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HomeMy WebLinkAbout04/14/1997 - Regular MeetingCITY OF NEWPORT BEACH City Council Minutes Regular Meeting April 14, 1997 - 7:00 p.m. CLOSED SESSION - 5:00 p.m. CLOSED SESSION REPORT PRESENTED - None RECESSED AND RECONVENED AT 7:00 P.M. FOR REGULAR, MEETING ROLL CALL Present: O'Neil, Thomson, Edwards, Noyes, Mayor Debay Absent: Hedges, Glover Pledge of Allegiance - Council Member Noyes. Invocation by Lloyd Dalton, City of Newport Beach Design Engineer. Presented Proclamation for National Library Week - April 13 - 19, 1997. is Recognized Toshiba American Information Systems, Balboa Bay Club, and International Sports and Event Marketing Ltd., for coordinating the Toshiba Senior Classic Golf Tournament. Presented Proclamation to the sponsors of the Ensenada Race. Presentation by the Orange County Burn Association of the 1996 Award for Outstanding Merit honoring the members of the Fire and Marine Department for their participation in volunteer public services to the community in both fire- related and non fire- related activities. Motion by Mayor Pro Tem Edwards to waive reading of the Minutes of the Special Meeting (Study Session) and Regular Meeting of March 24, 1997, approve as written and order filed; waived reading of Ordinances and Resolutions under consideration and directed the City Clerk to read by titles only. The motion carried by the following roll call vote: Ayes: O'Neil, Thomson, Edwards, Noyes, Mayor Debay Noes: None Absent: Hedges, Glover Abstain: None MATTERS WHICH COUNCIL MEMBERS WOULD LEKE PLACED ON A FUTURE AGENDA FOR DISCUSSION ACTION OR REPORT (NON • DISCUSSION ITEM): Volume 51 - Page 189 • • City of Newport Beach City Council Minutes April 14, 1997 Council Member Noyes announced that the Graffiti Removal Hotline telephone number is 644 -3333 and urged residents to call this number to report graffiti so it can be promptly removed. Mayor Debay requested that staff return with a report on the possibility of providing a service to residents to strap down water heaters. CONSENT CALENDAR 1. INTRODUCE ORDINANCE NO. 97 -16 AMENDING SECTION 5.10 OF THE NBMC RELATING TO SPECIAL EVENTS. 2. Removed from Consent Calendar. 3. ADOPT ORDINANCE NO. 97 -13 AMENDING CHAPTER 5.15 OF THE NBMC RELATING TO THE CALCULATION OF STORAGE DAYS AND IMPOSITION OF CHARGES IMPOSED ON VEHICLES STORED BY OFFICIAL POLICE TOW OPERATORS. 4. ADOPT ORDINANCE NO. 97 -14 APPROVING AN AMENDMENT TO TITLE 20 OF THE NBMC TO ADD CHAPTER 20.46 (SPECIFIC PLAN DISTRICT: OLD NEWPORT BOULEVARD) AND TO REVISE DISTRICTING MAPS NUMBERS 5 AND 25 TO RECLASSIFY THE AREA WITHIN THE PROPOSED BOUNDARIES OF THE OLD NEWPORT BOULEVARD SPECIFIC PLAN FROM RSC -R AND RSC- H -4 TO SP-9 [AMENDMENT 8561. 5. ADOPT ORDINANCE NO. 97 -15 APPROVING AN AMENDMENT TO DISTRICTING MAP #42 TO RECLASSIFY SIX PROPERTIES LOCATED OFF OF THE SOUTH SIDE OF MESA DRIVE, BETWEEN BIRCH STREET AND CYPRESS STREET FROM THE UNCLASSIFIED (U) DISTRICT TO THE AGRICULTURAL. RESIDENTIAL (RA) DISTRICT AND AN AMENDMENT TO CHAPTERS 20.00, 20.10, 20.65, AND 20.67 OF TITLE 20 OF THE NBMC TO ESTABLISH REGULATIONS TO ALLOW THE KEEPING OF LIVESTOCK AND TO REVISE MINIMUM LOT AREA AND LOT WIDTH REGULATIONS [AMENDMENT 8551 (MESA DRIVE REZONE). RESOLUTION FOR ADOPTION 6. ADOPT RESOLUTION OF INTENTION NO. 97 -29 INITIATING AN AMENDMENT TO CHAPTER 20.83 OF THE NBMC TO PROHIBIT CONDOMINIUM DEVELOPMENT AND CONDOMINIUM • CONVERSIONS IN THE R -1.5 DISTRICT (BALBOA ISLAND). Adopt Resolution of Intention and refer to the Planning Commission for public hearing. Volume 51 - Page 190 i0 1 Ord 97 -16 Special Events (27) Ord 97 -13 Official Police Tow Charges/Fees (27/40) Ord 97 -14 Zoning PCA 856 (94) Ord 97 -15 Zoning PCA 855 (94) Res 97 -29 Condo Dvlpmnt/ Condo Conversion (68) • • • City of Newport Beach City Council Minutes April 14, 1997 Removed from Consent Calendar. 8. ADOPT RESOLUTION NO. 97 -31 APPROVING PARAMEDIC SERVICE FEES PURSUANT TO CHAPTER 5.60 OF THE NBMC (MODIFICATION OF PARAMEDIC SUBSCRIPTION PROGRAM BY ADDING NEW MEMBER BENEFITS). 9. ADOPT RESOLUTION NO. 97 -32 SUPPORTING THE CONSOLIDATION OF THE COUNTY SANITATION DISTRICTS OF ORANGE COUNTY (AB 769). CONTRACTS AND AGREEMENTS 10. Removed from Consent Calendar. 