HomeMy WebLinkAbout01 - MinutesJuly 10, 2018
CITY OF NEWPORT BEACH Agenda Item No. 1
City Council Minutes
Study Session and Regular Meeting
June 26, 2018
I. ROLL CALL - 4:32 p.m.
Present: Council Member Brad Avery, Council Member Diane Dixon, Council Member Jeff
Herdman, Council Member Kevin Muldoon, Council Member Scott Peotter, Mayor Pro Tem
Will O'Neill, Mayor Duffy Duffield
II. CURRENT BUSINESS
SS1. Discussion Relating to Amending the City Charter Regarding Majority Voter
Approval of Certain Debt
City Manager Kiff noted the election item on the
purpose of the proposed Charter amendment., and
threshold, if the amount should be adjusted amn.uzal
Larry Tucker, Finance Committee member Out.
the proposal was not brought before the Finaice,.
be handled, if reserves would be used in the futu
bind future City Councils.
meeting agenda, reviewed the
Council can decide on a dollar
there should be exemptions.
Eg a i an individual, expressed concern
it.tee. He asked how a campaign would
void going to a vote, and how it would
Jim Mosher believed the proposal has not been reviewed thoroughly, suggested postponing
placing this on thb November ballot, questioned the deadlines outlined in the staff reports,
suggested creating'a legislative committee, and raised questions and concerns with the
Charter amendment.
Bob McCaffrey discussed Proposition 13, believed taxpayers should decide on large City
spending, and suggested a 2/3 voter approval threshold.
Council Member Muldoon noted this was discussed two years ago, staff did not take it to the
Finance Committee, Council should decide these types of issues, costs can be estimated to
see if there is voter support for the project., discussed when Certificates of Participation (COP)
would be used, discussed the purpose of the proposal, agreed it should not bind future
Councils on unreasonable projects, suggested placing a 55% voter approval with a $25 million
threshold, and agreed that an emergency exemption should be included.
Council Member Peotter indicated he has been a supporter of this since 2014 due to the cost
of the city hall and park project, believed the past Council obligated future voters to pay the
debt on this project, took issue with growing government, expressed support for the suggested
thresholds, and suggested amending the ballot description language.
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City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
In response to Council questions, City Clerk Brown discussed election deadlines. City
Manager Mff confirmed most of the current. Council Members will not be seated when 18 of
the 19 large projects will be considered, reported on city hall and park project payment
amounts and subsidies, and thatit represents about 4.7% of the general fund expenditure
budget. Bond Counsel Brian Forbath, Stradling, Yocca Carlson & Rauth, confirmed COPS
could be used for the sea wall project and discussed the possible need for an asset transfer
for that. project.
Council Member Dixon suggested exempting police and fire facilities, and having a
$30 million or $40 million threshold with a 2/3 vote.
Mayor Pro Tem O'Neill indicated he could support a $50 million threshold due to funding
concerns, noting Facilities Financing Plan (FFP) funding is associated with development.. He
noted City Councils set aside money every year for Harbor capital improvements; however,
expressed concerns with drawing clown the FFP to a point that the City would need to use
general fund money or reserves.
Mayor Duffield discussed the concerns he heard fro
the city hall and park project and indicated the proj
a vote.
Council Member Avery emphasized Coun
than necessary for the city hall and park
and expressed his reticent, support fox a 5!
annual adjustments.
Council Member Peotter discussed
a dollar threshold. City Manager
more time to review the suitaresdol
The following straw
consideration durint
• $50 million iW
ty
about the daily cost to pay for
t have been smaller if it went to
ufiy, believed the City spent, more
what a campaign would look like,
-al and $50 million threshold, with
of the general fund budget rather than
rney Harp indicated they would need
ducted in order to draft language and bring it back for
eting (It.em 23):
Member Dixon, Council Member Avery, Mayor Pro Tem
2/3 of the oleetors voting on the proposition — Council Member Muldoon, Council Member
Peotter and.:M vor Duffield
55% of the electors voting on the proposition — Council Member Muldoon, Council
Member Dixor,.,0ouncil Member Avery and Mayor Pro Tem O'Neill
Exemption for police and fire facilities — Council Member Dixon and Council Member
Avery
City Attorney Harp indicated he and City Manager Kiff would also draft, an amended ballot
description and bring it back for consideration during the regular meeting.
III. PUBLIC COMMENTS
Jim Mosher suggested prohibiting omnibus Charter amendments and instituting some type of run-
off election. He referenced his written comments about the noticing of Closed Session items and
commended the description for Item IV.D, but believed the City Attorney's legal analysis of what
could be discussed should be made public.
Larry Tucker discussed including an exemption to the proposed Charter amendment regarding
emergencies that could ultimately cause damage to someone else's property.
Nancy Skinner asked what the proposed Charter amendment's $50 million threshold would cost per
household and the definition of disaster and emergency.
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City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
Keith Curry calculated the per household amount on the $50 million threshold and believed it would
represent. about: 2.5% of the City's budget.
Lesley Miller discussed the agreement between the City and residents relative to the alley between
Ocean Front and East Ocean Boulevard, and requested that, before the City deems the project
complete, it require the developer or contractor to restore the alley and replace the pavers.
