HomeMy WebLinkAbout01/24/2012 - Regular MeetingCity Council Minutes
City Council Regular Meeting
January 24, 2012 -- 7:00 p.m.
STUDY SESSION - 4:00 p.m.
II. CLOSED SESSION - 5:50 p.m.
A. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Government
Code
§ 54956.9(a)): One matter:
1. City of Newport Beach v Dennis Lee Holland, et. al.
Orange County Superior Court Case No. 30-201100486864
B. CONFERENCE WITH LABOR NEGOTIATORS (Government Code § 54957.6)
Agency Designated Representatives: Dave Kiff, City Manager; Dana Smith, Assistant City
Manager; Terri Cassidy, Human Resources Director; and Richard Kreisler, Special Counsel and
Negotiator
Employee Organizations: All Labor Associations: Association of Newport Beach Ocean
Lifeguards (ANBOL); Lifeguard Management Association (LMA); Newport Beach Fire
Management Association (NBFMA); Newport Beach Firefighters' Association (NBFA); Police
Management Association (PMA); Police Employees' Association (PEA); City Employees
Association (NBCEA); Newport Beach Professional & Technical Employees Association
(NBPTEA); Newport Beach Employees League (NBEL); and Newport Beach Part -Time Unit
(UPEC, Local 777)
C. PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Government Code § 54957)
Title: City Clerk
III. RECESS
IV. RECONVENED AT 7:00 P.M. FOR REGULAR MEETING
V. ROLL CALL
Present: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
VI. CLOSED SESSION REPORT
City Attorney Harp announced that there are no reportable actions.
VII. PLEDGE OF ALLEGIANCE - Council Member Henn
VIII. INVOCATION - Mr. Frank Carpenter
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IX. PRESENTATION
Newport Beach Restaurant Association - Peggy Fort reported that a new Board has been selected
to the Newport Beach Restaurant Association. She stated that they are working on the 2012 Newport
Beach Dining Guide and focusing on internet marketing and social media campaigns. Further, the
association is looking to partner with American Express to create a search engine optimization
campaign and develop a workshop in conjunction with the Chamber of Commerce. She reported that
the Sixth Annual Newport Beach Restaurant Week is currently taking place and invited the community
to participate and dine in Newport Beach.
X. NOTICE TO THE PUBLIC
XI. CITY COUNCIL ANNOUNCEMENTS OR MATTERS WHICH COUNCIL MEMBERS WOULD
LIKE PLACED ON A FUTURE AGENDA FOR DISCUSSION ACTION OR REPORT (NON
DISCUSSION ITEM)
Mayor Gardner noted a full agenda this evening and reminded the audience that, pursuant to City
Council policy, no new item is generally introduced after 11:00 p.m.
Mayor Pro Tem Curry reported that on February 3, 2012, Speak Up Newport will host the Annual
Mayor's Dinner at the Newport Beach Marriott Hotel and encouraged the public to attend.
Council Member Daigle commented on issues regarding the City's position on the 19th Street Bridge.
She noted that members of the public have contacted her regarding whether the City will look at the
issue and either affirm or modify its current position. She requested that the item be placed on a future
agenda in the spirit of diplomacy. .In addition, she reported that there have been numerous power
outages in the City in the last two years and asked City staff to meet with Southern California Edison
(SCE) to obtain information regarding the outages. Council Member Henn reported that outages occur
at least every other month on the Peninsula.
XI. CONSENT CALENDAR
A. READING OF MINUTES /ORDINANCES AND RESOLUTIONS
1. MINUTES OF THE REGULAR MEETING OF JANUARY 10, 2012. [100 -2012]
Waive reading of subject minutes, approve as amended, and order filed.
2. READING OF ORDINANCES AND RESOLUTIONS. Waive reading in full of all
ordinances and resolutions under consideration, and direct the City Clerk to read by
title only.
C. ORDINANCE FOR INTRODUCTION
4. ORDINANCE 2012 -1: ADOPTION OF CAL FIRE VERY HIGH FIRE HAZARD
SEVERITY ZONE MAP. [100 -2012] Continue to the February 14, 2012 City Council
meeting.
Mayor Pro Tem Curry recused himself from this item.
D. CONTRACTS AND AGREEMENTS
5. CENTRAL BALBOA PAVEMENT REHABILITATION - PHASE 1 -
COMPLETION AND ACCEPTANCE OF CONTRACT NO. 4453.138/100-20121 a)
Accept the completed work and authorize the City Clerk to file of Notice of Completion;
b) authorize the City Clerk to release the Labor and Materials bond 35 days after the
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Notice of Completion has been recorded in acceptance with applicable portions of the
code; and c) release the Faithful Performance Bond one -year after Council acceptance.
E. MISCELLANEOUS
8. PLANNING COMMISSION AGENDA FOR JANUARY 19, 2012. [100 -2012]
Receive and file written report.
10. ACCEPT POINT OF DISPENSING (POD) GRANT FUNDS. [100 -2012] a) Accept
the Point of Dispensing grant of $29,368.90; and b) approve Budget Amendment No.