11. MACARTHUR BOULEVARD WIDENING - SEGMENT 2 (CONTRACT NO. 2825(F)). Approve the plans and specifications for construction of Segment 2 of the MacArthur Boulevard Widening project extending from San Joaquin Hills Road to Ford Road; authorize the advertisement for construction bids for Contract No. 2825(F); and authorize the payment of $39,707 to The Irvine Company for providing replacement riparian mitigation for the MacArthur Boulevard Widening Project. 12. BIRCH STREET BRIDGE WIDENING OVER STATE ROUTE 73 (CORONA DEL MAR FREEWAY (SAN JOAQUIN HILLS TOLLWAY). Approve the plans and specifications for the construction of the Birch Street Bridge Widening over State Route 73; and authorize the advertisement for construction bids for Contract No. 2931(a). 13. STREET REPLACEMENT AND REPAIR AND TRAFFIC SIGNAL DVIPROVEMENTS PROJECT (CONTRACT NO. 3139) AND APPROVAL OF BUDGET AMENDMENT (BA -038). Authorize a budget amendment to transfer Gas Tax funds in the amount of $421,000 from various projects to the Street Replacement/Repair and Traffic Signal Improvements project 7181- C5100354; and authorize the advertisement for construction bids for Contract No. 3139. 14. JAMBOREE ROAD AND BALBOA BOULEVARD REHABILITATION AND RIVER AVENUE STREET PAVEMENT OVERLAY PROJECT (CONTRACT NO. 3010) AND APPROVAL OF BUDGET AMENDMENT (BA -039). 1) Approve the contract plans and specifications and award Contract No. 3010 to R. J. Noble Company of Orange for the total bid price of $850,880.50; authorize the Mayor and the City Clerk to execute the contract; and establish an amount of $50,000 to cover the cost of materials testing and additional work; and 2) authorize a budget amendment to transfer Gas Tax funds in the amount of $155,244 from the Birch/Mesa Realignment project 7181- C5100064 to the Jamboree Road and Balboa Boulevard Rehabilitation Project 7181- C5100295. Volume 51 - Page 191 1►I� Res 97 -31 Paramedic Fees (40/41) Res 97 -32 O/C Sanitation Dist Consol/AB 769 (48) MacArthur Blvd Wdng #2 C- 2825(F) (38) Birch St Bridge Wdng(State Rt 73 C- 2931(a) (38) St Rplcmnt & Rpr & Trffc Sgnl Insp Prjct C -3139 (38) BA -038 (40) Jamboree Rd & Balboa Blvd Rehab & River Ave St Pavement Overlay C -3010 (38) BA -039 (40) • E u City of Newport Beach City Council Minutes April 14, 1997 COMPLETION AND ACCEPTANCE OF EL PASEO STORM DRAIN (CONTRACT NO. 3074). Accept the work; authorize the City Clerk to file a Notice of Completion; and authorize the City Clerk to release the bonds 35 days after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code. 16. STREET IMPROVEMENTS AT LA JOLLA AND CLIFF DRIVE (CONTRACT NO. 3119). Approve the plans and specifications; award Contract No. 3119 to Pacific Hydrotech Corporation for the total price of $60,581.41 and an amount of $6,418.59 for testing and additional work; and authorize the Mayor and the City Clerk to execute the contract. MISCELLANEOUS ACTIONS 17. PLANNING COMMISSION AGENDA FOR APRIL 10, 1997. 18. Removed from Consent Calendar. 19. APPROVE BUDGET AMENDMENT (BA -037) TO TRANSFER $70,000 FROM THE LIBRARY DIVISION SALARY AND BENEFITS ACCOUNT TO A CAPITAL PROJECT ACCOUNT FOR REMODELING OF THE BALBOA AND MARINERS LIBRARY BRANCHES. 20. BUDGET AMENDMENT (BA -036) TO APPROPRIATE FUNDS RECEIVED FROM THE NEWPORT BALBOA ROTARY CLUB FOUNDATION FOR SUPPLIES FOR THE SPECIAL OLYMPICS BASKETBALL TOURNAMENT ($1,250). 21. SPECIAL EVENT PERMIT #97 -61 FOR THE 1997 WATER POLO TOURNAMENT AT CORONA DEL MAR HIGH SCHOOL — MAY 6 — 11, 1997. Approve Special Event Permit #97 -61. 22. PROPOSED UNDERGROUND UTILITIES DISTRICT NO. 14 (Newport Boulevard from 32nd Street northerly to north of the Arches Bridge). Schedule a public hearing for 7:00 p.m. on May 12, 1997 to determine whether or not an underground utilities district should be formed along Newport Boulevard from 32nd Street to north of the Arches Bridge, using the procedures outlined in Chapter 15.32 of the Municipal Code. 23. REPORT ON CITY OF NEWPORT BEACH WATER QUALITY (Requested by Council Member Hedges). Motion by Mayor Pro Tom Edwards to continue this item to April 28, 1997. The motion carried by the following roll call vote: Ayes: O'Neil, Thomson, Edwards, Noyes, Mayor Debay Noes: None Absent: Hedges, Glover Abstain: None Volume 51 - Page 192 El Paseo Storm Drain C -3074 (38) LaJolla & Cliff Dr St Imprvmnt C -3119 (38) (68) BA -037 Library (40/50) BA -036 Comm Sery (40/62) Special Event #97 -61 (27) Undrgrnd Util Dist #14 (89) Water Quality (89) • • • City of Newport Beach City Council Minutes April 14, 1997 MOTION BY MAYOR PRO TEM EDWARDS TO APPROVE THE CONSENT CALENDAR, EXCEPT FOR