public Works Director Bill Boucher reviewed the issues Council should consider if they choose to renegotiate the Sonic Cable Franchise Agreement. He requested Council direct staff accordingly. Mayor Yates opened the hearing for public comment. Mary Phillips said she would get the tapes because she does not believe in cable. She said she feels television should be free. Bill Olson stated he has been a member of the Cable Franchise Board since 1988. He said in 1990 and in 1993, Request for Proposals were sent out, but cable companies will not infringe upon each others territories. Mr. Olson stated Sonic has renewed 15-year contracts with the City of San Luis Obispo and other cities, and he suggests renegotiating for less than ten years. Roz Rogoff stated Sonic offered to wire three buildings, and she believes this offer with a definite timeframe should be included in the contract. She said Sonic would like to keep viewers and • is willing to offer public access TV; she said the City should take advantage of Sonic's willingness. John Barta stated the cable television franchise is the biggest single item paid for by citizens next to water rates. He said negotiations should place a specific end on negotiations regarding capital issues, as there is an enormous wiring system in the City. Mr. Barta stated Sonic will capitalize the cost of the wiring over the life of the contract, and Sonic will have paid for the economic life of those assets by the end of the contract. He said there is also an issue of overhead wires, and many streets have two sets of telephone poles with wires crossing from both sides of the street in both directions, resulting in a fishnet effect. Mr. Barta noted it would be nice to negotiate procedure for creating less of an overhead mess, which may involve undergrounding utilities. Steve Mathieu stated the community access channel aired Morro Bay High School's football game for the first time this weekend, and 16 hours of Harbor Festival is being edited for broadcast. He said he would pursue renegotiation with Jeff Smith of Sonic Cable because Morro Bay owes Sonic $28,000 in overpaid franchise fees, although Mr. Smith has offered to continue to pay the increased rate for a ten-year contract. Mr. Mathieu stated community access programming should be continued as economically as possible. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 12 • Janice Peters stated there were problems with Sonic in 1990 during negotiations, and the company was not willing to provide public access. She said much has changed over the past five years, and Sonic is much more agreeable about public access. Ms. Peters stated she urges her neighbors to watch Channel 54, and she would like to see live broadcasts of public meetings. She advocated a five-year contract because of technology changes. Mayor Yates closed the meeting to public comment. He said public access should be part of any contract negotiation and the City Council should provide policy parameters. Mayor Yates stated any citizen should be able to air programs, as long as they are not pornographic. He said he is absolutely opposed to the closing of Sonic's local office. Mayor Yates stated he agrees with Mr. Barta that excess wires should be addressed when the contract ends. He noted Sonic states the City has underpaid; however, it is merely a claim and a determination has not been made by the City. Councilmember Anderson stated there are three legs to PEG, and he would like to know how difficult it would be to have three separate channels. Councilmember Unger stated some streets look as if they have fishnet on poles, and she would like all wires underground. She • said there has been a suggestion to place questionnaires in the water bills regarding Sonic, and a fairly good return could be expected. Councilmember Unger stated she would like to ask customers about wiring, how satisfied they are with programming, with reception, with personnel, and the importance of public access. She said the questionnaire should be written by the Public Works Director or his staff with direction from Council. Councilmember Novak stated live feeds should go to the library, the Community Center, and the Veterans Hall. Councilmember Crotzer stated the key is access, and negotiations should not be specific about term prior to determining how much can be obtained in the way of public access. He said the office should be open and accessible, and undergrounding utilities should be pursued. Councilmember Crotzer stated there should be three channels to address the three PEG components: 1) the City is supplying the public/civic component; 2) the educational component would be best served by a county -wide consortium; and 3) the public access channel should be local and provided by a local studio. Councilmember Crotzer agrees that the library, Community Center, and Veterans Hall should be wired, and he would not support a wire in either the Public Works building or the Police Department. He also agrees a survey should be conducted. Staff noted Council's comments; no further action was taken on this item. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 13 • D-2 APPROVAL OF CONDITIONAL USE PERMIT 60-95/COASTAL DEVELOPMENT PERMIT 31-95 FOR CONSTRUCTION OF TWO MINIATURE GOLF COURSES AND A 2,238 SQUARE FOOT ARCADE FACILITY; (231 ATASCADERO ROAD) Councilmember Crotzer stepped down due to a conflict of interest. Acting Planning Director Shauna Nauman introduced Jan DiLeo, Contract Planner who reviewed the Planning Commission recommendation to approve the proposed Mitigated Negative Declaration as amended (Exhibit IUD"), approve Conditional Use Permit 31-95/Coastal Development Permit 60-95 based on the findings contained in Exhibit "A", and with conditions contained in Exhibit "B" of the staff report. Mayor Yates opened the hearing for public comment. Dean Derleth, Attorney with Best, Best & Krieger representing the school district, stated the school district is appealing to the sensibilities of the City Council on this issue, and he is requesting denial of the permit application. He said the school district is one of the largest property owners and employers in the City, with extensive experience in educating the City's youth. Mr. Derleth stated the school district believes there • will be a negative impact on Morro Bay High School, and asked the City to look at the big picture, not short-term economic impacts. He said the City Council has a higher duty to look out for the best interests of the students and the school district, and this project should be located elsewhere. Mr. Derleth stated the City Council should take a closer look at the environmental review of the project, if the project is not denied outright. He said the environmental review is woefully inadequate and an EIR should be required; CEQA states competing experts are significant and their conflict should result in an EIR. Mr. Derleth stated staff has chosen to ignore the law, and the school district has provided more than substantial evidence this project will significantly impact the environment, including traffic, air quality, noise, land use, and more. He noted the Negative Declaration should be recirculated if an EIR is not prepared, as the current Negative Declaration is much more substantial than the earlier one. Mr. Derleth stated CEQA requires recirculation of a Negative Declaration if mitigation measures are added. He said he has not had adequate time to examine the noise study or the new traffic study, and he believes he has strong legal arguments that CEQA requirements have not been followed. Greg Halfman, Morro Bay High School Principal, stated two issues are raised - values and stewardship. He said he believes the most important natural resource in the community is children, and nurturing children by providing the best possible education is the highest priority. Mr. Halfman stated children are the most MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 14 • precious resource, and the school administration and the City Council are the stewards, and the stewardship will not be evaluated on monetary gains but will be looked at in the broader terms of history on how well the children are served. He said an arcade in front of the high school can be built, as can a liquor store, a slaughter house, a dry cleaning factory, or a Magic Mountain roller coaster. Mr. Halfman stated the question should be asked about the best possible environment in which to educate children, not about land use being tolerable. He said economic gain and individual property rights are subservient to the more important goal of children's education. Mr. Halfman noted the Rock and Black Mountain were both quarried at one time, but someone who was a steward stopped the activity. Rodney Miles, applicant, stated a number of hearings have been held, and the school district has never articulated a reason this project will negatively affect the kids' education. He said arcades are located down the street at Cal Poly, and there are arcades at Stanford and other universities. Mr. Miles stated arcades are a form of recreation and do not have negative impact on education. He said this is a land use issue, and this property has been on the market for more than eight years, with the school district trying to control anything built there. Mr. Miles stated this project is a proper use under the zoning, and he is trying to provide recreation for both the tourist industry • and local citizens. He said he does not see the negative impact on the high school or the students. Mr. Miles stated the superintendent said the individuals who went to the high school would have their esteem hurt, and he cannot figure out how such a thing could happen. He said the statement by the attorney about competing experts disagreeing is dead wrong, as both he and the City have spent a lot of time and money countering bogus claims. Mr. Miles noted one of the claims was the project would use 16% of available City water, and another was a certain intersection would have too much traffic; the firm he hired found something entirely different. He said the school district expert asserted there would be negative impacts to air quality because dirt would have to be shipped from Santa Maria; in fact, there is plenty of dirt in Morro Bay. Mr. Miles disagreed with the statement there was not enough time to reply, as the school district attorney was at the Planning Commission meeting and had all the information. He said the school district is threatening to sue the City again. Mr. Miles stated he has agreed to build a block wall, even though it is not necessary, and he has eliminated the lighthouse because of school district concerns. Mr. Miles stated these ploys are intended to dissuade him from going forward, but he will not be dissuaded. He said he will stay the course, but it is sad it has come down to this. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 15 . Lynda Merrill stated it is interesting the school district is asking for reasonable consideration, when she and her neighbors were denied during the Del Mar School expansion. She said she feels the City Council should make decisions based on truth and justice and not from threats made by a powerful entity like the school district. Ms. Merrill stated everyone loves kids and supports the schools and the teachers, but in this case the methods are not as they should be. She added she wants the children to have places for recreation; however, she will not take a stand on the golf course, instead the issue is doing the right thing. Mary Phillips stated the children will spend their lunch money at the arcade, as she remembers her pranks when she was a kid. She said children were more controlled in the past, and temptation is being put in their way everywhere while adults look the other way. Collette Came, Cayucos resident, stated she has three school -age children and she supports this project. She said the school district has not been clear about their concerns, but they talk about value and stewardship. Ms. Came stated there is not a lot to do in the local area and she has to take her kids to San Luis Obispo to find family entertainment; she feels this project supports family values. She said there are a lot of good parents • who feel the same way she does, and this is a nurturing way to provide needed entertainment for children. Ms. Came stated Cayucos has failed in development of teen centers and programs because there is no money, and this developer is willing to pay to provide entertainment and should be welcomed with open arms. She urged the City Council's sensibility to support this project for mothers and fathers with kids who need something to do. Dale Kaiser, Cayucos resident, stated the property has been for sale for well over seven or eight years and has been zoned commercial the whole time; and added he wonders what the school district thought would happen to the property. He said the school district has hired expensive lawyers to come to the City, while they should have made plans five years ago to acquire the property if they wanted to control it. Mr. Kaiser supports the project and feels it will offer excellent recreation for local people. Warren Dorn stated he agrees with both the school district attorney and the principal about denying the project. He said the huge barn will block the ocean view from Highway 1; egress and ingress will be from the Embarcadero with a bridge built across the creek; and the City will give away public property for parking. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 16 . Harry Rogers stated the Planning Commission has heard this project twice, and Mr. Miles has invested a lot of money. He said the City needs both recreation and revenues, and this is a great idea. Mr. Rogers stated honesty has been lost when viewsheds, noise, and other negative impacts are discussed. John MacDonald, project designer, stated the project is better now because it is more sensitive to school district wishes. He said it is too bad so much money has been spent by all involved, and the money for a lawsuit could more than have paid for the property or at least bought books. Mr. MacDonald stated he does not see a negative impact on the school but a benefit to the community. He said classrooms are oriented toward the back of the school, and the golf course will not impact the students. Mayor Yates closed the hearing to public comment and called for a five-minute break at 9:06 p.m.; the meeting resumed at 9:12 p.m. Mayor Yates stated he has a child starting at the high school next year, with two more to follow. He told Mr. Halfman he has tremendous respect for him; however, he does not believe the project will be a detriment to his children's education. Mayor Yates stated the school district has had many years to buy the property, own it and control it; however, it is not possible to control a piece of private property. He said the school district • did not mind if the project was across the street, but it is not acceptable in front of the high school. Mayor Yates added it is his belief this is an aesthetic issue to the school district. Councilmember Novak said a lot of emotional issues have been discussed, but the question is whether or not due process has been violated by the applicant, the school district, or in terms of the mitigated Negative Declaration. She said she has seen nothing to indicate due process has been violated, and she will support the Planning Commission's recommendations. Councilmember Novak stated Council is trying to be sensible about this issue; however, the amount of money spent on this project is disturbing to her as a representative of the taxpayers. She said everyone is paying for this, including those who have businesses here, who shop here, and those who live here. Councilmember Novak stated the spirit of the community is to try to work things out and determine what works best for both the high school and Mr. Miles. She added Mr. Miles has done everything he can to change the project to mitigate requests by the school district. Councilmember Novak stated she feels this project will be good for the City and will provide recreation for families and tourists. Councilmember Unger stated this is a tough issue in regard to personal property rights. She said she agrees the school district is trying to control a piece of property they do not own • and did not buy. Councilmember Unger stated she concurs with the MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 17 • Planning Commission in regard to the project, and feels it has nothing to do with sensibilities and everything to do with land use. She said Mr. Miles owns the property and has the right to do what he wants with it. Councilmember Unger stated Mr. Miles has mitigated a lot of issues, such as placing a solid wall adjoining school property, and will put in a great deal of landscaping. She said she drove around the area and agrees the viewshed is important; however, the ocean will not be blocked by the project from the freeway. Councilmember Unger noted Mr. Miles has spent a lot of money on mitigation to satisfy the school district's concerns. Councilmember Anderson stated he was concerned about the noticing process, and the project has been brought back because of early assumptions it would be next to the skating rink. He said the project was not opposed until the school district realized it was on their side of the street. Councilmember Anderson noted the school district asked the City for help to have their property rights honored at Del Mar School. He said it was a tough issue, with emotional appeals from neighbors. Councilmember Anderson stated he feels badly because Mr. Halfman is present tonight, and he feels the stewardship issue should have been addressed years ago when the property was not purchased. He would love to see the property remain vacant or belong to the school district, and he has had discussions about the district office purchasing the • property. Councilmember Anderson stated neither he nor the school district would be happy if the project was a fast food restaurant, and he would be happier if the golf course was located somewhere else; however, the school district had many decades to purchase the property, and now it has been purchased for a visitor -serving commercial use permissible under City zoning. He said stewardship should have been taken care of by the school district, as they are a lot wealthier than the City. Councilmember Anderson asked Assistant City Attorney Philip Sinco what would happen to the City and the project if the school district decides to litigate. Mayor Yates responded Council would have to adjourn to closed session if the discussion of litigation continues. Councilmember Anderson withdrew his question. Councilmember Unger asked Mr. Sinco if he could comment on the assertion the Negative Declaration does not meet CEQA goals. Mr. Sinco responded he could speak in generalities about CEQA requirements. He said the primary issue raised by the school district is the fact the City added mitigation measures to the Negative Declaration after public comment had closed, which would require recirculation of the Negative Declaration. Mr. Sinco u MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 18 • stated he hesitates to answer further as to specifics with respect to exposure in open session. Councilmember Unger asked Ms. Nauman about the fiscal impact regarding the delay, the recirculation, and the rehearing. She asked if the City has spent an extra $5,000. Ms. Nauman responded affirmatively, and it is the amount of money paid to Ms. DiLeo to process this project. MOTION: Mayor Yates moved the City Council accept the Planning Commission recommendation and approve the proposed Negative Declaration as amended (Exhibit D), and approve Conditional Use Permit 31-95/Coastal Development Permit 60-96 based on the findings contained in Exhibit A, and with conditions contained in Exhibit B. The motion was seconded by Councilmember Novak and carried with Councilmember Crotzer abstaining. (4-0-1) Councilmember Crotzer resumed his seat on the Council. D-3 ORDINANCE NO. 452 - AMENDMENT TO MORRO BAY MUNICIPAL CODE CHAPTER 17.36 (ZONING) TO IMPLEMENT THE DESIGN GUIDELINES PORTION OF THE WATERFRONT MASTER PLAN; (FIRST • READING/INTRODUCTION) Councilmember Anderson stepped down due to conflict of interest. Acting Planning Director Shauna Nauman reviewed the amendment to Morro Bay Municipal Code Section 17.36.040 (Zoning) to implement the Waterfront Design Guidelines contained in the adopted Waterfront Master Plan. She noted the Planning Commission, at their September 3, 1996 meeting, recommended the City Council adopt the proposed text amendment. Ms. Nauman recommended the City Council adopt Ordinance No. 452 for first reading/introduction, and continue this item to October 28, 1996 for second reading/adoption. Mayor Yates opened the hearing for public comment. Warren Dorn stated he brought petitions by the hundreds to different City Councils in opposition of raising heights on the waterfront, and to building a bridge from the Embarcadero to Atascadero Road. He said any height over 13 feet is a violation, and the road should be voted on by the people. Robert Lewellyn, manager of the Blue Sail Inn, stated he deals with the general public a lot, and people come to Morro Bay to see the water. He said tall buildings will run the tourists off, and the water view must be preserved. Mr. Lewellyn stated people • enjoy sitting in their rooms and looking at the water, and view MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 19 • corridors will not satisfy the tourists. He added the quaintness of Morro Bay should be preserved. Jean Hartzell, owner of the Blue Sail Inn, stated people like to walk along the waterfront and look at the ocean. Mayor Yates closed the hearing to public comment. Councilmember Crotzer stated the design guidelines came through a rigorous public process over six years, and the purpose was to find a way to protect the viewshed. He said compromise elements allow remodeling, upgrading, and development of Embarcadero businesses and public trust lands by narrowing second story additions. Councilmember Crotzer stated it is disheartening to hear people say public comment and compromise have been forgotten. He said the second -story setback modification changed from 15 ft. to 10 ft. and was something he did not support. Councilmember Crotzer stated Council felt an increase in the breadth of second -stories is prudent, something he still does not support, and Council might consider revisiting the issue. He said it is clear these guidelines are the best solution to guarantee block buildings will not be built in the future, and allow the opening views from the blufftop. Councilmember Novak stated the design guidelines have • incorporated view corridors for second -story and first -level buildings. She said pedestrians will not be able to see anything if building from lot line to lot line is allowed. Councilmember Novak stated the new design guidelines provide opportunity to open up areas, such as Marina Square, where people can see the bay. Mayor Yates stated he will support the recommendations, based on many years of public input. He said there will be no straight- line height of 25 ft. blocking views, and the wider the lot the more height will be allowed, but only with a sloped view. Mayor Yates reiterated views will not be ruined. Councilmember Unger stated she does not support the breadth increase or the height increase, and the effect will be like a wedding cake. She said remodels will be most affected by this plan. MOTION: Councilmember Crotzer moved the City Council have Ordinance No. 452 read by title and number only. The motion was seconded by Councilmember Novak and carried with Councilmember Anderson abstaining. (4-0-1) City Administrator Dave Howell read Ordinance No. 452 by title and number only. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - OCTOBER 14, 1996 PAGE 20 • MOTION: Councilmember Crotzer moved the City Council adopt the first reading and introduction of Ordinance No. 452 - Amendment to Morro Bay Municipal Code Section 17.36.040 (Zoning Ordinance) to implement the Waterfront Design Guidelines contained in the adopted Waterfront Master Plan (Case No. ZOA 01-96). The motion was seconded by Councilmember Novak and carried with Councilmember Unger voting no and Councilmember Anderson abstaining. (3-1-1) F. ADJOURNMENT The meeting adjourned at 9:47 p.m. Recorded by: Bridgett Bauer City Clerk • • cn m m m K m m 7D 0 City of Morro Bay '10 City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a Level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - SEPTEMBER 23, 1996; 5:00 P.M. VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS - PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF AUGUST 26, 1996 AND SEPTEMBER 9, 1996 A-2 STATEMENT OF CASH AND INVESTMENTS - AUGUST 1996 A-3 EXPENDITURE REPORT - AUGUST 1996 A-4 FIRST QUARTER SALES TAX REPORT A-5 AWARD OF STREET SWEEPING CONTRACT 1 A-6 STATUS REPORT ON TROLLEY PILOT PROGRAM FOR 1996 0-7 RESOLUTION NO. 72-96 IN SUPPORT OF CHEVRON A-8 RESOLUTION NO. 70-96 IN SUPPORT OF SAN LUIS OBISPO COUNCIL OF GOVERNMENTS CALL BOX PROGRAM A-9 REQUEST FOR FEE WAIVER FOR CANDIDATES' FORUM A-10 PROCLAMATION DECLARING THE WEEK OF OCTOBER 7-13, 1996 AS "FIRE PREVENTION WEEK" A-11 PROCLAMATION DECLARING THE MONTH OF OCTOBER AS "CRIME PREVENTION MONTH" B. UNFINISHED BUSINESS - NONE. C. NEW BUSINESS C-1 REQUEST FOR REVIEW OF WATER HOOK-UP FEES; (UNGER) C-2 REQUEST FOR REVIEW OF WATER TREATMENT COMPARISON REPORT; (ANDERSON) C-3 REQUEST FOR REVIEW OF OVERSIZE VEHICLE RESTRICTIONS ON THE EMBARCADERO; (CROTZER) C-4 RESOLUTION NO. 69-96 APPROVING FINAL MAP FOR TRACT 1996; (CLOISTER'S • SUBDIVISION) D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 RESOLUTION NO. 71-96 ORDERING FORMATION OF CLOISTER'S LIGHTING AND LANDSCAPE ASSESSMENT DISTRICT D-2 INTRODUCTION OF WATER ALLOCATION MODEL D-3 CONSIDERATION OF AMENDMENT TO MORRO BAY MUNICIPAL CODE CHAPTER 17.36 (ZONING) TO IMPLEMENT THE DESIGN GUIDELINES PORTION OF THE WATERFRONT MASTER PLAN - CASE NO. ZOA 01-96; (CONTINUED TO OCTOBER 14, 1996) F. ADJOURNMENT 0 THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 2 • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember (arrived at 6:30 p.m.) ABSENT: None STAFF: Bill Boucher Acting City Administrator David Hunt City Attorney Bridgett Bauer City Clerk Jeff Jones Fire Chief Jim Koser Finance Director Marci Laurent Planning Administrative Asst. Joe Loven Police Chief Andrea Lueker Recreation and Parks Director Shauna Nauman Interim Planning Director • Andrea Lueker led the Pledge of Allegiance. LIGHTEN UP Joe Gonzales presented the "Lighten Up" MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: ♦ The microphones were stolen from the Vet's Hall on Saturday, and hopefully will soon be recovered by the Police Department; ♦ The special meeting to swear in the new Mayor and City Council will be held Wednesday Tuesday, December 3, 1996; ♦ The Chorro Bridge road closure is scheduled for the second week in November for a maximum of 14 consecutive days, with the new bridge scheduled for dedication prior to Thanksgiving. Mayor Yates complimented the contractors' work; ♦ The tallships Hawaiian Chieftain and Lady Washington will • both be in the Lighted Boat Parade; MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 2 ♦ The Morro Bay Coast Guard will remove both the Point Heyer and the surf rescue boat next summer and replace them with a 44 ft. boat and a 16-man search and rescue station. Mayor Yates said the cutter is not here very often anymore, and the 44 ft. boat will provide 24-hour, seven-day per week coverage, which is not currently available. David Hunt introduced Dan McGee who is a new associate of Hunt & Associates. Mr. McGee is an engineer as well as an attorney and will assist with Public Works and water issues. Councilmember Novak stated the Integrated Waste Management Authority's telephone book recycling program is underway. Councilmember Novak announced a special fund has been set up for the Yerba Buena stoplight, and donations may be made to Account No. 515-1111-2543 at Mid -State -Bank the City of Morro Bay. PUBLIC COMMENT Betty Forsythe announced the formation of the Foundation in Support of SLO County Libraries and requested community support in raising money for funds to assist local public libraries. Roger Ewing addressed Item A-5 (Award of Street Sweeping • Contract) stating the sweeper operator is conscientious and has done a good job in maintaining the city's streets. He referred to Item A-9 (Request for Fee Waiver for Candidates' Forum) stating he appreciates the waiver of the facility rental fee for the upcoming Candidates Forum which will be sponsored by the League of Women Voters. Mr. Ewing referred to the appeal filed and refused on the approval of the tree removal on Surf Street, and requested Council review the appeal process in order to give citizens a voice in tree removal matters. He addressed Item D-2 (Water Allocation Model) stating he does not feel the water conservation measures should be eliminated because the Central Coast is subject to droughts. In response to Mr. Ewing, City Planning Commission has sole public trees, and there is no the Council. Attorney David Hunt explained the discretion regarding removal of vehicle for an appeal process to Bertha Tyler, President of the Quota Club, requested a facility use fee waiver for an upcoming fund raiser in the spring of 1997. Mayor Yates offered to place the item on the next Council agenda. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 3 • Ed Ewing stated he had warned the City he objected to the way Harbor Fund money was being used two years ago. He said he wrote to the State Lands Commission requesting an investigation of the City's Harbor Fund. Mr. Ewing stated he has written ten letters to various agencies, and the County Grand Jury has responded it will investigate his complaints. He said most problems stem from earlier Councils; however, he believes this Council should investigate David Griffith and Associates. • 0 Mayor Yates responded to Mr. Ewing stating both the State Lands Commission and the County Grand Jury are welcome to conduct investigations. David Hanum addressed the lack of responsibility of the City, and complained the Harbor Patrol was not available at night when his steering failed. Rosalee Valvo addressed Item A-9 (Request for Fee Waiver for Candidates' Forum) urging Council to support the fee waiver. Suedene Nelson, Director of the Chamber of Commerce, spoke in support of Item A-8 (Resolution No. 70-96 in Support of San Luis Obispo Council of Governments' Call Box Program) stating people who can afford car phones can also afford to keep their cars well -maintained, however, there are those who cannot afford this luxury. Pete Rogers of San Luis Obispo Council of Governments offered to answer questions regarding the Call Box Program. Lynda Merrill expressed support of the Call Box Program, the Trolley Status Report, and the First Quarter Sales Tax Report. She also addressed the cutting of the eucalyptus trees on the Front Street parking lot, and requested a public hearing on their removal. Mr. Hunt responded there is no legal way to appeal the decision to Council under current ordinance. Mary Chambers spoke in support of the Call Box Program stating she does not believe cell phones will make call boxes obsolete. Galen Ricard addressed Item A-6 (Status Report on Trolley Pilot Program for 1996), stating she will be available for questions. Lt. Frank Diehl, CHP field operations officer for San Luis Obispo, stated he will be available to answer questions regarding the Call Box Program. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 4 • Joe Gonzales addressed Item A-7 (Resolution No. 72-96 in Support of Chevron), expressing his thanks to the City Council for their support. He said Chevron employees are committed to being good neighbors to the City. Ken Powell spoke in support of Item A-7 (Resolution No. 72-96 in Support of Chevron). DECLARATION OF FUTURE AGENDA ITEMS Councilmember Novak asked to agendize consideration of an adult material ordinance. Councilmember Crotzer asked to agendize a public hearing to review the section of the tree ordinance which does not allow public review and recourse to the City Council. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF AUGUST 26, 1996 AND SEPTEMBER 9, 1996 Mr. Boucher recommended Council approve the minutes as submitted. • A-2 STATEMENT OF CASH AND INVESTMENTS - AUGUST 1996 Mr. Boucher recommended Council receive the Statement of Cash and Investments for August 1996 for information. A-3 EXPENDITURE REPORT - AUGUST 1996 Mr. Boucher recommended Council approve the Expenditure Report for August 1996. A-4 FIRST QUARTER SALES TAX REPORT Mr. Boucher recommended Council receive the First Quarter Sales Tax Report for information. A-5 AWARD OF STREET SWEEPING CONTRACT Mr. Boucher recommended Council award the Street Sweeping Contract to California Street Maintenance and authorize the City Administrator to execute the contract documents. A-6 STATUS REPORT ON TROLLEY PILOT PROGRAM FOR 1996 Mr. Boucher recommended Council receive the status report on the • Trolley Pilot Program for 1996 for information. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 5 • A-7 RESOLUTION NO. 72-96 IN SUPPORT OF CHEVRON Mr. Boucher recommended Council approve Resolution No. 72-96 in support of Chevron Oil Estero Bay Marine Terminal. A-8 RESOLUTION NO. 70-96 IN SUPPORT OF SAN LUIS OBISPO COUNCIL OF GOVERNMENTS CALL BOX PROGRAM Mr. Boucher recommended Council approve Resolution No. 70-96 in support of San Luis Obispo Council of Governments Call Box Program. A-9 REQUEST FOR FEE WAIVER FOR CANDIDATES' FORUM Mr. Boucher recommended Council waive the rental fee to Advocates for a Better Community in order to provide a Candidates Election Forum on October 8, 1996. A-10 PROCLAMATION DECLARING THE WEEK OF OCTOBER 7-13, 1996 AS "FIRE PREVENTION WEEK" Mr. Boucher recommended Council adopt the Proclamation declaring the week of October 7-13, 1996 as "Fire Prevention Week". A-11 PROCLAMATION DECLARING THE MONTH OF OCTOBER AS "CRIME • PREVENTION MONTH" Mr. Boucher recommended Council adopt the Proclamation declaring the month of October as "Crime Prevention Month". Mayor Yates pulled Items A-5 and A-6 from the Consent Calendar; Councilmember Crotzer pulled Items A-4, A-7, and A-8; Councilmember Novak pulled Item A-2; and Councilmember Unger pulled Item A-1 (minutes of August 26, 1996). MOTION: Councilmember Unger moved the City Council approve Consent Calendar Items A-1 (minutes of September 9, 1996), A-3, A-9, A-10, and A-11. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF AUGUST 26, 1996 AND SEPTEMBER 9, 1996 Councilmember Unger stated she did not want to vote on the minutes of August 26, 1996 as she was not present. MOTION: Councilmember Crotzer moved the City Council approve Item A-1 (minutes of August 26, 1996). The motion was seconded by Councilmember Novak and carried with • Councilmember Unger abstaining. (4-1) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 6 • A-2 STATEMENT OF CASH AND INVESTMENTS - AUGUST 1996 Councilmember Novak requested clarification of the Statement of Cash and Investments. Finance Director Jim Koser stated the report is the sum total of all funds pooled together and invested. He said there are 49 separate funds, and $3,480,123 is the total of available cash. Mr. Koser stated 35% is related to wastewater, 20% is related to water, 25a is attributable to Harbor, and 20% is related to the General Fund and all others not mentioned. He said the total is not General Fund money available to meet obligations of the City, but is restricted as to purpose. MOTION: Councilmember Novak moved the City Council approve Item A-2. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) Councilmember Unger stated the United States Treasury Note will mature in December 1996, and she asked if it would be rolled over and what the interest rate will be. Mr. Koser responded the note was sold a couple of days ago to pay for the Chorro Creek Bridge. He said the City did not take a loss and earned interest on the note for a number of years. • Councilmember Unger asked if a penalty was paid for early withdrawal? Mr. Koser responded the note was sold at the current market rate and $1,600 below purchase price, as a premium was paid at the time of purchase. A-4 FIRST QUARTER SALES TAX REPORT Councilmember Crotzer noted the overall tax revenue picture is good for the fourth quarter. He said sales did not trail off as steeply as those of neighboring cities, and even building and construction is higher per capita when compared to State and County levels. Councilmember Crotzer stated enhanced revenues should be forthcoming, and sales tax revenues will exceed $1.1 million for the first time in City history. MOTION: Councilmember Crotzer moved the City Council approve Item A-4. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Councilmember Unger noted revenues are high because the quarter just completed reflects money spent by tourists. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 7 • Mayor Yates stated the Albertson,s/PayLess Center is generating tremendous tax revenue, and the City is strong and healthy. A-5 AWARD OF STREET SWEEPING CONTRACT Mayor Yates stated Item A-5 is tabled to allow contract review by Mr. Hunt. A-6 STATUS REPORT ON TROLLEY PILOT PROGRAM FOR 1996 Mayor Yates stated it is the intention of Public Works to charge the Harbor Festival for use of the trolley, and objections have been received from the Harbor Festival Committee. Councilmember Anderson asked how much money the Harbor Festival will be charged. Public Works Director Bill Boucher responded the weekend rental rate is $1,625 plus fuel and includes capital payback. He said the Harbor Festival will be charged the actual cost for 21 hours, which is $939.05. Councilmember Unger asked if the City would have to pay the cost if Harbor Festival does not. Mayor Yates replied he was proposing the cost be paid by the • City's General Fund. Councilmember Crotzer stated he will support charging the fee, unless City staff was remiss in notifying Harbor Festival officials about the earlier decision. He said $18,000 was distributed to non -profits last year, but municipal property should not be given away. Councilmember Novak stated someone made a mistake and she would like to find a compromise and a way far if the Harbor Festival to has an increase in the gate fee totals, and they could help pay for the trolley. Councilmember Unger stated she would like to split the amount between the City and the Harbor Festival, as everyone supports the festival. Councilmember Anderson asked Ms. Ricard if the trolley is the only donated shuttle service during the festival. Ms. Ricard responded the trolley is the only donation and the others are provided through sponsors. Councilmember Anderson said he supports the reduced rental price, but the City provides many other services for the festival • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 8 • Ms. Ricard stated the relationship between the Harbor Festival and the City is a partnership, which provides a great return for the City. She said the festival provides far more than $400 or $900 in trolley fees. Mayor Yates noted Ms. Ricard was informed of this cost only two weeks before the festival is to start. Councilmember Crotzer stated it appears the decision made last February did not trickle down to the interested party, and he asked for an explanation. Mr. Boucher responded the Trolley Ad Hoc Committee was committed to obtaining adequate sponsorship, which was not possible. He stated it was clear in mid -August the sponsorship would not be available and the Harbor Festival was notified. Councilmember Anderson asked about the financial support of Dial - A -Ride during the festival weekend. Mr. Boucher responded the General Fund pays for the free weekend Dial -A -Ride buses. Councilmember Anderson asked if the use of Dial -A -Ride was an anticipated budget expense. • Mr. Boucher responded it was not, but the service has always been provided. He said the amount is a small portion of the overall annualized cost and not analyzed separately. Councilmember Anderson said he would agree to the Harbor Festival request because of the free Dial -A -Ride buses, but Council should make costs for next year very clear. MOTION: Mayor Yates moved the City Council waive the trolley fee for the Harbor Festival in 1996. The motion was seconded by Councilmember Anderson and carried with Councilmembers Unger and Crotzer voting no. (3-2) A-7 RESOLUTION NO. 72-96 IN SUPPORT OF CHEVRON Councilmember Crotzer stated it has been consistent that people are not in favor of oil drilling on our shores and he questioned why this resolution is on the agenda, given Chevron's history of not admitting fault in regard to oil spills. Mayor Yates stated he is responsible for the agenda item, and Chevron is a good neighbor and the terminal puts $5 million into the City every year. He said he believes the corporation has been responsible in resolving problems quickly and publicly. Mayor • Yates stated the motive behind the resolution is to assist MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 9 • Chevron in renewing its lease. He noted this terminal has nothing to do with offshore oil. Councilmember Crotzer responded a particular corporation is being singled out for applause, and any company which supplies jobs should be included. He believes this is a bad idea, and he feels this is an attempt to curry favor from a major contributor during a political campaign. Councilmember Novak stated facts are being twisted, and this resolution has nothing to do with offshore oil. She said this Council has stated it does not want offshore oil, and pointed out there are many tankers transiting the coast with few spills. Councilmember Novak stated the resolution is specific to the Estero Terminal, which is important to the City and to the Harbor, with dredging money available partly because of Chevron. She said loss of Federal funding would close the Harbor and affect fishermen, recreational boaters, and others. Councilmember Anderson stated a lease renewal is underway, and Council would do much the same for any business. He said Chevron made no attempt to make spills and leaks less than they were, as happened in Avila Beach. Councilmember Anderson stated the company has been a good neighbor and this action does not endorse offshore oil, expansion, or onshore facilities. • Councilmember Unger agreed Chevron has been a good neighbor and supports a lot of families. She said the company has done a lot to clean up the environment, but she feels the resolution is inappropriate for lease negotiations, as Council would not follow the same procedure for another company. Mayor Yates noted the same procedure was followed for PG&E on its birthday a few years ago. He said several local businesses have been presented with certificates recently. MOTION: Mayor Yates moved the City Council approve Item A-7. The motion was seconded by Councilmember Novak and carried with Councilmember Crotzer voting no. (4-1) A-8 RESOLUTION NO. 70-96 IN SUPPORT OF SAN LUIS OBISPO COUNCIL OF GOVERNMENTS CALL BOX PROGRAM MOTION: Councilmember Unger moved the City Council approve Item A-8. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) B. UNFINISHED BUSINESS - NONE. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 10 • C. NEW BUSINESS C-1 REQUEST FOR REVIEW OF WATER HOOK-UP FEES; (UNGER) Councilmember Unger stated the residential water availability fee is $355, and she assumes the fee is derived from water meters and connection fees. She requested Council discussion regarding the granting of a water meter to every vacant lot. Councilmember Unger stated there are about 500 lots in need of meters, and $100,000 in added revenues could be collected. She said installation of meters would add $50,000 to $60,000 immediately, and every buildable lot would have a minimum water allocation. Councilmember Unger stated this new revenue dovetails very well into elimination of water equivalencies. She said this revenue generator would also help streamline planning and building. Councilmember Crotzer stated he supports charging people for the number of units used, instead of charging a minimum of three units. He believes there is sufficient water for every house at the present time, and he feels State Water will provide water for future growth. Councilmember Crotzer stated he understands this proposal is to meter future growth. Councilmember Anderson asked if people would then be able to build when they want to. • Councilmember Unger responded negatively, with other factors such as water availability and the waiting list still in place. Councilmember Anderson asked if people could obtain a water meter, and then face the possibility of water not being available. Councilmember Unger responded it will be one less inspection when people reach the top of the list. She said the cost of retrofit inspection is another topic, as each one costs $25 at 80% cost recovery. Councilmember Unger stated she is not satisfied with water allocation, especially since State Water will be on line within 60 days. She said the City is charging exorbitant fees for water equivalencies, and her plan will generate revenue for the City. Councilmember Unger noted her intent is not to open up the City for the world to come and build. Councilmember Novak asked how one less step is accomplished. She asked why anyone would ask to put a meter on a vacant lot and pay the minimum when the house will not be built for years. Councilmember Unger responded $355 will be collected for each meter requested and the minimum water rate will also be collected. She said there will be an advantage to people because the water will already be on the property. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 11 • Councilmember Novak said water meters could break down over the years and have to be replaced. Councilmember Unger responded some water meters have been in place for many years with a great degree of accuracy, while new meters can break down. She said she wants to establish a voluntary program so people can install water meters on vacant lots. Councilmember Anderson said a water meter on a piece of property will provide access to the City water system, so the person who installs one will have a head start. Councilmember Unger stated the waiting list will disappear when State Water arrives, and the only way the City can grow is through infill. She said she is trying to make it easier for people to build on their lots. Mr. Boucher responded it is worth noting the availability fee buys someone into the infrastructure. He said the actual cost of installing a meter is on a cost recovery basis of time and materials. Mr. Boucher stated undeveloped parcels can be charged a monthly, annual, or regular rate, which is a standby fee; however, there can be no guarantee everyone will be able to build. He noted the water allocation model will include discussion of plan implementation. • Mr. Hunt stated Proposition 218 on the November ballot will make any standby or water availability fee illegal, unconstitutional, and uncollectible. Mayor Yates received consensus to put the discussion aside until the Water Allocation Model is discussed by Council at a future date. Mayor Yates called for a break at 7:35 p.m.; the hearing resumed at 7:55 p.m. D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 RESOLUTION NO. 71-96 ORDERING FORMATION OF CLOISTER'S LIGHTING AND LANDSCAPE ASSESSMENT DISTRICT Parks and Recreation Director Andrea Lueker reviewed Council's action at the September 9th Council meeting by adopting Resolution No. 68-96 approving the Engineer's Report which describes the annual maintenance to be completed at the Cloister's Park and Open Space, and declaring the City's intent to levy an annual assessment to finance this maintenance. She • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 12 • recommended Council hold a protest hearing on the formation of the proposed assessment district, and adopt Resolution No. 71-96 ordering the formation of the Cloister's Lighting and Landscape Assessment District and the levying of initial year assessments. Mayor Yates opened the hearing to public comment; there was none and the hearing was closed. MOTION: Councilmember Anderson moved the City Council adopt Resolution No. 71-96 ordering the formation of the Cloister's Lighting and Landscape Assessment District and the levying of initial year assessments. The motion was seconded by Councilmember Novak with Councilmember Unger voting no. (4-1) D-2 INTRODUCTION OF WATER ALLOCATION MODEL Interim Planning Director Shauna Nauman reviewed the update to the Water Allocation Model and requested Council provide direction to staff for specific revisions. Councilmember Crotzer asked if the number of total water users who have retrofitted is still around 50%. Planning Administrative Assistant Marci Laurent responded she checked the numbers for last year's water report and it was not • quite at the halfway point for residential units participating in the off -site retrofit program, as well as the transfer -upon - ownership requirement. She said there is no way to count people who have retrofitted on their own to save water. Councilmember Crotzer asked if people who have already put in water -saving shower heads or low -flow toilets are still available to be retroffited. Ms. Laurent responded people who have voluntarily retrofitted to 3.5 gallons on their own would be able to participate to get down to 1.5 gallons. Councilmember Crotzer asked if there is a provision under Ordinance 266 which requires some sort of election for the use of new water. Ms. Nauman responded the election provision comes into effect when the projected 12,200 population cap is reached. She stated there is no voter requirement for actual allocation to individual users. Councilmember Crotzer stated there have been discussions about the financial ramifications of State Water and how many users will bear the brunt of those costs, and the capacity of water • treatment plan renovation or upgrade, or sewer capacity. He has MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 13 • numbers bandied about larger than the 12,000 population number, and asked how Council can discuss numbers beyond the buildout population figure. Mr. Hunt responded discussions cannot be held from a legal and planning standpoint for actual physical growth. He said Measure F is a building permit, growth management ordinance and there can be no permits issued beyond 12,200. Mr. Hunt stated resource availability can be planned for future demand in order to have resources available, so higher numbers can be used even though building permits cannot be issued. Councilmember Crotzer stated various reports refer to higher numbers, and he always believed the Measure F legal stipulation would have to be dealt with by a vote of the people. He said Mr. Boucher's reports on water tank capacity are not restricted to 12,000, but plan on contingencies beyond that number. Mr. Boucher responded that is correct, and the population infrastructure horizon is in the 14,700 to 15,600 range but dependent upon Measure F limitations. He said both the Water Management Plan and General Plan figures are based upon buildout on all vacant lots and legal densities. Councilmember Crotzer stated by law the City is planning on building for no more population than 12,200; while infra- • structure, water carrying capacity, projections for paying off the cost of infrastructure are all designed for greater numbers. He said he would think the City would work toward the idea of building out infill, and he is in favor of putting homes on all the vacant lots. Councilmember Crotzer stated the larger numbers imply a greater extension of growth. Mr. Boucher responded the Water Management Plan was derived from the existing, adopted planning documents including the General Plan, the Local Coastal Plan, and the Land Use Plan. He said projections were completed on an area -by -area basis to see how many lots were built to maximum density under current regulations and what the population would be if they were all built out, and the result was a population projection of more than 12,200. Councilmember Crotzer stated the water Management Plan has now been certified by the Coastal Commission, and the most economical, achievable, available form of water is conservation. Mr. Boucher responded conservation is the key component in the long term, and there is currently a program through which sporadic retrofitting occurs under certain conditions. He would advocate a program to encourage people to retrofit, and some cities buy a truckload of low -flow toilets or shower restrictors for people to purchase. lJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 14 • Councilmember Unger stated, in one case, the cost of the retrofit permit is $100, the retrofit itself costs $595, and the plumber will cost $9,000. She said elimination of the residential retrofit program would save-33-parts-steps remove one entire lest of a 3-branch process in the building plan. Councilmember Anderson asked if retrofitting would still take place upon transfer of property. Mr. Boucher responded City ordinance requires retrofit upon home sale. Councilmember Anderson said the 77 residential building permits will stay, regardless of State Water arrival or elimination of the retrofit program. He said elimination of the waiting list would require some sort of monitoring to stay within the cap. He expressed concern that the installation of a water meter may give a property owner the impression he can build. Ms. Nauman responded installation of a water meter would not secure a water allocation. She said there would be the perception water would be there and questions would have to be answered. Ms. Nauman stated staff is not proposing elimination of water equivalency units, as they are just a way of measuring water and relate to the availability fee. She said some unit of measure is necessary to calculate charges or for tracking water • allocations. Mr. Boucher added water equivalency units relate directly to commercial developers, because Measure F provides a maximum of 77 residential units per year plus up to 130% of the amount of water "granted" to residential or commercial uses. He said there is a hard number of residential permits, which allows commercial use to be factored. Harry Rogers stated a lot of restraints are in place to control growth, but water equivalency units are a form of blackmail. He said Council has an opportunity to simplify the process and relieve staffs workload. Mr. Rogers stated many people dream of building their own homes, and the retrofit program has gained the City nothing except mathematical equivalencies. He said a better approach would be to mandate water -saving devices for all homes and businesses throughout the City. Mr. Rogers suggested establishing a hardship fund to help people pay the $107 cost of a low -flow toilet. Ed Ewing stated he built a house in 1989 and the permit process cost close to $15,000, and he suggested elimination of the retrofit program. He said Arcata uses its wetlands for a sewage treatment plant, and suggested pumping wastewater up the hills and allowing it to percolate into the aquifer. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 15 • John Barta stated Council has an opportunity to change the way the community looks at the water issue. He said there was a time when water had to be created so people could build their homes, so the retrofit program was created. Mr. Barta said the water is available through the desal plant, State permits for Morro and Chorro wells, and soon -to -arrive State Water. P • Bill Olson stated the retrofit program was a result of the City's failure to provide water and unfairly penalized new home builders. He said citizens were lucky during the T-Pier fire because the wind was blowing away from the City, and water is necessary for public safety. Lynda Merrill stated restraints result from measures passed by the voters, and the initiatives were the result of severe drought conditions. She said retrofitting has worked well, was well- intentioned and should not be viewed negatively. Bill Peirce stated there has been a water shortage problem for many years, and the first conservation program started in 1975 when bricks were given away for placement in toilets. Steve Mathieu asked if first -come, first -served will allow a subdivision like Cloisters to receive all 77 units for one year. He said Councilmember Unger's suggestion for meter installation should have a higher price tag to help pay for State water. Mayor Yates closed the hearing to public comment. In response to Mr. Mathieu's question, he said the City has never gotten close to allocating 77 units in one year. Mayor Yates stated many lots would have to be sold quickly and many people would have to be ready to build right away. He said Cloisters' owners are developing the land and selling the lots, but they are not builders. Councilmember Anderson stated the original number of 77 units was derived from the Bayshore Bluffs project and 400 units at Cloisters. He said he would be comfortable with elimination of the waiting list. Councilmember Unger stated everyone knows her position, and she thanked Ms. Nauman and Mr. Boucher on a well prepared staff report. Councilmember Novak stated reclamation is in process with a technical assistance grant. She said retrofit was a necessary program, and staff is providing revisions to move into the future. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 16 • Councilmember Crotzer stated the Local Coastal Plan and Land Use Element will be revised because the Water Management Plan has been certified by the Coastal Commission. He said conservation has been stipulated as the number one source of water; however, some Councilmembers are calling for doubling the State Water commitment. Councilmember Crotzer stated the City is already facing the dilemma of how to finance holding tanks for State Water. He said the opposite of conservation is increased consumption, which is directly contradictory to the stated goal. Councilmember Anderson stated he agrees the problem should have been solved years ago by participating in either Whale Rock or Nacimiento, but the fact is State Water is not so expensive in comparison to other solutions. MOTION: Councilmember Unger moved the City Council direct staff to follow recommendations for the Local Coastal Plan and General Plan amendments for processing new coastal development permits including the allocation model and amendments to Chapter 13.20; and, in addition, review the elimination of the retrofit program and residential waiting list. The motion was seconded by Mayor Yates and carried with Councilmember Crotzer voting no. (4-1) D-3 CONSIDERATION OF AMENDMENT TO MORRO BAY MUNICIPAL CODE CHAPTER 17.36 (ZONING) TO IMPLEMENT THE DESIGN GUIDELINES • PORTION OF THE WATERFRONT MASTER PLAN - CASE NO. ZOA 01-96 Mayor Yates opened the public hearing; there were no comments and the public hearing was closed. This item was continued to the October 14, 1996 City Council meeting. C-2 REQUEST FOR REVIEW OF WATER TREATMENT COMPARISON REPORT; (ANDERSON) Councilmember Anderson requested this item be agendized to consider whether staff should prepare an analysis and comparison of the upcoming conversion of potable disinfection methodology from the current chlorination to chloramination. Public Works Director Bill Boucher responded a significant monitoring level is necessary to assure the right blend of disinfection materials. He said some communities have turned up the chlorine too much without reaching the desired disinfection levels. Mr. Boucher stated the State Water project uses chloramination because vthe formation of disinfection byproducts is lessened. He said water bill stuffers will be distributed to customers describing the changes for dialysis patients and fish owners. Mr. Boucher stated chloramination is reliable technology • and consists of a mixture of chlorine and ammonia, which was MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 17 • widely used prior to World War II, when the military took the ammonia to make bombs. He said modern technology is able to discover potentially carcinogenic compounds when chlorine is used to clean water. Mr. Boucher stated more stringent regulations are coming into effect, and this is an opportunity to simplify the operational procedures of the water system and get ahead of the curve as far as regulatory issues are concerned. He said additional alternative disinfection techniques may be used in the future. Councilmember Anderson asked about hazards to dialysis patients. Mr. Boucher responded they will be urged to check with their dialysis centers and there are several techniques which will remove the disinfectant. He pointed out chloramines disinfect water and reduce the formation of potentially carcinogenic compounds. No further action was taken on this item. Mayor Yates called for a break at 9:00 p.m.; the hearing resumed at 9:15 p.m. C-3 REQUEST FOR REVIEW OF OVERSIZE VEHICLE RESTRICTIONS ON THE EMBARCADERO; (CROTZER) • Councilmember Crotzer requested this item be agendized to reconsider parking restrictions along portions of the Embarcadero for vehicles more than six feet in height and/or eighteen feet in length. He stated some fine-tuning is needed as the ordinance affects standard American cars, trucks, and vans and is causing several problems, including discretionary enforcement. Police Chief Joe Loven stated existing vehicle ordinances place limitations on height and length of vehicles; however, that is discretionary. He said enforcement is undertaken in the spirit of the law, just like speeding. Mayor Yates stated people do not understand the spirit of the law and the signs are interpreted as unfriendly. He said he did not know if changing the height from 6 feet to 7 feet would be correct either. Chief Loven offered another alternative, adding signs indicating RV parking is allowed in the Front Street lot. Mayor Yates stated the purpose is to encourage RVs to park on Front Street and not along the Embarcadero or on street ends. Councilmember Anderson asked if the height could be changed to 7 feet and the length changed to 20 feet. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 23, 1996 PAGE 18 Mr. Boucher responded interior spaces are set at 22 - 23 feet to 46 give a 16 to 17 foot vehicle room to maneuver, with street end spaces shorter. Councilmember Crotzer stated he would prefer signs stating no RV parking and the length height changed to 7 feet. City Attorney David Hunt stated the RV definition does not have to be placed on the signs if Chief Loven is concerned about ambiguity. He said the definition could be included in the City ordinance. Councilmember Anderson suggested using stickers with the changed numbers to fit over the existing signs. MOTION: Mayor Yates moved the City Council amend the existing parking restrictions on the Embarcadero and its street ends from 6 feet tall and 18 feet long to 7 feet tall and 20 feet long, and direct the Police Chief and Public Works Director to bring back a resolution forthwith; signage to be changed at minimal expense. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) C-4 RESOLUTION NO. 69-96 APPROVING FINAL MAP FOR TRACT 1996; (CLOISTER'S SUBDIVISION) • Public Works Director Bill Boucher stated City and other governmental conditions of approval and Subdivision Map Act requirements necessary prior to recordation of the map have been met for the Cloister's Subdivision. He recommended Council approve the final map and subdivision improvement agreement, accept the offer of dedication for lots 121, 122, and 124 subject to approved completion of public improvements, accept the offer of scenic view easements, and adopt Resolution No. 69-96 for said map, agreement and easements with an amendment changing "Planning Commission to "City Council". MOTION: Mayor Yates moved the City Council approve Resolution No. 69-96 approving the final map for Tract 1996 (Cloister's Subdivision) as amended. The motion was seconded by Councilmember Anderson and carried with Councilmember Unger voting no. (4-1) F. The meeting adjourned at 9:42 p.m. co;d d Fidget Bauer-%,� • City Clerk City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of lift. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - SEPTEMBER 9, 1996; 5:00 P.M. CLOSED SESSION - SEPTEMBER 9, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-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. PUBLIC SESSION - SEPTEMBER 9, 1996 • VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS 40 A. CONSENT CALENDAR •nless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF AUGUST 12, 1996 A-2 RESOLUTION AUTHORIZING INSTALLATION OF STOP SIGNS ON AVALON STREET AT IRONWOOD AND SEAVIEW AVENUES A-3 SECOND QUARTERLY REPORT ON RALCCO RECYCLING A-4 PROCLAMATION DECLARING SEPTEMBER 16-22, 1996 AS "POLLUTION PREVENTION WEEK" A-5 PROCLAMATION DECLARING SEPTEMBER 21-OCTOBER 14, 1996 AS "COASTWEEKS"; AND SEPTEMBER 21, 1996 AS "ADOPT -A -BEACH COASTAL CLEAN-UP DAY" B. UNFINISHED BUSINESS B-1 RESOLUTION ALLOWING A VOLUNTARY "NO FISHING ZONE" AT TARGET ROCK C. NEW BUSINESS C-1 SELECTION OF VOTING DELEGATE FOR ANNUAL LEAGUE OF CALIFORNIA CITIES CONFERENCE (OCTOBER 13-15) 0-2 CONSIDERATION OF ENTERING INTO DISCUSSIONS WITH SONIC REGARDING RENEGOTIATION OF THE CURRENT CABLE TV FRANCHISE AGREEMENT C-3 COUNCIL REQUEST FOR REVIEW OF BUILDING DEPARTMENT FEES D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RESOLUTION NO. 68-96: INTENT TO FORM CLOISTER'S LIGHTING AND LANDSCAPE MAINTENANCE ASSESSMENT DISTRICT, AND APPROVAL OF ENGINEER'S REPORT D-2 INTRODUCTION OF WATER ALLOCATION MODEL - CONTINUED TO SEPTEMBER 23, 1996 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 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE • ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. G 0 • • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - SEPTEMBER 9, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: ABSENT: STAFF: CLOSED SESSION William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger None Dave Howell David Hunt Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Crotzer moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. E-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. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. n U • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 9, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt Rick Algert Bridgett Bauer Bill Boucher Jeff Jones Jim Koser Joe Loven Andrea Lueker Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Harbor Director City Clerk Public Works Director Fire Chief Finance Director Police Chief Recreation and Parks Director Harbor Director Rick Algert led the Pledge of Allegiance. LIGHTEN UP PG&E Power Plant Manager Randy Livingston presented the "Lighten Up" this evening. MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates congratulated and thanked Fire Chief Jeff Jones who acted as the strike team leader at the Castaic fire, with fire crews from Morro Bay, San Luis Obispo, Atascadero, Arroyo Grande, and Grover Beach. Councilmember Novak provided an update on the Yerba Buena stoplight, stating funding from AB 2702 will not be available, as the Legislature adjourned before passage of the bill. She stated the Finance Department will set up a special account for anyone who wishes to donate money for the stoplight. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 9, 1996 PAGE 3 • PUBLIC COMMENT Harry Rogers referred to Item C-3 (Council Request for Review of Building Department Fees) stating fees should be treated like other City services. He said single -lot owners should not be mixed up with subdivision developers. Mr. Rogers noted it is a right to build, not a privilege. Don Lockwood, Chairman of the Harbor Advisory Board, addressed Item B-1 (Resolution Allowing a Voluntary "No Fishing Zone" at Target Rock) stating the Harbor Advisory Board requests the City Council take no action and send the issue to the Board for additional review. He said he spoke to the Regional Water Quality Control Board marine biologist, who also expressed concern with this proposal. Ed Ewing stated there were eight oversize vehicles parked on the Embarcadero today, and none of them were campers. He said selective enforcement is arbitrary and gives too much discretion to police officers. Mr. Ewing stated the City should ask the State Legislature for a specific ordinance regarding RV's on Tidelands Trust property. He noted the increased sales tax will be used to pay high wages, and he objects to the use of FEMA funds to balance the budget. Roger Ewing referred to the following issues: 1) ordinances must • be enacted with long-term consequences in mind, not on political or emotional responses; 2) he agrees fish feeding at Target Rock should be heard by the Harbor Advisory Board; 3) most panel trucks and vans will violate the 6 ft. tall restriction on Embarcadero parking; 4) he feels it would be a waste of money to hook up channel 54 to either City Hall or Public Works; 5) he referred to Item D-1 (Intent to Form Cloister's Lighting and Landscape Maintenance Assessment District) and suggested adding a sentence to the escrow contracts for each house, which would state the assessment district will function in perpetuity. Lynda Merrill requested high priority to have Channel 54 access to the Community Center and the Veterans Hall. She said she hopes children's programs will be aired on this channel. Ms. Merrill suggested the initial deed agreements on Cloister's property state there will be a permanent assessment district. Ed Sylvester stated opposition to the no fishing zone, as many fishermen have been put out of business by restrictive State regulations. He does not believe the City should provide assistance to any particular business. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 9, 1996 PAGE 4 • Lloyd Reeves stated the proposed no fishing area is very small and fish are presently being planted and fed. He requested a time limit if Council postpones the approval of his proposal, and offered $500 for people to see how few fish are in Morro Bay and how many there are in Catalina Bay. Jim Wood stated the Public Works Department needs to be painted. Steve Mathieu stated opposition to the restricted parking for oversize vehicles on the Embarcadero as most American -made pickups and vans are over the limits. He addressed public access and recommended wiring only the Community Center and Veterans Building, with the hope a studio can be established at the Community Center in the future. Dorothy Krueger asked why people who move into Cloisters will be penalized for something everyone will enjoy. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Anderson requested a report from Public Works on the changeover in water treatment, as there is confusion about different procedures used by the City and the State. Mayor Yates requested agendizing the need to paint the Public Works building. • Councilmember Crotzer requested agenda time to modify the ordinance on oversize vehicle restrictions. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF AUGUST 12, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 RESOLUTION NO. 66-96 AUTHORIZING INSTALLATION OF STOP SIGNS ON AVALON STREET AT IRONWOOD AND SEAVIEW AVENUES Mr. Howell recommended Council approve Resolution No. 66-96 designating the intersections of Avalon Street - Ironwood Avenue and Avalon Street - Seaview Avenue as stop intersections, and authorizing and directing the installation of stop signs on all entrances to said intersections. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 9, 1996 PAGE 5 • A-3 SECOND QUARTERLY REPORT ON RALCCO RECYCLING Mr. Howell recommended Council receive the report for information. A-4 PROCLAMATION DECLARING SEPTEMBER 16-22, 1996 AS "POLLUTION PREVENTION WEEK" Mr. Howell recommended Council adopt the Proclamation declaring September 16-22, 1996, as "Pollution Prevention Week". A-5 PROCLAMATION DECLARING SEPTEMBER 21-OCTOBER 14, 1996 AS "COASTWEEKS"; AND SEPTEMBER 21, 1996 AS "ADOPT -A -BEACH COASTAL CLEAN-UP DAY" Mr. Howell recommended Council adopt the Proclamation declaring September 21 - October 14, 1996 as "Coastweeks"; and September 21, 1996 as "Adopt -A -Beach Coastal Clean -Up Day". Councilmember Novak pulled Item A-1 from the Consent Calendar. MOTION: Councilmember Unger moved the City Council approve Items A-2 through A-5. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF AUGUST 12, • 1996 Councilmember Novak provided corrections to the minutes of August 12, 1996 on pages 3 and 9. MOTION: Councilmember Novak moved the City Council approve Item A-1 (Minutes for the Regular City Council Meeting of August 12, 1996) as amended. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 67-96 ALLOWING A VOLUNTARY "NO FISHING ZONE" AT TARGET ROCK Harbor Director Rick Algert reviewed the proposal made by Lloyd Reeves for a voluntary no fishing zone to enhance the fish habitat in the Target Rock area. He recommended Council approve Resolution No. 67-96 establishing a voluntary no fishing zone at Target Rock. MOTION: Mayor Yates moved the City Council send the request for a voluntary no fishing zone to the Harbor Advisory Board for their review. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 9, 1996 PAGE 6 • C. NEW BUSINESS C-1 SELECTION OF VOTING DELEGATE FOR ANNUAL LEAGUE OF CALIFORNIA CITIES CONFERENCE (OCTOBER 13-15) Council consensus is there will be no City representative at this year's League of California Cities Conference. C-2 CONSIDERATION OF ENTERING INTO DISCUSSIONS WITH SONIC REGARDING RENEGOTIATION OF THE CURRENT CABLE TV FRANCHISE AGREEMENT Public Works Director Bill Boucher stated the Public Works Advisory Board considered a contract extension proposal between Sonic Cable TV and the City, and recommended Council pursue one of the options offered by Sonic Cable. Mr. Boucher recommended Council authorize staff to enter into discussions with Sonic Cable for renegotiation of the Cable TV Franchise Agreement, including implementation of a new Cable TV Ordinance, and to leave intact and relinquish to the City current equipment that will be replaced by fiber optic cabling. Mayor Yates expressed concern with discussing this issue since this is a contract negotiation; and asked if this issue should be considered in Closed Session. • City Attorney David Hunt responded it would be preferable not to lay all the cards on the table prior to negotiations. He said a wish list should be created and negotiations would take place based on the list. Councilmember Crotzer stated he does not see any point in wiring Public Works and City Hall, but the Community Center should be a high priority after the Veterans' Hall. He stated there is a need for a studio and for cooperating with the county -wide consortium, as well as a myriad of guarantees regarding equipment and equipment failure. Councilmember Crotzer stated community involvement should be fostered, and he could produce a list with more time for consideration. Mayor Yates stated he is still concerned about public access. He said he does not believe Sonic should close its local office to walk-in traffic. Mayor Yates pointed out the relationship with Sonic has not always been positive, and he is reluctant to extend the contract; he would like the item agendized for a public hearing. Councilmember Unger stated she has trepidation about closure of the local office, and there are citizens who are not happy with Sonic's service. She said she might consider a five-year contract. u MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 9, 1996 PAGE 7 • Councilmember Anderson stated there has been a positive relationship change with the new Sonic operators. He said he spoke to manager Jeff Smith about opposition to local office closure, and he feels there will be more cooperation because of small dish availability. Councilmember Anderson stated he would like more than one station available for public access. MOTION: Councilmember Unger moved the City Council schedule the consideration of entering into discussions with Sonic Cable regarding the Cable Television Franchise Agreement as a Public Hearing. The motion was seconded by Mayor Yates and unanimously carried. (5-0) Councilmember Unger suggested inclusion of a public notice into the October water bills to alert citizens to attend the hearing. C-3 COUNCIL REQUEST FOR REVIEW OF BUILDING DEPARTMENT FEES Councilmember Novak requested Council pursue the review of the City's Building Department fees, and direct staff accordingly. MOTION: Councilmember Novak moved the City Council agendize discussion of Building and Construction Permits Master Fee Schedule. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) • Mayor Yates called for a break at 7:00 p.m.; the meeting resumed at 7:20 p.m. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RESOLUTION NO. 68-96: INTENT TO FORM CLOISTER'S LIGHTING AND LANDSCAPE MAINTENANCE ASSESSMENT DISTRICT, AND APPROVAL OF ENGINEER'S REPORT Recreation and Parks Director Andrea Lueker stated on August 26th, Council adopted Resolution No. 63-96 which initiated proceedings for formation of a maintenance assessment district for the Cloister's subdivision, as well as directing staff to prepare an Engineer's Report detailing the estimated annual assessment for the parcel owners. She recommended Council review and approve the Engineers Report and adopt Resolution No. 68-96 declaring the intent to form the Cloisters Landscaping and Lighting Maintenance Assessment District. Councilmember Crotzer asked Ms. Lueker if there is a range of levels for park maintenance proposed for Cloisters. Ms. Lueker responded there are different levels, and Cloisters will contain three areas. She said the 4-acre park and demonstration garden will be highly maintained, while open space • and meadows will be maintained at C and D levels. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 9, 1996 PAGE 8 • Mayor Yates opened the hearing to public comment. Bob Wiese stated his opposition to the assessment district, as the developer is required to provide a park and view corridor. He said he believes the City should buy parkland and maintain it. Mr. Wiese stated the assessment district provides no control over improvements, modifications or repairs, and no accountability of expenditures. He said the park will be used by visitors and this document is a conspiracy between City staff and Cloisters' owners. Harry Rogers stated this park is overkill and another park is not necessary; he feels open space would be preferable. He said no one needs this park, and future citizens should not have to absorb the costs. Ed Ewing suggested the City stay away from wetlands areas because future Federal law could restrict public usage if migratory, endangered birds use the area. David Hanum asked how the City could take care of another public park when public restrooms throughout the City are not properly maintained. Jim Wood stated he would prefer dedicating the area as open space • so maintenance will not be necessary. He said there will be an argument in five or ten years about who will have to pay for the park. Mayor Yates closed the hearing to public comment. He said this issue has been in the works for many years with a tremendous amount of public input. Mayor Yates stated he understands the concerns and the nexus to Bayshore Bluffs Assessment District; however, safeguards have been built into this assessment district agreement. Councilmember Anderson stated many people have enjoyed Cloisters over the years, forgetting it has always been private property. He said these proposals have come from the owners and there has been a great deal of negotiation. He said Council has ensured the public will not pay for the parks out of the General Fund, and Cloisters' property buyers will understand the assessment district at the time of property purchase. Councilmember Unger stated she has opposed this project from the beginning, because she would like it to remain open land. She said she met with the owners and the design group, and she likes everything about the project except its location. Councilmember Unger stated the owners have a right to build, but her animosity to assessment districts overshadows her desire to keep the area • in open space. She said the result is the City has to take care MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 9, 1996 PAGE 9 • of dedicated property, but cannot afford to take care of existing parks while accumulating more property. Councilmember Unger stated it is unfair to the developer, to the City, to the budget, and to Ms. Lueker who has to provide manpower for all parks. She said the problem is the current law and, once again, she will not vote for this district. Councilmember Novak stated she does not favor assessment districts, however the legal process is being overlooked, as project conditions were agreed to five years ago. Mr. Hunt responded the parks are a condition of the Coastal Development Permit granted in 1991-92. He said there is a possible process which could be utilized to make changes; however, not in this context. Mr. Hunt stated the whole process would have to start over again, and the developer would lose all his rights. Councilmember Unger stated Council could allow Cloisters to be built and leave the middle section dedicated to open space and given to the State. She asked if the open space has to be turned over to the City. Mr. Hunt responded her suggestion is possible, but it is not practically feasible. He said the process would have to start over again, and three or four years of litigation has already • cost the City fifty to hundreds of thousands of dollars. Councilmember Crotzer stated this is a mechanism to take care of open space and parkland. He said the dunes were planted with iceplant for stabilization with good intentions; the project could accomplish something positive for life on the planet by inviting birds to continue on their migration. Councilmember Crotzer stated dune reconstruction also provides benefit to the overall ecosystem. He said the concept of stewardship of the land has been entirely lost in the debate over private ownership, and it is lamentable. Councilmember Crotzer stated it is not the City demanding open space, but the people of California desiring access to the shore throughout the State. MOTION: Mayor Yates moved the City Council approve Resolution No. 68-96 declaring the intent to form the Cloisters Landscaping and Lighting Maintenance Assessment District. The motion was seconded by Councilmember Anderson and carried with Councilmember Unger voting no. (4-1) D-2 INTRODUCTION OF WATER ALLOCATION MODEL This item was continued to the September 23, 1996 City Council meeting. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - SEPTEMBER 9, 1996 PAGE 10 F. ADJOURNMENT The meeting adjourned at 7:53 p.m. Recorded by: Bridgett Bauer City Clerk • 0 Ll 0 City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of lift. The City shall be committed to this purpose and will provide level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - AUGUST 26, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JUNE 24, 1996 AND JULY 22, 1996 A-2 STATEMENT OF CASH AND INVESTMENTS - JULY 1996 A-3 EXPENDITURE REPORT - JULY 1996 A-4 STATUS REPORT ON CITY-WIDE COMPUTER PROJECT A-5 STATUS REPORT ON R.V. PARKING REGULATION ON EMBARCADERO 4-6 AWARD OF CONTRACT FOR KINGS AVENUE WATER TANK; (PW 96-02) 1 -7 RESOLUTION NO. 61-96 APPROVING INSTALLATION OF STOP SIGNS AND RESOLUTION NO. 62-96 APPROVING PARKING RESTRICTIONS IN THE VICINITY OF SEQUOIA STREET A-8 RESOLUTION NO. 60-96 IN SUPPORT OF SENATE BILL 900 (WATER RESOURCES AND DELTA RESTORATION) A-9 PROCLAMATION DECLARING THE WEEK OF SEPTEMBER 17-23, 1996 AS "U.S. CONSTITUTION WEEK" A-10 PROCLAMATION DECLARING THE MONTH OF SEPTEMBER 1996 AS "U.S. CONSTITUTION OBSERVANCE MONTH" B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 63-96 INITIATING THE PROCEEDINGS TO FORM A LANDSCAPE AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT FOR THE CLOISTER'S SUBDIVISION PARK AND OPEN SPACE C. NEW BUSINESS C-1 DISCUSSION OF TRAFFIC CONTROL ON AVALON STREET C-2 CONSIDERATION OF ORDINANCE REGULATING NUMBER OF PEOPLE IN A HOUSEHOLD D. PUBLIC HEARINGS. REPORTS & APPEARANCES •-1 RESOLUTION NO. 64-96 REGULATING SKATING ON PUBLIC PROPERTY F. ADJOURNMENT 0 THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 2 • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember ABSENT: Ahnawake Unger Councilmember STAFF: Dave Howell City Administrator Philip Sinco Assistant City Attorney Rick Algert Harbor Director Bridgett Bauer City Clerk Bill Boucher Public Works Director Jeff Jones Fire Chief Jim Koser Finance Director Joe Loven Police Chief Andrea Lueker Recreation and Parks Director Shauna Nauman Interim Planning Director • Chief Loven led the Pledge of Allegiance. LIGHTEN UP Joel Walker presented the "Lighten Up" MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates introduced Police Chief Joe Loven, Sergeant Gregg Beuer, and canine officer Brooke. He then presented Al George of the Morro Bay Lions Club with a Certificate of Appreciation for the club's donation of over $7,000 for the new police dog, as well as training for Sergeant Beuer. Representatives of Morro Bay Farm Supply, Bowser Boutique, Coast Veterinarian Clinic, and the Peace Officer's Association also received Certificates of Appreciation for donations for the four - legged officer. Mayor Yates thanked to Morro Bay firefighters for participating in efforts to quell the Highway 58 fire. