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HomeMy WebLinkAbout08/27/2024 - Study Session / Regular MeetingCITY OF NEWPORT BEACH City Council Meeting Minutes Study Session and Regular Meeting August 27, 2024 I. 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 III. PUBLIC COMMENTS Without objection, Mayor O'Neill moved public comments to this time. Richard Moriarty asked Council to reconsider their approval of the Santa Ana -Delhi Channel improvements. 11. CURRENT BUSINESS - continued SS2. Presentation of Check from the Friends of the Newport Beach Library Friends of the Newport Beach Library President Amy Hunt, Vice President Annie Vangrow, and Marketing Director Janet Callister presented Library Services Director Hartson and the City with a $200,000 check. Mayor O'Neill stated that he and his children attend the giant book sale to fill as many bags as they can and expressed gratitude for inspiring his children to read. Councilmember Grant reflected on her past experience working in the bookstore, recognized the achievement of raising $200,000 and noted the times she spent in the bookstore with her daughter. SS3. International Literacy Day Proclamation Mayor O'Neill read the proclamation and presented it to Library Services Manager Lightfoot who thanked Council for their support and recognition of the program. SS4. Proclamation to the Trauma Intervention Program (TIP) Mayor O'Neill read the proclamation and presented it to Executive Director MaryEllen Lowrey and the Newport Beach representatives/volunteers. Ms. Lowrey discussed the purpose and function of TIP. Councilmember Kleiman expressed her gratitude and interest in sharing with everyone the work of TIP. SS5. Development Impact Fees (DIF) Assistant City Manager Jurjis and Senior Planner Westmoreland utilized a presentation to review how the City currently offsets new development costs, the purpose of development agreements and their requirements, the land use amendment zoning overlay, the future of development agreements, development impact fees, the Nexus study and its key considerations Volume 66 - Page 151 City of Newport Beach August 27, 2024 and basic methodology, existing development and future growth, fee categories that would be studied, maximum residential and nonresidential fees, cost and revenue projections for each category, comparison to other service providers, comparison studies with other cities, park in -lieu fees (Quimby Act) which are assessed to for sale products only, how DIFs could be applied, and next steps. In response to Mayor O'Neill's question, Assistant City Manager Jurjis relayed the difficulty of applying DIF fees to commercial developments, noted that an estimated 1,500 employees have been generated from the study for a commercial buildout, and thought it was reasonable to establish fees for police and fire. Senior Planner Westmoreland clarified that a fee would be assessed for a net increase in intensity or the difference from creating an addition. In response to Councilmember Avery's question, Senior Planner Westmoreland stated that developers are currently paying fees on the low income to moderate income units in the airport area through development agreements, but staff is of the opinion that a DIF should be applied to the market rate units. Councilmember Blom supported using the concept for residential developments and for commercial developments that are not subject to sales tax or Transient Occupancy Tax (TOT), expressed a mixed opinion and looked to his colleagues for input on applying DIF to visitor/residential serving uses, and suggested an incentive to make residential villages community driven. Mayor O'Neill concurred with Councilmember Blom and stated he did not anticipate the same intensification of commercialdevelopments as opposed to residential developments. Assistant City Manager Jurjis referenced past proposed projects as data points. Assistant City Manager Jurjis reviewed the "maximum justified fee schedule nonresidential (square foot)" slide and asked for Council's feedback. Mayor O'Neill suggested that a minimum square footage for commercial developments be used. Assistant City Manager Jurjis anticipated changes to residential development within the airport area. Councilmember Avery, concurred with Councilmember Blom and supported building communities aroundresidential developments. Further, he thought the City has a responsibility to treat this like a new village that will work for all residents. Councilmember Weigand suggested monitoring the impact on water demands. In response to his question, Assistant City Manager Jurjis stated that the market rate and affordable units will be separated and