HomeMy WebLinkAbout09/25/2012 - Regular MeetingCity Council Minutes
Regular Meeting
September 25, 2012 — 7:00 p.m.
STUDY SESSION - 4:00 p.m.
II. CLOSED SESSION - 4:56 p.m.
A. CONFERENCE WITH REAL PROPERTY NEGOTIATORS (Government Code § 54956.8):
1 matter
Property: 1499 Monrovia Ave., Newport Beach, CA
Agency negotiators: Dave Kiff and Steve Rosansky
Negotiating parties: Kenneth Kaplan
Under negotiation: Instruction to negotiator will concern price and terms of payment
B. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Government Code
§ 54956.9(a)): 1 matter
1. Janice Coia v. City of Newport Beach, Orange County Superior Court Case No. 30-
2012- 00542408
C. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION SIGNIFICANT
EXPOSURE TO LITIGATION (Government Code § 54956.9(b)): 1 matter
There is a significant exposure to litigation with Kenneth Kaplan based on his allegations
of inverse condemnation related to the real property located at 1499 Monrovia Ave.;
Newport Beach, California (Section 54956.9(b)(3)(B)).
D. CONFERENCE WITH LABOR NEGOTIATORS (Government Code § 54957.6)
Heading Agency Designated Representatives: Dave Kiff, City Manager and Terri Cassidy,
Deputy City Manager /Human Resources Director; Negotiators
Employee Organizations: All Labor Associations: Association of Newport Beach Ocean
Lifeguards (ANBOL); Newport Beach City Employees Association (NBCEA); Newport
Beach Employees League (NBEL); Newport Beach Firefighters Association (NBFA);
Newport Beach Fire Management Association (NBFMA); Lifeguard Management
Association (NBLMA); Newport Beach Part Time Unit (OPEC, Local 777); Newport Beach
Police Association (NBPA); Newport Beach Police Management Association (NBPMA);
Newport Beach Professional and Technical Association (NBPTEA)
E. PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Government Code § 54957)
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Title: Aaron C. Harp, City Attorney
III. RECESS
IV. RECONVENED AT 7:00 P.M. FOR REGULAR MEETING
V. ROLL CALL
Present: Council Member Hill, Council Member Rosansky, Mayor Pro Tern Curry, Mayor Gardner,
Council Member Selich, Council Member Henn, Council Member Daigle
VI. CLOSED SESSION REPORT - City Attorney Harp reported that there were no reportable
actions.
VII. PLEDGE OF ALLEGIANCE - Council Member Hill
VIII. INVOCATION -Mr. Frank Carpenter
IX. PRESENTATIONS
Library check from the Newport Beach Public Library Foundation - Library Services Director
Cowell provided a list of items and services that the check from the Foundation will fund and invited
Foundation Director Tracy Keys to address Council. Foundation Director Keys presented a check in
the amount of $220,000.
Coast Colleges' Chancellor, Dr. Andrew Jones, and Public Affairs Director, Dr. Martha
Parham - to speak about their upcoming bond measure on the November 2012 ballot - Dr.
Martha Partham reported that Dr. Jones was unable to attend and introduced Dr. Dennis Harkins
who was present. She noted that she is not asking for endorsements but rather simply wants to
provide information, acknowledged the attendance of Trustee Dave Grant who represents Newport
Beach, addressed increased costs of higher education noting that local students are relying more on
community colleges than they have in the past, presented a brief history of the college, addressed job
training and workforce preparation noting that community colleges trains nearly 80% of first
responders in the state and nationally, noted problems in the economy, and stated that community
colleges can no longer rely on Sacramento to adequately fund local colleges. She reported that the
Coast College Board has approved a Bond Measure for the November ballot and if it passes, it will
provide for upgrades to technology, support for active and returning veterans, and repair and upgrade
of aging classrooms. Dr. Dennis Harkins, President of Coast College, reported that the Measure
supports the college district's strategic plan and will set the college up for the next century. He
expressed his appreciation to Council and the City and hoped for its continued support.
Proclamation to Esther Lofgren for earning a gold medal at the London Olympics - Mayor
Gardner presented a proclamation to Esther Lofgren for earning a gold medal at the 2012
U.S. Olympics in rowing. Ms. Lofgren expressed her appreciation, stated that it was an honor to
represent the Country and the City of Newport Beach, and presented the City with a signed
photograph of the team's boat.
X. NOTICE TO THE PUBLIC
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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 Pro Tem Curry reported on his recent participation in a press conference with Dean O'Malley
who will attempt to set the world cross -water record by crossing from Newport Beach to Avalon using a
jet pack and wished Mr. O'Malley success in his attempt. In addition, he reported representing the City
at the recent California League of Cities Conference in San Diego where he was formally installed as
President of the Orange County Division of League of Cities and reported on various workshops
including pension reform, labor relations, and budgets. He congratulated the Newport Beach Chamber
of Commerce for their success with the recent Taste of Newport.
Council Member Daigle reported that community members and bicycle safety advocates have requested
a memorial ride in the City where she will act as lead for Council on the ride, reported that the ride will
take place on Sunday, October 30, 2012, at 8:00 a.m. stating that the location is to be
determined, indicated that there will be a fundraising component to the ride for bicycle safety
improvements, noted the need to create awareness through signage and markings, commended Mayor
Gardner for forming the Bicycle Safety Committee which has been evaluating various improvements to
be implemented, addressed related items to be considered at the October 9, 2012, City Council meeting
regarding improvements for increased bicycle safety. She announced that she attended the Miocean
annual event and reported that they are in the process of installing boom technology in the City of
Huntington Beach to sweep debris in the flood channel.
