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HomeMy WebLinkAbout02/13/2024 - Study Session / Regular MeetingCITY OF NEWPORT BEACH City Council Meeting Minutes Study Session and Regular Meeting February 13, 2024 ROLL CALL - 4:00 p.m. Present: Mayor Will O'Neill, Mayor Pro Tem Joe Stapleton, Councilmember Brad Avery, Councilmember Noah Blom, Councilmember Robyn Grant, Councilmember Lauren Kleiman, Councilmember Erik Weigand II. CURRENT BUSINESS SS1. Clarification of Items on the Consent Calendar - None SS2. Proclamation Recognizing Nikki Presley Miliband Mayor O'Neill read the proclamation to recognize Nikki Presley Miliband for her extensive leadership and receiving the Orange County Bar Association's Franklin G. West Award. Ms. Miliband thanked the City and expressed gratitude for the recognition. SS3. Proclamation Recognizing John and Anne Wortmann Mayor O'Neill read the proclamation to recognize John and Anne Wortmann for being two of the City's finest examples of helpers in the City. Mr. and Mrs. Wortmann thanked Council for the recognition. SS4. Recognition of Newport -Mesa Unified School District High School Students Mayor O'Neill read the proclamations and presented them to Corona del Mar High School students Niels Hoffman for tennis, Ava Simos for track, and Melisse Djomby Enyawe for cross country. Niels Hoffman thanked Council for the recognition, his family, and the team. Ava Simons thanked the City, her friends, family, and her coaches. Melisse Djomby Enyawe thanked Council for the recognition, and her parents and coaches for their support. Mayor O'Neill thanked the parents and coaches and wished the athletes the best. SS5. Housing Element Implementation Program Amendments Assistant City Manager Jurjis provided an update on the work that has been done since the Housing Element certification; discussed the Land Use Element, General Plan Update, Zoning Code Update, objective design standards, and Environmental Impact Report (EIR); and indicated that Deputy Community Development Director Murillo and Assistant City Attorney Summerhill are also in attendance to answer questions. Principal Planner Zdeba utilized a presentation to highlight the background, the reason for the study session, the draft Land Use Element update, the working draft of the policy matrix, new policies to support implementation, City Charter Section 423, implementation actions for the overlay zoning and development standards, objective design standards, horizontal modulation, and CEQA clearance. He reviewed the next steps and proposed schedule. Volume 66 - Page 38 City of Newport Beach City Council Meeting February 13, 2024 Assistant City Manager Jurjis emphasized the schedule is tight. Mayor O'Neill agreed but noted Council's ability to call a special meeting. Principal Planner Zdeba continued the presentation to review accountability in nearby cities, announce that documents are available for review at newportbeachca.gov/heimplementation and newportbeachca.gov/cega and comments are due by 5:00 p.m. on March 28, 2024, and share the key takeaways and deadlines. Jim Mosher noted that paper copies of the EIR are at City Hall and all libraries. He stated that November 5, 2024 will be three years into the current eight -year Regional Housing Needs Assessment (RHNA) cycle and questioned housing production, did not think there has been progress in affordable housing development, noted that the airport area is generating less than 10% affordable housing compared to the total housing being approved, suggested that anyone with similar properties in an overlay district should be eligible for the overlay, and thought there would be a cap on the number of overlays in the event the City met its RHNA number. Larry Tucker hoped; tl at.overlays in District 4 at Newport Center are thoughtfully planned and noted the uniqueness .of the area, relayed that Charter Section 423 does not apply to zoning changes that are due °in. February2025 to implement the Housing Element, reviewed height limits and density in Newport Center, and suggested the City and property owners work together to create a plan. Nancy Scarbrough suggested developing language regarding the housing development cap for the community. Debra Allen Moore thanked Council for recognizing the Newport Center view ordinance from 1958 and expressed support for preserving it. In response to Mayor O'Neill's question, Assistant City Manager Jurjis agreed to craft more language in the Land Use Element or Zoning Code to address the cap on housing production. In response to Councilmember Weigand's question, Assistant City Manager Jurjis expressed an interest in staying on track with the schedule and engaging with property owners about height discussions after the November election. Councilmember Weigand thought that Newport Center is a focal point and needs to be master -planned. Councilmember. Blom