HomeMy WebLinkAbout09/13/1993 - Regular MeetingCITY OF NEWPORT BEACH
COUNCIL MEMBERS MINUTES
REGULAR COUNCIL MEETING
TIME; 7:00 Council . Chambers
� l � TIME: 7:00 P.M.
I' S DATE: September 13, 1993
ROLL C LL INDEX
Present X X
Motion
All Ayes
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Motion
All Ayes
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X
X
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ROLL CALL
Reading of Minutes of Meeting of August 23,
1993, was waived, approved as written, and
ordered filed.
Reading in full of all ordinances and
resolutions under consideration was waived,
and City Clerk was directed to read by titles
only.
CONSENT CALENDAR
The following items were approved, except for
those items removed:
ORDINANCES FOR INTRODUCTION
Schedule for public hearing on September 27,
1993:
1. Proposed ORDINANCE NO. 93 -21, being,
AN ORDINANCE OF THE CITY COUNCIL
OF THE CITY OF NEWPORT BEACH
AMENDING CHAPTER 5.14 OF THE
NEWPORT BEACH MUNICIPAL CODE
PERTAINING TO AMBULANCE
RFrmATIONS. [Report from Fire Chief]
RESOLUTIONS FOR ADOPTION
2. Removed from the Consent Calendar.
CONTRACTS AND AGREEMENTS
3. Removed from the Consent Calendar.
4. Approve the Orange County Graffiti
Removal Agreement. [Report from General
Services Director]
5. PERSONNEL VACANCIES - Report from
Personnel Director.
6. CLAIMS - For Denial by the City Manager:
Martin M. Balcazar, alleging hole in the
street at 1500 block of alley east of
Rutland Road, caused tire damage, etc.,
on August 5, 1993, plus he struck two
other vehicles as a result of open
manhole with broken lid.
Henry Seymour Beek, alleging his car
was towed and placed in storage by the
Police Officer responding to call, who
considered car to be blocking driveway
on Via Ithaca, Lido Isle on July 24,
1993; and as a result, claimant is
seeking reimbursement for towing,
storage fees, and bail for parking
citation.
Grace Blagdon, alleging personal
injuries as a result of tripping over
large depression surrounding sprinkler
head at 1817 Bedford Lane, on May 19,
1993.
Kenneth Cogan, alleging he was rear -
ended by City vehicle at 36th and Balboa
Boulevard, on August 20, 1993.
Volume 47 - Page 236
Ord 93 -21
Ambulance.
Regs
(27)
0/C Graffi
ti Agm
C -2959
(38)
(66)
(36)
COUNCIL MEMBERS
3RNROLL
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CITY OF NEWPORT BEACH
September 13, 1993
Reinardo Flores, alleging that while
running in the 10th Anniversary Golden
State Spirit Run, claimant stumbled and
fell in the defective roadway near
Newport Center Drive, on February 28,
1993.
Lisa Ceisel and Frank Rhodes, alleging
City Refuse Department picked up chair
in error from 320 Seaward Avenue on
August 26, 1993; seeking reimbursement
for replacement.
Scott Landt, alleging his vehicle was
towed in error; Police Department did
not check his registration in glove
compartment at 40th Street and River
Avenue, on March 21, 1993.
Thomas F. Reynolds, alleging vehicle
towed in error from Balboa Boulevard on
February 27, 1993; seeking reimbursement
of expenses.
Application for leave to vresent late
claim of Ronald Stalbaum, alleging he
was riding his bicycle and hit a hole
where a pole had once been on the Back
Bay Bike path on August 21, 1992,
resulting in personal injuries, etc.
State Farm Insurance for Craig Mueller,
alleging damage to vehicle as a result
of work being done in area of Irvine
Avenue on June 17, 1993 by City crews.
Late claim of Mary G. Vaught, alleging
personal injuries as a result of broken
street surface in the 600 block of West
Bay on August 20, 1992.
Louise M. Williams, alleging personal
injuries as a result of cutting her foot
on sharp metal rim of Newport Center
Library stepping stool on June 21, 1993.
Iris Woeppel, alleging damage to vehicle
as a result of work being done in area
of 2226 Private Road on July 2, 1993.
