HomeMy WebLinkAbout01-09-2010 - Special MeetingCITY OF NEWPORT BEACH
City Council Minutes
Newport Coast Community Center
6401 San Joaquin Hills Road
January 9, 2010 — 8:00 a.m.
1. Welcome -Mayor Curry
2. Ro11 Can
Present: Council Member Selich, Council Member Rosansky, Mayor Pro Tern Henn, Mayor
Curry, Council Member Webb, Council Member Gardner, Council Member Daigle
2. Review Agenda
Interim Assistant City Manager Perkins provided an overview of what will be
discussed, stated that the public will be allowed to speak at the end of each agenda item, and
encouraged everyone to participate.
3. Review Status of Priorities Set in January 2009
City Manager Kiff discussed the goals and status of the following 2009 City Council
Priorities:
Implementation measures to minimize the adverse impacts of John Wayne Airport
Benchmarking and Performance Measures
Development and adoption of a FY 2009 -2010 budget
Updated Facilities Finance Plan
Enforcement of the City's group homes regulations
Alignment of the City's codes with the General Plan
Reduction of fire hazards in Lower Buck Gully
Implementation of an effective Traffic Management Plan
Completion of the schematic design phase and
the Environmental Impact Report (EIR) for the Newport Beach Civic Center
Providing more public parks and recreation facilities
Acquiring the Banning Ranch property
Implementation of water quality improvement projects
Dredging of the Lower Newport Bay
City Manager Kiff also discussed the goals and status of the following 2010 City Manager
Priorities:
Assessment of the overall organization
Recruitments and reorganization
Addressing the budget challenges
Continuance of the implementation of performance measures
Advancement of the City's Airport Policy
Keeping the Lower Newport Bay dredging on schedule
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Keeping the Civic Center project on schedule
Ensuring that the projects have a clear line of responsibility
Maintaining a high level of communication with the City Council
Ensuring that the City's hiring and recruitment processes are in compliance
with laws and codes
Implementation of the Facilities Finance Plan
Incorporating Performance -Based Budgeting into the budget
Revising Harbor fees
Improvement of Council staff reports and the agenda process
Providing efficient and effective staff meetings
In response to Council questions, City Manager Kiff stated that he is preparing a
Community Newsletter to send to residents. Regarding the Banning Ranch appraisal, he
stated that residents were not satisfied with the results and indicated that staff will be
requesting appraisals from more than one appraiser. Regarding the Traffic Management
Plan, Public Works Director Badum stated that staff is working with Caltrans relative to
the conditions of Coast Highway from Jamboree Road to the Santa Ana River, and the Back
Bay bridge. He believed that an additional phase will be needed to convert the Caltrans
signals to the City's system and noted that the City will ask the State for funding to assist
with the conversion process. He discussed the Traffic Signal Modernization Phases and
their locations, and noted that he has adequate staff resources to work on the system at this
time.
In response to Council Member Selich's question regarding dredging the Lower Newport Bay
(LNB), City Manager Kiff stated that the goal is to take the contaminated sediment to the
Port of Long Beach or a confined water disposal site. He noted that Anchor QEA is currently
working on the process. Assistant City Manager Wood stated that a Mitigated Negative
Declaration (HIND) is being prepared for the disposal of contaminated materials so the
process can move quickly.
Mayor Pro Tem Henn noted that the City should celebrate successes.
In response to Virginia Anders- Ellmore's question, Utilities Director Murdoch stated that
the City continuously replaces underground pipes, indicated that a recently updated
study from 1999 required staff to look at every pipe in the City to confirm that they are
functioning properly, and noted that the 2010 priority for his department relates to
wastewater. City Manager Kiff stated that the plan is to dredge Newport Shores after the
Federal government completes their portion of the dredging and reported that,
through lobbyists in Washington, the City is trying to get the Santa Ana River Main Stem
Project expanded to restore the marsh area. Iri response to Novell Hendrickson's question
regarding benchmarking and performance measures, City Manager Kiff stated that
approximately $200,000 has been spent on the project, believed that the process is needed,
and noted that the consultants recommended conducting surveys every two years.
4. What to Expect in 2010
a. Economy, Budget, and Sustaining the City's Fiscal Condition
Mayor Curry stated that Council will address fiscal problems, provide a strategy,
and ensure that the City maintains fiscal stability. He stated that the elements of
the Fiscal Sustainability Plan requires that Council affirm their commitment to
fiscal sustainability by supporting businesses and residents, staying committed to
budget measures and not use reserves, and managing government better.
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Council Member Gardner indicated that when the City gives money to
organizations, then those entities should make every effort to support other
businesses in the City.
Council Member Daigle believed that Public Safety should be maintained during the
fiscal sustainability process and suggested that the Finance Committee monitor the
grant writing process.
Council Member Rosansky suggested that the wording "and other shakedown
schemes" be removed from Item 14 (Frivolous Lawsuits).
