HomeMy WebLinkAbout01 - MinutesJuly 25, 2017
Agenda Item No. 1
CITY OF NEWPORT BEACH
City Council Minutes
Study Session and Regular Meeting
July 11, 2017
I. ROLL CALL - 6:00 p.m.
Present: Council Member Jeff Herdman, Council Member Brad Avery, Council Member Diane Dixon,
Council Member Scott Peotter, Council Member Will O'Neill, Mayor Kevin Muldoon
Excused: Mayor Pro Tem Duffy Duffield
II. CURRENT BUSINESS
SS1. Clarification of Items on the Consent Calendar - e
SS2. Fast Eddie Proclamation "alk
Council Member O'Neill read and presented Edward "Fast Eddie" Banelos, Coast Barber Shop,
with the proclamation. Fast Eddie thanked Council for the recognition and discussed the
history of his business.
SS3. Tyler Gunter Proclamation
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Mayor Muldoon read and presented Tyler Gunter with the proclamation. Tyler highlighted
the reasons for starting the annual surf contest at 54th Street and his involvement with the
Young and Brave Foundation.
III. PUBLIC COMMENTS _
Jim Mosher questioned the Paul Matheis Closed Session items and Item 3 (Adopt Decision Regarding
a Disability Retirement in the NBFD).
City Attorney Harp announced that the City Council would adjourn to Closed Session to
discuss the items as listed in the Closed Session agenda and read the titles.
IV. CLOSED SESSION - Council Chambers Conference Room
A. CONFERENCE WITH LEGAL COUNSEL
EXISTING LITIGATION
(Government Code § 54956.9(d)(1)): 2 matters
Paul Matheis v. City of Newport Beach
Office of Administrative Hearings, Case No. 2016-070710
Paul Matheis v. City of Newport Beach
Workers' Compensation Appeals Board Case No. ADJ7731364
V. RECESSED - 6:12 p.m.
VI. RECONVENED AT 7:00 P.M. FOR REGULAR MEETING
VII. ROLL CALL
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City of Newport Beach
Study Session and Regular Meeting
July 11, 2017
Present: Council Member Jeff Herdman, Council Member Brad Avery, Council Member Diane Dixon,
Council Member Scott Peotter, Council Member Will O'Neill, Mayor Kevin Muldoon
Excused: Mayor Pro Tem Duffy Duffield
VIII. CLOSED SESSION REPORT
City Attorney Harp reported that there were no reportable actions taken.
IX. PLEDGE OF ALLEGIANCE - Council Member Peotter
X. INVOCATION - Mayor Muldoon
XI. NOTICE TO THE PUBLIC
XII. CITY COUNCIL ANNOUNCEMENTS (NON -DISCUSSION ITEM)
Council Member O'Neill reported that he spoke before The Elite OC Young Professionals Society;
attended Newport Beach Police Officer Vlad Anderson's retirement celebration, the July 4th Mariners
Parade, the Ben Carlson memorial events on July 6; and announced that Fast Eddie was honored
during Study Session for operating his business in Corona del Mar for 50 years. He also requested a
future agenda item to amend the Finance Committee to remove the meeting time and change the
citizen committee member terms from calendar years to fiscal years.
Council Member Dixon utilized a PowerPoint presentation to discuss her attendance at the July 4th is
for Families event on the Peninsula and provided statistics/information about the Balboa Trolley. She
also recognized Municipal Operations and Public Works staff for their hard work over the holiday
weekend.
Council Member Herdman reported that he was at Marina Park for the July 41h police briefing by
Police Chief Lewis and reported on his attendance at the July 4th Mariners Parade. He also announced
he attended the Concert on the Green on July 9 and that the Pacific Symphony will be performing in
the Civic Center Green on July 16. He utilized a PowerPoint presentation to announce the Park
Avenue Bridge Ribbon Cutting Ceremony on July 25.
Mayor Muldoon read a Thank You letter from Our Lady Queen of Angels Church for the City's grant
to assist the Helping Hands Program and displayed a photo from the July 11 Big Canyon Restoration
and Water Quality Improvement Project Ribbon Cutting. He reported that he was the Grand Marshal
at the American Legion's July 4th All Glory Boat Parade.
