HomeMy WebLinkAbout01 - Minutes - AmendedCity of Newport Beach
City Council Meeting
October 26, 2021
November 16, 2021
Agenda Item No. 1
delegating the magnitude of this effort to Community Development Director Jurjis. In response
to Council Member O'Neill's question, Community Development Director Jurjis confirmed that
staff can bring back a draft to Council at the November 16 City Council meeting without
submittal time constraints. Council Member O'Neill inquired as to how staff plans to justify the
40% change to total affordability. Deputy Community Development Director Campbell
confirmed that staff will be adding a narrative to justify assumptions of the 40% that was
included in the first draft, and acknowledged the need for the time to provide additional layers
of information as they move through the process.
In response to Council Member Brenner's questions, Community Development Director Jurjis
clarified that the City has no other options for procedural appeals with the State, Council could
set a policy decision to take legal action if desired, and the City has exhausted appeals with the
Southern California Association of Governments (SLAG). He further clarified that stimulating
residential Accessory Dwelling Unit (ADU) production would be beneficial to the City in the long
run, but it would not help related to the Housing Element Update, indicated that the Planning
Commission has formed a subcommittee to review the ADU ordinance, staff is working with web
designers to enhance the website and waive permit fees, and noted that there is limited
negotiating power with the HCD relative to the number of ADUs, even with large community
interest in converting their properties.
In response to Council Member Dixon's questions, Community Development Director Jurjis
confirmed that staff is being proactive and acknowledged the need for legal advice. Council
Member Dixon shared that the City has made a significant good faith effort to develop housing
in Banning Ranch and suggested that should be included in the submitted document along with
the roadblocks experienced at every attem t. Community Development Director Jurjis shared
that the HCD considered the Coyote Ca o site to be a landfill and was unaware of its building
potential, and noted that the HCD has � no incentive or interest in meeting with staff
following the request from Mayor very.
In response to Council Member Br 's question, Community Development Director Jurjis
affirmed the idea and agreed that ould ask the California Coastal Commission to support
the City with requesting that the reduce the numbers planned in Banning Ranch.
In response to%uncil Memre'r O'Neill's inquiry if anyone has ever appealed the RHNA
designation to the Coastal Commission, staff confirmed no.
Council Memberffie ommented on the impossibility of the HCD staff accessing 482 cities
in the State of C ornia by the deadline and the potential for change with the strength and
impact of a collective approach from all the cities.
In response to Mayor Avery's question, Community Development Director Jurjis shared that
the City falls in the middle of the packt in comparison to the pages of comment letters received
by other cities. He added that staff is going to try its best to do everything they can. In response
to Mayor Avery's comments, Community Development Director Jurjis agreed the pendulum will
have to swing the other way at some point because there are limits to development, labor, and
supply and demand, and agreed with Mayor Avery's perspective on acceptance around
ambiguity and what is within the City's control.
Nancy Scarbrough suggested using the $31 million budget surplus to set up a subprogram that
gives grants to existing granny units to assist with bringing units up to current code, so they
can be included in the ADU count; and creating a nonprofit Housing Trust for a 500 unit senior
housing project with the potential for pubhc/private partnerships, land purchases by the City,
and developer bidding secured by the Housing Trust, including Density Bonus Laws to increase
the numbers, and an eight year process for SB 9 and SB 10 housing, duplexes, and multi -unit
apartment buildings. She officered her assistance in the effort.
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IV.
Laura Curran commented on occupant limits pertaining to residential care facilities, believed
most individuals in the facilities are not residents of California, suggested Council fight back
against state -4 -imposed regulations, and encouraged the City to vigorously team up with other
cities to address these issues.
Denys Oberman acknowledged staff and Council for an incredible effort with the California
Coastal Commission, reminded Council about the crisis management approach in urgent
situations, and encouraged Council and staff to consider eliminating Short Term Lodging (STL)
permits that are inactive for a period of time, with a target goal of 1,000 units, to offset the
State's count, and consider the potential reuse of the Fashion Island Hotel in the current count
and explore other uses for this site.