In response to General Services Director Harmon regarding Item 9 (Competitive
Contracting), Mayor Curry explained competitive contracting and when the City will
utilize it. City Manager Kiff stated that the City will make a focused attempt to look
at what other City's are doing and noted that some contracts will be changed to the
Request for Proposal (RFP) process. Mayor Pro Tem Henn emphasized that the City
needs to maintain an objective, even - handed view relating both outsourcing and in-
sourcing work for the City, and noted that the City is looking for the best outcome.
In response to Council Member Daigle's question, City Manager Kiff explained the
professional services contract and the bid process.
City Attorney Hunt stated that it is appropriate for the City to look at
qualified professional contractors, discuss the contract, and conduct negotiations.
In response to Council Member Selich's question regarding Item 10 (Energy
Efficiency), Mayor Curry explained that LEED certification is an option and stated
that there are other energy saving methods that also provide cost savings.
In response to Virginia Anders- Ellmore's question, City Attorney Hunt explained the
difference between the bid process and a Professional Services Agreement (PSA).
Regarding Item 13 (Employee Compensation and Benefits), Human Resources
Director Cassidy suggested that staff meet with the employee bargaining groups to
explain the reasons for reviewing City services.
Richard Luehrs, Newport Beach Chamber of Commerce, commended Council for
their efforts in maintaining economic sustainability for businesses and suggested
that the City consider establishing an economic impact analysis when adopting
ordinances.
b. Organizational Changes After Initial Restructuring
Mayor Curry discussed the changes, noted that 36 employees opted to participate
in the Early Retirement Incentive Program (ERIP) which would save the City
approximately $3 million, and indicated that staff will focus on how to provide the
same level of service with a reduced workforce.
Utilities Director Murdoch described the services the Utilities Department provides
and noted that the department had 12 employees participate in ERIP. He discussed
the elimination of one division within the department, possible contracting out of
meter readers, consolidation of jobs, cross- training, and monthly utility
meter reading. In response to Council Member Rosansky's question, he explained
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that monthly billing will not be cheaper, but will be more efficient. Further, it will
lead to less cut -offs, allow residents to see how much water they
have used/conserved, and noted that study will need to be conducted before they
know the full benefit of the program. Council Member Rosansky expressed concern
about the loss of part -time positions. Council Member Webb believed that the
summer work will benefit the youths in the community. City Manager Kiff clarified
that the Utilities Department will still need part -time workers. In response to Mayor
Pro Tem Henn's.question, Utilities Director Murdoch stated that automated meter
readers are costly, believed that it will take a long time to implement, and
explained cost and labor issues.
General Services Director Harmon explained the services provided by the General
Services Department, noted that 13 positions were eliminated, and stated that the
loss of employees will result in no impact in routine services, but impacts to
unplanned projects. He discussed the changes to routes and indicated that there
will be more cross - training and agreements with contractors. He noted that the
response time for services will be lengthened. In response to Council Member
Daigle's question, General Services Director Harmon stated that two refuse drivers
retired, so the early work dismissal incentive will not be available to the remaining
drivers. Richard Luehrs commended the General Services Department for their
hard work.
Public Works Director Badum discussed the services that the Public Works
Department provides, noted that one engineer retired, highlighted the CIP program,
discussed Public Work's core projects, briefly explained the current Assessment
District projects, and provided a brief update on water quality and the Buck Gully.
Recreation and Senior Services Director Detweiler discussed the services that the
Recreation and Senior Services Department provides and noted that the
department did not lose any employees to ERIP. She discussed the summer camps,
the UCI Sailing and Tennis Program, the autism pilot program, Marina Park and
Sunset Ridge Park, OASIS Senior Center, and working with the community. In
response to Council Member Daigle's question, she stated that the new OASIS
Senior Center will create revenue opportunities and noted that the programs are
affordable to residents.
e. Key Performance Measurements
Assistant City Manager Wood discussed benchmarking, performance measures,
citizen surveys, first quarter results, and the adopted ordinance. Mayor Pro Tern
Henn commended staff for their progress.
Human Resources Director Cassidy stated that the Civil Service Board is dedicated
to increasing the percentage of employee performance evaluations, indicated that
staff is working on a new online system, and noted that there is a committee of staff
members working on pinpointing issues that some departments are incurring.
Building Director Elbettar explained the services provided by the Building
Department and stated that counter service has improved. He noted that
requirements from applicants will change to ensure that the process of approving
plans will be fast and efficient.
Public Works Director Badum explained the Public Works Department's
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benchmarking process and provided a copy of the CIP Project Construction Report.
He noted that the report will aid staff in identifying problems to ensure that they
are worked out for future projects.
In response to a Virginia Anders- Ellmore's question, City Manager Kiff stated that
some landscaping projects are managed by the City and funded by the
Redevelopment Agency.
In response to Council Member Daigle's question, Public Works Director Badum
explained the process for project scheduling and noted that work is distributed
according to need.