7. Report from the City Manager concerning
HUMAN SERVICES ORGANIZATION ASSISTANCE
REQUESTS.
8. LIDO PARK BULKHEAD REPLACEMENT (C -2889)
- Accept the work; authorise City Clerk
to file a Notice of Completion- [Report
from Public Works Department]
VARIANCE NO. 1158 AT 2209 PACIFIC DRIVE,
CORONA DEL MAR - Authorise City Clerk to
release the faithful performance surety
and the labor and materials surety (Cash
deposit in the amount of $20,000.00
deposited into refundable Account No.
02- 217 -02 on July 6, 1990). [Report
from Public. Works Department]
Volume 47 - Page 237
01,1311 *�
Budget
(40)
Lido Prk
Blkhd Rpl
C -2889
(38)
Variance
1158
(91)
CITY OF NEWPORT BEACH
COUNCIL MEMBERS
Rol
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MINUTES
INDEX
'ermit/
.19 E Bay
?ront
;65)
;torm Drns,
carious
; -2914
;38)
tesub 995
;84)
:dM Med
.ndscp
-2924
,38)
ipecial
.vents
(27)
(40)
(44)
J/P 3505
(88)
10. ENCROACHMENT AGREEMENT - Approve
construction and maintenance of private
Improvements within the East Bay Front
public rights -of -way adjacent to 119
East Bay Front, Balboa Island; and
record subject agreement with County
Recorder. [Report from Public Works
Department]
11. VIA MARINA, NEWPORT EMS DRIVE WEST,
KINGS ROAD, HARBOR ISLAND DRIVE, HARBOR
ISLAND ROAD, AND DE SOLA TERRACE STORM
DRAMS (C -2914) - Approve the plans and
specifications; and authorise City Clerk
to advertise for bids to be opened at
11:00 A.M. on September 30, 1993.
[Report from Public Works Department]
12. RESUBDIVISION H0. 995 AT 300 EAST COAST
HIGHWAY - Approve a subdivision
agreement guaranteeing completion of the
Public Improvements. [Report from
Public Works Department]
13. CORONA DEL MAR MEDIAN LANDSCAPE (C -2924)
- Accept the work; authorize City Clerk
to file a Notice of Completion. [Report
from Public Works Department]
14. Removed from the Consent Calendar.
15. SPECIAL EVENTS APPLICATIONS - Approve
the applications for the 1993 Newport
Seafest, September 11 - 19, subject to
conditions in the staff report from
Revenue Manager.
16. BUDGET AMENDMENTS
BA -007, $1,535 - Increase in Budget
Appropriations and Decrease in Budgetary
Fund Balance to provide additional funds
for SPECIAL REFUSE COLLECTION FOR
RESIDENTS OF KASTBIAFF; General Services
Fund. [Memorandum from General Services
Director]
RA -008, Removed from the Consent
Calendar.
PUBLIC HEARINGS
17. Mayor Turner opened the continued public
hearing regarding:
A. Use Permit No. 3505 - Request to
permit the conversion of an existing 69
unit apartment project known as the
Granville Apartments to residential
condominiums, on property located in the
Unclassified District;
AND
Volume 47 - Page 238
INDEX
'ermit/
.19 E Bay
?ront
;65)
;torm Drns,
carious
; -2914
;38)
tesub 995
;84)
:dM Med
.ndscp
-2924
,38)
ipecial
.vents
(27)
(40)
(44)
J/P 3505
(88)
CITY OF NEWPORT BEACH
COUNCIL MEMBERS MINUTES
S' September 13, 1993 *k
ROLL CRLL YWMY
B. Tentative Mao of Tract No. 14839 -
TMp Tr
Request to subdivide a single parcel of
14839,
land into two numbered lots for attached
residential condominium purposes, seven
numbered lots for detached residential
condominium purposes, one numbered lot
for landscaping purposes and a future
manager's office, one lettered lot for
private street purposes, and one
lettered lot for private recreational
purposes;
AND
C. Coastal Residential Development
CRD #20
Permit No. 20 - Request to approve a
Coastal Residential Development Permit
for the purpose of establishing project
compliance relative to the City's Low
and Moderate Income Housing provisions,
as they apply to the conversion of a 69
unit apartment project to condominiums,
on property located in the Coastal Zone.