12BA -023, allocated from unappropriated fund balance the amount of $29,368.90,
which was received in fiscal year 2010 -11 and appropriating those funds into the Fire
Department 2355 -8213 account.
11. AUTHORITY TO PROVIDE ECONOMIC DATA FOR NEIGHBORHOOD
REVITALIZATION EFFORTS. [100 -2012] a) Adopt Resolution No. 2012 -6
authorizing the City Manager to enter into a contract; and b) adopt Resolution No.
2012 -7 authorizing Keyser Marston Associate access to confidential taxpayer records.
Motion by Council Member Curry, seconded by Council Member Rosanskv to approve the
Consent Calendar, except for the items removed (3, 6, 7, 9 and 12); and noting the continuance of Item 4
and the recusal by Mayor Pro Tem Curry on Item 4.
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Mayor Gardner, Council
Member Selich, Council Member Henn, Council Member Daigle
XII. ITEMS REMOVED FROM THE CONSENT CALENDAR
3. REVISED CITY COUNCIL POLICY E -1 - PUBLIC RECORDS ACT POLICY. [100 -2012]
Jim Mosher noted that the City Attorney and City Clerk have already provided training
regarding the issue and expressed disappointment that the public did not discuss the issue. He
believed that staff should not be allowed to make policy. He referenced a Public Records Act
(PRA) request he had regarding airport issues and the response by the City Attorney's Office
regarding keeping the confidentiality agreements confidential. He suggested providing
requesters with a list of items and the reasons why they cannot be released as public records.
He also recommended placing a list of public records requests that have been responded to on
the City's website, and suggested developing a mechanism for appeals.
Motion by Mayor Pro Tern Curry to adopt Resolution No. 2012 -5 adopting the revised City
Council Policy E -1 - Public Records Act Policy.
Robert Hawkins believed that most of the changes made to the PRA policy were caused by a
change in the City Attorney's Office and objected to allowing the City Clerk, with the
confirmation of the City Attorney's Office, to amend the policy (Section N). City Attorney Harp
offered to remove the language.
Substitute motion by Council Member Rosanskv seconded by Mayor Pro Tern Curry
to adopt Resolution No. 2012 -5 adopting the revised City Council Policy E -1 - Public Records
Act Policy, as amended.
The substitute motion carried by the following roll call vote
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Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
6. MEMORANDUM OF UNDERSTANDING TO ACCOMMODATE THE IRVINE
COMPANY UNDER THE CITY EXCEPTION PROCESS TO THE CALIFORNIA OCEAN
PLAN FOR DISCHARGES TO AREAS OF SPECIAL BIOLOGICAL SIGNIFICANCE
(ASBS) (C- 5046). [381100 -2012]
Mayor Gardner asked about the benefits of approving this item, especially in light of its cost.
City Manager Kiff explained that the City has always understood its responsibility regarding
ASBS and explained that there is no choice in the matter. Further, the proposal to share costs
is the most effective way to comply with the State Water Board's regulations.
Deputy Public Works Director Webb explained that the City has agreed to pay the $10,000
since it is already monitoring various drains. He clarified that the agreement can be cancelled
at any time if The Irvine Company changes the terms or decides they will not do what the City
is asking of them.
Dan Miller, The Irvine Company, explained that the City and homeowner associations
benefited when they built and paid for the diversion program. He also referenced maintenance
costs of $90,000 which they pay. He believed that all interested parties should be in the same
program in dealing with the State.
Motion by Council Member Daigle seconded by Council Member Henn to approve and
execute the Memorandum of Understanding (MOU) with The Irvine Company (TIC) to include
TIC under an exception to the California Ocean Plan for selected discharges into ASBS
expected to be granted to the City by the State Board.
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
7. SELECTION OF A VENDOR TO EVALUATE CITY REFUSE SERVICES (C- 5047).
[381100 -2012]
In response to Council Member Daigle's questions, City Manager Kiff affirmed that the
consultant will conduct a complete analysis of services and costs, as well as an analysis of
benefits to the City for modifying its current recycling program.
Motion by Council Member Henn, seconded by Mayor Pro Tem Curry to authorize a
professional services agreement with HF &H Consultants, LLC, of Irvine to complete an
analysis of the services performed by the City Refuse Division and to perform the requested
tasks at a cost of $99,500.
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
9. UNSCHEDULED VACANCIES ON THE HARBOR COMMISSION AND PLANNING
COMMISSION. [100 -2012]
Jim Mosher took issue with the posting of the vacancy notice. He suggested having Council
give the City Clerk direction relative to whether the Planning Commission appointment is for
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four - months or four - years. He noted that the ad hoc appointments committee does not meet
publicly so tonight is the main opportunity for the public to speak before Council conducts
appointments on February 28. He believed that the Planning Commission is lacking in a few
areas and that consideration should be given to correcting those imbalances.
Motion by Council Member Hill seconded by Council Member Henn to a) confirm
Mayor Gardner's appointment of Mayor Nancy Gardner, Council Member Ed Selich, and
Council Member Rush Hill to serve on the Ad -Hoc Appointments Committee; and b) direct the
City Clerk to post and publish a Special Vacancy Notice requesting that applications for either
commission be submitted by 4:00 p.m. on Wednesday, February 8; 2012, and schedule the
submission of nominations to the City Council on February 28, 2012 with the final appointment
to be made on March 13, 2012.