XIII. PUBLIC COMMENTS ON CONSENT CALENDAR - None
XIV. CONSENT CALENDAR
READING OF MINUTES AND ORDINANCES
1. Minutes for the June 27, 2017 City Council Meeting [100-20171
Waive reading of subject minutes, approve as written, and order filed.
2. Reading of Ordinances
Waive reading in full of all ordinances under consideration, and direct the City Clerk to read by
title only.
RESOLUTION FOR ADOPTION
3. Adopt Decision Regarding a Disability Retirement in the NBFD [100-20171
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City of Newport Beach
Study Session and Regular Meeting
July 11, 2017
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly; and
b) The City Council, in accordance with applicable law, adopt Resolution No. 2017-27, A
Resolution of the City Council of the City of Newport Beach, California, Adopting the Decision
in the Industrial Disability Retirement of Paul Matheis, thereby denying the Industrial
Disability Retirement of Paul Matheis.
Mayor Muldoon abstained on Item 3 and Council Member Dixon amended the
recommendation to remove, `; or provide other direction to counsel for the City."
CONTRACTS AND AGREEMENTS
4. Police Headquarters and Fire Station #3 Roofing Project — Notice of Completion of
Contract No. 8211-1 (Project No. 17F02) [38/100-20171
a) Accept the completed work and authorize the City Clerk to file a Notice of Completion for the
project. On October 25, 2016, the City Council found this project exempt from the California
Environmental Quality Act (CEQA) pursuant to Section 15302(c);
b) Authorize the City Clerk to release the Labor and Materials Bond 65 days after the Notice of
Completion has been recorded in accordance with applicable portions of the Civil Code; and
c) Release the Faithful Performance Bond one year after the acceptance by the City Council.
5. Professional Services Agreement with Sampson Oil Company for Oil Well Management
Services (C-8490-1) [38/100-20171
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly; and
b) Authorize the Mayor to execute a Professional Services Agreement with Sampson Oil Company
for an amount not to exceed $1,213,200 over a three-year contract term. Of this amount,
$104,400 is for the day-to-day routine maintenance operations of the oil fields per year, and
$300,000 per year for unforeseen as -needed maintenance and repairs.
6. Agreements for Asphalt Repair Services with Hardy & Harper, Inc. (C-8508-1) and NPG,
Inc. (C-8509-1) [38/100-2017]
a) Determine that the action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not
result in a physical change to the environment, directly or indirectly; and
b) Approve the agreements with Hardy & Harper, Inc. and NPG, Inc. for as -needed asphalt repair
services for a three-year term in a not -to -exceed amount of $200,000 per vendor, and authorize
the Mayor and City Clerk to execute the agreements.
7. Tentative Agreement with the Association of Newport Beach Ocean Lifeguards
(ANBOL) (C-2058) [38/100-20171
a) Determine that the action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not
result in a physical change to the environment, directly or indirectly; and
b) Receive and consider the Tentative Agreement between the City of Newport Beach and the
Association of Newport Beach Ocean Lifeguards.
MISCELLANEOUS
8. Planning Commission Agenda for the July 6, 2017 Meeting [100-20171
Receive and file.
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9. Appointment to the Corona del Mar Business Improvement District Advisory Board of
Directors [100-20171
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action
will not result in a physical change to the environment, directly or indirectly; and
b) Appoint Ernie Caponera, representing Newport Properties, as the eighth member to the
CdM BID Advisory Board of Directors for the remainder of FY 2017-2018.
Motion by Council Member Dixon, seconded by Council Member O'Neill, to approve the
Consent Calendar; noting the abstention by Mayor Muldoon on Item 3 and the amendment to the
recommendation on Item 3 by Council Member Dixon.
The motion carried by the following roll call vote:
Ayes: Council Member Herdman, Council Member Avery, Council Member Dixon, Council Member
Peotter, Council Member O'Neill, Mayor Muldoon
Absent: Mayor Pro Tem Duffield
XV. ITEMS REMOVED FROM THE CONSENT CALENDAR - None
XVI. PUBLIC COMMENTS ON NON -AGENDA ITEMS *f IV
Lynn Selich thanked the City Council for her reappointment to the City Arts Commission, announced
that the 1/1 Foundation will be holding a car wash on July 15th at the Dunes, announced that the
Pacific Symphony will perform on July 16th, and expressed her disappointment that City Arts
Commissioner Mike Kerr was not reappointed.