Located as Parcel 1 of Parcel Map 10 -20
(Resubdivisions No. 233 and 240), 1001-
1147 Granville Drive, westerly of
Newport Center Drive, in Newport Center.
The Planning Director summarized the
recycled staff report dated August 23,
1993.
William Picker, Architect for the
project and representing the applicant,
•
addressed the Council and stated they
are in accord with the decision of the
Planning Commission and concur in the
conditions recommended by the staff.
They feel it is an excellent project,
good location, and one of substantial
size which will benefit the City.
In response to question raised by
Council Member Hart regarding the
relocating of older tenants, Mr. Picker
stated that due to the size of this
building, it will be a lengthy process
moving tenants within the project while
the refurbishing is taking place, and it
could take as long as a couple of years
until all the units are refurbished and
sold. He stated he was not aware of any
handicapped individuals in the building,
but if there is a concern with respect
to how they will be relocating these
types of individuals, they are willing
to meet with the City Attorney and staff
and work out something equitable and
acceptable to the City Council.
Hearing no one else wishing to address
the Council, the public hearing was
closed.
Mc
x
Motion was made by Mayor Pro Tem Watt to
Al es
approve Use Permit No. 3505, Tentative
Map of Tract No. 14839 and Coastal
Residential Development Permit No. 20,
as recommended by the Planning
Commission.
Volume 47 - Page 239
CITY OF NEWPORT BEACH
COUNCIL MEMBERS
September 13, 1993
Volume 47 - Page 240
MINUTES
GPA 93 -2(E
(45/94)
PCA 783
U/P 1838.(A
3508
18. Mayor Turner opened the public hearing
regarding:
A. General Plan Amendment No. 93 -2(S) -
Request of L.S.W. Ltd., to amend the
Land Use Element of the General Plan to
increase the development allocation in
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Newport Place, Block I, by 1,080 square
feet, from 99,538 sq. ft. to 100,618
sq.ft. so as to allow for outdoor dining
in association with Pascal's Restaurant;
AND
B. Amendment No. 783 - Request to amend
the Newport Place Planned Community
District Regulations so as to delete the
provisions, applicable to Building Sites
2, 3, and .5, which count one square foot
of floor area devoted to restaurants as
two square feet of the permitted
commercial floor area; and which further
restrict the allowable restaurant floor
area on Building Sites 3 and 5 to 8,000
square feet each;
AND
C. Use Permit 10. 1838 (Amended) -
Request to amend a previously approved
use permit which permitted the
establishment of a restaurant with on-
sale beer and wine within the Newport
Place Planned Community District. The
applicant 'proposes to expand the "net
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public area" of the restaurant by adding
an outdoor dining area adjacent to the
existing restaurant facility. The
applicant also requests a waiver of a
portion of the required offstreet
parking spaces to accommodate the
proposed expansion on property located
at 1000 Bristol Street North;
AND
D. Use Permit No. 3508 - Request to
permit the establishment of a
combination take -out restaurant,
catering, and wine store, with on -sale
beer and wine, and incidental interior
seating, on property located in the
Newport Place Planned Community. The
proposal also includes a request to
waive a portion of the required off -
street parking spaces.
The Planning Director summarized the
staff report.
Jerry King, representing the applicant,
addressed the Council and stated they
have no objections to the staff's
recommendations and are in agreement
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with their findings and conditions.
Nearing no one also wishing to address
the Council, the public hearing was
closed.