PUBLIC COMMENTS ON AGENDA AND NON -AGENDA ITEMS - None
City Attorney Harp announced that the City Council would adjourn to Closed Session to
discuss the items listed in the Closed Session agenda and rec&the titles.
Council Member O'Neill reported that he will be recusing
due to apotential bias issue.
CLOSED SESSION - Council Chambers
A. CONFERENCE WITH LABOR NEGOTIA
(Government Code § 54957.6): 1 matter
Agency Designated Representatives:
Resources Director, Negotiators.
Employee Organizations: Asso
Beach Police Association (NBPA),
Beach Employees League (NBFIJ
Closed Session Item IV.B.
City Manager, and Barbara Salvini, Human
rt Beach Ocean Lifeguards (ANBOL), Newport
Firefighters Association (NBFA), and Newport
B. CONFERENCE WITH LEGAL COU"SEL
ANTICIPATED LITIGATION - IAITIATION OF LITIGATION
(Government Code § 54956.9(d)(4)): 2 matters
V. RECESSED - 4:49 p-ni
VI. RECONVENED AT 6:0 .M. FOR REGULAR MEETING
VII. ROLL CALL
Present: Mayor Brad Avery, Mayor Pro Tem Kevin Muldoon, Council Member Noah Blom,
Council Member Joy Brenner, Council Member Diane Dixon, Council Member Duffy Duffield,
Council Member Will O'Neill
VIII. CLOSED SESSION REPORT
City Attorney Harp announced that no reportable actions were taken.
IN. INVOCATION - Nadia Khazei, Spiritual Assembly of the Baha'i's of Newport Beach
X. PLEDGE OF ALLEGIANCE - Council Member Blom
XI. NOTICE TO THE PUBLIC
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XII. CITY COUNCIL ANNOUNCEMENTS AND ORAL REPORTS FROM CITY COUNCIL ON
Council Member Brenner:
• Attended the Joint School Board and City quarterly meeting with Council Member O'Neill, three
school board members, and new Superintendent Wes Smith; and an Orange County Mosquito and
Vector Control meeting
• Announced a community open house at the corner of Avocado Avenue and Pacific Coast Highway
to meet with the owner of the proposed Corona del Mar 76 Service Station Remodel on November 6
to address questions regarding the project
• Attended the California Coastal Commission meeting about STLs, received acknowledgement for
the City's generosity of having a 1,550 STL cap in Newport Beach, mentioned Regional Housing
Needs Assessment (RHNA) challenges, and discussed how STLs are contributing to the lack of
housing in some districts
• Utilized a slide to introduce the Good Giving Campaign fliers to say no to panhandling and yes to
good giving and noted more information can be found at newpo eachca.gov/give
Council Member O'Neill:
• Attended Battle of the Bay and the Police Department Promotion C ony
• Announced that Creatures of the Night at Sherman Gardens will take place on October 31, 2021,
and the Halloween Trunk or Treat sponsored by the Police Foundation will take place at the police
station on October 29, 2021
Council Member Dixon:
• Attended the California Coastal Commission meeting where the STL project application was
approved 9-2, the Employee Service Award recognition luncheon and thanked the Newport Beach
Chamber of Commerce and participating restaurants, the Council Ad Hoc Redistricting Committee
meeting, and the Police Department Promotion Ceremony
• Requested a future agenda item to consider a resolution supporting the Support Action for Spent
Fuel Now Coalition, which facilitates a network of stakeholders to make offsite spent fuel storage
and/or disposal a priority at the Federal level, including for the San Onofre Nuclear Generation
Station site
Council Member Blom: i
• Attended the Police Department Promotion Ceremony, Corona del Mar Resident's Association
meeting, and the Aviation Committee meeting and noted great progress has been made on
increasing communication between the Federal Aviation Administration (FAA), John Wayne
Airport (JWA), and General Aviation operators
• Utilized a slide for the Newport Beach Small Business Clinic and no -cost 30 -minute consultation
on November 2, 2021 at City Hall
Council Member Duffield:
• Utilized a slide to announce the Halloween Spooktacular at Mariners Park on October 30, 2021
Mayor Pro Tem Muldoon:
• Attended the Police Department Promotion Ceremony
Mayor Avery:
• Attended the Employee Service Award luncheon and the Newport Beach Film Festival's Opening
Night
XIII. MATTERS WHICH COUNCIL MEMBERS HAVE ASKED TO BE PLACED ON A FUTURE
AGENDA
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• Consideration of supporting Rep. Michelle Steel's legislation (Stopping Hazardous
Incidents in the Pacific (SHIP) Act) seeking to ban cargo ships idling or anchoring
24 nautical miles or less off the Orange County coast [Dixon and O'Neill]
The City Council unanimously concurred to bring the item back at a future meeting.