THOSE ITEMS REMOVED (2, 7, 10 & 18). The motion carried by the following roll call vote: Ayes: O'Neil, Thomson, Edwards, Noyes, Mayor Debay Noes: None Absent: Hedges, Glover Abstain: None ITEMS REMOVED FROM THE CONSENT CALENDAR 2. INTRODUCE ORDINANCE NO. 97.17 ADDING SECTION 9.04.205 TO CHAPTER 9.04 OF TITLE 9 OF THE NBMC PERTAINING TO SUPPRESSION AND CONTROL OF HAZARDOUS VEGETATION. Fire/Marine Chief Riley explained that this is the introduction of an ordinance that follows on the heels of a long and comprehensive process to come to a set of standards to protect property in the areas that abut wild and open space. Shortly after the Laguna fire the Council charged staff with developing standards that could be implemented to reduce the threat of fire in the Corona del Mar area and to develop standards that provide adequate levels of protection for the firefighter should a fire occur in those areas. He said that a number of meetings were held with representatives from different groups, with the largest group being "The Friends of Buck Gully." He said the group had fire protection consultants and landscape architects working in concert with the City's fire staff and fire consultants to develop the proposed standards. At the conclusion of the process, there was one area of disagreement. The area in disagreement pertained to the level of separation between existing trees that were in the fire defensible space zone. Staff recommended that a minimum of 10 feet clearance be maintained between every single tree. As a result of the discussions during the Public Safety Committee deliberations, the standards were amended to strongly recommend the maintenance of a tree canopy separation between existing trees, but not require the separation. Subsequent to that time, the Council received a letter from a group in the area who feel that the original department standard that was introduced at the Public Safety Committee meeting should be implemented. He said he believes a degree of standard has been reached that will balance the concerns of the homeowners in that area with the aesthetic beauty of the canyons and sound fire protection principles that will provide an adequate defensible space for the firefighters in the event of a fire. Chief Riley reported that as a result of the Laguna and Oakland fires, the Federal Emergency Management Agency (FEMA) of the U.S. Government made grant funding available through the California Office of Emergency Services to help with mitigation of wild areas for fire protection purposes. The City applied and was granted matching funds of 75% federal money and 25% local money ($218,000). The money is to be distributed to the homeowners affected by the ordinance to assist them in the mitigation of their particular wild land problems. Volume 51 - Page 193 1 1 Ord 97 -17 Suppression Hazardous Veg/ Fire (41) City of Newport Beach City Council Minutes April 14, 1997 • Stanley Behrens, representing "Concerned Home Owners Fire Prevention Committee of Bucks Gully and Evening Canyon and Morning Canyon," said that his committee is concerned that the proposed amendment ignores the inflammable combustible nature of existing trees in the canyon. He urged the Council to read the resolution and amend the proposed amendment. He asked that the following wording be inserted, "All existing trees located within the defensible space must be maintained in a manner that provides 10 feet of separation when measured branch tip to branch tip. For the purposes of this document branch tip to branch tip is synonymous with the term canopy to canopy. All (inflammable) non fire resistance tree branches and shrubs, dead or dying, shall be trimmed or removed. There is no separation requirements for fire resistance trees." He distributed photos of trees throughout the canyon. Council Member O'Neil clarified that Mr. Behrens would like to see the same standard for all trees - new and existing; however the Friends of Buck Gully want the standards (10' canopy) to apply to new trees only with the old trees grandfathered in. He said he understands both sides of the issue and stated that he will rely on the recommendations of the experts to provide him with counsel on how to vote on the issue. Council Member Noyes noted that the most important issue is fire prevention and questioned whether that is what is being considered. • Council Member Thomson said he does not want to mix the