Volume 47 - Page 240
MINUTES
GPA 93 -2(E
(45/94)
PCA 783
U/P 1838.(A
3508
COUNCIL MEMBERS
\ VA\1k 1A
ROLL CALL N
Motion
All Ayes
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CITY OF NEWPORT BEACH
MINUTES
September 13, 1993
AM
Motion was made by Mayor Turner to adopt Res 93 -68
Resolution No. 93 -68 approving General
Plan Amendment 93 -2(E) amending the Land
Use Element of the Newport Beach General
Plan, so as to increase the development
allocation in Block I of the Newport
Place Planned Community by 1,080 square
feet; AND adopt Resolution No. 93 -69 Res 93 -69
approving Amendaent No. 783 amending the
Newport Place Planned Community District
regulations so as to delete the
provisions applicable to General
Commercial Building Sites 2, 3, and 5,
which regulate the amount of restaurant
floor area permitted on each building
site and increase the development
allocation for General Commercial Site
No. 3 from 48,300 sq. ft. to 49,380 sq.
ft.
ITEMS REMOVED FROM THE CONSENT CALENDAR
AGENDA ITEM NO.
2. Report from Utilities Department San Joaqui
recommending adoption of proposed Resery Prj
resolution accepting the Certified Final (S9)
Environmental Impact Report for the San
Joaquin Reservoir project.
Dolores Otting, 17 Hillsborough,
addressed the Council and asked for
clarification regarding the cost of the
floating cover, if any, and if a
fracture analysis has ever been
completed on the reservoir.
Jeff Staneart, Utilities Director, in
response to the above, stated that the
second amendatory agreement to the trust
agreement that the City is a party to
with respect to the San Joaquin
Reservoir outlines that if the floating
cover project is approved and
implemented, Newport Beach's cost would
be covered by an exchange of capacity
ownership, wherein the City would trade
a portion of its current capacity in the
Reservoir for their share of the capital
costs of doing a water quality
improvement project. The estimates for
the cost of the floating cover
alternative are in the $19 to $21
million range. Newport Beach has a 2%
capacity share in the reservoir and the
value of the City's portion of the
floating cover would be approximately
one -half million dollars, although the
cash cost to the City under that
arrangement would be capacity and not
dollars.
With respect to the second question
relative to whether or not a fracture
analysis had ever been performed on the
reservoir, Mr. Staneart advised that the
Metropolitan Water District (MWD) staff
operates the reservoir with two on -site
personnel year - round. One of the
operator's duties is to work with the
State Division of Dam Safety every year
to conduct a very detailed site
assessment and an analysis of the
underdrain system in the reservoir and
Volume 47 - Page 241
COUNCIL MEMBERS
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Motion
All Ayes
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Motion
All Ayes
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CITY OF NEWPORT BEACH
MINUTES
September 13, 15193
to evaluate both the dam surface and
whether or not there are any problems
relating to its operation. The MUD has
just recently taken the reservoir
completely out of service and spent
approximately eight months removing a
number of years worth of silt and
sediment that has built up in the
reservoir, and did an even more thorough
investigation of the bottom of the
reservoir in anticipation of an
improvement project, and found that
there were no appreciable problems
relating to its structural condition.
In addition, the reservoir did just
receive its annual certification from
the Division of Dam Safety.
Helen Karon, 3201 4th Avenue, Corona del
Mar, addressed the Council regarding her
sister at Pacific View Cemetery and her
concerns about the San Joaquin
Reservoir.
Hearing no other comments, motion was
made to adopt Resolution No. 93 -67
accepting the Certified Final
Environmental Impact Report for the San
Joaquin Reservoir project prepared by
the Metropolitan Water District of
Southern California (IMSC) .
Q111LXl
93 -67
Report from
Deputy City Manager
Old Balboa
recommending
approval
of listing
Fire Sta/
agreement with
Waterfront
Homes, Inc.,
property
1(73)
to sell old Balboa
Island
Fire Station
at 323 Marine
Avenue for
$400,000 with
a 4.75% commission.
Ken Delino;, Deputy City Manager, advised
that just this afternoon the City
received an all cash offer on the
subject property; and therefore,
recommended this item be removed from
the agenda at this time so that the
offer can be processed.
In view of the foregoing, motion was
made to remove this item from the agenda
as recommended, with staff to report
back when deemed appropriate.
14. Report from Public Works Department
concerning POLICE FACILITY ROOFING AND
RVAC REPLACffiNT (C -2913) recommending
City Council reject the bid of C.C.c.c
Heating & Air Conditioning, Inc., as
being non - responsive; and approve a
budget amendment to transfer the
Building Excise Tax appropriation for
Balboa Island Fire Station; and award
contract to ACR Mechanical Corporation.
