HomeMy WebLinkAbout07/28/2020 - Regular MeetingCITY OF NEWPORT BEACH
City Council Minutes
Regular Meeting
July 28, 2020
I. ROLL CALL - 4:00 p.m
Present: Mayor Will O'Neill, Mayor Pro Tem Brad Avery, Council Member Joy Brenner, Council
Member Diane Dixon, Council Member Duffy Duffield, Council Member Jeff Herdman
Absent: Council Member Kevin Muldoon (excused)
II. PUBLIC COMMENTS ON CLOSED SESSION
Jim Mosher, addressing Item A, suggested Council Members consider how litigation would benefit their
constituents and Council, absent public input. Regarding Item B, Mr. Mosher stated that the discussion is
limited to the price and how it will be paid, noted the City of Costa Mesa's agenda indicates it is negotiating
with the Central Orange County Service Planning Area Group, added that Council should consider whether
the development agreement with Hoag Hospital would apply to the situation, and stated that in the near
future, a status report of the City's homeless program would be timely.
City Attorney Harp reported that the City Council would adjourn to Closed Session to discuss the items
listed in the Closed Session agenda and read the titles.
III. CLOSED SESSION - Council Chambers Conference Room
A. CONFERENCE WITH LEGAL COUNSEL
ANTICIPATED LITIGATION - INITIATION OF LITIGATION
(Government Code § 54956.9(d)(4)): 1 matter
B. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code § 54956.8): 1 matter
Property: 3175 Airway Avenue, Costa Mesa, CA 92627, APN: 427-091-12
Agency Negotiators: Grace Leung, City Manager, Seimone Jurjis, CDD Director, and
Lauren Whitlinger, Real Property Administrator
Negotiating Party: City of Costa Mesa
Under Negotiation: Price and terms of payment
IV. RECESSED - 4:05 p.m
V. RECONVENED AT 5:00 P.M. FOR REGULAR MEETING
VI. ROLL CALL
Present: Mayor Will O'Neill, Mayor Pro Tem Brad Avery, Council Member Joy Brenner, Council
Member Diane Dixon, Council Member Duffy Duffield, Council Member Jeff Herdman,
Council Member Kevin Muldoon
VII. CLOSED SESSION REPORT
City Attorney Harp announced that no reportable actions were taken.
VIII. INVOCATION - Mayor O'Neill
IX. PLEDGE OF ALLEGIANCE - Mayor Pro Tem Avery
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X. PRESENTATION
• Recognition of Seasonal Lifeguard Sean Richards for His Heroic Rescues on July 3, 2020
Mayor O'Neill read the proclamation and discussed his fear upon learning that Sean was taken to the
hospital, his pride in Sean's skills and efforts, and his appreciation for Sean's representation of the City
of Newport Beach.
Mayor Pro Tem Avery believed there is no greater honor than saving a life and thanked Sean for acting
heroically.
Council Member Dixon was honored to salute Sean and noted the numbers of beachgoers whom
Lifeguards serve and protect.
Council Member Brenner thanked Sean for being a wonderful role model for Junior Lifeguards.
Council Member Muldoon indicated Sean is a testament to what the City does and all those who wear
the City seal.
Council Member Herdman commended Sean and the Fire Department for their perseverance under the
conditions caused by the pandemic.
Council Member Duffield was amazed by the response of Lifeguards no matter the conditions and stated
that Sean did a great job.
Seasonal Lifeguard Sean Richards thanked the City for the proclamation and recognition.
XI. NOTICE TO THE PUBLIC
XII. CITY COUNCIL ANNOUNCEMENTS AND ORAL REPORTS FROM CITY COUNCIL ON
COMMITTEE ACTIVITIES
Council Member Brenner:
• Reported the homeless ad hoc committee met, introduced Homeless Liaison Officer Carter, indicated
Homeless Liaison Manager Basmaciyan is knowledgeable and encouraged the public to subscribe to
the City Manager's newsletter, which highlights success in this area.
• Met with Corona del Mar Residents Association (CdMRA) subcommittees to review parking, one-way
streets, construction parking, and the weekend construction ban.
Council Member Dixon:
• Met via Zoom with Peninsula stakeholders.
• Announced 70 businesses have received permits to operate outdoors under the Emergency Ordinance.
• Reported the Aviation Committee has received recommendations from its subcommittee.
Council Member Herdman:
• Attended the monthly Orange County Mosquito and Vector Control District meeting via Zoom, and
reported an infestation of mosquitos is being treated.