City Attorney Harp announced that the City Council will not be meeting relative to Item
IV.D; however, reported the City Council would adjourn to Closed Session to discuss the
remaining items as listed in the Closed Session agenda and read the titles.
IV. CLOSED SESSION
A. CONFERENCE WITH LABOR NEGOTIATORS
(Government Code § 54957.6): 1 matter
Agency Designated Representatives: Dave Kiff, City Manager, Carol Jacobs, Assistant City
Manager, Barbara Salvini, Human Resources Director, and Peter Brown; Labor Negotiators.
Employee Organizations: Newport Beach Lifeguard Marqement Association (NBLMA);
Newport Beach City Employees Association (NBG'EA) New po7rt Beach Firefighters Association
(NBFA); Newport Beach Fire Management. Association (NBFMA); Newport Beach Police
Association (NBPA); Newport Beach Police Management Association (NBPMA); Newport Beach
Professional and Technical Employee Asaoci.ation (NBPTEA); and Newport Beach Employees
League (NBEL).
B. CONFERENCE WITH LEGAL COUNSEL
ANTICIPATED LITIGATION.-,,;INITIATI('lN`OF LITIGATION
(Government Code § 54956.9(d)(4); 1 matter
C. CONFERENCE WITH LEGAL COUNSEL
ANTICIPATED LITIGATION
(Government Code 54966 9(d)(2) and § 54956.9(e)(1)): 1 matter
D. PUBLIC EMPLOYEE APPOINTMENT
(Government Code 54957 (b)(1)): 1 matter
Title: City Manager.:: -Th City Council will consider all matters authorized by Government. Code
Section 54957 (b)(1) related to the appointment of a new City Manager; however, the City Council
will not be appointing a new City Manager at this meeting.
V. RECESSED - 5:44 p.m.
VI. RECONVENED AT 7:00 P.M. FOR REGULAR MEETING
VII. ROLL CALL
Present: Council Member Brad Avery, Council Member Diane Dixon, Council Member Jeff
Herdman, Council Member Kevin Muldoon, Council Member Scott Peotter, Mayor Pro Tem
Will O'Neill, Mayor Duffy Duffield
VIII. CLOSED SESSION REPORT - None
IX. INVOCATION - Council Member Peotter
X. PLEDGE OF ALLEGIANCE - Mayor Pro Tem O'Neill
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City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
XI. NOTICE TO THE PUBLIC
XII. CITY COUNCIL ANNOUNCEMENTS (NON -DISCUSSION ITEM)
Council Member Peotter:
• Announced increased enforcement to keep dogs out of the Santa Ana River Jetty area by the City
and County due to the least tern habitat
Council Member Dixon:
• Attended the opening day of the Newport Beach Junior Lifeguard program and thanked all staff
involved
• Announced the upcoming Finance Committee meeting on June 28, 2018, the 4,h of July is for
Families Bike Parade and Community Festival in Channel Place Park
Council Member Herdman:
• Attended the 54,h Annual Newport Beach Art Exhibition, the June 18, 2018 Aviation Committee
meeting, and a Vietnam Veterans Hero Day with Council Member Muldoon
• Announced upcoming Concerts on the Green performers
• Recognized Finance Director Matusiewicz and his staff far receiving a Certificate of Achievement
for excellence in financial reporting from the Goverj� ent Finance Officers Association
Council Member Muldoon:
• Attended the Vietnam Veterans Hero
participation at the event
commended Council Member Herdman for his
y Council meeting, the Living History luncheon
leek 2018 Banquet. honoring Trey Quinn, the
ceremony, and the Chapman Economic Forecast
XIII. PUBLIC COMMENTS +CSN CONSENT CALENDAR
the City and encouraged everyone to have
Jim Mosher questioned the amount of the new pay structure for K-9 Officers in Item 5, took issue
with the Water Quality/Coastal Tidelands Committee not properly being informed of Items 11 and
12, and commented on the "process taken by the Community Development Director regarding the
Coastal Development Permit: waiver for the De Minimis Development (Item 15).
In response to Mr. Mosher's comment, Council Member Herdman indicated that the Water
Quality/Coastal Tidelands Committee was well aware of both Items 11 and 12 and had been working
on reaching the two agreements with the County of Orange for over a year.
XIV. CONSENT CALENDAR
READING OF MINUTES AND ORDINANCES
1. Minutes for the June 12, 2018 City Council Meeting [100-20181
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.
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ORDINANCES FOR INTRODUCTION
3. Creation of a Harbor Department [100-20181
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) Introduce Ordinance No. 2018-10, An Ordinance of the City Council of the City of Newport
Beach, California, Creating a Harbor Department and Folding the Harbor Resources Division
into the Engineering Services Division of the Public Works Department, and pass to second
reading on July 10, 2018;
c) Introduce Ordinance No. 2018-11, An Ordinance of the City Council: of the City of'Newport,
Beach, California., Amending the Title and Introductory Table of Chapter 2.12, Section
2.12.010 and Adding Section. 2.12.120 to Title 2 of the Newport. Beach Municipal Code,
Pertaining to the Harbor Department. and pass to second reading on July 10, 2018; and
d) Adopt Resolution No. 2018-40, A Resolution: of the City Council of the City of Neu;port Beach,
Californ-ia, Creating Positrons and Amending and Establishing Position Classifications and
Salary Ranges for the Harbor Depa.r•tm.en.t.