The Public Works Director advised that
the.second low bidder on this project,
TEAM Construction, has submitted a
letter of protest to the City Attorney
objecting to the award of contract to
the low bidder ACR Mechanical
Corporation, on the basis of the license
held by ACR. As a result, the City
Attorney has investigated the matter and
prepared a report to the City Council.
Volume 47 - Page 242
lice Fac,
C -2913
(38)
CITY OF NEWPORT BEACH
COUNCIL MEMBERS
NOVA0 �o� \\ September 13, 1993
Motion
All Ayes
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Motion
All Ayes
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The City Attorney stated he believes
that ACR has an appropriate license to
perform the project and would recommend
that the City Council in awarding the
contract to ACR, make a finding that the
Police Facility Roofing and HVAC
Replacement project does require
specialized engineering knowledge and
skill within the perimeter of a Class A
license.
The Public Works Director also presented
a Supplemental Report to the initial
staff report, advising that the staff is
recommending a slightly revised award of
this contract in that the award would be
for the base bid, plus item A3 only.
The original staff recommendation
included item Al; a different type of
RVAC Unit. There will be an additional
capital cost of $6,000; however, the
estimated energy savings is $4,000 per
year with the revised HVAC Units. The
appropriate action would be to adopt the
recommendations contained in the staff
reports, with No. 3 being revised to
include additional bid item A3 only, and
to award said contract to ACR Mechanical
Corporation in the amount of $460,832
and to authorize the Mayor and City
Clerk to execute the same.
Hearing no further comments, Mayor
Turner moved to approve the recommended
actions as enumerated by the City
Attorney and Public Works Director in
the foregoing.
16. Report from General Services Director
recommending approval of Budget
Amendment 008, $41,650 - Increase in
Budget Appropriations and Decrease in
Budgetary Fund Balance for additional
MAINTENANCE WORKER II AND PICKUP TRUCK
for McFadden Square/Newport Pier.
Motion was made by Mayor Turner to refer
this item back to staff to obtain cost
estimates by private contractor for
maintenance of both Balboa and Newport
Pier/McFadden Square areas.
PUBLIC COMMENTS
1. Nancy Arakelian, Director of Marketing
and Sales, South Coast Refuse /Integrated
Recycling Systems, Irvine, addressed the
Council and submitted a prepared
statement regarding refuse removal and
recycling mandates being met by South
Coast Refuse. She stated they have every
intention of meeting the goals of AB939,
and are currently doing so through their
recycling division, Integrated Recycling
Systems. As far as the future goes, they
will have no problem reaching 258
diverted tonnage by the allotted time
frame.
Volume 47 - Page 243
MINUTES
(40)
(44)
Recycling
CITY OF NEWPORT BEACH
COUNCIL MEMBERS
�j�r��f
S' September 13, 1993
ROLL CfHLL
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Motion
All Ayes
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2. Harold Jasper, 1215 Sand Key, Treasurer,
Newport Taxpayers Alliance - Committee
against proposed Measure A for an Open
Space Assessment District, addressed the
Council in support of the Circulation
Improvement and Open Space Agreement
( CIOSA) approved by the City Council
last fall with The Irvine Company. He
highlighted many of the City benefits
contained in the agreement; compared
maps of both sites (Newporter North and
Upper Castaways) taken from the
assessment district feasibility study
and from the subject development
agreement; and outlined their reasons
for opposing the advisory vote in
November. In conclusion, he stated that
the "private plan" is a thinly disguised
effort to change the City's General Plan
through a back -door without formal
public hearings, and an attempt to
rescind the unanimously approved CIOSA
and General Plan.
3. Dolores Otting, 17 Hillsborough,
addressed the Council and stated she is
still waiting for a response to a letter
she had written concerning the City's
recycling program and the franchise with
Dimension Cable Television.
The City Manager indicated he remembered
the letter and advised Ms. Otting that
she would 'be hearing from him soon.
4. Helen Karon, 3201 4th Avenue, Corona del
Mar, addressed the Council in opposition
to Measure A - Proposed Open Space
Assessment District.