• Announced the first of four task force meetings with the Federal Aviation Administration (FAA) was
held last week and noted that the Aviation Committee met on July 27th.
• Thanked City Manager Leung and staff for addressing the bridge jumping problem.
Mayor Pro Tem Avery:
• Attended the meeting of the ad hoc committee on homelessness and noted the City's work is robust
and more effort is to come.
• Attended the Orange County Sanitation District board meeting and discussed its purpose and the
number of people it serves.
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Mayor O'Neill:
• Announced the housing subcommittee met.
• Attended Transportation Corridor Authority (TCA) subcommittee meetings.
• Reported Council Member Dixon and he did an interview with Hoag Hospital, and the video is on their
website.
• Noted the fundraiser for the Ben Carlson Foundation occurred.
• Utilized slides to highlight OASIS Virtual Programs and noted information can be obtained at 949-644-
3244; and noted that the Mayor's Challenge for Water Conservation is taking place from August 1-31
and encouraged everyone to take the pledge at www.mywaterpledge.com.
XIII. MATTERS WHICH COUNCIL MEMBERS HAVE ASKED TO BE PLACED ON A FUTURE
AGENDA
• Consideration of adopting a resolution supporting the Newport Beach Police Department
[Dixon]
With Council Members Brenner, Dixon, Duffield, Herdman and Muldoon, Mayor Pro Tem Avery and
Mayor O'Neill agreeing, the item will be brought back at a future meeting.
XIV. PUBLIC COMMENTS ON CONSENT CALENDAR
In response to Council Member Brenner's question regarding Item No. 7 (Amendment No. Three to
Agreement between the City of Newport Beach and Hoag Hospital for the Delivery of Natural Gas), Utilities
Director Vukojevic reported the natural gas to be transferred has a present market value of approximately
$10,000 annually, which is a small percentage of the gas Hoag uses. He noted this topic was last reviewed
in 2012, but nothing at that time was cost effective and added that he would monitor the market for other
uses of the gas. Council Member Brenner appreciated staff finding a solution.
XV. CONSENT CALENDAR
READING OF MINUTES AND ORDINANCES
Minutes for the July 1, 2020 City Council Emergency Meeting and July 14, 2020 Regular
Meeting [100-2020]
Waive reading of subject minutes, approve as amended, and order filed.
2. Reading of Ordinances
Waive reading in full of all ordinances under consideration, and direct the City Clerk to read by title
only.
RESOLUTIONS FOR ADOPTION
3. Resolution No. 2020-70: Resolution of Intention to Conduct a Public Hearing to Grant New
Non -Exclusive Solid Waste Franchises [731100-2020]
a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant
to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result
in a physical change to the environment, directly or indirectly; and
b) Adopt Resolution No. 2020-70, A Resolution of the City Council of the City of Newport Beach,
California, Declaring its Intention to Conduct a Public Hearing to Consider Granting
Non -Exclusive Commercial Solid Waste and Divertible Materials Handling Franchises.
4. Resolution No. 2020-71: Second Addendum to the Uptown Newport EIR to Modify Mitigation
Measures (PA2020-003) [100-2020]
a) Adopt Resolution No. 2020-71, A Resolution of the City Council of the City of Newport Beach,
California, Certifying Second Addendum No. ER2020-001 to the Uptown Newport Environmental
Impact Report (SCH No. 2010051094) Modifying Mitigation Measures and Approving a Mitigation
Monitoring and Reporting Program for the Uptown Newport Planned Community Project Located
at 4311-4321 Jamboree Road (PA2020-003).
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Mayor O'Neill recused himself on Item 4 due to his membership with the Pacific Club.
CONTRACTS AND AGREEMENTS
5. Corporation Yard Rear Fence Replacement — Award of Contract No. 7810-1 (20F02) [381100-
2020]
a) Find this project exempt from the California Environmental Quality Act (CEQA) pursuant to
Section 15301 (d) (Restoration of deteriorated or damaged existing facility) of the CEQA Guidelines,
because this project results in negligible or no expansion of existing capacity;
b) Approve the project drawings and specifications;
c) Award Contract No. 7810-1 to A2ZConstruct, Inc. for the total base bid amount of $222,000.00, and
authorize the Mayor and City Clerk to execute the associated construction contract; and
d) Establish a $22,000 (approximately 10 percent) contingency to cover unforeseen conditions, extra
work and/or material quantities.