thanked staff, opposed placing caps in the airport area and Newport Center, supported development where the natural curve exists and protecting neighborhoods, and thought height: is the only way to be in compliance with the State and constraints add obstacles to move forward. Additionally, he noted that the City has its own caps with land costs and willing developers. Councilmember Kleiman thanked staff. Councilmember Avery appreciated the work that has been done on this and the residents should be thankful, and thought the City needs to meet the deadlines. In response to his questions, Assistant City Manager Jurjis stated there is interest from property owners, projected a minimum of 20-years for a full build -out, and noted that the Land Use and zoning overlays are not yet adopted. Councilmember Avery concurred with Mayor Blom's interest in protecting neighborhoods, expressed concern for the rate of change, and supported the long timeline. Councilmember Grant summarized her understanding of a Citywide sunset provision once the RHNA units are met and questioned the approach for capping individual areas. Assistant City Manager Jurjis relayed the direction from the Housing Committee and Council to accommodate a maximum number of units for total build -out, excluding density bonus. He stated that staff will need further direction if Council wants to change the total build -out. Volume 66 - Page 39 City of Newport Beach City Council Meeting February 13, 2024 III. PUBLIC COMMENTS ON AGENDA AND NON AGENDA ITEMS Laura Curran announced that the Navigator is available and highlighted that there will be a tour of the native plants at the Civic Center Park on April 11, 2024. She also stated that Sherman Gardens is having a Native Plant Day on April 21, 2024, and there will be a garden tour on May 5, 2024. An unidentified speaker inquired about the process for changing ordinances and opening a homeless shelter in the City since all the shelters are currently full. Mayor O'Neill directed questions regarding City ordinance changes to the City Attorney and suggested reviewing past discussions regarding City homeless shelter efforts. Jim Mosher clarified that he suggested a Citywide "off -switch" once the City as a whole developed all of the required RHNA. He also suggested increased oversight of the organic waste diversion from landfills because he found it unlikely that the three -cart program is reaching a 91% diversion. Councilmember Grant recused herself from Closed Session Item IV.A to avoid an appearance of bias. IV. CLOSED SESSION - After Study Session - Council Chambers Conference Room A. CONFERENCE WITH REAL PROPERTY NEGOTIATORS (Government Code § 54956.8): 1 matter Property: 883 W. 15th Street, Newport Beach, CA 92660 - APN: 424-011-37. City Negotiators: Seimone Jurjis, Assistant City Manager, and Lauren Wooding Whitlinger, Real Property Administrator. Negotiating Parties: David Bahnsen for Pacifica Christian High School - Orange County. Under Negotiation: Instruction to City Negotiators regarding price and terms of payment. V. RECESSED - 5:06 p.m. VI. RECONVENED AT 5:30 P.M. FOR REGULAR MEETING VII. ROLL CALL Present: Mayor Will O'Neill, Mayor Pro Tem Joe Stapleton, Councilmember Brad Avery, Councilmember Noah Blom, Councilmember Robyn Grant, Councilmember Lauren Kleiman, Councilmember Erik Weigand VIII. CLOSED SESSION REPORT City Attorney Harp announced that no reportable actions were taken. IX. INVOCATION - Reverend Matthew Hambrick, First United Methodist Church of Costa Mesa X. PLEDGE OF ALLEGIANCE - Councilmember Weigand XI. NOTICE TO THE PUBLIC XII. CITY COUNCIL ANNOUNCEMENTS AND ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES Volume 66 - Page 40 City of Newport Beach City Council Meeting February 13, 2024 Councilmember Kleiman: • Congratulated the Newport Beach Fire Department for receiving the Insurance Services Office (ISO) Class 1 Rating • Attended the Junior Lifeguard building beam signing, the Police Department promotional and swearing -in ceremony, Southern California Association of Governments (SCAG) Regional Council and Policy meetings, and UCI's Countering Hate Summit Councilmember Avery: • Attended the Police Department promotional and swearing -in ceremony Councilmember Grant: • Thanked staff for their work on the Planning Session, thanked the Airport Working Group and mentioned their annual meeting • Attended the Eastbluff Homeowners Association meeting with Mayor O'Neill, Mayor Pro Tem Stapleton, and Councilmember Kleiman, UCI's Countering Hate Summit, the beam signing at the Junior Lifeguard building, a Lunar New Year event at the Nixon Library with other elected officials, and the Police Department promotional and swearing -in ceremony Mayor Pro Tem Stapleton: • Thanked Meghan McNulty of the Newport Beach Arts Foundation for hosting an event he attended • Attended a Washington DC lobbying