DIF will be applied to the market rate units only. Mayor O'Neill stated that the consensus is to bring back the residential piece, but more thought is needed to incorporate a community approach to commercial development. He directed staff to move forward with the residential side and Council will think about the type of commercial to apply the DIF, and asked that staff return at a future meeting with a concept for commercial that incorporates today's discussion. Jim Mosher inquired about the Regional Housing Needs Assessment (RHNA) unit commitment used by the consultant, including density bonus units, the recreation facility charge based on the land value, the comparable sewer charge comparison, traffic volume and related fee changes, and how the development agreement fee in Item 22 (Residences at 1600 Dove Street) compares. Adam Leverenz asked about a timeframe for the development fees and the impact the fees may have on the level of development. Assistant City Manager Jurjis indicated that staff will look over the buildout number so it is consistent with the Housing Element and what the consultant is using for the study, fees can be applied to density bonus units, traffic volume fair share fees have not been studied in a while but will be looked at, and development fees would be incurred when the permit is issued for new facilities. Volume 66 - Page 152 City of Newport Beach August 27, 2024 Councilmember Weigand noted the impact to water and sewage use with a net increase in square footage. Mayor O'Neill clarified that the fee would be charged when there is an intensification that requires an increased pipe size, the volume is addressed by the amount of water consumed, and acknowledged that Councilmember Weigand's point is valid related to infrastructure and increased pump station usage. III. PUBLIC COMMENTS Jim Mosher relayed that the City -Charter provides for Council to meet only one time in August as an option, not a requirement, and asked if the Mayor would be holding any upcoming Coffee with the Mayor events. IV. CLOSED SESSION — Council Chambers Conference Room City Attorney Harp announced that the City Council would adjourn to Closed Session to discuss the items listed on the Closed Session agenda and read the titles. A. CONFERENCE WITH REAL PROPERTY NEGOTIATORS (Government Code § 54956.8): 1 matter Property: 406, 408, and 410 South Bay Front, Newport Beach, California 92662. City Negotiators: Seimone Jurjis, Assistant City Manager, and Lauren Wooding Whitlinger, Real Property Administrator. Negotiating Parties: Seymour Beek. Under Negotiation: Instruction to City Negotiators regarding price and terms of payment. B. CONFERENCE WITH LABOR NEGOTIATORS (Government Code § 54957.6): 1 matter Agency Designated Representatives: Grace K. Leung, City Manager, and Barbara Salvini, Human Resources Director. Employee Organizations: Newport Beach Professional and Technical Employee Association (NBPTEA), Newport Beach City Employees Association (NBCEA); and Newport Beach Employees League (NBEL), and Association of Newport Beach Ocean Lifeguards (ANBOL). V. RECESSED — 5:10 p.m. VI. RECONVENED AT 6:00 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 — Pastor W. Dan Erlenbusch, Newport Harbor Lutheran Church X. PLEDGE OF ALLEGIANCE — Councilmember Blom XI. NOTICE TO THE PUBLIC Volume 66 - Page 153 City of Newport Beach August 27, 2024 XII. CITY COUNCIL ANNOUNCEMENTS AND ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES Councilmember Kleiman: • Extended a belated birthday wish to Councilmember Grant • Attended the Junior Lifeguard Monster Mile, the Newport Beach Police Department (NBPD) National Night Out, and a Sober Living Task Force meeting • Announced an impending Joint Legislative Audit Committee (JLAC) audit of the Department of Health Care Services (DHCS) licensing Councilmember Avery: • Attended the ribbon cutting for the 29th Street Public Pier and launching of the VITA Seal electric boat in the Harbor Councilmember Grant: • Spoke at the Eastbluff Town Hall • Attended the NBPD Teen Academy graduation with the Mayor, the OASIS Senior Center general meeting, the NBPD National Night Out, the Newport Beach Chamber of Commerce's State of the County event, and a California Surfing Day event in Sacramento Mayor Pro Tem Stapleton: • Attended the ribbon cutting for the 291h Street Public Pier, the Chamber of Commerce State of the County event, the Demolition Derby at the Orange County Fair and noted he won the first place trophy and the event raised over $50,000 for CHOC Hospital • Announced an opportunity to apply for the Newport Beach Foundation Distinguished Citizen Program Mayor O'Neill: • Announced the Make