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HomeMy WebLinkAbout05/13/1996 - Regular MeetingCITY OF NEWPORT BEACH City Council Minutes Regular Meeting May 13, 1996 - 7:00 p.m. INDEX CLOSED SESSION - 5:00 p.m. (Refer to sepa CLOSED SESSION REPORT PRESENTED - None RECESSED AND RECONVENED AT 7:00 P.M. FOR REGULAR MEETING ROLL CALL Present: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Absent: None Proclamation and Certificates of Recognition presented to the Corona del Mar Girls' Soccer Team for winning the 1996 Southern California Regional Soccer Championship. Recognition letter, picture and City seal pin presented to Ken Smith, Transportation Director, Orange County Environmental Management Agency, for his effort and leadership that resulted in getting the Newport Coast Drive Extension under construction. Motion by Mayor Pro Tern Debay to waive reading of the minutes of the meeting of April 22, 1996, to approve as written and order filed. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Cox, Glover, Watt and Mayor Hedges Noes: • None Absent: None Abstain: Debay Motion by Mayor Pro Tem Debay to waive reading of ordinances and resolutions under consideration, and direct the City Clerk to read by titles only. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None Absent: None Abstain: None MATTERS WHICH COUNCIL MEMBERS WOULD LIKE PLACED ON A FUTURE AGENDA FOR DISCUSSION, ACTION OR REPORT (NON - DISCUSSION ITEM): Council Member Edwards requested that staff report back to Council regarding the letter dated May 6, 1996 from the U.S. Department of Housing and Urban Development, indicating that block grant money is available for economic development activities. • Council Member O'Neil requested that staff report back on the status of the property located at the top of the bluff on Fernleaf which the City has • attempted to purchased in the past. • Mayor Hedges requested that staff bring back a report for action on the sponsorship of non - routine items on the Council agenda. Volume 50 - Page 133 City of Newport Beach City Council Minutes May 13, 1996 ,i VKUIIVAIVI.CJ rVK IN I KVUM, I IVN 1. INTRODUCE ORDINANCE NO. 96 -18 AMENDING TITLE 20 OF THE NBMC TO Ord 96 -18 ALLOW THE PLANNING COMMISSION OR THE CITY COUNCIL TO MODIFY Zoning DEVELOPMENT AND OPERATIONAL REGULATIONS FOR TIME -SHARE (94) PROJECTS. Pass to second reading and schedule a public hearing for 101 May 28, 1996. 2. INTRODUCE ORDINANCE NO. 96 -19 ADDING SECTION 2.36.020 TO THE Ord 96 -19 NBMC RELATING TO STANDARDS AND TRAINING FOR CORRECTIONS Police Dept PROGRAM. Pass to second reading on May 28, 1996. (70) ORDINANCES FOR ADOPTION 3. ADOPT ORDINANCE NO. 96 -17 APPROVING AN AMENDMENT TO THE Ord 96 -17 CONTRACT BETWEEN THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM (PERS) PERS - C -563 AND THE CITY TO CHANGE THE LEVEL OF THE SURVIVOR BENEFIT PROGRAM (38) FOR MISCELLANEOUS AND SAFETY EMPLOYEES. RESOLUTIONS FOR ADOPTION 4. ADOPT RESOLUTION NO. 96 -36 AUTHORIZING THE CITY MANAGER, Res 96 -36 ADMINISTRATIVE SERVICES DIRECTOR, OR GENERAL SERVICES DIRECTOR TO FEMA EXECUTE DOCUMENTS RELATED TO THE FEMA REIMBURSEMENT FOR (40) DAMAGES INCURRED IN THE JANUARY 1995 STORMS. CONTRACTS AND AGREEMENTS 5. FORMATION OF ORANGE COUNTY COUNCIL OF GOVERNMENTS. Authorize Orange Co COG Mayor to execute Joint Powers Agreement establishing the Orange C -3087 • County Council of Governments. (38) 6. Removed from Consent Calendar. 7. FIVE -YEAR AGREEMENT WITH THE COUNTY OF ORANGE TO PROVIDE Orange Co SUPPLEMENTAL LAW ENFORCEMENT SERVICES DURING SPECIAL EVENTS. Supp Law Enforce. Approve the agreement with the County of Orange and authorize the Services - C -2846 Mayor and City Clerk to execute the agreement. (38) 8. Removed from Consent Calendar. 9. MACARTHUR BOULEVARD WIDENING PROJECT FROM PACIFIC COAST MacArthur Blvd HIGHWAY TO FORD ROAD (CONTRACT NO. 2825T) - APPROVAL OF Widening AMENDMENT NO. 3 TO ENGINEERING SERVICES AGREEMENT. Approve C- 2825(T) Amendment No. 3 to an Engineering Services Agreement with Robert (38) Bein, William Frost & Associates increasing the compensation amount by $102,376 and authorize the Mayor and City Clerk to execute Amendment No. 3. 10. 36 -INCH WATER TRANSMISSION MAIN - REACH NO. 3 - GROUNDWATER Groundwater Dev DEVELOPMENT PROJECT (Seawater Line to Slater Avenue) (CONTRACT NO. Reach 3 C- 3004 -L) - APPROVAL OF ADDITIONAL CONTRACT WORK. Approve a C- 3004(L) change to Contract No. C- 3004 -L to C.K. Construction to increase the (38) original contract amount by $125,790 to provide for additional work to • perform repairs, modifications and tie -ins to the existing Seawater Line. 11. STRUCTURAL ADA ALTERATIONS (CONTRACT NO. 2948) - AWARD OF ADA CONTRACT. Award contract to Construct 1 One, Corp. for the total bid C -2948 price of $336,163; authorize the Mayor and City Clerk to execute the (38) Volume 50 - Pagel 34 City of Newport Beach City Council Minutes May 13, 1996 contract; and provide a contingency amount of 12. AGREEMENT WITH CALTRANS TO DEVELOP TRANSPORTATION MANAGEMENT ASSOCIATION SERVICES IN THE AIRPORT AREA. Authorize the Mayor to execute an agreement with Caltrans in an amount not to exceed •$90,000. 13. RESUBDIVISION NO. 1022 - LOT 22, BLOCK 739 OF THE CORONA DEL MAR TRACT RECORDED IN BOOK 3, PAGES 41 AND 42 OF MISCELLANEOUS MAPS, RECORDS OF ORANGE COUNTY, CALIFORNIA, ALSO KNOWN AS 720 MARGUERITE AVENUE, CORONA DEL MAR. Approve a subdivision agreement guaranteeing completion of the public improvements required with Resubdivision No. 1022 and authorize the Mayor and City Clerk to execute the agreement. 14. NOTICE OF COMPLETION - 36 INCH WATER TRANSMISSION MAIN REACH NO. 1 GROUNDWATER DEVELOPMENT PROJECT (CONTRACT NO. C- 3004 -J). Accept the work, authorize the City Clerk to file a Notice of Completion and release the bonds 35 days after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code. 15. COMPLETION AND ACCEPTANCE OF WORK - STORM DRAIN IMPROVEMENTS ALONG BAYSIDE DRIVE, SANTIAGO DRIVE, OCEAN BOULEVARD AND KINGS PLACE (CONTRACT NO. 2930). Accept the work and authorize the City Clerk to file a Notice of Completion and release the bonds 35 days after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code. • 16. PLANNING COMMISSION AGENDA - May 9, 1996. 17. Removed from Consent Calendar. 18. ECONOMIC DEVELOPMENT COMMITTEE REPORT ON FINANCING SOURCES FOR BUSINESS IN NEWPORT BEACH. Receive and file committee report and direct staff to make the report available through the City's Internet Home Page and other appropriate methods. 