Council Member Henn announced that the Balboa Theater Foundation will be sponsoring a Beach Fest
At Peninsula Park on Saturday, October 13, 2012. In addition, he reported that he will be receiving the
Golden Hub of Innovation award on behalf of the City on October 2, 2012, and expressed appreciation to
the Police Department, Parks and Recreation staff, and residents for their progress in increasing public
safety related to the Fourth of July event on the Peninsula.
Mayor Gardner announced that the West Newport Beach Association City Council Candidate's Forum
scheduled for September 26, 2012, has been cancelled; however their regular meeting will still be
conducted at 6:30 p.m. She addressed bicycle safety improvements that will be implemented almost
immediately, reported that staff is expediting the Council - approved sharrows program, noted that there
will be a series of columns in the Daily Pilot on bicycle safety, indicated that the Recreation and Senior
Services Department has been contacting licensed bike safety instructors about incorporating classes
into the City's recreational program, and announced a "Paddle with the Mayor" event on October 13,
2012, out of China Cove.
XII. CONSENT CALENDAR
A. READING OF MINUTES /ORDINANCES AND RESOLUTIONS
MINUTES FOR THE SEPTEMBER 11, 2012 STUDY SESSION AND REGULAR
MEETING. Waive reading of subject minutes, approve as written 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. RESOLUTIONS FOR ADOPTION
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4. PREVAILING WAGE EXEMPTION. Continue the item to the October 9, 2012, meeting.
5. RESOLUTION SUPPORTING A GRANT APPLICATION TO THE DEPARTMENT
OF BOATING AND WATERWAYS FOR VESSEL PUMPOUT REPLACEMENT.
Adopt Resolution No. 2012 -82, authorizing and supporting submittal of an application to
the Department of Boating and Waterways for grant funds for the Replacement of the
Vessel Pumpouts.
D. CONTRACTS AND AGREEMENTS
6. JAMBOREE ROAD IMPROVEMENTS - BRISTOL STREET NORTH TO
FAIRCHILD ROAD - AWARD OF CONTRACT NO. 4071. a) Approve the project plans
and specifications; b) award Contract No. 4071 to GMC Engineering, Inc., for the total bid
price of $1,489,907.50, and authorize the Mayor and the City Clerk to execute the contract;
and c) establish a contingency of $149,000 (10 %) to cover the cost of unforeseen work.
JAMBOREE ROAD IMPROVEMENTS - MACARTHUR BOULEVARD TO CAMPUS
DRIVE - APPROVAL OF A COOPERATIVE AGREEMENT WITH THE CITY OF
IRVINE. Approve a Cooperative Agreement with the City of Irvine for the Jamboree Road
Improvements (MacArthur Boulevard to Campus Drive) project.
8. ACQUISITION OF RULE 20A CREDITS FROM THE CITY OF GARDEN GROVE.
a) Authorize the City Manager to execute the Memorandum of Understanding (MOU)
between the City of Newport Beach and City of Garden Grove documenting details of
transaction for the acquisition of rule 20A Credits; and b) authorize staff to process the
$1,847,982.00 in Rule 20A credit transfer between the City of Newport Beach and City of
Garden Grove with SCE for a cash cost of $831,591.90 to the City.
9. CONTRACT WITH FORMER CITY EMPLOYEE, RANDALL PARKER. Authorize
the City Manager to execute a Temporary Employment Agreement (TEA) with a former
employee, Randall Parker, to temporarily fill the position of the Court Liaison Officer.
E. MISCELLANEOUS
10. PLANNING COMMISSION AGENDA REPORT FOR SEPTEMBER 20, 2012.
Receive and file.
11. BUDGET AMENDMENT TO ACCEPT A CHECK FROM THE NEWPORT BEACH
PUBLIC LIBRARY FOUNDATION AND APPROPRIATE FUNDS TO THE
LIBRARY'S FISCAL YEAR 2012/2013 MAINTENANCE AND OPERATION
BUDGET. Approve Budget Amendment No. 13BA -013 to increase revenue estimates by
$220,000 in Account 4090 -5893 (Library Foundation Donations) and to increase
expenditure estimates by the same amount in Division 4090 (Library Foundation
Donations) and Division 4060 (Literacy Services).
13. ACCEPTANCE OF 2012/2013 STATE OF CALIFORNIA, OFFICE OF TRAFFIC
SAFETY, DUI ENFORCEMENT AND AWARENESS PROGRAM GRANTS #PT1302
AND #SC13284. a) Authorize the City Council to accept a $110,000 "Selective Traffic
Enforcement Program" (STEP) award granted to the Newport Beach Police Department by
the OTS per Council Policies F -3 and F -25. Therefore, to comply with Council Policy F -3,
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City Council must formally accept the award of $110;000 and create a new appropriation
to expend the money; b) approve Budget Amendment No. 13BA -012 increasing Police
revenue estimates and expenditure appropriations by $110,000; c) authorize the City
Council to accept a $75,000 "Sobriety Checkpoint Grant Program" award granted to the
Newport Beach Police Department by the OTS per Council Policies F -3 and F -25.
Therefore, to comply with Council Policy F -3, City Council must formally accept the award
of $75,000 and create a new appropriation to expend the money; and d) approve Budget
Amendment No. 13BA -012 increasing Police revenue estimates and expenditure
appropriation by $75,000.