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 2 • Mayor Yates asked Councilmembers if they would attend the quarterly meeting of the League of California Cities on September 13th; Councilmember Anderson and Councilmember Crotzer responded affirmatively, time permitting. Mayor Yates stated the proposed stoplight at Yerba Buena and Highway 1 will take some months to wind its way through governmental channels. Councilmember Novak announced 120 people attended the Neighborhood Watch BBQ at Del Mar Park. PUBLIC COMMENT Bruce Elster outlined the high -occupancy ordinance enacted by the City of San Luis Obispo, and stated 171 cases have been successfully prosecuted. He said he supports Council's decision to develop an enforcement mechanism to protect neighborhood quality of life. Roger Ewing stated he was pleased to see the "Old Town" signs in place. He urged Council to examine Silver City Trailer Park's Conditional Use Permit, Coastal Permit and Grading and Fill Permit for the Little Morro Creek repair, as south -side residents are in danger of being flooded again. • City Administrator Dave Howell responded the EPA is lead agency; however, permits will be processed by the City. Erica Loure addressed Council regarding the traffic problem on Avalon Street and the concerns of local residents. She requested Council remedy this situation by placing stop signs at Ironwood and Seaview intersections in order to slow traffic. Jay Carruthers addressed Council on the proposed ordinance to regulate the number of people in a household, stating the Uniform Building Code provides definitions which should already be enforced by the Planning Department regarding this issue. He said overcrowding increases traffic and creates an unsafe environment. Jerry Loure addressed Council on the traffic problems surrounding Avalon Street. He said his wife has talked to 40 people on Avalon, and 38 were in favor of at least two stop signs to reduce speed. Ross Hale addressed Council on the proposed ordinance to regulate the number of people in a household, stating the Police Department does not have sufficient tools to get overcrowding under control on Monterey Avenue. He said one residence in his neighborhood has 10 to 15 people living in a 600 square foot house with the number and identity changing according to the • occupants' work shift. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 3 • Mark Tognazzini stated Avalon Street is a problem because of the way the street is set up. He urged Council to take action before someone gets killed. Howard Ray stated he supports Council's efforts to slow down the traffic on Avalon Street. Tracy Herman stated there is a 900 sq.ft house and garage on Las Tunas which contains 21 people. She said the Planning Department authorized the owner to sheetrock the garage, which allowed three more people to move in. Ms. Helman stated single-family homeowners have to undergo legal permit processes, while slum - like conditions are allowed for some residences. Catherine Shirey stated she has lived on Avalon Street for 33 years and speeding traffic has worsened. Alicia Shirey stated she does not allow her child to play in the front yard on Avalon Street because of the speeding traffic; and also stated her dog was run over on this street. Sue Johnson stated her grandchildren are not allowed out front of her Avalon Street house without an escort, and she has lost pets to speeders. She said she appreciates Police Department response to her calls, and everyone cheers when speeding tickets are • issued. Leah Tognazzini, Lisa Hampton, Sara Anderson, and Heather Hamilton requested Council do something to slow the traffic down on Avalon Street. David Sackwriter stated he and his wife would like to start a family and do not want to move away from Avalon Street; however, the traffic situation is a concern to them. He said it is scary to watch a child chase a ball because of the speeding traffic. John Barta asked Council to address the repeated letters to the editor in the local newspaper about constantly increasing water rates; he does not believe they are accurate. Public Works Director Bill Boucher responded there are no changes from previous reports and no increases in water rates. Bill Walters, attorney for Cloister's owners, referred to Item B- 1 (Resolution No. 63-96 Initiating the Proceedings to Form a Landscape and Lighting Maintenance Assessment District for the Cloister's Subdivision Park and Open Space). He said he is concerned with the 45-day noticing delay due to financing, • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 4 stating the owners will have to provide financial securities for • $7.1 million Mr. Walters requested Council waive the noticing requirement by amending the resolution adding language to the first "Whereas", and in paragraph 2: "as required by City ordinance." COUNCIL DECLARATION OF FUTURE AGENDA ITEMS Mayor Yates stated Councilmember Unger requested fees charged for water hookups be agendized. Councilmember Crotzer stated he is concerned with the upcoming rainy season before repairs are undertaken to Little Morro Creek; he requested agenda time to consider the possibility of restoring the creek to its original state. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JUNE 24, 1996 AND JULY 22, 1996 Mr. Howell recommended Council approve the minutes as submitted. • A-2 STATEMENT OF CASH AND INVESTMENTS - JULY 1996 Mr. Howell recommended Council receive this report for information. A-3 EXPENDITURE REPORT - JULY 1996 Mr. Howell recommended Council approve the report. A-4 STATUS REPORT ON CITY-WIDE COMPUTER PROJECT Mr. Howell recommended Council receive this report for information. A-5 STATUS REPORT ON R.V. PARKING REGULATION ON EMBARCADERO Mr. Howell recommended Council receive this report for information. A-6 AWARD OF CONTRACT FOR KINGS AVENUE WATER TANK; (PW 96-02) Mr. Howell recommended Council award the contract to San Luis Tank and Piping Construction Company, Inc. in the amount of $435,008. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 5 . A-7 RESOLUTION NO. 61-96 APPROVING INSTALLATION OF STOP SIGNS AND RESOLUTION NO. 62-96 APPROVING PARKING RESTRICTIONS IN THE VICINITY OF SEQUOIA STREET Mr. Howell recommended Council adopt Resolution Nos. 61-96 and 62-96 authorizing the installation of stop signs on Alder, Birch, Cedar, Dogwood, Elm Fir, and Hemlock Avenues at Sequoia Street, and establishing parking restrictions on portions of Sequoia Street. A-8 RESOLUTION NO. 60-96 IN SUPPORT OF SENATE BILL 900 (WATER RESOURCES AND DELTA RESTORATION) Mr. Howell recommended Council adopt Resolution No. 60-96 in support of Senate Bill 900, "The Safe, Clean, Reliable Water Supply Act". A-9 PROCLAMATION DECLARING THE WEEK OF SEPTEMBER 17-23, 1996 AS "U.S. CONSTITUTION WEEK" Mr. Howell recommended Council adopt the Proclamation declaring the week of September 17-23, 1996 as "U.S. Constitution Week". A-10 PROCLAMATION DECLARING THE MONTH OF SEPTEMBER 1996 AS "U.S. CONSTITUTION OBSERVANCE MONTH" • Mr. Howell recommended Council adopt the Proclamation declaring the month of September, 1996 as "U.S. Constitution Observance Month". MOTION: Councilmember Crotzer moved the City Council approve Items A-1 through A-10. The motion was seconded by Councilmember Anderson and unanimously carried. (4-0) B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 63-96 INITIATING THE PROCEEDINGS TO FORM A LANDSCAPE AND LIGHTING MAINTENANCE ASSESSMENT DISTRICT FOR THE CLOISTER'S SUBDIVISION PARK AND OPEN SPACE Recreation & Parks Director Andrea Lueker stated on July 8, 1996, the City Council accepted lots 121 and 122 of the Cloisters Subdivision, which consisted of 34 acres of open space and organized park. She said the proposed Landscape and Lighting Maintenance Assessment District will include all 120 parcels in the subdivision which will be assessed an annual fee to pay for the maintenance of the 34 acres of open space and organized park. Ms. Lueker recommended the City Council approve Resolution No. 63-96 declaring Council's intent to initiate the proceedings to form the Cloister's Landscape and Lighting Maintenance Assessment District. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 6 • Mayor Yates stated he would like Mr. Walter's concerns addressed, as Cloisters' owners are the only ones involved at this time. Ms. Lueker stated the notice can be waived and timing is not an issue. She said her primary concern is establishment of the assessment district to ensure it will continue to pay for maintenance of the park. Mayor Yates stated he is confused by whether or not the City is required to abide by the 45 day noticing requirement. Assistant City Attorney Philip Sinco responded the notice can be waived; however, he recommends the notice be issued to protect against the possibility of a future dissolution of the assessment district. He said the purpose of following noticing requirements is to maximize public awareness, in order to reduce the likelihood of a future argument. Mr. Sinco stated there is no legal requirement for the full period if both property owners agree to waive the notice. Mayor Yates stated he does not understand the argument if the property owner is the only one being noticed. He said the assessment district can be challenged in ten years whether there is a 45-day notice or not. Mr. Sinco responded there is no guarantee the district will not • be challenged, and it would merely decrease the success of an argument. Councilmember Crotzer asked about the purpose of noticing and who it addresses, the owner or the public. He believes the notice is an effort to provide information to the public. Ms. Lueker responded notices will be mailed to the two property owners and publicized in the newspaper, but in future years all 120 property owners will be noticed. She said the noticing will be repeated yearly. Councilmember Crotzer stated it is not just the property owners, but all the rest of Morro Bay citizens. He said all taxpayers will have an increased burden because of park maintenance if the assessment district is appealed successfully in the future. Councilmember Novak stated she could understand noticing provisions in the future, but at this time there are only two owners. Councilmember Crotzer said it is not only the two property owners, but all citizens who could bear the tax burden in the future. He said he wants to make sure lot buyers understand they will be obliged to pay approximately $1,000 per year in • perpetuity for park maintenance. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 7 • Councilmember Anderson agreed he is concerned with creating a lasting assessment district, and stated he was very disappointed with the outcome of Bayshore Bluffs Assessment District. He asked the City Attorney if a document could be drawn up to ensure this assessment district cannot be dissolved. Mr. Sinco responded a document could be drawn up; however, it may not be necessary as there may already be a provision in the Conditions, Covenants, and Restrictions. He said the City Attorney's office recommends caution, as it is better for the City to carefully follow noticing requirements, even though the requirement is not a legal one. Mayor Yates stated the waiver provision addresses this type of situation, and the owners have over $7 million in bonding at stake. Councilmember Crotzer stated it is a question of whether or not the spirit of the law addresses public information, especially in light of recent legal challenges to the State Constitution in regard to taxes. Councilmember Anderson stated the development could not be stopped, but at least new property owners would have to pay for public benefit improvements. He asked if the assessment district • requirement is included in the escrow papers. Councilmember Novak stated this item came before Council in June, when the creation of the assessment district was discussed. She said enough time has already gone by, and extending another 45 days will not provide any gain. Councilmember Crotzer stated Council is being asked to give an additional boost to Cloisters, and he feels it is more important to follow the letter of the law than to streamline projects for big developers. He said the legal process is being curtailed to save money for the developer. Mr. Sinco stated the CC&R's clearly state there is a maintenance assessment district and purchasers will have to read them; it is his opinion purchasers will have no legal grounds to plead ignorance. He said there is also notice in the escrow agreements, although there may someday be a City-wide assessment district. Councilmember Anderson stated bold print in both the CC&R's and the escrow agreement makes him more comfortable than a 45-day public notice requirement. He said the neighbors and the community both benefit from the assessment district. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 8 • Mr. Walter stated the assessment district is listed throughout the CC&R's and is contained in the subdivision agreement, and the Department of Real Estate sends a form to Recreation and Parks for the public report. He said the references are redundant throughout every type of document, the redundancy has been built in to avoid confusion, and the State Parks agreements contain the assessment district requirement. Councilmember Crotzer stated the boldface print helps inform property owners, but the waiting period broadly informs everyone in the City. He asked Mr. Walters to remove the clause regarding the possibility of a City-wide assessment district. Mr. Walters responded the language is consistent with the original project condition in the precise plan and the vesting map; he did not write the language, but merely incorporated it into the CC&R's. Mr. Sinco stated he was going to recommend removal of language providing for the possibility of a City-wide assessment district. MOTION: Mayor Yates moved the City Council approve Resolution No. 63-96 amended to add the words "as required by City ordinance" at the end of the first "Whereas", and in paragraph 2 under "Now, Therefore, Be It Resolved". The motion was seconded by Councilmember Novak and • carried with Councilmember Crotzer voting no. (3-1) Councilmember Anderson expressed concern regarding the future of the assessment district, and asked about necessary mechanisms to assure boldface type or capital letters always remain in future contracts. Mr. Sinco responded the City will have to approve every change to each CC&R. He assured Council that the City Attorney's office will look at the escrow papers to make sure the language is in bold print. Mr. Sinco asked Mr. Walters to present a copy of the escrow instructions to the City Attorney's office and to agree in writing on the specific papers. Councilmember Crotzer stated he is still concerned with proper noticing to the general public, and the CC&R's contain a paragraph which can eliminate the assessment district in the future. He said the City Attorney's office should be directed to remove the portion of the CC&R's which say the City will remove the district later. Mayor Yates offered a compromise, stating he does not believe the phrase is relevant to the resolution before Council. He offered to place the question about a future City-wide assessment district on the next agenda. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 9 • C. NEW BUSINESS C-1 DISCUSSION OF TRAFFIC CONTROL ON AVALON STREET City Administrator Dave Howell introduced this item for Council's consideration and requested Council direct staff accordingly. Councilmember Crotzer reviewed the letter received from the Tomac family, expressing opposition to the proposed locations of stop signs. He said the Tomac's feel a stop sign at the base of the hill will create additional danger, and their preference is a stop sign further up the hill to prevent people from swinging onto Avalon as if it was a ski run. Mayor Yates stated petitions with almost 60 signatures have been received requesting the City to install a three-way stop at the intersection of Seaview and Avalon and a four-way stop at the intersection of Ironwood and Avalon. Public Works Director Bill Boucher stated Council has broad discretionary powers to install stop signs. He said he believes the Tomac's have raised an important issue about the bottom of the hill. Mr. Boucher stated many discussions have been held by advisory boards about the situation, and Ironwood Avenue is the intersection of two residential collector streets with comparable volume; however, there is a disparate amount of traffic on • Seaview Avenue. He noted the installation of stop signs at any of the proposed locations will reduce the incentive of people to stay on Avalon Street. Mayor Yates stated Council has heard this item before, and the people on Avalon Street know what is best for the street. He said stop signs can be installed for a year and moved if they do not serve the purpose. Councilmember Novak stated she has spent time with friends who live on Avalon Street and she has seen the speeding traffic. She supports placing stop signs at both Ironwood and Seaview Avenues. Councilmember Anderson asked if a stop sign at Laurel Avenue would work in combination with a three-way stop at Seaview Avenue. He said he has coasted from Laurel Avenue onto Avalon Street at 40 mph. Councilmember Crotzer stated the Public Works Department has the knowledge to determine the best locations for stop signs; he believes staff should be directed to place the stop signs in as quickly as possible. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 10 • MOTION: Mayor Yates moved the City Council direct staff, in a timely manner, to bring forward the proper resolutions to install a three-way stop sign at Seaview and Avalon Avenues, and a four-way stop sign at the intersection of Ironwood Avenue and Avalon Street. The motion was seconded by Councilmember Anderson and unanimously carried. (4-0) C-2 CONSIDERATION OF ORDINANCE REGULATING NUMBER OF PEOPLE IN A HOUSEHOLD Councilmember Novak stated overcrowding of residential facilities by unrelated persons is occurring in different locations in the city which leads to numerous problems such as: 1) excessive number of cars parked in the area; 2) abandoned vehicles; 3) failure to properly maintain the property; 4) increased traffic density; and 5) increased Police Department calls and responses. Councilmember Novak requested Council direct staff to develop regulations for limiting residential occupancy levels. Assistant City Attorney Philip Sinco stated there have been challenges to these types of ordinances, and it will be difficult to draft an ordinance which will not be set aside in a constitutional attack. He said the City Attorney's office has been waiting for Council direction before studying the issue more carefully. Mr. Sinco stated some cases can be proven to be • public nuisances and can be prosecuted as such, either in criminal or civil court. He said the purpose of this ordinance will be to add teeth to enforcement action; however, there are cumbersome ways to address the problems as nuisance actions. Councilmember Crotzer stated permits must be obtained and regulations must be met for home improvement, and one regulation in particular focuses on off-street parking. He asked Code Enforcement Officer Steve Grindrod if there is an ordinance to prohibit ten cars in an R-1 district where two are permitted. Officer Grindrod responded there is no enforceable code section. Senior Planner Shauna Nauman stated five or more adults requires one parking space per adult; the number of bedrooms and bathrooms per adult is also specified in the Morro Bay Municipal Code. She noted code enforcement is handled through lack of parking or bedrooms. Councilmember Crotzer stated various laws are being broken, and neighborhoods are being degraded. He said there is the implication of slumlords taking advantage of people. Councilmember Anderson stated concerns arise in situations where conditions are not fulfilled and health and safety violations are • occurring. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 11 • MOTION: Councilmember Novak moved the City Council direct staff to develop regulations for limiting residential occupancy levels. The motion was seconded by Councilmember Crotzer and unanimously carried. (4-0) D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RESOLUTION NO. 64-96 REGULATING SKATING ON PUBLIC PROPERTY Recreation and Parks Director Andrea Lueker reviewed the damages that have occurred at the Community Center and Fire Station due to skateboarding, and recommended the City Council approve Resolution No. 64-96 prohibiting skateboarding at these locations. She also noted the resolution should be amended to add the Library parking lot. Councilmember Crotzer stated the skateboard park is now available four days a week, and larger private businesses have the option of prohibiting skating. He said penalties should be issued for those who cause damage to public property. Mayor Yates opened the hearing to public comment. Lynda Merrill stated Recreation and Parks staff have been more than patient with the skateboarders. She said she has talked to . many seniors who have been threatened by skateboarders, and who worry about stepping on slippery curbs. Ms. Merrill said the Recreation and Parks Commission stood behind the skateboarders, and the roller hockey rink has been built for young people, as well as the temporary skateboard park. She encouraged Council to approve the resolution to curb this misuse of the Community Center. Ed McCracken stated he is interested in having a place for kids to skate; however, the Community Center is not an appropriate location. He said the skateboard park has been built for this use, and the Recreation and Parks Commission is discussing making it a permanent park. Harry Rogers stated sidewalks are not sidewalks anymore, but raceways; this community should not tolerate this type of behavior. He said skateboarders cause a great deal of damage to public property and encouraged Council to include sidewalks throughout Morro Bay in the resolution. Linda Donnelly stated she believes the Community Center should be open to everyone, and she does not think vandalism will be stopped by prohibiting skating. She advocated establishment of a Youth Commission to address childrens concerns. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 12 • Ralph Gunther stated he has had kids run into his car while it was parked at the Community Center. He said the sidewalks on the Embarcadero are narrow and posting his property has not done any good. Mr. Gunther added skateboarders are a danger to pedestrians. • • Mayor Yates closed the hearing to public comment. He said it is a tough issue, but complaints from senior citizens are certainly troubling. Mayor Yates remembered telling the kids they would have to keep it cool, and no one wants to go through an obstacle course in a parking lot. Councilmember Anderson stated he is upset by graffiti and damage, and the Community Center parking lot was not built for use as a skateboard park. He does not think serious problems will cease unless skating is eliminated; he would like to see a permanent skateboard park established. Councilmember Anderson stated he has also been contacted by senior citizens who are afraid when they transit the parking lot. Councilmember Novak stated kids who are vandalizing the parking lot should be held accountable, but often times no one is around as it is late at night. She said staff has made an effort to control the situation, and she has seen the damage caused by skaters. Councilmember Novak stated she will support the resolution, and she encourages the Recreation and Parks staff to add hours to the portable skateboard park as a tradeoff. Councilmember Crotzer said he is angered by the vandalism, and youth sometimes need to be embraced with a firm grip. He feels the problem will be pushed to another location, and problems will crop up somewhere else. Councilmember Crotzer stated it is a case of poor parenting and the good kids are being penalized as well as the bad ones. He said he will have to rely on the discretion of the Police to catch only the bad kids, and not just the ones who use skateboards as transportation to karate and dance classes. Councilmember Crotzer stated the Community Center attracts kids, and only some of them are destructive. Mayor Yates asked who will perform enforcement. Councilmember Crotzer stated the Police should provide enforcement, as vandalism is against the law, and parents should have to pay and perform repairs. He said jail time should be imposed for trashing property, and current laws should be strictly enforced. Ms. Lueker stated children who use skateboards as transportation will not be targeted, but there is a group of four or five kids who spend the afternoon waxing curbs and operating runaway skateboards. She said the Police have been called several times, but they have been unable to find a code section to cite them. • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 26, 1996 PAGE 13 Mayor Yates asked if staff has examined problems at the Library parking lot and the Fire Department lot. Ms. Lueker responded there are disruption and safety issues at the Fire Department. She said kids fly across the driveway to Albertson's. She said she has received a letter from Librarian Jude Long about problems at the Library parking lot, and she asked for its inclusion in the resolution. MOTION: Mayor Yates moved the City Council approve Resolution No. 64-96 regulating skating on public property with the following additions: In the third "Whereas", add the words "Morro Bay Library"; after the first "Be It Further Resolved", add another "Be It Further Resolved" stating "that skating be prohibited in the Morro Bay Library parking lot"; and in the final "Be It Further Resolved", add the Morro Bay Library. The motion was seconded by Councilmember Anderson and carried with Councilmember Crotzer voting no. (3-1) Councilmember Crotzer stated there is a flavor Council has been intimidated in this resolution. He said he wants to make sure people who are being destructive will be apprehended and cited. F. ADJOURNMENT The meeting adjourned at 9:18 p.m. Recorded by: Bridgett Bauer City Clerk City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is deducted to the preservation and enhancement a f the quality of lift. 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 12, 1996; 5:00 P.M. CLOSED SESSION - AUGUST 12, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956 9(B)(2)• CONFERENCE WITH LEGAL COUNSEL REGARDING ANTICIPATED LITIGATION ♦ THE COUNCIL WILL MEET TO DISCUSS AND DECIDE WHETHER A CLOSED SESSION IS AUTHORIZED UNDER GOVERNMENT CODE SECTION 54956.9(B)(1) BASED UPON EXISTING FACTS AND CIRCUMSTANCES. PUBLIC SESSION - AUGUST 12, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA *LL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. • 1 CONSENT CALENDAR Onless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JUNE 24, 1996 AND JULY 8, 1996, AND THE SPECIAL BUDGET MEETING OF JULY 3, 1996 A-2 APPROVAL OF COOPERATIVE AGREEMENTS WITH SAN LUIS OBISPO COUNCIL OF GOVERNMENTS FOR THE SOUTH BAY BOULEVARD PROJECT AND CHORRO CREEK PROJECT A-3 RESOLUTION NO. 59-96 ESTABLISHING COUNCIL POLICY TO REVIEW BUDGET BETWEEN MAY 1 AND MAY 31 OF EACH YEAR A-4 STATUS REPORT ON OLD TOWN SIGNAGE A-5 RESOLUTION NO. 60-96 IN SUPPORT OF SENATE BILL 900 (WATER RESOURCES AND DELTA RESTORATION) A-6 CITY ATTORNEY REPORT ON GEORGE LITIGATION F�JOCW.'i.iX�71'-IVia*. ZIQUD C. NEW BUSINESS 1 RECONSIDERATION OF CITY PARKING FINE SCHEDULE C-2 REVIEW OF CAPITAL IMPROVEMENT BUDGET AND YERBA BUENA STOPLIGHT C-3 DETERMINATION IF COUNCIL WISHES STAFF TO PURSUE A VOLUNTARY NO FISHING ZONE NEAR MORRO ROCK D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CASE NO. ZOA 01-96, AMENDMENT TO MORRO BAY MUNICIPAL CODE CHAPTER 17.36 (ZONING) TO IMPLEMENT THE DESIGN GUIDELINES PORTION OF THE WATERFRONT MASTER PLAN - CONTINUE TO AUGUST 26, 1996 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 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND HILLS 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. 2 E • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - AUGUST 12, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt CLOSED SESSION Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. E-1 GOVERNMENT CODE SECTION 54956.9(B)(2): CONFERENCE WITH LEGAL COUNSEL REGARDING ANTICIPATED LITIGATION ♦ THE COUNCIL WILL MEET TO DISCUSS AND DECIDE WHETHER A CLOSED SESSION IS AUTHORIZED UNDER GOVERNMENT CODE SECTION 54956.9(B)(1) BASED UPON EXISTING FACTS AND CIRCUMSTANCES. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 12, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt Rick Algert Bridgett Bauer Bill Boucher Jeff Jones Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Harbor Director City Clerk Public Works Director Fire Chief Finance Director Police Chief Recreation and Parks Director Interim Planning Director Fire Chief Jeff Jones led the Pledge of Allegiance. LIGHTEN UP Police Chief Joe Loven presented the "Lighten Up". MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: ♦ Item D-1 (Amendment to Morro Bay Municipal Code Chapter 17.36 (Zoning) to Implement the Design Guidelines Portion of the Waterfront Master Plan) has been continued to September 23, 1996; and ♦ Thanks to Public Works Director Bill Boucher and City Engineer Steve Sylvester for their work on the Twin Bridges Project. Councilmember Crotzer stated he is seeking re-election to the City Council. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 12, 1996 PAGE 3 • Councilmember Novak provided an update on AB 2342 (immunity for public entities providing marine weather forecasts and advisories) stating it passed on the State -Senate Assembly floor but - -hag -been- held- -up -by failed in the State Senate Judiciary Committee; the bill will not go into law this year. • • Councilmember Unger stated funds have been provided for a new North Cuesta College campus. Councilmember Anderson asked if the order of agenda items could be changed in order to address Item C-2 (Review of Capital Improvement Budget and Yerba Buena Stoplight) at the top of the agenda. Council consensus was to hear Item C-2 before Public Comment. C-2 REVIEW OF CAPITAL IMPROVEMENT BUDGET AND YERBA BUENA STOPLIGHT Councilmember Novak expressed the need for a Capital Improvement Budget and recommended the City Council support a capital improvement financing proposal, outline a capital improvement project priority list, and direct staff to develop a financing option package. She is seeking funding for the Yerba Buena stoplight and requested it be added to the priority list. Councilmember Crotzer stated there is an overriding need to pay attention to deteriorating infrastructure; however, he does not support borrowing money to pay for projects. He said he believes the reserve account should be replenished through the revenue stream by keeping expenditures low in order to garner grants and matching funds from the State. Councilmember Unger stated CalTrans estimated $120,000 just for the stoplight with the City paying half the amount, and the City would also have to pay for street modifications and construction design; maintenance was estimated at an additional $200 per month. Councilmember Unger stated she has received complaints about potholes and roads which washed out, and she would prefer to find grants instead of borrowing money. Councilmember Anderson stated he would support the installation of the stoplight if the sales tax increase passes. He said he is committed to replacing the fireman/paramedic position which was cut from the budget, and there are pressing needs in other departments as well. Councilmember Anderson feels passage of the TOT and sales tax will provide funding for the stoplight. Councilmember Crotzer noted the cost of the light will be $70,000 up front, followed by $2,400 per year in perpetuity. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 12, 1996 PAGE 4 • Mayor Yates stated a commitment must be made to install the stoplight, and he would be willing to dip into the current reserve of $600,000. He said this is an issue of lives, not potholes. Councilmember Unger pointed out a good deal of construction was necessary to install the stoplight and left -turn lanes at Old Creek Road and Highway 1. She believes the cost will be considerably more than anticipated, and she opposes using the reserve fund. Councilmember Unger stated the reserve fund should be untouched; this is not an emergency situation. Councilmember Crotzer stated the community has asked for the stoplight, but it should not require a higher sales tax for this accomplishment. He noted the California Men's Colony (CMC), Cuesta College, and Cayucos all received stoplights from CalTrans, and he does not believe extra taxes should be necessary for a stoplight. Councilmember Novak replied the stoplights at Cuesta College and CMC were funded with special grant money from air pollution mitigation. She said Morro Bay does not qualify for the grant money, and CalTrans has a standard policy regarding cost sharing. Mayor Yates opened the hearing to public comment. • Barbara Playan stated children's safety is the issue at this dangerous intersection. She said a CalTrans spokesman told her 60k of the cost would be paid by CalTrans, and she pointed out the State Park and school buses would also benefit from the stoplight. Jane Masterson stated the danger has increased as the area has become more populated, and she has watched many accidents and close calls. She advocated a stoplight to reduce the risks. Gail Winther stated she has children who cross the highway to go surfing, and she has had close calls in her car and often goes to San Jacinto instead. She considers the situation an emergency for drivers, children, and pets. Michelle Dodson said children have to wait a long time in the fog to cross the highway, and she believes a school bus accident would cost the City a lot of money. Fred Guaschino, whose son was killed at the intersection, said the stoplight should be given top priority and anything else would be dereliction of responsibility to citizens. Jean Lamoro stated she watched a neighborhood child grow up and then be killed at this intersection, and urged Council to approve • the placement of a stoplight. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 12, 1996 PAGE 5 • Roz Rogoff stated there are too many close calls and the intersection is very dangerous. Cindy Crostoff stated she took the boy who was killed to the fireworks last year, and her life has changed forever. She said the stoplight must be installed. Justin Lamoro stated his neighbor had an accident at the intersection, and said the stoplight is needed. Don Hedlin stated the intersection is especially dangerous during the summer and is a time bomb waiting to go off again. He said there is a lot of traffic going very fast, and many people trying to cross at all times. Mike Anderson stated beach tract residents often use San Jacinto to avoid this intersection, and there is no other place in the City which needs more attention. Jessica Schneider, 15, stated she does not go to the beach very often because she is afraid to cross the highway. She said she has waited forever to cross the road, and she felt the flags were helpful while they were there. Steve Mathieu stated the need for a stoplight has been painfully • obvious for years. He objects tying the light to a ballot measure and believes Council should reach a decision tonight to put people's minds at ease. Mayor Yates closed the hearing to public comment. MOTION: Mayor Yates moved the City Council direct the Public Works Director to immediately go to work to bring a traffic light at the corner of Yerba Buena and Highway 1 to reality; direct the Finance Director to provide recommendations for financing the stoplight; and, if no place in the budget can be found, the money will come from the emergency reserve fund. The motion was seconded by Councilmember Novak and carried unanimously. (5-0) Councilmember Unger stated the people certainly made their case and it is ludicrous to sit on the reserve when the stoplight is needed so much. She said everyone will benefit, especially children and the elderly. Councilmember Novak stated she will continue to seek funding through the State Assemblyman and State Senator to help pay for the stoplight. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 12, 1996 PAGE 6 • Councilmember Crotzer stated he supports the motion, even though he is not comfortable with the contradictions. He said the staff report states there are not sufficient warrants to provide high priority for the stoplight. Councilmember Crotzer stated he does not believe this situation fits the emergency category for the reserve fund, and would like to pursue the discussion after the vote. Councilmember Anderson stated many employee positions have been eliminated and the City is not financially sound; he requested the audience members support the proposed tax initiatives on November's ballot. Councilmember Crotzer asked Public Works Director Bill Boucher about CalTrans criteria to find enough warrants to provide priority for the stoplight. Mr. Boucher responded CalTrans collects all reported accidents and studies number and frequency of accidents to determine the appropriate remedy. He stated a broadside accident is considered susceptible to correction where a rear -end collision might not be. Mr. Boucher said 11 different types of warrants are used to determine solutions. He noted CalTrans had been asked to perform a new warrant analysis which includes the summer of 1996. Councilmember Unger pointed out she sits on the San Luis Obispo • Council of Governments and the Regional Transit Authority, and there are multi -layered priority lists, with the Yerba Buena stoplight falling in the lowest priority classification. She said she will try to have the stoplight raised to a higher priority. Councilmember Novak stated she spoke to Nevin Sams of CalTrans, and he said the proposed signal did not meet all warrants for correctable warrants; however, it met enough warrants for volume. She said Mr. Sams stated "a signal is warranted," and it is the next logical light on Highway 1. Mayor Yates called for a break at 7:05 p.m.; the meeting resumed at 7:25 p.m. PUBLIC COMMENT Lloyd Reeves, owner of MB Kayak, addressed Item C-3 (Voluntary No Fishing Zone) stating his business would benefit from this proposal. He said there will be little impact to the bay, and he will pay for all costs. Jerry Lure addressed Council regarding the placement of stop signs at the Ironwood intersection in order to correct the traffic impact. E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 12, 1996 PAGE 7 • Bill Raflowski stated the proposed stop light at Yerba Buena could be paid for with the salary increase given to City management recently. He addressed Measure L, the cablecasting initiative, stating it is needed to provide more information to the public. Nelson Sullivan addressed what the proponents of Measure L are trying to achieve by offering unedited tapes of public meetings. Bill Peirce stated most large cities provide low-key television coverage of Council and Planning Commission meetings without commissions. He said he opposes spending $45,000 per year to provide coverage, when the volunteers are doing such a good job now. Lynda Merrill stated she appreciates Channel 54, and thanked Council and Steve Mathieu for providing quality coverage. She said she believes the broadcasts should remain in the hands of citizens and government should not take over or control the switches. Harry Rogers defended the honesty of this Council and stated he has been fighting to get the Planning Department revamped for 15 years; he made 17 complaints about the department before Mayor Yates was in office, and he feels the mayor deserves some credit. • Randy Ruff disagreed with the City Attorney's analysis of the cablecasting initiative, and stated the commission will operate under Council oversight. He said the initiative is legal and will not create enormous problems. Erica Lord addressed the traffic problem on Avalon Street. Steve Mathieu stated he believes Item D-1 (Amendment to Morro Bay Municipal Code Chapter 17.36 (Zoning) to Implement the Design Guidelines Portion of the Waterfront Master Plan) is supposed to come before Council in a public workshop forum. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS Councilmember Unger asked for agenda time to discuss an ordinance to regulate high occupancy residential use. Councilmember Novak stated she declared the subject some time ago and it should be on track for the next meeting. Mayor Yates asked for agenda time for the Avalon Street speeding issue, and the possibility of installing stop signs. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 12, 1996 PAGE 8 • A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JUNE 24, 1996 AND JULY 8, 1996, AND THE SPECIAL BUDGET MEETING OF JULY 3, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 APPROVAL OF COOPERATIVE AGREEMENTS WITH SAN LUIS OBISPO COUNCIL OF GOVERNMENTS FOR THE SOUTH BAY BOULEVARD PROJECT AND CHORRO CREEK PROJECT Mr. Howell recommended Council approve the agreements and authorize staff to execute the same. A-3 RESOLUTION NO. 59-96 ESTABLISHING COUNCIL POLICY TO REVIEW BUDGET BETWEEN MAY 1 AND MAY 31 OF EACH YEAR Mr. Howell recommended Council approve Resolution No. 59-96. A-4 STATUS REPORT ON OLD TOWN SIGNAGE Mr. Howell recommended Council receive this report for • information. A-5 RESOLUTION NO. 60-96 IN SUPPORT OF SENATE BILL 900 (WATER RESOURCES AND DELTA RESTORATION) Mr. Howell recommended Council approve Resolution No. 60-96. A-6 CITY ATTORNEY REPORT ON GEORGE LITIGATION Mr. Howell recommended Council receive this report for information. Councilmember Crotzer pulled Item A-1 (Minutes of June 24, 1996) from the Consent Calendar; and Councilmember Novak pulled Item A-5. MOTION: Councilmember Unger moved the City Council approve the Consent Calendar with the exception of Items A-1 (Minutes of June 24, 1996) and A-5. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 12, 1996 PAGE 9 • A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JUNE 24, 1996 AND JULY 8, 1996, AND THE SPECIAL BUDGET MEETING OF JULY 3, 1996 Councilmember Crotzer referred to page 11 of the June 24, 1996 minutes, stating minutes are the City Clerk's responsibility, and there are both videotapes and audio tapes of every meeting. He said when a change is requested by a councilmember, he would prefer the transcriber provide a verbatim rendering of the minutes, rather than allow a councilmember to change the text to state what a councilmember meant to say. Councilmember Unger responded she borrowed the videotape of the June 24 minutes and she only changed the pronoun from "I" to "she" and included the tape portion verbatim. She offered to send the minutes back for staff to corroborate her exact language as delineated in the revision. Councilmember Crotzer stated he listened to the tape with the City Clerk and the words are not rendered exactly as stated, nor the intent. He stated the conversation was a dialogue and should state what was said and not what was meant to be said. Council requested the minutes of June 24, 1996 go back for a verbatim rendering of the discussion. • Councilmember Unger asked Councilmember Novak what she said about State legislation on page 1 of the June 24th minutes. Councilmember Novak replied State law allows 6.25% sales tax and also allows cities to collect an additional 1%, but anything over 1% needs State legislation for a City to be able to collect additional sales tax. She noted the proposed additional ..2516 .50% will require State legislative authority. City Attorney David Hunt stated the premise of minutes is to record action and direction of Council, and more inclusion of debate results in lack of clarity. A-5 RESOLUTION NO. 60-96 IN SUPPORT OF SENATE BILL 900 (WATER RESOURCES AND DELTA RESTORATION) Councilmember Novak offered additional information regarding SB 900. She said SB 900 will be listed as Proposition 204 on the November State ballot. Councilmember Novak suggested amending Resolution No. 60-96, "Now Therefore, Be It Resolved," to include sending a letter to the Safe, Clean Reliable Water Supply Act Committee requesting -they that the Citv of Morro Bay endorses the proposition. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 12, 1996 PAGE 10 Councilmember Crotzer stated support of SB 900 is almost self- evident, and adding Councilmember Novak's suggestion makes sense and should be directed to the people as well as to the legislators. Councilmember Novak added language to the resolution: "Whereas, SB 900 will appear on the November 1996 ballot as Proposition 204 as a bond measure." Councilmember Unger stated she did not want to change the resolution, as she was not aware of Proposition 204. Councilmember Novak offered to change the language and include the letter to the committee, add education for the voters, and bring the resolution back to the next Council meeting. Council concurred that Councilmember Novak and Councilmember Unger amend the resolution and return it for Council approval. B. UNFINISHED BUSINESS - NONE. C. NEW BUSINESS C-1 RECONSIDERATION OF CITY PARKING FINE SCHEDULE Police Chief Joe Loven introduced for Council consideration the • City Parking Fine Schedule stating during recent budget hearings, there was discussion regarding the overnight parking of Recreational Vehicles on the Front Street parking lot in order to avoid paying fees at local RV campgrounds. He noted the existing fine for parking overnight at the Front Street lot is below campground fees, thus, too low to discourage the practice. Chief Loven requested the City Council provide direction to staff as to its desire to change any of the existing parking fines. Councilmember Crotzer stated the key is fairness, and RV sleepers should pay increased fines. He suggested raising fines for Sections 10.36.030, 10.36.040, and 10.36.200. Councilmember Crotzer added higher fines should not be appealable by residents. Councilmember Unger stated the Police would not force entry into a recreational vehicle, so she opposes raising the fines. Councilmember Novak stated she cannot support an increase from $10 to $20 for posted time restrictions, as too much ill will would be generated. Councilmember Anderson stated illegal camping is not taking place on Morro Bay Boulevard, and he would like some way to differentiate between downtown and Front Street. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - AUGUST 12, 1996 PAGE 11 • Mr. Howell stated creating an ordinance might cost more than would be collected in increased fines. Mayor Yates stated Council support is lacking for any changes. He said he believes the process for bringing an item forward has been sidestepped, although the report is a good one. Mayor Yates asked about the waterfront signs regarding RVs and requested a Consent Calendar report for the next meeting. Chief Loven responded the signs are being constructed by Public Works. C-3 DETERMINATION IF COUNCIL WISHES STAFF TO PURSUE A VOLUNTARY NO FISHING ZONE NEAR MORRO ROCK City Administrator Dave Howell reviewed the proposal presented by Lloyd Reeves of Kayaks of Morro Bay/Sub-Sea Tours, for a voluntary "no fishing zone" near Morro Rock. He stated the purpose would be to help create a fish feeding and restoration area, to reduce the amount of monofilliment gear lost in this area of heavy kelp, and help allow for reliable viewing areas at no fiscal impact to the City. Council consensus was in support of the proposal on a trial basis. • MOTION: Mayor Yates moved the City Council direct staff to draft a "No Fishing Zone" policy, and reagendize for Council Is review. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CASE NO. ZOA 01-96, AMENDMENT TO MORRO BAY MUNICIPAL CODE CHAPTER 17.36 (ZONING) TO IMPLEMENT THE DESIGN GUIDELINES PORTION OF THE WATERFRONT MASTER PLAN This item was continued to the September 23, 1996 City Council meeting. The meeting adjourned at 8:35 p.m. Recorded by: Bridgett Bauer City Clerk n .a 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 Leal of municipal service and safety consistent with and responsive to the nerds of the public. REGULAR MEETING - JULY 22, 1996; 5:00 P.M. CLOSED SESSION - JULY 22, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956 9(A): CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION ♦ STATUS REPORT ON ALL PENDING LITIGATION. THIS IS A REPORT ON STATUS AND NO ACTION MAY BE TAKEN ON ANY MATTER NOT SPECIFICALLY LISTED. COUNCIL MAY REQUEST A SPECIFIC MATTER BE AGENDIZED IN THE FUTURE FOR ACTION. ♦ CITY OF MORRO BAY v DON FUNK, SAN LUIS OBISPO SUPERIOR COURT CASE NO. CV 079045 ♦ IN THE MATTER OF THE JAMES AND MARGIE GEORGE BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 94-12409-RR; CITY OF MORRO BAY v. GEORGE, SAN LUIS OBISPO SUPERIOR COURT CASE NO. CV 77536; GEORGE V. HOPPES, SAN LUIS OBISPO MUNICIPAL COURT CASE NO. MC 53150; IN THE MATTER OF THE MARY • GEORGE BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 95-15300-RR; GEORGE v.'CITY OF MORRO BAY (II), U.S. BANKRUPTCY COURT CASE NO. ND 94-12409- RR; IN THE MATTER OF THE JAMES GEORGE IV BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 96-12288-RR PUBLIC SESSION - JULY 22, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF JUNE 24, 1996 A-2 STATEMENT OF CASH AND INVESTMENTS - JUNE 1996 A-3 EXPENDITURE REPORT - JUNE 1996 A-4 QUARTERLY SALES TAX REPORT A-5 APPROVAL OF COOPERATIVE AGREEMENT WITH SAN LUIS OBISPO COUNCIL OF GOVERNMENTS FOR SOUTH BAY BOULEVARD PROJECT A-6 RESOLUTION NO. 57-96 APPROVING TEMPORARY PLACEMENT OF A CENTRAL COAST MARITIME MUSEUM ANCHOR AT TIDELANDS PARK A-7 AUTHORIZATION TO JOIN AS FRIENDS OF THE COURT IN TURNER V. BUTTE COUNTY A-8 REJECTION OF CLAIM AGAINST THE CITY; (FUNK) •B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 58-96 ADOPTING FISCAL YEAR 1996/97 MASTER FEE SCHEDULE B-2 RESOLUTION NO. 56-96 ADOPTING FISCAL YEAR 1996/97 BUDGET C. NEW BUSINESS C-1 CONSIDERATION OF NATIONAL/MORRO BAY ESTUARY ASSISTANCE WITH CITY HARBOR WATER PLAN D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONSIDERATION OF WATER EQUIVALENCY TRANSFERS D-2 REVIEW OF GRANTEE PERFORMANCE REPORT ON WATER RECLAMATION; (95-EDBG-373) F. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TINE SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND HILLS STATIONERY. ON 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 ARRANGMMS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. .0 • if MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - JULY 22, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: ABSENT: STAFF: CLOSED SESSION William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger None Jim Koser David Hunt Mayor Councilmember Councilmember Councilmember Councilmember Acting City Administrator City Attorney MOTION: Councilmember Unger moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. E-1 GOVERNMENT CODE SECTION 54956.9(A); CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION ♦ STATUS REPORT ON ALL PENDING LITIGATION. THIS IS A REPORT ON STATUS AND NO ACTION MAY BE TAKEN ON ANY MATTER NOT SPECIFICALLY LISTED. COUNCIL MAY REQUEST A SPECIFIC MATTER BE AGENDIZED IN THE FUTURE FOR ACTION. ♦ CITY OF MORRO BAY v. DON FUNK, SAN LUIS OBISPO SUPERIOR COURT CASE NO. CV 079045 ♦ IN THE MATTER OF THE JAMES AND MARGIE GEORGE BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 94-12409-RR; CITY OF MORRO BAY v. GEORGE, SAN LUIS OBISPO SUPERIOR COURT CASE NO. CV 77536; GEORGE v. HOPPES, SAN LUIS OBISPO MUNICIPAL COURT CASE NO. MC 53150; IN THE MATTER OF THE MARY GEORGE BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 95-15300-RR; GEORGE v. CITY OF MORRO BAY (II), U.S. BANKRUPTCY COURT CASE NO. ND 94-12409-RR; IN THE MATTER OF THE JAMES GEORGE IV BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 96-12288-RR MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: None STAFF: Jim Koser Acting City Administrator David Hunt City Attorney Rick Algert Harbor Director Bridgett Bauer City Clerk Joe Loven Police Chief Shauna Nauman Interim Planning Director Mike Pond Acting Fire Chief • Henry Piaskowski led the Pledge of Allegiance. LIGHTEN UP Jim Koser presented the Lighten Up. MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates presented Certificates of Appreciation to Hsio Lin and Polly Lapp for their assistance in the arrest of armed robbers. Chief Loven presented each with a check for $500 from the Crime Stopper Program. Mr. Lin presented his check back to Crime Stoppers. Mayor Yates announced Grace Melton has offered a cake in celebration of the City's 32nd birthday. Councilmember Crotzer announced the opening for candidates for City Council and encouraged citizens to get involved. Mayor Yates asked Councilmember Crotzer to explain his stand on the sales tax ballot initiative. He pointed out Councilmember Crotzer voted for the measure and now is speaking against it. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 3 is weeks Crotzer stated he has studied the budget for three weeks and no longer believes the City is in dire financial straits. He said the problems are caused by cash flow problems resulting from the March 1995 floods and the City's lead agency status on Twin Bridges, which will require $5 million in up -front charges to be paid back by other agencies. Councilmember Crotzer stated there is $4 million in City cash reserves; although one City employee has been layed off, he does not see any reason to increase the sales tax at this time. Mayor Yates stated the budget may be balanced; however, many program cuts had to be made, there is no budget for capital projects, and several employees are gone. Councilmember Unger asked Mr. Koser for clarification of capital reserves. Finance Director Jim Koser responded the cash balance for the City's entire investment portfolio is $3.77 million, and it is down $250,000 from last month. He said the portfolio totaled $4.47 million in May 1995 and initial payments are being made to the bridge contractors, and then reimbursement will be claimed, which is a matter of some concern. Councilmember Anderson stated the fact there is a balanced budget with no capital improvement monies is a very serious situation. • He said there have been discussions about combining departments, and the Fire Department is seriously understaffed. Councilmember Anderson stated the entire City would benefit from passage of the sales tax increase, which amounts to a nickel on every $10. He believes the balanced budget has come at a very high price. PUBLIC COMMENT Roz Rogoff addressed the possibility of live audio broadcasts of Council meetings, since channel 54 will be available from Sonic. She said an ordinary telephone line is all that is necessary to forward audio feed to Sonic. Ms. Rogoff spoke to Sonic Manager Jeff Smith, who has offered technical assistance. Mayor Yates asked for and received consensus to agendize audio broadcasts for PWAB. Henry Piaskowski recommended the City place coin -operated toilets in the City's public restrooms. Steve Mathieu announced channel 54 is on the air from 6 a.m. to midnight, and he would like to broadcast tonight's meeting at 9 a.m. in the morning to see how it works. He agrees a live audio feed is desirable, but nothing is as simple as people think it is. Mr. Mathieu has spent three to five hours a day for the past • few days wiring the Nutmeg site, and it has not been easy. He is MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 4 • working on a varied broadcast schedule of Brown Act meetings, a character -generated community calendar, and civic events. Charles Palmer said the budget is balanced, but $350,000 was transferred from the water fund and transferred to the General Fund; smaller amounts were taken from sewer, gas tax, and other funds. He said the City Administrator costs the City $110,000 per year, and he does not believe raises should be given. Mr. Palmer said money collected for specific funds should stay in the funds and not be misappropriated into other funds. John Barta stated he believes staff has been put in a difficult position because of City policy requiring departments to pay their own way. He said the Police Department is supported without hesitation, even though fees do not equal costs. Mr. Barta said City planning is important also, as planning ensures the property next door does not become a pig farm. Mr. Barta stated a lot of the budget consists of projections based on assumptions, and he hopes Councilmembers will dedicate their energies toward reducing regulation and regulatory costs instead of raising building fees even higher. Jack Hunter, President of the Central Coast Maritime Museum, thanked City Council and Chevron for assistance in moving the anchor. • DECLARATION OF FUTURE AGENDA ITEMS Mayor Yates reported Lloyd Reeves asked for a voluntary no - fishing zone from Target Rock east 350 yards, so more fish will be visible for his submarine business. Councilmember Unger stated SE 900, sponsored by both Tom Bordonaro and Jack O'Connell, will aid local jurisdictions with development of water conservation and reclamation. She asked for Councilmembers to support a resolution backing SB 900, and she received consensus to write it and bring it back to Council. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF JUNE 24, 1996 Mr. Koser recommended Council approve the minutes as submitted. A-2 STATEMENT OF CASH AND INVESTMENTS - JUNE 1996 Mr. Koser recommended Council accept the report as submitted. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 5 • A-3 EXPENDITURE REPORT - JUNE 1996 Mr. Koser recommended Council approve the report as submitted. A-4 QUARTERLY SALES TAX REPORT Mr. Koser recommended Council accept the report as submitted. A-5 APPROVAL OF COOPERATIVE AGREEMENT WITH SAN LUIS OBISPO COUNCIL OF GOVERNMENTS FOR SOUTH BAY BOULEVARD PROJECT Mr. Koser recommended Council approve the agreement and authorize the City Administrator to execute the same. A-6 RESOLUTION NO. 57-96 APPROVING TEMPORARY PLACEMENT OF A CENTRAL COAST MARITIME MUSEUM ANCHOR AT TIDELANDS PARK Mr. Koser recommended Council adopt Resolution No. 57-96 approving the temporary placement of a Central Coast Maritime Museum Anchor at Tidelands Park. A-7 AUTHORIZATION TO JOIN AS FRIENDS OF THE COURT IN TURNER V. BUTTE COUNTY Mr. Koser recommended Council authorize the City Attorney to transmit approval by the City Council to join as amicus ciriae in • Turner v. County of Butte. A-8 REJECTION OF CLAIM AGAINST THE CITY; (FUNK) Mr. Koser recommended Council reject the claim against the City. Councilmember Unger pulled Item A-1 from the Consent Calendar; Councilmember Crotzer pulled Items A-2 and A-5; and Mayor Yates pulled Item A-6. MOTION: Councilmember Unger moved the City Council approve Items A-3, A-4, A-7, and A-8. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF JUNE 24, 1996 Councilmember Unger addressed Item A-1, stating she spoke to the City Clerk regarding her comments in the June 24, 1996 minutes, Page 11. She requested the minutes be amended to reflect her statement and return to Council for approval. Councilmember Crotzer asked that his inquiry of the Statement of Cash and Investments in the June 24, 1996 minutes reflect the cash balance as of May 31, 1996 which was $4,027,203.96. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 6 • A-2 STATEMENT OF CASH AND INVESTMENTS - JUNE 1996 Councilmember Crotzer asked what the balance of this statement was as of June 30, 1996. Mr. Koser responded $3,774,636.18. Council approved this item. A-5 APPROVAL OF COOPERATIVE AGREEMENT WITH SAN LUIS OBISPO COUNCIL OF GOVERNMENTS FOR SOUTH BAY BOULEVARD PROJECT Councilmember Crotzer asked for clarification on this agreement. Mr. Koser responded the Public Works Director forwarded two cooperative agreements proposed by San Luis Obispo Council of Governments (SLOCOG) for funding of South Bay Boulevard and the Chorro Creek Bridge. He said SLOCOG then brought forward an amendment for the Chorro Creek Bridge agreement, which was not reviewed by either the City Attorney or the Public Works Director. Mr. Koser stated he withdrew the Chorro Creek Bridge agreement from the agenda, and chose to bring forward only the agreement on the South Bay Boulevard project. Councilmember Crotzer questioned Whereas No. 5 in the South Bay Boulevard Rehabilitation Project agreement, asking if funding was • being withdrawn from Quintana Road bike lanes. Mr. Koser responded he could not answer Councilmember Crotzer's question. Councilmember Crotzer stated he wanted to delay the discussion without jeopardizing the process, and he feels it would be imprudent to pass something Council does not understand. He said the Quintana Road bike lane project has been approved and funding was obtained by the Public Works Director. Councilmember Unger stated she had been assured by Ron DeCarli of SLOCOG the money for the bike lanes is still available. Councilmember Crotzer expressed concern the City would forfeit funding. Councilmember Unger said the City has the money and either the State or the County would forfeit money, but these funds have been set aside for this project. Council requested this item be brought back for approval at the August 12, 1996 Council meeting. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 7 • A-6 RESOLUTION NO. 57-96 APPROVING TEMPORARY PLACEMENT OF A CENTRAL COAST MARITIME MUSEUM ANCHOR AT TIDELANDS PARK Mayor Yates expressed his gratitude to the Central Coast Maritime Museum Association and Chevron for their efforts in the temporary placement of this anchor at Tidelands Park. Councilmember Crotzer stated the anchor is both figurative and actual, and he hoped the project will come to complete fruition. He opposes a plaque honoring Chevron on the anchor or its pedestal; he does not believe naming donors is appropriate in a public place. MOTION: Mayor Yates moved the City Council approve the temporary placement of a Central Coast Maritime Museum Anchor at Tidelands Park. The motion was seconded by Councilmember Novak and carried with Councilmember Crotzer voting no. (4-1) Councilmember Anderson asked if a donation box could be placed by the anchor to encourage people to donate money toward the museum. Mayor Yates responded museum representatives can bring forward a proposal if they wish at a later date. B. UNFINISHED BUSINESS • B-1 RESOLUTION NO. 58-96 ADOPTING FISCAL YEAR 1996/97 MASTER FEE SCHEDULE Finance Director Jim Koser introduced the Fiscal Year 1996/97 Master Fee Schedule and recommended its approval by adoption of Resolution No. 58-96. Councilmember Unger referred to Page 6, Sign Permits, and asked for clarification on fines for sign permits. Mr. Koser responded the fine is an effort to obtain compliance rather than strict cost recovery. Mayor Yates stated the current fine for not obtaining a sign is currently $5.25 per day, and the proposed fine is $25 per day, a 375°; increase. Councilmember Crotzer stated fines are an attempt to persuade people to obey the law, not to generate revenue. Councilmember Unger questioned the valuation formula on Page 15, and said there is a statement about fees being determined on an actual cost basis. She asked if the formula has been raised from 2°k to 2.5% and said the fee is now $2,000 and will go up 25% to • $2,500. Councilmember Unger stated sewer availability fees, MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 8 • school fees, permit inspection fees, and other fees are also required. She said there are 77 residential areas, and a great deal of money is being requested from people, all without taking commercial uses into account. Mayor Yates stated he will not support the Master Fee Schedule because of percentage increases for many of the present fees, as well as new fees. He said he is re-examining his feelings about total cost recovery in the Planning Department; the cost allocation study goes too far and increases are too high. Councilmember Novak stated it is time to set policy, and it is against the State Constitution to charge more for a service than it costs. She believes the people need a standardized method of calculating fees. Councilmember Novak suggested an equitable fee schedule, and she separated the increases and examined jobs individually to rate projects at 100%, 900, and 80% recovery costs. She listed examples of formulas applied to the Planning & Building fee schedule. Councilmember Novak stated Council should discuss whether or not the City should be involved in code compliance. She said the mandatory plumbing inspection fee should be $28 per residence, although it was left out of the report. Councilmember Crotzer stated Councilmember Unger's premise is people are being asked to pay a lot of money for projects. He • believes she is incorrect, because the discussion is about General Fund revenues and recouping costs, not overcharging people. Councilmember Crotzer stated the General Fund suffers if enough fees are not charged for services rendered, which is not fair. He said it goes back to the discussion about how much to pay City employees, and he believes the formula should include the private sector. Councilmember Crotzer stated it costs a certain amount to perform City services, and the Cost Allocation Study should allow the City to recoup costs. Councilmember Unger stated the key question is how much services really do cost. She said she believes staff is telling the truth about department costs, but she feels the processes used are inefficient and consequently the public pays needlessly. Councilmember Crotzer agreed efficiency is desirable, but every department head and the City Administrator have argued their staffs are working at the highest level of efficiency possible. MOTION: Councilmember Anderson moved the City Council conclude Item B-1 before continuing to public hearings. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates called for a break at 7:30 p.m.; the meeting resumed • at 7:55 p.m. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 9 • Councilmember Anderson stated the Cost Allocation Study has been conducted to equalize costs with time invested, and it is possible the original fee was incorrectly calculated. He said Councilmember Novak's 8096 cost recovery sounds reasonable, but increases from past fees to present fees are an attempt to equalize the time invested. Mayor Yates agreed the fees are based on the Cost Allocation Study, and if the study is acceptable then the fees are acceptable. He takes exception to the Cost Allocation Study itself, because some costs are fixed and will go on regardless of anything else. Councilmember Unger stated the process used by the Planning Department cost an exorbitant amount of money. She said the Police, Fire, and Recreation and Parks Departments are all subsidized from the General Fund. She said Recreation and Parks is not necessary to run the City, but it is a wonderful fluff. Councilmember Unger stated she assumes the City subsidizes the Police and Fire Departments because they involve life -threatening issues, and neither are asked to balance their budgets on user fees. She asked why the Planning Department should be expected to have total cost recovery? Councilmember Crotzer stated he felt a study to determine actual • costs instead of using some haphazard manner from the past is a much more rational approach. He said reducing the amount of cost recovery to 80°s is part of a philosophical process to determine which services are essential to municipal government. Councilmember Unger pointed out 77 housing units are allocated per year, which translates into 77 times 14 retrofit inspections times a $35 fee for a total of $37,700. She said there will be a total of 2,368 acre feet of water available before State Water arrives, and getting rid of the current water allocation model will save $37,700 in unnecessary inspection costs. Councilmember Unger stated she considers the retrofit program non -essential, and almost $40,000 will be saved by its elimination. Councilmember Novak stated Councilmember Unger's calculation is based on an inappropriate fee; the mandatory retrofit plumbing inspection refers to retrofit upon transfer or sale, not the existing retrofit program. She said the retrofit fee for sale or transfer is completely different; however, the process could be simplified by receipts being turned over to the Planning Department instead of having an inspector go to the house. Mr. Hunt stated there may be a desire to eliminate the retrofit program, but it is part of the Local Coastal Plan and part of Coastal Development Permits. He said there will be a lag time, • and six months would be required by the Coastal Commission. Mr. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 10 • Hunt stated the Water Allocation Model will come back to Council in September, and it may replace the retrofit program; however, Council cannot accomplish this project in a short time. Councilmember Crotzer stated it is premature to eliminate the retrofit program when other water sources are not yet in place. He said new development saves water by putting conservation devices in other locations. Mr. Hunt responded it is more complex, because the issue of water availability and sufficiency cannot be simplified into an annual budget. He said it is necessary to look at peak supplies and demands of available water at the time, as the City does not have sufficient holding capacity. Mr. Hunt stated figures are not accurate when examined over the entire year. Councilmember Crotzer stated the planning process could be streamlined by determining costs based on square footage of any proposed building, which would save staff time and provide firm costs for project proponents. MOTION: Councilmember Crotzer moved the City Council adopt the Master Fee Schedule so a $30,000 deficit is not engendered in an otherwise balanced budget. The motion was seconded by Councilmember Anderson and failed with Mayor Yates and Councilmembers Novak and Unger voting • no. (2-3) MOTION: Councilmember Novak moved the City Council adopt the Master Fee Schedule with the changes she has proposed tonight, along with the addition of the retrofit upon transfer or sale instead of mandatory retrofit inspection. The motion was seconded by Councilmember Crotzer and carried with Mayor Yates and Councilmember Unger voting no. (3-2) D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONSIDERATION OF WATER EQUIVALENCY TRANSFERS Interim Planning Director Shauna Nauman reviewed the potential transfer program for water equivalencies which is part of the update to the water allocation model; this update is necessary to bring all ordinances in compliance with Coastal Commission requirements through an amended Coastal Development Permit. Ms. Nauman introduced Helen Elder, Planning Consultant, who prepared a transfer of water equivalencies program for the City. Ms. Elder stated the purpose of this report is to outline the ways that water equivalency units can be transferred between properties. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 11 • Councilmember Crotzer stated the California Water Code prohibits changing water into a commodity, and transferring water equivalencies is exactly such an action. Ms. Elder stated his interpretation is correct, and the goals of the transfer program are specific to avoid such concerns. Councilmember Crotzer stated he supports the economic recovery of Old Town, but the basic problem remains. He said downtown office space is vacant for other reasons, and most retail businesses do not require much water. Councilmember Crotzer stated water as a commodity does not help toward regenerating the downtown core. Ms. Elder replied extending City services to new single-family residences is the most expensive type of development, and a lot of commercial uses transferring water to the residential market would indirectly affect expansion of capital improvements. Councilmember Unger stated there are properties for sale with water equivalency units (WEUs), so water is already a commodity. She said only infill building is possible in Morro Bay, so there will be no massive transfers which use many WEUs. Councilmember Unger stated water is available now, and there will be more when State Water is on line. Councilmember Anderson stated a retail store in a building which • used to be a restaurant would not need as much water. He asked if all water could be transferred away from a vacant property. Ms. Elder responded the taking of all WEUs from a property should be discouraged. She said a vacant lot could have an established legal use and WEUs from a past land use permit. Ms. Elder said staff will have to establish operating procedures and decide minimum WEUs left on a property. She said the minimum should include requirements in the property's zoning category, whether there is a building or not. Councilmember Anderson stated the proposed changes could diminish the value of property by limiting future use. He stated it is possible for both properties to benefit, but he agrees water is a commodity. Mayor Yates stated water already is a commodity and is bought and sold every day under the retrofit program. Mayor Yates opened the hearing to public comment. Harry Rogers stated he does not understand why Council wants to control the real estate market with WEUs. He said the decision for a particular type of business should be up to the individual businessman. Mr. Rogers stated the deteriorating downtown • conditions have been created by counter -productive laws, and it MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 12 • is important to change for the better. He requested Council allow water transfers in all directions, putting common sense back into government. John Barta suggested Council consider adding to the proposal, "eliminate WEUs as a condition for a permit, except in very exceptional cases where large amounts of water may be used; for example, fish processing plants and so forth." He said he sees no disadvantages, and this is an opportunity to make the process simple, inexpensive, and effective. Charles Palmer stated there are 500 to 600 vacant lots and no reason why 500 cubic feet cannot be allotted to each vacant lot. He said a larger water user might have to buy WEUs from a reserve pool, or WEUs could be eliminated altogether, and costs to the City would be less and growth would be promoted. Mr. Palmer stated the City needs more activity, more people, and new ideas. He said water has been used as a no -growth issue for a long time, and it is possible to massage the program if more time is required to eliminate WEUs. Mayor Yates closed the hearing to public comment. Councilmember Anderson stated water is a commodity, but not necessarily bad. He agrees with Mr. Palmer about helping the residential community and businesses, in order for properties to • be utilized. Councilmember Anderson stated he wants to avoid conflict with the Coastal Commission and the staff recommendations are appealing. Mayor Yates commented he agrees with the public comments, and would not confine the recommendations to just "under the same ownership" or just "downtown." He agrees to massage staff's recommendations since the WEUs cannot be eliminated altogether at this time. Councilmember Unger stated she supports anything which lowers costs, reduces regulations, and takes less staff involvement. She likes Mr. Palmer's idea of allocating WEUs to every vacant parcel in town. Councilmember Unger stated WEUs should move in any direction anywhere in town. Councilmember Novak stated she would like more detailed recommendations from staff, because some limitations have been addressed in the report. Councilmember Crotzer stated this is a bomb being thrown into the community, and every developer will take advantage of this program by going after whoever has the most water. He said sites will be devalued, and large water consumers will be most vulnerable. Councilmember Crotzer stated Laundromat proprietors • or fish processors often do not own the property and will lose MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 13 • their businesses to developers. He said the lower income people will be hurt, and he feels one year will be sufficient for damage to occur, not two years as proposed. Councilmember Crotzer stated he feels this policy change is substantial and devastating to the community. Councilmember Unger stated people ought to be able to do what they want with their own property. Councilmember Crotzer stated Council expresses faith in the concept of planning, and the purpose is to design overall land use of the entire town. Councilmember Unger replied planning should be used to beautify the community, not control the City's occupants. Councilmember Novak asked Mr. Hunt about the City lease sites, and if leaseholders could remove WEUs. Mr. Hunt responded the City is fee holder in trust on the waterfront lease sites and pieces of the property could not be sold. Councilmember Anderson stated someone with property in both North Morro Bay and in North Point who built on North Point would pay more taxes to the City. • Councilmember Crotzer stated planners should design a program to specify the locations where building would be preferable. Mayor Yates stated he does not believe there will be vacant houses all over town. He asked Ms. Elder how she believes the Coastal Commission will react. Ms. Elder responded the recommended program addresses coastal - dependent uses specifically, and the Coastal Commission reserves the right to review any plan. She recommends tying the program to recommendation No. 5, which allows coastal -dependent uses to transfer among themselves with public notice. Ms. Elder said there is a fair likelihood the Coastal Commission will accept the transfer program. She said the City Council could make a finding the transfer of WEUs is not an allocation of water, and the Coastal Commission would not have much to say about it. Mayor Yates stated there are two huge former processing plants, now used as warehouses, which have WEUs to transfer. Councilmember Anderson suggested coastal -dependent use properties would be allowed to transfer WEUs only among themselves. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 14 • Mayor Yates responded the majority of coastal -dependent uses are under City control; for example, the Galley Restaurant cannot be sold because it is owned by the City. Councilmember Novak suggested WEUs available from the former abalone plant could be used on the Embarcadero for new business. She said a transfer program could benefit commercial fishing. Mayor Yates stated WEUs could be transferred anywhere in the City, with the exception of coastal -dependent uses. Councilmember Anderson stated he does not want shells of vacant buildings left on property and all the water stripped away; he agrees a minimum equivalency should be left with a building. Councilmember Unger stated empty buildings still provide tax revenue. Councilmember Crotzer stated there should be zoning protection to protect downtown, and he agrees the minimum WEUs should be left with the property. Councilmember Crotzer provided a planning example: Encouragement of a greenbelt could be accomplished if WEUs were transferred from outlying areas and utilized for the downtown area, if there was some sort of design to encourage such action. • Councilmember Unger stated she would not support a trial period of two years. She said Council has to make the finding WEUs are not an allocation of water. Councilmember Unger stated Council will know within a year what the results will be, and it will be a moot point anyway. Ms. Elder responded the six recommendations are all elements of one transfer program, and it would encourage transfers from and to properties under the same ownership. She said it is intended to encourage transfers to the downtown commercial area, which encompasses Morro Bay Boulevard and Main Street. Ms. Elder said the scope is more narrowly defined than any zoning category. Councilmember Novak said she prefers commercial to commercial and residential to residential, instead of a free for all. Mayor Yates said WEUs are coming to the end of their life, and the point will be moot within a year as Councilmember Unger stated. Councilmember Unger asked Mr. Hunt if all rules and regulations would disappear if State Water started running tomorrow. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 15 • Mr. Hunt responded maybe but probably no, and the Water Allocation Model will still have to go to the Coastal Commission no matter what Council decides. He suggested WEUs may have a role in the new Water Allocation Model unrelated to State Water, and people may still want retrofit flexibility. Mr. Hunt said direction provided tonight will be incorporated into a proposed Water Allocation Model. Councilmember Crotzer asked about the hypothetical laundromat operator losing his business because the owner sold the WEUs, and whether or not the operator could sue the City. Mr. Hunt stated the operator would have a lease with the property owner and thus would sue the owner, not the City. Ms. Nauman stated the Water Allocation Model will add a new mechanism to allocate water with different options. She said the retrofit program began when the building moratorium was in effect, in order to continue growth. Ms. Nauman stated WEUs may or may not be necessary as water still has to be allocated through some mechanism, even though sources will be different. She said options may include the purchase of State Water or utilization of the retrofit program to obtain equivalencies. Councilmember Anderson stated State Water was considered supplemental in the beginning, and it is quite possible the City • will no longer be able to use Chorro Valley water. He said water problems are diminishing but not solved, and water will remain a commodity. Councilmember Anderson stated there is nothing which would force a laundromat to remain a laundromat, and one would remain in business if it was profitable. MOTION: Mayor Yates moved the City Council: 1) find the transfer of WEUs is not an allocation of water; 2) the minimum number of WEUs will be required to be left on each source site; 3) WEUs may be transferred from any property to any property in the City; 4) WEU on coastal - dependent uses may only be transferred to other coastal - dependent uses with approval of the City Council. The motion was seconded by Councilmember Unger and carried with Councilmember Crotzer voting no. (4-1) Councilmember Crotzer stated he prefers to accept staff report recommendations in their entirety, because he wants to stimulate growth in the downtown core. Mayor Yates called for a break at 10:00 p.m.; the meeting resumed at 10:05 p.m. Council approved to take the agenda out of order in order to hear Item C-1 next. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 16 • C. NEW BUSINESS C-1 CONSIDERATION OF NATIONAL/MORRO BAY ESTUARY ASSISTANCE WITH CITY HARBOR WATER PLAN Councilmember Novak reviewed the proposal of the National Estuary Program (NEP) to assist the City in meeting necessary requirements outlined in the City's Local Coastal Plan for projects and plans along with funding sources. She recommended Council direct staff to prepare a resolution accepting the proposal of the NEP. Councilmember Crotzer stated the National Estuary Program and Friends of the Estuary are both best able and financially able to create the Harbor Development Plan. Mayor Yates stated although he would work in concert with the groups and has no objection to the NEP plan development south of City limits, he would not support dictation of a Harbor Master Plan of any kind to the City; however, everyone will benefit from working closely together in order to move through the process. Councilmember Anderson agreed with the Mayor, and he would like to hear from NEP staff and work with them, but if there is disagreement, the City should not turn the plan over carte blanche. He also would not want the State to take over operation • and administration of the State Tidelands properties. Councilmember Unger supports the recommendation to accept assistance. Councilmember Novak noted her intended recommendation is for NEP staff to help with necessary studies for project implementation. She said the City will write the Harbor Development Plan. MOTION: Councilmember Novak moved the City Council request assistance from the National Estuary Program in meeting necessary requirements outlined in the Local Coastal Plan for City projects and plans along with future funding sources. She further moved staff will be directed to develop an appropriate resolution to bring back to Council to work with the National Estuary Program staff. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) Dave Paradies of the NEP stated there is no conflict, and the programs intent is to form partnerships. He said the science and engineering the NEP will perform should benefit the City and can play an important role in the LCP update and other items as well. F-1 L MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 17 • Mayor Yates responded it is clear the City must work hand -in -hand with the NEP to protect the bay successfully. D-2 REVIEW OF GRANTEE PERFORMANCE REPORT ON WATER RECLAMATION; (95-EDBG-373) Interim Planning Director Shauna Nauman reviewed the Grantee Performance Report on Water Reclamation stating this performance report is used to assess the degree to which the grantee has completed the various activities, and whether the activities are completed in a timely fashion, are within budget, and are in accordance with the overall CDBG Program goals and objectives as identified in the grant agreement. She noted this report is for information and no action is required by Council. Mayor Yates opened the public hearing; there was no comment and the hearing returned to Council. Council received this report for information; no further action was taken. B-2 RESOLUTION NO. 56-96 ADOPTING FISCAL YEAR 1996/97 BUDGET Finance Director Jim Koser introduced the Fiscal Year 1996/97 Budget for adoption by approval of Resolution No. 56-96. • Councilmember Crotzer stated he will not support the budget as it relies on large transfers of money from Harbor and other funds, and it balances only because of the removal of a valued City employee. He does not agree with budget funding priorities, and the City provided over $130,000 to promote tourism but cannot fully fund non-profit agencies acting on residents' behalf. Councilmember Crotzer stated there is no funding for items such as tree planting or maintenance, and only 509k funding is allotted for cablecasting of public meetings. Councilmember Novak stated she will support the budget, and funding capital improvements will come forward as a future agenda item. Mayor Yates stated he feels community promotions funding helps the City generate taxes. He said he also supports the Council's decision to place the 1/216 sales tax increase on the ballot, along with the TOT increase. Mayor Yates stated the TOT increase will provide $100,000 annually, and the sales tax will provide $500, 000 to plant and trim a lot of trees, to restore a lot of parks and recreation programs, and to help fund agency aid and capital improvement projects. Councilmember Unger stated she has been consistent in her opposition and continues to not support the budget as proposed. U MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 22, 1996 PAGE 18 • Councilmember Anderson stated he does support the budget, and he asked Councilmember Crotzer to reconsider his stand on the proposed ballot measure to increase sales tax. He said this is a bare -bones budget without capital improvements, which is a scary situation, and will work hard to promote the sales tax increase. MOTION: Mayor Yates moved the City Council approve Resolution No. 56-96 adopting the Fiscal Year 1996/97 budget. The motion was seconded by Councilmember Anderson and carried with Councilmembers Crotzer and Unger voting no. (3-2) F. ADJOURNMENT The meeting adjourned at 10:25 p.m. Recorded by: Bridge t Bauer City Clerk • • City of Morro Bay City Council Agenda Mission statement The City of Morro Bay is dedicated to the preservation and enhancnnent 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 8, 1996; 5:00 P.M. CLOSED SESSION - JULY 8, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956 9(A)• CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION ♦ CITY OF MORRO BAY v. DON FUNK, SAN LUIS OBISPO SUPERIOR COURT CASE NO. CV 079045 PUBLIC SESSION - JULY 8, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. • 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS • 1 CONSENT CALENDAR finless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF MAY 28, 1996 AND JUNE 10, 1996, AND THE SPECIAL BUDGET MEETING OF JUNE 18, 1996 A-2 BID AWARD FOR TIDELANDS PARK (PHASE III) A-3 RESOLUTION NO. 55-96 AMENDING THE GRANT AMOUNT FOR THE DEPARTMENT OF BOATING & WATERWAYS GRANT FOR THE VESSEL PUMPOUT A-4 RESOLUTION AMENDING THE MORRO BAY CONFLICT OF INTEREST CODE - THIS ITEM HAS BEEN PULLED FROM THE AGENDA B. UNFINISHED BUSINESS B-1 REVIEW OF CLOISTER'S PROJECT WATER AVAILABILITY; CERTIFICATION PURSUANT TO LOCAL COASTAL PROGRAM B-2 CONSIDERATION OF CABLECASTING IMPLEMENTATION AND POLICY B-3 RESOLUTION NO. 50-96 APPROVING 1996/97 MASTER FEE SCHEDULE C. NEW BUSINESS 0-1 CONSIDERATION OF CLOISTER'S HIGHWAY ONE/SAN JACINTO IMPROVEMENTS AND REVIEW ACCEPTANCE OF OPEN SPACE D. PUBLIC HEARINGS REPORTS & APPEARANCES D-1 RESOLUTION NO. 53-96 APPROVING BID AWARD FOR SOLID WASTE, AND RESOLUTION NO. 54-96 APPROVING BID AWARD FOR CURBSIDE RECYCLING D-2 RESOLUTION NO. 52-96 APPROVING CHARGES FOR 1996 WEED ABATEMENT PROGRAM F. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIRE SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772- 6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY REETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 0 • • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - JULY 8, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: STAFF: CLOSED SESSION None Bill Boucher David Hunt Mayor Councilmember Councilmember Councilmember Councilmember Acting City Administrator City Attorney MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. E-1 GOVERNMENT CODE SECTION 54956.9(A); CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION ♦ CITY OF MORRO BAY v. DON FUNK, SAN LUIS OBISPO SUPERIOR COURT CASE NO. CV 079045 The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Unger moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. • u • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Bill Boucher David Hunt Rick Algert Bridgett Bauer Janeen Burlingame Jeff Jones Jim Koser Joe Loven Andrea Lueker Shauna Nauman Steve Sylvester Mayor Councilmember Councilmember Councilmember Councilmember Acting City Administrator City Attorney Harbor Director City Clerk Public Works Admin. Asst. Fire Chief Finance Director Police Chief Recreation and Parks Director Interim Planning Director City Engineer Ned Rogoway led the Pledge of Allegiance. LIGHTEN UP Bill Boucher presented the "Lighten Up". MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: ♦ All the red -legged frog problems have been resolved and bridge construction will commence July 15, 1996; ♦ Fourth of July activities at the high school were a success and thanks go to all the volunteers; ♦ The developer of the North Point Subdivision did consult a tree expert before cutting around the cypress tree; ♦ The skateboard park at Coleman Park has been completed; ♦ Ballot rebuttal arguments are due July 15, at 5:00 p.m. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 PAGE 3 • Councilmember Crotzer stated he would like to be sure Item B-2 (Consideration of Cablecasting Implementation and Policy) will be fully explored, as televised meetings have been blacked out recently. P • PUBLIC COMMENT Ed Ewing submitted a Request for Public Records on behalf of Ralph Gunther to the City Clerk. He noted the first five items were requested by the Georges in February. Mr. Ewing stated the monthly fund balances should be easily available from the Finance Director. He said one of the requests is a list of names and dates on all lawsuits or settlements resolved without public access from 1992 through 1996. Mr. Ewing stated there have been settlements with employees and others without public knowledge, even though monetary values should be public information. He said employee claims against the City have been requested as well. City Attorney David Hunt responded the Georges have received everything they asked for, except those which would violate privilege. Mr. Ewing stated Mr. Gunther has no litigation against the City at this time, and he requests the first five questions on the request answered in a short time. Margie George requested Mayor Yates direct the City Attorney to cease any attempts to evict her from her premises, because the City no longer has any interest in the outcome and is proceeding in reckless disregard of her constitutional rights. Harry Rogers referred to Item 1996-97 Master Fee Schedule) make a profit on fees charged be in keeping with actual expressed regret at the loss inspector. B-3 (Resolution No. 50-96 Approving stating the City is not allowed to to the public. He said fees should departmental costs. Mr. Rogers of Elizabeth Szwabowski as building Jeff Ferber, RRM Design Group, referred to Item C-1 (Consideration of Cloisters' Highway One/San Jacinto Improvement and Review Acceptance of Open Space) stating the issues have been approved by all relevant agencies. He requested Council accept the open space and approve the assessment district. William Walter, attorney representing property owners of Cloisters, stated the park and open space are an integrated whole and cannot be separated. He noted 68% of the property will be placed in public ownership, and agreements have been signed to allow the State Parks to take over the restored sand dunes. Mr. Walter stated acceptance of the open space by the City will remove the possibility of a homeowners' association owning the MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 PAGE 4 • space. He said the costs will be covered by the assessment district, and RRM has done everything possible in drafting the documents and CC&R's to assure there will be full disclosure. Mr. Walter pointed out the Council has the option later to decide to abandon an assessment district; however, the condition will act as a bridge to provide financial insulation until buildout. Charles Palmer stated Council will be inviting a lawsuit by allocating water for the Cloisters project, noting property owners of vacant lots may file a class-action suit against the City. DECLARATION OF FUTURE AGENDA ITEMS - None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF MAY 28, 1996 AND JUNE 10, 1996, AND THE SPECIAL BUDGET MEETING OF JUNE 18, 1996 Mr. Boucher recommended Council approve the minutes as submitted. A-2 BID AWARD FOR TIDELANDS PARK (PHASE III) Mr. Boucher recommended Council award the Tidelands Park Phase III full contract to Associated Constructors, Inc. of Morro Bay and appropriate $18,000 from the Harbor Fund. A-3 RESOLUTION NO. 55-96 AMENDING THE GRANT AMOUNT FOR THE DEPARTMENT OF BOATING & WATERWAYS GRANT FOR THE VESSEL PUMPOUT Mr. Boucher recommended Council approve Resolution No. 55-96 amending the grant amount for the vessel pumpout to $24,400. A-4 RESOLUTION AMENDING THE MORRO BAY CONFLICT OF INTEREST CODE This item was pulled from the agenda. MOTION: Councilmember Unger moved the City Council approve Consent Calendar Items A-1, A-2, and A-3. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) 1] MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 PAGE 5 • B. UNFINISHED BUSINESS B-1 REVIEW OF CLOISTER'S PROJECT WATER AVAILABILITY; CERTIFICATION PURSUANT TO LOCAL COASTAL PROGRAM Public Works Director Bill Boucher stated in accord with the City's Local Coastal Plan and the development's conditions of approval, prior to the recordation of Tract 1996, the City must certify that adequate water resources are available for the property. He recommended Council receive the report for information; no action is necessary. Councilmember Unger referred to Resolution No. 94-93, Page 2, paragraph 2: "Once a Water Management Plan has been adopted by the City and approved as a Local Coastal Plan Amendment by the State Coastal Commission and new resources are available to meet both the needs of the proposed development and the ultimate development of the community as established in the General Plan/Local Coastal Plan..." She asked Mr. Boucher if there is adequate water for all development in the City and this subdivision. Mr. Boucher responded affirmatively, stating water for this project was awarded in 1991/92. He noted property owners must conform to the water allocation model in place since 1981. • Councilmember Unger asked if there is enough water available to meet the needs of the proposed development as well as the ultimate development of the community. Mr. Boucher responded negatively. City Attorney David Hunt noted the vesting tentative map is subject to the codes and rules adopted at the time. He said they cannot be changed, and the adoption of this particular resolution does not impact Cloisters, because it is a vesting tentative map. Mr. Hunt stated there is enough water to serve Cloisters if it goes through the Water Allocation Program, which is an approved portion of the Local Coastal Plan. Councilmember Unger replied ten units of water are being allocated for dune restoration. Mr. Hunt responded dune restoration is not related to the subdivision and is allowed under the Coastal Plan. He said the Public Works Director has stated the Water Allocation Program will provide sufficient water for this subdivision to satisfy the condition. Mr. Hunt stated this is the way the issue must be approached from a legal standpoint. Councilmember Crotzer stated he feels the dune restoration • project is just another creeping step toward the subdivision MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 PAGE 6 • development. He said he has never understood how this property was previously subdivided. Councilmember Crotzer stated big money is made when raw land is turned into zoned lots, but government should not facilitate such action. Mr. Hunt responded the project was approved by the City in December 1991, and both Conditional Use and Coastal Development Permits were granted to the subdivision. He said the CDP was appealed to the Coastal Commission and further conditions were imposed in July 1992. Mr. Hunt stated the Coastal Commission did not care whether the property was subdivided previously and decided the project was infill, and the infill decision was not appealed or challenged. Mr. Hunt explained Cloisters returned to Council and Council adopted Coastal Commission Amendments in December 1992, which was the last step and resulted in a vesting tentative map with a CDP. He said the Precise Plan came forward in August 1993, and now an approved Tentative Map, and all discretionary approvals have taken place. Mr. Hunt said project owners are moving forward to comply with Precise Plan conditions, and staff must provide a final map for Council approval. He said the dune restoration project water approval is not inching forward but is a provision of the Water Allocation Model of the LCP. Councilmember Anderson asked if Mr. Palmer's comments and the inference the Cloisters' lot owners would move ahead of existing • vacant lot owners is correct. He said it is his understanding the Cloisters' owners will have to get on the same list as any others and would have to wait in line the same way. Mr. Boucher responded there are 270 residential dwellings on the current list, and Cloisters units will start at No. 271 on the list. He pointed out supplemental water is around the corner and staff is preparing a revised Water Allocation Model of which Council will receive a draft in late summer or early fall. Mayor Yates stated Measure F limits the number of building permits to 70-77 per year, regardless of how many people are on the list. He noted it will take many years for Cloisters' lots to be sold, and building of 120 homes will take place very slowly. Councilmember Crotzer stated it is not fair for current residents to be restricted when water is being doled out for other projects in a disproportionate manner. He said the Water Management Plan calls for reclamation and there is no genuine effort to pursue such a project. Councilmember Crotzer stated the Cloisters area is a plausible location for reclamation, yet a subdivision will be built instead. Councilmember Novak noted grant money has been received to study • reclamation, and Public Works is pursuing such a project. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 PAGE 7 • Mayor Yates stated the City cannot go further in debt on water projects because of the costs associated with State Water; and Morro Bay cannot continue dumping fresh water into the ocean, although it may take a directive from a State agency to force reclamation. No further action was taken on this item. B-2 CONSIDERATION OF CABLECASTING IMPLEMENTATION AND POLICY Public Works Administrative Assistant Janeen Burlingame reviewed the Public Works Advisory Board discussion of the implementation of a Cablecasting policy. She recommended Council consider Sonic Cable's offer to establish a city government channel (Channel 54) at no cost to the City, appoint a City official to take charge of the Nutmeg cabinet, direct staff to develop a Request for Proposal for video productions for FY 1996-97, and renegotiate with Alpha Video to tape Council meetings at $200/meeting until the RFP process is complete. Councilmember Crotzer stated the staff report notes the Video Broadcasting Committee's (VBC) duties ended July 1, 1996, which means staff disbanded a committee constituted by City Council. Mr. Boucher responded the VBC's services expired at the end of • the fiscal year, not the committee itself; and the City Council broadcast funding was authorized through the end of the fiscal year. Councilmember Unger stated the VBC is under the jurisdiction of the Public Works Advisory Board, and she wants it to remain voluntary. She said she wants the meetings back on the air, which can be accomplished by the VBC. Mayor Yates stated staff recommendation #1 covers continued broadcasts of City Council meetings, and the City Administrator can designate someone as his representative. He said development of RFP's is a good idea. Councilmember Unger stated the City Administrator should be directed to make the VCB responsible for putting in the tapes; paying a staff person is a needless use of City funds. Mr. Boucher said the Public Contract Code states professional services with a value of $1,000 or more must be publicly bid, unless there is a single source or the bid is piggy -backed onto another public agency. He said Sonic retains ownership and maintenance responsibilities for the Nutmeg equipment, and they would probably feel more secure if the City Administrator had control. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 PAGE 8 • Councilmember Crotzer stated City staff is subtly taking over a voluntary effort, and the ballot initiative is an expression of people's desire to be in control of information gathering. He said the current video equipment has been supplied by volunteers, and it is not fair to say government would take better care of it. MOTION: Councilmember Novak moved the City Council: 1) Reaffirm policy to broadcast City Council meetings on a delayed basis as the short-term use of Sonic's City government channel; 2) appoint City Administrator to be in charge of access to the environmentally secure cabinet on the Nutmeg site; and 3) direct staff to develop and promulgate a Request for Proposal for video production for City Council meetings for Fiscal Year 1996-97, with interim continuation of the meeting -to -meeting services of Alpha Video. The motion was seconded by Councilmember Anderson and carried with Councilmember Unger voting no. (4-1) Mayor Yates called for a break at 7:30 p.m.; the meeting resumed at 7:50 p.m. Councilmember Crotzer asked if the public access channel will run City Council meetings only. • Mayor Yates responded the motion covers the taping of City Council meetings only; however, the machine will be available and the Public Works Advisory Board will provide guidelines for its use. Councilmember Crotzer stated he understands the City wants to broadcast City Council meetings; however, his marketing sense tells him more offerings should be available. He said his point is to allow broadcasting of already taped meetings so as not to restrict dissemination of information. MOTION: Councilmember Crotzer moved the City Council direct the Public Works Advisory Board to provide a list of previously taped public meetings for immediate airing on Channel 54, as soon as Sonic provides the capability for government broadcasts, in order to provide 24 hour per day programming; the Public Works Advisory Board will determine the order in which previously taped meetings will be aired on the available channel, and if that business is not taken care of by the time Sonic provides the channel, then all complete public meetings will be aired in chronological order. The motion was seconded by Councilmember Unger and carried with Mayor Yates and Councilmember Novak voting no. (3-2) • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 PAGE 9 • D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 RESOLUTION NO. 53-96 APPROVING BID AWARD FOR SOLID WASTE, AND RESOLUTION NO. 54-96 APPROVING BID AWARD FOR CURBSIDE RECYCLING Public Works Administrative Assistant Janeen Burlingame reviewed the Public Works Advisory Board recommendations to award the Solid Waste Contract to Morro Bay Garbage Service via the adoption of Resolution No. 53-96; and award the Curbside Recycling Contract to RALCCO via adoption of Resolution No. 54- 96. Ms. Burlingame requested Council direction to prepare agreements for approval. Mayor Yates opened the hearing to public comment; there was none and the hearing was closed. MOTION: Councilmember Crotzer moved the City Council adopt Resolution No. 53-96 awarding the Solid Waste Franchise Agreement to Morro Bay Garbage Service for the period January 1, 1997 through December 31, 2001; adopt Resolution No. 54-96 awarding Curbside Recycling Franchise Agreement to RALCCO for the period January 1, 1997 though December 31, 2001; and direct staff to prepare agreements for approval. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) • Councilmember Unger announced she received a check from Charles Palmer for $50 toward the skateboard park. She noted the Chamber of Commerce has promised a check for $100. D-2 RESOLUTION NO. 52-96 APPROVING CHARGES FOR 1996 WEED ABATEMENT PROGRAM Fire Chief Jeff Jones reviewed the 1996 Weed Abatement Program, and recommended adoption of Resolution No. 52-96 approving charges for this program. Mayor Yates opened the hearing to public comment; there was none and the hearing was closed. Councilmember Unger distributed packets to Council regarding abatement costs on specific lots, and she questioned charges by the City contractor. Chief Jones explained how charges are calculated and stated the current contractor's bid was the lowest. Councilmember Unger stated she feels the City is providing an opportunity for weed abatement contractors to gouge the public, and the bids get higher and higher every year. She said the • contractor's charges are eight times higher than a private MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 PAGE 10 • contractor's price would be, and the City should do something about it. Councilmember Anderson noted a mailing list of the lots requiring abatement is available to the public, and independent contractors have an opportunity to negotiate with homeowners before the City steps in. Councilmember Novak asked if the City contractor incurs additional costs because of City requirements. Chief Jones responded the contractor must provide before and after photos of each lot, he must remove all debris, and he must have extensive insurance holding the City harmless. Councilmember Crotzer stated the process could be further refined to determine specific cost estimates for each lot, and suggested the City provide a ballpark cost estimate to property owners, which may encourage them to perform the work and not wait for the City to step in. Mayor Yates agreed property owners should be aware of the cost range and possibly be provided with a list of contractors. Councilmember Anderson asked if the letter sent to property owners could state it is far more expensive for the City to • perform abatement, and also offer a list of private contractors. Chief Jones stated the most expensive component is debris removal, and noted Council could change its policy and drop the debris disposal requirement in order to lower costs. MOTION: Mayor Yates moved the City Council approve Resolution No. 52-96 approving charges for the 1996 Weed Abatement Program. The motion was seconded by Councilmember Anderson and carried with Councilmember Unger and Councilmember Crotzer voting no. (3-2) Mayor Yates called for a break at 9:00 p.m.; the meeting resumed at 9:10 p.m. Mayor Yates received Council consensus to take the agenda out of order to hear Item C-1 next. C. NEW BUSINESS C-1 CONSIDERATION OF CLOISTER'S HIGHWAY ONE/SAN JACINTO IMPROVEMENTS AND REVIEW ACCEPTANCE OF OPEN SPACE Recreation and Parks Director Andrea Lueker reviewed options regarding the acceptance of the public park/open space within the • Cloister subdivision; and, depending on the option Council MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 199G PAGE 11 • chooses, the Council will need to determine how to finance the maintenance of the park and open space. Councilmember Anderson asked if State Parks would be interested in the unimproved parkland. Ms. Lueker responded the parcel would have to be offered and then funding would have to be negotiated. Mayor Yates stated the assessment district can be imposed tonight, but there is no way to guarantee events 20 years from now. He supports Option No. 1. Councilmember Crotzer stated he would like to find out if State Parks would be interested in the taking over the open space. He also supports Option No. 1. Councilmember Novak stated the City must take the space because of the project conditions. She supports Option No. 1. William Walter, attorney representing property owners of Cloisters, stated State Parks does not have an assessment mechanism, and the Coastal Conservancy is not interested in taking jurisdiction either. He said State Parks is comfortable with the viewshed area, but they do not want any more. • MOTION: Mayor Yates moved the City Council approve Option No. 1 of the staff report for a total assessment of $123,000 per year, and the Recreation and Parks Director is directed to form an assessment district for raising the money, and each parcel will be assessed its fair share. The motion was seconded by Councilmember Crotzer and carried with Councilmember Unger voting no. (4-1) City Attorney David Hunt clarified Council action, stating staff will proceed and bring back different matters, such as the assessment district. He said Council is not accepting the open space now, but Council will wait for the time of the final map. Mr. Hunt said this motion approves the documents and provides staff direction for final maps, and different sections of the project will come back to Council. Mr. Koser stated assessments are generally determined by square footage, and larger lots pay more. He believes language contained in the motion may preclude the collection of full assessment amounts. City Engineer Steve Sylvester stated based on Conditions of Approval of this project, the applicant has prepared alternative engineering designs and cost estimates for the improvement of Highway One/San Jacinto/Main Street intersection. He noted prior • to recordation of the final map, the applicant is required to MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 PAGE 12 • contribute fair share fees towards the recommended improvement. He recommended the City Council accept the San Jacinto (East) Engineering Study prepared by the applicant's engineer. MOTION: Mayor Yates moved the City Council accept the Engineering Study prepared by applicant's engineer. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) B-3 RESOLUTION NO. 50-96 APPROVING 1996/97 MASTER FEE SCHEDULE Finance Director Jim Koser reviewed the proposed Fiscal Year 1996-97 Master Fee Schedule and recommended the City Council adopt the fee schedule by approving Resolution No. 50-96. He said uniform hourly rates were determined by the Cost Allocation Plan based on the 1995-96 budget; and the Public Works Department determined hourly rates by an independent fee study. Mayor Yates expressed dissatisfaction with the Cost Allocation Study and the cost recovery calculations. He believes $56 per hour for the senior planner is too high and fixed costs are not equitable. Mayor Yates stated he wanted to see lower fees instead of fee justification for all departments. Councilmember Unger took issue with the prices charged for Planning Commission tapes and plumbing retrofit inspections. She • stated City processes are wrong. Councilmember Crotzer stated residents and visitors alike are being asked to pay more because the City spends too much money. He feels it is correct for Community Development to try to pass through costs so citizens do not have to pay for other people's projects. Councilmember Crotzer does not believe department fees are out of line, because cost recovery is essential. Mr. Koser explained Community Development charges through the Cost Allocation Study and stated it costs $375,000 to run the department. He said all costs are converted to an hourly rate in an effort to recover full costs. Mr. Koser stated it is up to Council to determine what percentage of costs to recover. He said there is no reason to believe 1006 of service costs will be recovered, as the majority of work is for the benefit of taxpayers and is not recoverable. Mr. Koser stated Ms. Nauman assumed Council wanted 1000- cost recovery on services provided by Community Development, and Council must decide what percentage is desirable. Councilmember Crotzer asked Mr. Koser to explain the cost recovery figure he provided. Mr. Koser responded 8.6% of the General Fund revenue came from • charges for services in the 1995-96 budget. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JULY 8, 1996 PAGE 13 Councilmember Crotzer said he does not want his tax rate increased to pay for someone else's project or for someone else's concealed weapon permit; however, he does want to pay 9016 of his money for items such as police protection and general planning purposes. Councilmember Novak stated fees are not increased overall, and there are a number of reductions. She feels the overall methodology of calculating fees on an hourly rate is acceptable, and the Community Development Department has done a better job of providing actual costs. MOTION: Councilmember Crotzer moved the City Council adopt the Master Fee Schedule with the exception of the Community Development Department fees. The motion was seconded by Councilmember Anderson and carried with Mayor Yates voting no. (4-1) F. The meeting adjourned at 10:45 p.m. Recorded by: is Zr vQ.tkLA--` Bridgett Bauer City Clerk CJ • NOT = C E OF S PE C = AL ME EZ'= NG NOTICE IS HEREBY GIVEN that a Special Meeting of the Morro Bay City Council is hereby called to be held on Wednesday, July 3, 1996 at 6:00 p.m. in the Community Center Multi Purpose Room, Morro Bay, California to discuss: ♦ City's 1996/97 Fiscal Budget ♦ Draft Ballot Arguments for Transient Occupancy Tax/Sales Tax Measures; and Ballot Argument Against Cablecasting Initiative. • DATED: June 26, 1996 WILLIAM YATES, Mayor City of Morro Bay, C W 11 • • MINUTES - MORRO BAY CITY COUNCIL SPECIAL BUDGET MEETING - JULY 3, 1996 COMMUNITY CENTER MULTI PURPOSE ROOM - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell Bridgett Bauer Rick Algert Bill Boucher Jeff Jones Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Clerk Harbor Director Public Works Director Fire Chief Finance Director Police Chief Recreation and Parks Director Interim Planning Director MAYOR AND COUNCIL REPORTS & ANNOUNCEMENTS Mayor Yates announced South Bay Boulevard improvements are complete and the road was opened today. Councilmember Anderson announced Coleman Park paving is underway and the skate park will be opened on Monday, July 8th. PUBLIC COMMENT - There was no public comment. CONSIDERATION OF 1996/97 FISCAL BUDGET City Administrator Dave Howell introduced the proposed 1996/97 fiscal budget. Mayor Yates opened the hearing for public comment. Charles Palmer addressed Council stating city employee salaries have not been made readily available for public review; as well as the budget has not been available for public review. MINUTES - MORRO BAY CITY COUNCIL SPECIAL BUDGET MEETING - JULY 3, 1996 PAGE 2 Nancy Castle addressed Council on information she put together based on the Business Retention and Expansion Study. She said salaries for city employees should be comparable to the economy of this City and not based on a salary survey comparing neighboring cities in the county. Sandi Ford, representative of SEIU, addressed Council regarding an employee who received a lay-off notice based on the proposed budget, and noted Council should take a look at who is fulfilling the duties of their jobs and who is not when considering lay- offs. Dale Stainbrook, city mechanic, addressed Council on the lay-off notice he received, and requested Council look at job performances of other city employees. Mayor Yates closed the hearing for public comment. After some discussion, Council adjourned this meeting to Closed Session in order to discuss a personnel issue. MOTION: Councilmember Crotzer moved the City Council adjourn to Closed Session in order to discuss a personnel issue. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) The meeting adjourned to Closed Session at 6:40 p.m., and resumed to Public Session at 6:55 p.m. MOTION: Councilmember Crotzer moved the Closed Session meeting be adjourned. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates called for a break at 6:55 p.m.; the meeting resumed at 7:08 p.m. Council discussed funding for the following accounts: Community Promotions Councilmember Crotzer stated marketing services should be curtailed and Morro Bay should be known as a pristine location. Councilmember Novak stated organizations such as the Visitors Conference Bureau are needed to bring tourists to Morro Bay. Councilmember Unger expressed concern relating to community promotions -related funding. Councilmember Anderson expressed support for community promotions, and said he would like 1% of bed tax to go towards promoting the City. MINUTES - MORRO BAY CITY COUNCIL SPECIAL BUDGET MEETING - JULY 3, 1996 PAGE 3 • Mayor Yates expressed support for community promotions and the Visitors Conference Bureau and their efforts in promoting the City. MOTION: Mayor Yates moved the City Council maintain funding for Community Promotions and the Visitors Conference Bureau as proposed in the Fiscal Year 1996/97 Budget. The motion was seconded by Councilmember Novak and carried with Councilmember Crotzer and Councilmember Unger voting no. (3-2) Aid to Actencie Councilmember Crotzer stated Council should be responsible in supporting those agencies that provide for the citizens of Morro Bay. Councilmember Novak stated Council should review the different agencies to see which have more efforts in the City and fund them accordingly. Mayor Yates stated he supports funding $9,000 to Aid to Agencies. MOTION: Mayor Yates moved the City Council direct the Finance . Director to fund $9,000 to Aid to Agencies. The motion was seconded by Councilmember Novak and carried with Councilmember Crotzer and Councilmember Unger voting no. (3-2) MOTION: Mayor Yates moved the City Council fund Aid to Agencies as follows: Caring Callers-$150.00; EOC/Family Planning -$500.00; EOC/Senior Health Screening-$1,062.50; EOC/ Homeless Shelter-$600.00; Family Services Center- $600.00; Food Bank Coalition-$500.00; Foundation for Performing Arts-$400.00; Hospice-$400.00; Hotline- $400.00; Long Term Care Ombudsman-$562.50; Retired Senior Volunteers-$400.00; Salvation Army-$700.00; Senior Nutrition Program-$1,062.50; Women's Shelter Program-$962.50; and SLO Literacy Council-$700.00. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) MOTION: Mayor Yates moved the City Council fund $1,000 to the Nautical Heritage Society from the Harbor Fund. The motion was seconded by Councilmember Crotzer and carried with Councilmember Unger voting no. (4-1) Mayor Yates called for a break at 8:20 p.m.; the meeting resumed at 8:40 p.m. n U MINUTES - MORRO BAY CITY COUNCIL SPECIAL BUDGET MEETING - JULY 3, 1996 PAGE 4 Mayor Yates stated he supports the budget as proposed and requested Council's input. Councilmember Crotzer and Councilmember Unger stated they do not support approval of the proposed budget as it is premature to approval of the Master Fee Schedule. Councilmember Anderson stated he supports the budget with the hope that the two proposed ballot measures will pass by majority vote in November. Councilmember Novak stated she supports the proposed budget with some reservation with the approval of the capital improvement budget. MOTION: Mayor Yates moved the City Council "conceptually" approve the proposed Fiscal Year 1996/97 budget. The motion was seconded by Councilmember Anderson and carried with Councilmember Crotzer and Councilmember Unger voting no. (3-2) Capital Improvement Projects Councilmember Novak addressed the proposed street light at Yerba Buena and Highway One and requested discussion be placed on a • future agenda. Councilmember Unger requested discussion on funding for Twin Bridges and Chorro Valley Pipeline projects. No further action was taken on this item. "N"MmP4iJ+11 The meeting adjourned at 9:30 p.m. Recorded by: J&j4 Bridgett Bauer City Clerk City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - NNE 24, 1996; 5:00 P.M. CLOSED SESSION - JUNE 24, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956 9(A); CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION ♦ CITY OF MORRO BAY v. DON FUNK, SAN LUIS OBISPO SUPERIOR COURT CASE NO. CV 079045 ♦ IN THE MATTER OF THE JAMES AND MARGIE GEORGE BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 94-12409-RR; CITY OF MORRO BAY v. GEORGE, SAN LUIS OBISPO SUPERIOR COURT CASE NO. CV 77536; GEORGE v. HOPPES, SAN LUIS OBISPO MUNICIPAL COURT CASE NO. MC 53150; IN THE MATTER OF THE MARY • GEORGE BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 95-15300-RR; GEORGE y. CITY OF MORRO BAY (II), U.S. BANKRUPTCY COURT CASE NO. ND 94-12409- RR;' IN THE MATTER OF THE JAMES GEORGE IV BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 96-12288-RR PUBLIC SESSION - JUNE 24, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. 1 A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF MAY 28, 1996 AND JUNE 10, 1996 A-2 STATEMENT OF CASH AND INVESTMENTS - MAY 1996 A-3 EXPENDITURE REPORT - MAY 1996 A-4 RESOLUTION NO. 48-96 IN SUPPORT OF COMMERCIAL FISHERMEN A-5 BID AWARD FOR CHORRO CREEK BRIDGE REPLACEMENT PROJECT (GEOTECHNICAL REVIEW AND MITIGATION MONITORING) B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 51-96 AUTHORIZING CONTINUED 1996/97 FUNDING AUTHORITY B-2 CONSIDERATION OF CITY ATTORNEY ANALYSIS ON CABLECASTING INITIATIVE O-3 DISCUSSION ON PREPARATION OF ARGUMENTS FOR PROPOSED CITY MEASURES; AND/OR ARGUMENT AGAINST PROPOSED CITIZEN INITIATIVE C. NEW BUSINESS C-1 CONSIDERATION OF LOCATION FOR PORTABLE SKATE PARK C=2 CONSIDERATION OF CAPITAL IMPROVEMENT FINANCING PROGRAM - THIS ITEM HAS BEEN PULLED FROM THE AGENDA D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 RESOLUTION NO. 50-96 ADOPTING 1996/97 MASTER FEE SCHEDULE D-2 RESOLUTION NO. 49-96 APPROVING PROPOSITION 4 APPROPRIATIONS LIMIT F. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TINE SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY NMI FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND HILLS 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. 2 • 11 r\ \J MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - JUNE 24, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt CLOSED SESSION Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. E-1 GOVERNMENT CODE SECTION 54956.9(A): CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION ♦ CITY OF MORRO BAY v. DON FUNK, SAN LUIS OBISPO SUPERIOR COURT CASE NO. CV 079045 ♦ IN THE MATTER OF THE JAMES AND MARGIE GEORGE BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 94-12409-RR; CITY OF MORRO BAY v. GEORGE, SAN LUIS OBISPO SUPERIOR COURT CASE NO. CV 77536; GEORGE v. HOPPES, SAN LUIS OBISPO MUNICIPAL COURT CASE NO. MC 53150; IN THE MATTER OF THE MARY GEORGE BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 95-15300-RR; GEORGE v. CITY OF MORRO BAY (II), U.S. BANKRUPTCY COURT CASE NO. ND 94-12409-RR; IN THE MATTER OF THE JAMES GEORGE IV BANKRUPTCY, U.S. BANKRUPTCY COURT CASE NO. ND 96-12288-RR The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Anderson moved the meeting be adjourned. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: None STAFF: Dave Howell City Administrator David Hunt City Attorney Rick Algert Harbor Director Bridgett Bauer City Clerk Bill Boucher Public Works Director Jim Koser Finance Director Joe Loven Police Chief Andrea Lueker Recreation and Parks Director Shauna Nauman Interim Planning Director Mike Pond Acting Fire Chief • Bill Boucher led the Pledge of Allegiance. LIGHTEN UP Steve Mathieu presented the "Lighten Up". MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates announced in celebration of the 4th of July, Grace Melton has provided refreshments along with a picture of the signing of the Declaration of Independence. Councilmember Novak announced State legislation will be necessary if the sales tax increase is approved by the voters in November; she has spoken to local State representatives who have voiced support in passing this legislation. PUBLIC COMMENT Bruce Elster addressed Item C-1 (Consideration of Location for Portable Skate Park) stating many parents support the park and have contributed significantly to it. He expressed his gratitude for Council support, and asked Council to put the item off until parents have an opportunity to provide input. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 3 • Ned Rogoway stated he received a letter from the Coastal Commission regarding the Cloisters development stating they have been authorized to record the map. He said he does not believe there is enough water to go forward with this project. Mr. Rogoway stated Council did not authorize the letter which Public Works Director Bill Boucher sent to the Coastal Commission regarding the recordation of the map; it should be rescinded and the matter brought to Council for a hearing. Charles Palmer stated water restrictions will be relieved when State Water arrives, and the City should make water available to all undeveloped lots, if it is awarded to Cloisters. He suggested meter connections, but not meters, be installed at vacant lots, so property owners can apply for water rights. Warren Dorn stated a building moratorium is still in effect, and he supports holding a water symposium. He referred to Local Coastal Plan 3.01 noting illegal acts should be reviewed by Council, and a public hearing should be held regarding Cloisters. Mr. Dorn stated there is talk of conservation, reclamation and reuse of waste water, and none of these items are being utilized. Jason Baker thanked the Council for the skate park, and he supports its relocation to Coleman Park; he advocates a smooth concrete lot. . Suedene Nelson thanked parents and Recreation and Parks Department staff for all the hard work on the skate park. She has been asked by waterfront businesses to voice support for the park. 011ie Moore stated he thinks the skate park should be moved to Coleman Park, and stated he hurt his arm because of the rough surface at the Front Street location. Roger Ewing agreed the skate park should be a public hearing item, in order for parents to have input on design and location. He expressed surprise at the Cloisters decision, since new development is not supposed to take place without a new water source. Mr. Ewing stated it is premature to allow Cloisters to move forward when there are current residents who would like to build. He also said he supports continued televised broadcasts of Council meetings. He asked about the status of the "Old Town" signs. City Administrator Dave Howell responded the vendor still has not received the signs. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 4 • Nelson Sullivan addressed Item B-2 (Consideration of City Attorney Analysis on Cablecasting Initiative) stating both the City Attorney and Council have indicated a negative bias toward the initiative. He said the cost figures used by the City Administrator are wild. Mr. Sullivan stated the City Attorney is still emphasizing "commission" instead of "service"; he said "misfeasance" is an appropriate word, even though the City Attorney is not familiar with it. • Linda Donnelly stated Recreation and Parks Commissioners did not consider relocation of the skate park to Coleman Park because it is not paved. She said she spoke to Dwayne Jojola from One Hour Photo who reported greatly reduced skating activity around his business due to the skate park. Steve Mathieu stated he has lobbied Sonic Cable for more air time, and Channel 54 may be available 24 hours a day starting July 1st. He asked Council to agendize new operating procedures to address the added availability. Roz Rogoff commended Mr. Mathieu for getting Sonic to provide a City channel, and everyone will have an opportunity to access the public station. She believes the new channel will eliminate the need for any City -sponsored commission. Ms. Rogoff supports the relocation of the skate park to Coleman Park, where fewer people would be annoyed by the noise. She complimented Suedene Nelson for improvements made to the new Chamber of Commerce office. Milt Gordon voiced support for the skate park, but it has created a noise hardship for the Adventure Inn, which is next to the park. He noted 20 parking spaces are unavailable due to the park's location, and all businesses on the parking lot are impacted. Mayor Yates closed the hearing to public comment. Councilmember Crotzer addressed a letter Roy Spiva, which expressed their concerns at North Point. He requested support to landmark tree. DECLARATION OF FUTURE AGENDA ITEMS received from Julie and about the cypress tree maintain this tree as a Councilmember Crotzer stated he would like to hear from more young people on the skate park. He said he believes the Cloisters water issue should be agendized, as per requests from Mr. Rogoway and Mr. Dorn. Councilmember Crotzer does not believe the City has to expedite the project, although he would not want to encourage litigation either. He said he believes the allocation of reserved water equivalency units to Cloisters for dune restoration has expedited the project needlessly. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 5 • Councilmember Unger stated she would like to agendize the Cloisters water issue as a public hearing soon. Councilmember Novak stated she would like to agendize a formal request for assistance from the National Estuary Program and the Morro Bay Watershed Council, which will help the City with meeting its Local Coastal Plan requirements for starting a Harbor Development Plan. Councilmember Novak stated there are a couple of locations around the City which are having problems with numbers of adults per household, and she feels Council should take a look at developing an ordinance to address the issue. Mayor Yates stated he would like to bring forth a resolution to direct staff to begin future budget hearings the first week in May and conclude by the end of May, so the budget can be approved by June. Councilmember Anderson asked if Council should act on Sonic's willingness to go forward on public access before it is scheduled before the Public Works Advisory Board as it looks like a win -win situation. Councilmember Crotzer stated Council wanted the Public Works Advisory Board to have control over cablecasting because of the franchise agreement. He believes interim rules could be put in place to take advantage of promised air time. Councilmember • Crotzer stated receiving concrete commitments from Sonic for necessary hardware is an opportunity to be seized. Public Works Director Bill Boucher stated it sounds like a great deal, although there are some questions to be dealt with. He said the property Sonic refers to is City -owned and is not the right-of-way, and he is not confident he understands the definition of an environmentally secure cabinet. Mr. Boucher stated operating rules are important when tape content is considered, and conceptual acceptance of Sonic's offer is contained in the budget line item. Councilmember Anderson requested a hearing by the Public Works Advisory Board to develop interim rules for the public to broadcast meetings, and to move as rapidly as possible to develop other types of programming. Councilmember Anderson asked Harbor Director Rick Algert if the tugboats and the Coast Guard have completed their relocation. Mr. Algert responded affirmatively, and stated the Coast Guard lease will be renegotiated at the end of its term, which is one more year. C_ 1 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 6 • Councilmember Anderson stated a request was received a year ago from two fishermen who wanted to lease the South T-Pier under the same arrangement the tugboats had. He thought it sounded like a win -win situation, and he would like to agendize the lease request. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF MAY 28, 1996 AND JUNE 10, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 STATEMENT OF CASH AND INVESTMENTS - MAY 1996 Mr. Howell recommended Council receive the report for information. A-3 EXPENDITURE REPORT - MAY 1996 Mr. Howell recommended Council approve the report. A-4 RESOLUTION NO. 48-96 IN SUPPORT OF COMMERCIAL FISHERMEN • Mr. Howell recommended Council approve Resolution No. 48-96 in support of commercial fishermen. A-5 BID AWARD FOR CHORRO CREEK BRIDGE REPLACEMENT PROJECT (GEOTECHNICAL REVIEW AND MITIGATION MONITORING) Mr. Howell recommended Council award the consultant contracts as recommended by the Project Manager. Councilmember Unger pulled Item A-1 from the Consent Calendar; Councilmember Crotzer pulled Item A-2 for a cursory summary from the Finance Director. MOTION: Councilmember Anderson moved the City Council approve Consent Calendar Items A-3, A-4, and A-5. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) A-1 MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF MAY 28, 1996 AND JUNE 10, 1996 Councilmember Unger referred to the minutes of May 28, 1996, page 10, third paragraph from the bottom, and said she does not remember saying desal water is $400 less per acre foot than State • Water. She also referred to page 13, paragraph 1, stating she MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 7 • did not make the statement regarding the cost for Coastal Commission submittal. Councilmember Unger requested the City Clerk check the tapes and make the appropriate corrections. Councilmember Crotzer referred to the minutes of May 28, 1996, page 10, correcting a typo and substituting "is" for "in" within his statement about ratepayers' water bills. He referred to page 11, paragraph 5, asking for clarification of "committee." Mr. Boucher responded the reference is to the Water Resources Advisory Committee. Councilmember Crotzer referred to the minutes of June 10, 1996, page 7, substituting "indicated in" instead of "opposed to." He also referred to page 9, stating a statement regarding the Cloister's project made by himself has been omitted and asked the City Clerk to refer to the tape for reconstruction. Councilmember Novak referred to the minutes of June 10, 1996, page 5, stating "TOT" should be replaced with "sales tax" in four consecutive paragraphs under Item B-1. A-2 STATEMENT OF CASH AND INVESTMENTS - MAY 1996 Councilmember Crotzer requested Finance Director Jim Koser to provide a summary of this statement. • Mr. Koser stated the most liquid assets are listed at the top, and the longer -term investments are listed towards the bottom. He said liquid assets include cash in the checking account; Bank of America investment checking is set up to accept interest wire transfers from other investments and the money is transferred and invested. Mr. Koser said the Bank of America payroll account is used to cover payroll checks, and there was $65,000 in the account on May 31, although money goes in and out of the account very quickly. Councilmember Crotzer asked if checks are received daily on the Local Agency Investment Fund? Mr. Koser responded money can be moved in and out of the fund on a daily basis. He said the next level of investment is certificates, which are obligations for a period of time at agreed -upon rates. Mr. Koser stated the final group consists of government securities, which are government bonds backed by the issuing agency and are designed for longer -term investing. Councilmember Crotzer asked what the balance of this statement is as of May 31, 1996? Mr. Koser responded $4,027,203.96. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 8 • MOTION: Councilmember Crotzer moved the City Council approve Item A-2. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 51-96 AUTHORIZING CONTINUED 1996/97 FUNDING AUTHORITY Finance Director Jim Koser recommended the City Council approve Resolution No. 51-96 authorizing the City Administrator continue City operations at the Fiscal Year 1995/96 service levels (beyond June 30, 1996) until such time as a budget can be adopted for Fiscal Year 1996-97. MOTION: Councilmember Unger moved the City Council approve Resolution No. 51-96 authorizing continued 1996/97 funding authority. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) B-2 CONSIDERATION OF CITY ATTORNEY ANALYSIS ON CABLECASTING INITIATIVE City Attorney David Hunt reviewed the Impartial Analysis which he prepared regarding the proposed cablecasting initiative. He stated he would continue to attempt to be impartial, despite the • fact his statement is not favorable. Mayor Yates stated Mr. Hunt has done a good job, and asked whether anyone from Council or staff has tried to guide him in any way while preparing the analysis. Mr. Hunt responded negatively, and stated he would not listen anyway. He said he has been asked why he called it an attempt to create a cablecasting commission, which he did not consider as trivilizing the issue. Mr. Hunt stated the ordinance uses the term "cablecasting services" once in six sections, and commission is used in four of the six operative sections. He said cablecasting service is never defined, and he has to look at the intent of the proposed ordinance, which is dominated by creation of the commission. Councilmember Unger asked Mr. Hunt if he had investigated other entities which handle cablecasting issues. She asked him to explain what he meant by "their adopting documents are generally far more extensive and do not conflict with other operative legal provisions." • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 9 • Mr. Hunt responded the State has created a foundation for the operation of public access. He said the public access channel will be utilized through this service, but any public organization is to have access on a first -come first -serve basis. Mr. Hunt asked how a commission could program or cablecast when the ordinance states programming has to be first -come first - serve. He said Sonic is supposed to prepare reasonable guidelines for the PEG channel, and does not know how that can accomplished by the cablecasting service without amendments to the ordinance. Mr. Hunt said there are inconsistencies, difficulties, and potential conflicts with existing law. Mayor Yates called for a break at 7:30 p.m.; the meeting resumed at 7:55 p.m. Mayor Yates asked for Council support to waive the 7:30 p.m. public hearing rule in order to hear Item C-1 next; Council concurred. C. NEW BUSINESS C-1 CONSIDERATION OF LOCATION FOR PORTABLE SKATE PARK Recreation and Parks Director Andrea Lueker reviewed options for Council's consideration regarding the location of a skate park and recommended Council approve one of the five options. • Mayor Yates opened the hearing for public comment. Lyn Shockey, owner of Kites Galore, commended Ms. Lueker for her efforts and offered $100 toward paving. He said other people will do the same and noted most of his customers are kids. Terry Turner, owner of Adventure Inn, stated the noise from the present skate park has caused many of her customers to check out of the motel. She said they do support a skate park in another location, and offered to volunteer free motel nights for raffles to raise money. Ms. Turner also stated there is a parking problem with the present skate park. Councilmember Anderson stated there appears to be community support for the skate park, and audience members and himself have pledged $100 apiece. He said $400 has now been pledged and $1,600 more is needed. Councilmember Anderson asked if a compromise could be reached regarding hours of operation to keep the park open while another location is readied. Mayor Yates asked Mr. Howell how much money is left over in the City Council budget. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 10 • Mr. Howell responded there may be as much as $1,500. He stated the savings resulted from unused Councilmember health insurance. Mayor Yates stated he does not want to put a decision off, because delays will take too long and Council needs to act now to relieve the burden on adjacent businesses. Councilmember Crotzer stated he has been assured by Ms. Lueker a barrier can be placed to protect the skaters at Coleman Park, and he will support the use of Council funds to help with paving. Councilmember Unger stated the money for this project should come from the community instead of dipping into leftover City funds, as the City is in dire budgetary straits. She said she would like the skate park to be moved to Coleman Park advocating volunteers, parents, and kids raising the money and getting the park done before summer is over. Councilmember Novak supported relocating the skate park to Coleman Park and using available funding in order to expedite its relocation. She said the community can be asked to donate in order to replace expended Council funds. Councilmember Unger agreed and, if the community will pay the money back, she will support immediate relocation. She said something should be done to help the businesses now, and if • relocation is only two weeks away, then Front Street skate park activities should be suspended. Mayor Yates agreed with Councilmember Unger to suspend skating until Coleman Park is ready. He supports funding as discussed, and the Coastal Commission should provide an answer very quickly. MOTION: Mayor Yates moved the City Council authorize the Recreation and Parks Director to proceed with paving of the Coleman Park parking lot for the skate park; Front Street skate park operations be suspended until paving is completed; and funding will be provided by Recreation and Parks in the amount of $1,500, and by the City Council in the amount of $1,500, as well as by private donations. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) C-2 CONSIDERATION OF CAPITAL IMPROVEMENT FINANCING PROGRAM This item was pulled from the agenda. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 11 • D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 RESOLUTION NO. 50-96 ADOPTING 1996/97 MASTER FEE SCHEDULE Finance Director Jim Koser presented the annual review of the Master Fee Schedule stating the increase in existing fees resulting from the changes proposed is estimated at approximately $40,000 for the General Fund; however, the actual increase in revenues depends on the demand for services. He recommended the City Council adopt Resolution No. 50-96 adopting the 1996/97 Master Fee Schedule. There was some Council discussion on specific fees and their proposed increases. Mayor Yates stated individual income goes up according to the Consumer Price Index (CPI); however, the City always raises fees three or four times more. He said he is willing to follow the CPI; however, he will not support the 10% fee increase in Administration and Finance fees. Mayor Yates opened the hearing to public comment. John Barta expressed concern that Council would consider approving $40,000 in increased fees. He said costs are spread among fewer people and thus prices go up; however, this year more • building permits will be issued than in previous years and there will be a greater basis to spread costs. 11 Mayor Yates closed the hearing to public comment. Councilmember Unger expressed deep concern with the present fee structure. She stated the City should have staff that cares about the people because that's the only reason they have a job. She asked how the City can make it easier for the people to get the kind of services they need without bankrupting them, and stated she feels that -several there is one department that does not care how much the people have to pay. Councilmember Crotzer stated people should pay for costs of having their own plans checked, as opposed to having someone else pay. people of this City. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 12 • Councilmember Crotzer responded if his parents wanted to build a house, they should have to pay for the costs rather than having "Mr. Anderson" pay for it. He said he understands Morro Bay's fee structure is not out of line with other coastal cities. Councilmember Anderson stated the prior system did not allow property owners to build at all, so there were no opportunities to pay fees of any size. He said he does not believe percentages are a good way to measure items, especially when increases are less than $20. Councilmember Anderson stated the ability to get something done efficiently is his concern, and people will save money because of efficiency. Mayor Yates stated Council should try to find an approach for providing staff direction, as there is no majority consensus for Master Fee Schedule approval. Mr. Howell stated department heads started at zero and worked through each process to determine fees. He said some fees were decreased and some were increased, and possibly some fees need to be adjusted to the CPI. Mr. Howell stated department heads can provide calculations as backup data for Councilmembers. Councilmember Crotzer stated he would welcome the actual projections of calculated costs; however, the overall question is • whether or not other people are paying for development. He said streamlining is a euphemism for encouraging development at all costs, and he will not support such a stance. Councilmember Novak stated the new system on Conditional Use Permit fees in the Master Fee Schedule promotes a friendly department, and someone can call on the telephone to determine building costs instead of asking a lot of questions. MOTION: Mayor Yates moved the City Council send the Master Fee Schedule back to staff with Council's comments, and staff will return a revised Master Fee Schedule to Council for approval. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) D-2 RESOLUTION NO. 49-96 APPROVING PROPOSITION 4 APPROPRIATIONS LIMIT Finance Director Jim Koser reviewed the appropriation limit set by Proposition 4. The purpose of this constitutional amendment and the implementing legislation is to restrict growth of tax - funded programs and services by limiting the appropriations of the proceeds of taxes to the 78/79 base year limit, as adjusted annually for changes in population and for inflation. He recommended Council adopt the Fiscal Year 1996/97 Appropriation • Limit by approval of Resolution No. 49-96. U • n LJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 13 Mayor Yates opened the hearing to public comment; there was none and the hearing was closed. MOTION: Councilmember Anderson moved the City Council approve Resolution No. 49-96 establishing Appropriation Limits for Fiscal Year 1996/97. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) B-3 DISCUSSION ON PREPARATION OF ARGUMENTS FOR PROPOSED CITY MEASURES; AND/OR ARGUMENT AGAINST PROPOSED CITIZEN INITIATIVE City Clerk Bridgett Bauer reviewed the 1996 Election Code in regards to preparation of arguments for proposed city measures, and/or argument against the proposed citizen initiative on the November 1996 General Municipal Election ballot. She requested direction from Council. Mayor Yates stated Council should write arguments in favor of tax measures. Councilmember Crotzer stated an argument should be written in favor of the Transient Occupancy Tax (TOT); however, his support of raising taxes has eroded since he has gone through the budget in more detail. Mayor Yates stated he could write both the TOT and sales tax arguments if Council agrees. He said he will place a draft of these arguments in Council mailboxes for revisions. Ms. Bauer asked about the cablecasting initiative. Mayor Yates responded he was not supportive of the initiative, and he offered to write an argument against it for Council perusal. Council concurred. No further action was taken on this item. Mayor Yates stated he had made an error by not pulling Item A-5 from the Consent Calendar for separate action, and requested to address it at this time; Council concurred. A-5 BID AWARD FOR CHORRO CREEK BRIDGE REPLACEMENT PROJECT (GEOTECHNICAL REVIEW AND MITIGATION MONITORING) MOTION: Mayor Yates moved the City Council remove the word "contingency" from the construction contract award placed by Resolution No. 44-96 at the June 10, 1996 City Council meeting. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 24, 1996 PAGE 14 • MOTION: Mayor Yates moved the City Council find sufficient evidence exists for full and complete approval of environmental requirements is now forthcoming in a timely manner and award the construction contract to Nick D. Pokrajak with no contingencies. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) MOTION: Mayor Yates moved the City Council award the Geotechnical Observation and Testing Services Contract to Fugro West Inc., award the Environmental Monitoring Service contract to Morro Group Inc., and the City Administrator be authorized to execute contract documents. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) MOTION: Mayor Yates moved the City Council authorize the City Engineer to negotiate the final scope of work and fees for the Environmental Monitoring Contract based upon development of red -legged frog monitoring requirements. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) F. ADJOURNMENT The meeting adjourned at 9:45 p.m. • Recorded by: �Ql t t�it� Bridgett Bauer City Clerk • NOT S C E O F S PEC S AL ME ET S NG NOTICE IS HEREBY GIVEN that a Special Meeting of the Morro Bay City Council is hereby called to be held on Tuesday, June 18, 1996 at 6:00 p.m. in the Morro Bay Community Center Multi Purpose Room, 1001 Kennedy Way, Morro Bay, California, to discuss the City's 1996/97 Fiscal Budget. DATED: June 7, 1996 WILLIAM YATES, Mayo • City of Morro Bay, ali ornia MINUTES - MORRO BAY CITY COUNCIL SPECIAL BUDGET MEETING - JUNE 18, 1996 COMMUNITY CENTER MULTI PURPOSE ROOM - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. PRESENT: William Yates Mayor Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: Rodger Anderson Councilmember STAFF: Dave Howell City Administrator Bridgett Bauer City Clerk Rick Algert Harbor Director Greg Beuer Acting Police Chief Bill Boucher Public Works Director Jim Koser Finance Director Andrea Lueker Recreation and Parks Director Shauna Nauman Interim Planning Director Mike Pond Acting Fire Chief • PUBLIC COMMENT - There was no public comment. CONSIDERATION OF 1996/97 FISCAL BUDGET City Administrator Dave Howell introduced the proposed 1996/97 fiscal budget. Finance Director Jim Koser updated Council on the proposed budget since the budget meeting of May 29, 1996. Mayor Yates opened the hearing for public comment. Charles Palmer expressed concern with the lack of public information that was made available for public review prior to this meeting. Ralph Gunther recommended Council consider a 10% reduction in management salaries, eliminate the Personnel Department, and form a commission to negotiate personnel issues. Karen Osmonson addressed Council on employee layoffs and the concern of maintaining present service levels. Mayor Yates closed the hearing for public comment. • After some discussion, Council adjourned this meeting to July 3, 1996 at 6:00 p.m. in the Community Center Multi Purpose Room in order for Councilmember Anderson to be present. 1 E The meeting adjourned at 8:30 p.m. Recorded by: Bridgett Bauer City Clerk • • City of Morro Bay City Council Agenda Mission Statement The City of Morro Say 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. PUBLIC SESSION - JUNE 10, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. Iwo increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 RESOLUTION NO. 44-96 APPROVING CHORRO CREEK BRIDGE/SOUTH BAY BOULEVARD PHASE II BID AWARD A-2 RESOLUTION NO. 45-96 APPROVING EXTENSION OF THE SOUTH T-PIER LOAN AGREEMENT • 1 •B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 46-96 CALLING A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 5, 1996 FOR THE PURPOSE OF ELECTING CERTAIN OFFICERS OF SAID CITY; INCREASE OF THE CITY'S TRANSIENT OCCUPANCY TAX TO 10%; AND INCREASE OF THE CITY'S SALES TAX TO 7.75% TO BE PLACED ON THE BALLOT OF THE NOVEMBER 5, 1996 GENERAL MUNICIPAL ELECTION B-2 RESOLUTION NO. 47-96 CERTIFYING THE PETITIONS FOR THE CITIZEN'S INITIATIVE TO CREATE A CABLECASTING COMMISSION, AND REQUEST TO BE PLACED ON THE BALLOT OF THE NOVEMBER 5, 1996 GENERAL MUNICIPAL ELECTION C. NEW BUSINESS C-1 PRESENTATION ON NATIONAL/MORRO BAY ESTUARY PROGRAM C-2 AWARD OF WATER EQUIVALENCY UNITS FROM RETROFIT BANK FOR DUNE RESTORATION PROJECT ASSOCIATED WITH THE CLOISTERS PROJECT • THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. F • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 10, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell Philip Sinco Rick Algert Bridgett Bauer Bill Boucher Joe Loven Shauna Nauman Steve Sylvester Mayor Councilmember Councilmember Councilmember Councilmember City Administrator Assistant City Attorney Harbor Director City Clerk Public works Director Police Chief Interim Planning Director City Engineer Dave Howell led the Pledge of Allegiance. LIGHTEN UP Steve Mathieu presented the "Lighten Up". MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: ♦ Thanks to the Police Department for their efforts in the latest happenings in the City; and ♦ Budget hearing will be held Tuesday, June 18, 1996 at 6:00 p.m. in the Community Center Multi -Purpose Room. ♦ The Planning Commission will hear the mini -golf course appeal on Monday, June 17, 1996. Councilmember Anderson reminded Council and staff that summer is approaching and a letter to the Embarcadero business owners should go out regarding employee parking. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 10, 1996 PAGE 2 • PUBLIC COMMENT Charles Palmer stated top management staff is receiving another high salary increase; he believes this raise and the one before are violations of the bargaining agreement. Nelson Sullivan addressed Item B-2 (Resolution Certifying the Petitions for the Citizen's Initiative to Create a Community Cablecasting Commission and Request to be Placed on the Ballot of the November 5, 1996 General Municipal Election) stating the initiative is for a cablecasting service and not a commission. He said the fiscal impact of this proposed initiative should not exceed $20,000 per year, which is nothing compared to costs of State Water or the problems with Cayucos. Ed Ewing suggested City department heads read the Tidelands Trust lawsuits associated with the agreement, as well as the City's Land Use Plan in order to be prepared for upcoming problems. Randy Ruff stated the City will not win its lawsuit with the State Water Resources Control Board, and it is a waste of money. He said there have been many consultant expenditures in the past which have also been a waste of money. Roz Rogoff stated the heart of the cablecasting initiative is a cast -in -concrete commission, and members will be difficult to • remove, with a possibility of future lawsuits. She said cablecasting supporters are unaware of how expensive video technology can be. Roger Ewing addressed Item C-2 (Award of Water Equivalency Units from Retrofit Bank for Dune Restoration Project Associated with the Cloisters Project) stating there is no new source of water and he does not understand how Cloisters will obtain retrofit units. He said there is a new take-out restaurant which has opened in Old Town called the Little Shrimp. Bill Raflowski stated the cablecasting initiative has qualified for the ballot and is constitutionally appropriate for public education. He said newspaper coverage is less than adequate and meetings are not well attended. Jeff Ferber, RRM Design Group, addressed Council regarding Item C-2 stating the parking lot is almost complete, and restoration planting will begin June 17th. He noted the overall goal is to remove invasive, exotic species and replace them with native plants. Mr. Ferber stated a youth employment program has been established for local students. Ray McKelligott stated the proposed cablecasting commission will serve a three-year term and can be removed without problems. He • said the cost to the City will not be very large. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 10, 1996 PAGE 3 • Mayor Yates closed the hearing to public comment. DECLARATION OF FUTURE AGENDA ITEMS - None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 RESOLUTION NO. 44-96 APPROVING CHORRO CREEK BRIDGE/SOUTH BAY BOULEVARD PHASE II BID AWARD A-2 RESOLUTION NO. 45-96 APPROVING EXTENSION OF THE SOUTH T-PIER LOAN AGREEMENT Mayor Yates stated Item A-1 (Resolution No. 44-96 Approving Chorro Creek Bridge/South Bay Boulevard Phase II Bid Award) has been pulled at Mr. Boucher's request. MOTION: Councilmember Unger moved the City Council approve Item A-2 (Resolution No. 45-96 Approving Extension of the South T-Pier Loan Agreement). The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) Public Works Director Bill Boucher reviewed the Chorro Creek • Bridge Project and new developments concerning the red -legged frog. He said bids came in below the engineer's estimate for the full project, and the City is in position financially to award the bid. Mr. Boucher explained the frog will be listed as a threatened species at the June 24th Council meeting. He said no construction will take place until a solution to the red -legged frog is found. Mr. Boucher stated a revised recommendation requests Council award the contract tonight to the lowest responsible bidder. City Engineer Steve Sylvester stated the red -legged frog situation is changing hourly, and the County Environmental Coordinator has been re -enlisted to help with the problems. He said he will be meeting with U.S. Fish and Wildlife Services representatives to present proposed mitigation measures to protect the frogs. Mr. Sylvester stated Fish and Wildlife will return its biological opinion by the end of the month, and he will report to Council on June 24th. He said the window for construction will still be open for a little while, and the project could begin in time to avoid the rainy season. Mr. Sylvester stated the South Bay Boulevard Phase I is on schedule and under budget. Councilmember Anderson stated dam removal will result in a free - flowing creek, and the deposits will wash away and the condition • will once again be brackish. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 10, 1996 PAGE 4 • Councilmember Unger stated she thought the City was in concert with the County regarding the Environmental Coordinator's Office, and it is the County's Environmental Impact Report and the County's Environmental Coordinator who is mitigating. She asked if the frog was missed entirely or if the listing was unforeseen. Mr. Sylvester responded the frog was addressed in the EIS, but frogs were not discovered in surveys as far back as 1986. He said the frog's listing as threatened is not anticipated. Councilmember Novak asked if there is a grace period because the frog had not been on the endangered species list. Mr. Sylvester answered no. Councilmember Crotzer stated the situation presents a mitigation opportunity for this species, which will enhance habitat. Mayor Yates asked what would happen if the creek dried up in September, leaving no frog habitat. Mr. Boucher responded it is more than a question of whether or not an individual frog lives in the area; it is also a question of habitat suitability. He said a fence will be built and frogs can be captured and transported out of the construction zone, but • the removal of sedimentation will change the tidal influence, leaving a problem of salt water and fresh water boundaries. MOTION: Councilmember Novak moved the City Council approve Resolution No. 44-96 awarding the construction contract for Project No. PW 96-34; Chorro Creek Bridge to Nick E. Pokrajac, Inc. The motion was seconded by Councilmember Unger and unanimously approved. (5-0) There was Council consensus to continue the award of contract for geotechnical services and environmental mitigation monitoring to the June 24th Council meeting. Council agreed to take the agenda out of order to hear Item C-1 next. C. NEW BUSINESS C-1 PRESENTATION ON NATIONAL/MORRO BAY ESTUARY PROGRAM David Paradies, National Estuary Program Director, provided the history of Morro Bay's entry into the NEP, and listed problems and goals for the bay and its watershed. He said the main problems of the bay are sedimentation, bacterial contamination, excess nutrients, disruptions of fresh water flows, and transport • of heavy, toxic metals. Mr. Paradies stated many programs will MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 10, 1996 PAGE 5 • be ongoing in the bay and watershed to determine solutions. He said flushing capability of the bay will be studied, as will sediment carried by streams. Mr. Paradies noted the State and Federal plans are due in July 1997, and Council approval will be necessary. • • Council received the presentation; no further action was taken on this item. B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 46-96 CALLING A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 5, 1996 FOR THE PURPOSE OF ELECTING CERTAIN OFFICERS OF SAID CITY; INCREASE OF THE CITY' S TRANSIENT OCCUPANCY TAX TO 10%; AND INCREASE OF THE CITY'S SALES TAX TO 7.75% TO BE PLACED ON THE BALLOT OF THE NOVEMBER 5, 1996 GENERAL MUNICIPAL ELECTION City Administrator Dave Howell introduced Resolution No. 46-96 and recommended its approval. He said Council should discuss whether or not all the money raised by the TGT sales tax should be restricted to roads. Mayor Yates stated revenues from increased TOT sales tax should go toward public safety as well. He asked how much is spent yearly on roads. Mr. Howell responded it ranges from $135,000 to $600,000 annually. Mayor Yates stated $500,000 could be raised and the result would be great roads, but no solutions to the City's financial difficulties. He said he believes much of the TG)T sales tax increase should go toward public safety, such as the Police Department, which costs over $1 million, and the Fire Department which costs $800,000. Councilmember Anderson stated he believes the ordinance has the best chance of passing if public safety is the purpose, and firefighters understand the importance of the ballot measure and are willing to help with its passage. Councilmember Unger stated the money should go toward public services for the people, as they will be voting to spend more of their money. She feels roads, the Fire Department, and the Police Department should be included. Councilmember Novak asked if percentages will have to be specifically included under transportation and public safety. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 10, 1996 PAGE 6 • Mr. Sinco responded he would recommend increased flexibility and not list exact percentages. He said a designated percentage will not have to be decided in the measure; however, Council will make those decisions in yearly budget talks. Councilmember Crotzer stated language should indicate a portion is for roads, but the overriding reason is public safety. He assumes people care particularly about public safety from the Fire Department, emergency medical care, and services from the Police Department. Councilmember Crotzer stated people also care about potholes, and tourists and residents alike would pay a half percent sales tax increase. Councilmember Unger asked if roads encompassed parking, downtown striping, traffic mitigation, and medians. Mayor Yates responded he believes everything but parking lots would be included. Mr. Howell stated transportation would include Dial -A -Ride, which is subsidized $140,000 to $150,000 annually. Councilmember Unger pointed out she receives complaints and requests about Dial -A -Ride, which is not available on weekends. Mayor Yates stated Council consensus is indicating • transportation, roads, and public safety are the main issues. Councilmember Unger referred to the text of the measure and suggested crossing out the entire section, and stating: "Transportation, roads, and public safety." She said listing specifics can be very limiting. Councilmember Anderson suggested placing public safety or police and fire services first, followed by roads and transportation. Councilmember Crotzer suggested fire, police, roads, and public transportation. Mayor Yates read the revised sentence: "The proceeds of the tax imposed by this chapter shall be deposited into a special fund to be used only for the purposes of fire and police services, public transportation, and the repair, replacement, construction ..." MOTION: Councilmember Unger moved the City Council approve amended Resolution No. 46-96 calling a General Municipal Election to be held on Tuesday, November 5, 1996 for the purpose of electing certain officers of said city; for the purpose of voting on a measure to adopt an increase in the City Transient Occupancy Tax from 9% to 10%; for the purpose of voting on a measure establishing the • Morro Bay Transportation Transactions and Use Tax; and MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 10, 1996 PAGE 7 isrequesting 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, November 5, 1996; and other election matters as required by law. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) Mayor Yates called for a break at 7:25 p.m.; the meeting resumed at 7:45 p.m. 3-2 RESOLUTION NO. 47-96 CERTIFYING THE PETITIONS FOR THE CITIZEN'S INITIATIVE TO CREATE A CABLECASTING COMMISSION, AND REQUEST TO BE PLACED ON THE BALLOT OF THE NOVEMBER 5, 1996 GENERAL MUNICIPAL ELECTION City Administrator Dave Howell introduced Resolution No. 47-96 and recommended its approval. Councilmember Crotzer urged Council support for continued cablecasting, as indicated by $7,500 proposed in the budget. Mayor Yates stated petitions have been signed and certified, which shows the support of the people. He noted he has never heard anyone speak in opposition of continuing Council coverage on television. • Councilmember Anderson expressed some skepticism originally; however, he has changed his mind because people do watch the meetings and ask him questions about issues. He believes televising meetings has worked well, although the mechanism could be improved. MOTION: Councilmember Crotzer moved the City Council approve Resolution No. 47-96 certifying the petitions for the citizen's initiative to create a community cablecasting commission, and request to be placed on the ballot of the November 5, 1996 General Municipal Election, with the addition stating "it is to create a system for cablecasting" as eppesed--to indicated in the proposed current text of the initiative. The motion was seconded by Councilmember Anderson. Mayor Yates asked if Council is satisfied with the question. He said the question on the ballot states: "Shall an ordinance be enacted to create a community cablecasting commission; yes or no." Mayor Yates stated the petition goes way beyond the statement. Is it the proper question? Councilmember Novak suggested adding "and system" to cablecasting commission. E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 10, 1996 PAGE 8 • Councilmember Crotzer agreed and said he would stress it is the community cablecasting system followed by commission. City Clerk Bridgett Bauer stated she would be concerned about changing the question, because it came from the petitions as circulated. Mayor Yates called for a break while a copy of the petition was located for review. He asked for the motion and second to be withdrawn; Council concurred. Mr. Sinco reviewed the petition and stated the City Attorney's impartial analysis cannot be changed by the City Council. He said the resolution needs to be approved as currently drafted. Councilmember Crotzer stated it is unfortunate "commission" is stressed over "service" in the title, because service is the key word; noting the intent is to create the service and not just another commission. Councilmember Crotzer asked Ms. Bauer if there was time to alter the resolution. Ms. Bauer responded time would have to be allowed for arguments for and against, as well as time for rebuttal arguments, allowing approximately 30 days for this process, and then it will need to • be submitted to the County Clerk. Mr. Sinco stated the petition signed by the people to place the initiative is the language under discussion. He spoke to Mr. Hunt during the break and said Mr. Sullivan chose not to respond to the proposed language. MOTION: Councilmember Crotzer moved the City Council approve Resolution No. 47-96 certifying the petitions for the citizen's initiative to create a community cablecasting commission, and request to be placed on the ballot of the November 5, 1996 General Municipal Election. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) C-2 AWARD OF WATER EQUIVALENCY UNITS FROM RETROFIT BANK FOR DUNE RESTORATION PROJECT ASSOCIATED WITH THE CLOISTERS PROJECT Interim Planning Director Shauna Nauman reviewed the proposed award of water equivalency units from the retrofit bank for the dune restoration project associated with the Cloisters project. She recommended the City Council award 10.0 water equivalency units from the retrofit program bank for the dunes restoration portion only of the Cloisters development. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 10, 1996 PAGE 9 • Councilmember Crotzer stated people in the community would prefer no development on this stretch of beach, and it seems the only way to prevent this project is for the public to buy the land. He said he supports the dune restoration project, although he is afraid acceptance of this portion will help the project become even more final. Councilmember Crotzer stated he will vote against water for the dunes, if it means he would be helping the project go forward. Councilmember Novak stated the issue tonight is whether or not to allow water for dune restoration only. She said the restoration project will serve to enhance the area and said she will support it. Mayor Yates stated the City has had opportunities to buy this proposed property, and chose not to. He noted 500 houses have been limited to 120, with open space and viewsheds left intact. Mayor Yates stated the developers have their vesting map and the project is too far down the road to stop it now without being in trouble legally. Councilmember Unger stated she is proud of the fact she has opposed this project from the beginning because it is illegal as originally conceived. She said she likes the project, but she does not want it built in that location. Councilmember Unger stated she supports dunes restoration; however, she will not • support this proposal, although the water pipe and meter are already in place. She said the mistakes have been compounded on this illegal project. Councilmember Anderson stated the Cloisters project came before Council in 1980 when Warren Dorn tried everything he could to get any agency to fund purchase of the property. He said he will support any mechanism to pay the owners fair market value in order to preserve the property. Councilmember Anderson stated the assessed value in 1980 was prohibitive for the City to purchase the property alone; it has been taxed at the residential use rate for decades, and 465 houses have been reduced to 120. He added unless the owners were compensated, stopping the project would be morally wrong. Councilmember Anderson stated the dune restoration is important and the City should participate. City's purposes as opposed to the developers obtaining their own water for their legally vested project. C� MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JUNE 10, 1996 PAGE 10 • MOTION: Mayor Yates moved the City Council award 10.0 water equivalency units from the retrofit program bank for the dunes restoration portion only of the Cloisters development. The motion was seconded by Councilmember Novak and carried with Councilmembers Crotzer and Unger voting no. (3-2) D. PUBLIC HEARINGS. REPORTS & APPEARANCES - None. F. ADJOURNMENT The meeting adjourned at 8:35 p.m. Recorded by: & . Ait&\&AAA�� Bridgett Bauer City Clerk r� • 9 D ..ro..-_ City of Morro Bay MO RRO BAY, CALIFORNIA 93442 ,. 805.772.6200 NOTICE OF BUDGET WORKSHOP NOTICE IS HEREBY GIVEN that the Morro Bay City Council has scheduled discussion of the Fiscal Year 1996/97 Preliminary Budget for • Wednesday, May 29, 1996 at 5:00 p.m. to be located at the Veterans Memorial 1-4 Building, 209 Surf Street, Morro Bay, California. DATED: May 22, 1996 WILLIAM YA FINANCE ADMINISTRATION FIRE DEPARTMENT 595 Harbor Street 595 Harbor Street 715 Harbor Street HARBOR DEPARTMENT PLANNING AND BUILDING POLICE DEPARTMENT 1275 Embarcadero 535 Harbor Street 850 Morro Bay Blvd. PUBLIC WORKS 695 Harbor Street RECREATION AND PARKS 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 - MAY 28, 1996; 5:00 P.M. CLOSED SESSION - MAY 28, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54957.6, CONFERENCE WITH LABOR NEGOTIATOR ♦ CONFERENCE WITH CITY ADMINISTRATOR, THE CITY'S DESIGNATED REPRESENTATIVE IN LABOR NEGOTIATIONS, FOR THE PURPOSE OF REVIEWING THE CITY S POSITION REGARDING SALARIES, SALARY SCHEDULES OR COMPENSATION PAID IN THE FORM OF FRINGE BENEFITS, AND GIVING INSTRUCTIONS TO THE DESIGNATED REPRESENTATIVE PUBLIC SESSION - MAY 28, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. • 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. 1 III CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE SPECIAL JOINT CITY COUNCIL MEETING OF APRIL 25, 1996; AND THE REGULAR CITY COUNCIL MEETING OF MAY 13, 1996 A-2 STATEMENT OF CASH AND INVESTMENTS - APRIL 1996 A-3 EXPENDITURE REPORT - APRIL 1996 A-4 SCHEDULE PUBLIC HEARING DATE FOR 1996/97 APPROPRIATION LIMITS A-5 RESOLUTION NO. 37-96 RELATIVE TO CIVILITY IN POLITICS A-6 RESOLUTION NO. 33-96: APPROVAL OF AUTHORIZATION EXECUTING THE JOINT POWERS AGREEMENT AMONG THE COUNTY AND CITIES OF SAN LUIS OBISPO FOR PREPARATION OF SAFETY ELEMENT UPDATE AND PROGRAM LEVEL ENVIRONMENTAL IMPACT REPORT A-7 APPROVAL OF SUBLEASE AGREEMENT FOR LEASE SITE 87-88/87W-88W - THIS ITEM HAS BEEN PULLED FROM THE AGENDA A-8 RESOLUTION NO. 41-96 RESTRICTING OVERSIZE VEHICLE PARKING ON STREET - ENDS OF THE EMBARCADERO QL9 RESOLUTION NO. 38-96 APPROVING RENEWAL OF LICENSE AGREEMENT WITH PG&E FOR CITY WATER WELLS NO. 14 AND 15 A-10 RESOLUTION NO. 43-96 IN SUPPORT OF MORRO BAY'S COMMERCIAL FISHING INDUSTRY - THIS ITEM HAS BEEN PULLED FROM THE AGENDA A-11 PROCLAMATION AGAINST VIOLENCE TO CHILDREN B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 42-96 ORDERING DISSOLUTION OF THE BAYSHORE BLUFFS ASSESSMENT DISTRICT B-2 REQUEST FOR MATCHING FUNDING FOR CHORRO CREEK BRIDGE AND SOUTH BAY BOULEVARD PHASE II PROJECT C. NEW BUSINESS C-1 REVIEW OF WATER RESOURCES COST COMPARISON C-2 RESOLUTION NO. 40-96 APPROVING CAPITAL PROJECT FUNDING FOR CERTAIN WATER DIVISION TASKS C-3 RESOLUTION NO. 39-96 AUTHORIZING TO PIGGY -BACK ON BID OF CITY OF PASO ROBLES FOR CONTRACT STREET SWEEPING SERVICES • 2 4 AWARD OF WATER EQUIVALENCY UNITS FROM RETROFIT BANK FOR DUNE RESTORATION PROJECT ASSOCIATED WITH THE CLOISTERS PROJECT - THIS ITEM HAS BEEN PULLED FROM THE AGENDA C-5 CONSIDERATION OF FORMATION OF TRAFFIC TASK FORCE FOR DEL MAR SCHOOL AREA C-6 RESOLUTION NO. 32-96 APPROVING REVISED EMPLOYEE JOB DESCRIPTIONS C-7 PRESENTATION OF 1994/95 AUDIT REPORT D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RESOLUTION NO. 43-96 APPROVING WATERFRONT MASTER PLAN 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 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION • RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. \J IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 3 • • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - MAY 28, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt CLOSED SESSION Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Unger moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. E-1 GOVERNMENT CODE SECTION 54957.6, CONFERENCE WITH LABOR NEGOTIATOR ♦ CONFERENCE WITH CITY ADMINISTRATOR, THE CITY'S DESIGNATED REPRESENTATIVE IN LABOR NEGOTIATIONS, FOR THE PURPOSE OF REVIEWING THE CITY'S POSITION REGARDING SALARIES, SALARY SCHEDULES OR COMPENSATION PAID IN THE FORM OF FRINGE BENEFITS, AND GIVING INSTRUCTIONS TO THE DESIGNATED REPRESENTATIVE The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:50 p.m. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) The meeting adjourned at 5:50 p.m. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. • • Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt Jamie Boucher Rick Algert Bill Boucher Jim Koser Joe Loven Jeff Jones Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Deputy City Clerk Harbor Director Public Works Director Finance Director Police Chief Fire Chief Recreation and Parks Director Interim Planning Director Joe Loven led the Pledge of Allegiance. LIGHTEN UP Dave Elliott presented the "Lighten Up". MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: ♦ Item C-7 will be moved ahead of Item C-1; ♦ A budget hearing will be held Tuesday, May 29, at 5:00 p.m. at the Veteran's Memorial Building; • Public Works Director Bill Boucher obtained money from San Luis Obispo Council of Governments to fund the Chorro Creek Bridge Project and Quintana Road bike lanes; • The City has received $235,000 from the Federal Highway Administration as reimbursement for flood -related expenses; MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 3 • ♦ The Old Town signs have been delivered and will be installed within the next two weeks; ♦ Over 150 people attended the annual volunteer appreciation dinner on May 15th; volunteers received recognition for over 1,000 hours of community service. He thanked Recreation and Parks Director Andrea Lueker for coordinating this dinner; ♦ Last week the Police Department graduated 23 citizen volunteers, who have completed over 40 hours of training. He applauded Police Chief Joe Loven and Jo Ann Reddell for their efforts toward community policing; ♦ A tree planting will take place at Del Mar Park on May 31st at 2:00 p.m. Councilmember Novak announced AB 2342 (Marine Weather Liability) passed the State Assembly 43-21. Councilmember Unger stated the television viewing audience would like Council to make meetings look more like fun. Councilmember Anderson stated he and Mayor Yates attended a recent San Luis Coastal Unified School District meeting where • many questions regarding the proposed mini -golf course location were answered. Mayor Yates noted the school board will probably fight the golf course project; they are not in support of any type of project at this location. PUBLIC COMMENT Steve Mathieu, speaking for the Video Broadcast Committee, requested Council direction and endorsement to air broadcasts as described in his written communication. Mayor Yates asked Mr. Mathieu what is the position of the Public Works Advisory Board (PWAB). Mr. Mathieu responded the PWAB has decided to continue their discussion after budget hearings. Mayor Yates asked if meetings other than Council were funded privately. Mr. Mathieu responded no City funding has been used to broadcast other meetings. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 4 • Mayor Yates stated Council provided authorization for taping Council meetings, and he will support the right of any citizen to tape meetings. Councilmember Crotzer asked about the technology for the screen message. Mr. Mathieu responded a character generator is used; the message is a leader which is typed and appears on the screen. He said he believes it is a good idea to continue broadcasts of the PWAB and Planning Commission meetings. Councilmember Novak acknowledged the PWAB review of this issue and expressed the importance of adhering to the established process and policies of continued broadcasting. Councilmember Unger agreed with the PWAB setting City policy; however, this issue revolves around Mr. Mathieu's time and money, and he should be able to run the tapes whenever he can get air time. Councilmember Anderson stated he does not believe time set aside specifically for the broadcast of Council meetings should be used for something else. He said a similar situation should be anticipated and avoided by consulting a calendar for fifth Mondays and holidays. • Mr. Mathieu responded the time is set aside for City government, not just City Council. He said the original motion included both the Planning Commission and City Council, and there is no stipulation from Sonic. Mayor Yates stated the most recent motion authorized the broadcasting of City Council meetings only; it is incorrect to go back to an earlier motion which included the Planning Commission. Councilmember Crotzer stated there is an audience for televised public meetings and Council should provide encouragement. Mayor Yates agreed there is overwhelming support for broadcasting Council meetings, but he has not heard any feedback regarding the broadcasting of other meetings. He said the committee is taping the part of the PWAB meetings which concerns video broadcasting only. Councilmember Novak stated one of Council's original concerns was editing and context; showing one portion of the PWAB meeting is an example of an issue taken out of context. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 5 • Councilmember Unger stated the time to censor was during taping, not after the meeting has been taped and paid for. She said Mr. Mathieu should have been told not to tape any other meetings, as it is against Council policy; this Council does not have the right to tell a citizen the tape cannot be run. • City Attorney David Hunt pointed out this item is not on the agenda, and Council has crossed the line for public comment. Charles Palmer requested Items Public Hearing list for another money and somewhat contradictory. C-1 and C-2 be placed on the meeting, as they both deal with Roger Ewing complimented Council for acquiring the Old Town signs. He also expressed support for airing any public meeting, and believes a simple decision is getting bogged down in bureaucracy. Nancy Bast expressed concern of the placement of the Waterfront Master Plan as last item on this agenda; this is an important issue which could change the complexion of the town forever. Bill Raflowski stated he would like Council to become more familiar with fiscal restraint and fiscal responsibility; the Waterfront Master Plan should not be considered until the City is in a better financial position. Mayor Yates closed the hearing to public comment. DECLARATION OF FUTURE AGENDA ITEMS - None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE SPECIAL JOINT CITY COUNCIL MEETING OF APRIL 25, 1996; AND THE REGULAR CITY COUNCIL MEETING OF MAY 13, 1996 Mr. Howell recommended Council approve the minutes. A-2 STATEMENT OF CASH AND INVESTMENTS - APRIL 1996 Mr. Howell recommended Council approve the report. A-3 EXPENDITURE REPORT - APRIL 1996 Mr. Howell recommended Council approve the report. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 6 • A-4 SCHEDULE PUBLIC HEARING DATE FOR 1996/97 APPROPRIATION LIMITS Mr. Howell recommended Council set June 24, 1996 for a public hearing on the 1996/97 appropriation limits for the proceeds of taxes, and direct the City Clerk to advertise same. A-5 RESOLUTION NO. 37-96 RELATIVE TO CIVILITY IN POLITICS Mr. Howell recommended Council approve Resolution No. 37-96 relative to civility in politics. A-6 RESOLUTION NO. 33-96: APPROVAL OF AUTHORIZATION EXECUTING THE JOINT POWERS AGREEMENT AMONG THE COUNTY AND CITIES OF SAN LUIS OBISPO FOR PREPARATION OF SAFETY ELEMENT UPDATE AND PROGRAM LEVEL ENVIRONMENTAL IMPACT REPORT Mr. Howell recommended Council approve Resolution No. 33-96 authorizing the Mayor and City Clerk to execute the Joint Powers Agreement and direct staff to forward the agreement to the County along with a letter stating the City is relying on the interpretation by their principal planner. A-7 APPROVAL OF SUBLEASE AGREEMENT FOR LEASE SITE 87-88/87W-88W This item was pulled from the agenda. • A-8 RESOLUTION NO. 41-96 RESTRICTING OVERSIZE VEHICLE PARKING ON STREET -ENDS OF THE EMBARCADERO Mr. Howell recommended Council approve Resolution No. 41-96 restricting parking of oversized vehicles in specified areas of the Embarcadero. A-9 RESOLUTION NO. 38-96 APPROVING RENEWAL OF LICENSE AGREEMENT WITH PG&E FOR CITY WATER WELLS NO. 14 AND 15 Mr. Howell recommended Council approve Resolution No. 38-96 approving renewal of the License Agreement with PG&E for City Water Wells No. 14 and 15. A-10 RESOLUTION NO. 43-96 IN SUPPORT OF MORRO BAY'S COMMERCIAL FISHING INDUSTRY This item was pulled from the agenda. A-11 PROCLAMATION AGAINST VIOLENCE TO CHILDREN Mr. Howell recommended Council adopt the proclamation against violence to children. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 7 • Mayor Yates pulled Items A-7, A-8, and A-10 from the Consent Calendar; Councilmember Unger pulled Item A-1. MOTION: Councilmember Anderson moved the City Council approve the Consent Calendar with the exception of Items A-1, A-7, A-8, and A-10. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) A-1 CITY COUNCIL MINUTES FOR THE SPECIAL JOINT CITY COUNCIL MEETING OF APRIL 25, 1996; AND THE REGULAR CITY COUNCIL MEETING OF MAY 13, 1996 Councilmember Unger made the following correction to the minutes of May 13th, page 7, paragraph 2, stating the City's bed tax will be increased "to 10%." MOTION: Councilmember Unger moved the City Council approve Consent Calendar Item A-1 as amended. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) A-8 RESOLUTION NO. 41-96 RESTRICTING OVERSIZE VEHICLE PARKING ON STREET -ENDS OF THE EMBARCADERO Police Chief Joe Loven stated Resolution No. 41-96 needs to be amended to include the Embarcadero between Beach and Driftwood • Streets. Councilmember Anderson stated he thought the alternate plan started at Anchor Park instead of Beach Street, and expressed concern for the fishermen. He also noted the description includes vehicles over 6 feet in height or over 18 feet long, and a lot of work trucks will be affected. Mayor Yates stated the intent focuses on RVs and asked if there is a way to specifically target RVs. Chief Loven responded the Vehicle Code goes by height and length; it would take multiple pages to describe a recreational vehicle. Councilmember Anderson asked if Council could change the height to 7 feet, even if the language was not the same as the Vehicle Code. Chief Loven responded the City is bound by the Vehicle Code. MOTION: Mayor Yates moved the City Council approve Resolution No. 41-96 restricting parking of oversized vehicles in specified areas of the Embarcadero as amended by Chief Loven. The motion was seconded by Councilmember Anderson and carried with Councilmember Unger voting no. (4-1) • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 8 B. UNFINISHED BUSINESS B-1 RESOLUTION NO. 42-96 ORDERING DISSOLUTION OF THE BAYSHORE BLUFFS ASSESSMENT DISTRICT Recreation and Parks Director Andrea Lueker reviewed options regarding the dissolution of the Bayshore Bluffs Assessment District. She noted if Council chooses Option 1, the General Fund will contribute an additional $7,168 for Fiscal Year 1996/97 for the maintenance of Bayshore Bluffs Park; Option 2 will direct staff to proceed with the assessment hearing process by presenting a resolution for preparation of an engineers report, public hearing, and levy of an annual assessment. Ms. Lueker recommended the City Council choose either Option 1 or Option 2 in regard to the future of the Bayshore Bluffs Assessment District. Councilmember Crotzer said with upcoming budget hearings, the issue of assessment districts for park maintenance is not over. He said there will be lamentations of which programs will be deleted, and there have been charges this Council is not fiscally responsible. Councilmember Crotzer expressed concern with a special interest group who has been able to end responsibility for this assessment district, in fact, reneging on the original development agreement which allowed the project. He said a source of revenue will be eliminated with passage of this resolution, and programs will be lost in other areas. Councilmember Unger stated $7,168 is not going to keep the City out of bankruptcy, and said she will maintain her promise to the Bayshore Bluffs homeowners. MOTION: Councilmember Unger moved the City Council approve Resolution NO. 42-96 ordering the dissolution of the Bayshore Bluffs Assessment District. The motion was seconded by Mayor Yates. Councilmember Crotzer stated the issue is not $7,000; it concerns ongoing maintenance of $28,000 to $30,000 per year, which is one of the reasons the City is undergoing financial hardships. Mayor Yates stated Council has previously discussed and voted on this issue, and it is not fair to fault the decision if other programs are not funded. He noted it is a philosophical difference, and one user group should not pay for a park everyone enjoys. Councilmember Crotzer stated this is a mechanism for funding park maintenance and impacts acceptance of parkland. He added this issue addresses future open space in Morro Bay. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 9 • Councilmember Anderson stated he will go along with the majority on this issue; however, there will be budget difficulties and people must get behind the bed tax and local sales tax initiatives to provide long-term, expected levels of service in the City. VOTE: The motion carried with Councilmember Crotzer voting no. (4-1) B-2 REQUEST FOR MATCHING FUNDING FOR CHORRO CREEK BRIDGE AND SOUTH BAY BOULEVARD PHASE II PROJECT Public Works Director Bill Boucher reviewed the option to fund local matching requirements for Chorro Creek Bridge and South Bay Boulevard (Phase II). 1 He recommended the City Council consider this matter and direct staff to transmit a formal request to San Luis Obispo Council of Governments for: 1) re -allocation of $141,950 of previously -loaned FAU funds to the South Bay Boulevard projects; 2) re -allocation of monies approved for fiscal year 1996/97 Park & Ride and North Main Street Multi -Modal Projects to the South Bay Boulevard projects; and 3) approve the request for advanced payment of up to five years of the City's Urban SHA funds for use on the South Bay Boulevard projects. MOTION: Mayor Yates moved the City Council direct staff to transmit a formal request to San Luis Obispo Council of • Governments for: 1) re -allocation of $141,950 of previously loaned FAU funds to the South Bay Boulevard projects; 2) re -allocation of monies approved for fiscal year 1996-97 Park & Ride and North Main Street Multi - Modal projects to the South Bay Boulevard projects; and 3) approval of request for advanced payments of up to five years of the City's Urban SHA funds for use on the South Bay Boulevard projects. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) C. NEW BUSINESS C-7 PRESENTATION OF 1994/95 AUDIT REPORT Finance Director Jim Koser presented the 1994/95 Audit Report and recommended the City Council accept the report. He introduced Mike Butcher of Butcher and Chambers, who prepared the audit report. Mr. Butcher stated the audit was completed in 90 days less than last year, and the opinion issued is clean, or unqualified, with the exception of fixed assets. He noted there was significant improvement in records, accounting, and the financial statements, and the 1995/96 year will likely be completed before the end of the calendar year. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 10 MOTION: Councilmember Unger moved the City Council accept the • Fiscal Year 1994/95 Financial Audit Report. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) C-1 REVIEW OF WATER RESOURCES COST COMPARISON Mr. Boucher reviewed the staff report and recommended the City Council receive the report. Mayor Yates said he appreciated Mr. Boucher's report and said it was a good job considering the complexities. Councilmember Crotzer also complimented Mr. Boucher, especially the Measure J explanation. He said the general populace is unaware of discussions about doubling the State Water allotment. Councilmember Crotzer concurred there will be additional costs as regulations become more stringent regarding well water treatment. He said a simple explanation of what will happen to ratepayers' water bills in is still not included, and he cannot perform the final calculations. Mr. Boucher said impacts on individual ratepayers require a look • at how rates are derived. He said a flat rate is pretty straightforward, but inverted rate schedules are more difficult. Mr. Boucher said the last two rate increases have been uniform, with a 26% increase in 1994-95 and a 30-something percent this year. He said an increase from $3 million to $4 million would necessitate arithmetical increases in some type of rate structure. Councilmember Novak echoed the complimentary comments to Mr. Boucher. She said she enjoyed the report and found valuable information, and she looks forward to finding some way to decrease rates. Mayor Yates said the report would be available in the library, City Hall, and Mills Stationery, and he encouraged people to study it. Councilmember Unger complimented Mr. Boucher and said the acre- foot cost for desal was $400 less than State Water. Mr. Boucher responded the only desal cost published in the Boyle Technical Appendix was based on expansion, or 800 gallons per minute versus 400 gallons per minute. Councilmember Unger asked if more water could be pumped from the • Morro wells in the summer, because there are no nitrate problems. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 11 • Mr. Boucher responded affirmatively. Councilmember Unger asked if State Water could be used to dilute nitrates. Mr. Boucher responded affirmatively. Councilmember Anderson said he enjoyed the report and stated overdraft is occurring in a number of other municipalities. He said there has been pressure on the County Board of Supervisors to not sell water out of the County, in order for water tables to recover for agricultural use. Councilmember Anderson said a number of communities did not buy State Water and now realize they have serious problems, and anyone south of Cuesta Grade will pay more for Nacimiento Water than State Water. He said Morro Bay was more aware of water problems because of the Chorro wells situation. Councilmember Anderson commented there is a discrepancy between pumping and delivery, and a statement has been made the City has done nothing; however, experts have searched for answers and none has been found as yet. He said the measuring devices at the wells may not be accurate, and he is interested in a test to try to find out where the water is being lost. Councilmember Anderson asked Mr. Boucher to address the issue of State Water leaving the County as far as the Water Resources Advisory Committee is concerned. • Mr. Boucher responded the Water Resources Advisory Committee asked the County Board of Supervisors to acknowledge groundwater overdraft is a regional issue and should be addressed before unallocated water is sold out of the County. He said broader implications should be considered, such as overdraft mitigation and environmental habitat and restoration, which are extremely crucial issues in the Chorro Valley and other valleys. Mr. Boucher said water is a broadly applied regional issue, but mitigation of problems seem to be up to individual agencies. He said Morro Bay has been deemed responsible for overdraft in the Chorro Valley, and the onus for annual mitigation is now placed on the City because of receipt of State Water. Mr. Boucher said there have been years when deliveries of State Water reached only 50%, and the City must purchase all mitigations necessary to obtain 1,313 acre feet. He said Santa Barbara has arranged a county -wide drought pool, which provides insurance. Mr. Boucher stated the City, CMC, Cuesta College are all pursuing 100; reliability insurance. Councilmember Anderson asked Mr. Boucher about the cost differential between State Water and Nacimiento. Mr. Boucher replied he has not seen any recent figures which include buying into the Chorro Valley Pipeline. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 12 • Mayor Yates called for a break; the meeting then resumed to public hearings. D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 RESOLUTION NO. 43-96 APPROVING WATERFRONT MASTER PLAN Acting Planning Director Shauna Nauman reviewed the revised Waterfront Master Plan, and recommended the City Council provide staff direction to: 1) adopt Resolution No. 43-96 approving the Waterfront Master Plan and direct staff to implement the design guidelines; 2) refer the document to the Planning Commission for further recommendations and additional public input; or 3) continue this matter for further Council discussion. Mayor Yates opened the hearing to public comment. Ray McKelligott stated the plan should go back to the Planning Commission for further public review. Bill Raflowski, as a member of the Coast Guard Auxiliary, expressed concern with the Target Rock launch ramp, especially with the understanding the Army Corps of Engineers will not be dredging every two or three years to reduce wave size at the entrance where several bad accidents have taken place. • Nancy Bast stated there are aspects of the plan many people do not know about, and referred to the heavily opposed extension of Highway 41, and the proposed Target Rock launch ramp. She said the status of the plan has changed from a specific plan to part of City zoning ordinances, and expressed concern that public review will be sidestepped as a result of the change. Steve Mathieu stated there have been substantive changes and the plan should go back to the Planning Commission. Mayor Yates closed the hearing to public comment. He said he would reopen the hearing to public comment after Council discussion, if new subjects were brought up by audience members. Councilmember Crotzer stated he met with Councilmember Novak to review the revised document for items which possibly could have missed the public hearing process over the past five to eight years. He noted the new items are relatively minor, and the Design Guidelines and Waterfront Master Plan are sound in substance and content as general planning documents. Councilmember Anderson stated there is no assumption any waterfront funds will be used for development of this plan. Mayor Yates agreed stating the plan is only a vision at this • point. L] • 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 13 Councilmember Unger disagreed- -$5a4-would-40e -needed-for Geastal-Commission-s-ubnritta3 intersected by stating her auestion Ms. Nauman stated the Design Guidelines have to be accomplished through a Zoning Ordinance text amendment and LCP plan amendment. She said the rest of it, including the feasibility study and the identification of projects, can be looked at through a long-term capital improvements program. Ms. Nauman noted priorities could then be identified and projects could be ranked in importance and funded when money is available. She added this is a planning feasibility study. Mayor Yates stated he stands behind the zoning changes, because they have resulted in immense streamlining; he referred to the Destination 2000 report which was accepted as a vision of the future. Councilmember Novak stated the reason behind calling this a master plan instead of a specific plan results from the funding issue, noting a specific plan must include funding for all projects listed, and there are a lot of other criteria which must be met in a specific plan. Councilmember Crotzer referred to Page No. 3-6, 3.e, the fishermen's campground facility, noting he supports it; however, he does not remember seeing it in the previous plan. Councilmember Novak responded it has been previously discussed. She referred to Page No. 3-6, 3.g, regarding the priority to retain harbor access and berthing facilities for commercial fishing vessels, stating this portion has merely been reworded. Mayor Yates stated he would like to leave in the deleted portion, "develop new commercial fishing vessel slips wherever feasible." Councilmember Crotzer stated the balance between recreational and commercial vessels may be open to debate when funding improvements are considered. Councilmember Novak responded commercial fishing is already included in the LCP and does not need to be rewritten in another document. Mayor Yates stated the LCP and the General Plan both identify the commercial fishing industry and the fishermen as the number one priority in the City, and balancing commercial and recreational slips contradicts the priority. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 14 iCouncilmember Anderson stated the term "wherever feasible" should be maintained in the case a funding source comes along which will provide money for this specified issue. Mayor Yates received consensus to put the clause back in. Ms. Nauman stated it was deleted because it is a water issue. She recommended all water issues be removed from the document. Mayor Yates agreed with Ms. Nauman and reversed Council's consensus; the clause will remain deleted. He noted new commercial slips could be developed by Council resolution regardless of any documents. Councilmember Novak referred to the last line of Page 3-6, "maintain the present number and general location of mooring spaces using the current swing type berthing system," stating it is a water issue and should be struck and saved for the future plan. Mayor Yates stated there was concurrence to strike the clause. He referred top Page 3-7, issue 8 (new 5), "support Aublic and private proposals for water taxis and/or water transit service linking together waterfront destination points." • Councilmember Unger addressed the revisions regarding commercial and recreational fishing; dry storage is considered a desirable alternative to berthing and mooring. She feels these are definitely water issues, and some are crossed out and some are not, but they are all water issues. Mayor Yates stated berthing is connected to land. Councilmember Novak replied a lot of the issues have an impact on land and cannot be disconnected. She said commercial slips can be deleted because the Harbor Development Plan can address the issue. Mayor Yates stated Councilmember Unger's points are well taken; he asked to reverse the decision to delete the clause referring to developing slips for commercial fishing vessels wherever feasible. Councilmember Crotzer referred to the original document which states "...retain priority access to the harbor and necessary berthing facilities by commercial fishing vessels. The existing separation of recreational and commercial vessels should be maintained in the future, and commercial berthing access should • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 15 • not be ceded to recreational vessels during periods of temporarily reduced commercial demand." He noted this portion was left out, not by the public process or the Council, and the question is whether or not to strike it during a public hearing. Mayor Yates stated this paragraph maintains priority for commercial fishermen for commercial slips. Councilmember Anderson stated it would not preclude the Harbor Department from allowing a sailboat to use an empty commercial slip overnight. Councilmember Crotzer referred to Page No. 3-8, ll.c, "develop an interpretive program for the area". He stated this might include a maritime museum and information center, which was added by a proponent of such a project and there was overwhelming support. There was consensus by Council for such a project. Mayor Yates referred to the section which reads "The Harbor Department should initiate a study to better understand the nature of the cost for dredging, Harbor Patrol berthing maintenance, and administration in order to give the City more information on the economics of berthing and harbor maintenance." Councilmember Novak stated that is a water issue and should be • deleted. There was consensus to strike the statement. Mayor Yates referred to Page No. 4-2, 3.b, "Provide auto/trailer parking at Morro Rock parking lot and in the vicinity of the launch ramp." The rest has been struck: "for approximately 30 to 40 spaces 35 feet in length adjacent to the launch area (the sketch plan shows approximately 30 vehicles and trailers). The balance of the parking needs would be met in the northerly lot identified as proposal No. 2 above." Councilmember Novak stated it was struck because of Council's decision regarding the launch ramp area and the decision not to have parking on the south side of the Rock parking lot. She said she would also suggest it should read Coleman Drive launch ramp instead of launch ramp. Councilmember Novak stated the name was changed during the grant proposal for the launch ramp study. Councilmember Crotzer said the idea was not to limit the launch ramp to a specific place. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 16 • Mayor Yates requested to add the word "proposed" to Coleman Drive launch ramp. He referred to Page 4-4, 7.a.b, "There is a potential for exchanging City land for portions of the former Den Dulk property to allow for development of public recreational facilities and private support uses. The Den Dulk property frontage on the bay should be acquired by the City for the purpose of extending Coleman Park." Councilmember Crotzer stated the issues are disturbing the Coleman Drive area, opening it up to development, and overriding the current agreements. Mayor Yates stated Council has voted not to support realignment of the road until the issues are resolved. There was Council consensus for 7.a and 7.b, while 7.c has been struck, "Encourage portions of the former Den Dulk property and City property adjacent to the PG&E fence north of Coleman Drive to be developed for use as an RV campsite similar to the RV park on the north side of Morro Creek." Mayor Yates referred to Page 4-5, 8 and 9, "Develop boat repair yard/haul-out facility with approximately 2,000 square feet of office space and a marine supply retail outlet east of Coleman Park. Connect the two portions of the Embarcadero with a two- lane bridge across Morro Creek. Provide a means of traffic • control, bulwarks, and signage to allow the City to control access for emergencies and special events only, should this be desired under the Traffic Management and Monitoring Plan." He received Council consensus. Mayor Yates referred to Page 4-6, 7, "Rebuild fish processing and commercial/recreational fishing -related uses." The next sentence has been struck, "Support reduced water use fees and re- development of lease site No. 129-133, etc.", No. 8 has been struck, "Provide additional commercial slips at Anchor Park or north of Beach Street." Councilmember Novak stated No. 8 was a water issue and Council had discussed the legal difficulty with reducing water -use fees. Mayor Yates received consensus. He said the major counter- productive issue for re-establishing fish processing plants concerns high water rates. Mayor Yates referred to the section which reads "...establish a design review program," with the rest of the sentence struck. City Attorney David Hunt noted Councilmember Anderson has stepped down because he has waterfront property. n U MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 17 • Ms. Nauman stated this wording is from the original text and referenced the Design Guidelines as a separate handbook, which is now embodied in Chapter 5 of this document. She said Council could choose to leave the wording out or clarify it. Mayor Yates received Council consensus. He referred to the section that reads "Provide haul -out improvements to existing facilities." The second portion was struck, "and increase existing fishing slip facilities." Councilmember Crotzer stated there was concern throughout the public hearing process about unlimited growth of commercial fishing slips because of environmental concerns, and now the bay's status has changed. He said any increase in any type of slips would be considered under the State and National Estuary Programs. Councilmember Crotzer stated increases in slips ran counter to public comment. Mayor Yates received Council consensus. He referred to Page 5-3, 2.e, "Regardless of any findings for significant public benefit provided, the maximum allowed height shall not exceed 25 feet or 30 feet for commercial fishing structures north of Beach Street except for flag poles, projections not exceeding 18 inches in • Councilmember Anderson stepped down during this discussion. Councilmember Novak stated 30 feet was added for commercial fishing structures because of Council discussion. Councilmember Crotzer stated he had made the original motion, and now believes there are sufficient protections in the Design Guidelines to protect the viewshed. There was Council consensus. Mayor Yates referred to Page No. 5-4, 3, "The minimum first -floor front setback on both sides of the Embarcadero and Front Street should be an average of 5 feet. The second -floor setbacks should be a minimum of 15 feet from the right of way." He noted 15 feet has been struck and 10 feet has been added. Councilmember Crotzer said the issue had been hotly contested, and 15 feet was seen as a compromise at the time. He said the number of feet was changed to 10 per City Council action. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 18 • Ms. Nauman noted the Planning Commission recommended 15 feet, and she did not find a specific motion but there was a discussion in the minutes. Mayor Yates received consensus for 10 feet. He referred to Page No. 5-5, Category 2, la.b, which are deletions for discussion, "It can be clearly demonstrated that the pedestrian character of the sidewalks will be maintained or that the town street character is better maintained by the alternative design. Pedestrian lateral access should be enhanced and the store fronts shall provide positive visual interest to the pedestrian." Mayor Yates stated such design guidelines are subjective and should be deleted; there was consensus for the deletions. Mayor Yates referred to Page No. 5-5, Category 2, 3, "Parking lot setback and access: No parking lot shall be placed in front or side yards which interrupt the street continuity and pedestrian passage. Access driveways to the rear are acceptable on the east side of the Embarcadero. Minimum new sidewalks: Improve the public sidewalks to a minimum of 8 or more feet in width on the east and west side of the Embarcadero and-6-€eet-in-widt7h-on--t-he west -side- or --wider. Where reasonable, the west side should be widened at entries and view corridor entries." Councilmember Crotzer stated there are areas much narrower and trying to get to 8 feet does not seem reasonable. • Mayor Yates stated the goal is to have a boardwalk on the water side, and Marina Square is a good example. He referred to Page No. 5-6, Category 3, paragraph 2, uBeeaxse-the-area-has-developed ever-a-leag-peried-e€-time-without-a€€eetive-design-guidaaee-€reFR the- City- or- Eounty;-rzo- -0f--building-is-predominant and- there- is--an--everaii-laek-e€-visua3-continuity:--hide thers are-a-number--of--attraetive-buildings-on--t-he--eentral-Embareadere that - have- eharraeter•-ash i-nteres-,--t-he-re­-are-also-struetures-that ereate--aa--everall--negative--imaaet-ll----Mayor Yates received consensus for the deletion. He referred to Page 5-7, 4.a.b, "Construction concepts to be avoided: a) large flat planes of any type of materials, like - -glass,- - -metal,- - -heavy --stiz - or plyweed;-a3umirirum- -eurtai-n-walls;-£ake-or- east -reek werk-and-expesed-tilt-up-eexerete; b) contemporary boxy buildings similar to shopping centers or discount stores, metal--er stere €rest - windews- and- door- systems,--aga­irr -like -these - €regxext ly asseeiated-with-shopping-eexters-er-large-industrial-buildings.-u Councilmember Crotzer stated the generic statements were sufficient and the detail was unnecessary. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 19 • Mayor Yates referred to Page No. 5-9, 1, l.d, "In the case of a majer project other than a minor remodel which has no impact on views, the proposed project makes a positive contribution to the visual accessibility to the Bay and Rock and it, d) maintains a pedestrian character along the Embarcadero." "No tunnel vision" has been struck. Mayor Yates stated tunnel vision refers to height as far as he is concerned. There was Council consensus. Councilmember Anderson returned to his seat. Mayor Yates referred to Page No. 5-10, Category 4, "The proposed project does not diminish either directly or by cumulative impact of several similar projects the use, enjoyment, and attractiveness of adjacent buildings." There was consensus. Mayor Yates referred to the next portion for discussion, "The prejeet--r-e its- -rts- neighbors,- i�-eempatible- w-ith--t-he-€ishing eemmunity-des-igr-aoneegt -and-mot- vrsuarry-ext-of-char ter and provides a visual and pedestrian transition to its immediate neighbors." There was Council consensus. Mayor Yates referred to Page 5-11, 2.a, 3, "Views from across the street: Embarcadero minimum of 50 feet away from the building frontage," stating "minimum of" has been added. • Councilmember Crotzer stated the discussion continues to the next paragraph, and the idea was for architects to submit something equivalent to the human eye. There was Council consensus. Mayor Yates referred to Page No. b-6 (appendix), "At present there is no operating public transit serving the waterfront area." Councilmember Crotzer stated language should be added stating there is a pilot/seasonal project providing public transit serving the waterfront area. Councilmember Anderson preferred the addition of "seasonal" because he does not foresee the financial possibility of expanding the trolley program at this time. There was Council consensus. Councilmember Novak added Page No. 6-1, "The third component of the Master Plan implementation set forth in Appendix C-H." She stated the whole paragraph does not make sense because it does not refer to anything in the plan. Councilmember Crotzer stated the H part becomes the Harbor Plan and the whole paragraph can be deleted. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 20 • Councilmember Novak said nothing in the plan discusses public improvement standards. Mayor Yates read the portion under discussion: "The third component of the Master Plan implementation is set forth in Appendix C, which identifies public improvement standards for the Embarcadero, areas such as street improvements, street furniture, etc. These standards identify improvement actions that the City should take. These should be reviewed during the capital improvement budgeting process each year." Mayor Yates reopened the public hearing. Ray McKelligott stated the Den Dulk property includes the beach across from the park, as well as the park. He believes the language should be tightened to state: "Negotiations with the property owner must result in the City gaining clear title to the beach area across from Coleman Park and all of Coleman Park." Mayor Yates closed the hearing to public comment. Councilmembers asked for the language concerning Coleman Park to be read again. Ms. Nauman stated the language under discussion was drafted by the City Attorney at the direction of Council. Mayor Yates read Page 4.4, 7c, stating the City is protected, as • Mr. McKelligott has requested. Ms. Nauman asked if the third paragraph would be left in on Page 6-1, including the citation to Appendix F. Councilmember Novak responded the whole paragraph has been deleted. MOTION: Councilmember Novak moved the City Council adopt Resolution No. 43-96 with the amendments discussed tonight. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) Ms. Nauman asked if staff should proceed with the Zoning Ordinance text amendment and she asked for direction as to when it should be brought forward. Councilmember Novak asked if the LCP amendment could be combined with another amendment. Ms. Nauman said she would bring forward the text amendment and Council can ask her to hold it until there is something else to package it with. Mayor Yates received Council consensus for such action. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 21 • MOTION: Councilmember Crotzer moved the City Council review the status of the Waterfront Master Plan every two years with a report from the Planning Director, in order to enable future Councils to look at these issues periodically. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates called for a break; the meeting resumed to Item C-2. C-2 RESOLUTION NO. 40-96 APPROVING CAPITAL PROJECT FUNDING FOR CERTAIN WATER DIVISION TASKS Public Works Director Bill Boucher stated the requested funding resides in the unallocated water Division revenue reserve, with no additional fiscal impacts. He recommended the City Council approve requested funding through adoption of Resolution No. 40- 96. Councilmember Crotzer asked about the pressure -reducing valve under the street in a vault. Will the new valve be placed on City -owned property adjacent to the intersection, and how large will the structure be? Mr. Boucher responded the fiberglass building is 6 feet wide and 8 feet long. • Councilmember Crotzer stated having it below ground and out of sight seems superior to having it above ground and impinging on some other possible use. Mr. Boucher stated maintenance is difficult when the valve fails and the vault fills with water. He said the current location is in the intersection of Kern Avenue and Morro Bay Boulevard across from the Police Station. Mr. Boucher said the structure will be tucked against the fence on the City parcel. MOTION: Mayor Yates moved the City Council approve Resolution No. 40-96 approving capital project funding for certain water division tasks. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) C-3 RESOLUTION NO. 39-96 AUTHORIZING TO PIGGY -BACK ON BID OF CITY OF PASO ROBLES FOR CONTRACT STREET SWEEPING SERVICES Public Works Director Bill Boucher reviewed the proposal to piggy -back on a bid with the City of Paso Robles for contract street sweeping services. He recommended the City Council adopt Resolution No. 39-96, adding such approval creates no contractual obligation but rather provides for a streamlined implementation if the City Council decides to embark upon contract street sweeping in fiscal year 1996/97. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 22 • Councilmember Anderson asked why it is preferable not to issue RFPs. Mr. Boucher responded it is a matter of time, because current equipment is often broken. He said this contract will provide better, more frequent service. MOTION: Councilmember Unger moved the City Council approve Resolution No. 39-96 authorizing to piggy -back on bid of the City of Paso Robles for contract street sweeping services. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) C-4 AWARD OF WATER EQUIVALENCY UNITS FROM RETROFIT BANK FOR DUNE RESTORATION PROJECT ASSOCIATED WITH THE CLOISTERS PROJECT This item was pulled from the agenda. C-5 CONSIDERATION OF FORMATION OF TRAFFIC TASK FORCE FOR DEL MAR SCHOOL AREA Councilmember Unger requested the City Council approve formation of an ad hoc task force, comprised of Dawn Aiken, a PTA representative, Roger Pelletier, Bernie Melvin, and herself for the development of traffic mitigation recommendations, a fiscal impact report, and possible payment methods. • Councilmember Novak stated she does not oppose creation of a group to look at problems raised by the school expansion; however, the PWAB was created to study these types of issues. She believes problems will occur after construction, and the PWAB will be looking at safe routes to school. Councilmember Unger stated several remarks were made by the condominium homeowners when the appeal was addressed, but they were not part of the appeal. She is particularly concerned about Sequoia Street, which is an accident waiting to happen, and she suggested a cooperative approach with the school district and the City. Councilmember Unger stated she met with Dawn Aiken, who suggested an ad hoc committee to address the problems, and it would take the PWAB until 1999 to complete deliberations. She said the committee will bring suggestions to the PWAB for action, and the school district will pay for improvements, with the City providing manpower. Councilmember Unger stated the City will have severe problems if something happens to a child. Councilmember Novak replied she was not disputing the fact there are problem areas, but completed construction could change the whole mitigation scheme. She would rather wait until the project is completed and then look at it. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 23 • Councilmember Unger stated completed construction will not affect dead end streets or streets without stop signs, sidewalks, gutters, or crosswalks. She said this is an opportunity for someone else to pay for children's safety. Councilmember Anderson expressed concern with the use of staff time, but he likes the idea of a task force. He said this will be another committee with meetings, minutes, and organized in accordance with all cumbersome bureaucracy. Mayor Yates stated he would prefer the PWAB perform the study, and the assumption the school will have an additional 350 students is not accurate. He noted there will be three new members on the school board this year, which will change its complexion and attitude toward large schools. Councilmember Crotzer stated he likes the idea of neighborhood groups getting together in ad hoc meetings on specific issues. He said the ideas can be presented to the PWAB and action can be taken, and revenue sources may be found to help mitigate potential problems. Councilmember Novak suggested Councilmember Unger relay the information to the PWAB to help the board pursue the ideas. Councilmember Unger replied the school will help before • September, and she will try to get on the PWAB agenda. She said the situation is not safe and she has watched the parking problems herself. Councilmember Anderson asked if the City Council can direct the Public Works Director to agendize this issue for consideration by the PWAB quickly. Mr. Boucher responded there are two PWAB meetings coming up. No further action was taken on this item. C-6 RESOLUTION NO. 32-96 APPROVING REVISED EMPLOYEE JOB DESCRIPTIONS City Administrator Dave Howell reviewed the updated employee job descriptions and recommended its adoption by approval of Resolution No. 32-96. Councilmember Unger stated many items having to do with performance evaluations have a direct relationship to restructuring, and she would like to consider the item later. She said she would be willing to approve the job descriptions. Councilmember Crotzer asked Mr. Howell about the results of . employee comments. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 28, 1996 PAGE 24 • Mr. Howell responded employees were asked to compare the old and proposed job descriptions and state whether or not descriptions reflect work actually performed. He said comments were discussed with Personnel Officer Ardith Davis, who met with employees and department heads to consider changes. Mr. Howell said it was necessary for ADA requirements to be reflected in job descriptions. MOTION: Councilmember Novak moved the City Council adopt Resolution No. 32-96 approving updates to job descriptions. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) Councilmember Unger asked if the evaluation guidelines and personnel performance standards will be agendized for budget sessions. Mr. Howell suggested Councilmember Unger meet with him or Ms. Davis for an opportunity to review and compare material and to explain the process to her. He noted the Municipal Code requires Council approve the job descriptions but not job evaluations; however, Councilmembers' input is desired. F. ADJOURNMENT is The meeting adjourned at 10:20 p.m. Recorded by: Jamie Boucher Deputy City Clerk City of Morro Bay City Council Agenda Mission Statement The City of Morro Say is dedicated to the prewroation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - MAY 13, 1996; 5:00 P.M. CLOSED SESSION - MAY 13, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956 9(B)• CONFERENCE WITH LEGAL COUNSEL DUE TO SIGNIFICANT EXPOSURE TO LITIGATION ♦ SIGNIFICANT EXPOSURE TO LITIGATION EXISTS BASED UPON EXISTING FACTS AND THE ADVICE OF LEGAL COUNSEL AS TO ONE (1) MATTER, ARISING FROM THE 1995 WINTER FLOODS AND THE FUEL DOCK CLAIM. PUBLIC SESSION - MAY 13, 1996 • VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST.,MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE - VFW POST 11097 LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. 0OUNCIL DECLARATION -OF FUTURE AGENDA ITEMS 1 CONSENT CALENDAR 44nless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF APRIL 8, 1996 AND APRIL 22, 1996 A-2 REPORT ON CURBSIDE RECYCLING PROGRAM FOR 1995/1996 A-3 APPROVAL OF AGREEMENT WITH PG&E FOR FIRE SERVICES A-4 RESOLUTION NO. 36-96 APPROVING DEPARTMENT OF BOATING & WATERWAYS GRANT EXTENSION UNTIL MAY 1997 A-5 APPROVAL OF TIDELANDS PARK PHASE III BID AWARD A-6 RESOLUTION NO. 34-96 APPROVING WEED ABATEMENT BID AWARD A-7 RESOLUTION NO. 33-96 APPROVING AUTHORIZATION EXECUTING THE JOINT POWERS AGREEMENT AMONG THE COUNTY AND CITIES OF SAN LUIS OBISPO FOR PREPARATION OF SAFETY ELEMENT UPDATE AND PROGRAM LEVEL ENVIRONMENTAL IMPACT REPORT A-8 RESOLUTION NO. 35-96 IN SUPPORT OF LEGISLATION REQUIRING INSURANCE COMPANIES TO OFFER A REDUCTION IN AUTOMOBILE INSURANCE RATES FOR • LICENSED DRIVERS OF ALL AGES WHO SUCCESSFULLY COMPLETE AN APPROVED DEFENSIVE DRIVING COURSE; (SB 1694) A-9 REJECTION OF CLAIM AGAINST THE CITY; (KELLY YATES) A-10 REJECTION OF CLAIM AGAINST THE CITY; (HARTH) A-11 PROCLAMATION DECLARING MAY 12-18, 1996 AS "NATIONAL POLICE MEMORIAL WEEK AND MAY 15, 1996 AS "POLICE OFFICER MEMORIAL DAY" A-12 PROCLAMATION DECLARING MAY 1996 AS "MORRO BAY VOLUNTEER MONTH" A-13 PROCLAMATION DECLARING MAY 17-19, 1996 AS "BETA SIGMA PHI DAYS" B. UNFINISHED BUSINESS B-1 APPROVAL OF REVISED LICENSE AGREEMENT FOR SYLVESTER'S TUG SERVICE AT NORTH T-PIER B-2 REVIEW OF QUINTANA ROAD TRAFFIC RECOMMENDATIONS C. NEW BUSINESS C-1 REPORT BY SAN LUIS OBISPO COUNTY VISITORS & CONFERENCE BUREAU REGARDING COUNTY -WIDE TOURISM -2 REVIEW OF THIRD QUARTER FINANCIAL STATUS REPORT V 3 CONSIDERATION OF ELECTION CODE SECTION 9212 IN REFERENCE TO NOTICE OF INTENTION TO CIRCULATE PETITION FOR BALLOT MEASURE TO CREATE A COMMUNITY CABLE CASTING COMMISSION; INCLUDING DISCUSSION OF FISCAL ANALYSIS/IMPACT; AND CITY ATTORNEY IMPARTIAL ANALYSES D-1 RECONSIDERATION OF ESTABLISHING OR CHANGING PARKING TIME RESTRICTIONS ON THE EMBARCADERO AND THE DOWNTOWN AREA D-2 1996 WEED ABATEMENT APPEAL FROM NOTICE F THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. s 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. s IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 3 • • • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - MAY 13, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: ABSENT: STAFF: CLOSED SESSION William Yates Rodger Anderson Cathy Novak Ahnawake Unger Colby Crotzer Dave Howell David Hunt Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Unger moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Novak and unanimously carried. (4-0) Councilmember Crotzer arrived at 5:05 p.m. Mayor Yates read the Closed Session statement. E-1 GOVERNMENT CODE SECTION 54956.9(B); CONFERENCE WITH LEGAL COUNSEL DUE TO SIGNIFICANT EXPOSURE TO LITIGATION ♦ SIGNIFICANT EXPOSURE TO LITIGATION EXISTS BASED UPON EXISTING FACTS AND THE ADVICE OF LEGAL COUNSEL AS TO ONE (1) MATTER, ARISING FROM THE 1995 WINTER FLOODS AND THE FUEL DOCK CLAIM. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:15 p.m. MOTION: Councilmember Novak moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) The meeting adjourned at 5:15 p.m. • L • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt Rick Algert Bridgett Bauer Bill Boucher Jeff Jones Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Harbor Director City Clerk Public Works Director Fire Chief Finance Director Police Chief Recreation and Parks Director Senior Planner Mayor Yates led the Pledge of Allegiance. LIGHTEN UP The "Lighten Up" was presented by Gary Ryan. MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates announced Item A-10 (Rejection of Claim against the City; Harth) has been pulled. Mayor Yates congratulated Public Works Director Bill Boucher, City Engineer Steve Sylvester, and their staff for getting the Chorro Creek Project underway. Mayor Yates congratulated the Police Department for enforcing the speed limits throughout neighborhoods affected by the South Bay Boulevard closure. Mayor Yates stated no special meetings will be held during the summer, and budget hearings will begin in June. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 3 • PUBLIC COMMENT Pat Veesart, Chairman of the Santa Lucia Chapter of the Sierra Club, former Chairman of the San Luis Obispo County Bicycle Advisory Committee, and San Luis Obispo Planning Commissioner, stated it would be a mistake to eliminate bike lanes within the City. He said planning trends throughout the country focus on bike lanes which will allow people to get out of their cars. James Wood addressed Item B-2 (Review of Quintana Road traffic recommendations) suggesting the removal of the no -left -turn sign from the southern driveway of Cypress Plaza; stating there is chaos now because of the conflicting traffic messages. Craig Anderson, Transportation Planner and Chair of the Sierra Club's Transportation and Urban Affairs Committee, echoed Mr. Veesart's comments regarding retention of bike lanes in the City's Circulation Element. He said bike lanes provide a large measure of safety for riders, and the street is a public right- of-way and should not be used solely for the benefit of private individuals. Marshall Landers, Los Osos Middle School student, said bike lanes are needed both for tourists and safety. Roger Ewing addressed Item B-2, stating the no -left -turn sign • should be moved to another location. He said the Planning Commission voted unanimously for a use permit condition prohibiting left turns into McDonald's at the southeast corner. Mr. Ewing stated there are five entrances into Cypress Plaza and one less will not make a difference to Payless or Albertson's; he believes the sign is in the wrong location. He said elimination of the bike lane for more parking would only compound the problem. Mr. Ewing urged Council to consider the safety of citizens and the possibility of accidents at the intersection. Nelson Sullivan requested permission to address Item C-3 (Consideration of Election Code Section 9212 in Reference to Notice of Intention to Circulate Petition for Ballot Measure to Create a Community Cable Casting Commission; including Discussion of Fiscal Analysis/Impact; and City Attorney Impartial Analyses) when it is heard. Mayor Yates replied Mr. Sullivan would be able to answer questions posed by Council when the item is heard. Councilmember Crotzer asked Mr. Sullivan if there are budget items affecting the initiative? r1 U MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 4 • Mr. Sullivan responded negatively, and stated Sonic has been asked for a cost estimate. He said the Public Works Advisory Board submitted a report, based on Sonic's information, which he said is inaccurate and Council will be making a decision based on faulty information. He added the City Attorney is attempting to trivialize the initiative. Ric Deschler stated it would be a good idea to keep the bicycle element in the North Quintana Road area for safety reasons. He agrees with removal of the no -left -turn sign at McDonald's. Mr. Deschler stated he believes people are slowing down and becoming more aware, and the widening of Burger King's driveway will help alleviate the situation. Janice Peters suggested right turns only should be allowed exiting Cypress Plaza's southeast driveway and addition of a traffic bulb will prevent left-hand turns. She said signage and a painted island could be added to emphasize no -left turn into the southeast McDonald's driveway; she submitted a drawing. Tina Hoppe stated there is no public transportation on New Year's Eve, and she would like either the trolley, Dial -A -Ride, or the Police to provide rides. Ms. Hoppe said removal of bike lanes should not be considered; she said she has 17 employees, and eight ride bicycles to work. • Mayor Yates asked staff about rides provided on New Year's Eve. Police Chief Joe Loven responded tow truck drivers in San Luis Obispo provide such a service; it might be possible local businesses and restaurants could get together and find someone to provide such a service, as there is no taxi service in Morro Bay. Mayor Yates stated it should be possible to get a number of people together who would volunteer their services; he will investigate this further. Susan Mullen stated it appears this Council is fostering the demise of the Conditional Use Permit process; she does not believe conditions have been followed with regard to Otter Rock, Bayshore Village, or Cypress Plaza projects. She added there should be no left-hand turns into Cypress Plaza at the southeastern entrance. Ms. Mullen stated there are plans to have bike lanes through the PG&E property, which would complete a total pathway from Los Osos to the high school. Anthony Leap, Vice -President of the San Luis Obispo Bicycle Club, spoke against elimination of bicycle lanes on Quintana Road. He believes there may be a lot more bicyclists on the road as gas prices continue to climb. • Mayor Yates closed the hearing to public comment. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 5 • DECLARATION OF FUTURE AGENDA ITEMS Councilmember Anderson asked for a clarifying addendum to the Business Retention and Expansion Study, which would state Council supports businesses and does not want them to be forced to leave town; he would also like the addendum to state residential trailer parks and other areas will not be changed to commercial zoning. Mayor Yates suggested Councilmember Anderson draft an addendum and staff report, and the item will be agendized for the June loth Council meeting. Councilmember Unger stated at the April 22nd Council meeting, she asked for agenda time to discuss the Del Mar School Task Force; she asked if it was slated before school starts in September. She also requested discussion on the proposed tax increase be on the next agenda. Councilmember Unger stated a Children's Defense Fund Task Force will meet June 1 at the Lincoln Memorial in Washington, D.C.; she would like to prepare a proclamation in support of the task force and asked for agenda time before the first meeting in June. Mayor Yates stated he would like to agendize a resolution confirming support for the commercial fishing industry and the • commercial fishermen, which cites their priority status in both the General Plan and Local Coastal Plan. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF APRIL 8, 1996 AND APRIL 22, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 REPORT ON CURBSIDE RECYCLING PROGRAM FOR 1995/1996 Mr. Howell recommended Council accept the report and file accordingly. A-3 APPROVAL OF AGREEMENT WITH PG&E FOR FIRE SERVICES Mr. Howell recommended Council approve the Agreement between the City of Morro Bay and Pacific Gas & Electric Company. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 6 • A-4 RESOLUTION NO. 36-96 APPROVING DEPARTMENT OF BOATING & WATERWAYS GRANT EXTENSION UNTIL MAY 1997 Mr. Howell recommended Council adopt Resolution No. 36-96 approving the Department of Boating & Waterways grant extension until May 1997. A-5 APPROVAL OF TIDELANDS PARK PHASE III BID AWARD Mr. Howell recommended Council award the Tidelands Park Phase III contract to Associated Pacific, Inc. A-6 RESOLUTION NO. 34-96 APPROVING WEED ABATEMENT BID AWARD Mr. Howell recommended Council approve Resolution No. 34-96 awarding the weed abatement contract for 1996 to Morro Creek Nursery of Morro Bay. A-7 RESOLUTION NO. 33-96 APPROVING AUTHORIZATION EXECUTING THE JOINT POWERS AGREEMENT AMONG THE COUNTY AND CITIES OF SAN LUIS OBISPO FOR PREPARATION OF SAFETY ELEMENT UPDATE AND PROGRAM LEVEL ENVIRONMENTAL IMPACT REPORT Mr. Howell recommended Council adopt Resolution No. 33-96 authorizing the Mayor and City Clerk to execute the Joint Powers Agreement between the County and Cities of San Luis Obispo for • the preparation of Safety Element Update and Program Level Environmental Impact Report. A-8 RESOLUTION NO. 35-96 IN SUPPORT OF LEGISLATION REQUIRING INSURANCE COMPANIES TO OFFER A REDUCTION IN AUTOMOBILE INSURANCE RATES FOR LICENSED DRIVERS OF ALL AGES WHO SUCCESSFULLY COMPLETE AN APPROVED DEFENSIVE DRIVING COURSE; (SB 1694) Mr. Howell recommended Council approve Resolution No. 35-96 in support of SB 1694. A-9 REJECTION OF CLAIM AGAINST THE CITY; (KELLY YATES) Mr. Howell recommended Council reject the claim. A-10 REJECTION OF CLAIM AGAINST THE CITY; (HARTH) This item was pulled from the agenda. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 7 Is A-11 PROCLAMATION DECLARING MAY 12-18, 1996 AS "NATIONAL POLICE MEMORIAL WEEK" AND MAY 15, 1996 AS "POLICE OFFICER MEMORIAL DAY" Mr. Howell recommended Council adopt the proclamation declaring May 12-18, 1996 as "National Police Memorial Week" and May 15, 1996 as "Police Officer Memorial Day". A-12 PROCLAMATION DECLARING MAY 1996 AS "MORRO BAY VOLUNTEER MONTH" Mr. Howell recommended Council adopt the proclamation declaring May 1996 as "Morro Bay Volunteer Month". A-13 PROCLAMATION DECLARING MAY 17-19, 1996 AS "BETA SIGMA PHI DAYS" Mr. Howell recommended Council adopt the proclamation declaring May 17-19, 1996 as "Beta Sigma Phi Days". Mayor Yates pulled Items A-1, A-5, and A-10 from the Consent Calendar; Councilmember Crotzer pulled Item A-3; and Councilmember Unger pulled Item A-7. MOTION: Councilmember Unger moved the City Council approve the • Consent Calendar with the exception of Items A-1, A-3, A-5, A-7, and A-10. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF APRIL 8, 1996 AND APRIL 22, 1996 Mayor Yates corrected the minutes of April 8, 1996, Page 15, stating revenue generated by 1/2% increase in sales tax will generate $1/2 million in revenue, not $1 million. Councilmember Unger added a correction to the minutes of April 8, 1996, Page 3, stating the City's bed tax will be increased to 10%. MOTION: Councilmember Unger moved the City Council approve the minutes of the April 8, 1996 City Council meeting as amended; and approve the minutes of the April 22, 1996 City Council meeting. The motion was seconded by Mayor Yates and unanimously carried. (5-0) • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 8 • A-3 APPROVAL OF AGREEMENT WITH PG&E FOR FIRE SERVICES Councilmember Crotzer requested clarification on this item. Fire Chief Jeff Jones responded the Fire Department's contract with PG&E is not profitable; however, it provides heightened awareness and knowledge of the plant for firefighters, and would result in increased firefighter safety. Councilmember Crotzer stated he has horrific visions of how terrible a fire might be in the plant, and asked if the $14,000 return would result in increased training and safety for firefighters. Chief Jones responded PG&E is under no obligation to provide a fire brigade, although such protection has been offered to meet the company's insurance requirements. He noted downsizing will result in elimination of the fire brigade. Councilmember Crotzer stated corporate economizing often results in increased demands on municipal services. He asked Plant Manager Randy Livingston for input. Mr. Livingston stated this agreement allows Morro Bay's professional firefighters to concentrate on firefighting duties and allows PG&E staff to concentrate on operational duties. He • said Morro Bay firefighters will benefit from increased training, which they can utilize at other fires. Mayor Yates stated City and County personnel currently respond to any accidents at the plant. He noted the Fire Chief and PG&E staff have worked a long time to arrive at this agreement. Councilmember Anderson stated small incidents happen occasion- ally, and they are usually taken care of quickly by PG&E staff; he noted a big incident would require the response from multiple agencies. MOTION: Mayor Yates moved the City Council approve Consent Calendar Item A-3. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) A-5 APPROVAL OF TIDELANDS PARK PHASE III BID AWARD Mayor Yates expressed concern with construction taking place at Tidelands Park during the summer months, and asked staff to clarify. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 9 • Harbor Director Rick Algert responded the 250 ft. side -tie dock was phased for construction during the summer, with construction of boarding floats in the fall. He stated Associated Pacific is the contractor, and there will be some noise from the pile driving during the summer. Mayor Yates stated he would not like this project to take place during the summer, and would prefer it be done after the Labor Day weekend. Mr. Algert responded he would consult with the contractor regarding a change in schedule. Councilmember Novak asked if there will be a problem with the Department of Boating and Waterways if there is a time delay. Mr. Algert responded he does not believe the time change will cause a problem. Councilmember Unger asked about the fiscal impact of $260,000 to the City; and asked if the money has been budgeted. Mr. Algert responded $295,000 was budgeted for this project. Mr. Algert suggested bringing this item back in two weeks, and he will provide more detail at that time. • Council consensus was to have this item return to the May 28, 1996 City Council meeting. A-7 RESOLUTION NO. 33-96 APPROVING AUTHORIZATION EXECUTING THE JOINT POWERS AGREEMENT AMONG THE COUNTY AND CITIES OF SAN LUIS OBISPO FOR PREPARATION OF SAFETY ELEMENT UPDATE AND PROGRAM LEVEL ENVIRONMENTAL IMPACT REPORT Councilmember Unger asked what new information will be derived from this County contract. Senior Planner Shauna Nauman responded an update to the Safety Element of the General Plan will be provided, and it is common practice to update plans every five to ten years to bring them into consistency with new information. She said the General Plan has not been updated since 1977. Councilmember Unger referred to Page 4, No. 9(C), which mentions earthquakes, and asked if the City's decision on retrofitting will be jeopardized. She also asked if the County would penalize people for not retrofitting buildings in the City. E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 10 Ms. Nauman responded only portions relative to Morro Bay and chosen by Council will be adopted; Council has the ability to pick and choose which portions to adopt. She noted the update is mandatory, and the consolidation of the old Safety Element and Seismic Elements are mandatory under State law. Councilmember Unger stated she is not happy with many County agreements, and she will refuse to support this item. Mayor Yates stated he is philosophically in agreement with Councilmember Unger, and there is concern the County could demand a lot of information from the City. Ms. Nauman replied the County would be seeking current policies, information, and data on file. She does not believe a lot of staff time will be required, and a service will be provided which cannot be done in-house. Mayor Yates said he would, like the item brought back with Councilmember Unger's questions answered, and he would like to know how much it would cost the City to do the study without County involvement. He expressed reluctance to give the County lead agency status on this subject. Mayor Yates stated Council is cautious, although not critical, of goals Ms. Nauman is attempting to achieve. • Council consensus was to have this item return to the May 28, 1996 City Council meeting. B. UNFINISHED BUSINESS B-1 APPROVAL OF REVISED LICENSE AGREEMENT FOR SYLVESTER'S TUG SERVICE AT NORTH T-PIER Harbor Director Rick Algert reviewed the proposed license agreement to relocate Sylvester's Tug Service from the South T- Pier to the North T-Pier, and recommended the City Council authorize Mayor Yates to execute a license agreement with Sylvester's Tug Service for 80 ft. of berthing space on the outside face at the northerly end of the North T-Pier. Councilmember Crotzer referred to the License Agreement, Page 4, No. 17, asking if there is a specific utility charge, or if it is included in the lease site cost. He said Sylvester's Tug Service seems to be paying an adequate premium for their needs, but he wonders if transients were allowed to use water at will. Councilmember Crotzer stated the policy does not seem to encourage conservation. C� J MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 11 • Mr. Algert responded Sylvester., s is using the standard services at the pier, and noted they are light users of both water and electricity, because the boats have their own generators. Councilmember Anderson asked City Attorney David Hunt if he had any concerns about Sylvester's using the North T-Pier. Mr. Hunt responded he does not have concerns with this contract. Councilmember Novak stated the fishermen are comfortable with the tugs at the North T-Pier. MOTION: Councilmember Novak moved the City Council authorize the Mayor to execute the license agreement for Sylvester's Tug Service at the North T-Pier. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) Mayor Yates called for a break at 7:22 p.m.; the meeting resumed at 7:42 p.m. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RECONSIDERATION OF ESTABLISHING OR CHANGING PARKING TIME RESTRICTIONS ON THE EMBARCADERO AND THE DOWNTOWN AREA • Police Chief Joe Loven reviewed the need for reconsideration of establishing or changing parking time restrictions on the Embarcadero and downtown area based on Council direction at their March 25th meeting. He offered alternatives for Council's review, and recommended Council conduct a public hearing and provide direction to establish a four-hour parking time restriction on the Embarcadero and the downtown area. Mayor Yates opened the hearing for public comment. Ralph Gunther spoke in opposition to parking limits on the Embarcadero. He noted the current budgetary situation and the expense of enforcement. Suedene Nelson, Director of Chamber of Commerce, stated her staff called all the businesses involved by parking changes, and noted there were a couple of strong opinions opposing restrictions on the Embarcadero and a couple of strong opinions supporting two- hour parking on Morro Bay Boulevard. Based on this information, she feels the status quo in both areas should remain. Jim Milnarik, owner of Morro Bay Appliance, stated there are seven businesses with 14 parking spaces in the 900 block of Main Street. He said most businesses on the block cater to people who park for a short time; he supports maintaining the two-hour • parking restriction in the downtown area. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 12 • Mayor Yates closed the hearing to public comment. He stated he has always been against parking limits, and he feels parking in - lieu fees should be used to develop additional parking. Mayor Yates stated he would support banning RVs from parking on the waterfront or on street ends. Councilmember Novak stated she spoke with both businessmen and fishermen and found strong opposition to parking limits; based on this, she noted the tide has changed, and she is changing her position and will no longer support four-hour parking limits on the Embarcadero. She supports the downtown businesses in their desire to adhere to two-hour parking restrictions. Councilmember Unger stated it appears downtown business owners like the two-hour parking limits, and do not want an extension to four hours; it also appears most people on the Embarcadero do not want any restrictions. Councilmember Crotzer stated the two-hour parking limits help Old Town businesses flourish by encouraging turnover. Councilmember Anderson stated he would like to encourage some restrictions on the Embarcadero, to prohibit employee parking in prime parking spaces for long periods of time. He added the . parking in -lieu fees must be spent acquiring property and building parking lots. Councilmember Unger stated she would like an accounting of the parking in -lieu fees. City Administrator Dave Howell responded this information will be forthcoming at the next Council meeting. Mayor Yates stated a report could be provided to Council, but agenda time is not necessary. Councilmember Crotzer stated it appears this proposal was made as a pro -business agenda item, and all restaurants would flourish with limited parking. He said it is logical to assume a mechanism that works for Old Town would work for the Embarcadero; however, he will not support time limits if the businesses do not want them. Councilmember Anderson stated there is a need to pursue permanent solutions; however, he does not believe property acquisition is imminent. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 13 • MOTION: Councilmember Anderson moved the City Council adopt a one-year, four-hour parking test period along the lines suggested by Police Chief Loven. The one-year trial period should be temporary and as inexpensive as possible. The motion was seconded by Councilmember Crotzer. Councilmember Anderson suggested the test area would encompass the blocks from Anchor Park to Driftwood, and fishermen would be able to make arrangements to park longer. Councilmember Novak clarified the fishermen's position, stating trips between car and boat can take place all day long under certain conditions. The motion failed with Mayor Yates, Councilmember Novak, and Councilmember Unger voting no. (3-2) MOTION: Mayor Yates moved the City Council: 1) Keep the status quo on the Embarcadero with no parking restrictions; 2) prohibit RV parking on the waterfront and street ends from Beach Street to Driftwood; 3) write a letter to every business on the Embarcadero to encourage employees not to park on the Embarcadero, and also supply them with placards to be posted stating the same; 4) maintain the two-hour parking limits downtown; and 5) direct the Public Works Department to take a look at the Embarcadero parking spaces to determine if the number of parking spaces can be increased. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) D-2 1996 WEED ABATEMENT APPEAL FROM NOTICE Fire Chief Jeff Jones stated the purpose of this public hearing is to provide property owners the opportunity to appeal or comment on the requirement to abate weeds on their parcels; he recommended Council hear and act upon any appeals received. Mayor Yates opened the hearing to appeals; there were none, and the hearing was closed. No further action was taken on this item. Mayor Yates received Council consensus to take the agenda out of order, and hear Item C-1 next. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 14 • C. NEW BUSINESS C-1 REPORT BY SAN LUIS OBISPO COUNTY VISITORS & CONFERENCE BUREAU REGARDING COUNTY -WIDE TOURISM Jonni Biaggini, Executive Director of the VCB, provided an update of the VCB's activities and costs throughout the year. She stated the number one tourism activity in the County is shopping, followed by visits to museums and galleries, and birdwatching. Council received the report; no further action was taken on this item. B-2 REVIEW OF QUINTANA ROAD TRAFFIC RECOMMENDATIONS Public Works Director Bill Boucher reviewed the proposed Quintana Road Parking Analysis, Speed Survey and Turning Movement Assessment Report prepared by Greg Luke and Associates. He noted staff and the Public Works Advisory Board recommend the City Council accept the Burger King offer to widen its driveway; to adopt the staff recommendation to waive the encroachment permit fee for this purpose; to authorize the Public Works Department to remove the "No Left Turn" sign by Burger King, and the "Right Turn Only" sign at the southeastern entrance of the Cypress Plaza Shopping Center; and to direct the Public Works Department to examine the situation approximately six months after the Burger • King driveway widening. Mayor Yates asked if there is a plan to eliminate bike lanes. Mr. Boucher responded there is no plan to eliminate the bike lane in front of Albertson's. Councilmember Unger asked about turning prohibitions in the original Cypress Plaza agreement. Mr. Boucher responded there was no turning prohibition; however, in reviewing the original McDonald's site, the center driveway would have been the main driveway, but McDonald's changed its location after public improvements had been implemented. Councilmember Unger stated she could not see the no -left -turn sign until she drove past it two or three times; why did the turning arrow remain on the roadway? • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 15 • Mr. Boucher responded the developer installed striping with a thermoplastic material instead of paint, which is costly and lasts a long time. He said the Planning Commission adopted the condition of approval and McDonald's installed signs, but the condition was not adopted by the City Council and was not enforceable. Mr. Boucher stated they were unable to remove the thermoplastic, so he had Public Works paint over the arrow and the paint did not stick well. Councilmember Crotzer asked what the purpose would be for the left -turn lane if the City Council adopted a prohibition against turning left at McDonald's; would the lane be eradicated? Mr. Boucher responded there would need to be certain modifications, as there would still be a left -turn lane on behalf of Burger King and the Medicine Shoppe. He said he is not clear about the inherent purpose of precluding left-hand turns into Cypress Plaza at this particular location. Mr. Boucher stated the recommendation in the report is two -fold: 1) prohibit left turns in and out of Payless; and 2) prohibit left turns into the Burger King driveway and out of the Medicine Shoppe driveway. He said owners of Burger King and the Medicine Shoppe are not one and the. same and do not want to combine circulation patterns. Mr. Boucher stated conditions on the south side of the street are similar to those on the north side and cannot be separated. • Planning Commission Chairman Dave Elliott stated staff was asked to advise the Public Works Director that any action taken by Council would be acceptable to the Planning Commission. He said the Planning Commission did not take a stand; in fact, there are two new members who have never expressed how they feel one way or the other. Mr. Elliott, stated the Planning Commission had no intention of supporting one side or the other, and any action taken by the City Council would simply reflect the Conditional Use Permit issued. Councilmember Unger asked Mr. Elliott if all Commissioners were in agreement not to take any stand on this issue. Mr. Elliott responded there was 100% consensus to modify or leave the permit issued as is, depending on action taken by the City Council. Mayor Yates stated conditions were not set in concrete, and flexibility is necessary to respond to future changes. Councilmember Novak stated it is important to respond to the Conditional Use Permit, because modifications are necessary. n U MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 16 . Councilmember Unger stated she would like to see the left-hand turn signal moved to a prominent position, in order to avoid any left turns into Payless; she would support a barricade to prevent turns based on safety concerns. Councilmember Novak stated there is no history of accidents at the intersection, and noted there are more chaotic conditions at other locations in the City. MOTION: Mayor Yates moved the City Council: 1) accept Burger King's offer to widen its driveway; 2) adopt staff's recommendation to waive the encroachment permit fee for this purpose; 3) authorize the Public Works Department to remove the no -left -turn sign by Burger King and the right -turn only sign at the southeastern entrance of the Cypress Plaza Shopping Center; and, 4) direct the Public Works Department to examine the situation approximately six months after the Burger King driveway has been widened. The motion was seconded by Councilmember Novak and carried with Councilmember Unger voting no. (4-1) Councilmember Anderson stated there was discussion in the report on red -striping at the north end of Quintana Road, north of Von's. He said he feels red paint might eliminate some problems in the area where the speed limit is still 35 miles per hour; and • believes the reduction in the speed limit has lessened the risks considerably. Councilmember Anderson asked Mr. Boucher if the north end problems will be addressed. Mr. Boucher responded lengthening no -parking zones near driveways with red paint would increase visibility. Councilmember Crotzer stated Quintana Road is a main thoroughfare, and bike lanes should be encouraged as part of the plan to bring people all the way from Los Osos to Morro Bay High School. He said bike paths should be expedited along Quintana Road, and on -street parking should be eliminated as a traffic - calming device and to allow more room for error. Councilmember Crotzer believes Morro Bay can become a haven for people who like to bicycle, which is a quality -of -life issue. He asked for a timetable on completion of bike lanes. Mr. Boucher responded bike lanes can be accomplished by banning parking on one side of the street or by directing Public Works to seek funding for either a Class I or Class II bike lane. He noted it would cost less than $10,000 to repaint the white lines, mark off the street, and place signs prohibiting parking. 