trip with Public Work Director Webb • Announced that applications are available for the Newport Beach Foundation's Distinguished Citizen Program • Attended UCI's Countering Hate Summit and the Junior Lifeguard building beam signing Mayor O'Neill: • Attended the Rotary Club and Friends of OASIS meetings • Requested future agenda item to consider forming a Council ad hoc committee to negotiate the terms of the Visit Newport Beach contract for destination marketing services XIII. MATTERS WHICH COUNCILMEMBERS HAVE ASKED TO BE PLACED ON A FUTURE AGENDA (NON -DISCUSSION ITEM) • Consider adopting an ordinance that bans the sale and distribution of kratom in the City of Newport Beach [Kleiman] The City Council unanimously concurred to bring the matter back at a future meeting. XIV. PUBLIC COMMENTS ON CONSENT CALENDAR - None XV. CONSENT CALENDAR READING OF MINUTES AND ORDINANCES 1. Minutes for the January 23, 2024 City Council Meeting Waive reading of subject minutes, approve as written, 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. ORDINANCES FOR ADOPTION 3. Ordinance Nos. 2024-2 and 2024-3: Approving the Baldwin & Sons Medical Office at 20 Corporate Plaza (PA2022-0158) (C-9502-1) Volume 66 - Page 41 City of Newport Beach City Council Meeting February 13, 2024 a) Find adoption of the ordinances is exempt from environmental review under the California Environmental Quality Act (CEQA) pursuant to Section 15303, Class 3 (New Construction or Conversions of Small Structures) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because the Class 3 exemption includes the conversion of existing small structures from one use to another where only minor modifications are made in the exterior of the structure. The exemption also includes additions of up to 10,000 square feet to an office within an urbanized area on sites zoned for such use if not using a significant amount of hazardous substances, all necessary public services are available, and the surrounding area is not environmentally sensitive; b) Conduct second reading and adopt Ordinance No. 2024-2, An Ordinance of the City Council of the City of Newport Beach, California, Approving an Amendment to the Corporate Plaza Planned Community Development Plan (PC-17) for a Medical Office Located at 20 Corporate Plaza (PA2022-0158); and c) Conduct second reading and adopt Ordinance No. 2024-3, An Ordinance of the City Council of the City of Newport Beach, California, Approving a Development Agreement for a Medical Office Located at 20 Corporate Plaza (PA2022-0158). RESOLUTION FOR ADOPTION 4. Pulled from the Consent Calendar CONTRACTS AND AGREEMENTS Slurry Seal Program (FY 2022-23 and FY 2023-24) — Award of Contract No. 9380-1 (241104) a) Find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301(c), Class 1 (maintenance of existing public facilities involving negligible or no expansion of use) of the CEQA Guidelines, because this project has no potential to have a significant effect on the environment; b) Approve the project plans and specifications; c) Award Contract No. 9380-1 to Roy Allan Slurry Seal, Inc. for the total bid price of $2,529,419 for the Slurry Seal Program (FY 2022-23 and FY 2023-24), and authorize the Mayor and City Clerk to execute the contract; and d) Establish a contingency of $253,000 (approximately 10% of total bid) to cover the cost of unforeseen work not included in the original contract. Approval of Amendment No. Four to Professional Services Agreement with NV5, Inc. for Construction Support Services for Assessment District 124 (Central Balboa Island) (C-8627-2) a) Acknowledge the project is exempt from the California Environmental Quality Act (CEQA) pursuant to Class 2 Section 15302 (d) (conversion of overhead electrical utility distribution lines where the surface is restored to the condition existing prior to the undergrounding) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it will not have an adverse effect on the environment; and b) Approve Amendment No. Four to the Professional Services Agreement with NV5, Inc., for construction support services for Assessment District 124 Phase 1 for an additional not -to -exceed amount of $272,190 for a total not -to -exceed amount of $567,847 and authorize the Mayor and City Clerk to execute the amendment. Councilmember Blom recused himself from Item 6 due to real property interest conflicts. 