6. Approval of Amendment No. Two to On -Call Maintenance/Repair Services Agreement with
Newport Dredging Company Inc. for Harbor Maintenance and Repair Services (C-7029-2)
[381100-2020]
a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant
to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result
in a physical change to the environment, directly or indirectly;
b) Approve Amendment No. Two to On -Call Maintenance/Repair Services Agreement with Newport
Dredging Company Inc. DBA South Mooring Company for Harbor Maintenance and Repair
Services to add $75,000 to the current agreement for a total not -to -exceed amount of $325,000.00;
and
c) Authorize the Mayor and City Clerk to execute the amendment.
7. Amendment No. Three to Agreement between the City of Newport Beach and Hoag Hospital
for the Delivery of Natural Gas (C-2493) [38/100-2020]
a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant
to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result
in a physical change to the environment, directly or indirectly;
b) Approve Amendment No. Three to the Agreement with Hoag Memorial Hospital Presbyterian for
delivery of excess natural gas produced from the City -owned oil wells;
c) Authorize the City Manager to sign future amendments to this Agreement for extensions up to five
additional years; and
d) Authorize the Mayor and City Clerk to execute Amendment No. Three to this Agreement.
8. Contract with Arts Orange County to Manage Phase VI of the Sculpture Exhibition in
Civic Center Park (C-8463-4) [38/100-2020]
a) Determine that the action is exempt from the California Environmental Quality Act CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not result
in a physical change to the environment, directly or indirectly; and
b) Approve a contract with Arts Orange County for project management of Phase VI of the Sculpture
Exhibition in Civic Center Park for a total amount not to exceed $91,436.00, and authorize the
Mayor and City Clerk to sign the agreement.
Council Member Muldoon voted "no" on Item 8.
MISCELLANEOUS
9. Planning Commission Agenda for the July 23, 2020 Meeting [100-2020]
Receive and file.
10. Required Council Reporting: Fiscal Year 2019-20 Annual District Discretionary Grant
Report and the Quarter Ending June 30, 2020 Grants and Donations Report [100-2020]
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a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant
to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result
in a physical change to the environment, directly or indirectly; and
b) Receive and file.
11. Visit Newport Beach, Inc. FY 2021 & FY 2022 Destination Business Plan and Budgets, and
FY 2020 Performance Standards Report (C-4436) [381100-2020]
a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant
to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result
in a physical change to the environment, directly or indirectly;
b) Review, receive and isle the FY 2021 & FY 2022 Newport Beach & Company Destination Business
Plan;
c) Receive and file the Visit Newport Beach FY 2020 Performance Standards Report; and
d) Review and approve the Visit Newport Beach, Inc. Leisure Marketing (TOT) FY 2021 and
FY 2022 Budget.
12. Confirmation of Voting Delegate and Alternates for the 2020 League of California Cities
Annual Conference - October 7, 2020 to October 9, 2020 [100-2020]
a) Determine that the action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not result
in a physical change to the environment, directly or indirectly;
b) Designate Council Member Joy Brenner to be the Voting Delegate and the remainder of the City
Council to be the Alternate Voting Delegates at the League of California Cities Conference; and
c) Direct the City Clerk to complete and submit the designation form to the League of California
Cities.
Motion by Mayor Pro Tem Avery, seconded by Council Member Muldoon, to approve the Consent
Calendar; and noting Council Member Muldoon's "no" vote on Item 8, Mayor O'Neill's recusal on Item 4,
and the amendments to Item 1.
The motion carried unanimously.
XVI. ITEMS REMOVED FROM THE CONSENT CALENDAR - None
XVII. PUBLIC COMMENTS ON NON AGENDA ITEMS
Jim Mosher requested Council reconsider, under Item XX (Motion to Reconsider), its July 14th vote to move
the regular meeting start time to 4:00 p.m. and suggested Council hold study sessions earlier or on a
separate day.
XVIII. PUBLIC HEARINGS
13. Ordinance No. 2020-18: Two -Year Extension to the Hoag Development Agreement (PA2020-
065) (C-2912) [38/100-2020]
Mayor O'Neill discussed the reason for a development agreement, planning constraints, terms of the
development agreement, the Planning Commission's recommendation for a two-year extension, and his
support for a one-year extension.
At Mayor O'Neill's request, Community Development Director Jurjis related Hoag's right to develop
455,000 square feet on its campus, noted that a complete build -out of the campus would generate about
9,000 car trips per day, and added that Council has previously granted a ten-year extension of the
development agreement.