Mayor Duffield recused himself on Item 3 due to bust#4* interest and source of income
conflicts.
RESOLUTIONS FOR ADOPTION
4. Proposed Creation of a Civilian Fire Marshal Nsi tion [100-20181
a) Determine that the action is exempt fx6m the California Environmental Quality Act (CEQA)
pursuant. to Sections 1.5060(c)(2) and 15060(e)(3) of the CEQA Guidelines because it will not
result in a physical change to the enVftWn1e� t, directly or indirectly;
b) Adopt Resolution No. 2018-41,A Resolution rbf the City Council of the City of Newport Beach.,
California, Creating a ChWiah Fire" Ma.rsh:al Position and Establishing the Position
Classification and Salary' Ralzge.
...............................................
5. Resolution No. 2018-42: Adapting Memorandum of Understanding with the Newport
Beach Police Association (NBPA) and Associated Salary Schedule (C-2056) [38100-
20181
a.) Determine that the acti6n is exempt from the California Environmental Quality Act. (CEQA)
pursuant to §§150
60(c)(4): 15060(c)(3) of the CEQA Guidelines because it will not result
in a physical chaxge to the environment, directly or indirectly; and
b) Adopt Resolution'N 2018-42, A Resolutionof the City Council of the City of Newport Beach,
California, Adopting a Memorandum of Understanding Bet.0.,een the City of Newport Beach
and the Newport Beach Police Association: and Associated Salary Schedule.
6. Update of Council Policy F-14 (Authority to Contract) [100-20181
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) Adopt Resolution No. 2018-43, A Resolution of the City Council of the City of Newport Beach,
California, Amending City Council Policy F-14, Authority to Contract.
7. Formation of Community Facilities District for Uptown Newport [100-20181
a) Determine this the action is exempt, from the California Environmental Quality Act (CEQA)
pursuant to §§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) Adopt Resolution No. 2018-44, A Resolution, of the City Council of the City of Newport Beach,
Ca.liforni.a: (1) Authorizing the California Statewide Communities Development Authority
(`Authority) to Form a Community Facilities District with.irt. the Territorial Limits of the City
of Newport Beach to Finance Certain Public Improvements; (2) Embodying a Joint
Coinnuinity Facilities Agreentent. Setting Forth the Terris and Conditions of the Cominunity
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City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
Facilities District. Financing; (.3) Approving an Acqu.i.siti.on. Agreeinen.t among the Au.th.ority,
the City anal the Developer; and (4) Au.thori..zing Staff to Cooperate with the Aut.hordy anal its
Consultants in. Cowtection. Th.erewi.th..
CONTRACTS AND AGREEMENTS
8. Corporation Yards Painting Project — Notice of Completion for Contract No. 7153-1
(18F02) [38/100-20181
a) Accept the completed work and authorize the City Clerk to file a Notice of Completion for the
project.. On October 24, 2017, City Council found this project exempt from the California
Environmental Quality Act (CEQA);
b) Authorize the City Clerk to release the Labor and Materials Bond 65 clays after the Notice of
Completion has been recorded in accordance with applicable portions of the Civil Code; and
c) Release Faithful Performance Bond one (1) year after acceptance by the City Council.
9. Citywide ADA Curb Access Ramp Improvements — Notice of Completion for Contract
No. 7154-1 (181111) [38/100-20181
a) Accept the completed work and authorize the City Clerk to rile a Notice of Completion for the
project.. On November 14, 2017, the City Council' fo:and this project exempt from the
California Environmental Quality Act. (CEQA) pursuant to Class 2 Section 15302(c);
b) Authorize the City Clerk to release the Labor an 1Vlaterialr Bond 65 days after the Notice of
Completion has been recorded in accordance W" Applicahlo portions of Civil Code; and
c) Release Faithful Performance Bond one year after ace,eptance by the City Council.
11. Water Quality Educational Outreach Program — Approval of Professional Services
Agreement with Orange County Department of Education (C-8270-2) [38/100-20181
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) Award and approve, via single source selection, a five (5) year Professional Services
Agreement (PSA) with Orange County Department of Education, a public agency by and
through the Orange County Superintendent. of Schools, to provide educational outreach
services, for a not -to -exceed amount, of $225,000.00, and authorize the Mayor and City Clerk
to execute the agreement.
12. Cooperative Agreement to Implement Total Maximum Daily Load Programs for
Nutrients, Fecal Coliform Bacteria and Toxics in the Newport Bay Watershed (C-8559-
1) [38/100-20181
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City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
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 and the City Clerk to execute Cooperative Agreement M.A-080-
18011416 with the County of Orange and other upstream partners to implement these water
quality improvements, studies, monitoring, shared funding, and maintain compliance with
the TMDL mandates.
13. Agreements for As -Needed Building Maintenance and Repair Services (C-8560)
[381100-2018]
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) Approve on-call agreements for as -needed maintenance and repair services for a three-year
term with R.AMCO General Engineering Contractors (C-8560-1) for a not -to -exceed amount
of $300,000, John M. Rabun (C-8560-2) for a not-to-exeeed amount of $365,000 and TL
Veterans Construction (C-8760-3) for a not -to -exceed ar oUnt of $300,000, and authorize the
Mayor and City Clerk to sign the agreements.