Ann Parker, member St. James the Great Church, expressed concern that the City is not preserving
Newport Beach's character by allowing too much development to occur.
XVII. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES - None
XVIIL PUBLIC HEARING
10. Local Coastal Program (LCP) Clean-up Amendment (LC2017-002) [100-20171
Planning Manager Alford utilized a PowerPoint presentation to discuss post-LCP submittal
changes, corrections/clarifications, shoreline height limits, the existing Zoning Code, height limit
exceptions, and planned community height limits.
In response to Council questions, Community Development Director Brandt indicated staff is
proposing a change to the Coastal Land Use Policy to allow flexibility for exceeding the shoreline
height limit which is already in the Zoning Code, and flexibility through the adoption of a planned
community to exceed the height limit depending on the project. She confirmed that the Zoning
Code allows planned communities to exceed the City's height limits and that staff would like to
include this language back into the Implementation Plan, explained what qualifies an area as a
planned community and provided examples within the City, reported Planning Manager Alford is
the City's Zoning Administrator; confirmed non -planned community homes being built on the
shoreline would need to be under 35 -feet tall, and that part or all of the amendments could be
modified by the Coastal Commission. Planning Manager Alford discussed the Banning Ranch area
and the proposed government facility height exception.
Mayor Muldoon opened the public hearing.
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Jim Mosher believed the proposed amendments would create bad laws, discussed past zoning codes
and general plan updates, took issue with creating planned communities and allowing exemptions
to their height limits, and questioned why the Lido House Hotel is over the height limit.
Carol McDermott expressed support for the proposed clean-up amendments, noting that many of
the City's planned communities are not in the coastal zone and would not be affected. She
discussed the efforts involved with updating the LCP.
In response to public comments, Community Development Director Brandt reported that the
planned community height limit language has been interpreted correctly by staff, explained that
the proposed language needs to be included in the Coastal Land Use Policy to support changes in
the Implementation Plan, and reported that the Marina Park and Lido House Hotel exceptions
are already in the Implementation Plan and it is not necessary to have them in two places. City
Attorney Harp stated that NBMC 20.30.060(c)(1) applies to all planned communities, not just the
planned communities that were in existence in 1972. Planning Manager Alford reported the City
submitted a Notice of Availability to the Coastal Commission and other agencies in February, but
has not received any formal communications back.
Council Member Dixon suggested coming back with clarifying language regarding the Zoning
Code relative to existing planned communities. Community Development Director Brandt
explained that in order for a rezoning request to become a planned community, legislative action
must occur, which would require public hearings before the Planning Commission and the City
Council, and, if approved by the City Council, would go before the Coastal Commission for an LCP
amendment.
Community Development Director Brandt pointed out the policy question is whether the City
Council wants the ability to consider potential future projects that involve a planned community
text that may exceed shoreline height limits. She affirmed that the LCP is the prevailing height
limit document.
Jim Mosher requested that Council maintain the 35 -foot height limit, took issue with the City's
interpretation of NBMC 20.30.060(c)(1), and stated his interpretation of the Code section.
Hearing no further testimony, Mayor Muldoon closed the public hearing.
Motion by Council Member Dixon, seconded by Council Member Herdman, to continue
the item in order to receive more information relative to the height limits for planned communities.
Council Member Peotter suggested approving the resolution without the planned community text
amendment.
Amended motion by Council Member Dixon, seconded Council Member Herdman, to
a) determine the action to adopt LCP Amendment No. LC2017-002 is statutorily exempt from
California Environmental Quality Act (CEQA) pursuant to Section 15265(a)(1) of the California
Code of Regulations, Title 14, and Chapter 3 of the Coastal Act; and b) adopt Resolution No. 2017-
45, A Resolution of the City Council of the City of Newport Beach, California, Authorizing the
Submittal of Local Coastal Program Amendment No. LC2017-002 to the California Coastal
Commission (PA2017-047), with the removal of the portions of the amendment in Exhibit A that
would allow the heights limits established for a planned community district to exceed the shoreline
height limit.