Council Member Dixon intended to support a one-year extension, indicated extending the agreement
means the City cannot use the car trips for any other development property when the City has to
identify sites for additional housing, and expressed appreciation for the partnership with Hoag
Hospital.
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In response to Council Member Muldoon's question, Community Development Director Jurjis advised
that there would be no additional fees for extending the agreement for one year or two years.
In response to Mayor Pro Tem Avery's question, Community Development Director Jurjis believed
development of the square footage would be a phased project.
Mayor O'Neill opened the public hearing.
Jim Mosher was unsure of Hoag Hospital's need for a development agreement because he could not
envision a City Council revoking any rights Hoag has under the General Plan, questioned whether
Hoag should pay for an extension of the development agreement, and suggested Council clarify how
the City can use the $300,000 payment.
Hearing no further testimony, Mayor O'Neill closed the public hearing.
Motion by Mayor O'Neill, seconded by Council Member Dixon, to a) find all significant
environmental concerns for the proposed project have been addressed in a previously certified Final
Environmental Impact Report (EIR) and Supplemental EIR, and that the City of Newport Beach
intends to use said document for the above noted project, and further that there are no additional
reasonable alternative or mitigation measures that should be considered in conjunction with said
project; and b) waive full reading, direct the City Clerk to read by title only, introduce Ordinance No.
2020-18, An Ordinance of the City Council of the City of Newport Beach, California, Amending a
Development Agreement Between the City of Newport Beach and Hoag Memorial Hospital Presbyterian
(Development Agreement Amendment No. DA2020-003), and pass to second reading on August 25, 2020.
Council Member Brenner believed everyone loves Hoag Hospital, noted the Planning Commission is
not responsible for balancing the City's budget or finding a solution to homelessness, and indicated it
is imperative for Council to view this broadly.
Council Member Muldoon expressed his appreciation for Hoag Hospital and believed government
should be as helpful as possible.
Substitute motion by Council Member Muldoon seconded by Council Member Duffield, to
approve the two-year extension recommended by the Planning Commission.
Council Member Duffield did not see how one could relate homes and money to health, indicated the
City has never helped Hoag Hospital, to his knowledge, believed health is priority, and expressed his
desire to help Hoag and not stand in their way.
In response to Mayor Pro Tem Avery's question, Community Development Director Jurjis indicated a
two-year extension would change the urgency for Hoag to develop the square footage and added that
Council could extend the development agreement for one year and extend it again in the future.
Council Member Dixon clarified that Council is waiving Hoag's annual payment and that the City is
giving them an extra year at no cost.
Mayor O'Neill agreed that Hoag is doing a great job, indicated that 455,000 square feet is substantial,
believed a one-year extension is appropriate, and was reticent to bind a future Council.
Council Member Herdman reiterated that Hoag requested a one-year extension.
With Mayor O'Neill, Mayor Pro Tem Avery, Council Member Brenner, Council Member
Dixon, and Council Member Herdman voting "no," the substitute motion failed 2-5.
Council Member Muldoon indicated Hoag Hospital requested a one-year extension and was thrilled
with the recommendation for a two-year extension. He clarified that support for a two-year extension
did not contradict support for a one-year extension.
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The original motion carried unanimously.
14. Ordinance No. 2020-19: Zoning Code and LCP Amendments Related to Corrections,
Clarifications, and Inconsistencies (PA2019-055) [100-2020]
Mayor O'Neill opened the public hearing.
Jim Mosher noted the Title 21 amendment has some technical problems, stated that Mayor O'Neill has
advocated for reducing the number of words in regulations, and noted that Page 14-10 of the staff report
could have been more efficient.
Hearing no further testimony, Mayor O'Neill closed the public hearing.
Motion by Mayor O'Neill, seconded by Council Member Muldoon, to a) find this project
statutorily exempt from the California Environmental Quality Act (CEQA) pursuant to Section 21065
of CEQA and State CEQA Guidelines Sections 15060(c)(2), 15060(c)(3) and 15378. The proposed action
is also exempt pursuant to State CEQA Guidelines Section 15061(b)(3) because it has no potential to a
have a significant effect on the environment; b) waive reading, read by title only, introduce Ordinance
No. 2020-19, An Ordinance of the City Council of the City Newport Beach, California, Adopting Code
Amendment No. CA2019-001 to Amend Title 20 (Planning and Zoning) of the City of Newport Beach
Municipal Code Correcting and Clarifying Provisions Related to Overlays and Public Hearing Notice
Requirements (PA2019-055), and pass to second reading on August 25, 2020; and c) adopt Resolution
No. 2020-72, A Resolution of the City Council of the City of Newport Beach, California, Authorizing
Submittal of Local Coastal Program Amendment No. LC2019-001 to the California Coastal Commission
to Amend Title 21 (Local Coastal Program Implementation Plan) of the City of Newport Beach
Municipal Code Correcting and Clarifying Provisions Related to Minimum Lot Size and Dimensions,
Overlays and Public Hearing Notice Requirements (PA2019-055).