MISCELLANEOUS
14. Planning Commission Agenda for the June
Receive and file.
16. Removed from the Consent Calendar
17. Removed from tW C.onsent Calendar
[100-20181
Development Located at
defined and is exempt from the California
t to Sections 15060(c)(2) and 15060(c)(3) of the
receive and file only and will not result in a
or indirectly; and
Motion by Mayor Fro `l'ew O'Neill, seconded by Council Member Herdman, to approve the
Consent. Calendar, except for the items removed (Items 16 and 17); and noting the recusal by Mayor
Duffield on Item 3, recusal by Mayor Pro Tem O'Neill on Item 7, and recusal by Council Member
Muldoon on Item 7.
The motion carried by the following roll call vote:
Ayes: Council Member Herdman, Council Member Muldoon, Council Member Dixon, Council
Member Peotter, Council Member Avery, Mayor Pro Tem O'Neill, Mayor Duffield
ITEMS REMOVED FROM THE CONSENT CALENDAR
16. Support for AB 448 — OC Housing Trust [100-20181
Council Member Dixon acknowledged what an important milestone AB 448 is, not only for
Newport Beach but also for all 34 cities in Orange County, explained how these funds would be
utilized to assist with the increased homelessness population, and introduced Jenn Lowe from
the Association of California Cities, Orange County (ACC -OC).
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Study Session and Regular Meeting
June 26, 2018
Jenn Lowe, ACC -OC Member Services Manager, provided a brief update on how ACC -OC was
involved in creating a Joint. Powers Agreement (JPA) - Orange County Housing Trust and
explained the approval process of AB 448, what it will do, and how the funds will be used to help
those that have been homeless for more than one year. She indicated the committee is moving
quickly due to a large housing bond on the November 6, 2018 ballot and confirmed that
participation in the JPA is voluntary.
Council Member Dixon reiterated the importance of this movement with all the Orange County
cities working together, indicated Senator John Moorlach, and the Orange County Board of
Supervisors, are in support of the bill, advised how the housing trust repository would work,
explained the gap funding process for participating cities, and confirmed there would be no cost
to the City to participate.
Motion by Council Member Dixon, seconded by Council Member Peotter, to 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
send a letter in support, of AB 448 (Daly, as amended June 14, 2018) as shown in the staff report.
Jim Mosher discussed the legislative analysis of
voting to create the JPA itself, which can be fort
allow the JPA to issue bonds to itself and go into
The motion carried by the following roll
Ayes: Council Member Herdman, Cc
Member Avery, Mayor Pro Tem
Noes: Council Member Muldoon,.,
fled that, Council would not be
station, but would be voting to
Council Member Peotter, Council
17. Confirm Annual Appointments �'the 'Finance Committee [241100-20181
Council Member Muldoon indicated it has been an honor to serve on the Finance Committee,
announced he will be relinquishing his seat to Council Member Peotter, and suggested naming
Mavor Pro Tem t'Neill asthe Chair.
Motion by Council Member Muldoon seconded by Council Member , to a) determine this
action is exempt from the California Environmental Quality Act. (CEQA) pursuant to Sections
..........................
15060(c)(2) and 1506(1-0") of the CEQA Guidelines because this action will not result in a
physical change to the environment, directly or indirectly; and b) confirm Mayor Duffy Duffield's
and individual City Council Members' appointments to the Finance Committee: (1) Mayor Pro
Tem Will O'Neill, who will serve as Chair; (2) City Council Member Diane Dixon; (3) City Council
Member Scott Peotter; (4) William Collopy based upon Mayor Duffield's recommendation; (5) Joe
Stapleton based upon City Council Member Brad Avery's recommendation; and (6) Larry Tucker
based upon City Council Member Jeff Herdman's recommendation. Council Member Kevin
Muldoon's citizen member appointment will proceed at a future City Council meeting by separate
action. The citizen appointees will serve a one-year term ending June 30, 2019.
The motion carried by the following roll call vote:
Ayes: Council Member Herdman, Council Member Muldoon, Council Member Dixon, Council
Member Peotter, Council Member Avery, Mayor Pro Tem O'Neill, Mayor Duffield
XVI. PUBLIC COMMENTS ON NON -AGENDA ITEMS
Lesley Miller expressed concerns over the enclosures for the Snowy Plovers and questioned why they
are needed, reported trash is piling up on the beach, and suggested the City create a contact number
to report excessive trash. She indicated there are ocean front houses negotiating with the Coastal
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City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
Commission to make improvements on their homes, believed the City is cooperating with the
attorneys of the home owners, indicated this will diminish property values on Peninsula Point, and
requested neighboring residents be notified of any increased paving or parking that may take place.
XVII. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES
Mayor Duffield reported on the Executive Watershed Committee meeting and indicated issues with
sediment trash and vegetation collecting in the Harbor are being addressed by beach cities upstream.
He announced that an agreement has been made so those cities will be contributing funds to assist
in paying for a. $70 million harbor dredging project, which could take some of the financial burden
off Newport. Beach.