Consideration of requesting a resolution and supporting letter addressed to the
California Redistricting Commission stating the desire of the City of Newport Beach to
be a part of a Coastal Orange County Congressional District that includes all coastal
Orange County cities that have shared community interests and face similar challenges
[Muldoon]
The City Council unanimously concurred to bring the item back at a future meeting.
• Consideration of supporting the Water Infrastructure Act of 2022, a proposed legislative
ballot initiative which calls for State general fund rev ues to be annually allocated
towards projects that create additional water supply fNu
ate, helping to achieve
short and long-term water resiliency [Muldoon]
The City Council unanimously concurred to bring the it, b2cre meeting.
XIV. PUBLIC COMMENTS ON CONSENT CALENDA
Jim Mosher, addressing Items 6 and 11 (Resolution N)Aviation
021 2: Formation of an Ad Hoc Residential
Care Facilities Committee and Appointments to the Committee) discussed an alternative to
have a committee of citizens versus Council kembers, and questioned Council Member Duffiehfs
Aviation Committee appointment.
Regarding Item 6, Laura Curran reminded Council that other group home types exist beyond drug and
alcohol facilities, questioned the scope of 32 licensed homes, emphasized the need to address licensed
and unlicensed homes, thanked Council Members Brenner, Dixon, and Duffield for convening a
community meeting on October 11, 2021, where government officials discussed drug rehabilitation
facilities and group residential homes, believed the Ad Hoc Committee is a step on a path to a long-term
management plan, and suggested an ongoing management plan with expert legal counsel and lobbying
resources to work with County and legislatorstr Rs to pursue policy and build relationships with the new
Director of the Department of Health Care Services (DHCS).
Addressing Item 6, Erica cane thanked Council for the recent town hall meeting, and requested the
ad hoc committee involve he neighboring residents so their voices can be included.
In response to Council Member Brenner's questions, City Attorney Harp shared that the definition of
residential care facilities is very broad and includes all the general licenses and unlicensed facilities,
stated that if residents were to be included in the committee then it would become a Brown Act
Committee, which then the membership terms would have to be amended and brought back to Council
for approval, and confirmed that committee members can receive input from anyone necessary.
Regarding Item 6, Denys Oberman thanked Council Members for bringing this topic forward and
believed the lack of ongoing ordinance management and administration is contributing to the
resurfacing of residential care facility issues.
Steven Fasangola thanked Council on behalf of the Santa Ana Heights neighborhood for actions on this
matter, and expressed the importance and desire for community involvement through focused
discussions.
Bill Lyon asked to be part of a committee to study rehabilitation and sober living homes.
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12. Grants and Donations Report for the Quarter Ending September 30, 2021 [100-2021]
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.
Motion by Mavor Pro Tem Muldoon, seconded by Council Member O'Neill, to approve the
Consent Calendar.
The motion carried unanimously.
XVI. ITEMS REMOVED FROM THE CONSENT CALENDAR - None
XVII. PUBLIC COMMENTS ON NON -AGENDA ITEMS
r
Shana Conzelman stated she attended the Harbor Commission meeting and noted concerns of
inaccuracies in the information presented, and questioned why the Harbor Commission did not allow
Palmer Luckey's team to present a viable alternative to Council.
Brent Mardian, representing Palmer Luckey's team,Axggested find alternatives to the Confined
Aquatic Disposal (CAD) that would not place contaminated material in the middle of lower Newport
Bay, expressed concerns regarding the lack of public options, perceived conflicting messages throughout
the process, and noted two alternative options that still remain for consideration.