19. Removed from Consent Calendar. 20. Removed from Consent Calendar. 21. 1996 -97 PROPOSED BUDGET AND APPROPRIATION LIMIT HEARINGS - Schedule joint public hearing for June 10, 1996 and direct City Clerk to publish said notice. 22. APPROVAL OF AMENDMENT TO COUNCIL POLICY F -3, BUDGET ADOPTION AND ADMINISTRATION, TO INCLUDE THE PROVISION FOR HANDLING UNEXPENDED AND UNENCUMBERED CAPITAL PROJECTS ON JUNE 30 OF EACH FISCAL YEAR. 23. LOT LINE ADJUSTMENT BETWEEN NEWPORT HILLS COMMUNITY ASSOCIATION • AND THE CITY OF NEWPORT BEACH BETWEEN BUFFALO HILLS PARK AND THE NEWPORT HILLS COMMUNITY ASSOCIATION POOL SITE ADJACENT TO PORT TAGGART PLACE IN THE NEWPORT HILLS DEVELOPMENT. Approve lot line adjustment 96 -5 and Quit Claim Deed and authorize the City Manager to execute the lot line adjustment and the Quit Claim Deed for the property exchange. Volume 50 - Pagel 35 INDEX Caltrans - Trans Management Sent C -3088 (38) Resub 1022 (84) Groundwater Dev Reach 1 C- 3004(J) (38) Storm Drain Imp Bayside /Santiago/ Ocean Blvd /Kings PI C -2930 (38) (68) EDC (24) 1996 -97 Budget (40) Council Policy F -3 (69) Lot Line Adj (74) City of Newport Beach City Council Minutes May 13, 1996 MOTION BY MAYOR PRO TEM DEBAY TO APPROVE THE CONSENT CALENDAR, EXCEPT FOR THOSE ITEMS REMOVED (6, 8, 17, 19 and 20). The motion carried by the following roll call vote: • Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None Absent: None Abstain: None ITEMS REMOVED FROM THE CONSENT CALENDAR 6. JOINT POWERS OF AUTHORITY AGREEMENT TO ESTABLISH A CONSOLIDATED COMMUNICATIONS CENTER FOR EMERGENCY DISPATCH OF FIREFIGHTERS AND PARAMEDICS. City Manager Murphy reported that in order to make the JPA as effective as possible the City of Costa Mesa needs to be encouraged to participate. Fire Chief Riley requested that the following changes be made to the agreement prior to approval: That Section 4.9, Officers, be changed to reflect that the auditor shall be a certified public accountant, appointed by the Board with duties as prescribed by code. That Section 11.1, Amendments, be changed to reflect that any amendments to Section 8.2, Indemnification /Hold Harmless, and 8.3, • Waiver, requires unanimous consent. Dolores Offing, asked whether the current arrangement with Huntington Beach is a JPA or an MOU and why Costa Mesa is not participating. She noted that a JPA creates another taxing entity and questioned why it wasn't set up as an MOU. City Manager Murphy reported that Costa Mesa maintains a joint police /fire dispatch system and they have indicated that they prefer to stay in a stand -alone police and fire communication system. He said the City has talked with Costa Mesa several times about joining the current Central Net and would like them to join this central metro organization because the more parties involved the more efficient the system is. Fire and Marine Chief Riley explained that currently there are two separate computer aided dispatch systems - one for the City of Costa Mesa police and fire and one for the current system in Huntington Beach (Huntington Beach, Fountain Valley and Newport Beach). He explained how the mutual aid system works and pointed out that each City has complete control over their own units. In response to Mayor Hedges' question about whether Costa Mesa's decision not to participate in the proposed JPA raises the cost, Mr. Riley reported that it doesn't raise the cost because they were never a participant to begin with, however if they were to join, the cost to the other agencies would be reduced. He • said Costa Mesa says that the proposed system is not as cost effective as providing the service in- house. Mr. Riley explained that the ongoing operating expense for the Central Net Operations Authority was $412,000. As a result of Westminster leaving there was a hole in the budget which meant that the operations had to Volume 50 - Pagel 36 INDEX Orange Co Cities JPA C -3089 (38) City of Newport Beach City Council Minutes May 13, 1996 be scaled down or an alternative found to reduce the annual cost. He said the $390,000 initial start-up costs covers the relocation of all of the equipment from Huntington Beach to Anaheim. He said that the operating costs will be lowered by $76,000 this year as far as ongoing expenses. He said the money in the Central Net reserve fund covers •almost all of the costs to transfer to the metro city system. He said the outstanding balance is approximately $17,000, which will be spread over five years for an increase of planned expenditures of $3600 per year. Council Member Glover questioned whether the JPA would be required to change equipment every time one of the cities decided to change their equipment. Mr. Riley explained that the agreement provides that anything pertaining to money requires a 51% affirmative vote of the members, the proposed system is state -of- the -art and the current communication system is county -wide and utilized by all the cities. Mayor Hedges questioned why Costa Mesa believes that in -house services are more cost effective. Mr. Riley explained that by consolidating the Central Net system into the Anaheim system, the total overall staffing is reduced by 34 %. City Manager Murphy said he believes Costa Mesa's reasoning is based on past practice, their employees and employee associations, and the status of some of the management that operates the system. He said it is in everyone's interest to have them, as well as Santa Ana participate in this. Council Member Edwards said that the answer to Ms. Offing's question is covered in Section 9.2 regarding the rate to withdraw. • Motion by Mayor Hedges to approve the amended Joint Powers of Authority (JPA) Agreement with the cities of Anaheim, Fountain Valley, Fullerton, Garden Grove, Huntington Beach and Orange, however to delay execution of the agreement by two weeks until discussions have been exhausted with the City of Costa Mesa and staff provides a status report on the outcome of those discussions (report without action), and then the agreement can be executed. Mr. Murphy indicated that the others cities intend to act over the next two weeks, so the restriction should not be an impediment since it doesn't become effective until July 1, 1996. He also noted that the concept of Costa Mesa and Newport Beach merging was raised, however he does not feel it would be as cost effective, since the current proposal is to spread across seven cities. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Glover, Waft and Mayor Hedges Noes: Cox Absent: None Abstain: None S. CORONA DEL MAR CERTIFIED FARMER'S MARKET - APPROVAL OF ENCROACHMENT AGREEMENT. • Council Member O'Neil following up on an inquiry from former Mayor Phil Sansone, President of the Corona del Mar Resident's Association, reported that the intent is to provide permit parking only on Bayside Drive between Marguerite and Larkspur. He also wished Rick Heil, the operator, Volume 50 - Page137 INDEX CdM Cert Farmers Market (65) e 3098 L City of Newport Beach City Council Minutes May 13, 1996 INDEX the best of luck in his new operation. Mayor Hedges noted that on page 4 of the agreement, Section 5, the term should be corrected to begin on May 18, 1996 and continue through May 17, 1997. • Motion by Council Member O'Neil to approve the encroachment agreement with Rick Heil to allow a weekly Certified Farmer's Market in the municipal parking lots at Marguerite Avenue and Bayside Drive on Saturdays from 9:00 a.m. to 1:00 p.m. Joe Monigal, 25 Pt. Loma, florist in Corona del Mar, spoke in opposition to the Farmers Market and reported that other florists and businesses in the area are also opposed to it. His concerns were based on potential parking and traffic impacts and unfair competition created by vendors selling their flowers at wholesale prices. Luvena Hayton, 235 Poppy, Corona del Mar Chamber of Commerce, reported that the majority of chamber members felt the market was a good idea, however concerns were raised about the sale of flowers being in direct competition with the local florists. Marcia Dossey, Newport Pier Association, asked that Council delay taking action on items 8 and 17 until the association has had an opportunity to meet with the City Manager. In response to Council Member Edwards, Assistant City Attorney Clauson explained that the market is limited to certified producers, therefore they can only sell products they have produced themselves. As far as • enforcement, she explained that the agreement states that the City can terminate the agreement without cause by giving thirty days written notice; or if the permittee defaults on provisions of the agreement and fails to cure or correct the default within ten days of receipt of a written notice, the City may immediately terminate the agreement. Mr. Heil distributed copies of the certificates that the vendors must obtain from the County and explained that the vendors must grow what they sell. He indicated that they are not wholesale, but grower direct costs and they only accept cash or checks (no credit cards). In response to Council Member Watt, Mr. Heil explained that flowers are an integral part of a Farmers Market and needed for a quality market. He reported on similar situations in Long Beach and Dana Point and how they handled the concerns that were raised. City Manager Murphy reported that types of activities like this that are located in commercial districts typically bring people into the area that normally would not shop there. He said that staff, from an economic development point of view, focused on this request as new business development. Council Member O'Neil reported that a phone call was received from former Mayor Sansone indicating that the Corona del Mar's Residents Association has not taken an official position regarding the proposed • market, nor has he. Council Member O'Neil spoke in support of approving the encroachment agreement as proposed, including the sale of flowers since there are adequate provisions in the agreement for termination. Council Member Watt said she supports the concept of a Farmers Volume 50 - Page 138 • is • City of Newport Beach City Council Minutes May 13,19% Market, however voiced concerns about problems with traffic which may negatively affect other businesses. Council Member Watt made a substitute motion to direct staff to review how other cities have dealt with the flower sales before approving this agreement, however due to a lack of a second, the motion died. Motion by Mayor Hedges to amend the motion to delete the sale of flowers from the agreement. The motion failed by the following roll call vote: Ayes: Debay, Waft and Mayor Hedges . Noes: O'Neil, Edwards, Cox, Glover Absent: None Abstain: None The original motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, and Mayor Hedges Noes: Waft Absent: None Abstain: None 17. REPORT ON ORANGE COUNTY FARMER'S MARKETS. Marcia Dossey, Newport Pier Association, asked that Council support a second farmers market in front of the southwest parking lot from the turn- around to Doryman's. She explained the benefits, noted the support from the businesses as well as the Board, and said they will utilize the Orange County Farm Bureau rather than an independent organizer. City Manager Murphy explained that the Corona del Mar Farmer's Market will be charged a $170 monthly fee to offset the loss of parking revenue. Motion by Mayor Hedaes to direct staff to return in six months with a status report on the City's experience with the Corona del Mar Farmers Market and to proceed with the processing of any additional farmers market applications so they can be considered on their own merit. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, Waft and Mayor Hedges Noes: None Absent: None Abstain: None 19. APPROVAL OF REQUEST FOR PROPOSALS (RFP) FOR THE FORD LAND AFFORDABLE HOUSING. City Manager Murphy, on behalf of the City Attorney, requested that staff be authorized to add a provision to the RFP which would allow the submittals to remain confidential so they cannot be reviewed by other parties. He recommended that Council approve the RFP subject to drafting and approval by the City Attorney and Mayor prior to distribution. In response to Council Member Edwards' concerns about this clause being in violation of the Public Records Act, Mr. Murphy added that the provision would also be subject to all legal constraints. Motion by Council Member Edwards to authorize staff to circulate the Request for Proposals with a confidentiality clause (subject to all legal Volume 50 - Pagel 39 INDEX Orange Co Farmers Market (68) Ford Land Affordable Housing (68) C City of Newport Beach City Council Minutes May 13, 1996 INDEX constraints); authorize the Affordable Housing Task Team to review and evaluate the proposals; and direct the task team to recommend to the City Council an affordable housing project to satisfy the requirement of the Ford development project. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None Absent: None Abstain: None 20. APPROVE PROPOSED COMMUNITY REPRESENTATIVES TO PARTICIPATE IN THE BALBOA PENINSULA PLANNING STUDY DISTRICT PLANNING WORKSHOPS. City Manager Murphy reported that Ron Soderling, proposed representative for Lido Village /Civic Center, has requested that his name be withdrawn from consideration since he cannot participate at this time. Motion by Mayor Hedges to approve the amended list of representatives that will participate in the workshops. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, Waft and Mayor Hedges Noes: None Absent: None Abstain: None PUBLIC HEARINGS 24. ORDINANCE NO. 96 -16 AMENDING PORTIONS OF DISTRICTING MAP NO. 18 TO ALTER THE BOUNDARY BETWEEN THE "R -1" AND "PC" DISTRICTS (PLANNING COMMISSION AMENDMENT NO. 847); GENERAL PLAN AMENDMENT NO. 96 -1(C) AND LOCAL COASTAL PROGRAM AMENDMENT NO. 45 TO ALTER THE BOUNDARY BETWEEN THE "RETAIL, SERVICE COMMERCIAL" USE AND THE "SINGLE- FAMILY RESIDENTIAL" USE - K.J. CATANZARITE AND SO CAL IBEW -NECA PENSION PLAN (352 HAZEL DRIVE AND 3901 EAST COAST HIGHWAY). City Manager Murphy introduced Sharon Wood, Assistant City Manager, Community and Economic Development. He also commended Patty Temple and Ray Schuller for the significant accomplishments made in the economic development area. Mayor Hedges concurred and congratulated Sharon Wood on her appointment. Planning Manager Temple explained that this is a housekeeping item and the proposed amendments will alter the boundary between the subject commercial property and the subject residential property. Mayor Hedges opened the public hearing. Frank Vandenbergh, 700 N. Brand Blvd, Ste. 200, Glendale, representing So Cal IBEW -NECA Pension Plan, reported that he had requested through • the City Attorney that this public hearing be continued since the settlement agreements have not been finalized. Motion by Council Member O'Neil to continue the public hearing to May 28, 1996. The motion carried by the following roll call vote: Volume 50 - Pagel 40 BPPAC Workshops Comm Reps (68) Ord 96 -16 PCA 847 GPA 96 -1(C) Zoning (94) • • • City of Newport Beach City Council Minutes May 13, 1996 Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None Absent: None Abstain: None 25. APPLICATION FOR CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY BY COASTAL CITY YELLOW CAB (contd. from 4/22/96). Revenue Manager Glen Everroad reported on the status of transferring the taxi regulation responsibilities to the Orange County Transportation Authority. He explained that the applicant submitted an application to operate four taxicabs in the City, there are currently nine taxicab companies authorized to operate a total of 162 vehicles in the City, and all nine companies use these vehicles to service other Orange and Los Angeles County cities. Mr. Everroad pointed out that between 1952 and 1986 the City only allowed one taxicab company to operate in the City, however since then eight more companies have been introduced which has caused some in- fighting amongst the operators. He reported that this hearing was scheduled for April 22, 1996, however a competitor requested that staff investigate some insurance issues prior to the hearing. He reported that the investigation was completed and the Risk Manager has verified that the applicant's insurance is current. Motion by Council Member O'Neil to approve the issuance of public convenience as requested and directed staff to bring back a proposed code amendment giving staff authority to approve applications for Certificates of Public Convenience. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None Absent: None Abstain: None PUBLIC COMMENTS Luvena Hayton, 235 Poppy, representing the Corona del Mar Chamber of Commerce, requested that Council consider forgiving the $7,000 delinquent bill owed by the Chamber for the hauling of dirt and the labor Involved in the planting of the dolphins since they do not have the money to pay it. Mayor Hedges advised her that the Council cannot take action on this item since it is not on the agenda and suggested she contact her Council representative, Dennis O'Neil, regarding this issue. Assistant City Attorney Clauson cautioned the Council about gifts of public funds. CONTINUED BUSINESS 26. ENVIRONMENTAL QUALITY AFFAIRS CITIZENS ADVISORY COMMITTEE VACANCY ( contd. from 4/22/96): Motion by Mayor Pro Tem Debav to appoint Viji Sadasivan to fill the vacancy created by the resignation of Tina Siemons (District 2) and encouraged residents to apply for this committee. The motion carried by the following roll call vote: Volume 50 - Pagel 41 INDEX Coastal City Yellow Cab (27) EQA /CAC (24) City of Newport Beach City Council Minutes May 13, 1996 Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None Absent: None Abstain: None • 27. ECONOMIC DEVELOPMENT COMMITTEE VACANCY: Motion by Mayor Hedges to appoint Carol Hoffman as the Building Industries Association representative to replace Tom Redwitz. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None Absent: None Abstain: None 28. APPOINTMENTS BY MAYOR TO AD -HOC APPOINTMENTS COMMITTEE. Mayor Hedges announced that the deadline for filing applications for the vacancies on the City Boards and Commissions is Wednesday, May 15, 1996 at 4:30 p.m. He reviewed the current vacancies and invited qualified electors of the City to submit their applications. Motion by Mayor Hedges to appoint Council Member Glover, Mayor Pro Tern Debay and himself to the ad -hoc Appointments Committee. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None • Absent: None Abstain: None 29. ENHANCED PARAMEDIC AND EMERGENCY TRANSPORTATION SYSTEM - IMPROVEMENT OF ADVANCED LIFE SUPPORT BY UPGRADING ONE ADDITIONAL FIRE ENGINE TO BE PARAMEDIC CAPABLE, USING OUR EXISTING PARAMEDIC VANS TO PROVIDE ADVANCED LIFE SUPPORT TRANSPORTATION, AND PROVIDING BASIC LIFE SUPPORT TRANSPORTATION USING A CONTRACT AMBULANCE PROVIDER. City Manager Murphy noted that the staff report contains a compilation of the report for tonight as well as a compilation of the activity and review by the Public Safety Committee, Mr. Murphy explained that the proposal is to approve: 1) the use of two existing two -man paramedic units to transport advanced life support patients to the hospital; 2) the continued use of a contract agency to transport basic life support (BLS) patients to the hospital; 3) the use of a small portion of the new revenue generated by this proposal to upgrade one firefighter per shift