issues of fire prevention and views and said he sympathizes with both groups. He said he would like to receive more input from the citizens and the associations, therefore questioned whether this item should be delayed. In response to Mayor Debay, Chief Riley reported that the detailed inventory of each property has not been started. He stated that in order to meet the intent of the original standards, trees would have to be removed. He explained the history of this issue and noted that there will always be sides polarized on the debate about whether to allow unbridled growth or to control growth. He said that if the City wanted to go all the way toward fire protection, it would also require replacement of roofs, elimination of combustible siding, dual glazed windows, etc. He said he believes this is a good start and if staff finds there are significant issues that are not being addressed, they can be brought back to Council. Mayor Debay requested that staff come back to Council with a report when the inventories are complete. Motion by Council Member O'Neil to introduce Ordinance No. 97 -17 pertaining to suppression and control of hazardous vegetation Mayor Pro Tern Edwards stated that this is a step forward and does not preclude amendments to the ordinance or the inventory of the trees and • allows the City to use the FEMA money. Council Member Noyes asked if the Fire Department has a responsibility to Volume 51 - Page 194 • City of Newport Beach City Council Minutes April 14, 1997 recognize trees that are a fire hazard and take action outside of the ordinance to do something about them. City Attorney Burnham said that if it is a public nuisance the City has nuisance abatement procedures that can be followed to abate the problem. Council Member Thomson said he believes in the proposal, however can't support it because he believes there should be more input from individual property owners and associations. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Noyes, Mayor Debay Noes: Thomson Absent: Hedges, Glover Abstain: None 7. ADOPT RESOLUTION NO. 97 -30 AMENDING THE CITY'S MASTER FEE SCHEDULE FOR MUNICIPAL SERVICES RE: BUILDING, RBR's, SPECIAL EVENTS, ETC. City Manager Murphy explained that resolution will amend the City's master fee schedule that was created when the KPMG study was adopted. • There were a number of fees that were found in resolutions or other parts of the municipal code that had not been brought into the master fee resolution, therefore it is being done through this action. He said the specific reason he pulled this relates to news rack permits. He reported that prior to the KPMG study the permit fee was $15.00 and as a result of the study and the full cost recovery the fee, was set at $300. Based on contacts received on this item, staff looked at the number of units and determined that there had been an error made and the fee should actually be $62.00. He proposed that the news rack fee be returned on a temporary basis to $15.00 and referred to the City Council Finance Committee for review and recommendation. He said the fee should include the time spent by Public Works to review the encroachment issues, as well as the time spent by the Revenue Division of Administrative Services. Mayor Pro Tom Edwards questioned the need to refer it to the Finance Committee and suggested setting the fee at $15.00. Mr. Murphy explained that if the fee is set at $15.00, the ordinance establishing the cost recovery percentages will need to be amended since it was set at 100 %. Philip Bettencourt, 110 Newport Center Dr., #150, on behalf of the Building Industry Association, spoke in support of the change to provide a volume discount for repetitive plan checks. Motion by Council Member Noyes to adopt Resolution 97 -30, modified to reflect a temporary $15.00 permit fee for news rack permits, and to refer the fee to the Finance Committee for review and recommendation to the full Volume 51 - Page 195 Res 97 -30 Muni Srvcs Fee Schedule (40) is City of Newport Beach City Council Minutes April 14, 1997 carried by the following roll call vote: Ayes: O'Neil, Thomson, Edwards, Noyes, Mayor Debay Noes: None Absent: Hedges, Glover Abstain: None 10. AGREEMENT FOR SEISMIC RETROFIT OF BALBOA THEATER. Motion by Council Member Noyes to continue this item until April 28, 1997. The motion carried by the following roll call vote: Ayes: O'Neil, Thomson, Edwards, Noyes, Mayor