XVIII. PUBLIC HEARINGS
Motion by Uouncil Member Herdman, seconded by Council Member Peotter, to a) adopt
Resolution No. 2014-45, A Resolution. of th.e� Cowi.cil of the City of Newport Beach. Confi.rining
the Leaving of Assessments fgrr the Fiscal Fear of July 1, 2018 to Jn.n .30, 2019 for the Newport
Beach Restaurant Associatipra Bus mess lits ovement Distri.ct., since protests represented less
than 50 percent of the total'assessrnent anloiInt; b) determine that the action is exempt from the
California Environmental Quality Art (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3)
of the CEQA GxQ1'dW1I1ne&i.beCause it will not result in a physical change to the environment.,
directly or indirectly; and e) apppint the following Newport Beach Restaurant Association
Business Improvieiment District members to serve as the Newport. Beach Restaurant Association
Business Improvement District's Advisory Board of Directors for Fiscal Year 2018-2019:
Phil Crowley, Molo Miry
.........................
Thaddeus Foret, The Winery Restaurant and Bar
Juan Carlos Godinez, Pizza Nova
Matthew Meddock, Sessions West Coast. Deli
Jordan Otterbein, A Restaurant. and Market.
Kenyon Parr, Five Crowns and Side Door
Eunjoo Pluenneke, Balboa Lily's
Christopher Roman, Fork, Knife + Spoon
Talia Samuels, representing Moulin
Ron Schwartz, Muldoon's Irish Pub
Jim Walker, The Bungalow Restaurant.
The motion carried by the following roll call vote:
Ayes: Council Member Herdman, Council Member Muldoon, Council Member Dixon, Council
Member Peotter, Council Member Avery, Mayor Pro Tem O'Neill
Recused: Mayor Duffield
19. Resolution Confirming the Levying of Assessments and Appointment of the Advisory
Board of Directors for the Corona del Mar Business Improvement District's Fiscal
Year 2018-2019 [100-20181
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Administrative Analyst Locey provided the staff report and City Clerk Brown announced no
protests were received.
Mayor Duffield opened the public hearing. Hearing no testimony, he closed the public
hearing.
Motion by Council Member Herdman, seconded by Council Member Dixon, to a) adopt
Resolution No. 2018-46, A Resolution of the City Council of the City of Newport. Beach Confirming
the Levying of Assessments for the Fiscal Year of July 1, 2018 to June 30, 2019 for the Corona del
Mar Business Improvement District, since protests represented less than 50 percent of the total
assessment amount.; b) 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
c) Appoint the following Corona del Mar Business Improvement District members to serve as the
Corona del Mar Business Improvement District's Advisory Board of Directors for Fiscal Year
2018-2019:
Ernie Caponera, Newport. Properties
Keith Dawson, Dawson & Dawson
Edward Hanley, Hanley Investment Group
Hamid Kianipur, 76 Gas Station
Scott LaFleur, representing Cafe Jardin
Scott Laidlaw, Laidlaw Schultz Architects
Shawn Lim, Rose Bakery Cafe
Jasmin Mortazavi. Mathnasium
Bernie Svalstad, Upland Stor King.
The motion carried by the following, roll
Ayes: Council Member
Member Peotter,
20. Resolution An
Holiday Period
mber Muldoon, Council Member Dixon, Council
Mayor Pro Tem O'Neill, Mayor Duffield
Temporary Closure of Selected Streets for the 4th of July
Police Chief Lewis and Deputy Police Chief Birch utilized a PowerPoint presentation to discuss
the goal for the July 4t.xholiday, display the Safety Enhancement Zone, highlight the increased
police presence, report on enforcement., citation and arrest data, and contact, and discuss where
the public can receive and provide the Police Department information.
Mayor Duffield and Council Member Dixon commended former Mayor Mike Henn for all his work
to change the atmosphere on the Peninsula during the July 4th holiday.
In response toCouncil questions, Police Chief Lewis encouraged residents and visitors to be
proactive if they know of upcoming issues or see problems on the Fourth of July, and reported on
the Police Department's increased enforcement relative to fireworks, especially on the beach.
Deputy Police Chief Birch explained that San Joaquin Hills Road is being closed so emergency
vehicles have access to the road.
Council Member Avery commended the Police Department and discussed the difference in the
holiday compared to 10 years ago.
Lesley Miller requested more trash containers at the Wedge during the holiday.
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Recreation Manager Harmon utilized a PowerPoint to highlight City -sponsored July 4th
celebrations, thank the citizen planning committee members and sponsors, and announce the
hours of operation for the Peninsula trolley service.
Nancy Skinner thanked the City and asked if Mayor Duffield was participating in the Mariners
parade.
Motion by Mayor Pro Tem O'Neill, seconded by Council Member Peotter, 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 itwill not result in a
physical change to the environment, directly or indirectly; and b) adopt Resolution No. 2018-52,
A Resolution of the City Council of the City of Newport Beach., California, Authorizing the Closure
of Back Buy Drive, the 100 Block of Orange Street from, Pacific Coast Highi.oay Traffic, Via Oporto
from. Via. Lido to 32,,d Street., San. Joaquin. Hills Road Between Back. Buy Drive and the Entrance
to Park Newport Apartments, and Via Malaga Between. Via Oporto and Via Lido.
The motion carried by the following roll call vote:
Ayes: Council Member Herdman, Council Member
Member Peotter, Council Member Avery, Mas
21. Public Meeting on the Proposed Mod
Improvement District's Management
Mayor Duffield recused himself
Member Dixon, Council
Mayor Duffield
Beach Tourism Business
and source of income conflicts.