7. Approval of an On -Call Maintenance and Repair Services Agreement with Cal Building Systems, Inc. for Fire Systems Maintenance, Repair, and Inspection Services (C-7110-3) 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) Approve On -Call Maintenance and Repair Services agreement with Cal Building Systems, Inc. for fire systems maintenance, repair, and inspections for a five-year term and a total not -to -exceed amount of $335,000 and authorize the Mayor and City Clerk to execute the agreement. Volume 66 - Page 42 City of Newport Beach City Council Meeting February 13, 2024 8. Approval of Professional Services Agreement with Moffat & Nichol for Newport Harbor Seawall Replacement / Rehabilitation Design (C-9503-1) 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) Approve a Professional Services Agreement with Moffatt & Nichol for design services of the Newport Harbor Seawall Replacement / Rehabilitation Project for a total not -to -exceed amount of $448,803, and authorize the Mayor and City Clerk to execute the Agreement. 9. OASIS Senior Center Site Lighting Project —Award of Contract No. 9009-2 (23F02) a) Find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301(a), Class 1 (Interior or exterior alterations involving such things as interior partitions, plumbing, and electrical conveyances) of the CEQA Guidelines, because this project has no potential to have a significant effect on the environment; b) Approve the project plans and specifications; c) Relieve Innovative Engineering Systems, dba Agilitech of its bid due to a clerical error; d) Award Contract No. 9009-2 to SacTown Contractors Corporation for the total bid price of $365,795 for the OASIS Senior Center Site Lighting project, and authorize the Mayor and City Clerk to execute the contract; and e) Establish a contingency of $54,205 (approximately 15% of total bid) to cover the cost of unforeseen work not included in the original contract. 10. Recreation and Senior Services Management Software System for Class Registration, Membership, Point of Sale, and Facility Reservation Services (C-9514-1) 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 and authorize Mayor and City Clerk to execute agreement for a five-year term for Software for Class Registration, Membership, Point of Sale, and Facility Reservation Services to ActiveNet in the amount of $320,000; and c) Approve Budget Amendment No. 24-049 to appropriate $64,000 in increased expenditure appropriations for the annual subscription fee and $120,000 in increased revenue projections from lower transaction fees. 11. Modifications to 2015 Pierce Aerial Ladder Truck with Pump 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 a sole source Purchase Order with Pierce Manufacturing, Inc. for the vehicle modifications of Truck 63 for a total cost of $378,205.41, and authorize the City's Finance Director to issue the Purchase Order; and c) Approve Budget Amendment No. 24-050 appropriating $378,205.41 in increased expenditures in Account 7529032-911020 from the General Fund balance. 12. Pulled from the Consent Calendar Motion by Mayor Pro Tern Stapleton seconded by Councilmember Blom, to approve the Consent Calendar, except the items removed (Items 4 and 12); and noting the recusal by Councilmember Blom to Item 6. The motion carried unanimously. XVI. ITEMS REMOVED FROM THE CONSENT CALENDAR 4. Resolution No. 2024-8: Resolution of Intention to Disestablish the Newport Beach Tourism Business Improvement District and Fixing the Time and Place of a Public Hearing Volume 66 - Page 43 City of Newport Beach City Council Meeting February 13, 2024 Mayor O'Neill stated that an audit from the State of California resulted from poor oversight and tourism spending in Anaheim, suggested that staff look at the auditor checklist for compliance, and questioned what the new organization is and how it will interact with the organization that receives taxpayer money. He discussed Newport Beach and Company (NB & Co.) and Visit Newport Beach (VNB), funding, executive board placement and compensation, and noted that $2.9 million of the City's tax money is spent without the City's management. He questioned if the new organization is standalone or administered by a taxpayer organization with oversight. In response, City Attorney Harp explained that the new organization is going to be a nonprofit, private organization, with voluntary membership among different hotels in the City who will collect their own funding without the City being involved. He suspected there will be some overlap with the entities receiving taxpayer dollars. In response to Councilmember Weigand's questions, City Attorney Harp stated that it has been made clear to the new organization, and they have been put on notice, that charges on hotel bills cannot be presented in a way that the consumer believes the charges on the bills are City fees or taxes and the private organization has been directed to consult with their own legal counsel. He indicated that there will be no oversight by the City, although he thought the organization would provide the City with a copy of the format of the bills upon request to ensure that the charges do not look like City fees or taxes. In response to Mayor O'Neill's question, City Attorney Harp clarified that audit rights exist until the end of 2024 for the VNB owner's association that manages the Tourism Business Improvement