41 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 17 Councilmember Unger stated she received a letter from SLOCOG stating two regional bike routes have been funded, including the high school, PG&E, Main Street, and South Bay Boulevard. She quoted from the letter: "The success and use of these routes will rely heavily on the connectivity. Currently your City General Plan and Circulation Element recognize the importance of linking these two critical bike projects. A public hearing on this issue is appropriate if traffic improvements on Quintana Road will eliminate Class II bike lanes." Councilmember Unger stated based on this information, Council is committed to bike lanes on Quintana Road. MOTION: Councilmember Crotzer moved the City Council direct the Public Works Director to provide concrete figures on the costs to continue bike lanes on Quintana Road from Morro Bay Boulevard to Main Street; and, at the budget hearing, that it be part of the proposal from Public Works for the potential funding of the estimated amount. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates called for a break at 9:32 p.m.; the hearing resumed at 9:54 p.m. C-2 REVIEW OF THIRD QUARTER FINANCIAL STATUS REPORT • Finance Director Jim Koser reviewed the third quarterly financial status report for the City of Morro Bay, and recommended the City Council receive and approve this report. Mayor Yates pointed out sales tax revenues are up almost $45,000 and TOT has increased almost $50,000 over last year, which is great news and indicates healthy recovery on the business side. MOTION: Councilmember Novak moved the City Council accept the Third Quarter Financial Status Report. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) C-3 CONSIDERATION OF ELECTION CODE SECTION 9212 IN REFERENCE TO NOTICE OF INTENTION TO CIRCULATE PETITION FOR BALLOT MEASURE TO CREATE A COMMUNITY CABLE CASTING COMMISSION; INCLUDING DISCUSSION OF FISCAL ANALYSIS/IMPACT; AND CITY ATTORNEY IMPARTIAL ANALYSES City Administrator Dave Howell reviewed Election Code Section 9212 which allows the City Council the opportunity to seek any report regarding fiscal impact, internal consistency of the City's planning ordinances, and/or other matters Council request to be in the staff report should one be directed to take place in • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 18 • regards to the proposed measure to create a Community Cable Casting Commission. He requested Council's direction in this matter. Mayor Yates stated he would like to direct staff to look into this issue, especially the fiscal impact on the City, and internal consistency of the City's planning ordinances. He said he would support the City Attorney's review of the constitution- ality of this issue. Councilmember Unger stated she will support the request for a fiscal impact report and impartial analysis of the proposed initiative. City Attorney David Hunt stated a title and summary has been prepared, which is a requirement when an initiative is presented, and it must be published along with a notice of intent to circulate. He said an impartial analysis written by the City Attorney under Elections Code Section 9280 specifically states an impartial analysis of the measure will show the effect of the measure on existing law and the operation of the measure. Councilmember Crotzer stated Mr. Sullivan is taking exception to some of the data provided to Council. He asked Mr. Sullivan if the costs are correct in the information Council received? • Nelson Sullivan responded negatively, stating costs are vastly overstated according to Sonic Cable's engineer; the figures have also been interpreted incorrectly by the PWAB representative. Mr. Sullivan stated costs to hook up the Veterans Hall, the Police Station, and the Community Center for live television broadcasts are estimated to be $96,000. He said this concept has three separate cables going from those three sites to the Nutmeg hub, but Sonic's engineer, Steve Gordon, stated one wire would be sufficient with all three sites hooked to the hub at a cost of about $45,000. Councilmember Crotzer asked for clarification regarding microwave technology for signal transmission. Mr. Sullivan responded he has discussed such technology with an engineer who said it would be more expensive and also require licensing. Councilmember Crotzer asked if there are any other specific financial projections in the report. Mr. Sullivan responded there are no other major discrepancies, although the figures include duplicate cameras at each location, which would not be needed unless several broadcasts are taking place at the same time. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MAY 13, 1996 PAGE 19 Councilmember Novak asked if a two-thirds vote is necessary for approval since franchise fees are involved. Mr. Hunt responded Proposition 62 requires a two-thirds vote if there is imposition of special taxes; however, his analysis does not indicate this is a tax. Mayor Yates stated the seven -member board would be above the Council in some respects. Mr. Hunt responded it would depend on the analysis of the language, because the language is not easy and many questions are raised in his mind. He noted the analysis is warranted to determine whether or not the initiative offers legislation which can be enforced constitutionally. MOTION: Mayor Yates moved the City Council direct the City Attorney to prepare an impartial analysis of the proposed initiative, and address all questions raised tonight, and any others the City Attorney feels pertinent. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) MOTION: Mayor Yates moved the City Council direct the City Administrator prepare a fiscal impact report on the • initiative to include initial expenditures on equipment, and also the fiscal impact the initiative could have on the City's budget. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Councilmember Crotzer asked what would happen if the impartial analysis were to find the initiative to be unconstitutional. Mayor Yates responded the information would be disseminated to the public, whether it was good, bad or indifferent. He said the purpose is to help the electorate make a reasonable decision. F. ADJOURNMENT The meeting adjourned at 10:20 p.m. Recorded by: Bridgett Bauer City Clerk 0 a v P 11 • MINUTES • CITY COUNCILS OF SAN LUIS OBISPO COUNTY SPECIAL JOINT CITY COUNCIL MEETING Thursday, April 25, 1996 - 7:00 p.m. Embassy Suites - 333 Madonna Road San Luis Obispo California San Luis Obispo Mayor Allen K. Settle called the meeting to order at 7:00 p.m. ROLL CALL: City of Arroyo Grande Present: Council Members Brandy, Fuller and Mayor Dougall Absent: Council Member Lady and Mayor Pro Tern Souza City of Atascadero Present: Council Members Bewley, Carden, Mayor Pro Tem Johnson, Mayor Highland Absent: Council Member Bewley City of Grover Beach Present: Council Members Forister, Gates, Munroe, Mayor Pro Tern Hamilton and • Mayor Arnoldsen City of Morro Bay Present: Council Members Anderson, Crotzer, Unger, Vice Mayor Novak and Mayor Yates City of Paso Robles Present: Council Member Martin and Mayor Macklin Absent: Council Members Iversen, Picano and Mayor Pro Tom Heggarty City of Pismo Beach Present: Council Members Halldin and Mellow Absent: Council Member Brown, Mayor Pro Tern Stahl, and Mayor Bailey City of San Luis Obispo Present: Council Members Roalman, Romero, Smith, Vice Mayor Williams and Mayor Settle The Clerk noted that those cities represented this evening but without a quorum, would not be able to participate in voting but could Join in discussion. • Joint Meeting of the City Councils • April 25, 1996 PUBLIC COMMENT: Page 2 Neil Havlik, Natural Resources Manager for the City of San Luis Obispo, said that the City's Open Space Funding Task Force had delivered its preliminary findings and invited everyone to a public Task Force's public forum to be held on Monday, April 29, 1996, beginning at 6:45 p.m. in the Community Room of the City/County library. ACTION ITEMS: The Councils considered a proposed annexation tax exchange agreement between San Luis Obispo County and the Cities in San Luis Obispo County. Bob Hunt City Manager of Arroyo Grande, said the results of an independent study conducted by the firm of Crawford, Multari, & Starr on revenue neutral annexations had found that the numbers for the County to achieve fiscal neutrality on annexations were higher than the cities had hoped for, but did refute the County's claim that it needs a portion of the cities' sales tax or other revenue to remain whole on annexations. He recommended that the cities adopt the joint resolution presented this evening, and adopted by the Board of Supervisors at Its meeting of April 23, 1996. Mayor Settle asked for public input. No one came forward to comment. • After discussion, moved by Settle/Dounall to adopt Joint Resolution 01-96; motion carried as follows: Arroyo Grande - (3-0-2) Atascadero-(2-2-1) Grover Beach - (5-0) Morro Bay - (5-0) Pismo Beach - (no quorum) Paso Robles - (no quorum) San Luis Obispo - (5-0) 2. The Councils considered supporting the County's efforts to ensure Unocal compliance with State and Federal law, and adherence to environmental standards. Mayor Settle, San Luis. Obispo, indicated that Council Member Romero had presented an revised resolution. He added the idea behind this action was to encourage County -wide environmental protection. Mayor Settle opened the floor to comment from the audience. Bill Sherrera senior manager for Unocal, said that Unocal supported the action by this group to pass a corporate citizen responsibility resolution and requested that all local elected officials and government bodies contact Unocal on individual areas of concerns. Pat Mackie. Paso Robles, said he was not aware of Unocal's cooperation with local government • agencies and supported the resolution. Joint Meeting of the City Councils • April 25, 1996 Mayor Settle returned discussion to the Councils. Page 3 Moved by Munroe/Romero to adopt the joint resolution as modified by Council Member Romero and with the last sentence of the original resolution Included as a "Whereas'; motion carried as follows: Arroyo Grande (3-0-2) Atascadero - (4-0-1) Grover Beach - (5-0) Morro Bay - (3-2) Paso Robles - (not participating) Pismo Beach - (not participating) San Luis Obispo - (5-0) 3. The Councils considered supporting SB 1590 responding to the Guardino decision (Proposition 62).. Pete Douaall. Mayor of Arroyo Grande, reported that the Guardino decision Invalidating a one-half cent sales tax to fund local transportation projects, could expose cities throughout California to potential retroactive rebates totalling approximately $400,600,000. He said that SB 1590, Introduced by Sate Senator Jack O'Connell, will protect cities from these retroactive impacts and that the resolution before the Councils would provide the additional support needed to ensure passage In the Legislature. • Geoff Wea. Administrative Assistant to Senator O'Connell, urged the Councils to adopt the resolution. Moved by Douaall/Brandy to adopt a joint resolution of the Cities of San Luis Obispo County supporting validation of the act in response to Santa Clara County Local Transportation Authority vs. Guardino; motion carried as follows: Arroyo Grande - (3-0-2) Atascadero - (4-0-1) Grover Beach - (3-2) Morro May - (5-0) Paso Robles - (not participating) Pismo Beach - (not participating) San Luis Obispo - (5-0) 4. The Councils considered adopting a resolution asking Pacific Gas and Electric to address the community impacts of its proposal concerning the valuation of holdings around the state. Council Member Carden. Atascadero, announced that he would be stepping down due to a conflict of interest. Bill Hendrix. County Administrator, said that in the environment of the utility industry to restructure the electric industry to create an atmosphere of competition, P.G. & E.'s proposal to diminish the value of its production facilities through accelerated depreciation would ultimately result in a loss • of $9.6 million in revenues annually over a five-year period. He urged the Council to adopt the proposed resolution supporting the County in Its efforts to work with P.G. & E. to mitigate these Joint Meeting of the City Councils Page 4 • April 25, 1996 Impacts. Mayor Settle asked for public comment. Greg Rueger. Senior Vice President and General Manager of P.G. & E.'s nuclear power generation business, asked the Council to consider that P.G.& E. is the largest property tax payer in the County and the largest private employer in the County with over 1600 year-round employees whose contribution to the community in the taxes they pay far outweighs the property tax contributions under discussion. Bud Laurent. Chairman of the Board of Supervisors, said he was representing a unified, unanimous board in support of this resolution. Mayor Settle turned the discussion back to the members of the City Councils. Moved by Munroe/Johnson to adopt the proposed resolution as amended to address, in addition to P.G.& E. in the title of the resolution, the California Public Utilities Commission, and the State Board of Equalization, also amending the final paragraph amended to Include both entities in addition to P.G:& E., amend paragraph five to delete "come In direct violation of and add "may violate," and delete. paragraph six; motion was lost, as follows: Arroyo Grande - (0-3-2) • Atascadero - (1-24) Grover Beach - (3-2) Morro Bay - (1-4) Paso Robles (not participating) Pismo Beach - (not participating) San Luis Obispo - (3-2) Moved by Dougall/Unger to resubmit this to the individual cities for consideration, with further documentation to be supplied as discussed; motion carried, as follows: Arroyo Grande - (3-0-2) Atascadero - (3-0-2) Grover Beach = (5-0) Morro Bay - (5-0) Paso Robles (not participating) Pismo Beach - (not participating) San Luis Obispo - (5-0) INFORMATIONAL ITEMS: 5. The Councils considered a report on a tax override for safety Improvements to Highway 46 East. • Walt Macklin. Mayor of Paso Robles, explained that as a rural County, we are at a disadvantage as we compete for State highway transportation funds, and that the solution to fund Highway 46 Joint Meeting of the City Councils Page 5 • April 25, 1996 Improvements might necessitate an additional gas or sales tax that would require a two-thirds voter approval. He said that he hoped this body would direct their Mayors to continue dialogue on this subject. Mayor Settle asked for public comment. Pat Mackie, Paso Robles, Vice Chair of the Fix 46 Committee, urged the Councils' support of a half - cent increase in the County sales tax dedicated to Highway 46 safety projects and asked for additional support to ask the Board of Supervisors to put the sales tax increase on the November ballot. Mary Chambers. President of the Fix 46 Committee, reiterated the hope that this sales tax increase would appear on the November ballot. Ron DeCarli. Executive Director of San Luis Obispo Council of Governments, Informed the Council that although SLOCOG has not taken a position on a sales tax measure, they are currently working with the Fix 46 Committee, the California Highway Patrol, and Caltrans on Highway 46 safety Improvements and will be developing recommendations within the next two months. Mayor Settle returned discussion to the Councils. Moved by Williams/Smith, San Luis Obispo, suggested that the Councils ask SLOCOG to prepare • a draft resolution for the Individual Councils to review and adopt and send on to the County if they wish to move ahead with this type of action. Discussion ensued on the timing to get a measure to the voters in November. Ron DeCarli said that it was unlikely that all the legal steps necessary to get a measure on the ballot for November could be accomplished between now and June, and that the measure would more likely be on the ballot in 1997 or 1998. In light of Mr. DeCarli's comments, Vice Mayor Williams withdrew the motion but suggested that the individual cities study this as a possibility for next year. (General consensus.) 8:45 p.m. Mayor Settle called for a ten-minute recess. 8:56 p.m. Mayor Settle reconvened the meeting. 6. The Councils received a report on the Foundation for Community Design. Rob Rossi. Rossi Enterprises, speaking on behalf of the Foundation for Community Design, said that this group was comprised of people from throughout the County attempting a grassroots effort at visioning for the future of the County. 7. The Councils considered recommendations from the planning directors on developing land • use strategies for improving general plan land use compatibilities, and joint planning of the spheres of Influence and planning impact around the cities. Joint Meeting of the City Councils Page 6 • April 25, 1996 Bob Lata, Community Development Director for the City of Paso Robles, asked the Councils for direction as to whether the planning directors should pursue coordinating land use policies. The Councils approved the Planning Directors pursuing these goals. 8. The Councils considered recommendations of the California Constitution Revision Commission. John Dunn, City Administrative Officer, City of San Luis Obispo, reviewed the recommendations of the California Constitution Revision Commission, including a new state/local realignment plan with each County forming a Home Rule Community Charter Commission in 1997. The charter would provide for the assignment of local government services and their financing and would be submitted to the voters for their approval no later than November of 2000. Mayor Settle encouraged all the cities in the County to attend the League of California Cities Channel Counties Division meeting in San Luis Obispo in September when Bill Hauck, Chair of the Revision Commission will be making a presentation. John Dunn added that a series of seminars would be held this summer and fall, and that he would urge that one of those take place within this County. Council Member Smith, San Luis Obispo, called attention to a document relating to the politics of politeness drafted by the California Elected Women's Association for Education and Research, and • encouraged each Council to consider adopting it as a resolution. 9:15 p.m. There being no further business to come before the Councils, Mayor Settle adjourned the meeting. Recorded by: Kiq Cond6QL Rec rding Secretary Assistant City Clerk, San Luis Obispo • City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the presanaiian and enhancement of the quality of life. The City shotl be committed to this purpose and will provide level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - APRIL 22, 1996; 5:00 P.M. CLOSED SESSION - APRIL 22, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956 9(Al; CONFERENCE WITH LEGAL. COUNSEL REGARDING PENDING LITIGATION ♦ STATUS REPORT ON ALL PENDING LITIGATION. THIS IS A REPORT ON STATUS AND NO ACTION MAY BE TAKEN ON ANY MATTER NOT SPECIFICALLY LISTED. COUNCIL MAY REQUEST A SPECIFIC MATTER BE AGENDIZED IN THE FUTURE FOR ACTION. ♦ GEORGE V. MORRO BAY (II); U.S. BANKRUPTCY COURT CASE NO. 96-01073 E-2 GOVSRNNLNT CODE SECTION 54956 S• REAL PROPERTY TRANSACTIONS INSTRUCTING THE CITY'S REAL PROPERTY NEGOTIATOR REGARDING THE PRICE • AND TERMS OF PAYMENT FOR THE PURCHASE, SALE, EXCHANGE, OR LEASE OF REAL PROPERTY AS TO FOUR (4) PARCELS. PUBLIC SESSION - APRIL 22, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. 1 09 UNCIL DECL ATr N OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF MARCH 25, 1996 A-2 STATEMENT OF CASH AND INVESTMENTS - MARCH 1996 A-3 EXPENDITURE REPORT - MARCH 1996 A-4 APPROVAL OF AMENDMENT TO CAL POLY CREW PUBLIC AREA USE PERMIT #804 A-5 REJECTION OF CLAIM AGAINST THE CITY; FAULKNER A-6 REJECTION OF CLAIM AGAINST THE CITY; GEORGE B. UNFINISHED BUSINESS - NONE. C. NEW BUSINESS C-1 PRESENTATION BY DEL SMITH ON CONGRESSIONAL FUNDING FOR HARBOR DREDGING • AND OTHER FEDERAL ISSUES PERTAINING TO THE CITY'S HARBOR C-2 CONSIDERATION OF NAME FOR NEW BRIDGE TO REPLACE TWIN BRIDGES; (SUGGESTED NAME: CHORRO CREEK BRIDGE) C-3 CONSIDERATION OF CITY-WIDE ASSESSMENT DISTRICT FOR PARK MAINTENANCE C-4 CONSIDERATION OF CHARGING AN ADMISSION FEE TO THE PORTABLE SKATEBOARD PARK C-5 COUNCILMEMBER'S REQUEST FOR COUNCIL CONSENSUS TO AGENDIZE DISCUSSION ON WATER COST ANALYSIS D. PUBLIC HEARINGS REPORTS & APPEARANCES D-1 REVIEW AND APPROVAL OF FINAL REPORT FOR BUSINESS RETENTION AND EXPANSION STUDY; FINAL GRANTEE PERFORMANCE REPORT; AND RESOLUTION NO. 27-96 APPROVING 1995 TECHNICAL ASSISTANCE GRANT APPLICATION FOR COMMUNITY DEVELOPMENT BLOCK GRANT D-2 CONTINUED PUBLIC HEARING ON APPEAL OF PLANNING COMMISSION'S ACTION APPROVING A MINIATURE GOLF AND ARCADE FACILITY LOCATED AT 231 ATASCADERO ROAD ADJACENT TO MORRO BAY HIGH SCHOOL IN A C-VS/PD DISTRICT; (CUP 31-95/CDP 60-95) D-3 PUBLIC HEARING ON FINAL ACTION OF PLANNING COMMISSION RECOMMENDATION •TO APPROVE A CONDITIONAL USE PERMIT (CUP 60-95) FOR A PROPOSED ARCADE LOCATED AT 231 ATASCADERO ROAD 2 �. ADJOURNMENT • • THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 3 n U • • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - APRIL 22, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p..m. PRESENT: ABSENT STAFF: CLOSED SESSION William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger None Dave Howell David Hunt Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. E-1 GOVERNMENT CODE SECTION 54956.9(A); CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION ♦ STATUS REPORT ON ALL PENDING LITIGATION. THIS IS A REPORT ON STATUS AND NO ACTION MAY BE TAKEN ON ANY MATTER NOT SPECIFICALLY LISTED. COUNCIL MAY REQUEST A SPECIFIC MATTER BE AGENDIZED IN THE FUTURE FOR ACTION. ♦ GEORGE V. MORRO BAY (II); U.S. BANKRUPTCY COURT CASE NO. 96-01073 E-2 GOVERNMENT CODE SECTION 54956.8; REAL PROPERTY TRANSACTIONS INSTRUCTING THE CITY'S REAL PROPERTY NEGOTIATOR REGARDING THE PRICE AND TERMS OF PAYMENT FOR THE PURCHASE, SALE, EXCHANGE, OR LEASE OF REAL PROPERTY AS TO FOUR (4) PARCELS. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Anderson moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: None STAFF: Dave Howell City Administrator David Hunt City Attorney Rick Algert Harbor Director Bridgett Bauer City Clerk Jeff Jones Fire Chief Jim Koser Finance Director Joe Loven Police Chief Andrea Lueker Recreation and Parks Director Shauna Nauman Senior Planner • Fire Chief Jeff Jones led the Pledge of Allegiance. LIGHTEN UP Scott Zachary presented the "Lighten Up" this evening. •MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates announced Council added a Closed Session Item to tonight's agenda under Government Code §54956.9(b); Significant Exposure to Litigation. Mayor Yates presented Certificates of Appreciation to Bo Jenkins - Warrick, Cody Craig, Carl Holm, and Blaine Johnson for rescuing fishermen Harry Black and Clyde Shumate from the surf on April 15, 1996. Mayor Yates announced May 5 to 11, 1996 is National Tourism Week. Mayor Yates congratulated Councilmember Novak on her election as Chairman of the California Seafood Council. Mayor Yates requested John Greenville and Mark Tognazzini come forward. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 3 • Mr. Greenville stated it was necessary to send Councilmember Novak, who is President of the Commercial Fishermen's Organization, and a delegate of the California Marine Affairs and Navigation Conference, to Washington, D.C. in March to testify before the Joint Appropriations Subcommittee on Energy and Water. He said her testimony concerned the continuation of Morro Bay Harbor Dredging and Maintenance Program past 1998, and the fishermen's organization felt obligated to defray part of the cost of her trip. Mr. Tognazzini presented a check for $800 to the City in order to help defray her expenses. He listed the following as contributors to this donation: Virg's Landing, Giovanni's, Finicky Fish No. 2, Associated Pacific Constructors, Marine Service and Equipment, and the Al French Memorial Fund. Councilmember Novak thanked Bill Olson, Roz Rogoff, Mary Phillips, Grace Melton, and other Councilmembers for donating to the videotaping fund. Councilmember Unger stated she and Bernie Melvin met Dawn Aiken, Principal of Del Mar School, regarding traffic mitigation at the school. She said Council will be asked to form a task force to study traffic problems and propose traffic calming measures for the neighborhood, and the school district has offered to pay the costs. Councilmember Unger reiterated her desire to put this • item on the agenda as soon as possible. Councilmember Anderson stated Special Olympics will be held on April 26, 1996. PUBLIC COMMENT Roger Ewing addressed Item C-3 (Consideration of City-wide Assessment District for Park Maintenance), stating the concept of a city-wide assessment should not be pursued at Council level; it should be placed on the ballot. Mr. Ewing also addressed Item C- 5 (Councilmember's Request for Council Consensus to Agendize Discussion on Water Cost Analysis), stating the time has come for citizens to know how much water will cost and how high rates will be. Geraldine Price asked Council to review documentation regarding her property on Ironwood Avenue, under dispute with the Planning Department over grandfathered units. Councilmember Unger asked for clarification. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 4 Interim Planning Director Shauna Nauman responded a complaint had been filed regarding an illegal third unit on the Price's property. She said the Planning Department has been investigating this property, and asked Mrs. Price for further information, which was received today. She said she will visit the site and determine the legality of the unit and then render a decision. Ed Ewing stated he received a letter from the City which stated it is legal for commercial vehicles to double park on the waterfront in accordance with California Vehicle Code Section 22502. He said Section 22500(h) states it is unlawful to park any vehicle on the road side of a legally parked vehicle. Mr. Ewing believes the City is liable for damages caused by double- parked vehicles, and verified his beliefs with Highway Patrol and Sacramento. Nelson Sullivan stated a voter initiative for the November election is circulating for the establishment of a community video service over a new, dedicated Sonic channel. He said the cablecasting service will be managed by a seven -member Council - appointed commission working with the City to install necessary cable and equipment to provide telecasts of many community activities from various locations. Mr. Sullivan stated the cost would be approximately $45,000. Charles Palmer stated the water situation will become more • serious with the arrival of State Water, and the City's water supply of 1,623-1/2 acre feet (af) will drop to 1,313 of of State Water per year, plus ground water and desal water. He said the City has produced, but not sold, more than 1,313 of during each of the last four years. He said consumption by low and intermediate use customers has been increasing, which may be reduced by modifying water and sewer rates to encourage conservation and provide revenue needed for research. Susan Mullen expressed disappointment over the way Steve Mathieu was treated in regards to his work on the video broadcasts of Council meetings. Ms. Mullen addressed Item D-1 (Review and Approval of Final Report for Business Retention and Expansion Study; Final Grantee Performance Report; and Resolution No. 27-96 Approving 1995 Technical Assistance Grant Application for Community Development Block Grant), stating the report is unacceptable as currently written, as it is very insensitive to current uses and to property owners affected by the report. She said the study should not be approved, adding the thought of Council contemplating long-term zoning and General Plan changes on the Tri-W property is unacceptable. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 5 • Roscoe Mathieu addressed Item D-3 (Public Hearing on Final Action of Planning Commission Recommendation to Approve a Conditional Use Permit (CUP 60-95) for a Proposed Arcade Located at 231 Atascadero Road), expressing opposition to the arcade. He said kids who play video games grow up to be stupid leaders. He also expressed opposition to Item D-1 because if approved, his family will not have a place to sleep. Warren Dorn stated new flags have been installed at Centennial Stairway, and requested the City Clerk send letters to Andrea Seastrand and Tom Bordonaro to thank the Federal and State representatives for these flags. Amanda Flores, representing the teen program at the Community Center, requested donations to help supply equipment for teen activities. Jessica Snyder, representing the teen program, explained some of the youth activities and asked for donations to keep the program going. Mayor Yates urged the teens to write a letter to the City requesting funds, which may help at budget time. He suggested the teens organize a walk-a-thon, sell candy bars, or wash cars to help raise money. • Colette Kane addressed Item D-2 (Continued public hearing on appeal of Planning Commission action approving a miniature golf and arcade facility located at 231 Atascadero Road adjacent to Morro Bay High School in a C-VS/PD District; CUP 31-95/CDP 60- 95), stating youth activity level in the area is terribly lacking and the project would be a welcome addition to the area. Bob Wiese stated his opposition to Item C-3 (Consideration of City-wide assessment district for park maintenance), stating there is no way to assess or control costs, and there are big discrepancies in costs among various parks. Ray MCKelligott addressed Item C-4 (Consideration of charging an admission fee to the portable skateboard park), stating he supported the fee concept, because it encourages incentive. Roz Rogoff commended the Recreation and Parks Department staff for their good work on City parks; she believes all City residents should pay equally for park maintenance. Ms. Rogoff suggested the new bridge be named the William Yates bridge. Peter Nashid addressed Item C-3 expressing support for finding remedies for the City's financial situation; however, he opposes a city-wide assessment. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 6 • Jim Walker addressed Item C-3 stating costs should be shared by those who use the parks, and supports higher taxes throughout the City to pay for park maintenance. Shirley Brock stated parks are accessible to all residents; therefore, all residents should pay for all parks. She said she does not feel a 75% assessment is fair to Bayshore Bluff homeowners. Mayor Yates closed the hearing to public comment. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Anderson requested a ,Consent Calendar item be agendized in support of SB 1694, regarding completion of defensive driving courses in order to lower insurance rates. Mayor Yates asked to bring the four-hour parking restriction on the Embarcadero back for consideration. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. • A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF MARCH 25, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 STATEMENT OF CASH AND INVESTMENTS - MARCH 1996 Mr. Howell recommended Council approve the report. A-3 EXPENDITURE REPORT - MARCH 1996 Mr. Howell recommended Council approve the report. A-4 APPROVAL OF AMENDMENT TO CAL POLY CREW PUBLIC AREA USE PERMIT #804 Mr. Howell recommended Council approve the amendment of Public Area Use Permit No. 804 which allows the Cal Poly Crew Club to practice in the afternoon from 4:00-5:30 p.m. as well as the traditional morning hours of 6:00-9:00 a.m. A-5 REJECTION OF CLAIM AGAINST THE CITY; FAULKNER Mr. Howell recommended Council reject the claim. C, J MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 7 • A-6 REJECTION OF CLAIM AGAINST THE CITY; GEORGE Mr. Howell recommended Council reject the claim. MOTION: Councilmember Crotzer moved the City Council approve the Consent Calendar. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) B. UNFINISHED BUSINESS - NONE. C. NEW BUSINESS C-1 PRESENTATION BY DEL SMITH ON CONGRESSIONAL FUNDING FOR HARBOR DREDGING AND OTHER FEDERAL ISSUES PERTAINING TO THE CITY'S HARBOR Del Smith of E. Del Smith & Company reported on Congressional funding for harbor dredging stating the budget deficit is taking its toll on small harbors. He emphasized the need to prove the harbor is heavily commercial in order to keep appropriations coming. Mr. Smith urged Councilmembers to continue lobbying Congress on the need for the Army Corps of Engineers and the Coast Guard. He suggested it may be possible to get Congress to buy a dredge for the City. The City Council received the report; no further action was taken • on this item. C-2 CONSIDERATION OF NAME FOR NEW BRIDGE TO REPLACE TWIN BRIDGES; (SUGGESTED NAME: CHORRO CREEK BRIDGE) Council discussed names for the bridge which will replace Twin Bridges; the following names were suggested: Councilmember Crotzer - Chorro/Morro Bridge Councilmember Novak - Chorro Creek Bridge Councilmember Unger - Twin Bridge MOTION: Councilmember Anderson moved the City Council name the new bridge Chorro Creek Bridge. The motion was seconded by Councilmember Novak and carried with Councilmember Unger voting no. (4-1) C-3 CONSIDERATION OF CITY-WIDE ASSESSMENT DISTRICT FOR PARK MAINTENANCE Recreation and Parks Director Andrea Lueker addressed the concept of creating a city-wide assessment district to partially or completely fund the maintenance of park land within the City of Morro Bay. She recommended Council provide direction concerning their interest for such formation thus instructing staff to • further pursue information concerning this concept. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 8 Mayor Yates stated he does not support the concept of forming a city-wide assessment district at this time. He said with the proposed sales tax increase and Transient Occupancy Tax (TOT) increase, this would be too much. Mayor Yates suggested tabling this item until after the November 1996 election. Councilmember Unger stated she has no interest in pursuing this proposal; however, there are 11 parks, more than one park for every 1,000 people, and the City can no longer afford to maintain them. She said new housing developments are required to give choice property to the City for more parks, and the City must maintain dedicated parks for all new developments. Councilmember Unger asked if there is some solution, possibly a group of volunteers to maintain parks or some other way to fund necessary maintenance. Councilmember Novak stated there are too many issues on the ballot at this time, and supports tabling this item until after the election. She said she would like to believe the community can help with additional revenues to maintain the parks. Councilmember Anderson concurred the item should be set aside at this time due to the TOT and sales tax increases on the ballot. He said he hopes the increased sales tax will help fund both public safety and City street repairs. Councilmember Anderson • urged the audience to support the proposed ballot measures. Councilmember Crotzer stated there is a concern the City will turn down park land because of monetary concerns; he used the upcoming development of Cloisters as an example, and said the vision of protecting coastal property for all people is at risk. He noted according to the Coastal Act, people who own shoreline property do not have the right to do anything they want with it. Council consensus was to table this item; no further action was taken. Mayor Yates called for a break at 7:30 p.m.; the hearing resumed at 7:55 p.m. D. PUBLIC HEARINGS. REPORTS a APPEARANCES D-1 REVIEW AND APPROVAL OF FINAL REPORT FOR BUSINESS RETENTION AND EXPANSION STUDY; FINAL GRANTEE PERFORMANCE REPORT; AND RESOLUTION NO. 27-96 APPROVING 1995 TECHNICAL ASSISTANCE GRANT APPLICATION FOR COMMUNITY DEVELOPMENT BLOCK GRANT Interim Planning Director Shauna Nauman introduced Doug Svensson of Applied Development Economics who made a presentation on the Business Retention and Expansion Study. Mr. Svensson reviewed • the report developed by Applied Development Economics, and MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 9 • recommended the City Council accept the report, authorize submission of the final grantee performance report, which is the documentation to the State showing completion of the grant. Mayor Yates opened the hearing to public comment. • • Nancy Castle stated she is a resident of Area 13 of the study, and said it is noted in the study the residential use in this area should be replaced with business use. She said the plan rearranges areas without taking into consideration current uses and the effect on people living in the area. Ms. Castle stated the study notes industrial development as fundamentally a land use issue; however, she feels changing the town is fundamentally a people issue with land use secondary. She said the survey does not reflect an adequate number of residents, and the information is not adequate to make assessments. Ms. Castle urged Council not accept the study as. submitted. Roz Rogoff stated she lives on Prescott Drive, which is adjacent to Area 11 of the study, and the idea of putting in manufacturing plants is not very appealing near a residential neighborhood. She said the notion of turning Morro Bay into a manufacturing town does not seem very plausible, and looking for grants to do something may result in empty buildings. Ms. Rogoff noted the report addressed more and different kinds of retail in Morro Bay, and one of the problems is there is not enough promotion of existing retail businesses to bring shoppers from nearby communities. She said existing businesses should be stimulated to try and get more purchasers to town, rather than creating new retail which will compete with struggling existing businesses. Mayor Yates stated there is no intention of building industrial parks which would stand empty. He said there are several major employers in Morro Bay and they will be lost if space cannot be found for them. Connie Lowgren stated her house on Little Morro Creek Road falls under Area 13 of the study. She said there are four residential properties in this area, and right now her residence is in the process of being nominated to the National Register, and the application will be completed within a month. Mrs. Lowgren said the National Register is a list kept by the Federal Government of significant properties and falls under the category of Adobe Mediterranean revival from the 1920s and 1930s; nomination will go through the Park Service, which is part of the US Department of Interior. She said the two other adobes in the area, owned by the Clarks and the Castles, will probably be eligible for the National Register as well. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 10 • Bernie Melvin expressed concern with the proposed study, and noted projects of this magnitude should be presented in a workshop. He said he is a trained, educated, and experienced City planner and certainly understands the importance of having adequate area for industry and light industrial development expansion. Mr. Melvin said the report talks about nurturing and protecting existing businesses and jobs, and maintaining Morro Bay as a tourist haven; he added this report fails to take this view, and instead proposes certain rezoning and other activities. He said the document is two-dimensional and does not look at the goals and policies of the Local Coastal Plan. Mr. Melvin stated it is a negative impact to accept a maximum amount of economic benefit; he urged Council not to take final action on this document tonight. Ann Freeman stated it appears the authors of this study show no concern for Morro Bay, or they would not have mentioned doing away with the trailer parks, as they are the major source of low- income housing for many seniors. She said she hopes the City can find areas, on its own, which can allow industries to expand. Ms. Freeman said the document is terribly flawed, should not be accepted, and no more money should be spent on it. Charles Palmer expressed concern that the City is expending a great deal of money for a report which will end up with all the others, in a discarded file. He said businesses have to be • encouraged to come to Morro Bay and make a profit; if they are not going to make a profit, they are not going to come. John Barta stated everyone would like to have a healthy business base and a healthy economy in this community; however, the implications of this report are very substantial. He requested Council not act on this study tonight; there may be some good information, but there is also some very serious business, which will have to be looked at very carefully. Lynda Merrill stated Morro Bay is a small town, and the report ignores what people love about it. She said the report should not be accepted and the resolution should never be implemented. Mayor Yates closed the hearing to public comment. Mr. Svensson clarified this report is funded by the State and intended as a technical study; it is not a community planning document. He said ADE would in no way recommend the City move forward with any of the recommendations without substantial community involvement along the way. Mr. Svensson stated technical information is being presented about options to be considered, and he is certainly not trying to discount the constraints or limitations involved with the different options. He added the whole approach of the land use recommendations is to • try and keep within the scale of the community, as he is well MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 11 • aware and sensitive about the issue. Mr. Svensson stated large business development is not being sought, but the goal is growth and development of small existing businesses needing expansion to continue to operate within their markets. He said the entire report, particularly the light industrial section, is oriented to a small business scale of development. Mr. Svensson noted trade- offs from a land use standpoint were examined, and authors tried to concentrate recommendations in areas of the City which already have some industrial development. He said there is not enough property available under current zoning to support the growth the business community needs, so any recommendations or alternatives necessarily involve the conversion of other land uses. Mr. Svensson stated he certainly understands someone in a mobilehome park would have tremendous concern, but authors looked at a number of available sites in residential neighborhoods, and there was no action recommended in any of those areas. He said the authors did not believe industrial use would be compatible with existing residential neighborhoods. Mr. Svensson stated for the most part, the discussion centers on expansion of the existing industrial area, not the creation of new industrial areas. He said the idea of the conference center was to increase business traffic, something Morro Bay does not currently capture. Mr. Svensson said any competition with other regions would be strictly in terms of business conferences and that sort of thing. He said the surveys reflect an attempt to get opinions and information from people who live in the community, from • businesses, and from visitors. Mr. Svensson stated they are not scientific surveys, but provide some information on the kinds of issues people felt were important, some of the economic interests they had, and some of the improvements they would like to see. He said the authors used the information in their thinking, but the surveys are not presented as scientific, nor should they replace a community discussion process, which should take place regarding these issues. Councilmember Unger stated she is not anti -business and believes a retention plan is needed; however, there is no one on the list who does not have a vested interest in seeing that business increases. She said there is no one from the environmental groups, no one from the neighborhood groups, and she feels a comprehensive study would gather different opinions from different areas. Mr. Svensson responded a number of the surveys focused on information technology, so there was not just a manufacturing focus. He pointed out technological changes occurring in manufacturing are allowing small businesses to reach worldwide markets, which is happening in Morro Bay as well as other small communities. Mr. Svensson pointed out it is important for small businesses to have room to develop and use those technologies, because they need to compete nationally and worldwide. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 12 • Councilmember Unger stated the main attraction of the town is its aesthetic value, including the ocean, the Rock, and the beach. Mr. Svensson responded his company has worked in many small communities throughout California, where environmental values are extremely important. He said an overall economic development strategy is undertaken in those communities, where meetings are held, community outreach is implemented, and the overall comprehensive development is considered in order to provide the direction and strategy people are comfortable with, as well as supporting economic growth while maintaining essential qualities. Mr. Svensson added retail to the list. He said the State wants funding of these studies to lead to jobs in the local community for local residents meeting certain moderate -income criteria. Mr. Svensson stated estimates were made regarding how many jobs the three business areas were capable of creating over a period of time, and how many of those jobs would be accessible to moderate -income residents. He said the estimates are focused on the non -retail side, but they include all business areas. Councilmember Unger stated a big hotel would siphon off business from existing motels during the off season. Mr. Svensson responded the hotel's success as a conference center would result in two-thirds of its business being associated with business trade, which is currently negligible. He said there • would not be enough rooms in the hotel to support conferences. Mr. Svensson stated there is no peak time, but a year-round usage which provides a constant overlay of business on the peaks. Councilmember Anderson expressed concern for businesses such as Toobs, Davis Boats, and Cotton Ball, and the present lack of space for these businesses to grow. He said the trailer parks have been permanent residential areas for 40 years, and probably will continue for another 40 years. Councilmember Anderson stated he wished energy had been aimed toward areas with potential rather than areas no one wants to rezone. He said he would have preferred an approach which focused on figuring out ways to help businesses stay, not giving the Council a list of possibilities which will not work. Mayor Yates asked Councilmembers to state whether or not they will support acceptance or non -acceptance of the final report and authorization of final grantee performance report; he asked what would happen if Council does not accept the report. Carleen Bedwell, ADE, stated she wrote the grant under consideration at the City's direction. She said ADE is under contract to provide grant administration for the City. Ms. Bedwell stated the City has until the end of June to complete all the grant requirements, accept the final report, and close out • the grant. She said there is time available for Council to MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 13 • modify the report to make it acceptable, and a decision does not have to be reached tonight. Ms. Bedwell added there will be discussion of another grant shortly, as soon as this one is finished, and it is in the interest of the City to close out this grant and to complete the requirements. She advised Council to continue with this report until it is acceptable. Councilmember Unger asked if Council had the right to modify the report or steer its direction; she asked if Council could provide input and ask the authors to come back with changes. Ms. Bedwell answered affirmatively; she said Mr. Svensson is the project director and she wrote the grant, but Council must go back to the defined tasks written in the grant. Ms. Bedwell stated the tasks were approved by Council during a public hearing when the grant was prepared. She said Council must examine the grant application next to the final product and ask if the two coincide. Ms. Bedwell noted Council does not have the latitude to wish for a different type of study, but Council can ask for modifications to make the report more accurate, according to the original grant contract between the State and City of Morro Bay. She said there is latitude within the grant, but not beyond the scope of it. Mayor Yates stated often a study is requested, and then people do not like the results. He said no Council is going to zone Area • 13 for manufacturing, and no one is going to eliminate historical homes. Mayor Yates stated just because something is written down does not mean it will happen. He said he will support acceptance of the report, although it does not mean he accepts everything in it. Councilmember Novak stated she reviewed the criteria of the report and it meets the grant guidelines. She said businesses should not be haphazardly developed with everything falling apart at the end; the authors have tried to provide an approach which looks at the overall picture. Councilmember Novak stated she favors acceptance of the report, as the authors did their homework. She added the Economic Vitality Committee spent a lot of time with Mr. Svensson addressing concerns of both shoppers and residents. She said the report can be used as a basis, because there has to be a starting place. Councilmember Novak stated there are businesses which need area to expand, and, if Council keeps putting everything off, there will be no place for these businesses five years down the road. Councilmember Crotzer stated he will not vote to accept the report, because he fully agrees with public comment that there is a basic lack of sensitivity toward the community. He said he would not validate or accept a report which is contrary to the will of the people. Councilmember Crotzer stated an area with • adobe construction should not be included in a proposed MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 14 • industrial area. He added the study seems to be outdated, as it relies upon a failing industrial model and is based upon the exploitation of labor, which would be garnered from those who live in trailer parks. Councilmember Crotzer stated business locations should come from the peoples vision and public workshops, and more public participation is necessary before this report is accepted. He said the very concept that peripheral shopping mall development will help the downtown flourish is absurd, as peripheral development is a killer of downtown areas. Councilmember Crotzer stated annexation of agricultural land surrounding the Tri-W property was deliberately down -sized by a vote of the people. He said the Albertson's shopping center is doing good business, but it defies logic to think it would be compatible with another new shopping center across the way. Councilmember Unger referred to page 23(2), stating "no industry would occupy a space for five years and then turn the property over for recreational use"; page 24(1), stating "the City recently rezoned five acres of M-2 property to C-VS to allow an existing RV park to continue. Rezoning C-VS property that is not adjacent to the coast to M-1 would only restore the previous inventory of industrial zoning"; she noted the Planning Commission recommended the rezoning and it was approved by the Council. She said rezoning the property to C-VS goes with the flow, and it was rezoned so it would be compatible with everything else around it. Councilmember Unger stated • telecommunications has not been pursued, and the one service which is vital to the community is health care service. She said health care services provide 7% of jobs in this area, and 10% of wages, so why is there discussion of a convention center when a health care center should be promoted. Councilmember Unger stated Morro Bay would have a corner on the market for a health care facility if General Hospital closes. She added she would like more discussion about antique stores, which brings a lot of business to the City; more antique stores bring more people who love antiques, and the City should be promoting this industry. Ms. Bedwell clarified the grant application has been written and prepared with City staff, reviewed by Council in a public hearing, and the end product is submitted to the State, which reviews it and makes the decision whether or not to fund it. She said a signed contract results from State acceptance, which is signed by the State and the City and authorized by resolution. Ms. Bedwell stated the City agrees to fulfill its obligations, which are all the tasks written in the application, and the final product is the report completing all the tasks. She said lack of authorization for this report to go on to the State means the City is not fulfilling its half of the contract, and the State has been paying all the way along to have the work done. Ms. Bedwell stated the City would put itself in a bad position with the State if the grant obligation is not fulfilled. She said • there are options available to get the grant to the point where MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 15 • it is acceptable and acknowledged as final. Ms. Bedwell stated. an addendum could be added, or a couple of community meetings could be held to satisfy Council. • • Councilmember Anderson stated he will accept the report as long as it was clear Council does not want to enact all the suggestions contained within the report. Mayor Yates responded the City wrote up a contract stating the requirements; this is not a planning document and the information can be used or discarded, as Council sees fit. Councilmember Novak stated the sole purpose of grant funding is to look at a targeted income group, and she questioned whether or not the report can be amended to look at antiques and health care without going beyond the realm of the targeted income group for wages. She said the focus was low income, and health care garners high wages. Councilmember Unger stated she will not vote for acceptance of this report, because she heard Ms. Nauman say it is a planning tool. She said the City should not use this study to make plans; she has not seen a copy of the grant, only the staff report, so she does not know whether the report meets the criteria or not. Councilmember Unger stated the report talks about adding 200 jobs, and she believes the City should have a job fair to promote selling globally and hiring locally. She said she does not believe the issues have been addressed in order to complete the criteria for the study. Councilmember Crotzer said he would like to call the question, with the note that voting for it will require $5,600 in City matching funds upon acceptance. Mayor Yates asked if the funds have been budgeted. Ms. Nauman responded she thought the money was committed when the grant was awarded, but she is not the one managing the grant program; Ms. Bedwell has been working with Administrative Assistant Marci Laurent. Ms. Laurent responded expenditure of the City's matching funds, $5,600, was approved at the time of the original grant application. She said the second part of this public hearing concerns the portion of the staff report which deals with the second grant application under consideration, which would incur an additional.$5,600. Ms. Laurent stated expenditures for this grant and the City's matching funds came with grant application and approval last December. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 16 • MOTION: Mayor Yates moved the City Council accept the Business and Expansion Study and authorize a final grantee performance report. The motion was seconded by Councilmember Novak and carried with Councilmembers Unger and Crotzer voting no. (3-2) Ms. Nauman stated Ms. Bedwell will present the grant application for CDBG general program planning technical assistance grant fund. Ms. Bedwell stated the City is eligible each year for $870,000 in Community Development Block Grant Funds, and those funds break into two planning technical studies per year as well as special project monies. She said the 1994 study was just completed on the economic development side, and in 1995 a grant has been received for a water reclamation feasibility study, which relates to its impact on business. Ms. Bedwell stated the City has applied for funds on the economic development side for 1995. She said the City is eligible for $35,000 in grant funds on the general program side with local matching money of $5,600. Ms. Bedwell said she has worked with City staff to put together the proposed application now in front of Council; however, Council should not vote for it if they do not want it; and should not agree to these tasks if they are not priorities. She said the topic in front of Council tonight is a grant application for $35,000 which would look at the low/moderate income areas of the • City, and the focus will not be on jobs but on benefits for low/moderate income residents, which is the other half of the CDBG program. She said specific parts of town will be identified by specific income, census data, and income information falling within the CDBG definition of low/moderate income. Ms. Bedwell stated such areas will be identified, the existing infrastructure will be examined, as well as the need to raise the infrastructure standard now or in the future. She said costs will be projected and health and safety considerations will be examined. Ms. Bedwell stated the City is eligible for water or sewer project funding in those areas, but documentation and priority criteria are needed for health and safety considerations. She said the planning study can be used to prepare for such grants. Ms. Bedwell stated, upon Council acceptance and authorization of the application, the section will become the object of the contract between City and State. She said the health and safety considerations are important because this kind of money is highly competitive, and only the most severe needs are likely to receive serious consideration. Ms. Bedwell stated the cost estimates and financing options and results will allow the City to prepare an application for construction funds for infrastructure. She said Council can decide it does not want further involvement with this kind of funding and the application will not be completed. Ms. Bedwell stated that money would be turned back to the State; and it is an example of money being rescinded if the end product is • not accomplished. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 17 • Councilmember Unger asked Finance Director Jim Koser if the $5,600 is budgeted. Mr. Koser responded it is not currently in the budget. Councilmember Unger asked for clarification, stating the City is applying for a $35,000 grant, which will have to be matched with $5,600 in City money. She asked Ms. Bedwell if she was going to write the grant. Ms. Bedwell responded affirmatively. Councilmember Unger asked how much money Ms. Bedwell would be paid for writing the grant. Ms. Bedwell replied her contract with the City is to write two grants in 1995 for $3,000. Councilmember Unger asked if this grant is included in Ms. Bedwell's contract. Ms. Bedwell responded affirmatively. Councilmember Unger asked if the $3,000 came from the $35,000. • Ms. Bedwell responded negatively. Councilmember Unger asked if Ms. Bedwell would be paid from the General Fund. City Administrator Dave Howell responded the answer would depend on the form of the grant. He said the wastewater reclamation grant is funded through sewer money, because that was the focus. Mayor Yates opened the hearing to public comment. Charles Palmer stated year after year these grants are garnered for $35,000 plus another $5,000 from the City, and $40,000 of City and State money are wasted. He said cities like Morro Bay all over the State request these grants, and' are going bankrupt for no benefit. Mr. Palmer urged Council refuse the grant application for another year. Mayor Yates closed the hearing to public comment. Councilmember Anderson asked what would happen after water and sewer problems were identified in low/moderate income areas; where does funding come from and how much will it be? Mr. Howell responded another grant application would be filed to • obtain financing to correct these problems. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 18 • Councilmember Novak stated this application would be a basis to identify locations, and a grant application could be filed the following year for $500,000 to perform infrastructure work. Councilmember Anderson stated assurance is needed that the City will benefit because of infrastructure needs in this area of town. Mr. Howell responded there is definitely a need as far as infrastructure is concerned. He said a study would show there is a target income group in order to follow up on another grant application. Mayor Yates stated the City has to approve this grant to get the next grant; and this study will result in the next study, which will allow the City to go after the $500,000. Councilmember Novak stated she supports this grant application, because she spoke to Ms. Laurent today and finally understands the process. She said this is the first step in order to get future funding for infrastructure projects, and the $5,000 matching grant is a small price to pay in the overall picture of being able to get money to fix storm drains and other repairs needed around town. Councilmember Novak stated the City does not have the money and needs help. • Councilmember Crotzer stated the City is not $200,000 in debt, and if trends continue, cash reserves can be eroded. He said years have gone by with an aging and continuously aging infrastructure, and sewers will start breaking and drains will start failing. Councilmember Crotzer stated drains are subject to anything running off the street and going into both Morro Bay and Estero Bay. He said State help will be necessary to put together infrastructure, and he will support this grant. MOTION: Councilmember Novak moved the City Council adopt Resolution No. 27-96 approving the 1995 Technical Assistance Grant Application for Community Development Block Grant General Allocation. The motion was seconded by Councilmember Crotzer and carried with Councilmember Unger voting no. (4-1) Mayor Yates called for a break at 9:40 p.m.; the hearing resumed at 9:50 P.M. D-2 CONTINUED PUBLIC HEARING ON APPEAL OF PLANNING COMMISSION'S ACTION APPROVING A MINIATURE GOLF AND ARCADE FACILITY LOCATED AT 231 ATASCADERO ROAD ADJACENT TO MORRO BAY HIGH SCHOOL IN A C-VS/PD DISTRICT; (CUP 31-95/CDP 60-95) • Councilmember Crotzer stepped down due to a conflict of interest. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 19 • Interim Planning Director Shauna Nauman reviewed the project and the basis of its appeal. She recommended Council deny the appeal and uphold the March 4, 1996 Planning Commission conditional approval of CUP 31-95/CDP 60-95, including the Negative Declaration, based on the attached Amended Findings; and direct staff as to whether or not a refund of the appeal fee should be processed. John Brown, Attorney for San Luis Coastal Unified School District, stated the highest levels of school district officials did not receive adequate legal notice of the Planning Commission hearing. He believes the notice was fatally defective, but he applauded efforts by Planning staff for their clever effort to impute constructive notice to the school district. Mr. Brown stated the public notice clearly mis-identified the site; however, school district officials are not asking Council to deny the project or to discuss the merits of whether or not public recreation is needed in the City. He noted school district officials are asking for an opportunity to fully and freely call attention to their concerns. Mr. Brown stated the Negative Declaration is also fatally defective, because requisite notice was not received by the school district as required by CEQA. He said school district officials did not want to be limited to a narrow procedural issue, and he requested Council send this item • back to the Planning Commission for a full and fair hearing with a re -noticed public hearing to give both applicant and appellant an opportunity to present issues. Mr. Brown does not believe an amusement arcade and golf course should be located on the grounds of a fine-looking school facility. Dr. Edwin Denton, Superintendent of San Luis Coastal Unified School District, stated there has been a misunderstanding which probably occurred when he looked at the notice and map and thought the project was across the street by Flippos; when he found out the project was in front of the high school, he became concerned. He said the arcade and golf course will lead to the entrance of the planned technology building, and asked Council not to degrade this important component of the high school and the community. Stuart McElhinney, school board member, stated an arbitrary technical denial of an appeal is not in the interest of serving the community's youth. Rodney Miles, project applicant, disagreed the school district did not know about the project, and stated there has been much discussion with various school district officials as well as a front-page newspaper article about the project. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 20 • Mayor Yates opened the hearing to public comment. Morro Bay High School Principal Greg Halfman stated his concerns deal with supervision and security of the campus given the location of the project. He also expressed concern over traffic, especially on Friday nights when there could be serious areas of cross over with the public using the high school parking lot. Mr. Halfman stated there is no high security at the campus, and he is concerned people will create problems on the high school campus. He said there is a great deal of pride in the school and high standards, and the proposed project would be inappropriate for the front of the high school. Mr. Halfman stated he hopes the integrity and dignity of the high school site will be preserved. Dale Kaiser expressed support for the golf course and arcade, and noted he has a difficult time believing the school officials did not understand where the project was located. He said the area is excellent for entertainment, especially with the expansion of Flippos. Mark Tognazzini, President of the Morro Bay High School Boosters Club, expressed his support for the school and its administrators. • Harry Rogers stated this business will produce jobs, use City services, and create tax revenue for the City. He said the Planning Commission addressed issues of concern before approving the project. Mr. Rogers urged Council to uphold the Planning Commissions decision and deny the appeal. Sedonie Wiedenkeller said the first notification Parent Advisory Board members received about this project was the article in the Sun Bulletin. She said she has heard parental concerns about the location, traffic, additional noise, and a need for increased security on campus. Bob Schwenoha, Morro Bay High School teacher, expressed concern with flooding at the high school because of the need to raise the project 4 or 5 inches. Gus Gulmert, Cayucos resident, expressed support for the project, although he recognizes and appreciates the concerns of the school board. He said if officials were so concerned about the beauty of the high school, the school district should have purchased the property. Mr. Gulmert stated he supports recreational facilities for him, his grandchildren, and other members of the community and surrounding area. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 21 • Colby Crotzer, speaking as Morro Bay citizen and school district teacher, stated this is a difficult project to oppose. He said he would like to see more recreational opportunities for young people in Morro Bay, but he is afraid Council will not listen to all the school employees and officials as it sits in its quasi - judiciary role. Warren Dorn stated he supported the project when he thought it was across the street, and he agrees recreational facilities are needed in Morro Bay. He agrees with school officials regarding the proposed location, and the impact on the school will be bad. Mr. Dorn stated there are many preferable locations in the City. Steve Mathieu offered videotapes of the March 4th Planning Commission meeting, and expressed support for the school district representatives. Mr. Mathieu stated there are better locations for this project. Bill Fritch, representing the Los Osos Youth Activities Program, stated the project should be held in abeyance until the process can be reopened and fences can be mended. Fayla Chapman, Morro Bay High School teacher, stated she became aware of the project when she saw the Sun Bulletin article. She said the school has a fairly low profile with little security, • and she expressed concern over safety if additional people come into the area. Ms. Chapman asked for more time for school district officials and the developer to address potential problems. Don Puett, Flippos owner, expressed support for the proposed project, as it will bring more business to town. He noted the public hearing map showed the wrong site but the right address, and he understands the applicant's frustration about the process. Mr. Brown reiterated the school district's position that proper notice was not received. He asked Council to refer the project back to the Planning Commission for a properly noticed public hearing, properly noticed Negative Declaration, and an opportunity for school district officials to share very strong and fundamental feelings about the project. Mr. Miles stated the school district does not want the facility and they allow no room for compromise. He said school district. officials are trying to rezone the property, even though they have had ample opportunity to seek rezoning during the General Plan amendment. Mr. Miles stated the property is properly zoned for his project, and the property has been on the market since 1988 with no purchase offer made by the school district. He asked if Flippos and the sanitation district were conducive to the image desired for the high school. Mr. Miles said the • project will be killed unless the appeal is denied. • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 22 Mayor Yates closed the hearing to public comment. Councilmember Novak stated Council has been put in a bad spot, and it is difficult to make a fair decision. She said the facts of the appeal make it clear the school district was notified and she will support denial of the appeal. Mayor Yates concurred and said the City acted in good faith with the noticing, and the school district was on the other side when an error in noticing was made regarding the Del Mar School project. He said he will also support denial of the appeal. Councilmember Unger asked Mr. Miles if purchase of the property is contingent on project approval. Mr. Miles responded the property is in escrow and not necessarily contingent on project approval. Councilmember Unger stated due process should be provided to both entities, although she does not believe the project has to go back to the Planning Commission. She said this appeal could be worked out with Council, and there are issues which must be taken into consideration. Councilmember Unger stated the fees should be refunded if school district items are not heard in total; and the fees should be accepted if Council votes to hear the items. Councilmember Anderson stated his impression is that both sides had presented their cases to the Planning Commission, and the Commission decided in favor of the property owner. He said he is frustrated with the error made in the map, and he feels everyone should have a chance to express their feelings. Councilmember Anderson expressed surprise the school district had not purchased the property sometime in the last 35 years. Mayor Yates stated it appears this is a tie vote situation and Council cannot allow a stalemate. He stated the project will have to be sent back to the Planning Commission, although he hopes the decision will not stop it. MOTION: Mayor Yates moved the City Council uphold the appeal and send the project back to the Planning Commission for a re -public hearing. The motion was seconded by Councilmember Anderson. Councilmember Unger stated the project does not have to go back to the Planning Commission, and recommended it be continued to the next Council meeting. She said she does not favor sending it back to the Planning Commission. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 23 • Mr. Hunt recommended the project be sent back to the Planning Commission if the appeal is upheld. He read a letter received from Mr. Brown on April 26th, which raises questions regarding the Negative Declaration and appropriate circulation and changes regarding project size and description, issues which are appropriately dealt with by the. Planning Commission. Mr. Hunt stated the Commission has original jurisdiction for Negative Declaration approval under City guidelines, and circulation issues will stall Council anyway. He recommended sending the project back to the first available Planning Commission agenda in order to find out whether or not the project has to be re- circulated. Mr. Hunt stated it will come back to Council as quickly as possible, and the result for the applicant may be to forestall a long and difficult project. He said the Planning Commission can be instructed to expedite this matter at the greatest possible speed. • • Councilmember Unger agreed with the motion based on counsel's recommendation. VOTE: The motion carried. (4-0-1) Councilmember Crotzer returned to his seat. D-3 PUBLIC HEARING ON FINAL ACTION OF PLANNING COMMISSION RECOMMENDATION TO APPROVE A CONDITIONAL USE PERMIT (CUP 60- 95) FOR A PROPOSED ARCADE LOCATED AT 231 ATASCADERO ROAD This item was pulled from the agenda. C-4 CONSIDERATION OF CHARGING AN ADMISSION FEE TO THE PORTABLE SKATEBOARD PARK Recreation and Parks Director Andrea Lueker reviewed the request of charging an admission fee for use of the skateboard park based on a proposal for a grant through Substance Abuse Prevention. She recommended the City Council allow the Recreation and Parks Department to charge for the use of the portable skate board park. Councilmember Crotzer stated this proposal presents a myriad of opportunities for businesses, service groups, and the Police Department, and he believes value is enhanced when payment is required. He said skaters have told him a $1.00 fee is acceptable, and he feels a contributory user fund from users will provide money for upkeep and maintenance. Mayor Yates stated there were reasons why Council decided at a previous meeting not to charge $1.00, and the teens were told there would be no charge. He said he takes exception to reconsidering an issue which was already decided. • 11 CI MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 22, 1996 PAGE 24 Councilmember Anderson stated construction and maintenance are more costly than expected, and many kids will buy into participation in a much more personal way. Mayor Yates stated he will go with the consensus of Council and vote in approval of the fee. MOTION: Councilmember Crotzer moved the City Council approve a $1.00 fee be accepted following staff recommendation to charge for the use of the portable state park. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) C-5 COUNCILMEMBER'S REQUEST FOR COUNCIL CONSENSUS TO AGENDIZE DISCUSSION ON WATER COST ANALYSIS Councilmember Crotzer stated Council needs to consider the minimum costs of State Water, not the maximum as requested by a community member. He said the information is necessary when water rate increases are deliberated and whether or not capital financing will be necessary. City Administrator Dave Howell stated Public Works Director Bill Boucher is preparing a report for the Public Works Advisory Board, which will go beyond Councilmember Crotzer's request. He asked for Council consensus to examine water production overall for future consideration, which would include the financing package for the desal plant, ground water production, State Water production and concurrent capital projects. Mayor Yates received consensus from Council to consider the water report at the May 22nd City Council meeting. F. ADJOURNMENT The meeting adjourned at 11:12 p.m. Recorded by: Y JOEM.Qi,_ Bridg�uer City Clerk City of Morro Bay City Council Agenda Mission statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a Level of municipal service and safety consistent with and responsive to the needs of the public. PUBLIC SESSION - APRIL 8, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE - VFW POST 11097 LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following Iles shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF MARCH 11, 1996; AND SPECIAL TOWN HALL MEETING OF MARCH 13, 1996 A-2 THIRD QUARTER 1995 SALES TAX REPORT A-3 RESOLUTION NO. 30-96 APPROVING LICENSE AGREEMENT WITH THE INN AT MORRO BAY FOR USE OF TIDELANDS PROPERTY ADJACENT TO THEIR PROPERTY A-4 BUDGET APPROPRIATION FOR RELOCATION OF COAST GUARD PATROL • BOAT/SYLVESTER'S TUGS AT NORTH T-PIER - THIS ITEM HAS BEEN PULLED FROM THE AGENDA 1 0L-5 PROCLAMATION DECLARING APRIL 1996 AS "TEEN PREGNANCY PREVENTION MONTH" A-6 PROCLAMATION DECLARING APRIL 26, 1996 AS "SPECIAL OLYMPICS DAY" B. UNFINISHED BUSINESS B-1 REPORT ON PUBLIC EDUCATION AND GOVERNMENT ACCESS (TV/RADIO BROADCASTING OF PUBLIC MEETINGS) B-2 RESOLUTION NO. 31-96 APPROVING APPROPRIATION RESOLUTION FOR MID -YEAR BUDGET REVIEW UPDATE; (CONTINUED FROM FEBRUARY 12, 1996 CITY COUNCIL MEETING) B-3 CONSIDERATION OF OTHER REVENUE OPTIONS; (CAPITAL PROJECT FINANCING) C. NEW BUSINESS C-1 PRESENTATION FROM CALIFORNIA DEPARTMENT OF FORESTRY REGARDING FIRE SERVICE CONTRACT C-2 CONSIDERATION OF CITY-WIDE ASSESSMENT DISTRICT FOR PARK MAINTENANCE D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 CONSIDERATION OF REVENUE ENHANCEMENT ALTERNATIVES TO INCREASE TRANSIENT OCCUPANCY TAX TO 10%, AND TO INCREASE LOCAL SALES TAX TO 7.56 D-2 PUBLIC HEARING ON APPEAL OF PLANNING COMMISSION'S ACTION APPROVING A MINIATURE GOLF AND ARCADE FACILITY LOCATED AT 231 ATASCADERO ROAD ADJACENT TO MORRO BAY HIGH SCHOOL IN A C-VS/PD DISTRICT; (CUP 31- 95/CDP 60-95) - CONTINUED TO APRIL 22, 1996 CITY COUNCIL MEETING 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 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT • REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell Philip Sinco Rick Algert Bridgett Bauer Bill Boucher Jeff Jones Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator Assistant City Attorney Harbor Director City Clerk Public Works Director Fire Chief Finance Director Police Chief Recreation and Parks Director Senior Planner Dave Elliott led the Pledge of Allegiance. LIGHTEN UP Roger Ewing presented the "Lighten Up" this evening. MAYOR'S REPORTS & ANNOUNCEMENTS MOTION: Councilmember Unger moved the City Council approve Consent Calendar Item A-6 (Proclamation declaring April 26, 1996 as "Special Olympics Day"). The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates presented the proclamation to Bernie Lazano of Special Olympics; he stated the event will be held at Morro Bay High School on April 26, 1996. Mayor Yates presented Finance Director Jim Koser with an award from the California Society of Municipal Financial Officers; he stated it is the first time the City has ever received a merit award in finance. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 2 0 Mayor Yates made the following announcements: ♦ The Community Foundation raised $341 at the pancake breakfast; the money will help pay for recreational programs for the community's children; ♦ The Easter Parade was a success for the Chamber of Commerce; ♦ The roller hockey rink dedication will be held Saturday, April 27, 1996 at 11:00 a.m. at Del Mar Park; ♦ Item D-2 (Public Hearing on Appeal of Planning Commission's Action Approving a Miniature Golf and Arcade Facility Located at 231 Atascadero Road Adjacent to Morro Bay High School in a C-VS/PD District) has been continued to the April 22, 1996 City Council meeting. Councilmember Novak made the following announcements: ♦ She was able to attend a Community Development Seminar in San Diego thanks to local businesses who helped fund her attendance; ♦ There is a new sign on the North T-Pier addressing the new weather warning flag identification system along with a bronze plaque in honor of local fisherman Al French; ♦ The State Assembly Judiciary Committee passed AB 2342 which allows the dissemination of marine weather information. • Councilmember Anderson announced Morro Bay hosts Special Olympics every four years and volunteers are welcome to assist the athletes. Mayor Yates requested Council consensus to rearrange the agenda to present Item C-1 (Presentation from California Department of Forestry Regarding Fire Service Contract) prior to Unfinished Business items; and to hear Item B-1 (Report on Public Education and Government Access) after Item C-1; Council conceded. Mayor Yates noted the CDF proposal will be heard out of respect to Fire Chief Jeff Jones. He said department heads were ordered to find ways to cut costs and this is one proposal. Mayor Yates stated Council is aware of the strong opposition voiced by the community regarding this proposal. PUBLIC COMMENT Nancy Bast stated Consent Calendar items (such as A-3 and A-4 on tonight's agenda) should be agendized to allow public comment. She added it is not appropriate to place controversial items on the Consent Calendar. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 3 Roger Ewing expressed support for the proposal to increase the City's bed tax to 10%, and the sales tax by 1/4%; however, there is no need to spend $15,000 for a feasibility study. He suggested a public opinion poll regarding a city-wide assessment district because he believes it will result in double taxation for homeowners and businesses; adding it should be put to a vote of the people. Mr. Ewing stated the videotaping of Council meetings seems to be a success. He also expressed support for agendizing Item A-3 as a public hearing item. Lynda Merrill stated she hopes the delayed Council meeting broadcasts will provide needed information to people who do not normally participate in public meetings. She said copies of the tapes will be provided at the library for check-out. John Baker stated he agrees with Chief Jones' concept for consolidation of the fire department; however, he does not agree with the 72-hour work week proposed by CDF, stating such long hours could result in disaster. Fire Captain Mike Pond stated the voice of the community has been heard in support of maintaining the City's fire services. Charles Palmer stated a contract with CDF should be written so the City can take back its firefighters if the proposal does not • work; he suggested holding a town hall meeting to discuss this issue. Susan Mullen expressed support for the City's firefighters and all City employees. She noted during the 1992 budget review, a committee of employees was formed to provide cost-cutting measures, and recommended Council review these ideas which saved over $200,000 the following fiscal year. Ms. Mullen said employees know how and where to save money, and stated there are other ways to deal with budget problems besides cutting employees. Robert Wiese expressed opposition to forming a parks assessment district in the City; he stated an increase in property taxes would be preferable. Mayor Yates stated a parks assessment district will not be instituted without a vote of the people. He added there will be a number of ballot issues this year regarding the budget. Roz Rogoff stated the owner of the Law Store is retiring, and suggested that would be a prime location for a Visitor's Center. Bernie Melvin expressed support for continued videotaping of Council meetings; as well as maintaining local control of the Police and Fire Departments. 