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tern Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
12. CORONA DEL MAR (CDM) COASTLINE CAR CLASSIC: WAIVER OF PARKING FEES
@ CDM PARKING LOT. [100 -20121
Council Member Rosansky stated that he supports the Coastline Car Classic, but asked why
the event has never gone through the special events process. City Manager Kiff reported that
there has been discussion as to whether or not using parking spaces should go before the
special events process. He indicated that this can occur for 2012 but this specific item applies
to the 2011 period.
In response to Council Member Rosansky's questions, City Manager KifF reported that the
Corona del Mar Coastline Car Classic will be charged approximately $800. Council Member
Rosansky requested changing the method of determining fees in the future and stated that, in
the future, they should follow the same process as for other special events.
Motion by Council Member Rosansky, seconded by Mayor Pro Tern Curry to approve
the waiver of approximately $7,500, as the event is held in September, after our peak summer
season.
Jim Mosher expressed opposition to the City contributing to events such as this and referenced
policies disallowing such events. He believed that this would be an inappropriate use of tax
dollars.
Bernie Svalstad, Corona del Mar Chamber of Commerce, noted the City is not losing money on
the car show and listed examples of previous City revenues that are connected with the event.
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
XIII. PUBLIC COMMENTS
Jim Mosher expressed concern about how the Newport Beach Restaurant Week is being financed.
Gordy Grundy, President of the Newport Beach Historical Society, spoke in support of hang - gliding and
announced that Newport Beach was the birthplace of hang - gliding.
Frank Colver referenced a copy of National Geographic which memorialized the first hang - gliding event
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and displayed pictures of the event. He requested that the City place a plaque at San Miguel Park to
memorialize the event. City Manager Kiff stated that the item can be referred to the Parks, Beaches,
and Recreation Commission for appropriate action.
Peggy Fort, Newport Beach Restaurant Association, clarified that the association funds a portion of
Restaurant Week through assessments and listed other sources of funds.
Jim Walker, Newport Beach Restaurant Association, reported that Restaurant Week has taken place
for the past six years and has grown each year. He noted that the restaurant industry in Newport
Beach ranks first or second in City tax revenues. He added that the increase in sales taxes obtained
during Restaurant Week will offset the taxes or donations supplied by the City. He stated that all
restaurants are invited to participate in the event, but not all choose to do so.
Bob Kuczewski, former Regional Director of the U.S. Hang- Gliding and Para - Gliding Association and
President of the U.S. Hawks Hang - Gliding Association, spoke in support of Mr. Grundy and Mr.
Colver's request.
XIV. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES
Council Member Henn reported that the Neighborhood Revitalization Committee met on January 12
and received an update about the Balboa Village Citizens' Advisory Panel (CAP). He further discussed
the Corona del Mar Design Review CAP, including details of the proposed changes to the intersection at
MacArthur Boulevard and Coast Highway. Additionally, he reported that the Balboa Village CAP met
on January 17 and reviewed Code Enforcement policy and activity in the Balboa Village. He referenced
a presentation by one of the panel members who recently visited Leavenworth, Washington, which has
undergone a renaissance and conversion into a Bavarian Village atmosphere and it was felt to be a good
example for changing the vision at Balboa Village. He reported that the next meeting of the Balboa
Village CAP will be held on February 21 at 4:00 p.m. at the ExplorOcean Nautical Museum where there
will be an item dealing with the governance of parking in the Village and economic development review
for the area. Council Member Henn also reported that the Tidelands Committee met on January 18
where an update was presented on the Lower Bay dredging project. He indicated that the committee
started discussing the 10 -year Harbor Master Plan.
XV. PUBLIC HEARINGS
13. APPEAL - LOT MERGER NO. LM2011 -002 - 2808 AND 2812 OCEAN BOULEVARD
(PA2011 -141). (100 -20121
Coralee Newman, Government Solutions, Inc. and representative for the applicant, addressed
redesigns and requested that the appeal be continued and sent back to the Planning
Commission so that design restrictions could be placed on the project and then considered by
Council.
City Attorney Harp inquired whether the client would be willing to waive the time limit under
Title 19, as well as the Subdivision Map Act. Ms. Newman confirmed.
City Manager Kiff noted that there will be an opportunity to make public comments at the
Planning Commission level.
Community Development Director Brandt reported that staff is not prepared to announce
which Planning Commission meeting date this item will be reconsidered, but the item would be
noticed at the Planning Commission level as a public meeting.
Mayor Gardner opened the public hearing.
Robert Hawkins stated the issue is the merger of two lots and asked whether design conditions
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can be placed on the subdivision map that will alleviate the view problem
City Attorney Harp reported that if the applicant wants to voluntarily put deed restrictions on
their property that would limit the size and mass, then that would be acceptable and will be
what the Planning Commission would be considering.
Discussion ensued relative to the Planning Commission's broad consideration of the item.