Debay Noes: None Absent: Hedges, Glover Abstain: None 18. PROPOSED COUNCIL POLICY AMENDMENT — POLICY A -11, RECORDING OF CITY COUNCIL MEETINGS (Requested by Council Member Hedges). Motion by Mayor Debay to refer the policy amendments to the Legislative Committee for review. The motion carried by the following roll call • vote: Ayes: O'Neil, Thomson, Edwards, Noyes, Mayor Debay Noes: None Absent: Hedges, Glover Abstain: None PUBLIC COMMENTS - None 24. CONSIDERATION OF METROPOLITAN WATER DISTRICT (MWD) REBATE TO MEMBER AGENCIES. Public Works Director Webb explained that due to some significant changes in operations and projections for production of water, the Metropolitan Water District (MWD) realized a $70 million savings in water costs in the 1995 -96 time frame. MWD has elected to distribute that to all of the customers, therefore the City received a refund check in the amount of $864,747. The Public Works Committee reviewed the various options available for use of the funds and recommended that the rebate be distributed in two different ways. Originally it was anticipated that water rates would have to be increased by 6¢ per 100 cubic foot this summer, however if $500,000 of the rebate could be used to offset the rate increase, it could be postponed for at least one year and possibly two. The Committee • recommended that the remaining $364,747 be returned to the customer as a credit on their next water bill. Based on the 1995 -96 usage, the average credit will be approximately $9.20 per customer. Volume 51 - Page 196 INDEX CJW, Inc. C -3102 (38) Council Policy A -11 (69) Water Rebate (89) • • • City of Newport Beach City Council Minutes April 14, 1997 Motion by Council Member O'Neil to authorize the Revenue Division to implement the recommendation of the Public Works Committee and utilize the rebate to delay a water rate increase for one year and provide for a one- time rebate to customers based on water usage. The motion carried by the following roll call vote: Ayes: O'Neil, Thomson, Edwards, Noyes, Mayor Debay Noes: None Absent: Hedges, Glover Abstain: None 25. UNSCHEDULED VACANCY ON THE PARKS, BEACHES AND RECREATION COMMISSION. Mayor Debay reported that the Ad -Hoc Appointments Committee reviewed the resumes of the applicants, conducted interviews and selected Terrence Phillips and Timothy Brown as the two nominees. Both Mayor Debay and Council Member Thomson commented on the quality and qualifications of all of the applicants. Motion by Mayor Debay to confirm the nomination of Terrance Phillips and Timothy Brown with the appointment scheduled for April 28, 1997. The motion carried by the following roll call vote: Ayes: O'Neil, Thomson, Edwards, Noyes, Mayor Debay Noes: None Absent: Hedges, Glover Abstain: None 26. ORAL REPORT ON BONITA VILLAGE (Requested by Council Member Thomson). City Manager Murphy reported that during the recent meeting held to provide an update on City goals there was a discussion about the property referred to as Bonita Village. The discussion resulted from action that the City of Irvine has taken within their sphere of influence, particularly after the construction of the San Joaquin Hills Transportation Corridor. He explained that the corridor has become a natural barrier between the two cities and does not respect the sphere of influence lines which were established many years ago through a LAFCO process. He reported that staff met with the City of Irvine and the two school superintendents. The City of Irvine has a policy that the City boundaries be consistent with the school district boundaries and the quadrant is within the City of Irvine and the school district boundaries. He said that it was represented in a meeting last week that the Irvine Unified School District is not interested in seeing this particular area shifted to the Newport Mesa Unified School District for financial reasons. As a consequence, the City of Irvine is not interested in adjusting the boundary since their policy is to have the boundaries consistent. He noted that concerns were raised about what the City of Irvine and the developer, The Irvine Company, has planned for this area. Volume 51 - Page 197 PB &R (24) (No Report) • City of Newport Beach City Council Minutes April 14, 1997 n � � Planning Director Temple distributed a map and a chart showing the existing zoning entitlement of the City of Irvine for the part of Planning Area 26 (Bonita