City Manager Kiff commended staff for working hard on benchmarking.
b. Determinine Priorities for 2010
Mayor Curry talked briefly about reducing the impacts of John Wayne Airport (JWA), group
homes concentration, and maintaining strong fiscal health. He explained the potential goals
and projects for 2010 and indicated that the projects and initiatives were organized into five
goals and .is categorized with previous and new priorities. He believed that the City could
achieve the goals and objectives with effective management and by providing great customer
service.
Interim Assistant City Manager Perkins explained the information in the staff report.
In response to Council Member Gardner's question, City Manager Kiff clarified that Goal 5
(Environmental Sustainability) refers to potable water. Council Member Gardner stated that
an economic analysis could be costly.
Council Consensus Items
Regarding Fiscal Sustainability, it was the consensus of Council to divide the Harbor
fees into two bullets: 1) Update the City's Harbor fees in an manner that is fair, and 2)
Secure a mechanism for funding harbor projects such as dredging and harbor amenities.
Council Member Rosansky believed that the revenue accumulated from the fees should be
used strictly for Harbor projects, expressed concern about increasing Harbor fees, and noted
that Council needs to further discuss the allocation of the fees.
Regarding Effective Management, Council Member Selich emphasized the
importance of finishing the Zoning Code Update in 2010. Assistant City Manager Wood
suggested that the City complete the Transportation Fair Share Fee. City Attorney Hunt
emphasized the importance of getting the Housing Element certified.
Regarding Economic Sustainability, Mayor Pro Tem. Henn suggested adding the Balboa
Village visioning process and parking study, the acquisition of Coast Highway, and the
implementation of a Fourth of July Celebration to the fiat. He added that there is no
revitalization proposal in Lido Marina Village and suggested that when revitalization is
explored, it should include Via Oporto. He also suggested that staff lead a planning process
to assist land owners. Council Member Selich stated that the whole area would need to be
included in the vision process. Council Member Gardner suggested that residents be
allowed to provide input during the process. Planning Director Lepo believed that the City
Attorney would need to weigh in on the_ process to ensure that property rights are not
violated. City Attorney Hunt stated that completing the Zoning Code Update is a priority for
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the City Attorneys Office. In response to concerns raised by Council Member Webb relating
to staffs capacity to take on these planning efforts, City Manager Kiff stated that he can
bring a report to Council on a proposed process to stimulate revitalization of Lido Marina
Village and Balboa Village.
Mayor Pro Tem Henn stated the he does not intend for the Balboa Village study to be a
major planning study, but envisioned a community outreach effort in which he would
like parking incorporated. He suggested that they update the current plan.
City Manager Kiff clarified that the clean -up.of Mariners Mile is between Dover Drive and
the McDonalds.
Richard Luehrs suggested that the wording be changed to support other businesses. Council
Member Rosansky suggested that "such as Restaurant Week" be removed. Assistant City
Manager Wood suggested adding "as outlined in the Strategic Plan for Fiscal and Economic
Sustainability."
Council Member Gardner expressed concern about sea level rise and Council Member Selich
agreed that the seawalls will need to be raised to handle the high levels of water. Council
Member Webb stated that adjustments are needed to ensure that new houses are built at a
higher elevation. Building Director Elbettar reported that FEMA revised the elevation
map. In response . to Philip. Bettencourt's question relative to the Traffic Mitigation
Settlement Agreement with the City of Huntington Beach, City Attorney Hunt stated that
the litigation is closed and the City is monitoring the EIR.
In response to Public Works Director Badum's questions regarding Mariners Mile, Council
Member Webb stated that the Master Plan allows for six lanes on Coast Highway, indicated
that the City should consider generating an implementation plan, and believed that a
planning study should be implemented in 2010. Mayor Pro Tem. Henn expressed support for
the project.
Acting Administrative Services Director Kurth encouraged Council to consider using the
current City Hall site .as a revenue source. Mayor Pro Tem. Henn suggested that stab
provide: more information when the option is evaluated.
Steve Ray, Banning Ranch Conservancy, suggested that Council request a specific plan to
create a vision, development, and building standard. He also suggested that the property,
business, and residents be allowed to provide input. He noted that the residents voted for
open space, emphasized that the project has to be a dual track, and asked that the City
include a more proactive approach in its strategies to acquire funds.
Karen Tringali commended Council for communicating a valuable and clear message that is
easy to understand.
In response to Ron Hendrickson's question, Mayor Curry stated that the City does not have
a date of completion for the Facilities Finance Plan and noted that the order in which the
priorities are placed on the list does not determine their priority.
Tim Collins, Harbor Commissioner, expressed concern about the rising water levels, building
heights, and staying in compliance with Coastal Commission regulations.
In response to Virginia Anders- Ellmore a question, Mayor Curry referred her to the Fiscal
Sustainability Plan to see the efforts that the City has taken to improve the budget
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shortfall. He stated that the City has $80 million in reserves and assured her that Council is
focused on the budget.
6. Adjournment - 11:64 a.m
The agenda for the Regular Meeting was posted on January 6, 2010, at 4:46 p.m. on
the City Hall Bulletin Board located outside of the City of Newport Beach
Administration Building.
Mayor
City Clerk
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City Clerk
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