Jim Mosher believed that the item needs clarification and suggested continuing the item for
proper consideration of what is being requested.
Jeff DuFine wondered what deed restriction could be placed on a house that would change the
lot size. He believed that this is not about the house but rather the lot merger.
Melinda Luthin, representing many of the residents of Block 34, noted that the item must not
be detrimental to residents and must be consistent with the legislative intent of Title 19, the
General Plan, and the Local Coastal Plan. She stated that the lots should be consistent with
the surrounding areas and not create an excessively large lot.
Clifford Jones spoke in opposition to the lot merger and expressed concerns with the delays in
the process.
Dan Purcell reported that both properties have started to deteriorate and wanted assurances
that the property owner will continue to maintain the properties.
Hearing no further testimony, Mayor Gardner closed the public hearing.
Council Member Henn requested that the item be expedited as much as possible.
Motion by Council Member Henn seconded by Mayor Pro Tern Curry to continue this
item for the purpose of referring the matter to the Planning Commission and requesting that
the Planning Commission provide a recommendation to the City Council on the approval or
denial of the merger application based on the proposed design restrictions.
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tern Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
14. NEWPORT BEACH COUNTRY CLUB (PA2005 -140) - GOLF REALTY FUND - 1600 AND
1602 EAST COAST HIGHWAY - PROPOSAL FOR REDEVELOPMENT OF THE
EXISTING PRIVATE GOLF COURSE CLUBHOUSE AND TENNIS CLUB (C- 5068).
[100 -20121
Community Development Director Brandt provided general comments for Public Hearing Items
14 and 15 related to the Newport Beach Country Club (NBCC). She addressed its location,
boundaries, and specific areas to be considered, including the golf course and tennis club. She
noted that the NBCC is located in a unique statistical area with very specific land use and
vehicle trip allocations to its various sub - areas. Additionally, she stated that there are specific
policies that allow transfers of development allocations between the sub - areas. She addressed
General Plan considerations, displayed the General Plan Land Use Map, project site, the
overlap between the two applications; and provided project summary comparisons, entitlements
needed, and the actions required of Council. She discussed the need for approval of a Mitigated
Negative Declaration (MND) for both applications, approval of a General Plan Amendment for
the Newport Beach Country Club Inc. proposal, adoption of a Planned Development
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Community Plan for both applications, and the site development plan components
Community Development Director Brandt emphasized that Items 14 and 15 are two separate
applications that, although related, are independent of one another. She reported that staff
believes that both applications cannot be approved as submitted because of the overlap to the
133 -acre golf club component. She added that the Planning Commission recommended that
Council adopt a series of actions that include environmental clearance and appropriate
legislative standards to set the framework to consider the site development plans for both
applications. She noted that the Planning Commission also recommended adoption of the site
development plan for the tennis club component since there was only one proposal.
Additionally, she reported that the Planning Commission reviewed both site development plans
for the golf club component and recommended only one of the plans.
Principal Planner Campbell provided a PowerPoint presentation to address the necessary
approvals, allowed uses, and details of the applicant's requests. He addressed the Golf Realty
Fund site plan, new parking lot area, new clubhouse, tennis club site, the five single- family
residential units (villas), tennis courts, the new stadium court, hotel units (bungalows), and
compliance with the California Environmental Quality Act (CEQA). He stated that there were
no significant impacts, but included mitigating measures.
Mayor Gardner expressed disappointment with the errors in the MNDs, and with the
recreational and traffic impacts. Principal Planner Campbell reported that the analysis is
based on the number of tennis courts, addressed the formulas used by traffic engineers and
schedules for playing tennis. He further addressed the development transfer request,
recommendations of the Planning Commission, and details of the development agreement. He
reported that there are changes to the development agreement regarding the public benefit
fees.
Discussion ensued regarding whether the clubhouse design has the consent of the Country Club
members; and the peak traffic activity and analysis, and current underutilization of the
facility.
Regarding property ownership, City Attorney Harp noted that not all owners need to sign the
development agreements; however, he recommended continuing the item to have all entities
sign it before the item returns to Council.
Principal Planner Campbell discussed the recommendations and referenced two exhibits that
should be attached to the Planned Community Development Plan.
Mayor Gardner invited the applicant to address the City Council.
Robert OHill, applicant, utilized a PowerPoint presentation to provide a brief history,
background of the property, and the Master Plan. He also displayed the proposed bungalows
and discussed the community outreach, rezoning of the property, previous General Plan
Amendments, evolution of the plan, frontage roads, and termination of the easement. He
discussed the number of parking stalls, landscape buffers, the parking lot design, hazards
related to the frontage road, improvements along Coast Highway, and Coastal. Commission
concerns relative to preserving views. He addressed the existing tennis court fencing, visitor
serving uses, stadium tennis court, clubhouse and meeting center. He displayed the bungalow
amenities, architectural style, site plan, and bungalow floor plans. He expressed the opinion
that this is a planned community and believed that both sites had balanced grading. He
addressed cart - storage areas, aesthetic enhancements,. banquet facilities, senior classic
tournament staging, plan comparisons, elevations, and grading. He reported that some of the
co- owners have different plans but pointed out that he is the managing owner.