Jim Mosher asked for a review of the lobbyist registration system and expressed concern regarding the
minimal number of registered individualsand the lack_pf indication of who or what they are lobbying
for or against. +
David Tanner discussed the effects of COVID on business and commerce and highlighted post-COVID
opportunities. He also suggested the City look for alternatives to placing material in the Harbor and
invite the Palmer Luckey team to present their alternatives.
Nancy Scarbrough sh0hpalifornia initiative, the Tripartisan Land Use Initiative, that will likely
be on the November 2022 ballot that intends to return local land use and zoning control to cities, and
an opportunity for the City to write a resolution in support. In response to Ms. Scarbrough's comments,
City Attorney Harp added that Council Member Brenner previously requested an item for the
consideration of a resolution supporting this, which will be on the next agenda.
An unidentified speaker provided comments regarding the Planning Commission's approval of a
76 Service Station project, and requested a traffic ordinance study and community input prior to the
November 16, 2021 City Council meeting. In response to the unidentified speaker's comments, City
Attorney Harp added the 76 Service Station project will be brought for review before the City Council
at the next meeting.
Gina Cruz thanked staff and everyone involved who shared a fantastic presentation with the California
Coastal Commission.
Mayor Pro Tem Kevin Muldoon cautioned Council to be thoughtful of what is said about the Santa Ana
Heights issues, believed that funds could be allocated to government relations in Sacramento, and
requested a future agenda item to consider persuading legislators�es to step up and do the right thing.
XVIII. PUBLIC HEARING
13. Ordinance No. 2021-23: Fifth Amendment to the Hoag Development Agreement (C- 2912)
(PA2021-184) [38/100-2021]
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Mayor Pro Tem Muldoon discussed the purpose of development agreements, noted his personal
opposition to this development agreement with Hoag and his preference that every dollar be spent
on better community health care, and suggested the amount be cut in half.
Motion by Mavor Pro Tem Muldoon, seconded by Council Member Duffield, to a) determine
that Final EIR No. 142, which was certified by the City of Newport Beach in 1992, fully addresses
the potential environmental effects associated with the Hoag Hospital Master Plan development
program; and b) waive full reading, direct the City Clerk to read by title only, introduce Ordinance
No. 2021-23, 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. DA2021-001), and pass to second reading on
November 16, 2021, noting the amendment to the Development Agreement so that the amount to
be paid is decreased to $1.5 million over the next 10 years.
Council Member Dixon stated that the Development Agreement preserves and protects the
entitlement rights for future development by Hoag in the to&planned community area, and
proceeds of the agreement are static for 20 years through 204 d will be directed to the City's
homeless programs at the Sexier --Bridge Shelter.
In response to Council Member Blom's questions, City Attorney Hirp clarified that the City
previously extended the agreement for 10 years, which Hoag has already paid $600,000 of the
$3 million, and that this extension is for another 10 years for a proposed additional $3 million;
however, the motion is to decrease this amount to $1.5 million, leaving the original $3 million alone.
Council Member Brenner highlighted that the money received from the Development Agreement
will be used to help the homeless and Be We11 van program, which is a community resource intended
to support all mental health issues.
Mayor Pro Tem Muldoon clarified thaPoag approached the City with the intent to preserve and
protect their current and future right to build on their property for facility use so subsequent
Councils cannot take the entitlement away.
Council Member Duffield emphasized health as a priority and embarrassment over the City's lack
of promotion of Hoag Hospital when it does so much for the community.
Mayor Avery opened the public hearing.
Jim Mosher questioned why Hoag would pay to protect itself from future changes made by Council
and requested clarification of the Development Agreement as it relates to possible State or Federal
law changes that invalidate City zoning.