The motion carried unanimously.
15. Resolution No. 2020-73: Intent to Override the Airport Land Use Commission Finding of
Inconsistency for the Newport Airport Village Project (PA2014-225) [100-2020]
In response to Council Member Dixon's question, Community Development Director Jurjis reported
that this item concerns notice to the Airport Land Use Commission (ALUC) of Council's intention to
challenge the ALUC's vote on the development project.
In response to Mayor O'Neill's question, Community Development Director Jurjis explained that the
City is beginning to plan and zone for the anticipated Regional Housing Needs Assessment (RHNA) of
4,800 housing units, half of which have to be affordable and noted that the California Department of
Housing and Community Development (HCD) requires substantial evidence that sites will become
housing.
In response to Council Member Herdman's question, Community Development Director Jurjis
indicated legally the City has to give a 45 -day notice before Council takes any further action on the
project, stated that if the resolution is adopted the ALUC will be notified that in the future the Council
will consider this project in this location. He further reported that the ALUC will have an opportunity
to comment on the project, noted on September 8th, staff will introduce the project to Council, and on
September 22nd, Council will determine whether it wants to adopt the project.
Community Development Director Jurjis believed the ALUC will likely recommend the City Council
not approve this project in this location, but Council does not have to heed the recommendation.
In response to Mayor O'Neill's question, Community Development Director Jurjis related that the
Council last overrode an ALUC finding with Measure Y and the Uptown Newport project.
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In response to Council Member Brenner's questions, Community Development Director Jurjis stated
the ALUC does not want projects too close to John Wayne Airport (JWA) because residents may raise
concerns relating to airport noise and the potentiality of a General Aviation crash into a residential
building. He further noted that, according to ALUC's plan, housing is allowed in this location, reported
that State law affirms if the City overrides an ALUC finding, JWA is not liable, and stated that staff
has not discussed with the City Attorney where the liability transfers.
In response to Council Member Dixon's questions, Community Development Director Jurjis clarified
that the Federal Aviation Administration (FAA) approved the project at a height of 80 feet, however
the applicant indicated it will be 85 feet and the applicant needs to work it out with the FAA before
staff presents the project to Council. He added that the motion may require the project to conform to
the FAA height requirement and that Council will discuss the merits of the project on September 81h.
Council Member Dixon noted the irony of Council seeking JWA's support of the proposed General
Aviation Improvement Plan (GRIP) while opposing the ALUC's finding.
Council Member Muldoon believed JWA staff is dedicated to aviation and the ALUC is concerned about
potential noise complaints and the future of the airport. He noted his support of the item.
Council Member Herdman explained ALUC's responsibility in reviewing a project for consistency,
stated the ALUC's issue is safety, and advised that if the applicant reduces the height and the height
is the only inconsistency, it is a done deal.
In response to Mayor Pro Tem Avery's question, Community Development Director Jurjis noted the
Airport Area is the prime location for housing and there would be many proposed residential projects
there in the next 10-20 years.
Mayor O'Neill remarked that the ALUC had legal obligations which they used to make their
determinations, which differ from those of Council.
Mayor O'Neill opened the public hearing.
Jim Mosher discussed the proposal, the finding of inconsistency for a prior project, housing in the
Airport Area, a finding that the City is an inconsistent agency, and questioned who is advocating to
override the decision.
Patrick Strader, Starpointe Ventures, discussed the history of the project, updates of the General Plan
in 2006 and 2014, ALUC not finding any residential project consistent, and urged Council to adopt the
notice of intent.
Nancy Scarbrough indicated she may support the project under certain conditions and believed it was
important for the community to understand the total number of units needed to provide the required
number of affordable housing units.
Hearing no further testimony, Mayor O'Neill closed the public hearing.
Council Member Herdman discussed the City's work to address the effects of JWA on the community,
stated no aircraft departs JWA between 11:00 p.m. and 7:00 a.m., and added that airport housing is an
obvious solution to the RHNA requirement.