to a firefighter /paramedic position or a total of three existing staff positions, which staff believes will improve the paramedic response time from the current eight minutes to five minutes in • 85% of all emergency medical calls; and 4) to create a new enterprise fund to track program revenues and expenditures separate from other general fund revenues and expenses. He explained that staff is proposing this change in response to reductions in the city's revenues, due to the economy and the state's shift of the city's property fax revenues to schools to balance the state budget. He said that staff has Volume 50 - Pagel 42 INDEX EDC (24) Council Appt Comm (24) Ord 96 -20 EMS Paramedic (41) City of Newport Beach City Council Minutes May 13, 1996 INDEX aiso examinea areas wnere revenues couia oe Increasea To OTrser Tne cost of fee related services. The City has had a city operated paramedic program since the mid- 1970's, which today accounts for over 60% of all fire department calls for service with nearly half of the calls to non -City residents. In 1993 the City Council approved the paramedic fee and • subscription program to offset the costs of the fire and emergency medical services program. With this program the subscriber pays $42 per year and non - subscribers would pay either $260 or $160 for either an ALS (advanced life support) or a BLS level of response. The fee subscription program generates $447,000 in revenue. He stated that many insurers (including Medicare and Medi -Cal) will not provide reimbursement for pre - hospital emergency care, such as the City's paramedic program. He said that it is largely for this reason that staff is proposing to utilize the existing two -man paramedic units to transport ALS patients to the hospital, since the ALS patients today account for 1600 of the 2400 transports per year. He said staff is also proposing to contract for an ambulance to transport the other 800 BLS patients after undergoing an RFP process to obtain the lowest possible fixed price. After extensive fiscal analysis staff has conservatively projected that this new transportation program will generate an additional $474,000 per year bringing the total revenue for the paramedic program to $921,000 per year. The actual direct expenses of the program total $687,000, therefore generating net revenue of $235,000. If the other existing city staff is added in that supports the current and proposed program as overhead costs to the paramedic program (the proportional costs of the Council, Manager, City Attorney, or other administrative service related expenses) the proposed program will still net the general fund $55,000 per year. When the Council created the paramedic fee and subscription in 1993, a portion of the new revenues were utilized to upgrade one firefighter per • shift at the Corona del Mar station to a firefighter /paramedic position, which gave the City a paramedic level trained firefighter at the fire station where the City was at that time experiencing the longest response times. With the proposal tonight, staff is proposing to upgrade one additional firefighter per shift at the Mariners Station to a firefighter /paramedic so the City can achieve an improvement in providing advanced life support in five minutes or less 85% of the time. In summary, Mr. Murphy stated that the City staff believes, based on the long and extensive review of this proposal, that a new paramedic transportation program will increase net revenues at the same time as improving paramedic level response times. He indicated that he is sure that Council will hear other peripheral issues, however noted that the City staff does not have any hidden agendas and have just has one goal in mind, to provide the highest level of municipal services at the lowest cost to the taxpayers. Sol Hamburger, 2186 Vista Entrada, spoke in support of the proposal and described his own experience with emergency services. He said he believes in out - sourcing except when it comes to police and fire protection. Barry Walshe, 300 E. PCH # 123, said it would be impossible to privatize ambulance services, stressed the importance of response times and noted that there are no privatized paramedics in Orange County. • Dr. Eric Alcouloumire, Hoag Hospital, read a letter from the Medical Director of the hospital in support of staff's proposal. He also addressed the importance of faster response times. Harold Jasper, 1218 Sand Key, CdM, stated that the proposal should not be approved because of the unknown elements of the program. Volume 50 - Pagel 43 City of Newport Beach City Council Minutes May 13, 1996 INDEX Jackie Heather, 1500 Dorothy Lane, spoke in support of the proposal and urged the Council to support it as well. Brian Ranger, 1890 S. Betmor Lane, Anaheim, MedTrans Ambulance, said • he believes patient care is getting muddied with revenue. He said the proposal is admiral, however he disagrees with the methodology. He said MedTrans has provided alternatives to the City and questioned the timing of this proposal. Chief Riley responded that it is staff's desire to start the program in concert with the new fiscal year. Dr. Richard Haskell, Cardiologist, Hoag Hospital, said that in emergency situations time is of the essence and the difference between a five minute and an eight minute response time is significant. Jeffrey Stern noted that the City has phenomenal firefighters and the speakers have addressed this proposal from a human side, not the financial side. He explained that private ambulance companies can bid on the basic life support services. Steve Stafford pointed out that by having ambulance services as part of the Fire Department it would save dispatchers having to call private ambulance companies and they could all be dispatched at once. Dr. Stephen Jennings explained that he is responsible for the student athletes and, if needed, he would want paramedics on the scene within five minutes. He said that if the program saves one life, it is worth it. Tom Hyans, 217 19th St., said that the City cannot compete with private • ambulance companies and noted that the average salary of a firefighter is $96,000 per year. He submitted a letter for the record from Eugene McCarthy urging firefighters from the area to show up at this meeting to support the proposal. Barry Zanck, 3714-1/2 Park Lane, asked the Council what the City would do for the people who lose their jobs if this proposal is approved. Byron DeArakal, Costa Mesa, asked what