a Wish's Police and Fire Departments waffle eating contest at Cappy's and the Newport Beach Junior Lifeguard program's conclusion and graduation )UII. MATTERS WHICH COUNCILMEMBERS HAVE ASKED TO BE PLACED ON A FUTURE AGENDA (NON -DISCUSSION ITEM) • Consider taking a support position for Proposition 36 on the November 2024 ballot [Mayor O'Neill and Councilmember Weigand] The City Council unanimously concurred to bring the item back at a future meeting. Consider creating a Council ad hoc committee for the purpose of reviewing and providing recommendations on the City Council's Total Compensation Policy and comparator agencies for employee compensation [Councilmember Kleiman] The City Council unanimously concurred to bring the item back at a future meeting. XIV. PUBLIC COMMENTS ON CONSENT CALENDAR Regarding Item 4 (Side Letter Agreements with Labor Groups Representing City Employees), City Manager Leung provided a brief oral report to discuss the proposed compensation recommendation for labor groups and members of the executive management team. City Attorney Harp noted that Exhibit C in Item 13 (Lease Agreement with Balboa Angling Club) requires an amendment to show the parking spaces. Jim Mosher questioned the transparency of who and how many staff members would be receiving a bonus in Item 4 (Side Letter Agreements with Labor Groups Representing City Employees), voiced concern about the message being sent to the public about drinking alcohol on the beach in Item 5 (Waiving Council Policy B-8, and Section A.1 of Council Policy B-13 to Permit an Annual Charity Volume 66 - Page 154 City of Newport Beach August 27, 2024 Volleyball Tournament and to Allow for Alcoholic Beverages on a City Beach), and public education about waste management programs and the validity of green waste diversion statistics in Item 20 (Response to the Recommendations of the Orange County Grand Jury Report "Talking Trash: Recyclables and Organic Waste"). Adam Leverenz suggested that Council consider using the space referenced in Item 14 (Agreement for Purchase of Real Property at 301 East Balboa Boulevard) for housing units and subterranean parking. XV. CONSENT CALENDAR READING OF MINUTES AND ORDINANCES 1. Minutes for the July 23, 2024 City Council Meeting 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 Resolution No. 2024-59: Accepting the California Department of Alcoholic Beverage Control FY 2024/2025 Alcohol Policing Partnership Grant Award 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) Adopt Resolution No. 2024-59, A Resolution of the City Council of the City of Newport Beach, California, Accepting the California Department of Alcoholic Beverage Control FY 202412025 Alcohol Policing Partnership Grant Award, and Designating the Chief of Police as the `Authorized Agent" to Execute Grant Documents Necessary to Secure Payment and Implementation of Grant Funds to Supplement the Police Department's Alcohol Education and Enforcement Efforts; c) Approve the grant and accept the California Department of Alcoholic Beverage Control FY 2024/2025 Alcohol Policing Partnership Program grant award in the amount of $56,860, and authorize the Chief of Police to execute the agreement; and d) Approve Budget Amendment No. 25-009 to increase revenue estimates by $56,860 in the ABC grant account, No. 01035352-431472-G2501 and to increase expenditure appropriations in the Detective Division in the amount of $34,760 in the Overtime - Safety account, 01035355-713002- G2501; $15,600 in Salaries - Safety, 01035355-711002-G2501; $3,500 in Special Department Supplies, 01035355-841015-G2501; and $3,000 in Training, 01035355-861003-G2501. 4. Resolution No. 2024-60: Approving Side Letter Agreements with Labor Groups Representing City Employees (C-2056, C-2058A, C-2058B, C-2060, C-2932, C-2946 and C-3362), Approving an Amendment to the Key and Management Compensation Plan and Authorizing the City Manager to Enter into Amendment B to the Employment Agreement with the Fire Chief (C-8182-2) 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) Adopt Resolution No. 2024-60, AResolution of the City of Newport Beach, California, Approving Side Letter Agreements with Labor Groups Representing City Employees, Approving an Amendment to the Key and Management Compensation Plan and Authorizing the City Manager to Enter into Amendment B to the Employment Agreement with the Fire Chief, c) Authorize the City Manager to Execute Amendment B to the Employment Agreement with the Fire Chief, and d) Approve Budget Amendment No. 25-012 appropriating $1,920,137 to various salary and benefit accounts. Volume 66 - Page 155 City of Newport Beach August 27, 2024 5. Resolution No. 2024-61: Waiving Council Policy B-8, and Section A.1 of Council Policy B-13 to Permit an Annual Charity Volleyball Tournament and To Allow for Alcoholic Beverages on a City Beach a) Find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15304 under Class 4 of the CEQA Guidelines, because this project has no potential to have a significant effect on the environment; and b) Adopt Resolution No. 2024-61, A Resolution of the City Council of the City of Newport Beach, California Waiving Council Policy B-8, and Section A.1 of Council Policy B-13 to Permit an Annual Charity Volleyball Tournament and to Allow for Alcoholic Beverages on a City Beach. CONTRACTS AND AGREEMENTS Bonita Creek Community Center Improvements - Notice of Completion for Contract No. 9333-1 (23F02) a) Accept the completed work and authorize the City Clerk to file a Notice of Completion for the project; b) Authorize the City Clerk to release the Labor and Materials Bond 65 days after the Notice of Completion has been recorded in accordance with applicable portions of Civil Code; and c) Release Faithful Performance Bond one year after acceptance by the City Council. 7. 2023-2024 Facilities Painting Project - Award of Contract No. 9393-1 (24F02) a) Find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15301 Class 1 (maintenance of existing facilities involving no expansion or an existing use) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, 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. 9393-1 to GCD Painting for the base bid price of $167,000 plus additive Utilities Yard Building 7 for $7,000, for a total price of $174,000 for the 2023-2024 Facilities Painting Project, and authorize the Mayor and City Clerk to execute the contract; and d) Establish a contingency of $17,400 (approximately 10% of total bid) to cover the cost of unforeseen work not included in the original contract. 8. Alley Restoration (Assessment District 113 and Assessment District 124 Phase 0 Areas) - Award of Contract No. 7979-3 (251107) 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. 7979-3 to Grigolla & Sons Construction Company, Inc. for the total bid price of $3,774,000 for the Alley Restoration (AD-113 and AD-124 Phase 0 areas) project, and authorize the Mayor and City Clerk to execute the contract; and d) Establish a contingency of $377,000 (approximately 10% of total bid) to cover the cost of unforeseen work not included in the original contract. Councilmember Blom recused himself from Item 8 due to real property interest conflicts. 9. San Miguel Park Accessible Playground Improvements - Reject All Bids for Contract No. 9371-1 (24P01) a) Find this project 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) Reject all bids received for Contract No. 9371-1; and c) Direct staff to re -advertise the San Miguel Park Accessible Playground Improvements. 10. Approval of Professional Services Agreements with Willdan Engineering, (C-8032-3), Iteris Inc. (C-8390-3), Ganddini Group, Inc. (C-8602-2), and Fehr & Peers (C-9709-1) for On -Call Transportation Engineering Services Volume 66 - Page 156 City of Newport Beach August 27, 2024 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 thisaction will not result in a physical change to the environment, directly or indirectly; and b) Approve Professional Services Agreements with Willdan Engineering, Iteris Inc., Ganddini Group Inc., and Fehr & Peers with each agreement being for a term of three years and having a total not -to -exceed amount of $300,000, and authorize the Mayor and City Clerk to execute the agreements. 11. Approval of Professional Services Agreements with BKF Engineers, (C-9710-1), Coast Surveying, Inc. (C-7685-1A), and GUIDA (C-7685-2A) for On -Call Professional Surveying Services 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 Professional Services Agreements with BKF Engineers, Coast Surveying, Inc. and GUIDA, with each being for a term of five years and total not -to -exceed amount of $500,000 per agreement and authorize the Mayor and City Clerk to execute the agreements. 12. Pulled from the Consent Calendar 13. Lease Agreement with Balboa Angling Club for Use of the Real Property and Tidelands at 200 A Street (C-1609A) a) Determine this action exempt from 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 Section 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because this action will not result in a physical change to the environment, directly or indirectly; b) Authorize the City Manager and City Clerk to execute the Lease Agreement by and between the City of Newport Beach and Balboa Angling Club, for use of the City -owned property located at 200 A Street, in a form substantially similar to the agreement attached to the staff report; and c) Approve a waiver of City Council Policy F-7 — Income and Other Property based on the findings contained in this staff report and the Agreement, that conducting an open bid process or changing the tenant would result in excessive vacancy, and the use of the property provides an essential or unique marine related services to the community and is of a public benefit, and might not otherwise be provided where an open bid or full fair market value of the property be required. 