In response to Council Member Dixon's question, Community Development Director Jurjis stated the
project would require a General Plan amendment.
Council Member Muldoon related that RHNA numbers are tricky and the City must show good faith
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Motion by Council Member Muldoon seconded by Council Member Herdman, to a) find the
adoption of this Resolution is not subject to CEQA pursuant to Sections 15060(c)(2) (the activity will
not result in a direct or reasonably foreseeable indirect physical change in the environment) and
15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines because
it has no potential for resulting in physical change to the environment, directly or indirectly; and b)
adopt Resolution No. 2020-73, AResolution of the City Council of the City of Newport Beach, California,
Notifying the Orange County Airport Land Use Commission and the State Division of Aeronautics of the
City's Intention to Find that the Newport Airport Village Planned Community Development Plan is
Consistent with the Purposes of the State Aeronautics Act and to Overrule the Orange County Airport
Land Use Commission's Determination that the Newport Airport Village Planned Community
Development Plan is Inconsistent with the Airport Environs Land Use Plan for the John Wayne Airport
(PA2014-225).
Mayor O'Neill believed anyone who chooses to live in the close vicinity of an airport knows what to
expect.
The motion carried unanimously.
XIX. CURRENT BUSINESS
16. Temporary Adjustment to the City Council Seating Arrangement due to Social Distancing
Guidelines [100-2020]
Mayor O'Neill indicated Council needs to waive the seating arrangement.
City Manager Leung requested direction on the seating rotation for Council Members aside from the
Mayor and Mayor Pro Tem.
Motion by Mayor O'Neill, seconded by Council Member Herdman, to a) determine this action is
exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and
15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the
environment, directly or indirectly; and b) waive City Council Policy A-1: City Council — Seating
Arrangement for City Council and accept staff's suggestion until such time as the emergency is over.
The motion carried unanimously.
17. Evaluation of John Wayne Airport Fixed Base Operator Proposals [100-20201
Deputy City Manager Finnigan used a presentation to discuss the Aviation Committee's review of
Fixed Base Operators' (FBO) proposals for JWA, the City's compliance and goals for the GAIP, and
recommendations to reiterate the importance of the set-aside to which the County agreed and include
the elimination of the General Aviation Facility (GAF).
Council Member Dixon reported the Aviation Committee will recommend additional language to
ensure the green area, highlighted on page 17-3 of the packet, is built out in a manner that preserves
the ratios of 40-, 50-, and 60 -foot hangars and eliminates the ability of any lessee to construct and
operate a GAF or, at a minimum, restricts the hours of operation of the facility from 8:00 a.m. to 10:00
p.m.
Council Member Herdman credited Council Member Dixon with obtaining the agreement with
Supervisor Steel, indicated the item adds an addendum to the Aviation Committee's work from July
27th; discussed the Aviation Committee's vote, and noted that any further delay raises the danger of
the Board of Supervisors saying it needs a recommendation from the City.
Mayor O'Neill reiterated the language added to the City's goals
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Council Member Dixon noted the drawing prepared by Supervisor Steel is critical to confining the
usage of JWA property, reported that the Board of Supervisors last September agreed to the City's
request for the public to review the scoring of applicants for FBO areas and the questionnaires, stated
the process has been a determined effort to ensure quality of life for residents, noted that general
aviation flights are not regulated as commercial aircraft are, and added that the Aviation Committee
requested a limit on the hours of operation and wants the green area, highlighted on page 17-3 of the
packet, to remain for small aircraft.
Council Member Brenner clarified that JWA's plan did not guarantee the same ratio on both sides of
the runway, but the proposed language corrects that and added that the Board of Supervisors does not
have to but most likely will accept the revision.
Council Member Dixon stated Newport Beach residents support this agreement, and their support has
reinforced the City's presentations to the Board of Supervisors and hopefully will influence the Board's
decision.
Sue Dvorak thanked the Council members on the Aviation Committee for their efforts, suggested the
City delay this process until complete information has been released and the public can provide input
to the FBOs modifying their proposals, inquired whether the City is asking for the elimination of the
GAF from the plan, whether it attempted to compel the Board of Supervisors to release more
information, or consulted with their aviation attorneys, and hoped the City was doing everything it
legally could to pursue its goals.
Scott Forman supported ACI Jet on the east side of JWA because it has supported light aircraft since
it began operating at JWA.
Keith Bohr believed ACI Jet deserves kudos for the amazing remodel job and hoped Council would
consider recommending them as one of the FBO operators.