22. Underground Utilijty Assessment District No. 117 — Award of Contract No. 7337-1 and
Authorization of Limited Obligation Improvement Bonds [38/100-2018]
Council Member Muldoon recused himself due to potential business interest conflicts.
Deputy Public Works Director Vukojevic and Finance Director Matusiewicz utilized a
PowerPoint presentation to highlight the boundary of the resident -driven assessment district,
review the cost., and discuss the project and financing schedules. City Manager Kiff pointed out
that this is not normally how the City handles assessment districts and believed the City's risk
is low and assists in keeping the project on schedule.
In response to Mayor Pro Tem O'Neill's question, Finance Director Matusiewicz confirmed the
residents already provided initial payment for the project, it would be a Council decision whether
to refund the money if the project was not approved, and, if the bonding did not move forward,
the City could loan the project, the money and further assess the residents.
Council Member Herdman emphasized that undergrounding projects are not just for aesthetic
reasons, as stated by the Southern California Edison (SCE) representative at a previous meeting,
commended staff for coming up with the idea to do the civil work on this project to keep the
project affordable, hoped it does this for future projects, and pointed out that this is an
assessment to the residents of the assessment district, not a tax.
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City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
Council Member Dixon commended staff, Council Member Peotter, and the residents of this
assessment district, and discussed the lawsuits that occurred due to transformers during the
Napa fire.
Council Member Peotter discussed the issues with the Balboa Island undergrounding project.,
pointed out this is a private/public effort., expressed hope other neighborhoods would take
advantage of this streamlined, less expensive process, and thanked the citizens for their efforts.
Patti Gorczyca, member of the assessment district working group, listed reasons why
undergrounding is important and not just for aesthetic reasons. She thanked City staff and the
City Council, especially Council Member Peotter, for assisting with the process and indicated the
residents are looking forward to the completion of the project.
Mark Simon thanked Council and City staff for their innovative thinking and requested Council
approval.
Motion by Council Member Peotter, seconded by Council Member Dixon, to a) find this
project exempt from the California Environmental Quality Act. (CEQA) pursuant to Class 2
Section 15302 (d) (conversion of overhead electrical utility drsfrbution lines where the surface is
restored to the condition existing prior to the undergrounding) of the CEQA Guidelines,
California Code of Regulations, Title 14, Chapter :3, because it vull. ,not have an adverse effect on
the environment; b) approve the project plans and sApecifr&ation. v50 award Contract: No. 7337-1
to Asplundh Construction Corp. for the bid amount 0 2,167,875.00 for Underground Utility
Assessment District. No. 117, and authorize. the Mayor tid City Clerk to execute the contract;
d) estaldish a contingency of $325,000.00 6pproximately 15% of total bid) to cover the cost, of
unforeseen work not included in the orrgrn0l e0ntrdet; e) approve Professional Services
Agreement. with NV5 of Irvine, California, fnr wh6t4ta-exceed fee of $293,269.00 for Construction
Administration and Residential Permit Support. Services (C-7337-2); and f) adopt Resolution
No. 2018-47, A Resolutionof the C.iA, G.Uncil of the City of Newport Beach, Ca:llfornaa,
Authorizing and Providing„fpr thp..Issuanee of Bonds Atrsu.an:t, to the Provisions of the
Improvement Bond Act of 1 16 for City of Newport Beach Assessment District No. 117 and
Approving Certain DoeZLtnen.ts a Arttlaorizi.ng Certain Actions in. Connection. Therewith.
The motion carried by the fol owthe:roll call vote:
Ayes: Council Member Herdman, Council Nleml_)er Dixon, Council Member Peotter, Council
Member Avery`, Mayor Pro Tem O'Neill, Mayor Duffield
Recused: Council MeniMuldoon
23. Calling the November 6, 2018 General Municipal Election — Proposed Charter
Amendment [39/100-2018]
City Manager Kiff reviewed the amendments to the resolutions and exhibit.
Jim Mosher questioned the cost, to add the measure to the ballot, reminded Council to update the
names in the resolution of the Council Members who will be writing ballot arguments, asked
additional questions for Council to consider, believed the ballot description needs more
amendments, and suggested waiting until the next meeting to approve the item.
Joy Brenner discussed unintended consequences of placing a Charter amendment on the ballot
and the importance of public input, believed and explained why she feels this is being done for
political reasons, and emphasized candidates need to abide by the contribution limits.
Nancy Skinner listed everything that was included in the city hall and park project, not just the
city hall building, and reviewed the bid and financing climate at the time the project was
approved.
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City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
Mayor Pro Tem O'Neill noted there was a Charter amendment on the ballot in 2016 and none of
the flyers had his photo on them, even though he was a proponent; however, noted independent,
expenditures were spent in favor of one of his opponents.
Council Member Herdman noted he received emails opposing this proposal, indicated there is no
effect on the community to use COPS and no municipalities in California or possibly the country
have this type of restriction, believed it is not a sound practice to restrict City Council's lease
obligation debt, and supported the continued use of C,OPs at the discretion of Council.
Council Member Muldoon believed this is an opportunity to give the voters more power over how
their money is spent and should go to a vote. He noted he requested this issue be reviewed by the
Finance Committee two years ago, but it never was.