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Mr. OHM affirmed that he has read and agrees with all Conditions of Approval.
Motion by Council Member Rosanskv seconded by Mayor Pro Tern Curry to table Item
14 in order to hear and discuss Item 15.
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
City Attorney Harp reported that he received a legal memorandum from Latham and Watkins
regarding the conversion analysis and noted that copies were made available for public review.
15. NEWPORT BEACH COUNTRY CLUB (PA2008-152) - NEWPORT BEACH COUNTRY
CLUB, INC. - 1600 EAST COAST HIGHWAY - PROPOSAL TO REDEVELOP AND
EXPAND THE EXISTING EXISTING GOLF CLUBHOUSE TO 56,000 SQUARE FEET,
ASSOCIATED PARKING LOT, AND RECONSTRUCT THE ENTRY DRIVE AT EAST
COAST HIGHWAY (C- 5045). [100 -2012]
Principal Planner Campbell provided a PowerPoint presentation to discuss legislative actions
and the application. He reviewed the site plan, parking lot, access, new greens keeper facility,
secondary access for the project site, existence of an access easement, recommendations for
approval of the site development plan by the Planning Commission, changes agreed to by the
applicant, compliance with the California Environmental Quality Act (CEQA), areas of focus,
and mitigation of possible impacts.
Mayor Gardner expressed concern with the underground cart storage building as it relates to
water quality, excessive parking, a larger banquet facility, the need for additional meeting
space, and the possibility of increased public events. She believed that the bigger banquet
facility will have a bigger impact than what is suggested in the report. Principal Planner
Campbell noted that it will not have a significant impact on the environment and the City is
trying to avoid regulating the types of events occurring in the new banquet facility. He
addressed the basis for determining trip generation rates. He discussed the development
agreement and public benefit fees related to the clubhouse, and reported on the amendment
recommended for the public benefit fees.
Mayor Gardner invited the applicant to address the City Council.
David Wooten, CEO of the Newport Beach Country Club Inc. (NBCC), requested approval to
build a new clubhouse for the country club and introduced various interested parties. He
expressed appreciation to staff and requested that Council act upon the recommendation of the
Planning Commission to approve the project.
Shawna Schaffner, CAA Planning, spoke on behalf of NBCC Inc. and presented a brief
background and history of the project, need for modernization of the clubhouse, and the new
fitness facility. She addressed significant changes to the plan, as well as the site plan, features
of the plan, additional landscaping, an entry gate, setbacks, number of parking stalls, entries
into the golf clubhouse, delivery access, service yard, one -way access road, removal of planters,
the business model and the banquet facility with expectation of a slight increase in demand.
She addressed the number of events and tournaments they anticipate, proposed increase in
usage of the banquet facility. She discussed technical components, including the landscaping of
the entire perimeter of the parking lot and along Coast Highway, grading, and the reduction of
heavy truck traffic associated with the import of fill material, building height, traffic and
circulation analyses, and parking lot orientation and elevation. She stated that all conditions
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have been reviewed and accepted.
Motion by Council Member Selich seconded by Mayor Pro Tern Curry to to table Item
15 in order to discuss and consider Item 14.
Mayor Gardner opened the public hearing.
Michelle Freeman, NBCC member, stated that she is a member of Friends for Good Planning,
and expressed concern that the IBC plan (Item 15) is not cohesive or comprehensive for a
Planned Community District. She questioned the need for and opposed the additional 21,000
square foot requested for the Country Club. She requested that Council approve the OHill plan
(Item 14).
Due to the complicated nature of Public Hearing Items 14 and 15, it was the concensus of
Council to allow public comments on both Items 14 and 15.
Tim Paone, counsel for Golf Realty Fund, and Shawna Schaffner, expressed agreement with
combining public comments for Items 14 and 15. City Attorney Harp noted that public
comments will occur on both items but there will be separate actions taken upon the closure of
the public hearings.
Paul Christ expressed support for the IBC plan (Item 15) since it relocates the wedding lawn
which caused a, great deal of noise due to outside music. Regarding the tennis club, he felt that
seven tennis courts will not accommodate the demand and felt it would be a loss to the
community.
Lloyd lkerd opposed removal of the landscaping along Coast Highway. He expressed concerns
with increased traffic connected with the special events and with the use of noisy generators.
He. believed that electricity should be provided for the parking lot so that generators are not
needed and suggested requiring additional parking. He also recommended erecting a
soundwall on Coast Highway. He indicated that the residents of Irvine Terrace do not support
either project. He added that the City should not be involved with resolving differences
between the two applicants and expressed concerns regarding ownership of the properties and
increases in the number of events.
Daniel Brunton, Latham and Watkins and representing Host Hotels and Resorts, expressed
support for the Golf Realty Fund project.
Tom Ferry spoke in support of saving tennis courts in Newport Beach, listed current tennis-
related activities in the City, and reported that playing tennis is on the rise. He opposed the
loss of tennis courts, addressed negative impacts by the loss of these courts, and presented
recommended solutions.