cost the City would be willing to pay for lower response times. He said if cost is the issue, he challenged the City to find an agency that gets 100% reimbursement from Medicare. He noted that there is a declining 911 population and emergency room visits are also on the decline. Bruce Lloyd, 1826 Toyon Lane, commended Mayor Hedges for taking a stand on this issue. He stated that the firemen make double the income of most Orange County residents. He said government continues to get bigger and staff is constantly being added. Tom Sullivan concurred with Mayor Hedges and stated that socialism is alive and well in Newport Beach. He stated that the issue is about control, not about response times. He said that 25 firemen make over $80,000 annually and their salaries will increase by steps of $17,000 if this proposal is approved. • Karen Behringer, 421 Serra Drive, CdM, asked why the City is proposing to move backwards and questioned who would fund the lawsuits when the additional risks are taken on. Ron Hendrickson said the real risk is in taking over the ambulance service Volume 50 - Pagel 44 City of Newport Beach City Council Minutes May 13, 1996 INDEX and suggested delaying that one year and establishing a partnership with a private ambulance service. Steve Sheldon, Public Affairs Consultant for MedTrans, said that they can achieve the desired response time and they offered a compromise to • form a partnership. Dolores Offing, using charts, pointed out the projected revenues and costs associated with the proposal. Tom Hyans called for a point of order and stated that the speakers have only been allowed four minutes to give their testimony. City Clerk Harkless reported that the clock was possibly off by about 30 seconds. Novell Hendrickson voiced concerns about the financing of the proposal and the possibility of reserve funding being used or a utility tax being assessed in the future to fund this program. In response to Mr. Hyan's concerns about the public not being given the proper amount of time to testify, the Council granted the speakers an opportunity to address them for an additional minute. The following speakers summarized their initial statements: Harold Jasper, Tom Hyans, Tom Sullivan and Sol Hamburger. Motion by Council Member O'Neil to: Approve Phase One of the Fire and Marine Department proposal to enhance the existing paramedic delivery system, begin advanced life support transportation using existing paramedic units, and begin basic • emergency ambulance transportation using a contract ambulance provider selected through a competitive process; Introduce Ordinance No. 96 -20, revisions to Chapter 5.14 of the Newport Beach Municipal Code, that will allow the Fire and Marine Department to deliver cost effective emergency ambulance transportation services as part of a comprehensive Emergency Medical Services delivery system; Direct the Fire and Marine Chief to revise the Fire Medics Paramedic Membership Program to include emergency ambulance transportation as part of the coverage for Fire Medics members: and Direct the City Manager to develop a separate budget account to track all advanced life support related expenditures and revenues as part of the FY 1996/97 Budget. Council Member Glover said that she feels the firefighters have been maligned and caught in the middle of politics, ambition and ego and she considers them to be an institution in life. She pointed out that two years ago a similar proposal was made to the firefighters and they weren't interested. She said this proposal is being driven by management, not by the firefighters, and the plans have been laid out for some time since equipment has been purchased in preparation for this plan. She apologized to MedTrans and stated that she hopes they • have not been maligned. She pointed out that government will never be able to operate like a business because business has a bottom -line mentality. She voiced concerns about this being proposed as a "pilot - program since it is difficult to revert back to an old program if the pilot program is not successful. She said she supports the proposal. Volume 50 - Pagel 45 City of Newport Beach City Council Minutes May 13, 1996 Council Member Edwards spoke in support of the motion and stated that he would opt for saving lives and noted that the issue is quality of life. Mayor Pro Tern Debay stated that the key to this issue is the quality of care and to try to put labels on it or politicize would be a mistake. She • said the City can't afford to subsidize a private for -profit company by arriving at the scene, stabilizing the victim and then turning them over to a private ambulance company to transport. She said that the City is here for service and she will hold the department accountable for the success of the program. She spoke in support of having paramedics at every fire station. Following up on Council Member Glover's statement about the bottom - line mentality that many businesses have as opposed to government, which is a consuming entity, Mayor Hedges said that she left out the fact that government has the unique ability to tax and to use police power. In response to statements about duplication of services, he said that possibly the services would not now be duplicated if government had not gotten into the paramedic business to begin with. He explained that the City is currently meeting the five minute response time 70% of the time and the eight minute response time 97.5% of the lime. He said he has never seen a government pilot program not become permanent after it has been already established. He reiterated that a five minute response is already being achieved 70% of the time and questioned how you get to 85 %. Mayor Hedges made a substitute motion to require staff to present to the City Council a plan to enhance paramedic response to five minutes city -wide 85% of the time, using existing personnel classifications, because if that is the issue at hand he would like to see how the City is going to get to 85% using existing personnel classifications • and improving the efficiency of existing operations using existing personnel. Council Member Watt spoke in support of the main motion and said that the substitute motion is valid in concept, however the concept has already been explored. She voiced concerns about some of the statements that have been made and noted that government can have a bottom -line mentality and that has been the direction it has been going over the last four years. She said that the government has as an advantage the ability to modify the bottom line as it applies to money when it is a quality of life issue, and this is a quality of life issue, as well as a fiscal issue. The substitute motion died for lack of a second. Mayor Hedges stated that it is apparent that the issue is not improved response times, therefore he said he won't support the motion because it seems that it is merely an effort to push a legitimate private enterprise out of business for the benefit of government. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt Noes: Mayor Hedges • Absent: None Abstain: None 30. MEMORANDUM OF UNDERSTANDING (MOU) BETWEEN THE CITY OF NEWPORT BEACH, THE IRVINE RANCH WATER DISTRICT AND THE ORANGE COUNTY WATER DISTRICT REGARDING THE WETLANDS WATER SUPPLY Volume 50 - Pagel 46 INDEX IRWD (MOU) (74) City of Newport Beach City Council Minutes May 13, 1996 INDEX Volume 50 - Pagel 47 PROJECT AND AN INTEGRATED REUSE ALTERNATIVE PROJECT. City Attorney Burnham stated that a great deal of time has been spent in the last four or five weeks working with IRWD in an effort to find an alternative to the project proposed by IRWD to discharge reclaimed water into San Diego Creek and the Upper Bay. He summarized the • IRWD project that is to be considered by the Regional Control Board on the 20th which the City Council has opposed for six to seven months. He said the project has two phases - the demonstration phase and the permanent phase. The demonstration phase would last for a period of two years and after successful completion, IRWD can go to the Regional Board and get a permanent permit. Both phases involve the discharge of approximately 5 million gallons a day of reclaimed water into duck ponds and the subsequent discharge of that water into San Diego Creek. Both phases contemplate that discharge occurring generally between October 1 and March 31 (the wet times of the year). He said the he MOU is designed to create an alternative to that project which would achieve the objectives of IRWD, which is to reduce the amount of reclaimed water and the amount of sewage that they currently send to CSDOC and to create a habitat for waterfowl in reconfigured duck ponds that are southerly and westerly of their water reclamation plant. Mr. Burnham explained that the MOU has a number of components. The first component is the construction of a portion of the Green Acres Phase II line (the water line that would bring reclaimed water to the City of Newport Beach). Another component is the construction of a pipeline from the Irvine Ranch Water District Water Reclamation Plant down to connect with the Green Acres facility. A third component is the construction of a diversion structure in San Diego Creek that will allow IRWD to divert water from the creek into the marsh and duck ponds and then back into San Diego Creek. He said there is also a component that • requires agreements between OCWD, CSDOC and IRWD whereby the IRWD would have the right to transmit 7.8 million gallons a day of reclaimed water to OCWD during the period that they would otherwise discharge that into the ponds and the creek. The MOU also establishes a phasing plan. The project is designed to begin under the current permit application on October 1, 1996 with some baseline monitoring to begin this summer. The MOU would defer the onset of the demonstration phase to October 1, 1997 if the City obtained end user agreements with major purchasers of reclaimed water in the City. As of October 1, 1997, no discharge of reclaimed water into the creek or bay would be permitted if all these components were in place and operational. If some of the components were in place so that IRWD could send some water to OCWD then the amount of water discharged in the creek and bay would be reduced and that scenario would repeat again on October 1, 1998. One advantage and one provision of the MOU is if this alternative is in place then IRWD has the right to take all of their excess winter time supply of reclaimed water and deposit it into OCWD's facilities and there would be no discharge of reclaimed water at any time into the creek or bay. There are also provisions in the MOU that require cooperation between the entities to improve bay water quality and reduce the amount of nutrients going into San Diego Creek from the pond. Finally, the City would be obligated to pay 100% of the legal costs associated with a lawsuit filed against the project or any of these components by a citizen of Newport Beach, 50% of the legal costs associated with a challenge • filed by someone who is not a citizen. Council Member Glover voiced appreciation to City Attorney Burnham and City Manager Murphy, as well as IRWD, OCWD and the Orange County Sanitation District, for their work on this proposal, Volume 50 - Pagel 47 City of Newport Beach City Council Minutes May 13, 1996 INDEX Motion by Council Member Glover relative to the proposed MOU between the City, IRWD and OCWD as follows: 1. The City Council supports the concept of an MOU and subsequent • formal agreement between the parties. 2. The City Council believes that concerns expressed about the issuance of a permit prior to final action on the formal agreement are valid in light of the limited opportunity for public review of the proposed MOU, the complexity of the MOU, and the large number of public and private entities interested in the issues. Accordingly, the City Council could not support unconditional issuance of a permit by the Santa Ana Regional Water Quality Control Board prior to execution of a formal binding agreement among the parties; 3. The City Council is comfortable with many aspects of the current draft of the MOU including the following: a. The desire of the parties to work to achieve the objectives of the Wetland Water Supply Project; b. The financial and other commitments of the City necessary to facilitate completion of Phase II of Green Acres; c. The financial and other commitments of the City necessary to ensure that OCWD has the capability to use or lawfully dispose of all of IRWD's excess reclaimed water; • d. Establishing reasonable deadlines for completion of the Interne and Green Acres Phase II; e. Supporting the concept of a permanent San Diego Creek diversion structure as a means of irrigating the waterfowl habitat and mitigation areas, with the understanding that every reasonable effort should be made by IRWD and the City to protect the interests of nearby property owners; f. Supporting the concept of allowing reclaimed water to be used to irrigate the marsh to the extent other sources are inadequate so long as discharges into San Diego Creek and the Bay are limited to sources other than reclaimed water; g. Supporting the Marsh Enhancement Plan and the City of Irvine's efforts in that regard consistent with this motion; h. Working cooperatively with IRWD, OCWD and all other Interested parties to improve the marsh, enhance water quality in Newport Bay and to protect the Upper Newport Bay Ecological Reserve; and I. Paying all costs and expenses associated with any legal challenge to those components for which the City is solely • responsible. 