Village). In this particular area, she noted that the zoning would allow just under 2100 residential dwelling units in a medium high density configuration and 55,000 square feet of community commercial. Referring to an exhibit provided by The Irvine Company showing their current state of planning for the area, she noted that it shows development substantially less than the zoning would allow. She said the most important change is that currently no residential development is anticipated for the area between Old Ford Road and Bonita Canyon Road. She pointed out a park site which has six residential building sites on it, a new school site (K- 8) and a church site on the development map. She noted that the plans show 1000 units of attached multi - family and 300 units of single- family detached, 800 less than the zoning would allow at that location. She said the proposed development map shows a commercial site as shown on the exhibits. She said there has not been any precise planning, however one issue that the City will have to contend with is the desire to have the school access off Old Ford Road rather than Bonita. Public Works Director Webb explained that Old Ford Road is currently a divided roadway with a median down the center with the City boundary running down the middle of the median. The west bound section of the • roadway adjacent to the parcel is in Irvine, therefore they will have the responsibility of approving whatever curb cuts might be made on the roadway. However, Newport Beach would have to be consulted if they were to try to make a cut in the median. Mr. Murphy said discussions were held with the Irvine Unified School District about access and it was indicated that if access was difficult to Bonita Canyon they may wish to visit with Newport -Mesa about having students attend school in the Newport Coast area. However, he said the master plan seems to indicate that there is access to Bonita Canyon, so it would be to their financial interest to have them attend their own schools and avoid the busing. He pointed out the former landfill area on the map and noted that it is in no one's sphere of influence today and Area 26B that is in Irvine's sphere of influence. He said the cities have discussed changing the sphere of influence for area 26B so that it would become part of the City of Newport Beach. Ms. Temple confirmed that if the major access to the school site is on Old Ford Road the traffic will definitely be increased. She also pointed out that the development plan shows about 600 dwelling units for Area 26B. She noted that the area isn't much larger than the Bonita Village area acreage wise, however the density is much lower. In response to Council Member O'Neil, City Manager Murphy reiterated that the City of Irvine's policy calls for consistency between school district • and city boundaries, however he believes that if the school district were not opposed to it, the City also would not be opposed to it. Volume 51 - Page 198 City of Newport Beach City Council Minutes April 14, 1997 • Mr. Murphy explained that the superintendent of the Newport -Mesa Unified School District indicated that the district could serve this area more than likely by opening a currently closed school (probably East Bluff). He said the reopening of the East Bluff school would more than likely result in students being moved and all of the schools would even out and the amount of busing would be reduced. He reported that Newport Mesa Unified School District would be very interested in having the area within their district given the fact that they no longer rely on local property taxes alone and rely now on state aid. He said the bottom line is the Irvine Unified School District is not going to give up the students and unless the City of Irvine is willing to change their policy, the area will remain within the City of Irvine. Council Member O'Neil voiced concerns about the impact this area will have on the City of Newport Beach and the fact that the City doesn't have any authority over it other than perhaps trying to control access to the school, which would only put the City at odds with the Irvine Unified School District and the City of Irvine. Mr. Murphy stated that he indicated to the parties that met last week that unless the Newport Beach City Council wanted staff to pursue it further, the issue would not advance further. He said he indicated that the Council