In response to Council questions, Planning Manager Alford reported that Citywide height limits
depend on the type of roof used and explained where shoreline height limits apply.
The amended motion carried by the following roll call vote:
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Study Session and Regular Meeting
July 11, 2017
Ayes: Council Member Herdman, Council Member Avery, Council Member Dixon, Council
Member Peotter, Council Member O'Neill, Mayor Muldoon
Absent: Mayor Pro Tem Duffield
XIX. CURRENT BUSINESS
11. Special Event Support Program FY 2017-2018 Funding Recommendations [381100-20171
Deputy City Manager Finnigan utilized a PowerPoint presentation to highlight the funding
recommendations, including the request to raise the Field of Honor Event request from $1,000 to
$2,700. She referenced and discussed an addendum to the staff report relative to the Christmas
Boat Parade, and requested Council not consider the Special Event Support Program changes
tonight.
Council Member O'Neill recused himself from discussions relative to the Exchange Club
request and left the dais. There being no discussion relative to this request, Council
Member O'Neill returned to the dais.
Steve Rosansky, President and CEO of the Newport Beach Chamber of Commerce, showed a video
and PowerPoint presentation to discuss the Boat Parade and report on its economic impacts,
media attention, attendee resources, social media use, and community benefits and support.
Following a straw vote, the City Council unanimously expressed support for moving forward with
the agreement to continue City support of the Boat Parade.
Jim Mosher expressed support for changing the Special Event Support Program policy to wean off
frequent grant recipients from using City funds and create a "time-out" period every five years.
Brian Horn, Hoag Charity Sports Board of Directors, stated that Hoag Hospital has been the host
operator of the Toshiba Classic Tournament for 20 years, discussed how it donates to charitable
and local events and organizations, and highlighted the event's economic impact to the City. He
discussed upcoming challenges facing the Tournament and explained that funds from the City
would be used to attract new fans to the Tournament. He requested that Council reconsider staff's
funding recommendation in order to reenergize the Tournament.
In response to Council questions, Mr. Horn indicated he would prefer to receive $50,000. Deputy
City Manager Finnigan reported that City permit fees cost about $11,000 to $12,000 per event and
the City has not donated to the Tournament since the new special events format has been
implemented. Jeff Purser, Executive Director of Hoag Charity Sports, indicated that the
Tournament also pays $20,000 to off-duty officers and Explorer Scouts, and discussed how Toshiba
might not be able to be the title sponsor of the Tournament after 2019. Deputy Recreation and
Senior Services Director Levin clarified that special event permits require a certain level of
enforcement from the Newport Beach Police Department, but he is unaware of the use of off-duty
officers and Explorers. City Manager Kiff confirmed that no Newport Beach Police Officer works
a special event outside of their assignment that is covered in the existing fee schedule.
Motion by Mayor Muldoon, seconded by Council Member Dixon, to a) determine that the
action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections
15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not result in a physical change
to the environment, directly or indirectly; b) approve the amended Special Event Support
recommendations for Fiscal Year 2017-2018, including the waiver of permit fees of up to $15,000
for the Toshiba Classic Tournament for next year's tournament and increasing the grant amount
from $1,000 to $2,700 for the Field of Honor Event; c) authorize staff to execute one-year grant
agreements with event organizers for the Komen Orange County Race for the Cure (C -8082-2A),
Newport Beach Restaurant Week (C -8082-3A) and the Newport to Ensenada Yacht Race (C -8082 -
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5); and d) authorize staff to enter into a new grant agreement with the Newport Beach Chamber
of Commerce for the Christmas Boat Parade event (C-8082-6) for an initial three-year term
commencing August 1, 2017 with dispersal of Grant Funds in equal installments of $50,000 on the
following dates: 1) July 1, 2018, 2) July 1, 2019, and 3) July 1, 2020. If the City does not terminate
the agreement prior to the expiration of the initial three-year term, then the agreement will
automatically renew for an additional one year with dispersal of additional Grant Funds in one
installment of $50,000 on July 1, 2021. The agreement would provide grant funding for a total of
$150,000 for the initial term, plus an additional $50,000 (for a total of $200,000) if the agreement
automatically renews for a fourth year.