Motion by Mayor Pro Tem Curry, seconded by Council Member Rosansky to approve the
Consent Calendar, except for items removed (3 and 12).
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. ITEMS REMOVED FROM THE CONSENT CALENDAR
PROPOSED AMENDMENT OF THE NEWPORT BEACH MUNICIPAL CODE,
REPEALING SECTION 9.04.060 OF THE NEWPORT BEACH MUNICIPAL CODE AND
ADOPTING A NEW SECTION 9.04.060 OF TITLE 9, CHAPTER 9.04, TO REMOVE
SECTION 610 BREATHING AIR REPLENISHMENT SYSTEMS (BARS). a) Introduce
Ordinance No. 2012 -21, titled ?AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH REPEALING SECTION 9.04.060 OF THE NEWPORT BEACH
MUNICIPAL CODE AND ADOPTING A NEW SECTION 9.04.060 OF TITLE 9, CHAPTER
9.04, TO REMOVE SECTION 610 BREATHING AIR REPLENISHMENT SYSTEMS
(BARS),
Jim Mosher commented on modifications to the City's Fire Code referencing Section
307.4.2.1 and Ordinance 2009 -23 regarding the operation of beach fire rings, expressed concern
that the ordinance was never reviewed by the Fire Department, and stated that when the new
2010 Fire Code was issued, and stated that he believed that the Fire Department was unaware of
the new regulations regarding fire rings because Section 307.4.2.1 is not currently in the new
Fire Code.
Motion by Mayor Pro Tem Curry, seconded by Council Member Rosansky to a)
Introduce Ordinance No. 2012 -21, titled AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF NEWPORT BEACH REPEALING SECTION 9.04.060 OF THE NEWPORT BEACH
MUNICIPAL CODE AND ADOPTING A NEW SECTION 9.04.060 OF TITLE 9, CHAPTER 9.04,
TO REMOVE SECTION 61.0 BREATHING AIR REPLENISHMENT SYSTEMS (BARS), and
pass to second reading on October 9, 2012; and b) find that Ordinance No. 2012 -21 is not subject
to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060
(c)(3) of the CEQA Guidelines, California Code Regulations, Title 14, Chapter 3, because it has no
potential for resulting in physical change to the environment, directly or indirectly.
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
12. RESPONSE TO THE ORANGE COUNTY GRAND JURY - "EMERGENCY MEDICAL
RESPONSE IN ORANGE COUNTY." Authorize the Mayor to send a response to the Presiding
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Judge of the Superior Court
Council Member Daigle reported that the aforementioned matter was discussed during the Study
Session meeting; noted that as follow up, the City Manager has drafted language to include in
the responses from the City to the Orange County Grand Jury regarding contracting out for
certain services; and deferred to staff for further information.
City Manager Kiff referenced a red -line version distributed under separate cover that outlines
the revised language to include in the response and reported that Fire Chief Poster also reviewed
the proposed language.
Motion by Council Member Hill, seconded by Council Member Daigle to authorize the
Mayor to send a response to the Presiding Judge of the Superior Court.
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
XIV. PUBLIC COMMENTS
Dan Purcell commented on mobility infrastructure, presented information on the BART system in the
City of San Francisco as well as the cable car, addressed a mobility accountability /action plan,
presented examples of names for bicycle routes, suggested an elevated pedestrian bike path and
possible routes, and encouraged Council to consider attempting to increase bicycle safety in the City.
John Christianson urged Council to elevate the priority of safe cycling in the City, noted that there are
thousands of cyclists in the City, and addressed recent fatal bicycle - related accidents.
Denys Oberman commented on the proposed amendments to the City Charter, expressed concern
regarding prohibiting class- action lawsuits against the City stating that the proposal is
unconstitutional and will likely be legally challenged, tools issue with Council's opinion regarding
thwarting residents' efforts to "shake down" the City stating that constituents can address any of their
concerns through the administrative process, believed that the administrative process is ill- defined
adding that the City's decisions are made with disregard to public input and interest, noted dire
consequences when the City makes decisions that are outside of the public eye, and encouraged Council
to consider why litigation is at an all -time high.
George Schroeder announced that the next meeting of "Speak Up Newport" will be held on October 10,
2012, 5:30 p.m. at the Newport Beach Yacht Club where the topic will be "Bicycling in Newport Beach,
what you need to know" and encouraged the public to attend.
Council Member Daigle provided clarification regarding Ms. Oberman's comments noting that the City
has funds for improved safety but residents also asked for the opportunity to raise money.
Ron Hendrickson addressed the proposed Charter amendments, presented suggestions to change the
City's website to make it easier for the public to obtain information on the municipal election,
specifically the Charter amendments, and believed that it is unfair to the public to consider all thirty -
eight proposed amendments to the Charter with one yes /no vote as well as the last - minute addition to
the amendments regarding prohibition of red -light cameras which was not considered by the Charter
Update Committee nor discussed by Council.
Novell Hendrickson commented on the Charter update, proceedings, and actions by the Charter Update
Committee. She hoped that additional information can be distributed on the matter and urged the
public to vote "no ".
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Laura Curran addressed the proposed Charter amendments and believed that the red -light issue
should be removed from the proposed amendments.