may wish to pursue it further, which would likely take the form of further meetings of the school districts and cities, or letters to the elected officials in • those agencies indicating the City's interest in making a change. Mayor Pro Tem Edwards suggested, in light of the legitimate concerns that have been raised, that the City establish some type of ad -hoc committee to try to keep the lines of communication open with all of the agencies involved. Council Member Thomson said that if the City were to pursue annexing this area, it would have to make economic sense to Newport Beach and he doesn't feel there would be enough income to offset the costs to serve the area (sewer, infrastructure, etc.). He said more commercial and industrial areas are needed to pay the bills. He said what the City needs to do is make sure it doesn't impact the City any more negatively than it is already going to. He said the City should have tried to change the sphere of influence prior to the corridor being built. He said he believes this battle is lost, however the City should look at other areas in the City so these types of problems don't arise again. Mr. Murphy explained that the Council already has an established school liaison committee that can be utilized or a new committee can be established. Council Member O'Neil spoke in support of annexing the area so the City can control the land uses and the impacts on the existing surrounding neighborhoods. • Motion by Mayor Pro Tem Edwards to receive the report and direct the City Manager and City Attorney to advise the City of Irvine of the City's concerns about impacts and that the City of Newport Beach doesn't consider the Volume 51 • Page 199 INDEX • • City of Newport Beach City Council Minutes April 14, 1997 annexation issue as a dead issue and wants to leave the door open, so that a report can be brought back to Council (if necessary refer to Legislative Committee). The motion carried by the following roll call vote: Ayes: O'Neil, Thomson, Edwards, Noyes, Mayor Debay Noes: None Absent: Hedges, Glover Abstain: None 27. REPORT OF COUNCIL AD HOC COMMITTEE TO ADVANCE NEWPORT CENTER ECONOMIC OPPORTUNITIES. Mr. Murphy reported that this topic originated when the Council met in their goal setting session in January and it started with Council Member O'Neil's concept to create a Council committee called the Newport Center Economic Opportunities Committee. He reported that in terms of the current corporate boundary, the City is nearly built -out. The areas within the corporate boundaries, particularly the commercial areas where there is open area, is very limited. He said the City needs to look at current areas within the City and the revenues produced from the commercial - industrial assets and look long -term to see if there are ways to maximize the return so that fully- funded quality services can be provided. He said one of the other Council goals is long -term forecasting so they can look long -range into the future to make sure there is sufficient income to support services. He said the number one area in the City in terms of sales tax production is Newport Center/Fashion Island. He said this area is a combination of office and retail with a limited amount of housing and hotels. From the original Council goal, discussions have been held at a committee level with the landowner, The Irvine Company, about the concept of developing a long -range plan to complete Newport Center in the future. From the discussions with The Irvine Company, he said it is interesting to note that as they look at it from the time Newport Center was created to where it is today, it has taken almost thirty years. He said the City has asked The Irvine Company to look at the next thirty years and ways to optimize Newport Center for not only the City's benefit, the company's benefit, but also for the community's benefit in terms of providing services. He said that staff is recommending a process to undertake the review. He noted that the staff report contains a time line, the staff hours, the consultant studies which would be necessary (EIR, traffic study, project manager, etc.) to move that forward. If the Council is interested in proceeding with this project, then internally he has designated Planning Director Patty Temple as the point person for the City. He said the recommendation is that Council give staff direction to implement the recommendations