Douglas Carstens, attorney for Friends for Good Planning, expressed support for Item 14. He
stated that the plan should be comprehensive; expressed concern with the large banquet
facility; and believed that this issue should require voter approval and that it would violate the
Coastal Commission requirements. He expressed concern regarding the circulation and felt
that Item 15 should be denied because a larger clubhouse would generate additional traffic.
Chris Rodriguez stated that NBCC is for sale, believed that both plans should be approved, and
indicated that the existing frontage road is dangerous.
Mary Stapleton expressed concerns related to additional traffic, lack of parking, and excess
debris associated with special events. She suggested placing the clubhouse on Santa Barbara.
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Dean Dubany expressed support for Item 15 and agreed that parking is a problem in his
neighborhood in connection with special events.
Kevin Muldoon, representing some of the founding members of NBCC, discussed why he
supports Item 14. He agreed that a larger clubhouse for public use would significantly increase
traffic and noted that the founding members have the right of first refusal.
Bart Thompson expressed support for a new, bigger clubhouse recommended in Item 15.
Michael Stephens spoke in support of Item 15 and reported that there are a number of entities
who would like input as to how the project should be planned. He spoke in support of the
Toshiba Tournament.
Ira Garber, Tournament Chair for the Toshiba Classic, spoke in support of Item 15 and stated
that the NBCC Inc. continues to be a good partner.
Gary Jones, Vice President of Marketing for Armstrong Garden Centers, requested that
Council approve the Planning Commission's recommendations and approve Item 15 for safety
reasons and to ensure the continued success of the garden center. He believed that the
elimination of the frontage road would cause significant safety issues for their customers.
Ian Hydoski, Vice President of Operations for Armstrong Garden Centers, addressed safety
issues related to the elimination of the frontage road.
Ken Stewart, owner and operator of Palisades Tennis Club, provided insight regarding the
industry, indicated that he has no financial interest in the projects, and spoke to the growth of
the sport. He addressed impacts of losing tennis courts and indicated scheduling is a function
of management. He believed that there will never be more than 28 people entering /exiting the
seven tennis courts, indicated that there will be no negative impacts on traffic, and addressed
the capacity for the stadium court.
Mike Recupero, representing half of the ownership of the tennis club and golf course properties,
stated that the applications were filed without the consent of his clients and referenced an
email which provides the ownership structure for both properties. He listed actions taken by
the Planning Commission and discussed clients' request to stop until the development
agreement issues can be worked out among the owners. He believed that approval of the Golf
Realty Fund plan would be a mistake and that the item should be continued until after the
arbitration of the matter, which is set for April 2, 2012, or that it be continued until the owners
can return to the City with a development agreement that is acceptable to all owners. He
asked that if Council approves the Golf Realty Fund plan, that the development agreement
require all owner signatures. He referenced an earlier statement indicating that his clients
were applying for twenty residential units on the tennis club property, but indicated that there
is no such application. Regarding Item 15, he presented a graphic of the way the frontage road
and entry are going to look. He indicated that his clients are supportive of the plan under item
15. He also reported that Mr. OHill is not the general partner with authorization to enter into
the agreement.
In response to Council Member Henn's inquiry, Mr. Recupero reported that his clients have not
been shown specifics of the Item 14 plan and, therefore, the owners of the property are opposed
to the project.
Discussion ensued regarding the timing for the final decision on the arbitration and the
number of days scheduled for arbitration.
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In response to Council Member Selich's inquiry regarding abandonment of the access easement,
Mr. Recupero stated that the easement still exists. He noted that the City should not be
involved in trying to interpret which issues and titles are appropriate or not. He believed that
good planning demands the existence of the frontage road.
City Attorney Harp explained that State law requires that someone with an interest in the
property execute a development agreement; however, it does not require all owners to execute
it. He believed that it makes sense to have all the ownership parties execute a development
agreement and then Council can proceed if it so chooses. He indicated that a continuance may
be warranted. He reported that, if arbitration finds that Mr. OHill did not have authority to
enter into the development agreement, the item will become void. He noted that the key
document is the development agreement.
Discussion ensued regarding the Planned Community Text. City Attorney Harp noted that as
it exists, the Planned Community Text could be approved for both proposals.
In response to Council Member Daigle's questions regarding the City's liability if arbitration
finds that Mr. OHill did not have the right to enter into the development agreement, Assistant
City Attorney Mulvihill reported that the application was processed under the previous code
where there was no requirement for all of the owners' signatures. She noted that in most
instances, development agreements call for certain improvements and run with the land. In
this instance, the development agreements do not require any obligation from the owners or the
people that sign the development agreement, but simply gives them an opportunity to entitle
and vest those rights. She addressed potential conflicts and stated that they are all in charge
as to how they want to pursue the actual entitlements being considered. She noted that
language has been included in the development agreement that whoever signs the agreement,
has the authorization to do so and that they believe they do so. City Attorney Harp added that
nothing prevents Council from also approving Item 15.
Tim Paone suggested that Council create flexibility and stated that they would like to see only
the proposal under Item 14 adopted. However, if Council decides to adopt the proposal under
Item 15, requested that Council also approve the proposal under Item 14. He reported that Mr.