Frank Peters, Member of the Bicycle Safety Committee, commended Council and Mayor Gardner for
the willingness to move sharrows up to an early implementation, addressed the Bicycle Safety Fund
stating that he would like to donate $10,000 to start off the fund, commented on the upcoming
memorial ride as a tremendous opportunity to bring the community together, stated that the Bicycle
Safety Committee is committed to address the hard issues regarding the matter, and encouraged the
public to attend the next meeting of the Bicycle Safety Committee on Monday, October 1, 2012 at the
Central Library.
Michael Alti, Member of the Bicycle Safety Committee, thanked Council for its leadership in
establishing the Bicycle Safety Committee and recently approving the implementation of sharrows. He
addressed the recent bicycle- related fatalities, challenges including infrastructure changes, slowing
down the speed of drivers, and increasing safety awareness. He stressed the importance of respect and
suggested an innovative design for the sharrows to make the statement that Newport Beach is a bike-
friendly city.
Kimberly Nunns discussed bullying in school particularly as it relates to reporting questionable
behavior by teachers and students, encouraged a safer, transparent community for everyone, and asked
for participation from Council to help make schools safe for everyone.
Robert Hawkins addressed the prohibition of class- action lawsuits included in the proposed Charter
amendments, referenced a New York case where a similar issue was declared unconstitutional by the
U.S. Supreme Court, stated that a case relied upon by the Charter Update Committee is not applicable
to this sort of prohibition, and encouraged residents to vote "no" on Measure EE.
Mayor Pro Tem Curry addressed the strategy to protect the City and tax payers against exposure to
"shake- down" lawsuits within the City's Fiscal Sustainability Plan, asked City Attorney Harp to
comment on this item as to whether he believes that the subject amendment is an appropriate
prohibition to protect tax payers.
City Attorney Harp affirmed that he believes that the amendment is an appropriate prohibition to
protect tax payers, added that some lawyers band together and come up with artificial claims to
generate their own attorney fees, and reiterated that the item is appropriate.
XV. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES
Council Member Daigle reported on a recent meeting of the Citizens Aviation Committee at the Central
Library, addressed the next steps for the FAA and TRACON, reported that the Committee is looking
into retaining a consultant for input, and noted that the item will be before Council at a future
meeting.
Council Member Henn reported on a recent meeting of the Neighborhood Revitalization Committee
wherein recommendations were finalized on the Balboa Village Citizens Advisory Panel
recommendations and approval of a draft citizen survey regarding a residential parking permit
program was approved, and noted that the matter will be discussed later during the meeting.
Council Member Selich addressed consideration by the Building Ad Hoc Committee of the renaming of
Avocado Street to Civic Center Drive, stated that they reviewed the issue and found that it would create
numerous problems and inconveniences to businesses located on Avocado, added that they developed a
recommendation to rename Farallon between Newport Center Drive and Avocado Avenue to Civic
Center Drive, and listed advantages of the recommendation.
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City Manager Kiff reported that the City has a process whereby Council would authorize the renaming
of the street which may include review by the Planning Commission and stated that the matter will be
considered by Council at a future meeting.
XVI. PUBLIC HEARINGS
14. VACATION OF EXISTING SEWER EASEMENTS AT 300 WEST COAST HIGHWAY, 303
KINGS ROAD, 100 KINGS PLACE AND 104 KINGS PLACE.
Public Works Director Webb presented details of the report addressing the availability
of easements due to the development of Mariner's Pointe and presented recommendations as
stated in the report.
Hearing no testimony, Mayor Gardner closed the public hearing.
Motion by Council Member Rosanskv, seconded by Council Member Hill to a) adopt
Resolution No. 2012 -83 ordering the vacation of existing sewer easements; b) direct staff to
process the vacation of said easements; and c) and direct the City Clerk to have the Resolution
and easement documents recorded by the Orange County Recorder.
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
15. BALBOA VILLAGE IMPLEMENTATION PLAN (PA2011 -224) - BALBOA PENINSULA
BETWEEN 7TH STREET AND A STREET INCLUDING BALBOA VILLAGE.
Senior Planner Campbell presented a PowerPoint that included details of the plan, the Citizens
Advisory Panel (CAP) meetings, Harbor and Planning Commissions reviews, the Balboa Village
Revitalization Area, key issues, opportunities, results of a market analysis, brand vision and
promise, the Balboa Village Fun Zone, way- finding and monument signage, economic
development recommendations, planning and zoning for the area, public infrastructure,
streetseapes, administration of the plan, and the next steps.
Council Member Henn reported that this issue has been a priority for him, indicated that the
recommendations presented were generated by a citizen - driven committee with staffs support,
expressed his appreciation to fellow Council Members who helped, and stated that he is anxious
for the process to go forward.
In response to Council Member Daigle's question, Senior Planner Campbell reported that the
implementation plan includes a recommendation to discuss the possible implementation of an RV
parking area during off -peak seasons to increase attendance and as a revenue source.
Mayor Gardner believed that the description of "Balboa Fun Zone" conflicts with the established
vision and expressed concerns with the funds needed for the recommended actions.
Mayor Gardner opened the public hearing.
George Milutinovich addressed Council stating that the recommendations sound
wonderful, expressed opposition to the RV parking during off- season, expressed concern that the
Balboa area will turn into a giant parking lot, urged Council to eliminate the option of long -term
RV parking from the implementation plan, listed related issues and challenges, referenced the
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City smoking ordinance, and reported that there is a tobacco business in existence that violates
the ordinance.