14. Agreement for Purchase and Sale and Escrow Instructions with Bobby Hanada and Linda Hanada, Husband and Wife as Joint Tenants for the Purchase of Real Property at 301 East Balboa Boulevard (C-9714-1) a) Determine this action exempt from 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 Section 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because this action will not result in a physical change to the environment, directly or indirectly; b) Authorize the City Manager and City Clerk to execute the Agreement for Purchase and Sale of Real Property and Escrow Instructions, and all associated documents necessary to complete the purchase transaction, with Bobby Hanada and Linda Hanada, to purchase the property at 301 East Balboa Boulevard, for a price of $2,600,000 in a form substantially similar to the agreement attached to the staff report; and c) Approve Budget Amendment No. 25-013 to record a budget transfer of $2,832,000 from the General Fund to the General Fund CIP Fund where it will be expensed from 01201925-911047- 25FIL 15. On -Call Maintenance/Repair Services Agreement with Vessel Assist LLC for On -Call Vessel Towing Services (C-9712-1) Volume 66 - Page 157 City of Newport Beach August 27, 2024 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/Repair Services Agreement with Vessel Assist LLC for On -Call Vessel Towing Services at a not -to -exceed amount of $375,000, and authorize the Mayor and City Clerk to execute the agreement. 16. Amendment No.1 to Agreement with Axon Enterprise Inc. for the Fusus Intelligence Ecosystem (C-8973-1) 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 Amendment No. 1 to the Purchase, Installation and Maintenance Agreement with Dixon Enterprise, Inc. for the Fusus system and services at a not -to -exceed cost of $886,990.60, and authorize the Mayor and City Clerk to execute the Amendment. 17. School Resource Officer Program Agreement (C-8510-8) 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 the agreement between the City of Newport Beach and Newport -Mesa Unified School District to participate in the School Resource Officer Program, and authorize the Mayor and City Clerk to execute the agreement on behalf of the City of Newport Beach. MISCELLANEOUS 18. Planning Commission Action Report for the August 8, 2024 Meeting and Agenda for the August 22, 2024 Meeting Receive and file. 19. Budget Amendment to Accept a Check from the Friends of the Newport Beach Library and Appropriate Funds to the Library's Fiscal Year 2024-25 Maintenance and Operation Budget 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) Accept a check in the amount of $200,000 from the Friends of the Newport Beach Library and approve Budget Amendment No. 25-007 to increase expenditures by the same amount in Division 0106052 (Friends). 20. Response to the Recommendations of the Orange County Grand Jury Report "Talking Trash: Recyclables and Organic Waste" 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 the response letter to the Presiding Judge as requested with regard to the Orange County Grand Jury's report entitled "Talking Trash: Recyclables and Organic Waste," and authorize the Mayor to sign the letter. 21. Response to the Orange County Grand Jury Report "E-Bikes: Friend or Foe" 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 the City's response to the 2023-2024 Orange County Grand Jury report, "E-Bikes: Friend or Foe," and authorize the Mayor to submit the letter to the Presiding Judge of the Superior Court. Volume 66 - Page 158 City of Newport Beach August 27, 2024 Motion by Mayor Pro Tern Stapleton seconded by Councilmember Blom, to approve the Consent Calendar, except for the item removed (Item 12); and noting the amendments to Item 1, the recusal by Councilmember Blom to Item 8, and the amendment to Exhibit C in Item 13. The motion carried unanimously. XVI. ITEM REMOVED FROM THE CONSENT CALENDAR 12. Professional Services Agreement with EPD Solutions for Environmental Services for the Proposed Surf Farm Project at 3100 Irvine Avenue (PA2024-0069) (C-9713-1) Councilmember Weigand clarified for the public that the item is for the consultant to