OHill is the managing co -owner and is in charge. He addressed how the outcome of the
arbitration effects the development agreements and reiterated that if it is found that Mr. OHill
is determined to have no authority, the development agreement would be void.
Council Member Selich requested information regarding the legality of approving two plans for
the same property at the same time. City Attorney Harp stated that the Planning Commission
recommendations would be acceptable and addressed the process involved. If Council were to
approve two different site plans, there would be a conflict between the two development
agreements.
Community Development Director Brandt reported that when alternative site plans are being
considered from a land use perspective, it is normally done at a specific plan level and
sometimes at a General Plan level. She indicated that there will be a subsequent review
process that will establish the approved development plan that sets forth the standard for going
forward and preparing construction drawings. The site development plan is the last
discretionary approval that an applicant needs to secure from the City prior to obtaining
building permits. She added that if there are two approved development plans, both are able to
enter into the process of engineering their constructions plans and asking to be reviewed for
plan check; however, making a distinction would be difficult if there are two approved
development plans. She added that there are methods that could be used to provide more
certainty to Golf Realty Fund through the Planned Community Text where specific language
could be added to the zoning text to specify the types of modifications to the site plan that could
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occur at the administrative level. She noted that if Council is interested in that, staff could
provide suggested language.
Tim Paone stated that their intent is to allow someone to come in and have a choice without
eliminating the possibility of developing a smaller club. He reported that they would be willing
to have language in the development agreement that indicates that the property is not their
property because that right goes with the tenant. He pointed out that the tenant will have a
long term lease, but it is uncertain about who the tenant will be and what they want.
City Attorney Harp indicated that Mr. Panne's proposal is not necessary and that the language
change to the Planned Community Text that Community Development Director Brandt
discussed would resolve the issue.
Council Member Henn stated that he agrees with going forward to giving discretionary
approval based upon something that is substantially similar, in the event that primary
approval does not go forward. He disagreed with giving vested rights to two applicants for the
same property.
Robert OHill explained his rights under the ownership agreement and reiterated that he is the
managing owner. He indicated that he supports approving both plans. He hoped that the
future owner will not engage in litigation with landlords and can hopefully get a plan that will
make sense for everyone.
Shawna Schaffner stated that they are anxious to redevelop the NBCC site and urged approval
of the Planned Community text as recommended by staff as it exists today.
Hearing no further testimony, Mayor Gardner closed the public hearings.
Council Member Selich addressed mediation between the two parties involved, but encouraged
both parties to reach an agreement.
Council Members Daigle and Hill indicated support of the Planning Commission's
recommendations.
Mayor Pro Tem Curry commented on the need for a new clubhouse. He agreed with the
recommendations of the Planning Commission and believed that Council should not have been
placed in this position.
Discussion followed regarding the importance of the frontage road, including continuing to
provide an access road across the property frontage of the Armstrong Garden Center and
improved public safety.
Council Member Hill indicated that he would not be in favor of the current amended language
Community Development Director Brandt reviewed the recommended changes to the Planned
Community Text for Item 14, noting that it would provide more specificity as to what types of
amendments could be approved at the administrative level. She reported that the
recommended text changes are: (a) the administrative level review could include a minor
relocation of any proposed structure; (b) deletion of the frontage road that is proposed to
provide egress from the parking area of 1500 East Coast Highway to the signal lights
intersection of Irvine Terrace and East Coast Highway provided that a minimum landscape
setback of eighteen feet is provided; (c) reduction in the square footage of any structure and a
commensurate reduction in the required parking, if applicable; (d) reconfiguration of the golf
course parking lot including drive aisles and /or parking spaces subject to review of the City
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Traffic Engineer; (e) reconfiguration of parking lot landscaping; (f) modification of the approved
architectural style; (g) any other minor change to the site plan provided it does not include in
increase in structure area, height, number of units, number of hotels and /or change of use; and
(h) any proposed changes that are not deemed minor shall be subject to review and approval by
the Planning Commission.
Mayor Gardner re- opened the public hearing to allow the applicants to comment on
the amendment.
Shawna Schaffner indicated that they accept the language, but requested that the deletion of
the frontage road be removed.
Tim Panne noted that the removal of the frontage road would have to go back to the Planning
Commission since it would not be a minor change.
Hearing no further testimony from the applicants, Mayor Gardner closed the public
hearings.
It was the consensus of Council to approve the language, except for the deletion of the frontage
road (Section 4.8.1.b).
Principal Planner Campbell reported that there are two items that would need to be added to
the motion: (1) inclusion of the two exhibits distributed earlier regarding the Planning
Community Text and (2) the additional language read into the record for the development
agreement.
Motion by Council Member Selich, seconded by Council Member Daigle to (Item 14) a)
adopt Resolution No. 2012 -9, approving Mitigated Negative Declaration No. ND2010 -008; b)
introduce Ordinance No. 2012 -2, approving Planned Community Development Plan No.