Lori Morris stated that she agrees with the Mayor's comments, expressed opposition to the
recommendations, commented on the lack of cohesiveness in the CAP meetings, and expressed
opposition to the plan.
Don Beatty addressed the parking management plan, stated that he is in favor of a parking
permit pilot program only in the summer season, indicated that he has not been affected by
commercial parking but with the summer beach parking, addressed the proposed boundaries of
the parking district stating that it should not include Bay Island, and believed that the parking
permit program should be removed from the implementation plan indicating that it should be
dealt with separately.
Howard Hall commented on the history of the area including installation of parking meters
which resulted in loss of businesses, indicated opposition to the name "Fun Zone" and creation of
the parking permit district noting that most people are not affected by commercial parking in the
area, and recommended removing parking meters and creating a two -hour parking limit on
street parking between Adams and Main Streets to reduce the parking permit district in the
residential area between Adams Street and Medina Way.
Tom Pollock, ExplorOcean, expressed support of the implementation plan and submitted a new
parking requirements report for ExplorOcean developed by a consultant, for staff and Council's
review.
Denys Oberman commended Council Member Henn and others that have worked on this issue
expressing the need for change to drive improvements, stated that a successful plan will create a
mix of commercial and residential and protect the integrity of residential areas, believed that a
residential parting component makes sense and should be expanded to other areas,
acknowledged that the revitalization will be challenging and will take commitment from the City,
addressed the need to manage the level of transiency currently existing in the area, and
requested not moving forward with the proposal of RV parking.
Jim Mosher stated that he does not support the implementation plan, addressed the incentive
program, expressed confusion as to the action to be taken by Council, commented on the Balboa
Village Advisory Committee and the Parking District Governing Board 'as well as the idea of
additional funding to the BID, addressed the proposed residential parking survey, and believed
that there should be a section to allow residents to comment on what they feel strongly about.
Jim Stratton expressed support for the revitalization plan, stated that he looks forward to the
results of the proposed parking survey, noted that it has been a resident- driven plan that has
been worked on for almost two years, presented signed petitions of area residents who have
indicated a desire to have some sort of permit parking, and indicated that he looks forward to the
proposed changes.
Paula Curran expressed opposition to the proposed RV parking, believed that it will drive people
away, and encouraged Council to vote against the matter.
Jim Petrilli expressed opposition to the proposed RV parking, referenced an article regarding a
similar matter in another city which negatively impacted the area, believed that having this in
the plan will require a disclosure to potential buyers or renters, agreed with other plans to
revitalize the area, opposed RV" parking, and asked Council to exclude the issue from the plan.
An unidentified speaker opposed the proposed RV parking and believed that residents should
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have a say in the matter.
Robert Hawkins reported that the specifics of the parking recommendations are unclear, believed
that the elimination of commercial parking requirements and intensification are extremely
problematic, stated that he shares the Mayor's concerns regarding the incentive program, and
encouraged Council to rethink the matter.
Shelly Petrilh expressed opposition to the RV parking plan, stated that Venice Beach is now
called a "slum beach" because of the RV parking allowed there, and noted that the City of
Huntington Beach has RV parking but that there are no residences near the area.
W.R. Dildine noted an area where there are several residential units with no parking, expressed
concerns regarding availability of parking, and hoped something can be done on the matter.
Hearing no further testimony, Mayor Gardner closed the public hearing.
Council Member Henn stated that every initiative included in the plan is subject to further
vetting, review, and approval, in a public setting, before it will go forward. He stated that it is
subject to a lot more scrutiny, acknowledged that the Balboa Village area is in an advanced state
of decline and that to promote change requires a broad - based, comprehensive plan. He noted
that there was a lot of public input along the way stating that the people involved in the process
believed that this was .a good plan going forward, addressed the differences between the subject
area and other areas within the City noting that the Village generates millions of dollars in
parking revenue which has gone towards helping other needs within the City, believed that the
plan is a self - funded plan by Balboa Village, addressed the issue of the "Balboa Village Fun Zone"
noting that it was developed after a research -based survey that will help with identification of
the area, addressed the streetscape, noted the need for an integrated approach, stated that the
additional streetscape will further enhance a sense of place for Balboa Village, noted the need to
have a strategy related to BID support to improve the commercial viability of the area as well as
to understand the plan for ExplorOcean, addressed the parking permit plan survey, and believed
that the plan, taken as a whole, is a good plan, understanding that each piece will receive
additional consideration.
Mayor Gardner stated that there are too many elements that need much further discussion
before it is approved.
Council Member Rosansky commented on the matter, noted that there are other areas in the
City that have parking problems, indicated that he is not in favor of parking permits, addressed
the recommended moniker, suggested differentiating Balboa Village with the Balboa Peninsula
Fun Zone, and stated agreement with Mayor Gardner's comments.
Council Member Hill believed that the word "implementation" is in conflict with the intentions
and suggested calling it a "master" plan, agreed with the creation of a Balboa Village Advisory
Committee and the parking permit survey, and believed that the RV parking element is not
appropriate.
Mayor Pro Tern Curry agreed with removing the issue of RV parking from the plan and believed
that the City needs to invest in the neighborhood to revitalize the community and keep it strong
and vibrant.
Council Member Daigle agreed with removing the issue of RV parking from the plan, believed
that zoning -based changes are good, expressed concerns with the recommendations, and stated
the need to be consistent in other areas of the City.