complete an Environmental Impact Report (EIR) analysis on the impacts the project would have on the community. He stated that the public will have opportunities for input, the project would need to be heard by the Planning Commission, eventually be considered by Council, and added that the EIR will be paid for by the applicant. At Mayor O'Neill's request, Assistant City Manager Jurjis and Senior Planner Perez discussed the process and timeframe to approve an application project. Bill Grabowski expressed his dissatisfaction with and opposition to the proposed surf park and asked to not approve the project. Motion by Councilmember Weigand, seconded by Councilmember Avery, 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) authorize the Mayor and City Clerk to execute a Professional Services Agreement with Environment Planning Development Solutions, Inc. for EIR Related to Proposed Surf Farm Project in an amount not to exceed $277,630 in a form substantially similar to the agreement attached to this staff report. The motion carried unanimously. XVII. PUBLIC COMMENTS ON NON -AGENDA ITEMS Adam Leverenz utilized a slide to discuss Burnham USA Equities and suggested there may be a potential conflict since Councilmember Blom is renting property from a trustee and CEO of one of their entities. He asked for reconsideration of a previously approved item to create a higher level of trust. Mayor O'Neill noted that the City Attorney indicated there is no conflict of note. XVIII. PUBLIC HEARINGS 22. Ordinance No. 2024-18 and Resolution Nos. 2024-62 and 2024-63: Approving the Residences at 1600 Dove Street Project, and Resolution No. 2024-64: Overriding Orange County Airport Land Use Commission's Determination of Inconsistency (PA2022-0297) (C-9225-2) Mayor O'Neill and Mayor Pro Tern Stapleton recused themselves due to their membership in the Pacific Club which is in close proximity to the project. Assistant City Manager Jurjis and Senior Planner Westmoreland utilized a presentation to discuss the project location and description, entitlements required, dwelling unit summary, conceptual elevations, density bonus, the Affordable Housing In -Lieu Park (AHIP) fee, development agreement, City Charter Section 423 (Greenlight) analysis, background, recommendations and next steps. Councilmember Avery opened the public hearing. Volume 66 - Page 159 City of Newport Beach August 27, 2024 Satish Lion, representing The Picerne Group (TPG), utilized a presentation to review the project team, the current condition, product evolution, community support, and community commitment. Councilmember Grant expressed her gratitude and excitement for the project. Jim Mosher estimated that 27,000 units would be needed to meet the affordable housing unit requirement, questioned why a million dollars of park improvements are being waived, and noted the challenges created due to frequent overrides by Council. Hearing no further testimony, Councilmember Avery closed the public hearing. Councilmember Blom thanked The Picerne Group, thought this was a step in the right direction, and thanked the applicants. Motion by Councilmember Blom, seconded by Councilmember Kleiman, to a) adopt Resolution No. 2024-62, A Resolution of the City Council of the City of Newport Beach, California, Adopting Addendum No. 9 to the 2006 General Plan Update Program Environmental Impact Report and 2008-2014 City of Newport Beach Housing Element Update Initial Study/Negative Declaration for the Residences at 1600 Dove Street Project Located at 1600 Dove Street (PA2022-0297); b) adopt Resolution No. 2024-63, A Resolution of the City Council of the City of Newport Beach, California, Approving a General Plan Amendment, Affordable Housing Implementation Plan and Traffic Study for the Residences at 1600 Dove Street Project Located at 1600 Dove Street (PA2022-0297); c) waive full reading, direct the City Clerk to read by title only, introduce Ordinance No. 2024-18, An Ordinance of the City Council of the City of Newport Beach, California, Approving a Development Agreement (C-9225-2) for the Residences at 1600 Dove Street Project Located at 1600 Dove Street (PA2022-0297), and pass to second reading on September 10, 2024; and d) adopt Resolution No. 2024-64, A Resolution of the City Council of the City of Newport Beach, California, Finding the Residences at 1600 Dove Street Project is Consistent with the Purposes of the State Aeronautics Act and Overriding the Orange County Airport Land Use Commission's Determination that the Residences at 1600 Dove Street is Inconsistent with the 2008 John Wayne Airport Environs Land Use Plan (PA2022-0297). With Mayor O'Neill and Mayor Pro Tern Stapleton recusing themselves, the motion carried 5-0. 