4. The City Council is not currently supportive of certain provisions in the MOU including the following: a. The requirement that a permanent diversion structure be in place Volume 50 - Pagel 48 City of Newport Beach City Council Minutes May 13, 1996 INDEX and operational as a condition to deferral of reclaimed water discharges; b. The requirement that the City be the lead agency for the structure and the current uncertainty regarding our funding commitments in • that regard; c. The requirement that the City pay for all or a portion of attorney fees and costs occasioned by lawsuits or administrative challenges by Newport Beach residents, groups or third parties over which the City has no control. 5. Direction to staff to meet with IRWD and OCWD representatives in an effort to resolve these issues prior to May 20, 1996. Jack Skinner stated that he was hopeful of a permanent solution and feels any temporary solution is not acceptable. He voiced concerns over the aspects of the MOU that makes the City responsible for the planning, the legal fees and the proposed time frame. He asked if the MOU would make it impossible for citizens to present their concerns about the issue. Bob Caustin, Defend the Bay, voiced concerns about IRWD obtaining a permit, the City becoming sanitary engineers for the City of Irvine, and the removal of support for Marilyn Brewer's bill opposing the dumping of the water into the bay. Philip Arst, 2601 Lighthouse Lane, distributed information to Council, and pointed out that this is a very profitable project for IRWD since they will save $2.8 million in charges from CSDOC. He explained that in the • document distributed there are a dozen negotiating points for the City to use. Mr. Norris noted that there are some points in the MOU that are ridiculous and the public is steadfastly against IRWD's proposal. Pursuant to a friendly amendment by Council Member Edwards, the following point was added as 4(d) to the motion (the list of items Council is not currently supportive of): 4. d. The requirement that the City withdraw support for AB 3344 (Marilyn Brewer's bill). Council Member Waft explained that if the motion passes, the City will request that the regional board work with the City to implement the permit coincidental with finalization of an agreement. She suggested that the regional board meeting proceed and public testimony be allowed. City Attorney Burnham explained that the City's plan is to meet with IRWD and OCWD representatives on Tuesday morning to review some of the issues that are of concern to the Council and hopefully iron out those issues and schedule a special meeting of the Council before the May 20th hearing of the Regional Water Quality Control Board. If the City • doesn't have an agreement that the Council can approve prior to that time, then the City will oppose the project on the 20th consistent with written information that has already been provided to the board. He reminded them and the public that the City Council does not have jurisdiction over the IRWD project and is limited to opposing permits that are necessary to implement the project, most important of which is one Volume 50 - Pagel 49 City of Newport Beach City Council Minutes May 13, 1996 that may be granted by the Regional Water Quality Control Board on the 20th of May. He said the City is trying to reach an agreement before the Board reaches a decision on the permit application. The motion, including the friendly amendment, carried by the following • roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None Absent: None Abstain: None 31. APPEAL OF TILY B dba MERMAID. City Manager Murphy explained that the City has taken actions to revoke one of the permits for the Mermaid in operation on MacArthur Boulevard and has also rejected an application for a renewal of one of the operating permits. Based on those actions, the owner and operator of the facility has appealed those actions to the City Council. He said it is being recommended that the City Council authorize him to appoint a hearing officer, acceptable to both the City and the appellant, to conduct the hearing and to put together a hearing transcript to be presented to the City Council in lieu of probably several hours of testimony before the City Council. He said the City Attorney has recommended this process on other issues and has found it to be pretty successful. Motion by Mayor Hedaes to authorize the City Manager to appoint a hearing officer, acceptable to the appellant and the City, to conduct a • hearing on the Tily B appeal and return the transcript of the hearing along with the findings and recommendations of the hearing officer to the Council for final determination on June 10, 1996. Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None Absent: None Abstain: None 32. ECONOMIC DEVELOPMENT COMMITTEE VACANCIES: Motion by Mayor Hedges to appoint Michael Porter as the Cannery Business District representative to replace Marie Schack and Ralph Rodheim as the Community Marketing Representative to replace Harold Parker. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Debay, Cox, Glover, Watt and Mayor Hedges Noes: None Absent: None Abstain: None MOTION FOR RECONSIDERATION - None •ADJOURNMENT IN MEMORY OF TRACY WOLONSKY AND HARRY MERRILL - 5:00 p.m., Thursday, May 16,1996; Tuesday, May 28, 1996 - 5:00 p.m. (Closed Session) and 7:00 p.m. (Regular Meeting) Volume 50 - Page :1-49 -a INDEX Tily B Mermaid (33) EDC (24) City of Newport Beach City Council Minutes May 13, 1996 The agenda for this meeting was posted on May 8, 1996 at 4:42 p.m. and the supplemental agenda was posted on May 10, 1996 at 3:20 p.m. on the City Hall Bulletin Board outside of the City of Newport Beach Administrative Building. • Attest: dity Clerk • • Mayor Volume 50 - Page 149 -b INDEX