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Council Member Selich acknowledged that there is a lot more work to be done on this issue, and
believed that it is important to move forward and allow the proposed Balboa Village Advisory
Committee to consider the various elements.
Motion by Council Member Hill, seconded by Council Member Henn to a)
adopt Resolution No. 2012 -84 approving the Balboa Village Master Plan consistent with the
recommendations of the Neighborhood Revitalization Committee and finding that the action is
exempt from the California Environmental Quality Act ( "CEQA ") pursuant to Section 15262
(Feasibility and Planning Studies) of the CEQA Guidelines, California Code of Regulations, Title
14, Chapter 3; b) adopt attached Resolution No. 2012 -85 creating the Balboa Village Advisory
Committee; c) confirm the Mayor's appointment of Council Member Henn and one additional
Council Member to the Balboa Village Advisory Committee ( "BVAC "); d) direct the City Clerk to
post and publish a Request for Applications for the BVAC; e) remove the RV parking element;
and f) authorize staff to conduct the Residential Parking Survey.
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
Noes: Mayor Gardner, Council Member Daigle
This item was further discussed during Motion for Reconsideration.
16. ANNUAL MONITORING REVIEW OF DEVELOPMENT AGREEMENT NO. 14:
NEWPORT COAST (PA2011 -030).
Community Development Director Brandt reported that the annual agreement is reviewed in
October, addressed findings according to the last review of the item by Council, discussed a
detailed compliance reported conducted by staff, and provided recommendations.
Hearing no testimony, Mayor Gardner closed the public hearing.
Approve motion by Mayor Pro Tem Currv, seconded by Council Member Henn to find
that the applicant has demonstrated good faith compliance with the terms of the Development
Agreement and receive and file an annual report of the Annexation and Development Agreement.
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 Hems, Council Member Daigle
17. COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM YEAR 2011 -2012,
CONSOLIDATED ANNUAL PERFORMANCE AND EVALUATION REPORT (CAPER).
Community Development Director Brandt reported that the item is an annual report required to
comply with HUD funding.
Hearing no testimony, Mayor Gardner closed the public hearing.
Motion by Mayor Pro Tem Curry, seconded by Council Member Rosansky to approve the
Program Year 2011 -2012 CAPER and direct the City Manager or his designee to submit the
Program Year 2011 -2012 CAPER to HUD.
The 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
XVII. CURRENT BUSINESS
18. MODEL LEASE TEMPLATE FOR COMMERCIAL MARINA AND MARINA INDEX.
Mayor Gardner indicated that there has been a request to continue the aforementioned item
Council Member Henn indicated that he would like to receive public comment on the issue.
In response to Council Member Rosansky's question, City Manager Kiff reported that he received
general and specific comments from the public regarding marinas.
Jerry Conrad stated that the lease program is a major deterrent to investing money in Lido
Village and in the surrounding area.
Marshall Duffield expressed opposition to the model lease template, stated that it is designed to
protect a City that owns the infrastructure, believed that the restrictions and demands are not
needed since owners have been doing it for years, reported that he leases a marina and dock
space, and believed that the matter is too complicated.
Council Member Hill noted that the item doesn't apply to Mr. Duffield's operation but rather to
the major marinas in the Harbor.
Tom Purcell, Lido Anchorage, believed that the proposed lease is too complicated and complex,
hoped that the issues can be resolved; stated that the City is imposing operational requirements
on how to run private businesses by restricting assignments of private lands next to the water
and requiring owners to quit claim the docks and improvements installed at the end of the lease,
addressed economic concerns and the City's failure to properly value water parcels, spoke against
forced government, encouraged cooperation and the need to look at the Coastal Land Use Plan,
addressed unintended consequences, and suggested holding a separate study session to develop a
workable plan.
John Vallely expressed opposition to the matter noting that private appraisals have been
disregarded and addressed various areas of concern.
Jim Parker expressed opposition to the draft lease, believed that it equates to an eminent
domain, and reiterated some of the concerns of previous speakers.
Sherman Stacey addressed the issue of setting fair market rent, believed that the rent is
monopolistic, expressed opposition to the matter, believed that it is unreasonable, and noted the
need to simplify the lease.
Gary Pickett expressed agreement with prior speakers, believed that the proposed lease
agreement is unfair, addressed the index, stated that his company would be happy to provide
gross revenue numbers, and requested that the Irvine Company be removed from the index
calculation and replaced with the Balboa Yacht Basin.
Richard Luehrs, President of the Newport Beach Chamber of Commerce, addressed the
importance of small businesses that depend on the Harbor, expressed support of the marina
operators, requested softening the impact of significant rent increases, and urged that Council
continue to work with marina operators to refine the fee structure and the basis for the proposed
fee.
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Scott Schock expressed opposition to the proposed lease agreement
Gary McKitterick implored Council to govern like residents would like to be governed, believed
that the lease is one- sided, suggested that Council work with residents to resolve the issues at a
separate study.session, encouraged Council to look at consequences and the impacts of increased
regulations, noted the importance of listening to residents, and believed that the index must be
broader.
John Corrough expressed concern with perceptions related to the implementation of the proposed
lease and impacts to other classes of marina users, stated that the complexity of the lease is not
appropriate for current marina users, and indicated that the index needs to be tuned.
An unidentifed speaker opposed the proposed lease template and hoped that Council can work
with the owners to develop a better template.
Al Lasher thanked Council for considering continuing the item, believed that the issue is relative
to the relationship between the government and its citizens, and questioned the fairness of the
proposed lease agreement.