Dr. Robert Braithwaite, CEO of Hoag Hospital, reported that the hospital provides the highest
quality health care, delivers 7,000 babies per year, serves over 30,000 in -patients and over 500,000
out-patients per year, supports partner agencies in extending their health care missions, responds
to the changes and advances in medicine, technology, and research, was named Orange County's
top hospital for the fifth consecutive year, is ranked ninth in the State, and is one of 11 hospitals in
the country to rank in the top decile of all surgeries, procedures, and chronic conditions as measured
by Medicare. He further stated that the entire team at Hoag loves the community, the action of
Council at this meeting will help assure that Hoag can continue to provide optimal, cutting edge,
state-of-the-art health care services to the community for many generations, and thanked Council
for their partnership and support.
Council Member Brenner clarified that decisions made on this amendment by Council are not a
reflection of their collective love and support for Hoag.
There being no further testimony, Mayor Avery closed the public hearing.
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City of Newport Beach
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NIX
With Council Member Brenner voting "no," the motion carried 6-1.
14. Calling an Election for a Proposed Charter Amendment to Provide for the Direct Election
of the Mayor of the City of Newport Beach [39/100-2021]
Council Member Blom expressed his appreciation for the community providing their thoughts and
opinions on the proposed Charter amendment, stated the ability to give every community member
a voice is the reason he placed the item on the agenda, and advocated for democracy in a directedly-
elected Mayor process.
Council Member O'Neill thanked everyone who shared their opinion, Council Member Blom for
bringing the item forward, and fellow Council Members for their consideration. He utilized a
presentation to discuss voter choice to elect the Mayor; favorable public opinions of electing the
Mayor; ballot text relative to a directly -elected Mayor and term limits; agenda setting discussion
rules; basic functions of Council related to setting public policy; agenda setting by a directly -elected
Mayor; reasons for placing the 4a4etmeasure on the primary el on ballot versus the general
election ballot; and a comparison of local city populations and rel udget sizes. He discussed
his trust in voters to elect Council Members and a Mayor.
Shana Conzelman supported the direct election o Meat for consistency, follow-through,
and completion.
Susan Skinner opposed the direct election othe Mayor and opined that the decision would
contribute to long-term damage to the City eliminating the City Manager's ability to put items
on the agenda as the voice of the day -to -da operations, create a dependency on the Mayor, attract
a second-rate City Manager versus anotch candidate, affect employee morale, meet the needs
of one person and remakes, the City's rm of government, reshape the balance of power on the City
Council, and puts an abnormally pterful Mayor in charge.
Ip
Mike Posey, Huntington BeAt Council Member, supported the direct election of the Mayor because
it brings continuity to the office and service, predictability, and enhanced relationships with County,
State, Federal representatives and council colleagues.
Beverly Jones opposed the direct election of the Mayor because she thinks it is unwarranted,
uncalled for, and unnecessarily risky, will have no oversight by Council Members, and gives one
person too much power with the potential for corruption.
Cindy Dillion supported the direct election of the Mayor, and believed that being Mayor for one year
is not conducive to the learning curve of the position, does not feel represented in who is running
the City as Mayor with the current process, and Council Members may be at odds with representing
the whole of the City as Mayor as opposed to the district from which they were elected.
Heather Ignatin, Parks, Beaches, and Recreation Commissioner, supported the direct election of the
Mayor because she thinks it enhances the democratic process, continuity of leadership, and
progress.
John O'Hara supported public choice either in support or in opposition to the direct election of the
Mayor and recommended a 2006 article in the Yale Law Journal outlining the history and evolution
of government models.
An unidentified speaker supported the direct election of the Mayor because the current system
confuses the voters.
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City of Newport Beach
City Council Meeting
October 26, 2021
Gary Cruz questioned why this Charter amendment is being proposed and why now, with 65% of
similar sized cities being governed using the current model, believed more vetting is necessary
before making a decision, and expressed concerns about retaining a quality City Manager, term
limits, and excess power for one person.
Bud Reveley expressed concern that past issues would remain unresolved because no spokesman
would be present, and added that 97% of the 468 California cities employ the Council Manager form
of government with executive responsibilities of a municipal government placed under the day-to-
day supervision and control of a Council appointed City Manager, and only in the very largest five
California cities does the form of Mayor -Council or strong Mayor form of government exist.
Charles Klobe expressed concern that the amendment is being considered with no other Council or
citizen involvement, is a consolidation of power and breeds corruption, and seven Council Members
with an equal vote works to spread out power.