District (TBID). In response to Councilmember Grant's question, City Attorney Harp stated that the Meeting Assessment Partnership (MAP) is its own entity and suspects there will be an overlap with existing entities who are performing the same tasks. She expressed concern for diluting the money being paid by the City. City Attorney Harp restated Mayor O'Neill's interest in forming a Council ad hoc committee to look at the agreement terms to ensure the money is being appropriately spent. Mayor O'Neill stated that VNB exists solely to market Newport Beach and expressed concern for administrative costs, indicated he had no problem moving forward with Item 4 but thought the questions were worth asking and answers need to be found out. He added that it would be a problem if the City were to pay for overhead when the nonprofit is not. Jim Mosher noted that MAP members are being allowed to continue to use the "TBID" term on guest folios, discussed the motivation for being part of the TBID, and expressed concern for transferred TBID funds. Laura Curran announced there will be a public hearing on this matter on March 26, 2024, urged Council to review the finances, and asked what will happen with the 3% annual assessment. Gary Sherwin, President and CEO of VNB, stated that TBID was created for the purpose of group marketing efforts and sunsets at the end of January. He noted there was a meeting with hotels to brainstorm about what to do with TBID upon its expiration and relayed that the decision was to have contracts that replicated TBID, list the fee as a tourism marking fee that would get passed through the consumer to VNB, and have governance by the assessed businesses. In response to Mayor O'Neill's questions, Mr. Sherwin explained that MAP contracts with VNB to provide services for group marketing, VNB is the management entity for MAP, charges allocated to MAP are for group sales efforts, and the TBID will be the same as it has always been. He relayed the reasons why the City does not have oversight over the TBID and noted that the governance of MAP is reliant on the hotels that fund it and the contract is with NB & Co. that receives $2.9 million from the VNB. He clarified that the TBID is for group marketing and the Transient Occupancy Tax (TOT) is for overall marketing, stated TBID's sole focus was to enhance group marketing, relayed no specific amount is charged to NB & Co. for MAP services because the costs are contained within MAP, and disclosed he will not have an employment agreement with MAP because MAP contracts with NB & Co. He added that the initiative was driven by the hotel community and its ownership Volume 66 - Page 44 City of Newport Beach City Council Meeting February 13, 2024 and noted that the upside to the arrangement is that there would be additional marketing dollars to create more TOT. Councilmember Kleiman acknowledged procedural inconsistencies and thought a more in-depth conversation was needed. In response to Mayor O'Neill's question about whether the TBID had any assets, City Attorney Harp responded that he had been informed that the remaining TBID money was already transferred to the new nonprofit MAP and that VNB represented that no assets remain. He also noted the City contracts with VNB to be the owner's association and manage the TBID operations, and the City does not approve VNB transactions. He then stated that he thought it would be good to ask Mr. Sherwin about the transfer of assets between VNB and the MAP. In response to Mayor Pro Tem Stapleton's question, City Attorney Harp stated that it was his understanding the TBID money had been transferred to the MAP and that there are no TBID assets or obligations. Mr. Sherwin relayed that VNB is following the State statute, the hotels came up with programming to liquidate the remaining TBID funds, noted the unused funding will be returned to the assessed businesses proportionally, there will be no commingling of funds with MAP, and it is expected that no assets or liabilities will remain when the program finishes. In response to Councilmember Weigand's question, Mr. Sherwin relayed that it is probable that the wording "tourism marketing fee" will be the language used to represent the 5% service fee on the bills of MAP hotels. In response to Councilmember Grant's questions, City Attorney Harp stated that the TBID board reported there were no remaining assets and debt. Mr. Sherwin indicated that the funds had not been transferred to the MAP and there are still monies in the TBID fund, which will remain there until they are all used or are distributed back to the owners. City Attorney Harp suggested removing the item from the agenda to meet with Mr. Sherwin because it was unclear from Mr. Sherwin's statements if the TBID had any remaining assets. In response to Mayor O'Neill's question, City Attorney Harp relayed that, after hearing from Mr. Sherwin, he