Bob McCaffrey suggested that Council consider a re -vote on the matter.
Gary Hill expressed opposition to the proposed lease agreement and encouraged Council to
consider the matter carefully.
Mayor Pro Tem Curry agreed that the proposed lease agreement needs additional work.
In response to Council Member Selich's question, Acting Assistant City Attorney Torres
addressed the possessory interest tax noting that it maintains the status quo.
Discussion followed regarding prevailing wage requirements and possibly defining the upland
support area within the lease.
Council Member Rosansky encouraged the public to submit written comments to staff so that
Council can have time to evaluate the comments.
Council Member Hill expressed concern regarding the security deposit and City approval of
maintenance that requires a percentage of parking and wage rates. He indicated that he has
faith in the concept of the index and believed that agreements can be reached by working
together.
Council Member Daigle addressed changing the index to exclude the Irvine Company and include
the Balboa Yacht Basin.
Council Member Henn agreed with making the lease simpler and shorter, addressed
misconceptions about the lease, noted that there is no intent for the City to charge 20% of
parking revenue but rather that the City should be compensated for slip rental, indicated that
there is no intent to charge for pass- through expenses, addressed the requirement for paying
prevailing wages on construction projects, noted that it is designed to be a template and that
there are elements that may not be applicable to the lease of marinas, stated that each lease will
be tailored to individual circumstances, addressed the proposed index and the base against a
percentage rent, noted that the index calculation is simple, hoped that all will be able to reach a
conclusion regarding the index, stated that the purpose of the meetings is to obtain public input,
and summarized the issues to be addressed:
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Mayor Pro Tern Curry noted that there are a lot of problems with the proposed lease and that it
should be re- written.
Discussion followed regarding clarification of known values and the need for them to be
verifiable.
Council Member Henn encouraged the public to submit written comments to the City Manager's
Office.
Motion by Council Member Henn. seconded by Council Member Daigle to continue this
item to a Special Meeting.
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
19. CITY HALL COMPLEX RE -USE (PA2012 -031) - 3300 NEWPORT BOULEVARD - 475
32ND STREET.
Council Member Henn recused himself from hearing the item noting that he has a business
relationship with a business in Via Lido Plaza.
Community Development Director Brandt introduced the item, presented background, addressed
release of final documents providing support for the conclusions made earlier, and presented
recommendations as stated in the report.
Mayor Gardner noted the preferred option and asked whether further consideration should be
made regarding apartments.
Council Member Selich stated that both options, that being a, hotel or apartments, should be
considered.
Council Member Hill agreed with Council Member Selich's comments, addressed the need for fast
tracking the activities related to this matter, and suggested that one RFQ be issued comprised of
both options.
Jerry Conrad, representing DART and Conrad Management, believed that Lido Village is the
best location for a boutique hotel and that the current City property lends itself to an apartment
complex, expressed concerns regarding adjacent properties, and addressed related height
limitations.
Cindy Koller presented a copy of an article from the Orange County Register that noted the
amount of resident support as well as business support for a boutique hotel and expressed
opposition to the apartment complex concept.
Lori Morris referenced a quote from Mayor Pro Tem Curry regarding the importance of listening
to the community, expressed support of a boutique hotel for the area, objected to the two - pronged
approach for the RFQ, and noted that area businesses support construction of a boutique hotel.
Pam Whitesides addressed the need to make businesses and restaurants successful in order to
revitalize the area, expressed support for a boutique hotel, and encouraged Council to move
forward with a one -track approach.
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Denys Oberman expressed support of a boutique hotel and addressed fiscal benefits to the City
and local businesses.
George Schroeder believed that it is the right thing to do to study both options.
Hugh Helm agreed with Council moving forward with considering both options, urged Council to
go forward to the RFQ process including the possibility of a hotel on the marina site.
Michael Brant- Zawadzki addressed a balkanized approach to decision making and revitalization
and expressed support for considering a broader concept of revitalization.
Council Member Selich noted the importance of having a backup to the hotel proposal stating
that it is a prudent way to do business and believed that a dual approach will increase
competition by developers.
Discussion followed regarding the possibility of indicating that the first choice would be a hotel in
the area.
Council Member Rosansky indicated that he would not want to discourage potential apartment
builders to make a proposal.
Mayor Pro Tem Curry addressed the study, indicated that the appropriate thing to do is to go
forward with the RFQ process for both alternatives in order to be able to compare the viability
and benefits of each.
Motion by Council Member Selich, seconded by Council Member Hill to direct staff to
include the following limits within the proposed General Plan Amendment: 1) Up to 99
residential units and 15,000 square feet of retail. use; or 2) Up to 99,675 square feet of hotel use;
or 3) Any combination of residential units and hotel provided it does not exceed 99 units or
99,675 square feet of hotel use.
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 Daigle
20. IMPLEMENTATION OF NEGOTIATED CHANGES TO EMPLOYEE RETIREMENT
BENEFITS THROUGH AMENDMENT OF THE CONTRACT WITH THE CALIFORNIA
PUBLIC EMPLOYEES RETIREMENT SYSTEM (CALPERS); AND ADOPTION OF A
DEFINED CONTRIBUTION PLAN WITH THE PUBLIC AGENCY RETIREMENT
SYSTEM (PARS).
Mayor Pro Tem Curry expressed support for the item and noted significant changes and success
of Council in the negotiations.