9 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 4 • Dorothy Krueger expressed concern on the credibility of the Recreation Department, and stated her opposition to the proposed city-wide assessment district. Ann Freeman stated Consent Calendar Items A-3 and A-4 should be re-agendized for public input. Matt Gullage, Albertson's manager, addressed concern with the closure of South Bay Boulevard, stating a lengthy closure will create a problem for businesses in the City. Mayor Yates noted Public Works Director Bill Boucher asked business owners to conduct a study at a recent Chamber of Commerce dinner. At that time, Mr. Boucher stated a double shift could be utilized by CalTrans if cost benefits to the community could be demonstrated. Shirley Brock addressed the proposed city-wide assessment district, stating Council promised to eliminate the assessment to Bayshore Bluffs homeowners this year; and park fees should be divided equally among all Morro Bay citizens. Warren Dorn stated Consent Calendar Item A-3 should be re- agendized as a public hearing. He also thanked those who helped restore the vandalized flag pole at the Centennial Stairway. • Ed Applegate addressed Council on the consolidation of the City's fire services, stating the firefighters should offer alternate suggestions if the CDF proposal is unacceptable to them. George Becker expressed opposition to further increases in park assessment fees. Mayor Yates closed the hearing for public comment. DECLARATION OF FUTURE AGENDA ITEMS - None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF MARCH 11, 1996; AND SPECIAL TOWN HALL MEETING OF MARCH 13, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 THIRD QUARTER 1995 SALES TAX REPORT Mr. Howell recommended Council receive the report for • information. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 5 • A-3 RESOLUTION NO. 30-96 APPROVING LICENSE AGREEMENT WITH THE INN AT MORRO BAY FOR USE OF TIDELANDS PROPERTY ADJACENT TO THEIR PROPERTY Mr. Howell recommended Council approve Resolution No. 30-96 authorizing execution of a two-year license agreement with the Inn at Morro Bay for use of a portion of Lease Site 27W. A-4 BUDGET APPROPRIATION FOR RELOCATION OF COAST GUARD PATROL BOAT/SYLVESTER'S TUGS AT NORTH T-PIER This item was pulled from the agenda. A-5 PROCLAMATION DECLARING APRIL 1996 AS "TEEN PREGNANCY PREVENTION MONTH" Mr. Howell recommended Council adopt the Proclamation declaring April 1996 as "Teen Pregnancy Prevention Month". A-6 PROCLAMATION DECLARING APRIL 26, 1996 AS "SPECIAL OLYMPICS DAY" Mr. Howell recommended Council adopt the Proclamation declaring April 26, 1996 as "Special Olympics Day". • Councilmember Crotzer pulled Items A-2 and A-4 from the Consent Calendar; Councilmember Anderson pulled Item A-3. MOTION: Councilmember Anderson moved the City Council approve the Consent Calendar with the exception of Items A-2, A-3 and A-4. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) A-2 THIRD QUARTER 1995 SALES TAX REPORT Councilmember Crotzer asked if there was an increase in sales tax revenue from the same period last year? Finance Director Jim Koser responded there was an increase of $31,077 from the same period last year. MOTION: Councilmember Crotzer moved the City Council approve Consent Calendar Item A-2. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 6 • A-3 RESOLUTION NO. 30-96 APPROVING LICENSE AGREEMENT WITH THE INN AT MORRO BAY FOR USE OF TIDELANDS PROPERTY ADJACENT TO THEIR PROPERTY Councilmember Anderson asked for clarification on this item; he asked for an explanation of the fees, whether or not this lease is a renewal, and what the long-term expectations are. Harbor Director Rick Algert responded a bridge agreement is sought for two more years, and John King has indicated he may submit plans for a small marina. He noted Mr. King has the right to submit plans, and any project will have to go through full approval, including City, State, and Federal permits. He said the Harbor Department is seeking some rent over the next two years, while Mr. King makes a decision on what he might want to do. Councilmember Anderson asked if this was just a renewal of the existing parking lot use and promises nothing about developing slip areas. Mr. Algert responded affirmatively, stating Mr. King will have to go through the entire permit process in the future. Councilmember Crotzer asked Mr. Algert if he would be open to proposals from other parties to develop a marina on the site. Mr. Algert responded because access is controlled by the upland • property owner and the site has no public access, it would be difficult for someone else to bid on such a project because there would be no access. Councilmember Crotzer stated he would not support this item because public trust lands are not Mr. King's private property and the amount of the proposal and its exclusivity concerns him. He noted the General Plan addresses lateral access, and a continuous boardwalk fronting the bay is envisioned in the future. Mayor Yates stated the physical limitations make this project unreasonable for anyone else. He said the proposed boardwalk was not envisioned to go beyond Tidelands Park as private property is involved throughout the rest of the area. Mayor Yates added he does not believe the City would be able to purchase private property past Tidelands Park. Councilmember Unger stated she will support the agreement in order to avoid great expense to the City in repairing the bulkhead. Councilmember Crotzer stated it would be preferable to find a way, at no cost to the City, to reverse the ill-conceived and unsightly bulkhead project created long ago. Mayor Yates stated the current use will continue for two more years, and the City is relieved of liability. He noted the words • "exclusive" and "option" are not in the two-year lease agreement. • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 7 MOTION: Councilmember Unger moved the City Council adopt Resolution No. 30-96 approving an interim license agreement for a portion of Lease Site 27W with King Venture dba Inn at Morro Bay. The motion was seconded by Councilmember Novak and carried with Councilmember Crotzer voting no. (4-1) C. NEW BUSINESS C-1 PRESENTATION FROM CALIFORNIA DEPARTMENT OF FORESTRY REGARDING FIRE SERVICE CONTRACT Fire Chief Jeff Jones reviewed the proposal to consolidate the City's fire services with the California Department of Forestry (CDF); he recommended the City Council authorize the City Administrator continue to explore and develop a proposal for the City to contract with CDF for the provision of fire protection and emergency services within the City. Chief Jim McFadden of CDF noted 33 counties and 11 cities contract with CDF, so this consolidation proposal is neither unique or new. He reviewed CDF staffing and equipment advantages for the City. Councilmember Anderson asked if CDF provides coverage for all unincorporated areas in San Luis Obispo County. Chief McFadden responded affirmatively, except Los Osos and Cayucos who have their own fire districts. Councilmember Unger asked if there is a difference in training between Morro Bay and CDF. Chief McFadden responded fire training is similar; however, Morro Bay provides paramedic service and the County provides EMTD service. He said re -certification would not change, but Morro Bay would have the benefit of a larger training bureau. Mayor Yates asked how the City would get out of a contract. Chief McFadden replied the contract is for three years, because CDF will assume all sick -leave accrual, one-year vacation time, and employee seniority; however, contract withdrawal may occur in 90 days. Councilmember Novak asked if there was any possibility the 72- hour work week would be reduced in the future. Chief McFadden responded long-term negotiations are ongoing, but a 72-hour work week is not under discussion this year. Councilmember Crotzer asked who controls the purse strings. Chief McFadden responded the State Legislature manages the budget. He added CDF is a big organization with 4,000 employees statewide, and although a fire engine was cut, no one lost their jobs in San Luis Obispo County in the past year. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 8 • Councilmember Crotzer suggested an incentive program for City employees to help find ways to cut costs. Mayor Yates offered continued support to department heads for coming forward with ways to save money, and it is unfortunate this situation has become controversial. Councilmember Unger stated a previously -appointed task force consisting of rank and file employees established a list of money -saving ideas. She said she has revisited the list and has been trying to find a plan to reorganize the City without the option of layoffs. She would like to rejuvenate the task force list and said rank and file people, such as firemen, should bring forward proposals to cut costs in their departments. MOTION: Councilmember Unger moved the City Council authorize the City Administrator to continue to explore and develop a proposal with the California Department of Forestry. The motion was seconded by Mayor Yates. Councilmember Crotzer stated citizens expect a high level of service from the Fire Department and paramedics, and local control will be lost if consolidation takes place with CDF. He said he would argue against continued research into the proposal, as department heads spend much time at City expense on efforts directed by Council. Councilmember Unger stated she brought the motion in order to be • fair, and she wants to be sure this issue will not come forward again. She would like all information presented now, as erroneous information has been disseminated throughout the City. Councilmember Unger asked how cost-cutting measures will be found in the Fire Department if this proposal is not pursued. Councilmember Anderson stated he does not believe the City wants to align itself with a State agency, where local interests are not a high priority. He said he would explore other ways to save money, but local control should be maintained. Councilmember Unger asked to withdraw her motion. Mayor Yates voted for calling the question; Councilmembers Novak, Crotzer and Anderson voted against calling the question, and Councilmember Unger abstained. Mayor Yates and Acting City Attorney Philip Sinco stated Councilmember Unger can not abstain; and the vote will read 4-1 against. Councilmember Novak said the motion is too narrowly focused and should be open to include possibilities for further options. Councilmember Unger told Mr. Sinco she took exception to Mayor Yates casting her vote in the affirmative, stating the rules state abstentions go with the majority. Mr. Sinco concurred; her vote went with the majority. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 9 • Councilmember Crotzer stated it is clear the electorate does not want to consolidate the City's fire services, and it is discourteous to Chief McFadden to keep the option open for more proposals. Mayor Yates asked for a vote on the motion to authorize the City Administrator to continue CDF proposal discussions. Councilmember Unger's motion authorizing the City Administrator continue negotiations was unanimously defeated. (0-5) No further action was taken on this item. B. UNFINISHED BUSINESS • E B-1 REPORT ON PUBLIC EDUCATION AND GOVERNMENT ACCESS (TV/RADIO BROADCASTING OF PUBLIC MEETINGS) Steve Mathieu, Video Broadcast Committee, reported to Council on the video-taping of the Council meetings stating there have been some glitches and audio problems have been caused by a Sonic substation switch. He said he has received mixed signals from Sonic Manager Jeff Smith about future availability of stations, and broadcasts will become much more expensive because more City equipment will be necessary. Mr. Mathieu asked Council to fund the pilot program; he is working with Bill Olson of the Public Works Advisory Board (PWAB) in exploring further possibilities. Councilmember Crotzer stated people will come to rely on a dependable TV schedule. Councilmember Unger stated it was originally agreed the meetings would be videotaped by a volunteer, with the tape to be provided by the City. She said a video crew showed up at the next meeting, but there were assurances no money was necessary as the time was donated. Councilmember Unger stated the PWAB governs franchise agreements, and suddenly this new committee is negotiating with Sonic Cable and asking for money. She noted public access falls under franchise agreements. Mayor Yates stated a discussion on policy will have to take place. He does, however, take exception to a couple of issues, including Mr. Mathieu's personal promotion of this venture. He agrees with the concept of broadcasting meetings and public support is overwhelming; however, videotaping should be for City Council meetings only, and people who want time should film their own tapes and approach Sonic themselves. Public Works Advisory Board Vice -Chair Bill Olson stated Council meetings must be aired unedited, and the best way to provide coverage would be through audio signal only. He said audio signals on the radio are more accessible for people, as the video signal is only available to people with cable television. Councilmember Novak asked how much money each Council meeting will cost on an audio feed through a radio station. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 10 • Bill Peirce responded there should be no cost, and it can be done in one of two ways: A phone line or a dial -up line or continuously transmitting radio, which would cost about $2,000. Councilmember Anderson addressed the original direction Council gave to the committee regarding the video-taping of Council meetings, and stated, apparently, the quality of the first recording was unsatisfactory and a decision was made not to air it; then the two committee members contacted Alpha Productions, negotiated a price and brought in the company to tape the meetings. He noted people are interested in information not quality, and the original arrangement was more suitable. Councilmember Crotzer stated $2,400 per year to provide video broadcasts with two cameras is a bargain. He said Council should fund this project at the minimal level until the end of the year, while the PWAB pursues other avenues. Councilmember Crotzer stated the citizens could decide if they prefer free, live radio broadcasts; however, the demonstration project should continue. Assistant City Attorney Philip Sinco stated it would be acceptable to fund a discrete number of pilot programs; however, anything permanent would have to go out for public bidding. Councilmember Unger asked Mr. Boucher how Council should proceed in regards to the franchise, RFP, and PWAB issues. Public Works Director Bill Boucher responded Mr. Olson has been • dealing with the franchise agreement and Sonic Cable, along with local and regional issues for about six years. He noted Mr. Peirce has a wealth of knowledge on the specifics of the broadcast trade, and Mr. Mathieu and Mr. McKelligott have shown diligence in making this happen. Mr. Boucher stated the inherent problem is the project is moving in a rapid direction outside the context of broader public policy. Councilmember Novak agreed more financial information and other ideas are needed to determine whether or not the City will be able to afford to continue in this direction. She said she feels the bidding process might provide more savings, and the volunteers ought to make a presentation to the PWAB. Mayor Yates stated it is clear the community supports the broadcasts, but it is also clear no one watches for five hours. He said he is reluctant to kill the project, and concurs with Councilmember Crotzer to continue until June. Mayor Yates stated the PWAB should control the project, and the tapes should not be edited, because of political involvement. Councilmember Crotzer agreed editing should not take place, and the PWAB should certainly be intimately involved, as they are appointed by Council to handle franchise issues. He said the volunteer committee could work with the PWAB, and there is overwhelming community support for continuing broadcasts. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 11 • Councilmember Novak stated she agrees private donations can be solicited to continue the broadcasts, and she supports efforts to get it off the ground temporarily. Councilmember Anderson stated he supports continuing broadcasts as they are being conducted now, but he would like to hear about a way to do it free. He said the committee should be disbanded and the project turned over to the PWAB, which can come back after five meetings with recommendations on how to continue the broadcasts. Mayor Yates asked if Alpha Production plans to continue taping the meetings. Pat Renshaw of Alpha Productions stated they will continue for the next five meetings at $100 per meeting. She said she is a local citizen and she wants to do this for her City so other people can see what is going on. Ms. Renshaw stated a lot of people will benefit, even if they do not watch for hours. She does not believe a rate less than $100 will be found, as Alpha is subsidizing this project with others; and she pointed out it costs $100,000 per minute for television time in Los Angeles. Mayor Yates suggested Council fund $250 and raise the other $250 privately; he offered the first $100. Councilmember Unger stated she will donate $25. Council concurred in requesting Mr. Mathieu not to add anything • to the taped City Council meetings, as he did with his 15 minutes of opening remarks during the last broadcast. MOTION: Mayor Yates moved the City Council direct the volunteer committee to operate under the Public Works Advisory Board, and continue the pilot program through June; broadcasts are for City Council meetings only and not for individual citizens or groups; direct the Public Works Advisory Board to develop policies; and broadcasts will be unedited. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONSIDERATION OF REVENUE ENHANCEMENT ALTERNATIVES TO INCREASE TRANSIENT OCCUPANCY TAX TO 10%, AND TO INCREASE LOCAL SALES TAX TO 7.516 Finance Director Jim Koser reviewed the alternatives to increase Transient Occupancy Tax to 10%, and to increase local sales tax to 7.51 in order to enhance the City's revenue. He recommended the City Council authorize the City Administrator to negotiate and execute a professional services contract with Price Research to conduct a survey of voter attitudes toward the City and toward • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 12 • different revenue -raising alternatives. He said the contract shall be for an amount not to exceed $15,000; he further recommended, based on survey findings, specific tax increase measures be presented to the City Council for placement on the November 1996 ballot. Councilmember Crotzer asked Mr. Koser if it would take a Herculean effort to obtain a two-thirds vote for a tax increase. Mr. Koser responded obtaining a two-thirds voter approval will be difficult but not impossible, and it is his strong opinion professional help will be necessary. Councilmember Anderson asked if a sales tax increase has to have a specified purpose, and what the transient occupancy tax is throughout the County. Mr. Koser responded affirmatively, stating any rate over 1% must have a specified purpose; and every City in the County except Atascadero and Morro Bay has a 10% TOT. Mayor Yates stated he does not support the use of Price Research; the measure should go on the ballot on its own merits, and the City can run its own campaign. Mayor Yates opened the hearing to public comment. Ed Biaginni stated 54% of City revenue is from business taxes and licenses. He noted declining business revenue results in • declining City revenue and taxes, and economic recovery is now underway. He said the bed tax was raised in 1991 from 8% to 9% and then the recession hit, and business has been down since then. Mr. Biaginni stated he is concerned money is being sought to increase the City savings account, not to balance the budget. He said he would like this item continued in order to provide more time for discussion. Mayor Yates responded the budget problems are the result of the City spending more than it takes in, and the savings account is only part of the problem. Neil Patterson, owner of Bay Pines Travel Trailer Park, agreed with Mr. Biaginni; however, he feels the sales tax should be raised if any tax has to be increased. He stated his guests at the Bay Pines Trailer Park are at a 9% disadvantage because there is no bed tax at the State Park or Rancho Colina. Mayor Yates responded Police Chief Joe Loven is working with Assemblyman Bordonaro to eliminate the inequity of the tax situation in regards to State Parks. Harry Rogers stated Wi or M°s increase in sales tax will not have a noticeable impact on buyers, and the burden will be borne by both visitors and residents. He stated he would prefer a bed tax reduction to 61 to see if there would be a positive response from tourists, and an increase in motel occupancy. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 13 • Jim Wood expressed support to the proposed increase in bed taxes, noting he has paid much higher bed taxes in other cities, and the budget needs to be fixed. He said it is time for tourists to pay 10% to cover increased services provided on their behalf, and he would support an increase in the sales tax as well. Mr. Wood did note he would not support an increase in utility taxes, because utilities are not luxuries. Mayor Yates responded motel occupancy is 55%, which is very anemic. Bob Tefft stated he needs to be convinced a tax increase is worthwhile; keeping local Police and Fire Departments and having well -maintained parks are important to him. He said the general population will vote for something they care about and the small amount each citizen will have to pay must be emphasized. Randy Livingston, PG&E Power Plant Manager, asked City staff to work with PG&E if a utility tax is considered, as there is a model city ordinance regarding this tax. Terri Turner stated opposition to an increase in TOT; she noted 55% occupancy is not making Morro Bay prosperous, and she believes tourists should be encouraged to come to Morro Bay. Mayor Yates closed the hearing to public comment. Councilmember Unger stated she is not in favor of spending • $15,000, as she believes the City can do its own advertising in order to increase the tax. Councilmember Novak stated she will not support using Price Research if Council will agree to pursue some other helpful ideas. Councilmember Anderson stated he will not support any marketing company, as the electorate does not want to be sold. He said the public wants to be told about the situation and what the money will go for, but he feels there would be resentment if a marketing firm tried to sell them something. Councilmember Crotzer stated he agrees with the other councilmembers regarding opposition in hiring a marketing firm to solicit the public regarding the proposed increases in sales tax/TOT. Mayor Yates stated there is Council consensus not to spend $15, 000, and the debate will make or break the TOT increase on its own merits. He feels a marketing company selling the issue will not be beneficial. Mayor Yates asked about an alternative approach. Mr. Koser responded education is necessary to explain the City's budgetary position. Mayor Yates stated Price Research would not be providing education. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 14 • Mr. Koser stated Price Research could point out areas where education must be focused. Councilmember Unger stated there is consensus not to pay $15,000; however, no consensus on how to provide necessary education. She said Council must now decide whether or not to put any measures on the ballot, and she will support placing a 1% TOT, and %% sales tax increase on the ballot in November. Councilmember Unger stated she will not support an increase in utility taxes; as they are a necessity. Councilmember Novak stated she would like to reserve judgment about increasing the sales tax until after the upcoming Joint Cities meeting. Councilmember Crotzer stated Council should have a clear strategy of how to accomplish its goals before placing any measure on the ballot. He said he has advocated a TOT increase for the last two years. Councilmember Crotzer stated any ballot measure requiring a two-thirds vote should be avoided. MOTION: Mayor Yates moved the City Council extend the 11:00 p.m. rule to 11:30 p.m. in order to finish this item, and to hear Item B-3. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) Councilmember Anderson asked if there is any way to structure the sales tax so it will need only a simple majority. • Councilmember Unger stated it would be unwise to tie a City tax to a County -wide effort; it would be easier to obtain a two- thirds majority in the City than it would be in the County. MOTION: Councilmember Unger moved the City Council direct staff to bring back a resolution proposing the City's intent to increase the uniform local sales tax by Mt; place it on the November 1996 ballot; and bring back another resolution placing a it increase in the Transient Occupancy Tax on the November 1996 ballot. The motion died for lack of a second. Councilmember Anderson stated the sales tax increase must have a specific purpose attached to it, and maybe it should come back at another meeting. Councilmember Unger offered to amend the motion to 1Xt sales tax increase. Mayor Yates stated the sales tax purpose does not have to be decided tonight, just consensus about the necessity. Councilmember Anderson stated he does not think i(% will make a difference in voter acceptance. Councilmember Novak stated the transient vendor tax could pass with a simple majority. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 15 • Councilmember Crotzer stated he concurs with Councilmember Novak regarding the transient vendor tax, and he does not think the difference between %% and %% sales tax increase is significant for passage. Councilmember Crotzer stated he does not believe the City's financial position is as dire as characterized; and noted a �4% increase would be sufficient, although he will support %% for necessary services. Mayor Yates stated a %°s increase in sales tax will provide the City $1/2 million in revenue. He asked Councilmember Unger to make the motion again as it died for lack of a second. MOTION: Councilmember Unger moved the City Council direct staff to bring back a resolution proposing the City raise the uniform local sales tax by %%, a separate resolution directing staff bring back a resolution for a 1% increase in the TOT, and both measures placed separately on the November 1996 ballot. The motion was seconded by Councilmember Anderson and carried with Councilmember Novak and Mayor Yates voting no. (3-2) Mayor Yates stated he will support the measure even though he feels %i is too much; however, a %% increase will solve many problems and it should be sold that way. He said it should be brought back on the next available agenda, and perhaps some draft sample ballots could be provided by staff. Councilmember Anderson asked about the transient vendor tax. • Mr. Howell responded it has been resolved by Council consensus. Mr. Koser stated a couple of Cal Poly students have asked if they could assist in a survey process, in order to gain credit for a technical writing class. He said they might be willing to participate in interviewing or data gathering. Councilmember Crotzer stated he is uncomfortable with the vote, and feels there will be much volatility and political ramifications for anyone voting for tax increases. Mayor Yates stated it is necessary to vote one's convictions and uphold the majority regardless of personal feelings. Councilmember Novak stated she will support the motion, even though she would prefer a %% increase in sales tax; and will support a county -wide tax increase. D-2 PUBLIC HEARING ON APPEAL OF PLANNING COMMISSION'S ACTION APPROVING A MINIATURE GOLF AND ARCADE FACILITY LOCATED AT 231 ATASCADERO ROAD ADJACENT TO MORRO BAY HIGH SCHOOL IN A C-VS/PD DISTRICT; (CUP 31-95/CDP 60-95) This item was continued to the April 22, 1996 City Council meeting. C, J MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - APRIL 8, 1996 PAGE 16 • B-2 RESOLUTION NO. 31-96 APPROVING APPROPRIATION RESOLUTION FOR MID -YEAR BUDGET REVIEW UPDATE; (CONTINUED FROM FEBRUARY 12, 1996 CITY COUNCIL MEETING) This item was continued to a future City Council meeting. B-3 CONSIDERATION OF OTHER REVENUE OPTIONS; (CAPITAL PROJECT FINANCING) Mr. Koser reviewed revenue options for capital project financing. He recommended Council authorize the use of debt financing for construction of the Kings and Blanca tanks and for the construction of the water disinfection facilities in the combined amount of $1 million; and further recommended Council authorize the City Administrator to develop a proposal to leverage this financing opportunity.to enable the consolidation of city offices to develop a one -stop shop and to enhance the efficiency of municipal operations. MOTION: Councilmember Unger moved the City Council authorize staff to use debt financing for construction of the Kings and Blanca tanks and the construction of the water disinfection facilities in a combined amount of $1 million; also authorize the City Administrator to develop a proposal to leverage this financing opportunity to enable the consolidation of City offices • to develop a one -stop shop, enhance the efficiency of municipal operations and any other efficiency measure the City Administrator may deem feasible. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) C-2 CONSIDERATION OF CITY-WIDE ASSESSMENT DISTRICT FOR PARK MAINTENANCE This item was continued to the April 22, 1996 City Council meeting. F. ADJOURNMENT The meeting adjourned at 10:25 p.m. Recorded by: Bridgett Bauer City Clerk 0 n u ; City of Morro Bay City Council Agenda Mission statement The City of Mono Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - MARCH 25, 1996; 5:00 P.M. CLOSED SESSION - MARCH 25, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956.8, REAL PROPERTY TRANSACTIONS INSTRUCTING CITY'S REAL PROPERTY NEGOTIATOR REGARDING THE PRICE AND TERMS OF PAYMENT FOR THE PURCHASE, SALE, EXCHANGE, OR LEASE OF REAL PROPERTY AS TO ONE (1) PARCEL. E-2 GOVERNMENT CODE SECTION 54956.9, CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. INITIATION OF LITIGATION IN ONE CASE PURSUANT TO SUBDIVISION (C) OF SECTION 54956.9. • PUBLIC SESSION - MARCH 25, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE - VFW POST 11097 LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: ♦ When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. 01 *OUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF FEBRUARY 13, 1996, FEBRUARY 26, 1996, AND MARCH 11, 1996 A-2 STATEMENT OF CASH AND INVESTMENTS - FEBRUARY 1996 A-3 EXPENDITURE REPORT - FEBRUARY 1996 A-4 RESOLUTION NO. 22-96 AUTHORIZING STAFF TO PROCEED WITH THE 1996 WEED ABATEMENT PROGRAM A-5 RESOLUTION NO. 24-96 ESTABLISHING PARKING TIME LIMITS AND FUNDING RECOMMENDATION FOR THE EMBARCADERO AND DOWNTOWN BUSINESS DISTRICT A-6 RESOLUTION NO. 23-96 AWARDING CONSTRUCTION CONTRACT FOR SOUTH BAY BOULEVARD RECONSTRUCTION AND BIKE LANES; (PW 95-03) A-7 RESOLUTION NO. 25-96 AUTHORIZING APPLICATION FOR GRANT FOR A PORTION OF HARBOR FRONT PARKING LOT CONSTRUCTION -8 RESOLUTION NO. 26-96 AUTHORIZING EXECUTION OF AMENDMENT TO LEASE AGREEMENT WITH WILHELM AND TINA HOPPE FOR A PORTION OF LEASE SITE 93- 95/93W-95W A-9 APPROVAL OF LICENSE AGREEMENT TO USE PUBLIC PROPERTY FOR KAYAK CONCESSIONAIRE A-10 RESOLUTION NO. 21-96 ESTABLISHING NON -VOTING MEMBERSHIP TO COMMUNITY PROMOTIONS COMMITTEE A-11 REJECTION OF CLAIM AGAINST THE CITY; (BAUER) A-12 PROCLAMATION DECLARING APRIL 13, 1996 AS "DAY OF THE CHILD" AND APRIL 1996 AS "MONTH OF THE CHILD" A-13 RESOLUTION .NO. 29-96 IN SUPPORT OF AB 2342 - MARINE WEATHER INFORMATION, FORECASTS, OR ADVISORIES B. UNFINISHED BUSINESS - NONE L� 2 C. NEW BUSINESS 0-1 SET DATE AND TIME FOR JOINT CITY COUNCIL/PLANNING COMMISSION MEETING C-2 REQUEST FOR BUILDING PERMIT FEE WAIVER; (CLARK) D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RESOLUTION NO. 28-96 APPROVING SUBMISSION OF A 1996 COMMUNITY DEVELOPMENT BLOCK GRANT APPLICATION D-2 CONTINUED PUBLIC HEARING ON APPEAL OF PLANNING COMMISSION'S ACTION APPROVING THE REMODEL/EXPANSION OF DEL MAR ELEMENTARY SCHOOL; (CUP 32- 95/CDP 61-95) D-3 RESOLUTION NO. 27-96 APPROVING OF WATERFRONT MASTER PLAN F. ADJOURNMENT E THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 3 • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - MARCH 25, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember ABSENT: Ahnawake Unger Councilmember - Councilmember Unger arrived at 5:05 p.m. STAFF: Dave Howell City Administrator David Hunt City Attorney CLOSED SESSION MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Anderson and unanimously carried. (4-0) Mayor Yates read the Closed Session statement. The meeting adjourned to Closed Session at 5:00 p.m. and returned • to regular session at 5:17 p.m. E-1 GOVERNMENT CODE SECTION 54956.8, REAL PROPERTY TRANSACTIONS INSTRUCTING CITY'S REAL PROPERTY NEGOTIATOR REGARDING THE PRICE AND TERMS OF PAYMENT FOR THE PURCHASE, SALE, EXCHANGE, OR LEASE OF REAL PROPERTY AS TO ONE (1) PARCEL. E-2 GOVERNMENT CODE SECTION 54956.9, CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION. INITIATION OF LITIGATION IN ONE CASE PURSUANT TO SUBDIVISION (C) OF SECTION 54956.9. MOTION: Councilmember Anderson moved the meeting be adjourned. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) The meeting adjourned at 5:17 p.m. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m.' ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt Rick Algert Bridgett Bauer Bill Boucher Jeff Jones Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mauricio Argente Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Harbor Director City Clerk Public Works Director Fire Chief Finance Director Police Chief Recreation and Parks Director Senior Planner Planning Technician Randy Livingston led the Pledge of Allegiance. LIGHTEN UP City Engineer Steve Sylvester presented the "Lighten Up" this evening. MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: The Nina, a replica of Columbus' original ship, will be on display at Marina Square from April 24th through April 28th; Thanks to Wells Fargo Bank and Branch Manager Cindy Newman for donating $500 to the Community Foundation, which provides recreational programs for children. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 3 • Councilmember Novak announced she will attend the California Association for Local Economic Development seminar in San Diego next week. She stated she has received private donations to pay for the trip, so there will be no cost to the City. Mayor Yates requested Council approve Consent Calendar Item A-12 so he may present the Certificate of Appreciation declaring April 13, 1996 as "Day of the Child", and April 1996 as "Month of the Child". MOTION: Councilmember Novak moved the City Council approve Consent Calendar Item A-12 (Proclamation Declaring April 13, 1996 as "Day of the Child" and April 1996 as "Month of the Child"). The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) Mayor Yates presented the proclamation to Recreation and Parks Interim Recreation Specialist Shannon Stocking and Site Director for Kid's Club Lindsay Stewart. Several children from the Kid's Club presented artwork to the City Council. PUBLIC COMMENT Steve Mathieu stated he has paid $100 for tonight's videotaping; he will, however, accept contributions. He noted the tape will be aired on Tuesday (March 26th) from 9:00 p.m. to 11:00 p.m., • with the possibility of more hours added after midnight. Councilmember Crotzer offered to pay $50, and invited others to lighten Mr. Mathieu's obligation. Ed McCracken addressed opposition with one-way traffic on Monterey Avenue stating violations are continual and no other town has a street with one-way traffic going in different directions for two blocks. Mayor Yates requested the City Clerk provide Mr. McCracken with a copy of the discussion by Council regarding the one-way traffic on Monterey Avenue. Roz Rogoff complimented Mr. Mathieu for his work in videotaping Council meetings and offered $25 toward the cost. She stated the Cal Poly radio station will provide coverage and charge for expenses only; no other commercial radio stations are willing to broadcast Council meetings. Mayor Yates responded to Ms. Rogoff stating a phone line will be installed when a radio station is willing to provide broadcasts. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 4 • Bill Raflowski asked what is the final yearly cost of State Water; cost of State Water storage facilities; cost for desal plant operation; cost of well water; and the ultimate cost to residents per acre foot? Councilmember Crotzer responded to Mr. Raflowski's request for a total of State Water costs stating the items listed are not all appropriate for an accurate total; he requested Public Works provide a report in the near future. Mary Phillips asked how much healthier people will be if they drink fresh State Water rather than diluted ocean water? She addressed the history of the North Morro Bay Fire Station, and expressed support for the City's local firefighters. Randy Livingston, Morro Bay PG&E Power Plant Manager, stated the plant is undergoing one step in a long and rapidly evolving process of industry restructuring. He said the local plant will be an important part of California's electric generation system for the foreseeable future. Ralph Gunther formally requested Council postpone action on Consent Calendar Item A-5 (Resolution No. 24-96 establishing parking time limits and funding recommendation for the Embarcadero and Downtown Business District); he stated his sportfishing business will be severely and adversely affected by • this. Mr. Gunther said the other sportfishing facility has all - day parking available, and he believes his business should receive preferential treatment under both Coastal and Land Use Plans. He said the State Lands Commission specifically states there shall be .no discrimination in the administration of City leases, and this action places him at a disadvantage. Mike DeGarimore, owner of Central Coast Seafood and Giovanni's Market, expressed opposition to the proposed parking time limits on the Embarcadero stating it is not fair to everyone as proposed, and he would like Council to reconsider its action. John Der Garabedian, Embarcadero businessman, also requested postponement of Consent Calendar Item A-5 stating he parks on the Embarcadero 12 hours a day while commercial fishermen park two or three days at a time. Jack Schroeder, commercial fisherman, stated he is a City slip holder by Giovanni's and the situation is going from bad to worse as far as parking is concerned. He said some sort of permit arrangement should be found for the local fishermen. Joe Patronik, Embarcadero businessman, stated he is in favor of the four-hour parking; however, he would recommend postponement since there is so much opposition against it. He said there is a • great deal of frustration regarding waterfront parking, and there MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 5 • should be some simple arrangement for long-term permits for fishermen. Mr. Patronik stated there is also frustration because parking in -lieu money has not been utilized to provide more parking, and he asked Council to address other possible solutions. Councilmember Novak stated she has spoke to Police Chief Joe Loven about devising a plan for commercial fishermen, and she will talk to Harbor Director Rick Algert as well; a solution is being sought. Councilmember Unger stated there is concern regarding employee parking, especially the women who work late hours and do not feel safe in walking a distance to get to their cars. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Crotzer stated he has received a request from a constituent for individual Councilmember support for maintaining the Fire Department under municipal control; he asked for agenda time to consider this issue, and expressed his support for the current status. Mayor Yates replied the California Department of Forestry (CDF) is scheduled to make a presentation at the April 8th City Council meeting. He said it would be preferable to receive this • presentation before making commitments. Mayor Yates announced he will be absent from the April 8th Council meeting when the presentation by CDF will be heard. Consensus was reached for a presentation only, not a public hearing. Councilmember Unger asked if one -stop shop will be agendized in the near future? She also read a letter from Warren Dorn dated March 25, 1996 thanking volunteer Police Officer Van Heuver and the City for their help in trash removal across from the Twin Dolphin Motel. She stated Mr. Dorn expressed concern about contractors being allowed by the Planning Department to leave trash on job sites, and he also expressed opposition to the miniature golf course and a bridge over Morro Creek. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF FEBRUARY 13, 1996, FEBRUARY 26, 1996, AND MARCH 11, 1996 Mr. Howell recommended Council approve the minutes as submitted. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 6 • A-2 STATEMENT OF CASH AND INVESTMENTS - FEBRUARY 1996 Mr. Howell recommended Council approve the report. A-3 EXPENDITURE REPORT - FEBRUARY 1996 Mr. Howell recommended Council approve the report. A-4 RESOLUTION NO. 22-96 AUTHORIZING STAFF TO PROCEED WITH THE 1996 WEED ABATEMENT PROGRAM Mr. Howell recommended Council approve Resolution No. 22-96 declaring weeds a public nuisance and potential fire hazard, and authorize staff to proceed with the annual abatement effort. He also recommended Council set a public hearing for the May 13, 1996 City Council meeting to hear appeals from owners who received notice to abate their parcels. A-5 RESOLUTION NO. 24-96 ESTABLISHING PARKING TIME LIMITS AND FUNDING RECOMMENDATION FOR THE EMBARCADERO AND DOWNTOWN BUSINESS DISTRICT Mr. Howell recommended Council approve Resolution No. 24-96 establishing parking time limits and funding recommendation for the Embarcadero and Downtown Business District. • A-6 RESOLUTION NO. 23-96 AWARDING CONSTRUCTION CONTRACT FOR SOUTH BAY BOULEVARD RECONSTRUCTION AND BIKE LANES; (PW 95- 03) Mr. Howell recommended Council approve Resolution No. 23-96 awarding construction contract for South Bay Boulevard reconstruction and bike lanes to Madonna Construction in the amount of $772,645.25. A-7 RESOLUTION NO. 25-96 AUTHORIZING APPLICATION FOR GRANT FOR A PORTION OF HARBOR FRONT PARKING LOT CONSTRUCTION Mr. Howell recommended Council approve Resolution No. 25-96 authorizing application for grant for a portion of Harbor Front Parking Lot Reconstruction Project. A-8 RESOLUTION NO. 26-96 AUTHORIZING EXECUTION OF AMENDMENT TO LEASE AGREEMENT WITH WILHELM AND TINA HOPPE FOR A PORTION OF LEASE SITE 93-95/93W-95W Mr. Howell recommended Council approve Resolution No. 26-96 authorizing the Mayor to execute Amendment #1 to the lease agreement with Wilhelm and Tina Hoppe for Space #1 on a portion of Lease Site 93-95/93W-95W. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 7 • A-9 APPROVAL OF LICENSE AGREEMENT TO USE PUBLIC PROPERTY FOR KAYAK CONCESSIONAIRE Mr. Howell recommended Council approve the license agreement for operation of a kayak touring business on the waterfront. A-10 RESOLUTION NO. 21-96 ESTABLISHING NON -VOTING MEMBERSHIP TO COMMUNITY PROMOTIONS COMMITTEE Mr. Howell recommended Council approve Resolution No. 21-96 adding the Advertising Executive as a non -voting member to the Community Promotions Committee. A-11 REJECTION OF CLAIM AGAINST THE CITY; (BAUER) Mr. Howell recommended Council reject the claim submitted to the City. A-12 PROCLAMATION DECLARING APRIL 13, 1996 AS "DAY OF THE CHILD" AND APRIL 1996 AS "MONTH OF THE CHILD" Mr. Howell recommended Council adopt the proclamation. A-13 RESOLUTION NO. 29-96 IN SUPPORT OF AB 2342 - MARINE WEATHER INFORMATION, FORECASTS, OR ADVISORIES • Mr. Howell recommended Council approve Resolution No. 29-96 in support of AB 2342 - Marine Weather Information, Forecasts, or Advisories. Mayor Yates pulled Item A-5 from the Consent Calendar; Councilmember Unger pulled Items A-6 and A-7; Councilmember Crotzer pulled Items A-1 and A-10; and Councilmember Anderson stated he will abstain from voting on Agenda Item A-8 due to a conflict of interest, and pulled Item A-9. MOTION: Councilmember Novak moved the City Council approve the Consent Calendar with the exception of Items A-1, A-5, A-6, A-7, A-8, A-9, and A-10. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF FEBRUARY 13, 1996, FEBRUARY 26, 1996, AND MARCH 11, 1996 Councilmember Crotzer stated, for clarification purposes, he does not understand why staff had decided not to send the Waterfront Master Plan to the Planning Commission, as stated in Councilmember Novak's motion on Page 14 of the February 13, 1996 City Council minutes. i_1 LJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE S • Councilmember Unger corrected Page 5 of the March 11, 1996 City Council minutes, stating she would like her concerns enumerated, as she went to great lengths to provide the information. She requested these minutes return to Council for approval. MOTION: Councilmember Unger moved the City Council approve the minutes of February 13, 1996 and February 26, 1996. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) A-5 RESOLUTION NO. 24-96 ESTABLISHING PARKING TIME LIMITS AND FUNDING RECOMMENDATION FOR THE EMBARCADERO AND DOWNTOWN BUSINESS DISTRICT Mayor Yates suggested the City Council reagendize Consent Calendar Item A-5 as a Public Hearing item in order to hear from fishermen and other concerned parties. Council consensus was to reagendize the parking time limit issue as a public hearing item. A-6 RESOLUTION NO. 23-96 AWARDING CONSTRUCTION CONTRACT FOR SOUTH BAY BOULEVARD RECONSTRUCTION AND BIKE LANES; (PW 95- 03) Councilmember Unger expressed concern with the numerous calls she • has received regarding Madonna Construction and the controversy over filling Morro Creek with riprap. Public Works Director Bill Boucher responded the public bidding process is a separate world from private work. He said the Public Works Contract Code requires bids to be awarded to the lowest responsible bidder which in this case is Madonna Construction. MOTION: Councilmember Unger moved the City Council approve Resolution No. 23-96 awarding the construction contract for South Bay Boulevard reconstruction and bike lanes; (PW 95-03) to Madonna Construction. The motion was seconded by Councilmember Anderson and carried unanimously. (5-0) A-7 RESOLUTION NO. 25-96 AUTHORIZING APPLICATION FOR GRANT FOR A PORTION OF HARBOR FRONT PARKING LOT CONSTRUCTION Councilmember Unger stated the proposed grant is for $100,000 with 25% matching funds; she asked what the City's cost will be. Harbor Director Rick Algert responded the grant application is for $60,000, because only the asphalt portion qualifies for funding; he said the remainder of the project will have to be funded by the City in the future. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 9 • Councilmember Anderson stated he had been opposed to using in - lieu parking funds for resurfacing existing parking lots. He asked if it would be cost effective for the Harbor Fund to pay for a pavement overlay instead of waiting for further deterioration. Council consensus was to not approve the proposed Resolution No. 25-96. No further action was taken on this item. A-8 RESOLUTION NO. 26-96 AUTHORIZING EXECUTION OF AMENDMENT TO LEASE AGREEMENT WITH WILHELM AND TINA HOPPE FOR A PORTION OF LEASE SITE 93-95/93W-95W MOTION: Councilmember Crotzer moved the City Council approve Consent Calendar Item A-8 (Resolution No. 26-96 Authorizing Execution of Amendment to Lease Agreement with Wilhelm and Tina Hoppe for a Portion of Lease Site 93-95/93W-95W). The motion was seconded by Councilmember Unger and carried with Councilmember Anderson abstaining. (4-0) A-9 APPROVAL OF LICENSE AGREEMENT TO USE PUBLIC PROPERTY FOR KAYAK CONCESSIONAIRE Councilmember Anderson received clarification that money from licensing agreements accrues in the General Fund; and Coleman • Park is part of the Den Dulk property, not Tidelands Trust. MOTION: Councilmember Anderson moved the City Council approve Consent Calendar Item A-9 (Approval of License Agreement to Use Public Property for Kayak Concessionaire). The motion was seconded by Councilmember Unger and unanimously carried. (5-0) A-10 RESOLUTION NO. 21-96 ESTABLISHING NON -VOTING MEMBERSHIP TO COMMUNITY PROMOTIONS COMMITTEE Councilmember Crotzer addressed the reconstruction of the Community Promotions Committee stating Resolution No. 32-91 requires a majority of Community Promotions Committee members reside in the City. He said it does not make sense to him to add a non -voting member to the Committee as specified in this resolution. Mayor Yates stated it has been difficult to find members who are interested in serving on this Committee, and business owners such as Ed Biaggini, who is not a resident of Morro Bay, have offered to serve. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 10 • Councilmember Anderson stated other non -voting members have sat on this Committee in the past, such as Sil Cadenasso of True Value Hardware. He said Jody Giannini of the Harbor Advisory Board is not a City resident, however, he is in business in the City. Councilmember Anderson stated language could be added to allow those engaged in business in the City to participate on City Committees/Advisory Boards. Councilmember Crotzer stated he was not asking for clarification, but was looking for the logic for the change. He said he is satisfied with the response. MOTION: Councilmember Crotzer moved the City Council approve Resolution No. 21-96 adding the Advertising Executive as a non -voting member to the Community Promotions Committee. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) B. UNFINISHED BUSINESS - NONE. C. NEW BUSINESS C-1 SET DATE AND TIME FOR JOINT CITY COUNCIL/PLANNING COMMISSION MEETING The City Council scheduled the Joint City Council/Planning • Commission meeting for Monday, April 29, 1996 at 7:00 p.m. C-2 REQUEST FOR BUILDING PERMIT FEE WAIVER; (CLARK) City Administrator Dave Howell reviewed the request of Mel and Jeri Clark for a building permit fee waiver stating their housing situation continues to be an emergency caused by the 1995 floods. He noted City Council Resolution No. 21-95 grants relief from permit fees for minor repairs due to property damage caused by the floods. Mr. Howell recommended the City Council deny the Clark's request for a fee waiver. Mayor Yates stated he will not support the recommendation because the Clarks are rebuilding their home based on the damaged caused by the floods. Councilmember Anderson stated the scope of this project is well beyond structure replacement. He said he feels there has to be some middle ground, and he will not support a fee waiver. Councilmember Crotzer stated Resolution No. 21-95 waived fees for minor repairs; however, this project is reconstruction of the major portion of a home. He said there are costly permits involved in this case based on the flood plain issues, and he agrees with Councilmember Anderson that this resolution does not • provide grounds to waive fees. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 11 • Councilmember Novak agreed the Clarks have been through a great deal; however, she has concern with constantly waiving fees and the impact on the budget. She said she cannot support a fee waiver based on the City's financial condition. Councilmember Novak stated a lot of money has already been spent on the de minimis agreement and other issues on behalf of the Clarks. Councilmember Unger stated a lot has been done both for and to the Clarks, and she provided copies of Zoning Ordinance No. 17.020 on emergency permits which states: "The director may grant an emergency permit upon reasonable terms and conditions, including an expiration date and the necessity for a regular permit application later." Councilmember Unger said the director must have had findings or she would not have issued an emergency permit. She continued reading: "The director shall report in writing to the City Council at its first scheduled meeting after the emergency permit has been issued the nature of the emergency and the work involved." Councilmember Unger said she does not remember this document being presented to Council. She stated a July 1995 emergency permit states under project description: "Construct residential in new location, total new 1,873 square feet." Councilmember Unger continued with the second page under Conditional Use Permit: "The fee is waived." She stated on the next page referring to August 3, 1995, CDP 39-95, Planning and Building decided building fees were not waived; however, Ms. • Nauman wrote a letter on August 17, 1995, stating she had waived the fees: "Staff has allowed the fee waiver afforded,by the City Council to grant you some relief from the impacts from the flood event in March and has placed 'priority status' to your case file to expedite processing." Councilmember Unger pointed out it has been one year and 15 days and she cannot see where the City has expedited this project. She continued with the second page under request for comments, where Mauricio Argente states: "Demolish flood -damaged residence." Councilmember Unger referred to the flood damage pamphlet sent out by the City, which talks about nine steps to recovery for flood victims, and No. 8 states: "Rebuild and flood proof. Don't just build it back, build it better. Types of flood proofing include elevation, relocation, flood walls, dry flood proofing and wet flood proofing." She continued with the final page, which is a CDP dated August 11, 1995 which talks about demolishing residences damaged in the March 1995 flood: "Reconstruction plan, includes relocation of residence on site." Councilmember Unger stated the Clarks did not sneak up on the City and state they were going to build on some other parcel, and there is further chronology which refers to Don Funk and emergency permits, when he told the Clark's there were no time limits applicable and not to worry. She said the next page states the Clarks were told they needed a structural report and topographical map on July 27th; on August 4th, they had to find someone to draw the map; on July 27th they talked to • staff about a retaining wall and were told no permit was MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 12 • necessary; on August 18th they were visited by staff and told to stop work on the wall because they did not have a permit; on September 27th, the Clarks met with Mr. Howell, Mayor Yates, Shauna Nauman, Steve Mathieu and they all shook hands; the next day Ms. Nauman reversed the agreement; on October 19th, the Clarks were asked to apply for a variance, although Ms. Nauman told the Planning Commission it was not the right thing to do; on October 20th, the Clarks were told they might lose water equivalencies if the condemnable unit was removed; but they had a letter in August stating there was adequate water equivalencies to go ahead and build. Councilmember Unger said she talked to Mrs. Clark today and was told the Clarks spent $1,500 for soil core samples. Councilmember Unger said no other project she knows about required core samples, including Surf Alley. She said the man next door to the Clarks practically rebuilt a mountain and put in a road extension on an emergency permit; it is not fair to charge the Clarks more money when they have been through hell for the last year. Councilmember Unger stated she would not support charging the Clarks more money, as they have been told one thing after another, and it looks like staff has no idea what they are doing. Mayor Yates asked one of the three Councilmembers to reconsider, as the Clarks would not have to build a house if the floods had not occurred. He said the City has promised to help, and a precedent will not be set by Council action in this unique case. • Councilmember Unger stated the emergency permit had no expiration date, which is called for in Zoning Ordinance Code No. 17.20.120. Councilmember Crotzer stated he believes the Planning Department was not reliable toward the applicant. He said the self-evident facts are building in a flood plain is risky and expensive, and the homes have been there longer than the City has. Councilmember Crotzer said homes in the area should be created as historical landmarks and saving them should be facilitated as a clear benefit to the City. He said it is true they are reconstructing because of the flood; however, they are building a new residence and Council has done as much as possible to help the Clarks. Councilmember Crotzer stated it is an overstatement to say the Clarks are only rebuilding what they lost, as the property will be greatly improved in value by the upgrades. Mayor Yates said the floods ruined the house, and there was no choice but to build a new one. Councilmember Unger stated the Clarks have a permit which says they can demolish an existing residence damaged by flood, and the project description states: "Construct residential in new location, 1,873 square feet"; it further states the fee shall be waived. Councilmember Unger stated staff time has been spent on • this; however, staff could have done a better job facilitating MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 13 • the project. She said Council should legislate by the spirit of the law, and the bottom line is these people have been damaged by the flood and want to rebuild. Councilmember Anderson stated the de minimis amendment saved the Clarks a lot of money, and both the City and the Council have demonstrated willingness to help as much as is appropriate and a line has to be drawn somewhere. He said Council's job is not to make people happy but to act responsibly. Councilmember Crotzer stated the Conditional Use Permit fee has been waived, and he does not feel the de minimis amendment was the preferred way to facilitate rebuilding. Councilmember Novak asked if $2,500 was worth the ill will which will be generated by Council action if fees are not waived, especially since documentation provided by Councilmember Unger clearly shows the fees should be waived. She noted Ms. Nauman's department must not be penalized at budget time for the fee waiver. MOTION: Councilmember Unger moved the City Council grant the building permit fee waiver and all other City fees requested by Mel and Jeri Clark. The motion was seconded by Mayor Yates and carried with Councilmember Crotzer and Councilmember Anderson voting no. (3-2) • Councilmember Crotzer stated based on this action, public's perception is the Council will give in to issues if enough people show up advocating a cause. He said Council has not given enough thought to the long-term financial needs of the City. Councilmember Crotzer stated he would like to see more even- handed, consistent application of fee structures and rules. Mayor Yates called for a break at 7:50 p.m.; the hearing resumed at 8:05 p.m. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 RESOLUTION NO. 28-96 APPROVING SUBMISSION OF A 1996 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) APPLICATION Interim Planning Director Shauna Nauman reviewed and recommended the City Council adopt Resolution No. 28-96 approving the submission by Peoples' Self Help Housing of a CDBG application in the amount of $500,000 to the State of California to fund the site acquisition, off -site improvements and other CDBG-related development costs for the new construction of a 12-unit family rental apartment complex on Seqouia Street. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 14 • Pat Wickstrom of Peoples' Self -Help Housing Corporation presented a report on the grant process, and stated there are 10 to 12 days remaining to expand the application to include other projects. She asked the authorizing resolution be changed to provide an opportunity to substitute another, more competitive site in the application. Jeannette Duncan of Peoples' Self Help Housing Corporation noted the City has a good chance at receiving this grant. Mayor Yates opened the hearing to public comment. Bill Quigley stated he feels the project is admirable as more affordable housing is needed; however, he owns property nearby and there are already 30 or 40 apartments in the immediate area. He said property adjacent to the proposed project will be adversely affected, and he feels there are more appropriate areas to increase the number of lower income families. Mayor Yates closed the hearing to public comment. Councilmember Crotzer stated this project will provide homes for lower -income families; however, he shares concerns about balance and the proper intermix of housing in the community. Councilmember Anderson noted a correction should be made to the • proposed resolution deleting the words "up to" under the "Now, Therefore, Be It Resolved...". MOTION: Councilmember Crotzer moved the City Council approve the Resolution No. 28-96 with the amendment deleting the words "up to" under the "Now, Therefore, Be It Resolved". The motion was seconded by Councilmember Unger and unanimously carried. (5-0) D-2 CONTINUED PUBLIC HEARING ON APPEAL OF PLANNING COMMISSION'S ACTION APPROVING THE REMODEL/EXPANSION OF DEL MAR ELEMENTARY SCHOOL; (CUP 32-95/CDP 61-95) Councilmember Crotzer stepped down due to conflict of interest. Planning Technician Mauricio Argente reviewed the proposals submitted by both the applicant and appellant to mitigate the issues brought before the City Council at the March 11, 1996 meeting. He recommended the City Council deny the appeal, upholding the Planning Commission approval based on the attached revised site plan, findings, and amended Conditions of Approval; approve the revised Mitigated Negative Declaration; and direct staff as to whether or not a refund of the appeal fee should be processed. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 15 • Mayor Yates opened the public hearing to the appellant and applicants. Appellant Leslie Corcoran stated there has been progress on the concrete wall issue; however, no agreement has been made on the negative impact of the proposed roadway and parking lot next to the condominium property. She stated bus and auto traffic will be 9 feet from the condominium property line and 19 feet from the upstairs bedroom and downstairs dining room. Mrs. Corcoran said the condominium owners would like the school district to reasonably redirect the flow of buses and autos by redrawing the plan to move the road farther east. She stated the fire lane is a road intended for bus and auto traffic, but the City planner concludes the noise is reasonable because it only happens twice a day; however, the multi -purpose room will add to the noise when it is utilized by the public. Mrs. Corcoran asked for a continuance if Council is unable to reach a just solution tonight, and she asked for an impartial mediator if the impasse continues. Brad Parker, Director of Buildings, Grounds, and Transportation for San Luis Coastal Unified School District, stated the proposed solution is a reasonable accommodation, and the exit driveway has been narrowed to 20 feet and anything else would require major redesign of the parking lot. • Councilmember Unger stated the appellants have offered compromises, and she asked Mr. Parker what compromises the school district has offered. Mr. Parker replied three different designs have been proposed for the wall, which was required by the Planning Department. He said the new wall is an attractive landscaped buffer with the existing chain link fence, and a double fence has been added as a sound and light buffer. Councilmember Unger asked how much of the school buses would be visible above the 3-1/2 foot fence. Mr. Parker responded 5 to 6 foot high shrubs will be planted, but most of the school buses will be visible from the second floor. He said various size shrubs will be planted. Lynda Merrill stated the condominium homeowners were not notified to participate in the design review of this project. She said she cannot understand the school district's reluctance in working with the homeowners to remedy some of the issues. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 16 • Lynn Adams, Del Mar teacher, requested Council focus on the good of the children. She said the school district has kept the safety of the children in mind when planning this project. A change in the design could cause a domino effect which in the long run may jeopardize the safety factor and create supervision problems. Harry Rogers stated the architectural design and traffic circulation pattern are exceptional; he requested Council deny the appeal. Bernie Melvin stated he supports the school project; however, safety should not be left to chance, and it cannot be assumed drivers will exercise due caution. He said the City's review process is supposed to take place ahead of time, not wait until a child is injured. Mr. Melvin stated he would like to see a plan to improve vehicular and pedestrian safety drawn up by the school district and the Public Works Department. John Geever stated he served on the design committee for this project, and noted the meetings were publicly noticed. He said schools are noisy places under any circumstance, and stated the school was there prior to the condominiums. Mr. Geever urged the Council deny the appeal. Dawn Aiken, Del Mar Principal, stated she and school district is lot have taken a serious look at redesigning the, parking lot to allow more land as a buffer. She said the traffic plan is safe and well thought out, and a greater buffer would create a safety problem. Ms. Aiken requested Council to uphold the Negative Declaration. Will Corcoran stated no alternative proposals have been offered regarding traffic, and he does not believe redesign has to equate to more expense. Leslie Thompson, Del Mar teacher, stated she was a member of the design committee for this project, a lot of hours went into the planning effort. She said most children live within walking distance, so traffic is not much of a problem. She urged Council to deny the appeal. Architect Tamara Schaeffer stated redesign of the parking lot would result in a loss of parking spaces and thus have a negative impact on surrounding residences and create congestion on the street. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 17 • Mayor Yates closed the hearing nothing is more important than said he hoped the Corcorans and reach satisfactory solutions, and has been obtained. Mayor Yates district, as it is their property to public comment. He stated the safety of the children. He school district officials could it is unfortunate no resolution stated he supports the school and their right to develop it. Councilmember Novak stated the school district has offered the five foot buffer zone instead of the concrete block wall. She said she believes the planted area is well thought out and will be pleasing to the condominium owners. Councilmember Novak stated redesign will not result in more safety, and the school district has done enough to compromise. Councilmember Unger stated she understands both the position of the condominium owners and the school district; however, she is most concerned about the safety of the children. Councilmember Unger asked staff if stop signs and crosswalks are under consideration. Mr. Argente responded stop signs are not part of the plan reviewed by the Planning Department. Councilmember Unger asked if this could be considered as part of traffic mitigation. • Mayor Yates stated the traffic report indicated there would not be a significant increase in traffic. Councilmember Unger asked how the addition of 300 students could not increase traffic, and the fact that 25 students per class plus one teacher plus parents picking up and dropping off children leaves her with no faith in the traffic study. Mr. Parker stated the school district does not get into neighborhood traffic problems when a school is built, and problems can only be resolved by the neighborhood. He said stop signs alter traffic flow, and school officials do not pretend to have the ability to address City street systems and traffic flow. Mr. Parker stated the school district's approach is they are neighbors in a neighborhood and are willing to participate in neighborhood discussions on traffic calming and other problems. Mayor Yates stated the traffic issue is not a part of this appeal. Councilmember Anderson stated the condominiums were designed very close to the property line, perhaps assuming the school would never change and there would always be a buffer, which was a calculated risk. He said he likes the compromise with of the • chain link fence with landscaping to act as a buffer. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 18 • MOTION: Mayor Yates moved the City Council deny the appeal, upholding Planning Commission approval of CUP 32-95/CDP 61-95 based on the revised site plan, findings, amended Conditions of Approval; approve the revised mitigated Negative Declaration; and deny refund of the appeal fee. The motion was seconded by Councilmember Novak and carried with Councilmember Unger voting no. (3-1) Councilmember Unger asked if staff could be directed to study additional safety measures such as crossing patterns, street ends, and stop signs. Mayor Yates stated Council will agendize this issue for discussion for a future Council meeting. Councilmember Crotzer returned to his seat with Council. Mayor Yates called for a break at 9:20 p.m.; the hearing resumed at 9:33 p.m. D-3 RESOLUTION NO. 27-96 APPROVING OF WATERFRONT MASTER PLAN Interim Planning Director Shauna Nauman reviewed the amended draft of the Waterfront Master Plan, excluding the portions intended to update the 1971 Harbor Development Plan. She • recommended the City Council adopt Resolution No. 27-96, approving the Waterfront Master Plan; continue the Public Hearing to April 8, 1996; and direct staff to prepare the zoning ordinance text amendment for introduction and first reading. Councilmember Unger referred to City Council minutes of February 13, 1996 addressing the City Attorney's comments for the necessity for Planning Commission review of either version of the plan. She asked if the appendices would be part of the plan when it is approved; referring to Appendix B, Pages b-6, b-7, b-8, b-9 which all refer to water. Ms. Nauman responded the references to water in the appendices should have been removed. She said the Appendix B language was inadvertently left in, because it was in the original gray book. Ms. Nauman stated Pages 4-4 and 4-5 refer to information from a staff report on the Den Dulk property, which was not transferred from the gray book to the blue book. She said she included language she believed was inadvertently omitted. Ms. Nauman said there appeared to be Council consensus for the language highlighted in bold. Mayor Yates asked what has been approved for the Den Dulk property. E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 19 • Ms. Nauman responded nothing has been approved; however, the zoning is a blend of Open Area 1 and 2 and Commercial Fishing with a Planned Development (PD) overlay. She said OA-1 allows picnic areas, parks, kiosks, lifeguard stations, and OA-2 allows concession stands and campgrounds. Ms. Nauman stated campgrounds are proposed to be defined as RV spaces without hookups. She said the CF zone allows a variety of commercial fishing and recreational fishing -related support facilities, such as wharves, docks, and haul -out facilities. Councilmember Unger asked when the Planning Commission discussed the Den Dulk property and made its recommendation. Ms. Nauman replied the Planning Commission discussed the property during a series of public hearings in 1994 and made a final recommendation to City Council in October 1994. She said the recommendation was brought forward to City Council January 9, 1995. Ms. Nauman said there was consensus for Planning Commission language to be contained in the plan. Councilmember Unger asked if all the strike-throughs and underlined language changes came from minutes found by Ms. Nauman. Ms. Nauman responded some of the strike-throughs and underlines were previously made by staff and Councilmember Novak, which • incorporated changes from the gray plan to the blue plan and included Council changes already decided upon. She said Council voted on various elements of the plan up until March 1995, and those changes were included in the blue book as strike-throughs and underlines. Ms. Nauman said the bold language indicates changes she found by going through the text the second time, along with items like the Den Dulk issue and modifications suggested for Appendix A regarding how to implement design guidelines. She did not go through the plan to find every strike -through and underline, but she did reference the minutes to make sure everything was included in the blue book and nothing was left out. Councilmember Unger asked if the Planning Commission has seen this new document. Ms. Nauman answered affirmatively. Councilmember Crotzer stated this process indicates how difficult it is to build a plan. He said he would welcome the return of the blue book version of the plan in order to study it further; he would like the book to go back through the public hearing process. Mayor Yates opened the hearing to public comment. u MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 20 • Gene Doughty, member of the Harbor Advisory Board, stated the makeup of the original Waterfront Master Plan committee included three professional planners, two directors of planning departments, a master plan consultant, and several people with wide local knowledge and experience. He said the underlying theme of the plan was the waterside of the waterfront, and there is no way to have a Waterfront Master Plan without including water issues. Bernie Melvin stated he was also a member of the original plan committee, and he feels the plan should be approved, and other issues should be pursued at a later date. He said the new launch ramp should be deleted, and the bridge should be limited to single -lane emergency. Mr. Melvin stated he feels the design guidelines should be left as the original committee wrote them. He said as a member of the public and an author of the plan, he would like to know where the wording came from, if it did not come from the Planning Commission or the public. Harry Rogers stated he would like to see Atascadero Road aligned with Embarcadero Road, and also a two-lane bridge open to the general public. He said common sense needs to be used in preparing this document, and developers' rights must be made compatible with zoning. Nancy Bast addressed the legalities in the preparation of this • plan. She stated it would be possible for the plan not to have any further public review which would make the whole procedure intricately contrived to eliminate six years of democracy. Ms. Nauman responded legal requirements under discussion are relevant to Government Code sections pursuant to adoption of a specific plan; however, this document is not a specific plan because it does not meet requirements. She noted there are no code requirements for master plan review by the Planning Commission. Joe Giannini stated the people have unalterably opposed building on or changing Coleman Drive for many years, and it has been granted in perpetuity, which means it cannot be altered in any way, shape, or form without losing the perpetuity in the grant deed. He said the bridge is ridiculous and the City should not add a highway to a stub end, which is already an impacted area. Mr. Giannini added the Den Dulk/King property should not be enhanced at the expense of public benefit. Rosalie Valvo stated the waterfront plan went through years of public review and now Council has decided to forget citizen input and come up with something new. She said the changes should be put through the same scrutiny the old plan went through. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 21 • Warren Dorn stated his administration had a lot of luck obtaining grants from the State and Federal governments in the past, and he remembers discussions years ago about receiving funds for a bridge, but there was never public support for two lanes. He stated there is no money for potholes, let alone a bridge. Jane Bailey stated it seems Council is changing the rules, as the original waterfront plan was considered long and carefully. She said many hearings were held and now Council should follow the plan or start over altogether. Mayor Yates closed the hearing to public comment. He said the Waterfront Committee met for a number of years and their wishes should not be ignored. He said Councilmember Novak tried to reformat the original document, including hot topics such as the launch ramp, the bridge, and the realignment of Coleman Drive. Mayor Yates stated a bridge is not being approved tonight, only a report, and the issue will be faced by some Council down the road, and the same holds true of the launch ramp. Mayor Yates stated everyone understands the ramifications of realignment of Coleman Drive, and there will be no realignment until development issues have been resolved with Mr. King. He said he is not comfortable with the changes, but he does not believe any substantive changes have been made. Mayor Yates stated the plan will have to go through the review process again. • Councilmember Novak stated she cut sections of the gray plan and pasted them into the blue book, and nothing was thrown away. She said corrections were made in the blue book, but references to dredging in 1993 were removed and every two to three years were added to keep the document current. Councilmember Novak stated all plans can be thrown in the trash if funding sources must be identified up front. She said there is no funding for new commercial slips right now, but it is still a top priority. Councilmember Novak stated this document is about planning and tracking, and ideas must be kept in. She said the design guidelines were changed by the prior Planning Commission, and all changes in the book were adopted by Council. Councilmember Unger stated the plan has now been revised by the public, City Council, Planning Commission, and staff. She said she will not vote to approve this plan because she does not know what is in it. Councilmember Unger asked Mr. Hunt if the document should be sent back to the Planning Commission. City Attorney David Hunt responded staff has proposed a set of amendments to make the gray/blue book consistent with the LCP or General Plan because there were concerns about inconsistencies. He said the water version would have to go back to the Planning Commission if it was going to be a specific plan. Mr. Hunt stated the difference between a master plan and a specific plan • is a specific plan must meet requirements under the Government MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 22 • Code, and a master plan is a policy document adopted for future planning purposes and is not binding as to some aspects. Mr. Hunt stated adoption of a master plan does not have to go back to the Planning Commission; however, anything adopted as a zoning or LCP amendment must be fully considered. He said since only the design guidelines are being considered at this time,.there is no need for the document to go back to the Planning Commission, because the guidelines have already been fully considered. F_I L 0 Councilmember Unger read the following statement made by Mr. Hunt: "City Attorney David Hunt stated the Planning Commission will have to review any substantive changes made by Council and, certainly, the addition of the water is a substantive change. He said the Planning Commission will have to review any decision on any book made tonight during one public hearing." Mr. Hunt responded staff came forward with recommended changes in either the gray/blue version of the plan which were substantive and, if adopted, would require review. He said Ms. Nauman is now recommending the document is a master plan and recommended changes will not go forward; therefore, there are no substantive changes. Mr. Hunt stated if a specific plan is adopted, any substantive changes must go back to the Planning Commission; if staff is directed to come back with zoning ordinance changes based on input from the Planning Commission, if substantive change is made, it has to go back to the Planning Commission because it is an LCP amendment. Councilmember Unger continued portion in the blue book has not cannot be adopted this year." sprinkled with water -related confusing. reading: "However, the water yet been through any process and She said the white plan is issues, which makes it very Councilmember Crotzer stated the City Attorney should look into whether or not there is a valid 1971 Harbor Development Plan; in fact, the whole idea is to create a plan as the 1971 plan is defunct. He said there should be rejoicing and celebrating because group input has created a document, most of which can be affirmed and adopted at this time and a harbor plan process can be generated. Councilmember Crotzer stated Councilmember Novak's good instinct to study the document came late to the process, lists her as an author, and is a fundamental violation of the public process. Councilmember Anderson stated splitting the Waterfront Master Plan into land side and harbor will be positive, and this version needs to go to the Planning Commission. He said an updated plan is necessary, even if it is not perfect and contains projects which will never happen; however, an updated plan will be more current and can be massaged in the future. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 23 • MOTION: Councilmember Unger moved the City Council send the document in its entirety back to the Planning Commission to be compared with the blue book and to check the changes in the white document. The motion was seconded by Councilmember Anderson. • 0 Councilmember Crotzer stated sending this amended plan back to a Commission which did not originally review this plan will only provide the argument to make it legal, and therefore deny five years of public participation. He said the land portions should be adopted, along with everything which went through the public process; the water portion should be separated; and a harbor plan should be created, because the old one needs to be modified. Councilmember Crotzer said only items which are new should go through the public review process. Councilmember Unger withdrew the motion; Councilmember Anderson withdrew the second. MOTION: Councilmember Crotzer moved Planning Commission review the original (gray) versio list of changes that were City Council meeting for r the public hearing process The motion was seconded by the City Council direct the any changes that differ from n of the plan; and submit a made to be used at a future Councilmember Novak stated the gray document was not actually approved; however, Councilmember Crotzer is referring to a staff report which provided recommendations from the Planning Commission. Councilmember Crotzer offered to withdraw his motion, and recommended Council return for one more session for debate on what items went through the public process. Mayor Yates stated the document should be cleaned up with the questioned Den Dulk section removed, and the water issues included in the appendix, and then return it to Council. Councilmember Crotzer withdrew his motion and Councilmember Unger withdrew her second. MOTION: Councilmember Crotzer moved the City Council direct staff to bring this document back to a subsequent hearing, have enough time scheduled into the agenda so Councilmembers can look at detailed items and decide whether or not there are substantive changes, and, if none, Council will adopt the plan or, if so, refer the document to the Planning Commission; the City Council will have at least two weeks lead time to facilitate study of the document before the meeting; the document MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 25, 1996 PAGE 24 • should be in hand within the first two weeks in May, and agendized for Council review at the May 27, 1996 City Council meeting. The motion was seconded by Mayor Yates and unanimously carried. (5-0) F. ADJOURNMENT The meeting adjourned at 11:10 p.m. Recorded by: t-tL �Q �AkA.