does not think the resolution is consistent and thought it might be best to find out what is happening with the funds before moving forward. Mr. Sherwin relayed that the remaining TBID budget is encumbered and accounted for, and MAP money will kick in once TBID is gone. City Attorney Harp noted two paths to handling the remaining TBID money per State law and stated that the responsibility to comply with the law lies with VNB. He also stated that because the TBID is now expired, the City Council has the option of not doing anything and letting State law control how any assets are distributed. Councilmember Grant extended a vote of confidence to Mr. Sherwin and his organization, and expressed an interest in being clear on the terms of the vote. Mayor Pro Tem Stapleton asked City Attorney Harp to clarify whether Council has the option to do nothing tonight and VNB is responsible because the TBID is expired. City Attorney Harp stated that the City could do nothing and it may best to take no action. Motion by Mayor O'Neill, seconded by Councilmember Avery, to table the item to a future meeting if needed. The motion carried unanimously. 12. Professional Services Agreement with PATH for Homeless Outreach Services (C-9515-1) Volume 66 - Page 45 City of Newport Beach City Council Meeting February 13, 2024 Councilmember Kleiman stated she was encouraged that the City would engage with a new partner to address gaps, but suggested paring the agreement back to a one-year term with the option for two subsequent one-year extensions. In response to City Manager Leung, Melanie McQueen, Regional Director of PATH, agreed in principle to Councilmember Kleiman's amended terms. Councilmember Kleiman stated the reason for the requested change is to allow the City to have a checkpoint and revisit the scope of work at the end of the one-year mark. She indicated she is not insinuating there are anticipated issues. In response to Mayor O'Neill's question, City Attorney Harp suggested giving general authority to the City Attorney's Office to make the modification consistent with the proposed terms. Councilmember Grant expressed appreciation for staff and the new partnership, and relayed a fluid process. Melanie Martin requested greater accountability for safety during the time between when the information is obtained about the unhoused and their placement. Mayor O'Neill pointed out that there will also be compensation changes resulting from the term changes. Motion by Councilmember Kleiman seconded by Councilmember Weigand, 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) approve an amended Professional Services Agreement with PATH for Homeless Outreach Services that reflects a change to the term of the agreement to a one-year term with an option for two one-year extensions and a change in compensation to reflect the modified term and any other necessary changes related, thereto, as approved by the City Attorney, and authorize the Mayor and City Clerk to execute the agreement. The motion carried unanimously. XVII. PUBLIC COMMENTS ON NON -AGENDA ITEMS Jessie Fleming requested protection for her neighborhood, stated she lives on a boat and acts as the eyes and ears on the Harbor, noted an upcoming proposal to increase the mooring fee by 400%, and asked Council to be fair so everyone can work together to support the Harbor. Kelsey McCallister provided a handout, relayed the story of Wanda the Whale, and sought the Council's guidance on how to commemorate Wanda. Chris Benzen expressed concern that there are different mooring fee rates for the same submerged tidelands use, shared mooring fee increases, and suggested passing a resolution to use the State Lands Commission's rates. Adam Leverenz reviewed the Brown Act and provided his interpretation, expressed concern for the lack of Council's attendance at the Harbor Commission's special meeting, and encouraged Council to attend the upcoming meeting or listen to the public comments and presentation to collect all the facts. Cathy Gilbert extended an invitation to attend the Love Newport Leaders Gathering in the Friends Room on February 29, 2024 at noon, provided a handout, and noted that a group prays at the Civic Center on Thursdays regularly and prays for the Council. Mike Fleming expressed concern for mooring fee increases. Volume 66 - Page 46 City of Newport Beach City Council Meeting February 13, 2024 An unidentified speaker thanked the community, staff, and Council for their support since she has been on the street. Jim Mosher announced that the public poll is open for the next phase of the sculpture gardens and can be found on the City's website. Nancy Scarbrough shared a description of the Fire Department's Class 1 Rating and benefits, suggested codifying it in a Council policy, and thanked the community, staff, the City Council, City Manager, and Fire Department for their service