Steve Rosansky, Newport Beach Chamber of Commerce President/CEO, supported ACI Jet's proposal,
indicated a properly functioning airport in close proximity to the City is a key ingredient to the quality
of life in Newport Beach, and listed ACI Jet's support of the Chamber of Commerce.
Mel Beale supported the City's approach, noted the importance of using legally binding language that
supports the City's objectives, and reviewed the conflict between the language and the Environmental
Impact Report (EIR).
Alan Herman supported ACI Jet's proposal because they are 100 -percent focused on aviation, have a
vested interest in JWA, and respect the restricted hours for flights. He believed ACI Jet's proposal
meets the City's goals for general aviation improvement.
Charles Klobe noted activist groups have not picked an operator but are taking issue with the process,
the bidders were asked to modify their proposals because the language of the agreement did not match
the EIR, and the bid can be awarded to operators to build what JWA management wants.
Julie Johnson, AirFair, clarified that activists and JWA community members expressed concern about
the language, indicated community members do not want the GAF or international flights, believed
neither the Aviation Committee nor community members had an opportunity to review the language
prior to the Council meeting, and related that ACI Jet agreed to remove the GAF and include language
in their lease to protect the Southern California pilots.
William Borgsmiller, ACI Jet President/CEO, advised that ACI Jet is willing to honor the spirit of
Supervisor Steel's drawing and is the only proposer that offered to shut down hard at night.
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Mayor O'Neill highlighted the language added to the recommendation. City Attorney Harp reported
that legal counsel for the County would not disclose all information because it was considered trade
secrets, and the Request for Proposals (RFP). contained a confidentiality agreement that prevented
disclosure. Mayor O'Neill expressed surprise regarding the public comment that the language is being
pushed through without any real assessment, and indicated he is aware of the amount of effort on this
issue.
At Council Member Dixon's request, City Attorney Harp advised that the EIR has been approved, noted
that if the proposal expanded beyond what has been analyzed, there would have to be additional
environmental analyses, stated there is no bar to the County complying with Supervisor Steel's
direction, and staff will push for that to be included in the final lease agreement.
Council Member Herdman remarked that the lack of a transparent process was not caused by the City
of Newport Beach and any unhappiness with transparency should be aimed at the Board of
Supervisors.
Motion by Council Member Herdman, seconded by Council Member Dixon, to a) determine
this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections
15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical
change to .the environment, directly or indirectly; and b) subject to the Orange County Board of
Supervisors including terms and conditions in the lease agreement which: (1) implement Supervisor
Steel's direction to restrict certain airport parcels for use only by medium and large general aviation
jet aircraft and others by small general aviation aircraft on the John Wayne Airport property, as
indicated with the yellow/green areas on the map attached as Attachment A of the staff report, with
the "Green Area" built out in a manner that preserves the current ratio of 40, 50, and 60 foot hangars;
and (2) eliminates the ability of any lessee to construct and.operate a General Aviation Facility or, at a
minimum, restricts the hours of the GAF to 8:00 a.m. to 10:00 p.m., the City Council approves the
Aviation Committee's General Aviation Improvement Program Ad Hoc's findings that the entities set
forth in Attachment B of the staff report meet the City's goals for a lessee, and the City Council hereby
authorizes the City Manager to inform the County of Orange of this recommendation.
The motion carried unanimously.
18. Novel Coronavirus (COVID-19) Update [100-20201
City Manager Leung introduced Fire Chief Boyles to provide a brief report on the latest COVID-19
statistics, noted that Community Development Director Jurjis would briefly report on the status of the
Back to Business program, and Deputy City Manager Finnigan would provide an update on the Small
Business Grant Program.
Fire Chief Boyles related statistics for COVID-19 cases and hospital admissions in Newport Beach and
Orange County, noted that Hoag Hospital did not experience the surge it expected from July 4th activities,
reported that the Fire Department has responded to 494 enhanced precaution calls and transported 39
known COVID-19 patients, confirmed that 10 Firefighters and 13 Lifeguards have tested positive and out
of the 39 Firefighters quarantined during July, 36 are back on duty, and added that 85 assisted living and
skilled nursing facilities have experienced some sort of outbreak, which is twice the number reported in
June.