� Bridget Bauer City Clerk • n LJ • NOT S C E OF S P E C S AL MEET 2 NG NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be conducting interviews for the Recreation & Parks Commission vacancy on Wednesday, March 13, 1996 at 6:30 p.m. in the Morro Bay Community Center Conference Room, 1001 Kennedy Way, Morro Bay, California. DATED: February 27, 1996 a WILLIAM YATES, Ma I City of Morro Bayalifornia • 0 • NOT = C E O F TOWN HALL MEETING NOTICE IS HEREBY GIVEN that the Morro Bay City Council will be holding a Town Hall Meeting on Wednesday, March 13, 1996 at 7:00 p.m. in the Morro Bay Community Center Multi -Purpose Room, 1001 Kennedy Way, Morro Bay, California. DATED: February 27, 1996 WILLIAM YATES, Mayo City of Morro Bay, ifornia 0 • • • MORRO BAY CITY COUNCIL SPECIAL MEETING - MARCH 13, 1996 MORRO BAY COMMUNITY CENTER - 6:30 P.M. Mayor Yates called the meeting to order at 6:30 p.m. PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell Mayor Councilmember Councilmember Councilmember Councilmember City Administrator The City Council conducted interviews for the vacancy on the Recreation and Parks Commission. The two applicants were: Johnny Munoz and Lynda Merrill. The City Council selected Lynda Merrill to serve on the Commission. The meeting was adjourned to the Town Hall meeting at 6:55 p.m.. Mayor Yates called the Town Hall meeting to order at 7:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell Rick Algert Bridgett Bauer Bill Boucher Jeff Jones Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator Harbor Director City Clerk Public works Director Fire Chief Finance Director Police Chief Recreation and Parks Director Senior Planner Mayor Yates opened the meeting by thanking the audience for attending. He addressed priorities including streamlining, parking, redevelopment, emergency medical clinic, boat haul -out facility, storage for state water, transportation, and maintaining a balanced budget. MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - MARCH 13, 1996 PAGE 2 • Mayor Yates opened the meeting for public comment. Roz Rogoff addressed the City's budget problem based on the 1995 floods and stated other states have pushed President Clinton's buttons to get reaction from FEMA. Ernie Miller addressed redevelopment stating without good . business the City will not survive; he also commented on the fact that the Morro Bay/Cayucos Cemetery is not opened on Saturdays and asked for support to change this policy in order to benefit families who are in mourning. Ed Ewing addressed the position of Harbor Director, stating this position should be evaluated; he also stated funds in the Enterprise Fund should be reviewed for future use. Lloyd Reeves recommended combining the Harbor Department with another department in order to save money. Ann Freeman suggested advertising the antique industry in Morro Bay. Harry Rogers stated the City needs to aggressively seek business through other non -tourist areas. • Mary Phillips expressed her support for maintaining the Fire Department; she also stated Dial -A -Ride hours should be extended to evenings and weekends. John Baker addressed consolidation of the Fire Department stating further investigation is necessary. Bonnie Applegate expressed concern with the increase of water rates, and suggested the use of coupons for low-income families. Charles Palmer addressed the consolidation of the City's Police and Fire Departments stating a specific contract would be needed; he also stated subsidizing water bills would be helpful. Tony Greenelsh addressed the consolidation of the City's Police and Fire Departments, requesting Council maintain these current services. Mel Bernise suggested the City place advertisements on the Dial - A -Ride buses as well as the trolley. Raymond and Marie Applegate addressed the danger of the crosswalk at Kern and Morro Bay Boulevard. Chris Moffatt expressed support to maintain the existing service • the City's Fire Department provides. MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - MARCH 13, 1996 PAGE 3 • Larry Shears stated budget cuts are not necessary with the upcoming tourist season; he requested Council maintain the current services the City's Police and Fire Departments provide. James Wood addressed the need for a boat yard; he requested Council focus on the waterfront to generate jobs, and expressed opposition to the consolidation of the Harbor Department. Mayor Yates called for a break at 8:15 p.m.; the meeting resumed at 8:25 p.m. Johnnie Applewhite addressed the fact that the City always cuts from the bottom when it comes to lay-offs. Jeff Olson addressed the consolidation of the Fire Department stating you get what you pay for. Leabah Winter stated if all City services are contracted out, the services will not be the same as they are now; she recommended consideration of park assessments. Nancy Bast addressed the Harbor Department stating changing the service this department provides would be a dis-service to all. • Matt VanMonte stated performance -based contracts should be sent out to see if the City could meet the same criteria. Chuck Meissner stated the City should make sure it maintains enough money from the infrastructure; he addressed the increase of sales tax which would be a benefit to the City. Barbara Stiffel stated the consolidation of the Harbor Department might cause frustration for the commercial fishermen causing them to not stay in Morro Bay. She suggested an increase in advertising would be beneficial for the tourism industry. Gene Doughty stated the position of Harbor Director entails more than managing the City's lease sites; he also oversees the environment of the bay and maintains the estuary. Mike Anderson expressed support for activities such as the proposed miniature golf course which would be beneficial to the City. Jim Ross stated the City should maintain a theme along with facade improvement for the downtown area. Dave Elliott stated in order to have services you have to pay for them. He expressed support for maintaining the City's present services; and also supports an increase in bed tax and sales tax • in order to pay for these services. MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - MARCH 13, 1996 PAGE 4 • Brian Miller stated the City's Fire Department is providing four times as much service as they did 20 years ago. Mayor Yates closed the hearing for public comment. The City Council made closing statements stating revenues need to be raised if present services are to be maintained. They stated direction to the Community Promotions Committee to review further advertising to encourage tourism is in order. The Council expressed support for the local business industry and fishing industry; and also thanked city staff for their efforts. ADJOURNMENT The meeting adjourned at 9:15 p.m. Recorded by: Bridgett Bauer City Clerk \J n U City of Morro Bay r City Council Agenda Mission Statement The City of Mono Hay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - MARCH 11, 1996; 5:00 P.M. CLOSED SESSION - MARCH 11, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956.9(A), CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION. MATTER OF GEORGES BANKRUPTCY, PENDING BEFORE U.S. BANKRUPTCY COURT, INCLUDING CITY OF MORRO BAY V. GEORGES, GEORGE V. HOPPES, AND CITY OF MORRO BAY V. MARY GEORGE, ALL PENDING BEFORE THE SAN LUIS OBISPO SUPERIOR COURT. GOVERNMENT CODE SECTION 54956.9(B), CONFERENCE WITH LEGAL COUNSEL DUE TO SIGNIFICANT EXPOSURE TO LITIGATION. SIGNIFICANT EXPOSURE TO LITIGATION EXISTS BASED UPON EXISTING FACTS AND THE ADVICE OF LEGAL COUNSEL AS TO ONE (1) MATTER. • PUBLIC SESSION - MARCH 11, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE - VFW POST 11097 LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PER OD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so at this time. To increase the effectiveness of the Public Comment Period, the following rules shall be followed: • When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments are to be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. • No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS r i U 1 CONSENT CALENDAR unless less an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF FEBRUARY 13, 1996; AND THE SPECIAL MEETING OF FEBRUARY 6, 1996 A-2 RESOLUTION NO. 19-96 SETTING NEW TRANSIENT VENDOR FEE A-3 RESOLUTION NO. 18-96 APPROVING TRANSPORTATION DEVELOPMENT ACT CLAIM FOR FISCAL YEAR 1995/96 A-4 RESOLUTION NO. 20-96 DESIGNATING CITY ADMINISTRATOR AS AUTHORIZED AGENT FOR LOCAL AGENCY/STATE AGREEMENT PROGRAM SUPPLEMENT A-5 RESOLUTION NO. 21-96 ADDING ADVERTISING EXECUTIVE AS A NON -VOTING MEMBER TO THE COMMUNITY PROMOTIONS COMMITTEE B. UNFINISHED BUSINESS B-1 STATUS REPORT ON RELOCATION OF COAST GUARD PATROL BOAT/SYLVESTER TUGS B-2 CONSIDERATION OF PUBLIC, EDUCATION, GOVERNMENT ACCESS REPORT B-3 ORDINANCE NO. 450 AMENDING MORRO BAY MUNICIPAL CODE CHAPTER 14.18 - • UNREINFORCED MASONRY BUILDING STANDARDS; (SECOND READING/ADOPTION) B-4 ORDINANCE NO. 451 - AMENDMENT TO CHAPTER 3.12 OF THE MORRO BAY MUNICIPAL CODE PROVIDING FOR A UNIFORM CLAIMS PRESENTATION PERIOD FOR CLAIMS AGAINST THE CITY OF MORRO BAY;(SECOND READING/ADOPTION) C. NEW BUSINESS - NONE. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 REVIEW OF PEOPLE'S SELF HELP HOUSING ANNUAL PERFORMANCE REPORT D-2 APPEAL OF PLANNING COMMISSION ACTION APPROVING THE RE-MODEL/EXPANSION OF DEL MAR ELEMENTARY SCHOOL; (CUP 32-95/CDP 61-95) D-3 CONSIDERATION OF PARKING TIME LIMITS ON EMBARCADERO AND DOWNTOWN BUSINESS DISTRICT F. THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TIME SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND HILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY 4ETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. 2 MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - MARCH 11, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: ABSENT: STAFF: CLOSED SESSION William Yates Rodger Anderson Cathy Novak Ahnawake Unger Colby Crotzer Dave Howell David Hunt Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Anderson moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Novak and unanimously carried. (4-0) Mayor Yates read the Closed Session statement. • E-1 GOVERNMENT CODE SECTION 549.56.9(A), CONFERENCE WITH LEGAL COUNSEL REGARDING PENDING LITIGATION. MATTER OF GEORGES BANKRUPTCY, PENDING BEFORE U.S. BANKRUPTCY COURT, INCLUDING CITY OF MORRO BAY V. GEORGES, GEORGE V. HOPPES, AND CITY OF MORRO BAY V. MARY GEORGE, ALL PENDING BEFORE THE SAN LUIS OBISPO SUPERIOR COURT. E-2 GOVERNMENT CODE SECTION 54956.9(B), CONFERENCE WITH LEGAL COUNSEL DUE TO SIGNIFICANT EXPOSURE TO LITIGATION. SIGNIFICANT EXPOSURE TO LITIGATION EXISTS BASED UPON EXISTING FACTS AND THE ADVICE OF LEGAL COUNSEL AS TO ONE (1) MATTER. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Unger moved the meeting be adjourned. The motion was seconded by Councilmember Novak and unanimously carried. (4-0) The meeting adjourned at 5:45 p.m. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember (ARRIVED AT 6:50 P.M.) Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: None STAFF: Dave Howell David Hunt Rick Algert Mauricio Argente Bridgett Bauer Bill Boucher Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mike Pond City Administrator City Attorney Harbor Director Planning Technician City Clerk Public Works Director Finance Director Police Chief Recreation and Parks Director Senior Planner Fire Captain O. Van Heuver led the Pledge of Allegiance. LIGHTEN UP - presented by Roger Ewing. MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: ♦ Town Hall meeting will be held on March 13, 1996 at 7:00 p.m. in the Community Center Multi -Purpose Room; ♦ Arbor Day Celebration will be held on March 16, 1996 at 11:00 a.m. at Lila Keiser Park; ♦ Spagetti Feed was a great success. Councilmember Novak reported on her trip to Washington, D.C. Mayor Yates presented Certificates of Appreciation to: Dave Elliott for his service as President of the Neighborhood Watch Program; and Margaret Maggini for her service as "Trolley Tour Guide". • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 3 . PUBLIC COMMENT Grace Melton addressed the Arbor Day Celebration and presented a check to the City for the Tree Fund. Andrea Bersie of the League of women Voters presented copies of the quarterly magazine covering the issue of state and local finances. Roger Ewing expressed support for uniform parking time restrictions for the downtown business district and the Embarcadero. He stated his opposition for the statement on the agenda prohibiting "slanderous, profane or personal remarks against any elected official, commission and/or staff", and requested its removal. John Kleinhammer addressed Local Coastal Plan Section 7.05, which identifies priority vessels for coastal -dependent facilities; he contends the double -stalled parking spaces are for properly documented commercial fishing vessels. Charles Palmer stated the bay is a lot shallower than it was a few years ago, and sediment trapping in Chorro Flats will be incidental to the ecological reserve under construction. He said the money spent on the property from gas taxes is being wasted, . and the City should lean on legislators to do something about the situation. Roz Rogoff stated there was no broadcast of the last City Council meeting on the local cable channel, as the committee decided the video quality was too poor. She suggested paying a radio station to provide live broadcasts instead of videotaping meetings. Mary Phillips presented information on public meetings to Council stating Council is denying public access to free speech. She stated Morro Bay is the only jurisdiction which does not allow exemptions to mandatory waste collection. Jerri Clark requested Council approve a permit fee waiver as promised for the past year, in order to get her plans submitted and start the rebuilding process of her home that was damaged from last year's floods. City Administrator Dave Howell stated the Planning Department is facilitating her plans pending outcome of the fee waiver. Mayor Yates closed the hearing to public comment. DECLARATION OF FUTURE AGENDA ITEMS - None. P MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 4 • A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF FEBRUARY 13, 1996; AND THE SPECIAL MEETING OF FEBRUARY 6, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 RESOLUTION NO. 19-96 SETTING NEW TRANSIENT VENDOR FEE Mr. Howell recommended Council approve Resolution No. 19-96 establishing new tax rates for the Special Event Transient Vendor business license tax category. A-3 RESOLUTION NO. 18-96 APPROVING TRANSPORTATION DEVELOPMENT ACT CLAIM FOR FISCAL YEAR 1995/96 Mr. Howell recommended. Council approve the City's fiscal year 1995/96 claims for Local Transportation Fund monies; and further recommended Council adopt Resolution No. 18-96 approving the City's fiscal year 1995/96 claim for State Transportation Authority monies. • A-4 RESOLUTION NO. 20-96 DESIGNATING CITY ADMINISTRATOR AS AUTHORIZED AGENT FOR LOCAL AGENCY/STATE AGREEMENT PROGRAM SUPPLEMENT Mr. Howell recommended Council approve Resolution No. 20-96 designating the City Administrator as the City's authorized agent for filing program supplements with the California Department of Transportation. A-5 RESOLUTION NO. 21-96 ADDING ADVERTISING EXECUTIVE AS A NON- VOTING MEMBER TO THE COMMUNITY PROMOTIONS COMMITTEE Mr. Howell recommended Council approve Resolution No. 21-96 adding the Advertising Executive as a non -voting member to the Community Promotions Committee . Councilmember Unger pulled Items A-1 and A-5 from the Consent Calendar; Councilmember Anderson pulled Item A-2.. MOTION: Councilmember Unger moved the City Council approve the Consent Calendar with the exception of Items A-1, A-2, and A-5. The motion was seconded by Councilmember Anderson and unanimously carried. (4-0) • C , J 9 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 5 A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF FEBRUARY 13, 1996; AND THE SPECIAL MEETING OF FEBRUARY 6, 1996 Councilmember Unger requested the minutes of February 13, 1996 (page 8) include her reasons for not voting in favor of funding Councilmember Novak's trip to Washington, D.C.; she asked that these minutes return for Council approval. MOTION: Councilmember Unger moved the City Council approve the minutes of February 6, 1996. The motion was seconded by Councilmember Novak and unanimously carried. (4-0) A-2 RESOLUTION NO. 19-96 SETTING NEW TRANSIENT VENDOR FEE Councilmember Anderson asked if those with City Home Occupation Permits are exempt from this Transient Vendor Fee? Finance Director Jim Koser responded they are exempt. MOTION: Councilmember Anderson moved the City Council approve Resolution No. 19-96 setting new Transient Vendor Fee. The motion was seconded by Councilmember Novak and carried with Councilmember Unger voting no. (3-1) A-5 RESOLUTION NO. 21-96 ADDING ADVERTISING EXECUTIVE AS A NON- VOTING MEMBER TO THE COMMUNITY PROMOTIONS COMMITTEE Councilmember Unger addressed--- &r-n---in --- the --,change --- in eemgesiEiex--o€--the-�ommuirit- Promoti<xr�-eom�riee stated in n mm��rinn Aocnlntinn Nn 9t_OL mihh t}o ott�..hc A. Docr.l..ri �.. TT — the only Committee with no term limits. City Administrator Dave Howell responded the only change is to appoint the advertising executive handling contract advertising as a non -voting member; there are no other changes from the original resolution. He stated he can clean the resolution up so it reads more clearly, and bring it back to Council for re - Council requested this item be reagendized; no further action was taken on this item. * Correction made to these minutes by Councilmember Unger on March 25, 1996. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 6 • Councilmember Crotzer arrived and took his seat with Council at 6:50 p.m. B. UNFINISHED BUSINESS B-1 STATUS REPORT ON RELOCATION OF COAST GUARD PATROL BOAT/SYLVESTER TUGS Harbor Director Rick Algert reviewed the status report on the relocation of the Coast Guard Patrol Boat and Sylvester's Tugs. He recommended: 1) Approve the relocation of the U.S.Coast Guard Pt. Heyer to the inside of the North T-Pier and relocate Sylvester's Tugs from the South T-Pier to the outside portion of the North T- Pier. Staff be directed to prepare appropriate amendments to the two rental agreements for future Council consideration; and 2) Give direction to staff on how quickly the move is desired. Relocation within this fiscal year will require a budget amendment to the Harbor Department budget of $5,000 for North T-Pier modifications. Setting a target date of August 1, 1996 will allow for the cost to be budgeted for Fiscal Year 1996/97. • MOTION: Councilmember Anderson moved the City Council approve the relocation of the U.S.Coast Guard Pt. Heyer to the inside of the North T-Pier and relocate Sylvester's Tugs from the South T-Pier to the outside portion of the North T-Pier; staff was also directed to return to Council for consideration of a budget amendment to pay for the required modification; and Council requested this project be completed within six weeks. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) B-2 CONSIDERATION OF PUBLIC, EDUCATION, GOVERNMENT ACCESS REPORT City Administrator Dave Howell requested this item be reagendized for the March 25, 1996 City Council meeting. Council concurred. No further action was taken on this item. B-3 ORDINANCE NO. 450 AMENDING MORRO BAY MUNICIPAL CODE CHAPTER 14.18 - UNREINFORCED MASONRY BUILDING STANDARDS; (SECOND READING/ADOPTION) City Administrator Dave Howell introduced Ordinance No. 450 for • second reading/adoption. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 7 • MOTION: Councilmember Unger moved the City Council adopt Ordinance No. 450 and read by title and number only. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) Mr. Howell read Ordinance No. 450 by title and number only. B-4 ORDINANCE NO. 451 - AMENDMENT TO CHAPTER 3.12 OF THE MORRO BAY MUNICIPAL CODE PROVIDING FOR A UNIFORM CLAIMS PRESENTATION PERIOD FOR CLAIMS AGAINST THE CITY OF MORRO BAY; (SECOND READING/ADOPTION) City Administrator Dave Howell introduced Ordinance No. 451 for second reading/adoption. MOTION: Councilmember Anderson moved the City Council adopt Ordinance No. 451 and read by title and number only. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mr. Howell read Ordinance No. 451 by title and number only. Mayor Yates called for a break at 6:50 p.m.; the meeting resumed at 7:15 p.m. • C. NEW BUSINESS - NONE. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 REVIEW OF PEOPLE'S SELF HELP HOUSING ANNUAL PERFORMANCE REPORT Interim Planning Director Shauna Nauman introduced Mark Wilson of Peoples' Self Help Housing who reviewed the Final Grantee Performance Report, and Potential Activities for a 1996 CDBG Application. Mayor Yates opened the hearing for public comment. Mary Phillips asked what is considered low-income? Mr. Wilson responded any person who earns below 65; of area median is considered low-income. He noted income is any source of money flowing into a family's budget. Mayor Yates closed the hearing for public comment. No further action was taken on this item. • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 8 D-2 APPEAL OF PLANNING COMMISSION ACTION APPROVING THE RE- MODEL/EXPANSION OF DEL MAR ELEMENTARY SCHOOL; (CUP 32-95/CDP 61-95) Councilmember Crotzer removed himself from discussion of this item due to a conflict of interest. Planning Technician Mauricio Argente reviewed the appeal to Planning Commission approval of CUP 32-95/CDP 61-95 recommending Council deny the appeal, upholding the Planning Commission approval based on findings and amended conditions of approval, and direct staff as to whether a refund of the appeal fee should be processed. Leslie Corcoran, appellant, reviewed the following issues in her appeal: 1) lack of proper notification; 2) impact of quality of life of condominium homeowners; 3) safety of children; 4) traffic concerns; and 5) noise pollution. Brad Parker, Director of Buildings, Grounds and Transportation for San Luis Coastal Unified School District, stated this project is planned to accommodate students for the next 30 years. Del Mar, School Principal Dawn Aiken expressed a desire to be a good neighbor. She stated much effort has gone into providing the best design for the least impact on the condominium homeowners. Mayor Yates opened the hearing to public comment Don Ruchen, 391 Sequoia - Unit 17, expressed concerns with child safety in relation to the proposed 8 foot block wall; and concern the wall will have an adverse effect on his property. Charles Palmer suggested the block wall could be moved back and replaced by a chain -link fence. Mary Phillips questioned the need for an 8 foot solid block wall. Mr. Argente responded the purpose of the wall is to mitigate noise from cars and children and provide a shield from car headlights. Sue Melvin expressed concern with the traffic due to number of streets that intersect Sequoia Street. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 9 • Lynda Merrill, 391 Sequoia - Unit 13, read a letter from Al Vincent who owns Unit No. 1, expressing concern with the retaining wall which will cut off light in some condos. He would like the wall to be decorative and moved 10 feet further east to allow more light and save an existing pine tree. Bernie Melvin expressed support for the project, however, there are issues such as traffic circulation and school children safety which need to be addressed. Will Corcoran stated a cyclone fence would be more preferable that a solid wall. Mayor Yates closed the hearing to public comment. Mr. Parker stated moving the wall would impact on -site parking, which is designed to accommodate maximum build out. He said the school was built before the condos and the desire for a greenbelt should have been addressed when the condos were built. Councilmember Unger asked Mr. Parker about the strip between the condominiums and the school on the school side. Mr. Parker responded the strip is a required fire lane and not accessible to general traffic. • Councilmember Anderson asked if a chain link fence could be substituted for the block wall, or if the wall is required by the fire code. Mr. Argente responded a cyclone fence was originally proposed; however, a solid wall was chosen for mitigation purposes. Mr. Parker stated the school district would not object to a fence. Tamara Schaeffer, Carmichael -Kemp Architects, commented the wall is partly a retaining wall, and a chain link fence could be built on top of it for some portion. She said there are different earth elevations, so the lower part would have to be solid while the top 40 inches could be fence. Councilmember Unger suggested the configuration of the parking loop be reversed. Ms. Schaeffer responded the State Department of Education requires segregation of bus traffic from other forms of traffic, so children leave the bus and walk directly into the facility. Councilmember Novak asked if the planting strip could be moved to make more space. 11 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 10 • Ms. Schaeffer agreed the planting strip could be moved about 3 feet; however, there is strong feeling the sidewalk is necessary. Mr. Parker suggested changing part of the wall to a fence, as well as inclusion of a planted area on the school side of the wall, which will mitigate visual impact and let in more light. Mayor Yates stated the block wall was proposed because of noise, fumes and headlights, and eliminating the wall will allow those detriments back in. Mrs. Corcoran replied the proposed wall should be moved 15 feet back from her property line, and she agrees with the combination block wall and chain link fence. Councilmember Anderson asked about the width of the fire lane. Mr. Argente responded 20 feet is the requirement, and the road is 24 feet. Mr. Parker stated buses can negotiate fire lanes if the turning radius is appropriate, and the 24 foot wide lane provides a less - congested driving lane for buses and cars in the one-way loop. Councilmember Anderson asked if two accesses to the parking lot • are required, and could there be fewer parking'spaces? Mr. Argente responded requirements are met with one excess space. Mr. Parker stated he would like to work with the neighbors; however, he wants to maintain the retaining wall on the property line, and then deal with 2 to 1 slopes and a wider buffer area to minimize impact. He objects to moving the fence onto school property, as there are other ways to minimize light and visual impacts of the wall. Councilmember Unger agreed with Mr. Melvin regarding pedestrians, traffic, and bicycle safety, and stated the traffic report does not adequately address the problems. She asked if the appeal could continue in order for the appellant and applicant to work with staff and come back with recommendations. Mr. Parker responded project bidding is scheduled to start within the next few weeks, and substantial changes might delay the project for an entire year. He stated he will work with the Planning Department and the Condominium Association; however, a set of parameters approved by Council will be needed. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 11 Mayor Yates stated he agrees with Councilmember Unger that there are issues that need to be reviewed before making a decision on this issue. He said the condominium owners, the school district, and staff must confer with each other to resolve the issues brought forward tonight. Mayor Yates noted it is possible for decisions to be made within the next two weeks, so construction can start this summer. Councilmember Anderson stated a lot can be done in two weeks and deadlines can still be met. He said there are no changes necessary in any of the buildings or construction areas. Mr. Parker stated he was fully supportive of trying to work with everyone concerned to reach compromises. He said it may be possible to go ahead with the buildings and address the parking lot separately. Senior Planner Shauna Nauman stated she would need direction from Council on specific instructions to the school district regarding the inadequacy of the traffic report. Councilmember Unger reiterated her concerns about the traffic study and the parking lot. Councilmember Anderson stated there would be a great improvement • if the curb line is moved back so it is parallel with the rest of the street and putting in curbs and sidewalks. He said most of the concern revolves around the property line and not the street. Councilmember Novak stated the two parking lots will make a big difference to the traffic flow. Councilmember Unger stated current traffic circulation causes pollution and noise problems on the bus loop. She said the present traffic study does not address the issues of children traveling on bicycles, and the use of crosswalk areas. Mayor Yates agreed the safety of children is foremost. He said there appears to be consensus for accepting the current traffic study. Mayor Yates asked both parties to reach a compromise on the wall, and return to Council in two weeks with an agreement. MOTION: Mayor Yates moved the City Council continue this issue to the March 25, 1996 City Council meeting. The motion was seconded by Councilmember Unger and unanimously carried. (4-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 12 • D-3 CONSIDERATION OF PARKING TIME LIMITS ON EMBARCADERO AND DOWNTOWN BUSINESS DISTRICT Police Chief Joe Loven reviewed the issue of establishing parking restrictions on the Embarcadero and downtown business district. Mayor Yates opened the hearing for public comment. Harry Rogers stated there is no real problem with parking, and it is not possible to mitigate parking problems at peak hours. Mary Phillips suggested Council consider parking meters in order for the City to make money. Joe Patronik stated he supports four hour parking limits along the Embarcadero and downtown. Ralph Gunther expressed opposition to any time limits on the Embarcadero. He agreed with Chief Loven's suggestion about controlling street ends which would allow for later judgment on the merits of parking restrictions. Leslie Patronik stated employee parking on the Embarcadero presents the greatest problem. She expressed concern for people who physically cannot get up and down the hills. Mrs. Patronik • suggested a six-month trial period to see if time restrictions work. Councilmember Anderson stated employee parking has been a problem for a long time, and spaces taken by employees preclude visitors from using those spaces. He said businesses at the southern end of the Embarcadero do not see as much of a problem as those in the central section. Councilmember Anderson agreed with Mrs. Patronik's suggestion for a seasonal trial period. Councilmember Unger stated she agrees with a trial period; however, the cost is $3,500 which is a lot of money for a trial run. She said all restrictions should be the same for the Embarcadero and downtown area; and, parking spaces should be provided for Embarcadero employees. Councilmember Novak stated restrictions should be evenly applied to both downtown and the Embarcadero. Councilmember Crotzer stated he does not like restrictions or meters, but arguments presented by business owners convince him to support four-hour time limits in both situations. Mayor Yates stated he was not in favor of parking limits on the Embarcadero until more parking is provided by the use of in -lieu fees. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - MARCH 11, 1996 PAGE 13 MOTION: Councilmember Anderson moved the City Council approve four hour parking restriction on the Embarcadero from Beach Street to the north corner of the Driftwood Street intersection, and the west side street ends from 10:00 a.m. to 10:00 p.m., seven days per week; and, that downtown restrictions change from two hours to four hours without adjusting enforcement days, with funding from harbor in -lieu fees. The motion was seconded by Councilmember Crotzer and carried with Mayor Yates voting no. (4-1) F. ADJOURNMENT The meeting adjourned at 9:45 p.m. Recorded by: rz Bridgett Bauer City Clerk 11 0 6 • • City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - FEBRUARY 26, 1996; 5:00 P.M. CLOSED SESSION - FEBRUARY 26, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956.8, REAL PROPERTY TRANSACTIONS ♦ INSTRUCTING CITY'S REAL PROPERTY NEGOTIATOR REGARDING THE PRICE AND TERMS OF PAYMENT FOR THE PURCHASE, SALE, EXCHANGE, OR LEASE OF REAL PROPERTY AS TO ONE PARCEL. PUBLIC SESSION - FEBRUARY 26, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA • ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearing items under Section D) may do so 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 should be limited to three minutes. ♦ All remarks shall be addressed to Council, as a whole, and not to any individual member thereof. ' ♦ No person shall be permitted to make slanderous, profane or personal remarks against any elected official, commission and/or staff. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS • 1 CONSENT CALENDAR less an item is pulled for separate action by the City Council, the 4ollowing actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JANUARY 22, 1996; AND THE SPECIAL MEETING OF FEBRUARY 6, 1996 A-2 STATEMENT OF CASH AND INVESTMENTS - JANUARY 1996 A-3 EXPENDITURE REPORT - JANUARY 1996 A-4 ANNUAL FIRE DEPARTMENT REPORT A-5 REJECTION OF CLAIM AGAINST THE CITY; MORGAN B. UNFINISHED BUSINESS - NONE. C. NEW BUSINESS C-1 REVIEW OF 1995 TROLLEY PERFORMANCE AND CONSIDERATION OF TROLLEY PILOT PROGRAM FOR 1996 SEASON C-2 REVIEW OF TWIN BRIDGES/SOUTH BAY BOULEVARD STATUS REPORT C-3 SET DATE AND TIME FOR RECREATION & PARKS COMMISSION INTERVIEWS PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONTINUED PUBLIC HEARING ON TRANSIENT VENDOR BUSINESS LICENSE FEE D-2 ORDINANCE NO. 450 AMENDING MORRO BAY MUNICIPAL CODE CHAPTER 14.18 - UNREINFORCED MASONRY BUILDING STANDARDS; (FIRST READING AND INTRODUCTION) D-3 CONSIDERATION OF TRAFFIC RECOMMENDATIONS FOR QUINTANA ROAD COMMERCIAL DISTRICT - THIS ITEM HAS BEEN PULLED FROM THE AGENDA D-4 ORDINANCE NO. 451 - AMENDMENT TO CHAPTER 3.12 OF THE MORRO BAY MUNICIPAL CODE PROVIDING FOR A UNIFORM CLAIMS PRESENTATION PERIOD FOR CLAIMS AGAINST THE CITY OF MORRO BAY;(FIRST READING/INTRODUCTION) D-5 REVIEW OF WEED ABATEMENT APPEALS F. ADJOURNMENT THIS AGENDA IS SUBJECT TO AMENDMENT UP TO 72 HOURS PRIOR TO THE DATE AND TINE SET FOR THE MEETING. PLEASE REFER TO THE AGENDA POSTED AT CITY HALL FOR ANY REVISIONS OR CALL THE CLERK'S OFFICE AT 772-6200 FOR FURTHER INFORMATION. COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND HILLS 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 BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. OA n U • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - FEBRUARY 26, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:OO p.m. PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt CLOSED SESSION Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: None • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 1996 PAGE 2 STAFF: Dave Howell David Hunt Bridgett Bauer Bill Boucher Jeff Jones Jim Koser Andrea Lueker Shauna Nauman City Administrator City Attorney City Clerk Public Works Director Fire Chief Finance Director Recreation and Parks Director Senior Planner Steve Mathieu led the Pledge of Allegiance. LIGHTEN UP - John Zaver presented the "Lighten Up" this evening. MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates stated there is an ongoing fiscal crisis in the City, including a $100,000 shortfall in Dial -A -Ride. He said expenses from cost of living and inflation increase $200,000 per year, and efforts are underway to solve the problems once and for all this year. Mayor Yates stated City Administrator Dave Howell and staff have asked for 60 days to work on this issue. Mayor Yates made the following announcements: There will be a Town Hall Meeting on March 13, 1996 at 7:00 p.m. at the Community Center Multi Purpose Room. Congratulations to Recreation and Parks Director Andrea Lueker for receiving the California Cities Helen Putnam Award for Excellence for Children, Youth, and Family Partnerships. Councilmember Novak stated she had presented the Recreation and Parks Department a $100 donation from the Commercial Fisherman's Association for the skateboard ramp. Councilmember Novak addressed AB 2342, stating the City now cannot be held liable because of the weather flag or telephone message for fishermen. She thanked Assemblyman Tom Bordonaro for his help with this legislation. Councilmember Novak stated the Commercial Fisherman's Association has offered funds toward her trip to Washington, D.C., and more money will be sought from waterfront businesses. PUBLIC COMMENT John Kleinhammer stated according to the Local Coastal Plan, fishermen have priority for coastal dependent uses. He said fishermen are precluded from using facilities by the Morro Bay Harbor and Police Departments and asked Council to consider this issue on a future agenda. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 1996 PAGE 3 • Roz Rogoff addressed the videotaping of Council meetings and suggested time indexing the audio portion on Channel 6 with the agenda showing on the screen so people can return to the television when an agenda item of interest comes up. Mary Phillips suggested churches and non-profit organizations could charter buses to take older people places on Sundays. Charles Palmer stated it is necessary to raise water rates in the spring to take advantage of the tourist season in order to begin building up a capital reserve to cover major water and sewer expenses over the next 10 to 15 years. Lynda Merrill stated it was incorrect for RALCCO's $100,000 rebate to be absorbed into the General Fund instead of giving it back to the rate payers and asked Council to reconsider its decision. Daniel DeCosta, resident of Silver City, stated he was dismayed by offensive language used by a Councilmember in a local newspaper article and added such language is inappropriate for use by public officials. He said Silver City tenants should not pay for problems existing between owners, the City, and various agencies. • Mayor Yates closed the Public Comment period. DECLARATION OF FUTURE AGENDA ITEMS - None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JANUARY 22, 1996; AND THE SPECIAL MEETING OF FEBRUARY 6, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 STATEMENT OF CASH AND INVESTMENTS - JANUARY 1996 Mr. Howell recommended Council receive this report for information. A-3 EXPENDITURE REPORT - JANUARY 1996 Mr. Howell recommended Council receive this report for information. • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 1996 PAGE 4 A-4 ANNUAL FIRE DEPARTMENT REPORT Mr. Howell recommended Council receive this report for information. A-5 REJECTION OF CLAIM AGAINST THE CITY; MORGAN Mr. Howell recommended Council reject this claim against the City. Mayor Yates pulled Item A-1 from the Consent Calendar; Councilmember Crotzer pulled Item A-2. MOTION: Councilmember Crotzer moved the City Council approve the Consent Calendar with the exception of Items A-1 and A- 2. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JANUARY 22, 1996; AND THE SPECIAL MEETING OF FEBRUARY 6, 1996 Mayor Yates requested the City Clerk include his comments on ways to save money in the February 6, 1996 minutes, and return for approval at the next City Council meeting. MOTION: Councilmember Anderson moved the City Council approve the minutes for the January 22, 1996 City Council meeting. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) A-2 STATEMENT OF CASH AND INVESTMENTS - JANUARY 1996 Councilmember Crotzer requested the Finance Director Jim Koser explain the bottom line on the Statement of Cash and Investments report. Mr. Koser reviewed the report and stated this must be presented to Council periodically to review the status of portfolio investments. He noted the report represents the pooled investments of all City resources, including the Sewer, Harbor, Water, and General Funds, as well as all other sources. MOTION: Councilmember Crotzer moved the City Council approve Item A-2 (Statement of Cash and Investments - January 1996). The motion was seconded by Councilmember Unger and unanimously carried. (5-0) B. UNFINISHED BUSINESS - NONE. • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 1996 PAGE 5 C. NEW BUSINESS C-1 REVIEW OF 1995 TROLLEY PERFORMANCE AND CONSIDERATION OF TROLLEY PILOT PROGRAM FOR 1996 SEASON Administrative Assistant Janeen Burlingame reviewed the 1995 trolley season performance report, and the recommendations of the Trolley Ad -Hoc Committee for the 1996 trolley season. She recommended City Council accept the 1995 trolley season performance report, consider the Trolley Ad -Hoc Committee recommendations for the 1996 Trolley Season, and direct staff accordingly. Mayor Yates stated he supports the recommendations made by the Committee. He said the trolley was provided for the last Harbor Festival and turned a profit; he expressed continued support for this use of the trolley. Councilmember Crotzer stated extended hours could result in greater costs for the trolley, and fair play is an issue with regards to the trolley use during Harbor Festival. He said the report is one of good performance for the trolley, and it has become self-sustaining and has earned enough revenue to continue to develop adequately. Councilmember Crotzer suggested the $3,000 profit be used to retrofit the trolley for handicap access this year. Councilmember Novak stated she supports the recommendations of the Ad -Hoc Committee; she will not support charging the Harbor Festival for the use of the trolley. Councilmember Unger stated she supports the continued use of the trolley, and concurs profit should be used for upgrading the trolley handicap access. Councilmember Anderson stated advertising and sponsorships totaling $5,000 were received for trolley operation; he asked if these donations will continue. Suedene Nelson responded a great deal of arm -twisting was necessary to garner support last year, and she urged caution on spending the profit until she has made sure operating costs are covered. She stated Chamber of Commerce staff worked hard last year to obtain sponsors and advertisers, and she believes the program needs some serious marketing this year. Ms. Nelson said the Chamber is short-staffed and the 15 percent of advertising costs received last year did not cover staff time; she asked if the transportation company could assist with marketing. Councilmember Unger suggested the Community Promotions Committee, the Merchants Association, and the Restaurant/Motel Owners Association each provide one volunteer to help with marketing. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 1996 PAGE 6 • She said there is not enough information on the retrofit costs available tonight to make a decision about charging the Harbor Festival for trolley use, and she agreed the profit is false as it is unknown if there will be adequate sponsorship again this year. Councilmember Unger said she would have to vote to charge the Harbor Festival for trolley use if a decision was necessary tonight. Mayor Yates stated the charge to the Festival would only amount to $450; he will not support this charge. Councilmember Anderson stated he wants to keep the trolley going; however, he is concerned with ridership generating only $3,700 out of $17,500 in revenues. He said he would have to vote for charging the Harbor Festival for trolley use until he is assured of sponsorship. Mayor Yates stated he will support committee recommendations to continue the pilot program this year. MOTION: Councilmember Crotzer moved the City Council accept recommendations 1 through 8 of the Trolley Ad -Hoc Committee, including the presentation of a Certificate of Appreciation to Margaret Maggini; limit the days and hours of operation; and proceed with a charge to the . Harbor Festival for their use to complete the Trolley Pilot Project, which can be reconsidered if sponsorship is garnered during the summer. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) C-2 REVIEW OF TWIN BRIDGES/SOUTH BAY BOULEVARD STATUS REPORT City Engineer Steve Sylvester reviewed the status of Twin Bridges Replacement and South Bay Boulevard widening/raising projects. County Environmental Coordinator Mark Hutchinson provided an update on environmental documents, stating projects constructed on wetlands undergo major mitigation procedures and permitting regulations. Councilmember Crotzer said there are outcroppings of rock along the east side of the roadway south of the bridge which he believes are valuable aesthetic elements which should be retained. Christine Ferrara of Boyle Engineering stated there are several key issues for the bridge design process, including soils which have the consistency of pudding. She said her firm is in daily contact with Mr. Sylvester to coordinate design components, and she is optimistic deadlines will be met on time. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 1996 PAGE 7 • Mayor Yates presented a Certificate of Appreciation to Mr. Hutchinson for his efforts in ushering the environmental documents through the various agencies. • • Mayor Yates called for a break at 7:42 p.m.; the meeting resumed at 8:00 p.m. D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 CONTINUED PUBLIC HEARING ON TRANSIENT VENDOR BUSINESS LICENSE FEE Finance Director Jim Koser reviewed the report on the proposed transient vendor business license fee and requested Council provide direction to staff on any desired changes relating to the fee. Mayor Yates opened the hearing to public comment. Frankie Hays, Special Shows Director for the Morro Bay Art Association, stated the Art Association does not try to make a profit, but does try to pay its own way and provide scholarships to students. She said the shows bring people from surrounding areas, who spend their money in other parts of Morro Bay. Roz Rogoff expressed her opposition to this proposed fee., She noted local information is made available to show customers, so they will circulate throughout other businesses in town. Esther Susoeff, Art Association member, stated donations should be sought for City improvements instead of charging vendor fees. Nina Litvinoff expressed opposition to the proposed fee. She stated visitors to the shows bring their families and stay in local motels and eat in local restaurants. Bob Porter stated Council should reconsider assessment of vendor fees for crafters and artists, as it is difficult to fill the booths because of the poor economy and increased number of shows close by. He said fees will have an adverse impact on local shows and will force them out of the City to nearby locales. Mary Phillips stated it is ridiculous to charge vendor fees. Daniel DeCosta stated there whenever special events are control and liability costs. combined to lessen City costs shows; donations could be permitting costs. are expenses incurred by the City held, including increased traffic He suggested some events can be and attract more tourists to larger sought from citizens to cover MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 1996 PAGE 8 . Suedene Nelson stated this tempest started because the business community wanted to improve the downtown district. She said the idea was to seek funding from some source other than the City, and a small fee would accomplish desired goals without being punitive to vendors. Mayor Yates closed the hearing to public comment. Mayor Yates stated he does not believe $5 and $10 fees are unreasonable. Councilmember Unger stated based on the amount of mail she has received in opposition to this fee, she feels the transient vendor business license fee should be repealed. Councilmember Anderson stated the proposed compromise is preferable to repealing the ordinance altogether. He said events bring people to town and improvements are necessary for everyone's benefit. Councilmember Novak suggested a $10 event fee, with non-profit groups paying $5, and a cap of $33.50 because of the cost of the home occupation exemption license. Councilmember Crotzer stated the downtown business district is in • danger and is somewhat hollow, and this fee provides a mechanism for necessary improvements. Councilmember Unger stated Council should be talking about helping businesses and keeping them on line downtown, instead of putting another tax on individuals trying to do business. She believes it would be better to raise the sales tax instead of imposing this fee. Councilmember Novak suggested mailing payment coupons along with applications, so organizations will not have to collect fees and turn them over to the City. She stated she talked to the Art Association Board and the Harbor Festival Board and they support a $5 per event fee, and there can be a compromise on the two-day events to reduce costs for non-profit organizations. Councilmember Anderson stated the vendors pay a fee to the sponsoring organization, and those organizations are concerned with an additional fee. He said this fee is a reasonable token to a City whose downtown business area is blighted. MOTION: Mayor Yates moved the City Council direct staff to bring back a resolution rescinding Resolution No. 134- 95, and provide a new resolution with the fees approved by Council majority on January 22, 1996. • Mayor Yates withdrew the motion as there was no second. • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 1996 PAGE-9 MOTION: Councilmember Anderson moved the City Council direct staff to bring back the changed fees with the existing resolution; the changed fees are $5 per day/$10 per event/with a $40 cap; and, exempting current City license holders. The motion was seconded by Councilmember Crotzer and carried with Councilmember Unger voting no. (4-1) D-2 ORDINANCE NO. 450 AMENDING MORRO BAY MUNICIPAL CODE CHAPTER 14.18 - UNREINFORCED MASONRY BUILDING STANDARDS; (FIRST READING AND INTRODUCTION) Senior Planner Shauna Nauman introduced Ordinance No. 450 amending Chapter 14.18 - Building Regulations/Seismic Safety Program, modifying the current mandatory program to a voluntary program. She recommended Council approve Ordinance No. 450 for first reading/introduction. Mayor Yates opened the hearing to public comment. Bob.Finley thanked Council on behalf of businesses affected by these changes. Mayor Yates closed the hearing to public comment. MOTION: Councilmember Unger moved the City Council approve the first reading/introduction of Ordinance No. 450. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) City Administrator Dave Howell read Ordinance No. 450 by title and number only. D-3 CONSIDERATION OF TRAFFIC RECOMMENDATIONS FOR QUINTANA ROAD COMMERCIAL DISTRICT This item was pulled from the agenda. D-4 ORDINANCE NO. 451 - AMENDMENT TO CHAPTER 3.12 OF THE MORRO BAY MUNICIPAL CODE PROVIDING FOR A UNIFORM CLAIMS PRESENTATION PERIOD FOR CLAIMS AGAINST THE CITY OF MORRO BAY;(FIRST READING/INTRODUCTION) City Attorney David Hunt introduced Ordinance No. 451 amending Chapter 3.12 of the Morro Bay Municipal Code providing for a Uniform Claims Presentation Period for Claims against the City of Morro Bay. Mayor Yates opened the hearing to public comment; there was none and the hearing was closed. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 26, 1996 PAGE 10 • MOTION: Councilmember Anderson moved the City Council approve the first reading/introduction of Ordinance No. 451. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) City Administrator Dave Howell read Ordinance No. 451 by title and number only. D-5 REVIEW OF WEED ABATEMENT APPEALS Fire Chief Jeff Jones reviewed the 1995 weed abatement appeal package stating one appeal has been received by Mr. and Mrs. B. Haley. He recommended Council release the contractor's 10% retention fund less any distributions approved by Council. Chief Jones further recommended City Council retain a portion of the retention fund to cover new appeals. Mayor Yates opened the hearing to public comment; there was none and the hearing was closed. MOTION: Mayor Yates moved the City Council accept staff recommendation and reduce Mr. and Mrs. Haley's weed abatement charge to $164.50. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) • C-3 SET DATE AND TIME FOR RECREATION & PARKS COMMISSION INTERVIEWS City Administrator Dave Howell recommended Council schedule the interviews for March 13, 1996 at 6:30 p.m. in the Community Center Conference Room. Council concurred; no further action was taken on this item. F. ADJOURNMENT The meeting adjourned at 9:30 p.m. Recorded by: BridgetC Bauer City Clerk City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - FEBRUARY 13, 1996; 5:00 P.M. CLOSED SESSION - FEBRUARY 13, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956.9(B), CONFERENCE WITH LEGAL COUNSEL DUE TO SIGNIFICANT EXPOSURE TO LITIGATION. Significant exposure to litigation exists based upon existing facts and the advice of legal counsel as to one (1) matter. E-2 GOVERNMENT CODE SECTION 54957, CONFERENCE WITH LEGAL COUNSEL REGARDING PERSONNEL ISSUES Discussions regarding personnel issues including two (2) public employees regarding discipline/release/evaluation. • PUBLIC SESSION - FEBRUARY 13, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE - VFW POST 11097 LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so at this time. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should be limited to three minutes. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JANUARY • 8, 1996 AND JANUARY 22, 1996; AND THE SPECIAL MEETING OF JANUARY 18, 1996 1 F 2 FIRE DEPARTMENT ANNUAL REPORT - THIS ITEM HAS BEEN PULLED FROM THE AGENDA A-3 ANNUAL REPORT ON RENT CONTROL ORDINANCE A-4 RESOLUTION NO. 14-96 APPROVING ASSIGNMENT OF LEASE SITE 52-52W; WHIBLEY A-5 RESOLUTION NO. 15-96 APPROVING ASSIGNMENT OF INTEREST IN LEASE AGREEMENTS FOR LEASE SITES 50-51/50W-51W A-6 RESOLUTION NO. 16-96 APPROVING AGREEMENT BETWEEN SAN LUIS OBISPO COUNCIL OF GOVERNMENTS AND THE CITY TO ESTABLISH "PAVEMENT MANAGEMENT SYSTEM" FOR CITY OF MORRO BAY A-7 RESOLUTION NO. 17-96 APPROVING CREDIT FOR PUBLIC RESTROOM SERVICES A-8 RESOLUTION NO. 11-96 TO APPROVE INTENT TO ENTER INTO AGREEMENT WITH THE ECONOMIC VITALITY CORPORATION A-9 RESOLUTION NO. 13-96 IN SUPPORT OF THE CALIFORNIA SEAFOOD COUNCIL A-10 AUTHORIZATION FOR COUNCIL REPRESENTATIVE TO ATTEND CMANC HEARINGS IN WASHINGTON, D.C. A-11 REJECTION OF CLAIM AGAINST THE CITY; STATE FARM INSURANCE COMPANY 9 12 PROCLAMATION DECLARING MARCH 16, 1996 AS "ARBOR DAY" A-13 PROCLAMATION DECLARING FEBRUARY 19-23, 1996 AS "NATIONAL FFA WEEK" B. UNFINISHED BUSINESS B-1 CONSIDERATION OF RECOMMENDATIONS FROM ECONOMIC VITALITY COMMITTEE B-2 ORDINANCE NO. 449 - CONSIDERATION OF MINOR (DE MINIMIS) AMENDMENT TO MORRO BAY MUNICIPAL CODE SECTION 17.32.030 (DEVELOPMENT STANDARDS FOR THE SINGLE FAMILY RESIDENTIAL (R-1) ZONING DISTRICT);(SECOND READING/ADOPTION) C. NEW BUSINESS - NONE D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONTINUED PUBLIC HEARING ON TRANSIENT VENDOR FEE - THIS ITEM HAS BEEN PULLED FROM THE AGENDA D-2 REVIEW OF WATERFRONT MASTER PLAN D-3 CONSIDERATION OF OPTIONS FOR PEG ACCESS 4 CONSIDERATION OF RECOMMENDATIONS FOR TRAFFIC RESTRICTIONS ON QUINTANA ROAD BETWEEN MORRO BAY BOULEVARD AND KENNEDY WAY -PHIS ITEM HAS BEEN PULLED FROM THE AGENDA 3 S5 APPROVAL OF SITING ELEMENT AND SUMMARY PLAN OF THE INTEGRATED WASTE MANAGEMENT PLAN - (RESOLUTION NO. 06-96/RESOLUTION NO. 12-96) D-6 CONSIDERATION OF CLAIMS AGAINST CITY ORDINANCE - THIS ITEM HAS BEEN CONTINUED TO THE FEBRUARY 26, 1996 CITY COUNCIL MEETING F. ADJOURNMENT COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND MILLS STATIONERY. IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT, IF YOU NEED SPECIAL ASSISTANCE TO PARTICIPATE IN A CITY MEETING, PLEASE CONTACT THE CITY CLERK'S OFFICE AT LEAST 24 HOURS PRIOR TO THE MEETING TO INSURE THAT REASONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. • • • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - FEBRUARY 13, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak ABSENT: STAFF: CLOSED SESSION Ahnawake Unger Dave Howell David Hunt Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Crotzer and unanimously carried. (4-0) Mayor Yates read the Closed Session statement. • E-1 GOVERNMENT CODE SECTION 54956.9(B), CONFERENCE WITH LEGAL COUNSEL DUE TO SIGNIFICANT EXPOSURE TO LITIGATION. Significant exposure to litigation exists based upon existing facts and the advice of legal counsel as to one (1) matter. E-2 GOVERNMENT CODE SECTION 54957, CONFERENCE WITH LEGAL COUNSEL REGARDING PERSONNEL ISSUES Discussions regarding personnel issues including two (2) public employees regarding discipline/release/evaluation. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Novak and unanimously carried. (4-0) The meeting adjourned at 5:45 p.m. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. • Mayor Yates called the meeting to order at 6:00 p.m. • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - FEBRUARY 13, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to.order at 5:00 p.m. PRESENT: ABSENT: STAFF: CLOSED SESSION William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger None Dave Howell David Hunt Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. • E-1 GOVERNMENT CODE SECTION 54956.9(B), CONFERENCE WITH LEGAL COUNSEL DUE TO SIGNIFICANT EXPOSURE TO LITIGATION. Significant exposure to litigation exists based upon existing facts and the advice of legal counsel as to one (1) matter. E-2 GOVERNMENT CODE SECTION 54957, CONFERENCE WITH LEGAL COUNSEL REGARDING PERSONNEL ISSUES Discussions regarding personnel issues including two (2) public employees regarding discipline/release/evaluation. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Crotzer moved the meeting be adjourned. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. • Mayor Yates called the meeting to order at 6:00 p.m. • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 2 PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt Rick Algert Bridgett Bauer Bill Boucher Jeff Jones Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Harbor Director City Clerk Public Works Director Fire Chief Finance Director Police Chief Recreation and Parks Director Senior Planner Adam Burkett of Boy Scout Troup 222 led the Pledge of Allegiance. LIGHTEN UP City Administrator Dave Howell presented the "Lighten Up". MAYOR'S REPORTS & ANNOUNCEMENTS MOTION: Mayor Yates moved the City Council approve Consent Calendar Item A-13 (Proclamation declaring February 19- 23, 1996 as "National FFA Week"). The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates presented the proclamation to members of the Morro Bay High School FFA Program. Mayor Yates made the following announcements: ♦ The George bankruptcy issue was added to the Closed Session agenda; no action was taken. ♦ A Town Hall meeting will be held Wednesday, March 13, 1996 at 7 p.m.; the public is encouraged to attend. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 3 • PUBLIC COMMENT Grace Melton presented copies of the Gettysburg Address to Councilmembers in honor of Abraham Lincoln. Roger Ewing requested Item A-8 (Resolution No. 11-96 - Approval of Intent to Enter into Agreement with the Economic Vitality Corporation) be rescheduled as a public hearing. He stated it was a good idea in principle, but he wanted to know which properties would be involved in a potential industrial park and how much money it would cost the City. Mr. Ewing also addressed Item A-10 (Authorization for Council Representative to Attend CMANC Hearings in Washington, D.C.) stating the City is financially unsound and $1,000 should not be spent on this trip. Mr. Ewing addressed Item D-3 (Consideration of Options for PEG Access) expressing support for public access to City Council meetings. He also asked for more public hearings on Item D-2 (Review of the Waterfront Master Plan). Mary Phillips stated she is very disturbed by the Mayor's suggestion at the February 6, 1996 Special City Council meeting, to combine the Police and Fire Departments; she asked for a response from Mayor Yates. Mayor Yates replied he supports both Chief Loven and Chief Jones; • however, the City is in a fiscal crisis, and he was attempting to start a dialogue between citizens and staff to find ways to save money. Charles Palmer presented a water revenue report to Councilmembers and summarized his findings, stating 90% of customers pay 50% of revenue. Vivian Doubledee addressed Item D-1 (Continued Public Hearing on Transient Vendor Fee) stating the money received from the Merchants Association stays in Morro Bay to promote business and provide a scholarship. She stated the Quota Club, which supports local charities, has a fund-raising booth at Art in the Park, and the best customers are vendors. Nelson Sullivan expressed concern with Council discussion on issues which should receive public input, such as: Council ordering an EIR for a launch ramp at Target Rock, and sending the Public Works Director to the County Board of Supervisors to ask for more State Water. Lynda Merrill addressed Council regarding water rates and urged Council to consider those on limited incomes when reviewing rate increases. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 4 • Bernie Melvin agreed Item A-8 (Resolution No. 11-96 - Approval of Intent to Enter into Agreement with the Economic Vitality Corporation) should be agendized as a public hearing, stating the State requires public participation when grant funding is under consideration. Mr. Melvin referred to Item D-3 (Consideration of Options for PEG Access) stating acronyms should not be used in the public noticing process; he said Council continues to disenfranchise a large segment of the population with this type of maneuver. Mr. Melvin stated Council should hold public hearings concerning strategies to increase public awareness and participation, and offered his planning expertise toward increasing public participation. Ray McKelligott stated he knows nothing about the Economic Vitality Corporation, and does not understand why it was agendized on the Consent Calendar. He also expressed opposition to combining City departments. Nancy Bast expressed opposition to sending a City representative to Washington, D.C. to discuss contracts without public input. Mayor Yates stated City representatives have attended the CMANC meetings in Washington, D.C. for the past four years. Bill Raflowski echoed Mr. Ewing's statements regarding Item A-8 • (Resolution No. 11-96: Approval of Intent to Enter into Agreement with the Economic Vitality Corporation) stating public hearings should be conducted. He also expressed concerns regarding the proposed launch ramp which will be a disaster; he said the City should not be paying for park expenses at Bayshore Village; and the City should renege on the State Water Project, as it is a $10 million boondoggle. Mayor Yates closed the hearing to public comment. DECLARATION OF FUTURE AGENDA ITEMS - None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JANUARY 8, 1996 AND JANUARY 22, 1996; AND THE SPECIAL MEETING OF JANUARY 18, 1996 Mr. Howell recommended Council approve the minutes as submitted. A-2 FIRE DEPARTMENT ANNUAL REPORT • This item was pulled from the agenda. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 5 • A-3 ANNUAL REPORT ON RENT CONTROL ORDINANCE Mr. Howell recommended Council receive the report for information. A-4 RESOLUTION NO. 14-96 APPROVING ASSIGNMENT OF LEASE SITE 52- 52W; WHIBLEY Mr. Howell recommended Council approve Resolution No. 14-96 authorizing assignment of the existing partnership interest in the lease agreement for Lease Site 52/52W from J. Edward Strasser to Reg Whibley. A-5 RESOLUTION NO. 15-96 APPROVING ASSIGNMENT OF INTEREST IN LEASE AGREEMENTS FOR LEASE SITES 50-51/50W-51W Mr. Howell recommended Council approve Resolution No. 15-96 authorizing assignment of 50% ownership interest in lease agreement for Lease Site 50-51/50W-51W from J. Edward Strasser to Reg Whibley. A-6 RESOLUTION NO. 16-96 APPROVING AGREEMENT BETWEEN SAN LUIS OBISPO COUNCIL OF GOVERNMENTS AND THE CITY TO ESTABLISH "PAVEMENT MANAGEMENT SYSTEM" FOR CITY OF MORRO BAY • Mr. Howell recommended Council adopt Resolution No. 16-96 approving the agreement between the City of Morro Bay and San Luis Obispo Council of Governments for the receipt of State Highway Account (SHA) funds to establish a pavement system for the City of Morro Bay. A-7 RESOLUTION NO. 17-96 APPROVING CREDIT FOR PUBLIC RESTROOM SERVICES Mr. Howell recommended Council approve Resolution No. 17-96 authorizing a rental credit for Van Beurden Investments on Lease Site 78-81/78W-81W. A-8 RESOLUTION NO. 11-96 TO APPROVE INTENT TO ENTER INTO AGREEMENT WITH THE ECONOMIC VITALITY CORPORATION Mr. Howell recommended Council approve Resolution No. 11-96 authorizing the City Administrator to negotiate a partnership agreement with the Economic Vitality Corporation of San Luis Obispo County on development of a business park. A-9 RESOLUTION NO. 13-96 IN SUPPORT OF THE CALIFORNIA SEAFOOD COUNCIL Mr. Howell recommended Council approve Resolution No. 13-96 in • support of the California Seafood Council. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 6 • A-10 AUTHORIZATION FOR COUNCIL REPRESENTATIVE TO ATTEND CMANC HEARINGS IN WASHINGTON, D.C. Mr. Howell recommended Council approve travel expenses from Harbor Department funds for Councilmember Novak to attend C-MANC meetings in Washington, D.C. A-11 REJECTION OF CLAIM AGAINST THE CITY; STATE FARM INSURANCE COMPANY Mr. Howell recommended Council reject the claim filed on November 6, 1995 by State Farm Insurance Company Subrogation Department. A-12 PROCLAMATION DECLARING MARCH 16, 1996 AS "ARBOR DAY" Mr. Howell recommended Council adopt the Proclamation declaring March 16, 1996 as "Arbor Day". A-13 PROCLAMATION DECLARING FEBRUARY 19-23, 1996 AS "NATIONAL FFA WEEK" Mr. Howell recommended Council adopt the Proclamation declaring February 19-23, 1996 as "National FFA Week". Mayor Yates stated the date on Item A-7 has been corrected to • February 13th, and Item A-13 has been completed. Councilmember Unger pulled Item A-1 from the Consent Calendar; Councilmember Crotzer pulled Items A-8 and A-10. MOTION: Councilmember Anderson moved the City Council approve the Consent Calendar with the exception of Items A-1, A-8, and A-10. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETINGS OF JANUARY 8, 1996 AND JANUARY 22, 1996; AND THE SPECIAL MEETING OF JANUARY 18, 1996 Councilmember Unger stated the minutes of January 22, 1996 do not reflect the reason for her dissenting vote on Item C-2 (Consideration of Transient Vendor Fee) and requested the minutes be amended to include her statement and returned to Council for approval. MOTION: Councilmember Unger moved the City Council approve the minutes of January 8, 1996 and January 18, 1996. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 7 • A-8 RESOLUTION NO. 11-96 TO APPROVE INTENT TO ENTER INTO AGREEMENT WITH THE ECONOMIC VITALITY CORPORATION (EVC) Councilmember Crotzer stated public comment reflected concern with entering into an agreement with the EVC. City Administrator Dave Howell responded the EVC was included in the Destination 2000 report and in the 1991 Stephen Nukes study. He said he had worked closely with former Councilmember Susan Mullen to identify potential industrial sites for the benefit of local businesses, and there is potential for an increase of 200 new jobs in the next three years. Mr. Howell stated the proposed resolution would offer him the opportunity to negotiate favorable terms for the City to enter into partnership with the corporation, which will act as staff in applying for Community Development Block Grants and in attempting to find a suitable site, purchase it, and develop a business park. He stated any proposals would come back to Council for appropriate testimony and public input before any action is taken. Mr. Howell stated the Evc is funded through a Community Development Block Grant, and there is a consultant who works with the entire County on economic development. Councilmember Unger stated she does not mind giving the City Administrator direction to negotiate, but she is not ready to • approve a partnership agreement with the City, as stated in the resolution. Mr. Howell stated he is only asking for approval to negotiate with the EVC and bring the issue back for Council approval. Councilmember Unger asked why a partnership agreement had to be entered into with the City in order to negotiate? Mr. Howell responded he is only asking for conceptual approval. City Attorney David Hunt suggested amending the resolution by deleting "the EVC agrees to enter into a partnership agreement with the City,"; the sentence should read: "Whereas, the EVC and the City agree to negotiate in good faith the partnership agreement. Specific terms are set forth in a separate agreement and shall be.."; the "Whereas" at the top of Page 2 could read: "The City agrees to enter into negotiations for a formal contractual relationship." Mr. Howell stated he prefers a formal resolution, because the City can possibly receive $500,000 to assist with business retention and expansion, which is a sizable amount of money, especially in view of the city's present financial condition. Councilmember Unger stated she does not have enough information • to approve this resolution and neither does the public. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 8 • Mayor Yates asked if it is possible to bring this item back to the next Council meeting? Mr. Howell offered to have the consultant make a presentation at the next meeting. MOTION: Councilmember Unger moved the City Council direct staff to bring this issue back as a Public Hearing Item. The motion was seconded by Councilmember Crotzer and failed with Mayor Yates, Councilmembers Anderson and Novak voting no. (2-3) MOTION: Councilmember Crotzer moved the City Council direct the City Administrator to invite an agent of the Economic Vitality Corporation to make a presentation. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) A-10 AUTHORIZATION FOR COUNCIL REPRESENTATIVE TO ATTEND CMANC HEARINGS IN WASHINGTON, D.C. Councilmember Crotzer stated based on the City's present financial situation, he does not believe $1,800 should be spent on a trip to Washington, D.C. to attend CMANC hearings. He said • the City budget is woefully in arrears and Council still wants to send a Councilmember along with a lobbyist to do the work of elected State representatives. Mayor Yates stated no one would disagree with what Councilmember Crotzer says; however, the reality is all large and small coastal cities will be in Washington, D.C. trying to get money from Congress. He said the City's lobbyist also represents other coastal cities and will not stand up for Morro Bay over Santa Cruz. Mayor Yates stated each city has to represent itself or the money will be lost. He noted the money for the trip will come from the harbor dredging account and is well spent to keep the dredging going and the harbor open. Councilmember Anderson stated one of the most important issues facing the City for many years has been harbor maintenance; and he agrees someone as knowledgeable as Councilmember Novak has to present the City's case to Congress. Councilmember Unger stated this issue is not political for her; however, it is an economical issue. This Council has a tendency * She stated she cannot vote to fund this trip. • * correction made at March 11, 1996 City Council meeting. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 9 • Councilmember Novak stated there will be Federal pressure to cease the dredging of harbors. She said the City has to actively seek help from the Corps or all Federal money will be lost. She said small harbors are losing funding, and only big harbors will be receiving funding, with the City paying the dredging bill alone in the future. MOTION: Councilmember Anderson moved the City Council approve Item A-10 (Authorization for Council Representative to Attend CMANC Hearings in Washington, D.C.). The motion was seconded by Mayor Yates and carried with Councilmembers Crotzer and Councilmember Unger voting no. (3-2) B. UNFINISHED BUSINESS B-1 CONSIDERATION OF RECOMMENDATIONS FROM ECONOMIC VITALITY COMMITTEE John Zaver, Chairman of the Economic Vitality Committee, reviewed the Committee's plan for economic development for the City of Morro Bay. He stated the task is to create a plan to retain and attract business activity in order to create a stable tax base and stimulate economic growth for Morro Bay. Mr. Zaver stated successful implementation of the plan will stimulate the local • economy, provide job opportunities for residents, increase and strengthen the City's municipal revenue base, and achieve a stable, self-sustaining business environment. He said the foundation of the plan is a comprehensive analysis of the City's economic condition, a review of comparative community assets and liabilities, an analysis of light industrial and retail retention and expansion potential, and a review of issues and policies impacting current businesses. Mr. Zaver suggested Council appoint an advisory task force which includes a Councilmember and City staff person to target suggestions, establish time limes, and pursue projects with vigor. Councilmember Unger stated the new committee could divide goals into short-term projects which do not cost a lot of money right now, medium -range projects which could be handled with a little work and support, and long-range projects which can be addressed later on. Mayor Yates stated neither this Committee nor the proposed task force will be City functions, but instead will be directed by the Chamber of Commerce. He said Council can show support and provide a Councilmember. Councilmember Anderson stated much of this report covers areas addressed in the Destination 2000 report. He suggested Ric • Deschler or Karen Berger should be invited to join the task force. r] MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 10 Councilmember Novak stated this report is broad -based in order to get started, and the intention is to have the task force develop smaller committees to look at specific projects. Mayor Yates suggested Councilmembers Novak and Unger remain on the Committee. MOTION: Mayor Yates moved the City Council: 1) thank Economic Vitality Committee members for their difficult work and their product; 2) endorse the Economic Vitality Task Force; and 3) appoint Councilmembers Novak and Unger as Council representatives, and Finance Director Jim Koser as staff representative for the new task force. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates called for a break at 7:20 p.m.; the hearing resumed at 7:35 p.m. MOTION: Mayor Yates moved the City Council suspend the rules to hear Item B-2 before the Public Hearings. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) • B-2 ORDINANCE NO. 449 - CONSIDERATION OF MINOR (DE MINIMIS) AMENDMENT TO MORRO BAY MUNICIPAL CODE SECTION 17.32.030 (DEVELOPMENT STANDARDS FOR THE SINGLE FAMILY RESIDENTIAL (R- 1) ZONING DISTRICT);(SECOND READING/ADOPTION) MOTION: Councilmember Crotzer moved the City Council conduct the second reading of Ordinance No. 449 by number and title only. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mr. Howell read Ordinance No. 449 by number and title only. MOTION: Councilmember Unger . moved the City Council adopt Ordinance No. 449, announcing the findings and adopting amendments to Title 17, Sections 17.24.030 and 17.32.030, of the Morro Bay Municipal Code. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) C. NEW BUSINESS - NONE. D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 CONTINUED PUBLIC HEARING ON TRANSIENT VENDOR FEE 0 This item was pulled from the agenda. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 11 D-2 REVIEW OF WATERFRONT MASTER PLAN Interim Planning Director Shauna Nauman reviewed the 1995 revised draft of the Waterfront Master Plan; recommended Council review the Harbor Advisory Board recommendations; direct staff as to which draft to proceed with (blue vs. gray); and continue this item to a hearing in March for presentation of overall status of document selected and the necessary steps to implement the plan. Mayor Yates opened the hearing to public comment. Ed McCracken stated he had been asked by Audubon President Frank Little to present the opinion of the Audubon Society. He stated the group was neither for nor against the Target Rock area of the plan; however, believes an EIR is necessary for this area. Bernie Melvin stated he is neither agreeing nor disagreeing with the changes; however, substantive changes must be presented at appropriate public hearings. Lynda Merrill stated the Harbor Advisory Board recommended specific changes and conditions and she wanted to be sure they are included in the staff report. She said this is one of the most important plans in the City, probably second only to the General Plan, and she would like it to be done right. • Nelson Sullivan stated he is impressed with the deliberations and considerations of the Harbor Advisory Board at its last meeting. He said moving Coleman Drive, putting a bridge over Morro Creek, and building a launch ramp at Target Rock are issues the citizens should decide. Nancy Bast stated all public comments made were very clear that citizens do not want a launch ramp at Target Rock. She said she spoke with dredge workers about working around a launch ramp in the area, and they informed her it could result in a loss of Federal money. Ms. Bast stated Council would be doing an extreme disservice to the community by considering anything which would impede future dredging. Ray McKelligott stated years were spent writing the gray book version of the plan, and public hearings should start from scratch on the blue book version. Mary Phillips agreed with Mr. McKelligott. Mayor Yates closed the hearing to public comment. Councilmember Unger stated the Harbor Advisory Board was charged with comparing the gray book to the blue book, consider any • substantive changes, and recommend which book should move forward. 1J • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 12 Mayor Yates noted there had been 30 public hearings between the two plans since he took office. Councilmember Novak addressed the Harbor Development Plan, stating she felt it is a good idea to include both plans in the blue book, as there is a lot of information required by the Local Coastal Plan. She said the equivalent of a full-blown EIR for the entire bay will be necessary before a new Harbor Development Plan can be adopted. Councilmember Anderson stated he was swayed by the discussion with the Harbor Advisory Board about keeping the waterfront plan separate from the harbor plan because of different legal requirements. Mayor Yates stated he would support an update of the LCP in its entirety, but he does not want to change one sentence here or there to make something else work. Ms. Nauman stated Council should consider LCP amendments, because the plan can only be a policy document as it stands now. She said it does not qualify as a specific plan as there are missing chapters and there may also be inconsistencies with the General Plan and LCP in some areas. Ms. Nauman stated she needs information from Council on what the intent of the document is, so she can outline procedures for implementation. She stated the gray book is easier to amend because the guidelines are separate, and she feels it is more of an architectural review. Councilmember Crotzer agreed the old Harbor Plan needs to be updated, but general planning documents can be non-specific, with specific proposals requiring EIRs and specific impact studies. He said Councilmembers must decide if this is a specific plan requiring an EIR or if it is a general policy document, which lends itself to amendments in the Land Use Element. Councilmember Unger suggested holding a workshop before March to review Harbor Advisory Board recommendations. Mayor Yates stated inclusion of the water area would result in a massive EIR for the entire bay, which would cost somewhere around seven figures. He said the City cannot afford an EIR of such size, so the water portion should not be included. Councilmember Crotzer stated the gray book could be accepted, because it went through the public process. He said a contradictory specific project could generate a change in the LCP, and there are three opportunities during the year to submit such amendments. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 13 • Mayor Yates suggested Council continue with the gray book, as it has been through the process. He said this has been a painful process, but it would be easier to reaffirm the gray book and move on. Councilmember Novak stated some of the issues in the gray book are totally out of date, and she will not support the document in its current form. Mayor Yates asked if Council had approved the gray book at one time? Ms. Nauman responded Council adopted the guidelines but not the overall document, which was sent back to staff and Councilmember Novak for reformatting into the blue book. She said Council has the discretion to amend and to accept recommendations, with new items sent to the Planning Commission for one last review. MOTION: Councilmember Unger moved the City Council direct staff to proceed with the blue draft; continue this item as a public hearing in March. The motion was seconded by Councilmember Novak. City Attorney David Hunt stated the Planning Commission will have to review any substantive changes made by Council, and certainly • the addition of the water is a substantive change. He said the Planning Commission will have to review any decision on any book made tonight during one public hearing; however, the water portion in the blue book has not been through any process and cannot be adopted this year. Ms. Nauman concurred with Mr. Hunt stating if the blue book is accepted as is, then it will have to be re -advertised, recirculated to agencies, and undergo CEQA review and changes to the LCP. Councilmember Unger withdrew her motion. Councilmember Novak suggested removing the harbor development section from the blue book. MOTION: Councilmember Crotzer moved the City Council adopt the gray book and schedule workshops to point out the substantive amendments, and forward those changes to the Planning Commission to amend the gray book as adopted, with those changes coming back to Council. He moved the City Council initiate a separate plan dealing with the waterside issues. The motion was seconded by Councilmember Anderson. U rJ • n LJ MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 14 Councilmember Unger stated she does not like the gray book format as well as the blue book. She said the water could be removed from the blue book. Mr. Hunt said the motion presumes the gray book can be adopted tonight, but it must be sent to the Planning Commission for consideration of changes made by staff and Councilmember Novak. He stated the Planning Commission must send the document back to Council with a recommendation for adoption, resulting in two more public hearings. Councilmember Crotzer said he would accept Mr. Hunt's statement as a more succinct rendition of his motion, and he would accept it as an amendment to his motion. Mr. Hunt said the second section of the motion would instruct staff to prepare to begin revising the harbor plan. The motion failed with Councilmember Novak, Councilmember Unger, and Mayor Yates voting no. (2-3) MOTION: Councilmember Novak moved the City Council accept the blue book version of the plan, excluding the Harbor Development Plan; the document to be forwarded to the Planning Commission and then return to City Council as a Public Hearing Item. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) MOTION: Councilmember Unger moved the City Council continue this item to the March 25, 1996 City Council meeting. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) MOTION: Councilmember Crotzer moved the City Council initiate the development of a Harbor Management Plan to replace the outdated plan. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates called for a break at 9:10 p.m.; the meeting resumed at 9:30 p.m. D-3 CONSIDERATION OF OPTIONS FOR PEG ACCESS Public Works Director Bill Boucher reviewed the options for PEG access, and recommended Council direct staff to request a budgetary appropriation for fiscal year 1996/97. • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 15 Councilmember Crotzer suggested videotaping Council meetings, and providing the tape to Sonic Cable to view the next day. He said any government meeting or public issues forum could be taped and broadcast later for about $2,000 for the remainder of the calendar year. Councilmember Crotzer stated Morro Bay will have a dedicated channel as of January 1, 1997, and Council can reconsider the issue at that time. Councilmember Novak asked who would be responsible for taping the meetings; she does not want staff to spend time before each meeting trying to find someone to do it. She said the cost might seem reasonable right now, but it could go up. Mayor Yates opened the hearing to public comment. Ray McKelligott stated a committee could be formed to provide the service. He said he has taped meetings which were of good quality. Nelson Sullivan stated he believes Sonic's costs are too high. He said Sonic is not eager to lose Channel 6, as it is used for commercials whenever possible. Nancy Bast thought it was a wonderful idea to broadcast Council meetings and it does not need to be complicated or costly. She said broadcasts would encourage public participation. Lynda Merrill stated televising City Council and Planning Commission meetings would inform untold numbers of people, particularly senior citizens. She said the newspapers provide some coverage, but it is better to see what is going on. Ms. Merrill suggested asking a Cal Poly media student to participate. John Barta stated he supports broadcasting all public meetings to encourage public participation. He suggested the consideration of obtaining sponsors, and/or the use of microwave dishes as ways to keep the cost down. Steve Mathieu expressed his support for broadcasting public meetings. He asked if some of the costs could be negotiated in contract talks with Sonic, or if costs could be spread out in relation to franchise fees? Mr. Mathieu offered to serve on a committee to get the process started. Mayor Yates closed the hearing for public comment. Mr. Boucher stated staff direction from the Public Works Advisory Board was to look at wiring the Veterans Hall, the Community Center, and the Police Department. He said the options are to provide access haltingly for limited purposes or provide a broad, encompassing program to serve a multitude of needs. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 16 • Mayor Yates stated sponsorship was mentioned, but he does not know if public access would allow commercials; however, KBAI could provide live radio broadcasts with sponsors. He said the $60,000 in the till is already allocated, and $35,000 would not be possible at this time. Councilmember Crotzer stated public access TV has been offered, and he would direct staff to obtain a firm commitment from Sonic Cable on a delayed broadcast date and time. He said there is a clear desire to stimulate public participation during live broadcasts, but the cost is ten times more than starting in March with a volunteer committee at minimal expense to tape meetings for delayed broadcasts. Councilmember Anderson stated he does not believe people will watch a live broadcast for three hours and then run down to the meeting when their item comes up; however, it is far more likely people will listen to the sound of a background radio for their agenda item. He said a live broadcast or a delayed tape would work well. Councilmember Unger stated this is an important issue, but the budget shortfall will not allow greater expenditure. She would support the use of volunteers to provide the camera and the time • and the City could provide the film. Councilmember Novak stated a camera operator, five hours, three standard VHS tapes, cleaning, maintaining, and fixing the camera are all involved in this process. She agreed with Councilmember Unger's suggestion. Mayor Yates asked if Ray McKelligott and Steve Mathieu would start a committee and bring information back to Council in four weeks? Councilmember Crotzer suggested a ten-month pilot project with advertising for more committee members. Mr. Boucher stated he would like to develop a policy on workshops, budget meetings, special meetings, and Tuesday meetings, as well as Planning Commission, Harbor Advisory Board, and PWAB meetings. Councilmember Novak suggested the committee get started, answer questions, use their own camera, and bring recommendations back to Council. Councilmember Anderson stated this item was not properly advertised and he would like more public input, and he does not want to give up on the KBAI idea. He understands only a telephone • line is required for a live radio broadcast, which would be preferable to a taped delay. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 17 Mayor Yates said he would sponsor radio broadcasts, but he is not sure the Mayor's jewelry store should sponsor City Council meetings. MOTION: Councilmember Novak moved the City Council appoint Ray McKelligott and Steve Mathieu to form a committee to investigate costs associated with a volunteer program to tape City Council meetings, and investigate KBAI for live radio broadcasts. The motion was seconded by Mayor Yates and unanimously carried. (5-0) MOTION: Councilmember Crotzer moved the City Council empower the new committee to begin taping City Council or Planning Commission meetings as early as the next meeting. The motion was seconded by Mayor Yates and unanimously carried. (5-0) Mayor Yates stated the City will provide money to supply tapes. He said agenda time will be allotted for the written report for the first meeting in March. D-4 CONSIDERATION OF RECOMMENDATIONS FOR TRAFFIC RESTRICTIONS ON QUINTANA ROAD BETWEEN MORRO BAY BOULEVARD AND KENNEDY WAY • This item was pulled from the agenda. D-5 APPROVAL OF SITING ELEMENT AND SUMMARY PLAN OF THE INTEGRATED WASTE MANAGEMENT PLAN - (RESOLUTION NO. 06- 96/RESOLUTION NO. 12-96) Public Works Director Bill Boucher reviewed the Siting Element and Summary Plan of the Integrated Waste Management Plan. He recommended Council adopt Resolution No. 06-96 approving the Siting Element and Summary Plan as prepared by the San Luis Obispo County IWMA, and adopt Resolution No. 12-96 approving the Notice of Determination and Negative Declaration for the Siting Element and Summary Plan as prepared by the San Luis Obispo County IWMA. Mayor Yates opened the hearing to public comment; there was none and the hearing was closed. MOTION: Councilmember Unger moved the City Council adopt Resolution No. 06-96 approving the Siting Element and Summary Plan as prepared by the San Luis Obispo County IWMA; and adopt Resolution No. 12-96 approving the Notice of Determination and Negative Declaration for the Siting Element and Summary Plan as prepared by the San Luis Obispo County IWMA. The motion was seconded • by Councilmember Novak and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - FEBRUARY 13, 1996 PAGE 18 • D-6 CONSIDERATION OF CLAIMS AGAINST CITY ORDINANCE This item was continued to the February 26, 1996 City Council meeting. F. ADJOURNMENT The meeting adjourned at 10:26,p.m. Recorded by: Bridgett Bauer City Clerk • • City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. CLOSED SESSION - FEBRUARY 6, 1996 COMMUNITY CENTER CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956.9(B), CONFERENCE WITH LEGAL COUNSEL DUE TO SIGNIFICANT EXPOSURE TO LITIGATION. Significant exposure to litigation exists based upon existing facts and the advice of legal counsel as to one (1) matter. E-2 GOVERNMENT CODE SECTION 54957, CONFERENCE WITH LEGAL COUNSEL REGARDING PERSONNEL ISSUES Discussions regarding personnel issues including two (2) public employees regarding discipline/release/evaluation. SPECIAL MEETING - FEBRUARY 6, 1996; 6:00 P.M. • COMMUNITY CENTER MULTI PURPOSE ROOM 1001 KENNEDY WAY, MORRO BAY, CA ROLL CALL MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so at this time. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should be limited to three minutes. A. CONSENT CALENDAR A-1 AMENDMENT TO BOYLE ENGINEERING CONTRACT FOR TWIN BRIDGES DESIGN B. UNFINISHED BUSINESS - NONE C. NEW BUSINESS C-1 QUARTERLY FINANCIAL STATUS AS OF DECEMBER 1995 C-2 CONSIDERATION OF MID YEAR BUDGET REVIEW AND REQUEST FOR SUPPLEMENTAL APPROPRIATIONS C-3 CONSIDERATION OF CAPITAL IMPROVEMENT PRIORITIES 40- 4 DISCUSSION CONCERNING VARIOUS REVENUE AND FINANCING ALTERNATIVES 1 5 RESOLUTION NO. 01-96 APPROVING CLAIMS FOR TRANSPORTATION DEVELOPMENT ACT FUNDING FOR FISCAL YEAR 1995/1996; (DIAL -A -RIDE) C-6 CONSIDERATION OF FUNDING TO OBTAIN FEDERAL POLICE GRANT D. PUBLIC HEARINGS REPORTS & APPEARANCES D-1 CONSIDERATION OF WATER RATE ADJUSTMENTS D-2 CONSIDERATION OF GARBAGE RATE ADJUSTMENTS F. ADJOURNMENT COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST AT CITY HALL, LIBRARY, AND HILLS 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. • • ON • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - FEBRUARY 6, 1996 COMMUNITY CENTER CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: ABSENT: STAFF: CLOSED SESSION William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger None Dave Howell David Hunt Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney MOTION: Councilmember Anderson moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. • E-1 GOVERNMENT CODE SECTION 54956.9(B), CONFERENCE WITH LEGAL COUNSEL DUE TO SIGNIFICANT EXPOSURE TO LITIGATION. Significant exposure to litigation exists based upon existing facts and the advice of legal counsel as to one (1) matter. E-2 GOVERNMENT CODE SECTION 54957, CONFERENCE WITH LEGAL COUNSEL REGARDING PERSONNEL ISSUES Discussions regarding personnel issues including two (2) public employees regarding discipline/release/evaluation. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Unger moved the meeting be adjourned. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - FEBRUARY 6, 1996; 6:00 P.M. COMMUNITY CENTER MULTI PURPOSE ROOM Mayor Yates called the meeting to order at 6:00 p.m. • MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - FEBRUARY 6, 1996; 6:00 P.M. PAGE 2 • ROLL CALL PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: None STAFF: Dave Howell City Administrator Rick Algert Harbor Director Bridgett Bauer City Clerk Bill Boucher Public Works Director Jeff Jones Fire Chief Jim Koser Finance Director Joe Loven Police Chief Andrea Lueker Recreation and Parks Director Shauna Nauman Senior Planner Mayor Yates congratulated the Recreation & Parks Department for receiving the Helen Putnam Award. He also noted the portable skateboard park has been funded. • PUBLIC COMMENT Elsie Simmons addressed Council regarding Dial -A -Ride expressing the importance of this service to senior citizens and handicapped individuals. Ed Ewing addressed Council on the City's present financial state. Mary Phillips expressed concern with lack of communication with City staff. Lynda Merrill expressed support for a community police service. Tim Hallerman, Morro Bay Fire Fighter's Association, addressed Council regarding concern with the lack of staffing in the Fire Department and the endangerment it may cause the department and citizens of Morro Bay; he requested Council fill the two vacant positions. Steve Mathieu asked Council if there are recommendations for future expenditures. The following representatives of non-profit organizations requested funding: Michael Pasarelli - Food Bank, Eleanor Judd and Janice • Wolfe - EOC, Martha Nichols - Senior Nutrition, and Gwen Dyer - Homeless Shelter. MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - FEBRUARY 6, 1996; 6:00 P.M. PAGE 3 • A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 AMENDMENT TO BOYLE ENGINEERING CONTRACT FOR TWIN BRIDGES DESIGN MOTION: Councilmember Unger moved Council approve Item A-1 of the Consent Calendar. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) B. UNFINISHED BUSINESS - NONE. C. NEW BUSINESS C-1 QUARTERLY FINANCIAL STATUS AS OF DECEMBER 1995 Finance Director Jim Koser reviewed the second quarter financial status report for Fiscal Year 1995/96. Council received the report; no further action was taken on this item. C-2 CONSIDERATION OF MID YEAR BUDGET REVIEW AND REQUEST FOR • SUPPLEMENTAL APPROPRIATIONS Finance Director Jim Koser reviewed the mid -year budget, starting with a review of mid -year revenues. Mayor Yates called for a break at 7:30 p.m.; the meeting resumed at 7:45 p.m. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONSIDERATION OF WATER RATE ADJUSTMENTS Public Works Director Bill Boucher reviewed the Public Works Advisory Board recommendation that the current rate structure be retained and a public outreach program be performed to explain the rate. MOTION: Councilmember Novak moved Council maintain the present water rate structure; and direct the Public Works Advisory Board to re-examine the applications received for the rate reduction program. The motion was seconded by Councilmember Unger and carried with Councilmember Anderson and Councilmember Crotzer voting no. (3-2) Councilmember Unger was excused from the meeting due to illness. • MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - FEBRUARY 6, 1996; 6:00 P.M. PAGE 4 D-2 CONSIDERATION OF GARBAGE RATE ADJUSTMENTS • Finance Director Jim Koser requested Council reconsider their action of November 27, 1995, and retain the current franchise tax rate of 26.8% for Morro Bay Garbage Company due to the emerging budget shortfall for the current fiscal year. MOTION: Councilmember Crotzer moved Council withdraw their action of November 27, 1995 requesting staff to pass on the $100,000 savings in the assignment of the contract to RAALCO Recycling to the Morro Bay rate payers; and further directed staff to retain the money in the General Fund. The motion was seconded by Councilmember Anderson and unanimously carried. (4-0) C-2 CONSIDERATION OF MID YEAR BUDGET REVIEW AND REQUEST FOR SUPPLEMENTAL APPROPRIATIONS - (CONTINUED) City Administrator Dave Howell reviewed budget requests for Fiscal Year 1996/97. Council discussed the information received from staff. Final consensus by Council was to fill one of the vacant fire fighter positions when afforded in the General Fund. No further action was taken. • C-3 CONSIDERATION OF CAPITAL IMPROVEMENT PRIORITIES This item was continued to a future City Council meeting. C-4 DISCUSSION CONCERNING VARIOUS REVENUE AND FINANCING ALTERNATIVES This item was continued to a future City Council meeting. C-5 RESOLUTION NO. 01-96 APPROVING CLAIMS FOR TRANSPORTATION DEVELOPMENT ACT FUNDING FOR FISCAL YEAR 1995/1996; (DIAL -A - RIDE) This item was continued to a future City Council meeting. C-6 CONSIDERATION OF FUNDING TO OBTAIN FEDERAL POLICE GRANT This item was continued to a future City Council meeting. Mayor Yates stated he was concerned about the City's financial health. He said he had written down some ideas before leaving home for the meeting, and said his ideas were suggestions only; a place to open a dialog about how to solve the City's financial plight. • • U MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - FEBRUARY 6, 1996; 6:00 P.M. PAGE 5 The Mayor's suggestions were: ♦ Eliminate the Harbor Director's position. Place the Harbor patrol under the Police Department (although the Mayor emphasized he was not supportive of making the Harbor Patrol officers law enforcement officers); place waterfront and dock maintenance under the Public Works Department; place lease negotiations under the Finance Director; ♦ Eliminate the Police and Fire Chiefs' positions and create a Director of Public safety; ♦ Consider merging the Community Development and Public Works Departments; ♦ Privatize City services where ever it will save money; suggested areas might be park maintenance, street maintenance, vehicle maintenance. ♦ Fund and hire an Economic Development Director. The City needs a full-time person focused on attracting and enhancing business within the City. No further action was taken. F. ADJOURNMENT - The meeting adjourned at 11:18 p.m. Recorded by:( "idge r�� BridgettBaue City Clerk a z c n AMA A • • City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - JANUARY 22, 1996; 5:00 P.M. CLOSED SESSION - JANUARY 22, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956.9(C), CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION Discuss with legal counsel, based on existing facts, whether to initiate litigation as to one (1) matter. E-2 GOVERNMENT CODE SECTION 54957, CONFERENCE WITH LEGAL COUNSEL REGARDING PERSONNEL ISSUES Discussions regarding personnel issues including one (1) public employee regarding discipline/release/evaluation. PUBLIC SESSION - JANUARY 22, 1996 • VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE - VFW POST 11097 LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so at this time. When recognized by the Mayor, please come forward to the podium and state your name and address for the record. Comments should be limited to three minutes. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF JANUARY 8, 1996 - THIS ITEM HAS BEEN PULLED FROM THE AGENDA A-2 STATEMENT OF CASH AND INVESTMENTS - DECEMBER 1995 *-3 EXPENDITURE REPORT - DECEMBER 1995 1 *-4 RESOLUTION NO. 10-96 AUTHORIZING PARTICIPATION IN MULTI -AGENCY DUI ENFORCEMENT GRANT A-5 RESOLUTION NO. 04-96 APPROVING SOUTH BAY BOULEVARD RECONSTRUCTION/ WIDENING RIGHT-OF-WAY ACQUISITION A-6 RESOLUTION NO. 09-96 APPROVING PROPOSITION 116 FUND TRANSFER AGREEMENT; (SOUTH BAY BOULEVARD BIKE LANES) A-7 RESOLUTION NO. 07-96 AUTHORIZING AGREEMENT WITH BOYLE ENGINEERING CORPORATION FOR DESIGN SERVICES ON TWIN BRIDGES REPLACEMENT PROJECT B. UNFINISHED BUSINESS B-1 CITY ATTORNEY OPINION ON USE OF SOUTH T-PIER B-2 ORDINANCE NO. 448 ADOPTING REGULATIONS FOR SKATEBOARDING/ROLLERSKATING ON PUBLIC AND PRIVATE PROPERTY (SECOND READING AND ADOPTION) B-3 CONSIDERATION OF SOLID WASTE AND CURBSIDE RECYCLING REQUEST FOR PROPOSALS C. NEW BUSINESS C-1 RESOLUTION NO. 05-96 ADOPTING COST ALLOCATION PLAN 0-2 CONSIDERATION OF TRANSIENT VENDOR FEES C-3 SET DATE FOR JOINT RECREATION AND PARKS COMMISSION/CITY COUNCIL MEETING C-4 CONSIDERATION OF COUNCIL DISCRETIONARY APPOINTMENTS D. PUBLIC HEARINGS, REPORTS & APPEARANCES D-1 ORDINANCE NO. 449 - CONSIDERATION OF MINOR (DE MINIMIS) AMENDMENT TO MORRO BAY MUNICIPAL CODE SECTION 17.32.030 (DEVELOPMENT STANDARDS FOR THE SINGLE FAMILY RESIDENTIAL (R-1) ZONING DISTRICT);(FIRST READING/INTRODUCTION) D-2 RESOLUTION NO. 08-96 APPROVING 1995 ANNUAL WATER REPORT AND RECOMMENDATIONS FOR THE 1996/97 FISCAL BUILDING ALLOCATIONS F. ADJOURNMENT COPIES OF STAFF REPORTS OR OTHER PUBLIC DOCUMENTATION RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT COST 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 WSONABLE ARRANGEMENTS CAN BE MADE TO PROVIDE ACCESSIBILITY TO THE MEETING. E • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - JANUARY 22, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: None STAFF: Dave Howell City Administrator David Hunt City Attorney CLOSED SESSION MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. • E-1 GOVERNMENT CODE SECTION 54956.9(C), CONFERENCE WITH LEGAL COUNSEL DUE TO ANTICIPATED LITIGATION Discuss with legal counsel, based on existing facts, whether to initiate litigation as to one (1) matter. E-2 GOVERNMENT CODE SECTION 54957, CONFERENCE WITH LEGAL COUNSEL REGARDING PERSONNEL ISSUES Discussions regarding personnel issues including one (1) public employee regarding discipline/release/evaluation. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. MOTION: Councilmember Anderson moved the meeting be adjourned. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) The meeting adjourned at 5:45 p.m. u 0 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger ABSENT: None STAFF: Dave Howell David Hunt Rick Algert Bridgett Bauer Bill Boucher Janeen Burlingame Jeff Jones Jim Koser Joe Loven Andrea Lueker Shauna Nauman Mayor Councilmember Councilmember Councilmember Councilmember City Administrator City Attorney Harbor Director City Clerk Public Works Director Administrative Assistant Fire Chief Finance Director Police Chief Recreation and Parks Director Senior Planner Police Chief Joe Loven led the Pledge of Allegiance. LIGHTEN UP Neil Farrel presented the "Lighten Up" this evening. MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates presented Certificates of Appreciation to Andrea Seastrand and Friends of the Estuary for their efforts in bringing National Estuary Status to Morro Bay; Long Term Care Ombudsman of San Luis Obispo County for their services to the terminally ill; and to the Morro Bay Municipal Code Ad -Hoc Committee for their efforts in the review of the City's municipal codes. Mayor Yates made the following announcements: ♦ Mayor Yates complimented the public safety agencies who were involved in the rescue of the victim who fell off Morro Rock. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 3 • • City Council voted in Closed Session to authorize the City Administrator to execute an assignment of Morro Bay's contractual rights under the 1991 MOA regarding recovery of tipping fees from Paso Robles to the Integrated Waste Management Authority subject to a hold harmless agreement. ♦ A special City Council meeting on finance issues will be held on Tuesday, February 6, 1996 at 6:00 p.m. in the Community Center Multi Purpose Room. ♦ The old Town signage contract is awaiting a design and proposal from Goofy Graphics. ♦ Compliments to the Harbor Department for the ongoing removal of derelict boats, particularly the Paula Sue. ♦ Compliments to Police Chief Joe Loven for the lucid and fascinating Police Department Annual Report. PUBLIC COMMENT Mary Phillips donated a plaque to the Fire Department for RUOK. Roger Ewing thanked Council for expediting Old Town signage. He said he was disturbed because two professionals have been • appointed to the Planning Commission. Ed Ewing expressed criticism regarding the difficulty of putting issues on the City Council agenda. He said the Cost Allocation Study should be a Public Hearing Item. Frankie Hayes thanked Council for considering the transient vendor fee, and she asked for clarification. Mayor Yates responded Council consensus would be required for reconsideration of the fee in order to start the process over again. Linda Donnelly expressed concern regarding the fine which is addressed in the ordinance regulating skateboarding/rollerskating on public and private property. She suggested offenders raise money for the portable skate park instead of paying fines or performing community service. Suedene Nelson, Director of Chamber of Commerce, stated the proposed transient vendor fees may endanger community events in Morro Bay. Lynda Merrill expressed concern with the proposed fine addressed in the ordinance regulating skateboarding/rollerskating on public and private property. • Steve Mathieu addressed the ordinance regulating skateboarding/ rollerskating on public and private property. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 4 Vivian Doubledee addressed the transient vendor fees and requested Council reconsider the fee. Bob Porter spoke against high vendor fees, stating only two cities he visits charge fees and ranging from $2 to $5. He said City events are major fund raisers and provide funds to City departments, and he feels local vendors will be eliminated by high fees. Roz Rogoff opposed vendor fees and stated local crafts people will be eliminated from the Thanksgiving weekend show at the Community Center. She said Council should consider a small fee, if Council believes one is really necessary. DECLARATION OF FUTURE AGENDA ITEMS - None. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR CITY COUNCIL MEETING OF JANUARY 8, 1996 • This item was pulled from the agenda. A-2 STATEMENT OF CASH AND INVESTMENTS - DECEMBER 1995 Mr. Howell recommended Council receive this report for information. A-3 EXPENDITURE REPORT - DECEMBER 1995 Mr. Howell recommended Council receive this report for information. A-4 RESOLUTION NO. 10-96 AUTHORIZING PARTICIPATION IN MULTI - AGENCY DUI ENFORCEMENT GRANT Mr. Howell recommended Council approve Resolution No. 10-96 which authorizes the Morro Bay Police Department to participate in a multi -agency grant obtained by the California Highway Patrol to increase enforcement of driving under the influence laws during. the 1996 holiday season. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 5 • A-5 RESOLUTION NO. 04-96 APPROVING SOUTH BAY BOULEVARD RECONSTRUCTION/WIDENING RIGHT-OF-WAY ACQUISITION Mr. Howell recommended Council approve Resolution No. 04-96 accepting the offer of temporary construction and permanent public road easements by the Coastal San Luis Resource Conservation District to the City of Morro Bay. A-6 RESOLUTION NO. 09-96 APPROVING PROPOSITION 116 FUND TRANSFER AGREEMENT; (SOUTH BAY BOULEVARD BIKE LANES) Mr. Howell recommended Council approve Resolution No. 09-96 approving Proposition 116 Fund Transfer Agreement in order for the City to be reimbursed for project construction costs for the South Bay Boulevard bike lanes. A-7 RESOLUTION NO. 07-96 AUTHORIZING AGREEMENT WITH BOYLE ENGINEERING CORPORATION FOR DESIGN SERVICES ON TWIN BRIDGES REPLACEMENT PROJECT Mr. Howell recommended Council approve Resolution No. 07-96 authorizing an agreement with Boyle Engineering Corporation for design service on Twin Bridges Replacement Project. MOTION: Councilmember Crotzer moved the City Council approve the Consent Calendar with the exception of Item A-1. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) B. UNFINISHED BUSINESS B-1 CITY ATTORNEY OPINION ON USE OF SOUTH T-PIER City Attorney David Hunt reviewed his Opinion No. 95-02 relating to the use of the South T-Pier and recommended Council instruct staff to bring the matter back to address inconsistency with the City's Local Coastal Plan/Land Use Plan at the next available public hearing. Mayor Yates stated it would be difficult for him to support changes in the LCP to support any business. He asked Mr. Hunt to address the legality of moving Sylvester's Tugs to the North T- Pier. Mr. Hunt responded, in his opinion, moving Sylvester's Tugs to the North T-Pier would not be a violation of the LCP or Measure D, because the use of the tugs is incidental to commercial fishing. He said there is room for debate and disagreement on the issue, but when the Council makes such a determination, the court gives it great deference. Mr. Hunt said the granting of • the license agreement in the past by Council would be given deference by the court. I] MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 6 Mayor Yates stated Sylvester's Tug Service will have to move from the South T-Pier to the North T-Pier. He asked Mr. Hunt to make the argument tying the tugs to commercial fishing? Mr. Hunt responded there are a lot of different issues, but the tugs help make possible the dredging of the harbor mouth, which provides access for fishermen. He pointed out the nearest ocean response vessels are in Monterey, and the tugs are available to render assistance in the open sea, which is important to fishermen. Mr. Hunt noted there is the possibility of oil spills at the Chevron moorings, and tugs have the capability of restricting the amount of oil spill spread, which would be beneficial to fishermen. He said all of those issues are incidental to commercial fishing. Councilmember Anderson asked Mr. Ewing if he had changed his mind about allowing the tugs on the North T-Pier? Mr. Ewing responded the tugs could move to the North T-Pier if the Coast Guard vessel would move inside, which is not acceptable to the Coast Guard. He said the State Coastal Act states commercial and recreational facilities shall be kept and enhanced where possible and not taken away if still in use. • Mayor Yates suggested Council direct staff to revisit the issue of moving the Coast Guard to the inside of the North T-Pier, which is a compromise. He said the tug requirements are a result of the Valdez oil spill and should not be removed from the harbor. Harbor Director Rick Algert stated he would work with the Coast Guard, but this issue has been discussed at the Harbor Advisory Board. He pointed out the Coast Guard has a contract which allows the cutter to remain in place for another year and a half, and there are significant costs in relocating utility services, especially if another size boat is brought in. Councilmember Crotzer agreed the LCP should not be changed, and further stated oil support facilities should not be onshore. He said the tugs primarily support the oil industry, not the fishing industry. Councilmember Novak stated the Commercial Fishermens Association offered some options to the Kelseys as to where they could move. She said Mr. Kelsey offered to move to the North T-Pier and the commercial fishermen agreed and would like to see a long-term solution to the problem, which would not include the tugs occupying the North T-Pier. Councilmember Unger asked why the Coast Guard could not move • until May, which is four months away? • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 7 Councilmember Novak responded the Coast Guard stated May would be the time when they would know if another size boat would be located in the harbor, and whether or not the cutter would be retired. Councilmember Unger asked if any boats had ever been turned away at the peak of any fishing season? Mr. Algert responded no boats have ever been turned away, although sometimes they have to raft up to each other. MOTION: Mayor Yates moved the City Council direct the City Administrator direct the Harbor Director to meet with the Coast Guard and the Kelseys with the goal of moving the Coast Guard Cutter to the inside of the North T- Pier, and move the Kelseys' two tugs to the North T- Pier in the place of the Coast Guard Cutter, and report back to City Council in 60 days with a progress report. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mayor Yates called for a break at 7:10 p.m.; the meeting resumed at 7:22 p.m. • C. NEW BUSINESS C-2 CONSIDERATION OF TRANSIENT VENDOR FEE Councilmember Anderson stated this item is being brought back in response to public testimony and correspondence. He suggested reducing fees to $5 per day and $10 for a weekend event, and possibly a minimum business license fee for vendors who come for all events, including Farmers Market. Councilmember Novak stated there has been a suggestion for an annual cap of $25 for events, but the situation is not the same for business license holders with storefronts. She said residents who make arts and crafts in their homes and want to participate in two events a year should not have to pay $80-$90 for a business license. Councilmember Anderson stated someone who participates in events 40 days or more per year could pay $50 for an annual license. Councilmember Novak pointed out Friday Night Markets were sometimes very slow and vendors were asked to contribute a couple of dollars instead of the $10 booth space fee. She said vendors will be lost if fees are too high for flower and vegetable sellers, because there are not many customers. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 8 • Mayor Yates suggested a compromise position of $5 per day, $10 maximum per event, with a $50 cap. Councilmember Unger asked for the original reasoning for the fee. Councilmember Novak responded the original idea is to collect money for business improvements, such as street furniture, Christmas and Fourth of July banners, special events announcements, and decorations for downtown and business areas. She would like to see this issue on the ballot so the money could be earmarked for various projects instead of the General Fund. Councilmember Unger stated she has spoken to many people and found the ill -will associated with the fee is not worth the amount of money collected, particularly when the business improvements were not suggested by those affected by the fee. At this point, she suggests dropping the fees altogether. Councilmember Crotzer stated he accepts the idea of a small fund which will provide enhancement and amenities for downtown. He said some suggestions have come from Cal Poly designs, such as planters, street benches, and maybe cobblestone streets. Councilmember Crotzer stated it seems fair for vendors who come to the City to contribute something to provide equity for store- front businesses. • Mayor Yates asked City Attorney David Hunt for direction. Mr. Hunt responded A resolution has been passed, and Council must direct staff to bring back a modified resolution, so lowering fees can be considered. He said Mayor Yates should direct staff not to collect the fees pending the changed resolution. MOTION: Councilmember Anderson moved the City Council bring back for public hearing a reconsideration of fees previously passed, changing to $5 per day, $10 per event, $40 cap, and exempting current City license holders. In the interim no fees will be collected on the previously enacted measure. The motion was seconded by Councilmember Novak and carried with Councilmember Unger voting no. (4-1) D. PUBLIC HEARINGS REPORTS & APPEARANCES D-1 ORDINANCE NO. 449 - CONSIDERATION OF MINOR (DE MINIMIS) AMENDMENT TO MORRO BAY MUNICIPAL CODE SECTION 17.32.030 (DEVELOPMENT STANDARDS FOR THE SINGLE FAMILY RESIDENTIAL (R- 1) ZONING DISTRICT);(FIRST READING/INTRODUCTION) Interim Planning Director Shauna Nauman reviewed Ordinance No. • 449 for first reading/introduction amending the zoning ordinance modifying the R-1 district development standards to allow MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 9 • increased density consistent with the General Plan and Coastal Land Use Plan. She recommended Council review the Planning Commission recommendation, and approve Ordinance No. 449 for first reading/introduction. Councilmember Novak stated she would support the Planning Commission recommendation, as the City should be in accordance with its General Plan. Councilmember Unger agreed with Councilmember Novak in supporting the Planning Commission recommendation, including the maximum number of four units per lot. Councilmember Anderson stated he would like to solve the original problem without creating more problems; he would like to maintain the half -acre policy. Councilmember Unger asked if there is a conflict with the Subdivision Map Act? Ms. Nauman responded rental of the units would be a violation of the Subdivision Map Act. She said she did not know the legal difference between a month -to -month lease and an annual lease. City Attorney David Hunt pointed out both month to month and • tenancy are leases. He said the purpose of the Subdivision Map Act is to make sure the City has correctly divided parcels and recorded them, and there is no conflict with the title. Mr. Hunt stated sale, lease, or finance includes month -to -month tenancy as defined in the Map Act. He said it is problematic how it benefits anyone, and he voiced support for the language recommended by the Planning Commission. Mayor Yates opened the hearing to public comment. Steve Mathieu, Planning Commissioner, stated Planning Commission discussion led to a recommendation of four units maximum to a one-half acre. John Barta, Planning Commissioner, stated with the four -unit cap there will be less conflict within the area. He said the lack of negative input from the public was a big factor in his vote. Mary Phillips expressed concern with the recommended density limit. Harry Rogers stated the purpose of the Subdivision Map Act is to maintain a reasonable approach to land division in order to protect individual rights, both written and unwritten. He said the simple way to address this issue would be to decide on a • case -by -case basis whether or not to rebuild non -conforming dwellings destroyed by acts of God. Mr. Rogers stated the E 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 10 allowance of multiple units on acre parcels will diminish the concept of approved subdivisions with proper water, sewer, drainage, and streets. Mayor Yates closed the hearing for public comment. Councilmember Crotzer stated he would prefer minimal impact on other areas. He noted the Subdivision Map Act is in place to protect everyone in general. Councilmember Crotzer stated Council is trying to remediate a problem caused by an act of nature, and he would prefer addressing parcels of one-half acre or larger. Councilmember Novak stated she would concur with half -acre or larger parcels if it would solve the problems for people trying to rebuild. MOTION: Councilmember Crotzer moved the City Council add the following language to Ordinance No. 449: "In the R-1 district, if located on one-half acre or greater, the number of single-family residential units allowed is one per lot or the number of units allowed in accordance with the density range of the land use designation contained in the General Plan and the Coastal Land Use Plan. If more than one single-family residence is located on a lot in the R-1 district, any residential unit which has not been authorized as a secondary dwelling in accordance with State and local regulations shall not be used in violation of the Subdivision Map Act, and with a cap of four residents per lot." The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates opened the hearing for public comment; there was no comment, and the public hearing was closed. MOTION: Councilmember Crotzer moved the City Council introduce Ordinance No. 449 by reading of title and number only. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mr. Howell read Ordinance No. 449 by title and number only. MOTION: Councilmember Unger moved the City Council approve the first reading of Ordinance No. 449 as amended. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 11 • MOTION: Councilmember Unger moved the City Council continue Ordinance No. 449 to the City Council meeting of February 13, 1996 for second reading and final adoption. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) D-2 RESOLUTION NO. 08-96 APPROVING 1995 ANNUAL WATER REPORT AND RECOMMENDATIONS FOR THE 1996/97 FISCAL BUILDING ALLOCATIONS Interim Planning Director Shauna Nauman reviewed the annual water report, and recommended Council approve the report and the building allocation with amendments deemed appropriate by adoption of Resolution No. 08-96. Mayor Yates opened the hearing to public comment. Harry Rogers expressed opposition to the process of the building allocation waiting list. Charles Palmer suggested Council consider eliminating the water equivalency program and substitute it with another program, as it is possible a certain water allocation could be made to every vacant lot in town to allow the City to grow. Mary Phillips stated the existing system is causing property • values to diminish. Mayor Yates closed the hearing for public comment. MOTION: Councilmember Anderson moved the City Council adopt Resolution No. 08-96 approving the 1995 Annual Water Report and Recommendations for the 1996/97 Fiscal Building Allocations. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Councilmember Unger stated another look should be taken at the failure of Measure F, as it is not doing what it was meant to do. She expressed support of the re-enactment of Ordinance No. 423, and stated revenue decreases when retrofits are mandated. Councilmember Unger stated retrofitting eliminates part of the ability to conserve water. She said it hampers future ability to conserve during droughts and reduces the amount of revenue to the City. Mayor Yates said he did not like the retrofit program either, especially in light of the arrival of State Water. He said the idea of retrofitting was conceived in order to keep building. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 12 • Mr. Boucher stated a water allocation model will be developed, submitted, and approved by the Planning Commission, City Council, and Coastal Commission by the time supplemental water arrives in the City. He said the study is being performed now in order to be ready to implement the model when necessary. MOTION: Councilmember Unger moved the City Council direct staff to draft an ordinance to reinstate Ordinance No. 423. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) Mayor Yates called for a break at 9:00 p.m.; the hearing resumed at 9:15 p.m. City Attorney David Hunt addressed a correction under Item A-7, referring to the Agreement for Professional Engineering Services Twin Bridges at Chorro Creek, stating the word "sole" should be added in front of negligence on Page 2, paragraph 4. He stated sole negligence materially affects and protects the City, and he asked Council to make a motion to reconsider. MOTION: Councilmember Unger moved the City Council reconsider Resolution No. 07-96. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) • MOTION: Councilmember Unger moved the City Council approve Resolution No. 07-96 with the contract revisions as recommended by the City Attorney. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) B-2 ORDINANCE NO. 448 ADOPTING REGULATIONS FOR SKATEBOARDING/ROLLERSKATING ON PUBLIC AND PRIVATE PROPERTY (SECOND READING AND ADOPTION) Police Chief Joe Loven introduced Ordinance No. 448 for second reading/adoption. Councilmember Novak stated she spoke with Chief Loven about community service instead of fines. She said there are programs available and community service is contained within the fine section, so ordinance language does not have to be changed. Councilmember Crotzer believes the amount of the fine should be reduced so it is more within the realm of having the parent pay it; he recommended fines of $25, $50, and $100. Mayor Yates said he trusted the Police Department and the first offense will really be the third offense. He asked who would make the decision on the fine, as the ticket states a maximum of • $50. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 13 • Chief Loven responded it does not take a citation to involve the Youth Services Officer, and he can be involved prior to a citation. He said the officer can call the parents, who generally are cooperative regarding community service. Chief Loven said the court makes the decision on the amount of the fine or use of community service. Councilmember Unger stated the Police Department is not out to harass kids, and she supports departmental discretion. She believes parents should be involved regarding habitual offenders and the penalties should stay as proposed. Councilmember Anderson stated the Police Department uses discretion wisely and he would support the ordinance as proposed. He said the Police Department wants to correct the problem, not hand out tickets. MOTION: Mayor Yates moved the City Council approve the second reading of Ordinance No. 448 by title and number only. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) Mr. Howell read the ordinance by title and number only. MOTION: Councilmember Unger moved the City Council adopt • Ordinance No. 448. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) B-3 CONSIDERATION OF SOLID WASTE AND CURBSIDE RECYCLING REQUEST FOR PROPOSALS Administrative Assistant Janeen Burlingame reviewed the final draft Request for Proposal for Solid Waste and Curbside Recycling Franchise Agreements, and requested Council direct staff to put the RFP out for bid. Councilmember Unger asked if rate increases are addressed in the RFP? Mr. Boucher responded the existing solid waste contractor was not eligible for an increase until three years had lapsed. He said the rates will be locked in for the first two years, and in subsequent years the contractor can return with proof of financial hardship and rate of return. Councilmember Novak requested the total recycling concept be added to the bottom of page 14 of the final draft. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 14 • Mr. Boucher responded language could re-emphasize additional programs are the sole and exclusive determination of the City and the contractor will perform them. He said there were two objectives: to provide a bidding process which is objectively performed, screened, reviewed, and awarded; and to provide a flexible process, which establishes a baseline of objective criteria. MOTION: Councilmember Unger moved the City Council approve the Request for Proposals as submitted with the addition of Total Recycling Concept added to Final Draft RFP No. 95-02, Chapter 2, Page 14; and direct staff to put the RFP out to bid. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) C. NEW BUSINESS C-1 RESOLUTION NO. 05-96 ADOPTING COST ALLOCATION PLAN Finance Director Jim Koser reviewed the Cost Allocation Plan for Fiscal year 1995-96 and recommended Council approve the Plan by approval of Resolution No. 05-96. He introduced cost allocation expert Candace Bonney of David M. Griffith and Associates who further explained the functions of cost plans. • Councilmember Anderson stated the State Tidelands leases are unique to the City, and he believes this plan is a great benefit toward their administration. Mayor Yates stated acceptance of the plan is adequate, and the plan can be used as a tool by the City Administrator and all department heads. He referred to the clause in Resolution No. 05-96 regarding true hourly rates stating he feels Council discretion will be taken away and the City Administrator will be given direction to increase department fees based on the cost allocation study. Mr. Koser responded the intent is to focus on a very narrow subset of the Master Fee Schedule, particularly applicable in the Fire Department, where fees are, based on hourly rates for equipment usage and manpower, and to a limited extent in other departments when cost recovery is based on an hourly rate. He said it was never intended to be used as a basis to recalculate any currently established fees for processing permits or flat dollar amounts for services. Mr. Koser said all City departments should use the same basis for calculating hourly rates. Mayor Yates stated the language in "Now, Therefore Be It Resolved" should be modified to read: "the Cost Allocation Plan for Fiscal year 1995-96 is hereby accepted," not adopted; and • that the last "Be It Further Resolved" be deleted. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 15 • Councilmember Novak concurred with Mayor Yates. Councilmember Crotzer stated it has taken a lot of work to calculate true costs for hourly tasks performed by the City. He said it has been a worthwhile exercise to determine which costs should be subsidized. Councilmember Crotzer stated the trend is for users to pay their own way, rather than have the tax base pay. Mayor Yates stated Council now has a tool to determine costs; and also has the discretion to decide what department is responsible for certain costs. MOTION: Mayor Yates moved the City Council adopt Resolution No. 05-96 with the following changes: In the first "Now, Therefore Be It Resolved," the word "adopted" will be replaced with the word "accepted"; and the last "Be It Further Resolved" will be deleted. The motion was seconded by Councilmember Anderson and carried with Councilmember Unger voting no. (4-1) Councilmember Unger explained she was not voting against the Cost Allocation Study but needs more information in order to support it. • C-3 SET DATE FOR JOINT RECREATION AND PARKS COMMISSION/CITY COUNCIL MEETING MOTION: Councilmember Unger moved the City Council schedule the joint City Council/Recreation and Parks Commission meeting for March 21, 1996 at 6:30 p.m. at the Morro Bay Community Center. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) C-4 CONSIDERATION OF COUNCIL DISCRETIONARY APPOINTMENTS There was Council consensus on several discretionary appointments with motions as follows: MOTION: Councilmember Unger moved the City Council appoint Councilmember Novak as delegate and Public Works Director Bill Boucher as alternate to the County Solid Waste Task Force & Integrated Waste Management Committee for 1996. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) MOTION: Councilmember Anderson moved the City Council appoint Councilmember Unger as delegate and Councilmember Novak as alternate for both the San Luis Obispo Regional Transit Authority and the San Luis Obispo Area Coordinating Council for 1996. The motion was seconded by Mayor Yates and unanimously carried. (5-0) • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 22, 1996 PAGE 16 Mayor Yates stated he will accept appointment to the Joint Cities/County/School District Advisory Committee in place of Councilmember Crotzer. MOTION: Mayor Yates moved the City Council appoint Councilmember Crotzer to the Economic Opportunity Commission for 1996. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) MOTION: Councilmember Unger moved the City Council appoint Mayor Yates to the City Selection Committee for 1996. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) MOTION: Councilmember Unger moved the City Council appoint Mayor Yates to the Air Pollution Control District for 1996. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) MOTION: Councilmember Unger moved the City Council appoint Councilmember Novak as Legislative Delegate for 1996. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) F. ADJOURNMENT The meeting adjourned at 10:55 p.m. Recorded by: r Bridgett Bauer City Clerk U • MINUTES - MORRO BAY CITY COUNCIL SPECIAL MEETING - JANUARY 18, 1996 CITY HALL CONFERENCE ROOM - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: ABSENT: STAFF: ANNOUNCEMENTS William Yates Rodger Anderson Colby Crotzer Cathy Novak Ahnawake Unger None Dave Howell Mayor Councilmember Councilmember Councilmember Councilmember City Administrator Mayor Yates made the following announcements: ♦ A joint City Council meeting of the cities in San Luis Obispo County will be held on Thursday, April 11, 1996 in San Luis Obispo. ♦ There will be a special San Luis Obispo Council of Governments meeting on Saturday, February 3, 1996. ♦ Primary goal of San Luis Obispo County Mayors' meetings is in effort to repair city/county relationships. ♦ A special City Council meeting to discuss the budget will be held on Tuesday, February 6, 1996 at 6:00 p.m. in the Community Center. PUBLIC COMMENT - None. D. PUBLIC HEARING The purpose of this meeting was to conduct interviews of advisory board/commission applicants to fill vacancies on the Public Works Advisory Board, Recreation & Parks Commission, and the Planning Commission. The following people were interviewed: Steve Mathieu Planning Commission Ric Deschler Planning Commission John Barta Planning Commission Don Doubledee Planning Commission John Lemons Planning Commission/Public Works Advisory Board 1 • • n U Steve Carnes Planning Commission/Public Works Advisory Board Victor Robertson Planning Commission Meredith Bates Public Works Advisory Board Thad Baxley Public Works Advisory Board John Butler Public Works Advisory Board/Recreation & Parks Commission Linda Donnelly Recreation & Parks Commission Council took the following action: MOTION: Councilmember Unger moved the City Council appoint John Barta to the four-year term on the Planning Commission. The motion was seconded by Councilmember Anderson and carried with Councilmember Crotzer voting no. (4-1) MOTION: Councilmember Novak moved the City Council appoint Don Doubledee to the three-year term on the Planning Commission. The motion was seconded by Councilmember Unger and carried with Councilmember Crotzer voting no. (4-1) MOTION: Councilmember Novak moved the City Council appoint Stephen Carnes to the one-year term on the Planning Commission. The motion was seconded by Councilmember Unger and carried with Councilmember Crotzer voting no. (4-1) MOTION: Councilmember Unger moved Lemons to the four-year Advisory Board. The Councilmember Novak and Crotzer voting no. (4-1) MOTION: Councilmember Anderson Meredith Bates to the Works Advisory Board. Councilmember Unger and MOTION: 1-06114Ci7ZF the City Council appoint John term on the Public Works motion was seconded by carried with Councilmember moved the City Council appoint four-year term on the Public The motion was seconded by unanimously carried. (5-0) Councilmember Novak moved Baxley to the four-year Advisory Board. The Councilmember Crotzer and Councilmember Novak moved Butler to the one-year Advisory Board. The Councilmember Crotzer and the City Council appoint Thad term on the Public Works motion was seconded by unanimously carried. (5-0) the City Council appoint John term on the Public Works motion was seconded by unanimously carried. (5-0) MOTION: Councilmember Novak moved the City Council appoint Linda Donnelly to the four-year term on the Recreation & Parks Commission. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) 2 • The City Council directed staff to readvertise for the one vacancy on the Recreation & Parks Commission. ADJOURNMENT The meeting adjourned at 8:50 p.m. Recorded by: e Howell City Administrator 11 • 3 City of Morro Bay City Council Agenda Mission Statement The City of Morro Bay is dedicated to the preservation and enhancement of the quality of life. The City shall be committed to this purpose and will provide a level of municipal service and safety consistent with and responsive to the needs of the public. REGULAR MEETING - JANUARY 8, 1996; 5:00 P.M. CLOSED SESSION - JANUARY 8, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. 595 HARBOR ST., MORRO BAY, CA E-1 GOVERNMENT CODE SECTION 54956.9(A), CONFERENCE WITH LEGAL COUNSEL Status Report on All Pending Litigation. This is a report on status and no action may be taken on any matter not specifically listed. Council may request a specific matter be agendized in the future for action. E-2 GOVERNMENT CODE SECTION 54956.9(C), CONFERENCE WITH LEGAL COUNSEL DUE • TO ANTICIPATED LITIGATION Discuss with legal counsel, based on existing facts, whether to initiate litigation as to one (1) matter. E-3 GOVERNMENT CODE SECTION 54957, PERSONNEL ISSUES WITH LEGAL COUNSEL Discussions regarding personnel issues including three (3) public employees regarding discipline/release/evaluation. PUBLIC SESSION - JANUARY 8, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. 209 SURF ST., MORRO BAY, CA ROLL CALL MOMENT OF SILENCE PLEDGE OF ALLEGIANCE - VFW POST 11097 LIGHTEN UP MAYOR AND COUNCILMEMBERS REPORTS & ANNOUNCEMENTS PUBLIC COMMENT PERIOD - Members of the audience wishing to address the Council on City business matters (other than Public Hearings items under Section D) may do so at this time. When recognized by the Mayor, please me forward to the podium and state your name and address for the record. omments should be limited to three minutes. 01 •OUNCIL DECLARATION OF FUTURE AGENDA ITEMS A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF DECEMBER 11, 1995 AND THE PARKING MANAGEMENT PLAN WORKSHOP OF NOVEMBER 30, 1995 A-2 ANNUAL DESTINATION 2000 STATUS REPORT A-3 STATUS REPORT ON PORTABLE SKATEBOARD/IN-LINE SKATING PARK PROJECT A-4 NOTICE OF COMPLETION ON ROLLER HOCKEY RINK AND BASKETBALL COURT; (RP 96-01) A-5 NOTICE OF COMPLETION ON ENERGY RETROFIT PROJECT; (RP 96-03) A-6 NOTICE OF COMPLETION ON VETERANS' MEMORIAL BUILDING IMPROVEMENT PROJECT; (RP 96-02) A-7 IMPLEMENTATION OF MORRO BAY MUNICIPAL CODE REVISION RECOMMENDATIONS A-8 RESOLUTION NO. 03-96 URGING LEGISLATURE TO IMPLEMENT PROPOSITION 62 • DECISION; (LOCAL GOVERNMENT FINANCIAL OUTLOOK) A-9 REJECTION OF CLAIM AGAINST THE CITY; (BERKSHIRE) B. UNFINISHED BUSINESS B-1 CITY ATTORNEY OPINION ON USE OF SOUTH T-PIER C. NEW BUSINESS C-1 SET DATE AND TIME FOR ADVISORY BOARD INTERVIEWS D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-1 CONSIDERATION OF MINOR (DE MINIMIS) AMENDMENT TO MORRO BAY MUNICIPAL CODE SECTION 17.32.030 (DEVELOPMENT STANDARDS FOR THE SINGLE FAMILY RESIDENTIAL (R-1) ZONING DISTRICT) - THIS ITEM HAS BEEN CONTINUED TO THE JANUARY 22, 1996 CITY COUNCIL MEETING D-2 CONSIDERATION OF LAUNCH RAMP PARKING PROPOSALS D-3 RESOLUTION NO. 02-96 APPROVING A TEN YEAR EXTENSION OF MORRO BAY GARBAGE SERVICE'S SOLID WASTE FRANCHISE AGREEMENT • 2 4 CONSIDERATION OF REQUEST FOR PROPOSALS FOR SOLID WASTE AND CURBSIDE RECYCLING FRANCHISE AGREEMENTS D-5 ORDINANCE NO. 448 ADOPTING REGULATIONS FOR SKATEBOARDING/ROLLERSKATING ON PUBLIC AND PRIVATE PROPERTY (FIRST READING AND INTRODUCTION) F. ADJOURNMENT 0 • 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. 7 • MINUTES - MORRO BAY CITY COUNCIL CLOSED SESSION - JANUARY 8, 1996 CITY HALL CONFERENCE ROOM - 5:00 P.M. Mayor Yates called the meeting to order at 5:00 p.m. PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: None STAFF: Dave Howell City Administrator David Hunt City Attorney CLOSED SESSION MOTION: Councilmember Novak moved the meeting be adjourned to Closed Session. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) Mayor Yates read the Closed Session statement. The meeting adjourned to Closed Session at 5:00 p.m. and returned to regular session at 5:45 p.m. E-1 GOVERNMENT CODE SECTION 54956.9(A), CONFERENCE WITH LEGAL COUNSEL Status Report on A11 Pending Litigation. This is a report on status and no action may be taken on any matter not specifically listed. Council may request a specific matter be agendized in the future for action. E-2 GOVERNMENT CODE SECTION 54956.9(C), COUNSEL DUE TO ANTICIPATED LITIGATION WITH LEGAL Discuss with legal counsel, based on existing facts, whether to initiate litigation as to one (1) matter. E-3 GOVERNMENT CODE SECTION 54957, CONFERENCE WITH LEGAL COUNSEL REGARDING PERSONNEL ISSUES Discussions regarding personnel issues including three (3) public employees regarding discipline/release/evaluation. MOTION: Councilmember Novak moved the meeting be adjourned. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) The meeting adjourned at 5:55 p.m. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 VETERANS MEMORIAL HALL - 6:00 P.M. Mayor Yates called the meeting to order at 6:00 p.m. ROLL CALL PRESENT: William Yates Mayor Rodger Anderson Councilmember Colby Crotzer Councilmember Cathy Novak Councilmember Ahnawake Unger Councilmember ABSENT: None STAFF: Dave Howell City Administrator David Hunt City Attorney Rick Algert Harbor Director • Bridgett Bauer City Clerk Bill Boucher Public Works Director Janeen Burlingame Administrative Assistant Jim Koser Finance Director Joe Loven Police Chief Andrea Lueker Recreation and Parks Director Shauna Nauman Senior Planner Harry Rogers led the Pledge of Allegiance. LIGHTEN UP Jack Hansen presented the "Lighten Up" this evening. MAYOR'S REPORTS & ANNOUNCEMENTS Mayor Yates made the following announcements: ♦ Thanks to the Morro Bay Art Association for donating $1,536.74 to the Recreation and Parks Department from Art in the Park. ♦ Thanks to Friends of the Pool for donating $500 to Recreation and Parks for aquatics -related equipment. • ♦ Thanks to the Police Department for their efforts with the caroling cop car during the holidays. E MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 3 ♦ Comments on Item D-5 (Ordinance No. 448 adopting regulations for skateboarding/rollerskating on public and private property) will be heard during Public Comment Period in order for students to leave early. Councilmember Novak stated Young's Giant Food bulletin board is in operation. Mayor Yates thanked Councilmember Novak for donating the money for the bulletin board. PUBLIC COMMENT Grace Melton pledged $500 in addition to the $305 already in the Anderson Tree Fund. Roger Ewing expressed his support for the proposed skate park. Mr. Ewing also addressed the following issues: signage for the downtown area; status of the Otter Rock permit; status of the Silver City Trailer Park and Morro Creek debacle; and Flippo's bowling alley. Mayor Yates responded downtown signage will be discussed by Council very soon; Otter Rock applied for a permit on November 30th and it is under application review by Planning Department staff; Planning Technician Mauricio Argente is working on the • Silver City issue; and Flippo's owners are progressing on the bowling alley. Frankie Hayes, Morro Bay Art Association, stated out-of-town vendors spend money in the City during Art in the Park, and the association donates over $1,500 yearly to Recreation and Parks, as well as providing scholarships to the Morro Bay High School Art Department. Ms. Hayes asked for reconsideration of vendor fees. Mayor Yates responded imposition of vendor fees was discussed at a public hearing, and Council consensus reflected a need for the fee. He stated Harbor Festival and other events are affected, but there is no intent to discourage vendors from participating in special events. Esther Susoeff expressed opposition to the proposed vendor fee. She said Art in the Park has been the only fund-raising event for the Morro Bay Art Association for over 40 years, and she asked Council to reconsider its decision for high transient vendor fees. Chris Powers and Mike Culp expressed their support for the proposed skate park. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 4 • Suedene Nelson, Director of Chamber of Commerce, stated she supports a small vendor fee of $5 and $10 but not $15, $20, and $25. She asked Council to reagendize the subject, in order to accomplish the goal without punitive fees. Ms. Nelson said the current fee structure will eliminate the Salmon Celebration and possibly the Fourth of July celebration. Bill Peirce stated the opposition is not to a vendor's fee, but the amount of the fee. Roz Rogoff stated it is outrageous to charge more than the cost of a City business license, and it would be better to follow the example of the San Luis Obispo Farmer's Market. Ms. Rogoff said the money cannot be earmarked for downtown improvements without a special election for a Business Improvement District, which is another complication. She believes the local associations could get together for collection of fees as well as taking responsibility for downtown beautification. Sherry Childers, coordinator for Morro Bay Merchants Association, stated vendors are hard to attract, and they come because of the City's beauty and low fees. Frank Kubiak, Alex Fedonca, Daniel Doud, and Jack Kubiak spoke in favor of the skate park because it will be a fun, safe, legal • place to skate. They said it is too difficult to get kids to San Luis Obispo to use their facility, and the skateboards rip up curbs and get in people's way on the streets. Forrest Doud stated kids are following a trend in a sport which is growing and changing, even though people may not like the clothes, the noise, and the damage. Mr. Doud said there should be a place to skate to avoid damage, and to provide safety and supervision. He said kids should be given encouragement and their activities viewed as favorable. Ed Ewing donated the first $100 toward the skate park. Mr. Ewing addressed the City T-piers stating they are both vital to the Morro Bay commercial fishing industry, and the tug boats are not related to the fishing business in any way. He believes the proposed recreational use of the Tidelands Park side -tie docks constitutes a violation of the Department of Boating and Waterways loan application. Allen Cook expressed support to the proposed vendor fee. He stated the artists enjoy coming to Morro Bay and stay in local motels and dine in local restaurants. Kimberly Wooten, local toy maker, said she will be impacted by a high vendor fee, but has no objection to a small fee. • J • C] MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 5 Vivian Doubledee stated the statement that vendors take money and leave is not true. She requested Council reagendize this issue for more public input. Councilmember Unger asked Mr. Cook if fees are charged at other shows in other parts of the State. Mr. Cook responded he paid up to $300 in fees, but those fees are show fees and not City fees. John Woodruff, President of the Morro Bay Merchant's Association, asked Council to reconsider its action, stating the fee is too high and $5 would be preferable. Galen Ricard stated through a poll of other cities, she found they do charge a fee which is then used for business improvements. Sharon Kroll expressed support for the proposed skate park. She commended those insightful enough to spearhead the project, as well as the kids who participated by attending the Council meeting this evening. Charles Palmer stated millions of dollars will be needed for water and sewer, and the City must start raising money for future expenditures. He strongly suggested rate increases to accommodate one-half million dollars for sewer and water capital accounts. Mr. Palmer stated the business community contributes more and more to City revenues, and now the amount is way out of proportion to water use, and some businesses are being pushed out of town by high rates. Steve McGrath of RALCCO commended Public Works staff and particularly Janeen Burlingame for expediting the recycling contract process. He said RALCCO will provide the best curbside recycling possible during the coming year. Ralph Gunther disagreed with City Attorney Opinion No. 95-02. He believes Measure D has been violated, and the Department of Boating and Waterways' loan for the South T-Pier was fraudulently obtained by the City. Mr. Gunther asked how much money the City will spend defending lawsuits because of staff actions. He stated Measure D should not be circumvented, and staff should be instructed to follow the written word. Dane Howell addressed Item D-5 (ordinance No. 448 adopting regulations for skateboarding/rollerskating on public and private property). He said kids skate every day and a viable alternative like a skate park should be provided before a new ordinance is implemented. He said he has been to skate park meetings and MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 6 • funding will not come from the City; there should be a grace period before ordinance implementation, which will allow for additional fund-raising events by the kids. He feels businesses would be more likely to help raise money if an ordinance is not in place before a park is operational. John Greenville stated the City is not on the regional mailing list delineating oil companies' plans to increase pressure along the County coastline for more lease exploration and drilling. He said the companies will be testing and surveying throughout the area, particularly around Point Buchon, within the next 18 months. Mr. Greenville stated someone from the City should attend meetings, and possibly oil companies should build their own facilities in Morro Bay instead of putting pressure on limited dock space. Mayor Yates responded Council is aware of oil companies' actions and are united in opposition to local offshore oil development. He said there have been a stack of resolutions provided to help State Senator Jack O'Connell with appropriate legislation. Mayor Yates said a citizen's initiative prohibits oil company facilities in Morro Bay. Nina Litvinoff requested the proposed vendor fee be placed on a future agenda for further input. She also commented she and her • husband enjoyed the caroling cop cars. Sylvio De Santis stated parents worry about where their kids are skating, and volunteered his assistance in the construction of a park in the downtown area. He said North Morro Bay is not accessible for all kids to skate. John Barta reported the Planning Commission's success in the removal and transplanting of a tree, which was in the way of a proposed home. He stated two new trees will be planted in Mr. A.J. Wright's name elsewhere in the City. DECLARATION OF FUTURE AGENDA ITEMS Councilmember Anderson asked to revisit the vendor fee schedule. Councilmember Unger asked to agendize the discussion of re - striping Embarcadero to allow more parking spaces. She said she has heard some motels have been artificially manipulating their fees, making room rates higher than posted; Councilmember Unger asked to agendize the discussion of this item before tourist season, as there is no current resolution or ordinance addressing the problem. 0 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 7 • Councilmember Crotzer asked to agendize the discussion of locating a permanent skateboard facility in a public park; he has spoken to Recreation and Parks staff about an oval area surrounded by a berm in Del Mar Park. Councilmember Crotzer specified this space would be in addition to a temporary ramp under discussion tonight. A. CONSENT CALENDAR Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. A-1 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF DECEMBER 11, 1995 AND THE PARKING MANAGEMENT PLAN WORKSHOP OF NOVEMBER 30, 1995 Mr. Howell recommended Council accept the minutes as submitted. A-2 ANNUAL DESTINATION 2000 STATUS REPORT Mr. Howell recommended Council receive the report and provide staff with additional direction if appropriate. A-3 STATUS REPORT ON PORTABLE SKATEBOARD/IN-LINE SKATING PARK PROJECT • Mr. Howell recommended Council accept the report, thereby supporting the project. A-4 NOTICE OF COMPLETION ON ROLLER HOCKEY RINK AND BASKETBALL COURT; (RP 96-01) Mr. Howell recommended Council accept the project as complete and authorize the Notice of Completion. A-5 NOTICE OF COMPLETION ON ENERGY RETROFIT PROJECT; (RP 96-03) Mr. Howell recommended Council accept the project as complete and authorize the Notice of Completion. A-6 NOTICE OF COMPLETION ON VETERANS' MEMORIAL BUILDING IMPROVEMENT PROJECT; (RP 96-02) Mr. Howell recommended Council accept the project as complete and authorize the Notice of Completion. A-7 Implementation of Morro Bay Municipal Code Revision Recommendations Mr. Howell recommended Council receive the report and direct • staff to implement the Morro Bay Municipal Code Ad -Hoc Committee's recommendations. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 8 • A-8 RESOLUTION NO. 03-96 URGING LEGISLATURE TO IMPLEMENT PROPOSITION 62 DECISION; (LOCAL GOVERNMENT FINANCIAL OUTLOOK) Mr. Howell recommended Council adopt Resolution No. 03-96 calling upon the State Legislature to respond to the California Supreme Court's decision in the Guardino case by enacting "validating" legislation implementing Proposition 62's voter approval requirements prospectively. A-9 REJECTION OF CLAIM AGAINST THE CITY; (BERKSHIRE) Mr. Howell recommended Council reject the claim filed against the City by Raymond Berkshire. Councilmember Anderson pulled Item A-1 from the Consent Calendar; Mayor Yates pulled Item A-3. MOTION: Councilmember Unger moved the City Council approve the Consent Calendar with the exception of Items A-1 and A- 3. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) A-1 CITY COUNCIL MINUTES FOR THE REGULAR MEETING OF DECEMBER 11, • 1995 AND THE PARKING MANAGEMENT PLAN WORKSHOP OF NOVEMBER 30, 1995 Councilmember Anderson made a correction to the minutes of November 30, 1995 (Parking Management Plan Workshop) on page two, last paragraph, adding the 4-hour parking restrictions. Mayor Yates also made a correction to the minutes of December 11, 1995, stating Page 10, second paragraph from the bottom should read: "Mayor Yates stated the required collection of this fee and the incumbent paperwork is an unfunded mandate on the Harbor Festival and Art in the Park." MOTION: Councilmember Anderson moved the City Council approve Consent Calendar Item A-1 as amended. The motion was seconded by Councilmember Unger and unanimously carried. (5-0) A-3 STATUS REPORT ON PORTABLE SKATEBOARD/IN-LINE SKATING PARK PROJECT Mayor Yates stated he does not want to charge a fee for using the skateboard ramp. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 9 • Recreation and Parks Director Andrea Lueker responded continual repair is necessary at the San Luis Obispo skateboard park, and a nominal fee would pay for ongoing equipment repairs. She believes it may not be possible to keep the equipment in good repair without a fee. Ms. Lueker stated a significant amount of money has been raised, but she does not believe a $1 fee will stop people from participating. Mayor Yates stated there will be many rules and regulations, a lot of safety equipment will be required, as well as a disclaimer regarding injuries. He said parents have volunteered to construct the park, to supervise the skaters, and to charge $1 on top of all the other requirements is too much. Councilmember Anderson stated equipment maintenance is expensive, and skaters prefer a well -maintained and improved park. He believes nominal fees for recreational programs are usual, and possibly 50 cents would be a fair charge. MOTION: Mayor Yates moved the City Council delete the concept of charging an admission fee for the proposed skate facilities. The motion was seconded by Councilmember Unger and carried with Councilmember Anderson voting no. (4-1) • B. UNFINISHED BUSINESS B-1 CITY ATTORNEY OPINION ON USE OF SOUTH T-PIER This item was continued to the January 22, 1996 City Council meeting. C. NEW BUSINESS C-1 SET DATE AND TIME FOR ADVISORY BOARD INTERVIEWS Council scheduled advisory board interviews for Thursday, January 18, 1996 at 6:00 p.m. in the City Hall Conference Room. D. PUBLIC HEARINGS. REPORTS & APPEARANCES D-5 ORDINANCE NO. 448 ADOPTING REGULATIONS FOR SKATEBOARDING/ ROLLERSKATING ON PUBLIC AND PRIVATE PROPERTY (FIRST READING AND INTRODUCTION) Police Chief Joe Loven introduced Ordinance Number 448 which establishes the ability to regulate and/or restrict the activity of skateboarders and rollerskaters on public and private property. He recommended Council approve the ordinance for first reading/introduction. u MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 10 • Mayor Yates opened the hearing for public comment. Forrest Doud requested a copy of the ordinance. Mayor Yates responded it is a public document and Mr. Doud could obtain a copy at either City Hall or Mills Stationery. Dane Howell asked if there will be public areas that will be illegal for skating? Mayor Yates responded he favors kids skateboarding anywhere they want as long as they do it safely without placing foreign substances on the curbs. He added he also supports prohibitions by private property owners, such as San Luis Coastal School District and Cypress Plaza. Harry Rogers said everything must be done to help the kids with their skating enjoyment, but the bottom line is they must not destroy property. Mayor Yates closed the hearing for public comment. Councilmember Anderson stated Chief Loven has put together an ordinance which is not any more restrictive than necessary. He . said there are skateboarders who are very destructive, and because of their abuses, this ordinance has been written. Councilmember Unger concurred the ordinance is well done, lenient enough, but puts teeth into restrictions. She reiterated to the kids they must police themselves, or Council will end up punishing both the guilty and the innocent. Mayor Yates pointed out the City is supportive as long as people are not harmed or property destroyed. He said more restrictive laws will follow if this law is not followed. Councilmember Crotzer asked if any private property owner could decide on his own to prohibit skateboarding, not only on his property but on the sidewalk as well? Chief Loven responded the owner could prohibit skating on the property but not on the public sidewalk. City Attorney David Hunt said the City could legally regulate the use of public ways, and there is no discrimination which would be offensive to the laws or the Constitution. Councilmember Novak stated she is supportive of future projects and addition of more skateboarding venues. She asked the kids for their support in order to avoid more regulations. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 11 • MOTION: Councilmember Unger moved the City Council have Ordinance No. 448 read by title and number only. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) City Administrator Howell read Ordinance No. 448 by title and number only. MOTION: Councilmember Unger moved the City Council approve Ordinance No. 448 for first reading/introduction. The motion was seconded by Councilmember Anderson and unanimously carried. (5-0) D-1 CONSIDERATION OF MINOR (DE MINIMIS) AMENDMENT TO MORRO BAY MUNICIPAL CODE SECTION 17.32.030 (DEVELOPMENT STANDARDS FOR THE SINGLE FAMILY RESIDENTIAL (R-1) ZONING DISTRICT) City Administrator Dave Howell recommended this item be continued to the January 22, 1996 City Council meeting. Mayor Yates opened the hearing for public comment; there was none, and the public hearing was closed. MOTION: Councilmember Unger moved the City Council continue • Item D-1 to the City Council meeting of January 22, 1996. The motion was seconded by Councilmember Novak and unanimously carried. (5-0) D-2 CONSIDERATION OF LAUNCH RAMP PARKING PROPOSALS Police Chief Joe Loven reviewed several options dealing with parking restrictions in the area of the launch ramp and requested Council direction. Mayor Yates opened the hearing for public comment. John Greenville stated the commercial salmon trailer -boat fleet often takes five-day trips and 72-hour parking will be a problem. He stated these fishermen pull their boats out at night, and there is no place for them to stay so they sleep in their cars or boats. Ed Ewing said he has no solution for the short-term problem, which was created by Tidelands Park settlement. He said a long- term solution might be the reinstatement of a launch ramp at the State Park Marina. Mr. Ewing said a ramp was there in the 1950s and early 1960s, and another launch ramp in the same location might take some of the heat off the current situation. • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 12 • Charles Palmer said the State Park Marina and back bay areas are filled in 1 to 1-1/2 feet, and the concessionaire has stated some areas have filled in up to 3 feet. He said kayaks are unable to get to the boat dock in a minus tide, so there would be many times when a launch ramp would be inaccessible. Nancy Bast expressed support for enforcement of the current 72- hour ordinance when the area is busy. She asked if daily parking fees are implemented, how would fishermen pay if on an extended trip? Mayor Yates responded money could be inserted into a slot box for numbered spaces, much like the airport. Steve Mathieu asked how much the fishermen's storage space was being utilized at the other end of the Embarcadero, and suggested instituting a shuttle service for fishermen. Mayor Yates said the rigging takes an hour to put up and an hour to take down, and logistics are a problem at 4 o'clock in the morning. He said parking is needed near the launch ramp. Mayor Yates closed the hearing to public comment. • Councilmember Crotzer stated it does not make sense to charge $3 per day, when a parking ticket is only $10. He said commercial fishermen would rather leave the ordinance the way it is; he does not believe recreational boaters should have to pay to access the bay or the ocean. Councilmember Novak stated there are fishermen who live in the area and fish on a regular basis year round, and there is no place for them to park on the south end of the Embarcadero. She suggested a small area be designated for these fishermen; the Commercial Fishermens Association supports 11 long-term, paid parking spots for this purpose. Councilmember Novak stated another launch ramp with better parking would be helpful. Mayor Yates concurred the problem are the fishermen who want to store boats all summer long. He supports maintaining the 72-hour enforcement; and is opposed to paid parking, which leads to parking meters. Mayor Yates stated he would prefer some sort of permit arrangement. Councilmember Unger stated she prefers Proposal No. 3 which applies to permitting legitimate fishermen. Mayor Yates concurred with Councilmember Unger, and stated fishermen who can provide $5,000 in fish tickets are certainly legitimate. • • • MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 13 Councilmember Unger stated because fishermen lend to an industry that is beneficial to the City, she will not support charging them to park their trailers. Councilmember Anderson stated the reason this issue is before Council is because of a few commercial fishermen who abuse the situation. He said there are some people who want to leave their gear up and occupy a space all season, and there are other people who wish to use that space. Councilmember Anderson said there is a need for some restriction, and some people could park on Morro or Olive, although they would still be subject to City parking restrictions. Mayor Yates stated he agrees with Councilmember Anderson and supports the status quo with no overnight camping. He said all other options require money, and maintenance will be performed in any event. Councilmember Novak suggested trailer boats park three days free in the main parking lot, and 11 spaces be provided on the other side for those who know they will be out longer than three days. Councilmember Novak said a permit process was a lot of work and still would not prevent continuing boat storage. She expressed support for Proposal No. 4. Mayor Yates stated the problem would arise when recreational boaters would be told they could not use spaces reserved only for commercial fishermen. MOTION: Mayor Yates moved the City Council adopt Proposal No. 1 enforcing the current law. The motion was seconded by Councilmember Crotzer and carried with Councilmembers Novak and Unger voting no. (3-2) Mayor Yates called for a break at 8:55 p.m.; the meeting resumed at 9:10 p.m. D-3 RESOLUTION NO. 02-96 APPROVING A TEN YEAR EXTENSION OF MORRO BAY GARBAGE SERVICE'S SOLID WASTE FRANCHISE AGREEMENT Public Works Director Bill Boucher reviewed the request for a ten year extension on its current Solid Waste Franchise Agreement commencing January 1, 1997 and terminating December 31, 2006. Administrative Assistant Janeen Burlingame stated Morro Bay Garbage Service has obtained permits for expanding on 22 acres to provide landfill capacity for 20 years. She said without expansion, Cold Canyon Landfill will close within one year. Ms. Burlingame recommended Council approve Resolution No. 02-96 approving the ten year extension. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 14 • Mayor Yates explained the system proposed would charge for the actual weight of garbage; the rationale behind the system is the less one throws out the less one pays for. Mr. Boucher noted the condition for a firm commitment to a Material Recovery Facility and the condition for a pay -by -the - pound system are only two potential conditions, and there are many other options. He said the proposed contract takes the City into the next century, and the goal should be to implement a state-of-the-art waste disposal system along with a state-of-the- art contract. Mr. Boucher said staff would like to see a streamlining of the contract along with a more user-friendly format, as well as taking a fresh look at liability issues. Councilmember Unger stated she does not want to tie the City up with a ten-year contract without knowing what kind of service is most desirable. She said she does not want to make a mistake which would cost the City more money in the future, and there may be a company which can perform both services for less money; Council needs to review the proposed RFPs. Councilmember Anderson said he agrees with Mr. Boucher in streamlining and rewriting the existing contract. He said state- of-the-art programs are very expensive when they first appear, and it would be better to let other cities test the program • before Morro Bay spends a lot of money on it. Councilmember Crotzer said throwing everything in one bag is regressive and counter to all citizens have learned over the years. He believes education should be used to reduce waste. Mayor Yates opened the hearing to public comment. Steve McGrath, representative of RALCCO, stated the RFP process is the only way for the City to ensure the best possible deal, and ten years is a long time. Barbara Zeitman-Olsen, representative of Waste Management Company, concurred with Mr. McGrath, stating it is unusual to still find ten-year extensions because the business is changing so rapidly, including the use of variable can rates and one -pass vehicles which pick up both refuse and recyclables. She said ten-year contracts discourage investment in different solutions. Ms. Zeitman-Olsen said her company is a leader in recycling, has its own landfills, and uses a system called WMS. Ed Ewing stated a ten year contract is too long. He said he agrees with payment by the pound. Mr. Ewing stated he feels long- term franchises cause monopolies. • • rI MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 15 Rosalie Valvo stated there have been rumors the orange bag service is on the chopping block because the garbage company does not like its lack of profitability. She asked for an option to pay $3 or less if the orange bag service is eliminated. Lynda Merrill stated she hopes Council will consider free enterprise as a good method, and urged the contract be sent out for competitive bid. Nancy Bast said she did not believe the best interests of the citizens would be served by automatic renewal of the garbage company contract because the business is changing so rapidly. She urged Council to accept competitive bids, and stated red flags should go up when the people who collect the trash also own the dump. Bill Raflowski urged Council to accept competitive bids. He said reduction of expenses would make people feel a lot better about this Council. Bill Mohoff, representative of RALCCO, agreed the industry is changing rapidly. He has seen the industry progress from landfill burning to landfill conservation and now to resource recovery, and some communities in the Central Valley are achieving a 60% to 70% diversion rate without computerization or heavy-duty mechanization. Mr. Mohoff stated long-term contracts do not encourage innovation, and the City should utilize the RFP process to receive the best price and best service, as well as meet the State mandate. Mayor Yates closed the hearing to public comment. MOTION: Mayor Yates moved the City Council deny Morro Bay Garbage Company's request for a ten-year extension of the franchise agreement. The motion was seconded by Councilmember Crotzer and unanimously carried. (5-0) D-4 CONSIDERATION OF REQUEST FOR PROPOSALS FOR SOLID WASTE AND CURBSIDE RECYCLING FRANCHISE AGREEMENTS Administrative Assistant Janeen Burlingame reviewed the RFP process. She stated the City's vision and goals for the next time period are most important. Ms. Burlingame asked for Council direction in order to put together an RFP. Public Works Director Bill Boucher stated his hopes are by late spring or early summer, staff will have a contract ready for signature, which will also address any County waste stream concerns expressed by the garbage company. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 16 • Councilmember Crotzer stated recyclables should become valuable enough for the City to benefit; and perhaps be profitable in the future. He would prefer the City come closer to 50% sooner rather than later. Councilmember Anderson stated he feels the time line should be shortened, as it sounds as if the solid waste and recycling contracts will be combined to save money for the community. He said a shortened time would help make sure Cold Canyon Landfill financing is not jeopardized. Councilmember Anderson stated the idea of one company and one management system makes business sense, and two companies driving two trucks side by side down the street is not efficient. Mayor Yates opened the hearing to public comment. Steve McGrath, representative of RALCCO, stated there is a balancing act between rushing the process and making sure the City gets what it needs. He said the City will be entering into a contract for a significant time, five years or longer. Mr. McGrath stated RALCCO can put together a good proposal in 60 days, and staff should allow flexibility in the process, in order for the bidders to put together the best possible contract components without being locked into specific mandates. • Barbara Zeitman-Olsen, representative of Waste Management Company, stated two months is acceptable and flexibility will allow bidders to become more creative and more resourceful. Harry Rogers stated the pay -by -the -pound system will encourage residents to use City dumpsters. Mayor Yates closed the hearing to public comment. Councilmember Unger stated staff has been wrestling with the problems of recycling and solid waste for years and are well qualified to write an RFP to eliminate or cure a lot of problems. She said rolloffs on construction sites are filled with materials which go to the landfill, and she would like to see the materials recycled. Councilmember Novak stated the vision for the future should include a total recycling concept. She suggested the consideration of a community composting center. Councilmember Crotzer stated ideas could be listed in the RFP which will allow the bidders more latitude for creative ideas. He said the idea of increasing the amount of recycling from business in general is a good one, as half of landfill tonnage is from business. Councilmember Crotzer stated he would hope the City will surpass the 50% goal within the next few years. MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING - JANUARY 8, 1996 PAGE 17 Mayor Yates stated he agreed with flexibility in the RFP, which is something the bidders would prefer. He said the term issue is troublesome, as he has heard ten years is too long but five years should be a minimum. Mayor Yates stated he understands the issue of capitalization costs versus changing technology, but he senses a longer term is desirable to keep rates down. Council directed staff to return to Council on January 22, 1996 with a polished version of the RFP. F. The meeting adjourned at 10:55 p.m. Recorded by: Bridgett Bauer City Clerk • 11