5. Council Member John Hedges referenced
the cable television deregulation bill
recently passed which gives cities
limited authority to set cable rates.
He stated Dimension Cable has written a
letter to the City advising that they
are not bound by City regulation because
they serve only a portion of the
community. It is true that both COMCAST
and Dimension Cable Television Companies
have City =wide franchises to serve the
entire City, but neither of them do, and
there is no overlap between service
areas. In cities where there is true
competition, the cost for cable service
is much lower.
1.1_110_NTPF -1!
19. BICYCLE TRAILS CITIZENS ADVISORY
COMMITTEE VACANCY.
Motion was made by Council Member Watt
to accept the resignation letter from
Dorothy Beek with regret, and to defer
appointment of her replacement to
September 27, 1993 to fill the unexpired
term ending December 31, 1993.
Volume 47 - Page 244
MINUTES
W11143
Measure A
CNB Recyc-
ling
Measure A
CATV
BT /CAC
(24)
COUNCIL MEMBERS
1091VA\1k\X1`1A
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CITY OF NEWPORT BEACH
September 13, 15193
20. Proposed EMERGENCY ORDINANCE, being,
AN EMERGENCY ORDINANCE OF THE CITY
COUDICIL OF CITY OF NEWPORT BEACH
PEH)=ING THE ISSUANCE OF REVENUE
BONDS FOR THE PURPOSE OF
PRESERVING LOW INCOME SENIOR
HOUSING.
The City Clerk advised that after the
agenda was printed, a petition was
received from residents throughout
Newport Beach, as well as two letters,
in support of the proposed emergency
ordinance.
The City Manager summarized his report
regarding Bayside Village Mobile Home
Park Financing, noting as follows:
"At the City Council's last study
session there was an extensive
discussion of whether the City
should act as the issuer of
interim taxable financing to
permit the current subleasees of
the property to purchase the fee
title of the property from The
Irvine Company with the proceeds
of the interim notes. At the
conclusion of the discussion, the
City staff was requested to
further investigate this matter
with representatives of Bayside
Village, as well as analyzing and
eliminating, insofar as possible,
the risks to the City in issuing
interim notes.
"Following the Study Session of
August 23, members of the City
staff met again with
representatives of Bayside Village
to discuss these issues. On
September 7, the City staff
received a lengthy document from
the attorney representing Bayside
Village, Mr. Gerald Gibbs. On
September 8, the memorandum from
Mr. Gibbs was reviewed by staff
and discussed with the City's bond
counsel on this matter, Mr. Thomas
Downey of Jones, Hall, Hill and
White. In addition, the City
retained the services of CGMS
Incorporated to assess the City's
financial risks in acting as
issuer of these interim notes and
in the future long term tax - exempt
bonds.
"The evaluations of the proposal
by Bayside Village for City
issuance of short and long term
financing is attached to his
report. It is clear to City staff
now that it is not in the City's
best interest to support the
issuance of short term notes for
a variety of reasons, despite our
support in concept of the purchase
of the fee interest in the real
Volume 47 - Page 245
MINUTES
52)
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CITY OF NEWPORT BEACH
COUNCIL MEMBERS MINUTES
S'
\%\A September 13, 1993
ROLL CRLL TMrrV
property by the Bayside Village
Bayside
subleasees. The reasons for this
Village/
conclusion are many and varied,
e Hm
Mobile
and set forth in his report. In
summary, the independent financial
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consultant and experienced bond
counsel advise there are
significant risks attendant to the
issue of bond anticipation notes
or taxable bonds as proposed by
the Bayside Village tenants. In
light of these risks, staff is
recommending the City Council deny
the tenants request."
Following his comments, Mayor Turner
stated he is going to dictate a
memorandum on this subject to the
residents of Bayside Village Mobile Home
Park explaining the complexity of this
issue.
The City Manager also stated that he has
additional copies of the two memorandums
from legal counsel he referenced in his
report, and will be happy to share those
with anyone who is interested.