23. Resolution No. 2024-65: Approving the Issuance by California Enterprise Development Authority of Not -to -Exceed $55,000,000 Aggregate Principal Amount of the Authority's Revenue Obligations for the Benefit of Sage Hill School for the Purpose of Financing and/or Reimbursing the Cost of Acquisition, Construction, Installation, Equipping and Furnishing of Educational Facilities and Other Matters Relating Thereto Herein Mayor O'Neill opened the public hearing. Hearing no further testimony, he closed the public hearing. Motion by ayor O'Neill, seconded by Councilmember Blom, 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) adopt Resolution No. 2024-65, A Resolution of the City Council of the City of Newport Beach, California, Approving the Issuance by California Enterprise Development Authority of Not -to -Exceed $55,000,000 Aggregate Principal Amount of the Authority's Revenue Obligations for the Benefit of Sage Hill School for the Purpose of Financing and/or Reimbursing the Cost of Acquisition, Construction, Installation, Equipping and Furnishing of Educational Facilities and Other Matters Relating Thereto Herein Specified. The motion carried unanimously. Volume 66 - Page 160 City of Newport Beach August 27, 2024 XIX. CURRENT BUSINESS 24. Homeless Outreach Services Biannual Update (C-8778-2) Police Chief Cartwright, Deputy Police Chief Aguilar, and City Attorney Harp utilized a presentation to review homeless data, proposed changes, service review, proposed staffing enhancements, and reviewed the Be Well OC agreement. City Manager Leung noted the progress that has occurred over time on this matter, the reduced Point -in -Time count, and a continued prioritization for further improvement. Police Chief Cartwright stated that the Quality -of -Life Team will consist of four officers who will only focus on this matter. Ruth Kobayashi expressed concern for disorder and compromised safety, proposed a more assertive strategy, shift in resources,increased enforcement, and an increased focus on street exits. She urged Council to replace the Be Well contract and consider the impact of the Orange County Transportation Authority (OCTA) Transportation Center in the long-term public safety strategy. Mario Marovic relayed his daily experience with homeless individuals around his businesses, police department calls, and believed there has been an exponential increase in homelessness in the last 30 days. John Palmer, a local business owner, urged Council to address the matter expeditiously. He noted personal encounters with homeless individuals and weapons. John Scholtz voiced his support for the Supreme Court's ruling to give cities the authority to enforce no camping ordinances and suggested partnering with other cities, counties, and nongovernmental organizations to build a regional center. Pamela Murray read an email from a frequent guest regarding her experiences with the homeless population. She noted many similar encounters this year including drug use and that the only thing that has helped is the police presence. Pamela Peterson relayed phone calls she has made to the police, noted uncomfortable experiences with homeless individuals in Veterans Park over the last couple of days, and expressed her personal frustration. Jim Mosher inquired about the ratio of Be Well calls helping the general Newport Beach population to the homeless population and asked if the ordinance allows people to sleep on the grass during the day and move at night or if it is prohibited by another law. An unidentified speaker stated he knows firsthand the daily and nightly problems with the public restroom next to Marina Park, supported all the previous speakers, and asked the City to continue addressing the matter. Adam Leverenz stated he has witnessed a lot of what other speakers have shared, was assaulted in Costa Mesa by a homeless individual, noted the current enforcement policy and believed that more laws probably will not have the desired effect, and encouraged Council to keep thinking about more solutions. Jennifer Hoff encouraged Council to take a zero -tolerance approach for any vagrancies, dig into the core values of programs, get involved with family groups who are advocates, and consider a triage system. Mayor O'Neill asked Ms. Hoff to reach out to the Homeless Subcommittee to share her comments. Volume 66 - Page 161 City of Newport Beach August 27, 2024 Tom Porter concurred with the previous speakers and asked Council to come up with solutions to deal with this problem and do everything possible. Jamie Woodworth shared his experiences with the homeless population, calls to the police, problems