David Simmons commented that current Council Members are
complexity of the City and how to get votes, suggested
asked about the risk of adding a bad Mayor.
Nathan Holthouser supported the direct election of the
and give power to residents and stakeholders. AL
James Lehigh believed the younger demographic
active in the voting process.
a good job and understand the
current rotation process, and
make the City better
capable of voting intelligently and
Walter Stahr opposed the direct election of the Mayor, suggested having a process where choices are
not limited, study groups are used to identify related issues, and issues like the role of Mayor, term
limits, and more details are publiclycussed.
J
David Tanner shared information f, anti identified source regarding an unconfirmed vision and
master plan for the City by a po%neral fu�ire cand date for Mayor if this item passes.
46
Shannon Papazis stated that acquiring experience as a Council Member and then election into the
position of Mayor should be valued and is necessary for influencing change and setting policy.
An unidentified speaker asked what the problem was with the current process and suggested
following the initiative process.
Gina Unsworth quesT ed the necessity of change and asked Council to put fear aside and be willing
to approach this decision differently.
Leonard Simon inquired about amendment inclusions, the City's plan to deliberate on the Charter
amendment or push it through as proposed, and the requirements for circulating an initiative
petition for inclusion on the ballot.
Richard Cabin supported working out the details over time as a better approach.
Phillip Greer urged Council to table the item for a few months, establish an ad hoc committee, return
with public input, add more defined language, and include a plan €er—to avoid disenfranchising
people with the consolidation of seven districts into six districts.
Nancy Skinner supported postponing the vote until more discussion of the problems and current
initiative take place.
Tom Baker asked Council to let the citizens vote on the decision
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City of Newport Beach
City Council Meeting
October 26, 2021
Amendment to the City Charter be Submitted to the Voters of the City; c) adopt Resolution No. 2021-
104, AResolution of the City Council of the City of Newport Beach, California, Requesting the Board
of Supervisors of the County of Orange to Consolidate a Special Municipal Election to be Held on
Tuesday, June 9, 2022, with the Statewide Primary Election to be Held on the Same Date Pursuant
to California Elections Code Section 10403 for the Purpose of Submitting a Proposed Charter
Amendment to the Voters; d) adopt Resolution No. 2021-105, AResolution of the City Council of the
City of Newport Beach, California, Setting Priorities for Filing Written Arguments Regarding a City
Measure and Directing the City Attorney to Prepare an Impartial Analysis; e) adopt Resolution
No. 2021-106, AResolution of the City Council of the City of Newport Beach, California, Providing
for the Filing of Rebuttal Arguments for the City Measure Submitted to the Voters at the Special
Municipal Election to be Held on Tuesday, June 9, 2022, Pursuant to California Elections Code
Section 9285; f) designate Council Members Blom and O'Neill to draft a Direct Argument for the
ballot measure, and Council Members Brenner and Dixon to draft a Direct Argument against the
ballot measure and any Rebuttal Argument, if needed; and g) approve Budget Amendment No. 22-
020, allocating $215,000 to Account 01010101-811008 (Election).
Council Member Duffield supported the people's right to vote, AL his experience of new Mayors
seeking the advice of former Mayors in the past, and indicated the heightened personal attention
from officials in Washington D.C. when an individual represents a Civ as a Mayor versus as a
Council Member. A
Council Member O'Neill clarified that candidates Cuing for election means the candidates each
live in a district but are running Citywide, and emphasized there would still be representation by
seven people under the proposed system.
Council Member Brenner related that the(ndment is a complex issue with much to consider,
and conversation is required. She supportmkCouncil Member Dixon's proposal to form a citizen
group to review all Charter issues, expressed the opinion the measure is not ready
44� �to assure the City's success without more discussion and modification, and noted the
potential for creating a legacy of having turned the City over to politicians with personal gain
intentions
th
Council Member Dixon state at moving forward with the amendment should be because it is the
right thing todo district realignment is a huge topic and issue requiring discussion, the Mayor in
the current form of government is the first among equals, the City Charter states that the Mayor
has protected ceremonial power and presides over Council meetings, the words may take on a
different meaning iscoupled with an elected Mayor, history of the current form of government
comes from the May orm of government to a professionally managed City with many roles to
disperse power amongst Council Members.