PC2005 -002 as recommended by Planning commission for the entire 140 -acre project site, and
pass to second reading for adoption on February 14, 2012, and adding the two exhibits to the
Planned Community Development Plan; c) adopt Resolution No. 2012 -10, approving a
conversion of 17 tennis courts to 27 hotel rooms, Site Development Review No. SD2011 -002,
Limited Term Permit No. XP2011 -004, and Vesting Tentative Tract Map No. NT2005 -003 for
the improvements to the 7 -acre Tennis Club portion of the project site including the
construction of five (5) single -unit residential dwellings and 27 hotel rooms, reserving for future
consideration the identification of improvements to the 133 -acre Golf Club portion of the project
site, and denying Transfer of Development Rights No. TD2010 -003; and d) introduce amended
Ordinance No. 2012 -3, approving Development Agreement No. DA2008 -001, and adding
additional language pertaining to public benefit fees, and pass to second reading for adoption
on February 14, 2012.
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Council
Member Selich, Council Member Henn, Council Member Daigle
Noes: Mayor Gardner
Motion by Council Member Selich seconded by Council Member Daigle to (Item 15)
a) adopt Resolution No. 2012 -11, approving Mitigated Negative Declaration No. ND2010 -010; b)
adopt Resolution No. 2012 -12, approving General Plan Amendment No. GP2008 -005 to increase
the maximum development limit for the golf clubhouse by 21,000 square feet, from 35,000 to
56,000 gross square feet; c) introduce Ordinance No. 2012 -4, approving Planned Community
Development Plan Amendment No. PC2008 -007. to increase the size of the golf clubhouse from
35,000 to 56,000 gross square feet and pass to second reading for adoption on February 14,
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2012, and adding the two exhibits to the Planned Community Development Plan; d) adopt
Resolution 'No. 2012 -13, approving Site Development Review No. SD2011 -003 and Limited
Term Permit No. XP2011 -005 to allow the construction of golf clubhouse, associated parking
lot, and maintenance facility; and e) introduce amended Ordinance No. 2011 -5 approving
Development Agreement No. DA2010 -005 and adding the language read by Community
Development Director Brandt to the Planned Community Development Plan, but omitting
Section 4.8.1(b) regarding the frontage road and adding additional language pertaining to
public benefit fees, and pass to second reading for adoption on February 14, 2012.
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Council
Member Selich, Council Member Henn, Council Member Daigle
Noes: Mayor Gardner
Council Member Henn referenced issues raised regarding increased noise and traffic at Irvine
Terrace related to special events. He suggested that staff consider those issues in the special
event process in the future. Staff noted those concerns will be addressed in the special events
process.
Mayor Gardner noted that there are still three agenda items to discuss. It was the
consensus of Council to continue Items 16 and 17, but make the appointment to the
Special Events Advisory Committee (Item 18).
XVI. CURRENT BUSINESS
16. CONSIDERATION TO FURTHER PURSUE STREET RELINQUISHMENT OF
PORTIONS OF NEWPORT BOULEVARD AND /OR WEST COAST HIGHWAY FROM
THE STATE OF CALIFORNIA, DEPARTMENT OF TRANSPORTATION. [100 -2012,
Council Members Hill and Rosansky recused themselves and left the dais.
Motion by Council Member Selich seconded by Council Member Daigle to continue the
item to the February 14, 2012 City Council meeting
The motion carried by the following roll call vote:
Ayes: Mayor Pro Tem Curry, Mayor Gardner, Council Member Selich, Council Member Henn,
Council Member Daigle
17. FIRST READING - CONSIDERATION OF AN ORDINANCE AMENDING CHAPTER
11.04 OF THE NEWPORT BEACH MUNICIPAL CODE PERTAINING TO RULES AND
REGULATIONS FOR PARKS, PARK FACILITIES AND BEACHES AND REPEALING
SECTION 11.08.080 PERTAINING TO SMOKING ON CITY BEACHES, MUNICIPAL
PIERS, PUBLIC FLOATS AND PUBLIC WHARVES. [100 -20121
Motion by Council Member Selich seconded by Council Member Daiale to continue the
item to the February 14, 2012 City Council meeting.
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
18. APPOINTMENT TO FILL THE UNSCHEDULED VACANCY ON THE SPECIAL
EVENTS ADVISORY COMMITTEE. [100 -20121
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Motion by Council Member Hill seconded by Mayor Pro Tem Curry to conduct the
appointment pursuant to Council Policy A -2, with the person receiving support from the
majority of the Council chosen as the City's representative on the Special Events Advisory
Committee (SEAC).
The motion carried by the following roll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
Jim Mosher stated that he is unclear about how long the appointments are. City Attorney
Harp reported that the term is for four years.
City Clerk Brown provided the City Council with paper ballots and announced the votes as
follows:
Paul Blank - Hill, Rosansky, Curry, Selich, Henn, Daigle, and Mayor Gardner
XVII. MOTION FOR RECONSIDERATION - None
XVIII. ADJOURNMENT -11:36 p.m.
The agenda for the Regular Meeting was posted on January 19, 2012, at 4:36 p.m. on the City
Hall Bulletin Board located outside of the City of Newport Beach Administration Building.
City Clerk
Lk �--
Recording Secretary
Mayor /
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