HomeMy WebLinkAbout01 - Minutes - AmendedJune 14, 2022
CITY OF NEWPORT BEACH Agenda Item No. 1
City Council Minutes
Special Joint Meeting with the Finance Committee
May 24, 2022
I. CALL MEETING TO ORDER - 4:00 p.m.
II. ROLL CALL
Present: Mayor Pro Tem Noah Blom, Council Member Brad Avery, Council Member Joy Brenner,
Council Member Diane Dixon, Council Member Duffy Duffield, Council Member Will O'Neill,
Finance Committee Member William Collopy, Finance Committee Member John Reed,
Finance Committee Member Nancy Scarbrough
Absent: Mayor Kevin Muldoon (excused) and Finance Committee Member Joseph Stapleton (excused)
III. PRESENTATIONS
Recognition of Retired Library Services Director Tim Hetton
Mayor Pro Tem Blom highlighted Tim Hetherton's 23-year car he City and presented him
with a plaque and retirement pin.
Mr. Hetherton expressed his gratitude to the City Council, is o/lleagues, and his wife, Jennifer, for
supporting him through the greatest professional honor of his life.
Council Member Brenner thanked Mr. HethertQn for his patience during the Corona del Mar fire
station and library design process. '
Proclamation Honoring the Newport Harbor High School Boys and Girls Water Polo CIF,
State and National Champions
_1
Mayor Pro Tem Blom read the .,roe ri,atior proclamations and presented it -them to Coach Ross
Sinclair who thanked the Citl Council for �onoring the teams and expressed his pride for both teams'
accomplishments.
• Mental Health Awareness Month Proclamation
W
Mayor Pro Tem Bl ead the proclamation and presented it to Mara James, founder of The
Extraordinary Liveundation, who thanked the City Council, introduced Piggie Bear, and
explained the foundati n's mission.
Iv. CURRENT BUSINESS
1. Review of the Proposed Fiscal Year 2022-23 Operating Budget [100-20201
Finance Director Catlett and Senior Budget Analyst Burguan utilized a presentation to summarize
the principles guiding the budget development, opportunities for public review of the budget,
highlights of the Fiscal Year (FY) 2021-22 third quarter budget update, budget overview summary of
all funds, expenditures, historical budget trend with the prior years' Tidelands Fund expenditures
restated to the current presentation format, operating expenditures trend for all funds, expenditures
by fund, major fund operating expenditures, and CIP investment in infrastructure and facilities.
Furthermore, the presentation reviewed the General Fund (GF) revenue summary, historical GF
revenues, and three revenue sources, projections, and growth history: property tax, sales tax, and
Transient Occupancy Tax (TOT). Additionally, the presentation reviewed the GF expenditures and
operating expenditures trend, efforts to enhance budgeting accuracy, reasons for the 8.1% budget
growth, adjusted unfunded liability paydown strategy, long-term pension liability reduction
projections, GF expenditures by department, and GF transfers. Lastly, the presentation summarized
Volume 65 - Page 313
CITY OF NEWPORT BEACH
City Council Meeting Minutes
Study Session and Regular Meeting
May 24, 2022
I. ROLL CALL - 5:02 p.m.
Present: Mayor Pro Tem Noah Blom, Council Member Brad Avery, Council Member Joy Brenner,
Council Member Diane Dixon, Council Member Duffy Duffield, Council Member Will O'Neill
Absent: Mayor Kevin Muldoon (excused)
II. CURRENT BUSINESS
SS1. Clarification of Items on the Consent Calendar - None
SS2. Review of the Proposed Fiscal Year 2022-23 Capital I rovement Program Budget
City Attorney Harp recused himself from the Newport ast Pick leball Courts project
due to real property interest conflicts.
Council Member Brenner recused herself from the Storm Drain System Repair/
Rehabilitation project due to real property interest conflicts.
Mayor Pro Tem Blom recused himself f t the Assessment Districts 22 and I I I projects,
the Balboa Island Drainage MasterWlan/Pump Station project, and the Balboa
Island/Corona del Mar Microtraift6.�'easibility Study project due to real property
interest conflicts. �
Jy
Public Works Director Webb and Deputy Pyillic Works Director Houlihan utilized a presentation
to review the purpose of the Capital Improvement Program (CIP), 2021-2022 CIP projects,
completed Fiscal Year (FY) 2021-22 projects, the proposed 2022-2023 CIP budget, City Council
priorities, projects by CIP budget section, and the CIP budget summary and funding sources.