Council Member O'Neill expressed concern that special event funds are paid by the General Fund.
He discussed the Visit Newport Beach (VNB) restricted fund and its use, suggested using some of
that money to assist the Boat Parade, and offered a friendly amendment to the motion, as such.
He clarified, however, if the VNB restricted fund no longer existed, the money would come from
the General Fund.
Amended motion by Mayor Muldoon, seconded by Council Member Dixon, to a) determine
that the action is exempt from the California Environmental Quality Act (CEQA) pursuant to
Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not result in a physical
change to the environment, directly or indirectly; b) approve the amended Special Event Support
recommendations for Fiscal Year 2017-2018, including the waiver of permit fees of up to $15,000
for the Toshiba Classic Tournament for next year's tournament and increasing the grant amount
from $1,000 to $2,700 for the Field of Honor Event; c) authorize staff to execute one-year grant
agreements with event organizers for the Komen Orange County Race for the Cure (C -8082-2A),
Newport Beach Restaurant Week (C -8082-3A) and the Newport to Ensenada Yacht Race (C-8082-
5); and d) authorize staff to enter into a new grant agreement with the Newport Beach Chamber
of Commerce for the Christmas Boat Parade event (C-8082-6), using funds from the VNB restricted
fund, for an initial three-year term commencing August 1, 2017 with dispersal of Grant Funds in
equal installments of $50,000 on the following dates: 1) July 1, 2018, 2) July 1, 2019, and
3) July 1, 2020. If the City does not terminate the agreement prior to the expiration of the initial
three-year term, then the agreement will automatically renew for an additional one year with
dispersal of additional Grant Funds in one installment of $50,000 on July 1, 2021. The agreement
would provide grant funding for a total of $150,000 for the initial term, plus an additional $50,000
(for a total of $200,000) if the agreement automatically renews for a fourth year.
City Manager Kiff noted that a budget amendment will be generated to reflect the change in
funding source, but it does not need to come back to Council.
Council Member Peotter suggested using the VNB restricted fund for all the special event funding
requests. Council Member O'Neill noted that the money is supposed to be used by the City Arts
Commission for the sculpture garden and his proposal would not deplete the funds, especially since
the Boat Parade generates Transient Occupancy Tax (TOT) money.
Council Member Avery believed there should be more discussion about assisting Hoag Hospital
and other community partners.
Referencing the agreement with the Chamber, Council Member Peotter expressed concern with
locking future Councils to a long-term contract and suggested making the one year extension
optional, instead of automatic.
Mr. Rosansky discussed why a four-year contract was important for the security of the Boat
Parade, pointed out that the agreement included an option to opt -out of the agreement, and
indicated he would just request a longer contract when the one-year option is brought before the
Council at that time.
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Substitute motion by Council Member Peotter to amend the current motion to make the
Newport Beach Chamber of Commerce agreement's fourth year optional, not automatic.
The motion died for lack of a second.
Daniel Hodge, Commodore of the Newport Ocean Sailing Association (NOSA), requested Council
support for funding the Newport to Ensenada Yacht Race.
Deputy City Manager Finnigan requested and received confirmation that the motion includes the
grant amount increase from $1,000 to $2,700 for the Field of Honor Event. Further, she reported
that staff would come back with the Special Event Support Program changes and that the Toshiba
Classic Tournament will be placed in the Community and Charitable Category.
The amended motion carried by the following roll call vote:
Ayes: Council Member Herdman, Council Member Avery, Council Member Dixon, Council
Member Peotter, Council Member O'Neill, Mayor Muldoon
Absent: Mayor Pro Tem Duffield * is
XX. MOTION FOR RECONSIDERATION - None
XXI. ADJOURNMENT - Adjourned at 9:03 p.m. in memory of Eleanor Todd and Dale Dykema
The agenda was posted on the City's website and on the City Hall Electronic Bulletin Board
located in the entrance of the City Council Chambers at 100 Civic Center Drive on
July 6, 2017, at 4:00 p.m.
Leilani I. Brown City Clerk
r
Kevin Muldoon, Mayor
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