at 15th Street, and security camera surveillance at his home. He expressed concern for an increase in the homeless population with nearby cities clearing out homeless individuals and looked to Council for solutions. Kate Marovic shared an experience with a homeless individual she witnessed in Corona del Mar and expressed concern for her safety while being out with her friends and without an adult. Councilmember Kleiman expressed her appreciation for reducing the Point -in -Time count, acknowledged City staff for their support, noted the impacts on the City due to the growing homeless population, relayed that the proposed ordinance restores local authority, supported the municipal code changes, summarized the homeless population data, relayed the amendments to the Be Well scope and contract terms in anticipation of a change in the legal landscape, outlined mental health tax -funded resources, and stated that she does not support extending the contract with Be Well. Mayor Pro Tem Stapleton thanked the community for their attendance and comments, acknowledged the homelessness issues, thought this is a step in the right direction, thanked everyone involved and their efforts, and supported the creation of the Quality -of -Life team, partnering in a mental health solution, and this new model. He announced that this matter is a top priority for the City and the community's voice has been heard. Councilmember Grant thanked staff for the six-month report and the work being done to address homelessness, expressed disappointment in the county -wide homelessness statistics, noted that there is not effective leadership for a regional solution, and emphasized the need for an immediate solution. She supported the police department's efforts, pointed out that the City is being proactive, noted that some individuals choose to remain on the streets, believed the City needs a paradigm shift, and noted the continuation of the Bridge Shelter and that all of the City's resources must work to achieve the established Council policy. She supported the police department and an alternative policing regimen, allocating resources for the new team, focusing on quality of life and street exits, and beginning in-house prosecution. She did not view Be Well as an effective partner and recommended reallocating the funds to police department resources. Councilmember Avery noted this issue is his number one disappointment, the importance of public input, and the City needs to redouble its efforts and quickly. Councilmember Blom thanked Councilmember Kleiman for her energy and dedication on the matter; and expressed support for all of the police department's efforts to keep Newport safe, happy, and clean. Mayor O'Neill noted models that do not work, the negative effects on homelessness and crime being a neighboring community to the County of Los Angeles, and settlement agreements signed by other cities that limited responsiveness. He stated that Newport Beach joined briefs for Supreme Court review, was one of the only cities to ask the Supreme Court to review the original Boise case, and joined the amicus brief out of Grants Pass. He emphasized the importance of maintaining local control and that tonight's decision is a good step in doing better. Motion by Councilmember Kleiman, seconded by Mayor O'Neill, 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; b) receive and file the biannual homeless outreach services update and data reports for the period from January 1, 2024 through June 30, 2024; and c) waive full reading, direct the City Clerk to read by title only, introduce Ordinance No. 2024-19, An Ordinance of the City Council of the City of Newport Beach, California, Amending Chapter 10.08 (Interference with Public Access), Chapter 10.14 (Prohibition Against Camping in Public Places), and Section 11.04.070 (Prohibited Conduct) of Chapter 11.04 (Parks, Park Facilities, and Beaches) of the Newport Beach Municipal Code, and pass to second reading on September 10, 2024. Volume 66 - Page 162 City of Newport Beach August 27, 2024 The motion carried unanimously. 25. Appointment of a Parks, Beaches and Recreation Commissioner to Fill an Unscheduled Vacancy City Clerk Brown read the votes as follows: Travis Pirdy - Weigand Sara Weber - Avery, Blom, Grant, Kleiman, O'Neill, Stapleton City Clerk Brown announced that Sara Weber was appointed to a term that expires on June 30, 2025. XX. MOTION FOR RECONSIDERATION - None XXI. ADJOURNMENT - Adjourned at 8:01 p.m. in memory of Steve Bromberg and Stan Bressler 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 August 22, 2024, at 4:00 p.m. Leilani I. Brown City Clerk Will O'Neill Mayor Volume 66 - Page 163