Council Member Muldoon noted a total of 793 cases have occurred since the pandemic began, a super
majority have recovered, and there are no staffing issues. Fire Chief Boyles expressed no staffing concerns,
lifeguard towers and bridges continue to be staffed, and Fire stations and apparatus remain open. Council
Member Muldoon related that the spikes are occurring in neighboring cities. Fire Chief Boyles noted that
he was not aware of any concerns regarding Hoag Hospital's capacity.
Council Member Brenner understood the Newport Beach Chamber of Commerce had signs encouraging
people to wear masks to support local businesses and expressed optimism over the decline in numbers.
Fire Chief Boyles stated the Junior Lifeguard program will be complete in two weeks.
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July 28, 2020
Mayor O'Neill clarified that the Orange County numbers of positive cases does not mean those individuals
were tested on the day the report was issued and stated the number of COVID-19 deaths at skilled nursing
facilities is declining. Fire Chief Boyles advised that EMS Division Chief Kristin Thompson worked with
skilled nursing facilities in March and April to provide training and resources, which helped to reduce the
number of positive cases.
Council Member Dixon indicated that COVID-19 is largely affecting those in the age group of 17-44 and
believed that it is easy to wear a mask, socially distance, and wash hands.
In response to Mayor Pro Tem Avery's question, Fire Chief Boyles advised that he does not have COVID-
19 statistics for small care homes.
Fire Chief Boyles reported COVID-19 ran through the Fire Department quickly, but personnel
quarantined, traced contacts, and adjusted activities among personnel and the department is currently
fully staffed.
Council Member Muldoon recused himself due to the potential for a conflict of interest related
to a recent business transaction.
Community Development Director Jurjis used a presentation to discuss the fast track Back to Business
program, outdoor expansion permits, statistics for permits issued and applications pending, and resources
and departments involved in the program.
In response to Council Member Brenner's question, Community Development Director Jurjis advised that
staff is not considering extending the outdoor permits past the pandemic. The Emergency Ordinance
provides a 14 -day period following the emergency for restaurants to remove the outdoor facilities.
In response to Mayor Pro Tem Avery's questions, Community Development Director Jurjis believed staff
is fulfilling the demand for permits. Mayor Pro Tem Avery stated one of the City's success stories during
COVID-19 has been the Community Development Department's responsiveness to businesses.
Council Member Duffield shared a restaurant owner's dismay at the prospect of applying for a permit and
their delight and compliments for the Community Development Department staffs assistance and quick
response.
Mayor O'Neill concurred with the compliments. In response to his question, Community Development
Director Jurjis indicated the only way to track closed businesses is visually and to ask the Chamber of
Commerce for data. Mayor O'Neill requested Deputy City Manager Finnigan attempt to track this data.
Deputy City Manager Finnigan provided an update on the business grant program, the Small Business
Development Center's (SBDC) individualized work with businesses, and the issuance of payments.
In response to Council Member Dixon's questions, staff reported more than 300 grants have been approved,
some applicants have fallen out of the process, there will be at least 305 grantees, nine checks have been
issued, and 30 more are awaiting issuance. SBDC reviews the applications and forwards them to staff for
final review and payment. More than 900 applications have been submitted, but funding is sufficient for
only 300-305 grants at $5,000-$10,000 each. The Community Development Block Grant (CDBG) program
will launch at the end of the week or the beginning of next week, which SBDC will administer as well.
Mayor O'Neill noted the Library was one of the first in the county to implement curbside service. Library
Services Director Hetherton has indicated between April 1St and June 30th, 135,566 items have been
distributed through curbside service, and patrons have downloaded 66,226 eBooks and magazines. Just
this week, the Newport Beach Public Library has launched a new app.
Jim Mosher indicated the amount of materials distributed is impressive, but it is only a fraction of the
usual number, noted the Emergency Ordinance provides outdoor permits to any commercial or religious
business, and added that all materials for agenda items and public comments should be posted online so
that the public can review the same material as Council.
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City of Newport Beach
Regular Meeting
July 28, 2020
Steve Rosansky explained the Chamber's Wear -A -Mask program, noted that signage is available for all
businesses and residents, and added that requests can be sent to steve@newportbeach.com or
infb@newportbeach.com.
XX. MOTION FOR RECONSIDERATION - None
XXI. ADJOURNMENT - At 7:37 p.m. in memory of Lawrence Erwin Klein aka Poppy
The agenda was posted on the City's website and on the City Hall electronic bulletin board
located in the entrance of the City Council Chambers at 100 Civic Center Drive on July 23, 2020,
at 4:00 p.m.
jo mt�
Leilam I. rown
Citv Clerk
Will O'Neill
Mayor
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