Council Member Peotter took issue with the cost of the city hall and park project and believed
the voters would not have let the cost escalate. He stated the proposal will give voters a say when
Councils are going to encumber long term debt for the City.
Following a short recess, City Attorney Here` noted he has never seen more than three Council
IJ
Members place their names as authors to a Direct. Argument; however, the drafting of the
argument could he.done €luring A ripen meeting if Council proceeds with allowing a majority of
Council to write::. eargument.. He clarified that adding others to the list of authors would lose
the legislative prioxity for whit#•ing arguments.
motion by Uouncll Member Muldoon, seconded by Uouncil Member Peotter, to
a) determine that the action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(.)(3) of the CEQA Guidelines because it will not
result in a physical change to the environment, directly or indirectly; b) adopt amended
Resolution No. 2018-48, A Resolution of the City Council, of the City of Newport Beach, California,
Calling for the Holding of a General Mu. n.icipal Election to be Held on. Tuesday, Nouember 6, 2018,
for the Submission of a. Proposed CharterArnen.dm.errt; c) adopt amended Resolution No. 2018-49,
A Resolution of the City Coun.ci.l, of the City of Newport Beach, California, Requesting the Board
of Supervisors of the County of Orange to Consolidate a General Municipal Election to be Held on
Tuesday, November 6, 2018, ruith. the Statewide Primary Election to be Held on the Same Date
Pursuant to California. Elections Code Section 10403 for the Purpose of Submitting a Proposed
Charter Amendment; d) adopt amended Resolution No. 2018-50, A Resolution of the City Council
of the City of Newport Beach, California, Setting Priorities for Filing Written Arguments
Regarding a. City Measure, and DITectirrg the City Attorney to Prepare air Impartial Analysis;
e) adopt Resolution No. 2018-51, A Resolution. of the City Council of the City of Newport Beach,
California, Pr•oui.ding for the Fi.lirrg of Rebuttal Arguments for the City Measure Submitted to the
Voters at the General Municipal. Election to be Held, on. Tuesday, November 6, 2018, Pursuant to
California Elections Code Section. 9285; and f) designate Mayor Duffy Duffield, Council Member
Kevin Muldoon and Council Member Scott. Peotter to create a Direct. Argument and Rebuttal
Argument for the ballot measure.
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City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
The motion carried by the following roll call vote:
Ayes: Council Member Muldoon, Council Member Dixon, Council Member Peotter, Council
Member Avery, Mayor Pro Tem O'Neill, Mayor Duffield
Noes: Council Member Herdman
24. Newport Beach Voter Protection; Rescission of Resolution No. 2018-8 Relating to
Subpoenas [100-20181
Mayor Pro Tem O'Neill suggested striking references to Elections Code Sections 9607 and
9608(1:)), emphasized the proposal focuses on paid signature gatherers, is not being used to
invalidate signatures, helps ensure paid circulators are complying with State codes, and the only
additional burden is to provide a copy of the certificates to the City Clerk.
Council Member Dixon questioned the need to include regulations in the Newport. Beach
Municipal Code (NBMC), especially since no information has been provided relative to the
Orange County District. Attorney's investigation.
In response to Council Member Avery's questions, City:
Clerk Brown explained when the City's
election official should be receiving a certificate and confirmed she has never received one. Citv
Attorney Harp reiterated the intent is to ensure paid circulab*4R know the rules, is not onerous
to companies to provide the certificate for each pazdbare t,or, :and read the language included
in the Elections Code.
Council Member Muldoon noted lie N
fraud done to them and believed the
City Attorney Harp reviewed
from the subpoenaed compan
Council Member
again. He expres
layer of bureaucx
if he.was one of the people who had signature
seta voter integrity in the City.
ss, pursuant to the Charter, discussed the letter
ordinance deals with the issue that occurred.
proposal would prevent this from happening
• layer for the citizens to redress and another
In response to COunCT Meier Dixon's question, City Attorney Harp noted that every violation
of the NBMC is a misdemeanor, but they would work with the City Clerk's Office to ensure people
are aware of the regulation'..'
Nancy Skinner stated £he problem occurred when a signature gatherer hired someone else to
gather signatures. She believed Elections Code Sections 9608 and 9610 require the certificates
to be submitted to the proponent. City Attorney Harp indicated the proposal is to have the
company also submit the certificates to the City Clerk. Ms. Skinner believed the regulation has
nothing to do with forging signatures and hoped this could be discussed during a study session.
Jim Mosher agreed the regulation does not deal with forgery of signatures and the certificates
only acknowledge the signatures will not be used for any other purpose other than to qualify the
measure, and noted this would not affect, circulators of State petitions. He referenced the
company's letter, noted the regulation does not apply to recall or referendum petitions, and
believed the regulation would not be in the proper section of the NBMC and the method of
rescinding the resolution is incorrect.
Peggy Palmer requested regulations prohibiting the bullying of petition circulators.
Mayor Pro Tem O'Neill disagreed with Mr. Mosher's interpretation of the regulation and
indicated Ms. Palmer can submit proposed legislation to Council. Council Member Muldoon noted
it is illegal to harass circulators and the police should be contacted in those instances.