of the ad -hoc committee. Those recommendations are to retain the necessary consultants to undertake the studies needed to move the project ahead. Motion by Council Member O'Neil to receive the report and direct City staff to implement the recommendations of the City Council Ad Hoc Committee to • Advance Newport Center Economic Opportunities (NCEO). He explained that this is a conceptual plan and a good long -term planning concept. He said it will provide a source of future revenue to help finance municipal Volume 51 - Page 200 1Q10 Ad Hoc Cmmttee Advance Newport Center (24) • City of Newport Beach City Council Minutes April 14, 1997 11 1 D1. services. He clarified that it is a plan that will occur over a period of time, i.e. twenty years. Council Member Noyes, speaking on behalf of Council Member Glover, noted that she is concerned about the aggressiveness of the timeline and the public accepting the whole proposition due to the fact that there was a referendum on this issue in 1956. Speaking on his own behalf, Council Member Noyes said he sees this as a tremendous opportunity for the City to share in a decision - making partnership with The Irvine Company to benefit Newport Beach economically, as well as visually. City Attorney Burnham clarified that in preliminary discussions held at the committee level, there was an analysis of the costs the City would incur in terms of staff time, which was essentially equal to the cost of consultants. He said the agreement was that those costs would be shared equally. Council Member O'Neil stated that the intent is to make sure the public is fully aware of and understands what is being proposed, and he does not believe it will be controversial. Council Member Thomson said he believes the City can do better than what • is outlined in the report. He said there are a member of different properties that the City is asking The Irvine Company to give the City as open space, which is frankly junk property. He noted that this is the last bit of property available in this area and the City is only asking for little pieces here and there and he believes the City can do better. Council Member O'Neil said that if this is approved, the City will be granting significant entitlement to The Irvine Company and hopefully the City will see this project built out over the next 15 or so ,years that will guarantee an income stream. He emphasized that this will be a negotiated quid pro quo and will be incorporated into a development agreement, in which The Irvine Company will have certain vested rights that will inure to their benefit. He said obviously the City needs to get something out of the deal that everyone will feel is a benefit to the City. He said he wants every council member to support this and in order to do so they must believe that the City is getting a good deal. He said the City will not know what the terms will be until the consultants have completed their studies and negotiations are entered into. In response to concerns raised by Council Member Thomson, Council Member O Neil explained that nothing is on the table and all there is so far is a land use plan that has been put on the table for purposes of conducting the traffic and environmental analyses. He said the decision to be made at this time is whether to hire the consultants in order to get the plan off the ground. • Council Member Noyes reiterated that the City isn't doing anything other than starting the process and opening the door to study the issue and the things listed in the report are just suggestions. Volume 51 - Page 201 • City of Newport Beach City Council Minutes April 14, 1997 Turner. In response to concerns raised by Council Member Thomson, Council Member O'Neil stated that the community needs to understand what the financial arrangement will be and what the City will get in exchange; and The Irvine Company will need to have the financial analysis in order for them to determine if the project is appropriate. The motion carried by the following roll call vote: Ayes: O'Neil, Edwards, Noyes, Mayor Debay Noes: Thomson Absent: Hedges, Glover Abstain: None None The meeting was adjourned at 8:45 p.m. in memory of Celia The agenda for the Regular meeting was posted on April 9, 1997 at 2:37 p.m. on the City Hall Bulletin Board located outside of the City of Newport Beach Administration Building. Recording Secretary Mayo City Clerk Volume 51 - Page 202 I ` 1