to achieve this goal. XVIII. PUBLIC HEARINGS 13. Ordinance No. 2024-4: Termination of Development Agreement No. 2008-005 for Sober Living by the Sea, Inc. dba Sierra by the Sea, Inc. Zoning and Public Benefit Agreement (PA2008-199) (C-4145) Mayor O'Neill opened the public hearing. Laura Curran asked if the City would lose the ability to enforce ordinances related to Sober Living by the Sea or other unlicensed sober living homes under a similar agreement. Hearing no further testimony, Mayor O'Neill closed the public hearing. Assistant City Manager Jurjis clarified the terms of the agreement and allowances pursuant to State law. In response to Councilmember Grant's question, City Attorney Harp stated that the City is not giving up any of its authority, and confirmed that Sober Living by the Sea always had the right to have six or under facilities and has requested to terminate extra rights. In response to Councilmember Avery's question, Assistant City Manager Jurjis indicated that the property is not transferring with the termination. Councilmember Kleiman relayed that the operator had the ability to transfer or sell the entity, but opted not to do so. Motion by Councilmember Kleiman seconded by Mayor Pro Tem Stapleton, to a) find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301 under Existing Facilities of the CEQA Guidelines. This activity is also covered by the general rule that CEQA applies only to projects that have the potential for causing a significant effect on the environment (Section 15061(b)(3) of the CEQA Guidelines). It can be seen with certainty that there is no possibility that this activity will have a significant effect on the environment, and it is not subject to CEQA; and b) waive full reading, direct the City Clark to read by title only, introduce Ordinance No. 2024-4, An Ordinance of the City Council of the City of Newport Beach, California, Approving the Termination of Development Agreement No. 2008-005 (Zoning Implementation and Public Benefit Agreement Between the City of Newport Beach and Sober Living by the Sea, Inc.) (PA2008-199), and pass to second reading on February 27, 2024. The motion carried unanimously. 14. Resolution No. 2024-9: Intent to Override Orange County Airport Land Use Commission's Determination of Inconsistency for the Residences at 1400 Bristol Street (PA2022-0296) Mayor O'Neill opened the public hearing. Jim Mosher expressed an interest in learning the City's liability consequences from overriding the decision of the Airport Land Use Commission, highlighted Condition of Approval No. 50, and cautioned Council to not override the Commission's decision that it is not a compatible use. Volume 66 - Page 47 City of Newport Beach City Council Meeting February 13, 2024 Hearing no further testimony, Mayor O'Neill closed the public hearing. Motion by Councilmember Weigand, seconded by Councilmember Grant, to a) find that the proposed overriding action is not subject to the California Environmental Quality Act (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. 2024-9, A Resolution of the City Council of the City of Newport Beach, California, Notifying the Orange County Airport Land Use Commission and State Department of Transportation, Aeronautics Program of the City's Intention to Find that the Residences at 1400 Bristol Project is Consistent with the Purpose of the State Aeronautics Act and Overrule the Orange County Airport Land Use Commission's Determination that the Project is Inconsistent with the 2008 John Wayne Airport Environs Land Use Plan (PA2022-0296). The motion carried unanimously. 15. Resolution No. 2024-10: Intent to Override Orange County Airport Land Use Commission's Finding of Inconsistency for the Residences of 1401 Quail Street (PA2023- 0040) Mayor O'Neill opened the public hearing. There being no further testimony, he closed the public hearing. Motion by Councilmember Weigand, seconded by Councilmember Grant, to a) find that the proposed overriding action is not subject to the California Environmental Quality Act (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. 2024-10, A Resolution of the City Council of the City of Newport Beach, California, Notifying the Orange County Airport Land Use Commission and State Department of Transportation, Aeronautics Program of the City's Intention to Find that the Residences at 1401 Quail Project is Consistent with the Purpose of the State Aeronautics Act and Overrule the Orange County Airport Land Use Commission's Determination that the Project is Inconsistent with the 2008 John Wayne Airport Environs Land Use Plan (PA2023- 0040). The motion carried unanimously. XIX. MOTION FOR RECONSIDERATION - None XX. ADJOURNMENT - Adjourned at 7:17 p.m. in memory of Helen "Jerri" Dwan 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 February 8, 2024, at 4:00 p.m. VlVy V1Gln Will O'Neill Mayor Volume 66 - Page 48