Fred Battome, representing Bayside
Village Mobile Home Park, addressed the
Council in appreciation for what they
and the staff have done with regard to
their request. They now realize the
risks involved on the part of the City,
but they are not giving up their desire
•
to purchase the land. The property was
just recently appraised at $16 million,
and they are still hopeful of purchasing
it for $12 million, but they need the
City's help in asking The Irvine Company
to give them more time to negotiate the
proposals that have just surfaced. They
have also formed a corporation, but have
not elected their officers as yet.
Lynn Cook, resident of Bayside Village
Mobile Home Park, addressed the Council
and stated that if DeAnza purchases the
land, they will lose their homes because
of the high increase in rent. She stated
that DeAnza Assets, Inc., and The Irvine
Company are corporate giants and it is
their hope that "they both
conscientiously care enough to give them
more time."
Doug Rood, Louise Ornelas, and Romans
Harris, also residents of Bayside
Village Mobile Home Park, gave their
reasons for wanting to purchase the land
from The Irvine Company.
William Cekus, Chairman of the Committee
to purchase the land at Bayside Village
Mobile Home Park, stated that several
•
financial firms have expressed an
interest in their plan to purchase the
property, and urged the City Council to
help them obtain more time from The
Irvine Company.
Volume 47 - Page 246
CITY OF NEWPORT BEACH
COUNCIL MEMBERS
\01\ \\1 %\1 September September 13, 1993
•
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Motion
All Ayes
x
Tom Redwitz of The Irvine Company,
addressed the Council and stated they
have indicated to the tenants that
within the purchase agreement with
DeAnza Assets, Inc., the tenants have
the ability to buy the fee interest of
the land at the same purchase price they
have agreed to pay The Irvine Company,
subject to their ability to buy the
leasehold interest. DeAnza has agreed
to hold the leasehold interest price at
the latest price that they indicated to
the tenants. Further, DeAnza has agreed
to continue to negotiate in good faith
as set forth in the purchase agreement.
The Irvine Company has been very
sympathetic with the tenants desire to
acquire the fee interest in the land;
the discussions began approximately
eight months ago and they have
accommodated the tenants several times,
and extended the closing date on more
than one occasion to facilitate their
request to obtain financing; the latest
extension occurred in July, and they are
now contractually obligated to sell to
DeAnza if the tenants cannot close on
the transaction to buy the fee interest
by September 15. If DeAnza does purchase
the property, the purchase agreement
with DeAnza provides that the tenants
have a 12 -month time period to buy the
fee interest in the land for the same
purchase price of $12 million. In
addition, the tenants have the ability
to buy the leasehold interest at the
same price most recently stated to the
tenants.
Council Member Sansone indicated it
might be well to consider a rent control
ordinance at a future Council meeting,
but following discussion, no action was
taken at this time.
The City Attorney noted that the
proposed rent increase that DeAnza has
communicated to the tenants would be
effective January 1, 1994 and that would
allow the City Council ample time to
study the pros and cons of various rent
control ordinances.
Hearing no further comments, motion was
made by Council Member Hart to not adopt
the proposed Emergency Ordinance, based
on the information received from bond
counsel, but that the Mayor be requested
to meet with representatives of The
Irvine Company and a spokesperson from
Bayside Village Mobile Home Park
regarding the possibility of extending
the September 15 deadline date.
Volume 47 - Page 247
MINUTES
INDEX
Hm
CITY OF NEWPORT BEACH
COUNCIL MEMBERS
RN rP \ \ \%\A September 13, 1993
MINUTES
1014'N
Motion
x
Meeting adjourned at 8:55 p.m., to closed
All Ayes
session on September 24, 1993 at 2 p.m., to
discuss pending litigation, and in memory of
Amy Elisabeth Blehl, resident of Newport Beach
and student active in studies of South
•
Africa's political transition to majority
rule, who passed away on August 25, 1993, in
Cape Town, South Africa.
sr yr yr * 9r yr at �k yt Ylr * �r
The agenda for this meeting was posted
on September 9, 1993, at 8:30 a.m., on
the City Mall Bulletin Board located
outside of the City of Newport Beach
Administration Building.
Ma
ATTEST:
��W POR
B
ty Clerk Y
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Volume 47 - Page 248