Substitute to the substitute motion by Council Member Dixon, seconded by Council
Member Brenner, to bring back the original motion.
In response to Council Member Dixon's question, City Attorney Harp clarified that the motion limit
allowed on the floor at one time is up to three different motions and a Council Member cannot make
a motion and place it above a substitute motion or move the motion to be voted on first.
Council Member Dixon modified the substitute to the substitute motion by adding a
review of the district form of government.
Motion by Council Member O'Neill, seconded by Council Member Blom, to table the
substitute to the substitute motion.
With Mayor Avery, Council Member Brenner, and Council Member Dixon voting "no," the
motion carried 4-3.
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Mayor Pro Tem Muldoon withdrew his substitute motion.
Council Member Brenner added a friendly amendment to Council Member Dixon's motion.
Substitute to the substitute motion by Council Member Brenner, seconded by Council
Member Dixon, to submit to the voters an option of directly electing the Mayor for two years with
a maximum term of four years, continue having seven districts, and remove the remainder of the
ballot text.
With Mayor Pro Tem Muldoon and Council Members Blom, Duffield, and O'Neill voting
"no," the motion failed 3-4.
Motion by Mavor Pro Tem Muldoon, seconded by Council Member Blom, to 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) adopt Resolution No. 2021-103, AResolution of
the City Council of the City of Newport Beach, California, Cng for the Holding of a Special
Municipal Election to be Held on Tuesday, June 9, 2022, and Or ng that a Proposed Amendment
to the City Charter be Submitted to the Voters of the City; c) Resolution No. 2021-104, A
Resolution of the City Council of the City of Newport Beach, a Requesting the Board of
Supervisors of the County of Orange to Consolidate a Special a al Election to be Held on
Tuesday, June 9, 2022, with the Statewide Primar flection to beJffd on the Same Date Pursuant
to California Elections Code Section 10403 for the Purpose of Submitting a Proposed Charter
Amendment to the Voters; d) adopt Resolution No. 2021-105, AOResolution of the City Council of the
City of Newport Beach, California, Setting Priorities for Filing Written Arguments Regarding a City
Measure and Directing the City Attorney to Prepare an Impartial Analysis; e) adopt Resolution
No. 2021-106, AResolution of the City Cou cil of the City of Newport Beach, California, Providing
for the Filing of Rebuttal Arguments for t� City Measure Submitted to the Voters at the Special
Municipal Election to be Held on Tuy�Iay, June 9, 2022, Pursuant to California Elections Code
Section 9285; f) designate Council Members Blom and O'Neill to draft a Direct Argument for the
ballot measure and any Rebuttal Argument, if needed, and Mayor Avery and Council Member
Brenner to draft a Direct Arg me against the ballot measure and any Rebuttal Argument, if
needed; and g) approve Bu endment No. 22-020, allocating $215,000 to Account 01010101-
811008 (Election).
With Mayor Aver ember Brenner, and Council Member Dixon voting"no," the
motion carried 4-3.
Mayor Avery recess the meeting at 10:09 p.m. and reconvened the meeting at 10:17 p.m.
with all members o the City Council in attendance.
15. Fiscal Year 2020-21 Year -End Budget Results [100-2021]
Finance Director Catlett utilized a presentation to summarize the top three City revenues
(property tax, sales tax, and transient occupancy tax), all of which are above projections,
historical General Fund revenues, and General Fund results and surplus.
Council Member O'Neill explained that the 3 -year surplus occurred because the council chose
not to spend the prior two years of surplus, which had accumulated due to switching over from
the past practice of spending the surplus money one full fiscal year after the surplus existed to
using in the immediate fiscal year after the surplus existed/occurred.
Finance Director Catlett continued the presentation to share recommended uses for surplus funds
on hand with a deviation ferom the regular policy.
City Manager Leung clarified that the recommendation is to allocate to the listed categories but the
specific projects will be brought before Council at a later date.
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