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City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
Motion by Pro Tem O'Neill, seconded by Council Member Muldoon, to
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; b) waive full reading,
direct. the City Clerk to read by title only, introduce amended Ordinance No. 2018-12, An
Ordinance of the City of Netcport Beach, California, Adding Section 1.26.050 to Newport. Beach
Municipal Code Chapter 1.26 to Strengthen and Protect. the Integrity of Elections within, the City
of Newport Beach, and pass to second reading on July 10, 2018; c) rescind Resolution No. 2018-
81 which authorized the issuance of subpoenas related to an investigation of alleged voter fraud;
and d) direct City staff to turn over the documents gathered during the City's investigation of
alleged voter fraud to the Orange County District. Attorney for use in their on-going investigation.
In response to Council questions, City Attorney Harp reviewed State law, but pointed outthe
regulation would also have the company send the certificates to the City Clerk for local issues
only to show that the signature gatherers received adequate training and will obey the laws. He
indicated this was a way to deal with the issues that arose recently that were admitted to by the
involved company.
Council Member Dixon indicated she would like
Council Member Herdman asked what happens Af fl -
with the certificate. City Attorney Harp noted Cheri
added the regulation also protects the proponents si
due to fraudulent behavior. He pointed o that he
knowing what the rules are.
Council Member Avery
Clerk since they have 1
on the matter.
y failed to provide the City Clerk
luchtional component to this. He
may not have enough signatures
everyone would be supportive of
is to provide the certificates to the City
Council Member Muldoon emphasii,edthg. the volunteers, proponents, and company did not
wrong and the issue way with a person who was hired by a signature gatherer.
The motion failed by;the followine roll call vote:
Ayes: Council MOnber Muldoon, Mayor Pro Tem O'Neill, Mayor Duffield
Noes: Council Me srbOT Herdman, Council Member Dixon, Council Member Avery,
Abstain: Council Member Peot.ter
Motion by Mayor Pro Tem O'Neill, seconded by Council Member Muldoon, to
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; b) rescind Resolution
No. 2018-8, which authorized the issuance of subpoenas related to an investigation of alleged
voter fraud; and c) direct. City staff to turn over the documents gathered during the City's
investigation of alleged voter fraud to the Orange County District Attorney for use in their on-
going investigation.
The motion carried by the following roll call vote:
Ayes: Council Member Herdman (changed his "no" vote after the vote was cast), Council
Member Muldoon, Council Member Dixon, Council Member Avery, Mayor Pro Tem
O'Neill, Mayor Duffield
Abstain: Council Member Peotter
Volume 63 - Page 554
City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
25. Annual Appointments to Boards and Commissions [24/100-20171
City Clerk Brown provided the staff report and noted four votes are required in order to be
appointed.
Ash Kumra reviewed his qualifications to be on the Board of Library Trustees. Council Member
Muldoon stated he was impressed with Mr. Kumra's application and expressed hope he would
continue to apply to be on the Board if not selected tonight.
City Clerk Brown read the ballot votes for the Board of Library Trustees as follows:
Kurt Kost — Herdman, Muldoon, Peotter, Avery, Duffield
Lisa Winter — Dixon, O'Neill
City Clerk Brown announced that Kurt. Kost was appointed to the Board of Library Trustees for
a four-year term.
City Clerk Brown read the ballot, votes for the City Arts Commission as follows:
Lili Bender — Herdman
Judy Chang — Muldoon
Wayan Kaufman — Dixon, Peotter, Avery,
City Clerk Brown announced that. W
for a four-year term.
City Clerk Brown read the ballot vote for
Sharon Wood —
City Clerk Brown
four-year term.
ufman was appointed to the City Arts Commission
C1VifService Board as follows:
, Peotter, Avery, O'Neill, Duffield
was reappointed to the Civil Service Board for a
City Clerk Brown read the ballot votes for the Harbor Commission as follows:
Ira Beer — Her dman. Muldoon, Dixon, Peotter, Avery, O'Neill, Duffield
William Kenney-'Herdtiian, Muldoon, Dixon, Peotter, Avery, O'Neill, Duffield
.........................
Don Yahn — Herdit", Muldoon, Dixon, Peotter, Avery, O'Neill, Duffield
City Clerk Brown announced that Ira Beer and William Kenney were reappointed and Don Yahn
was appointed to the Harbor Commission for four year terms.
City Clerk Brown read the ballot votes for the Parks, Beaches and Recreation Commission as
follows:
Hassan Archer — Herdman, Muldoon, Dixon, Avery, O'Neill, Duffield
Diane Daruty — Herdman, Muldoon, Dixon, Peotter, Avery, O'Neill, Duffield
Meredith Sandland — Peotter
City Clerk Brown announced that Diane Daruty and Hassan Archer were appointed to the Parks,
Beaches and Recreation Commission for four-year terms.
City Clerk Brown read the ballot votes for the Planning Commission as follows:
Peter Koet.ting — Herdman, Muldoon, Dixon, Peotter, Avery, O'Neill, Duffield
Volume 63 - Page 555
City of Newport Beach
Study Session and Regular Meeting
June 26, 2018
City Clerk Brown announced that. Peter Koetting was reappointed to the Planning Commission
for a four year term.
XX. MOTION FOR RECONSIDERATION - None
XXI. ADJOURNMENT - 9:55 p.m.
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
June 21, 2018, at 4:00 p.m.
Leilani I. Brown
City Clerk
Volume 63 - Page 556