1
In response to Council Memblr Dixon's question, Deputy Public Works Director Houlihan
confirmed that the $31.5 million in public and private contributions represents approximately
half of the total cost. 6
In response to Council Member O'Neill's questions, Deputy Public Works Director Houlihan
confirmed that the►the City Yard Fueling Support Facilities would cost about $7 million and
City Manager Leung confirmed the inclusion of the Civic Center and fire station in the transfer
of funds from the General Fund (GF) to the Facilities Financing Plan. Public Works Director
Webb clarified that, pending no additional expenses, the contingency funds would be returned.
In response to Council Member Avery's question, Deputy Public Works Director Houlihan
relayed the estimated timeline for the 15th Street Restroom Project. Public Works Director Webb
anticipated the permitting process to take longer than anticipated due to its beach location.
Council Member Dixon expressed support for the projects and related budgeting, and requested
an overlay map which calendars construction to minimize impacts on residents and businesses.
In response to Council Member O'Neill's question, Public Works Director Webb confirmed that
the master plan includes funding for park refurbishments.
In response to Council Member Avery's request, Public Works Director Webb provided an update
on the harbor dredging project and permitting phase, noted the City received $15 million in
Volume 65 - Page 315
City of Newport Beach
City Council Meeting
May 24, 2022
Federal funding, reported that construction will begin in fall or early winter and last six to eight
months, and assured that the project will involve working with the residents to minimize impact.
In response to Council Member Dixon's question, Public Works Director Webb indicated that
the City does not have the resources to handle the Peninsula Encroachment Removal program
independently.
Council Member Avery thanked the Public Works Department for their extraordinary efforts to
protect property values and its upkeep of public infrastructure. Public Works Director Webb
complimented the leadership of the City Council and fiscal nature of the City.
Mayor Pro Tem Blom thanked staff and the Public Works Department for their efficiency and
noted the cleanliness of the oil well tanks in the City.
In response to Nancy Scarbrough's question, Deputy Public Works Director Houlihan clarified
the water wheel project would begin before the year end. pressed concerns relative to
whether the City's implementation schedule is on track . t of the California Coastal
Commission (CCC) for the oceanfront encroachments.
Charles Klobe questioned whether the oil well refurbishments inclu e remediation in lieu of the
new Banning Ranch owner, indicated that the tity of Costa,Mesa requires property owners to
slurry after new construction, expressed conc rn over the irSbility to cross at the street level on
West Coast Highway due to the pedestrian I f_if ge project and encouraged public outreach, and
requested clarification relative to the A Newport Boulevard and Pacific Coast Highway
improvements. -
Jim Mosher expressed support for having more projects designed in-house, questioned the
pursuit of the early earthquakelalarm system, and relayed that there is a small window of time
in which the water wheel construction project could occur.
Deputy Public Works Difector Houlihan clarified that the water wheel project would begin in
December 2022 and work to the creek in fall 2023 or late spring. Public Works Director Webb
discussed the Old Newport and Pacific Coast Highway improvements and related challenges
with Caltrans, noted the slurry sealing requirement in Newport Beach, clarified that the oil well
refurbishment is not pof Banning Ranch, relayed that the oceanfront encroachment project
start date matches CC timeline, and discussed public outreach on the street level crosswalk
removal on West Coast Highway. City Manager Leung indicated that the earthquake alarm
system will be co4dered at a later date.
In response to Council Member Dixon's question, Public Works Director Webb indicated that
.,,,S+S r a t- ,,;, h-Mv- is are part ofthe price per barrel of oil is factored into the revenue
stream.
Mayor Pro Tem Blom relayed that the gas byproduct from the oil wells is used to power some of
the systems at Hoag Hospital.
III. PUBLIC COMMENTS ON AGENDA AND NON -AGENDA ITEMS - None
IV. RECESSED - 5:45 p.m.
V. RECONVENED AT 6:06 P.M. FOR REGULAR MEETING
VI. ROLL CALL
Volume 65 - Page 316