Jim Mosher discussed how the changes relate to Council as City employees, stated that Council
Members are not employees, questioned whether Council should receive health and pension
benefits, questioned the category of employee in which Council belongs, and stated that Measure
EE will not clarify the issue.
City Attorney Harp explained that the IRS designates all Council Members as employees and the
City is required to offer a retirement package for Council Members which is the PERS retirement
package which is not involved in Measure EE.
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Richard Nichols agreed with Mr. Mosher's comments, addressed the State's pension Reform
Act, stated the need for a set retirement form, and addressed the City's pension debt.
Mayor Gardner noted that Mr. Nichols was considered a City employee when he was a Council
Member, noted that all groups are contributing more towards their pensions compared to
previous years, and stated that this is a negotiation process.
City Manager Kiff reported that the City's employees are paying more than Governor Brown's
proposal, stated that the City is subject to the new law for employees hired after January 1, 2013,
and noted that he would be happy to speak further on the issue with Mr. Nichols.
Motion by Mavor Pro Tem Curry, seconded by Council Member Rosansky to adopt
Resolution No. 2012 -87 relating to the City's intention to approve an amendment to the contract
between the Board of Administration, California Public Employees' Retirement System (PERS)
and the Newport Beach City Council to authorize the following second tier retirement formulae:
3 %(x355 for Police; 2 %0350 for Fire; 2 %@50 for Other Safety (Lifeguards); and 2 %@60 for
Miscellaneous members; b) introduce Ordinance No. 2012 -22 relating to PERS contract
amendment and pass to 2nd reading on October 23, 2012; and c) adopt Resolution No. 2012 -88
implementing a qualified Defined Contribution Plan with the PARS.
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
21. FURTHER DIRECTION SOUGHT - PADDLEBOARDS, NON - EMERGENCY FLYOVERS,
ENCROACHMENTS.
Mayor Gardner introduced Recommendation 21a regarding regulations or education efforts for
Stand -Up Paddleboarding in the Harbor.
Council Member Daigle addressed public comments received on the issue noting differing
opinions, stated that professionals recommended holding a public forum in order to gauge public
opinion and hear from Harbor users regarding safety issues, and noted the need to get a better
sense from different Harbor users.
Discussion followed regarding the number of accidents in the Harbor and the possibility of
sending the item to the Harbor Commission with direction to focus on education.
Council Member Rosansky stated that he did not see this as a high priority issue.
Council Member Selich agreed with Council Member Rosansky's comments.
Mayor Pro Tem Curry agreed and stated that there is no need for specific direction on this issue.
Doug West, Chair of the Harbor Commission, stated that the Harbor Commission will not
approach this in a regulatory framework, indicated that he believe that a problem does not exist,
and stated that if Council directs the Harbor Commission to address this, they will.
Motion by Council Member Selich, seconded by Council Member Rosansky to do nothing
relative to recommendation 21a.
The motion carried by the following troll call vote:
Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Curry, Mayor Gardner,
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Council Member Selich, Council Member Henn, Council Member Daigle
Mayor Gardner introduced Recommendation 21b to amend the Municipal Code to request that
the military provide notice of an non - emergency flyover in the community.
Council Member Rosansky stated that this is a solution looking for a problem and believed that
the matter is not an issue to be considered.
Motion by Council Member Rosansky, seconded by Council Member Henn to do nothing
relative to recommendation 21b.
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
Mayor Gardner introduced Recommendation 21c regarding a formal process to analyze various
private encroachments onto public lands or public rights -of -way, such as in Santa Ana Heights,
Newport Shores, and more.
Assistant City Manager Badum presented information on encroachments including the types of
encroachments and related permits needed, as well as the current implementation program and
current issues.
Mayor Gardner stated that clarification of the policy is needed.
Debra Ann Stout addressed the encroachment building process relative to Mesa Drive, noted that
there are many encroachments into the public right -of -way in the area, and stated that Council
should not "look the other way ".
Assistant City Manager Badum noted that there are no walls in the public right -of -way on Mesa
Drive but rather landscaping and mailboxes.
City Attorney Harp added that the agreement shifts the liability to the property owner to be
liable for what happens on the property and obligates them to remove whatever improvements
exist.
Motion by Council Member Henn, seconded by Council Member Selich to proceed with
the current process relative to Issue 21c.
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
S22. RESOLUTION NO. 2012 -59: FORMING THE TASK FORCE ON COMMITTEES
Members of Council concurred to appoint Council Members Henn, Selich, and Mayor Gardner to
the Task Force on Committees.
Jim Mosher referenced the local appointments list, stated that it needs to be cleaned up, and
expressed concerns regarding the Task Force not being subject to the Brown Act.
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Mayor Gardner noted that the group will be proposing changes that will be considered by
Council.
Jim Mosher indicated that the revisions are contingent upon the passage of Measure EE, took
issue with the fact that the word "committee" does not appear in the City Charter, discussed the
Building Ad Hoc Committee believing that it should be subject to the Brown Act, and addressed
Citizen Advisory Panels.
Motion by Council Member Selich, seconded by Council Member Henn to a) adopt
Resolution No. 2012 -89 relating to the Membership and Responsibilities of the Task Force on
Committees; and b) appoint Council Members Henn, Sehch, and Mayor Gardner to the Task
Force on Committees.
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
XVIII. MOTION FOR RECONSIDERATION
Council Member Henn announced that Council Member Daigle would like to change her vote on item 15
(Balboa Village Implementation Plan (PA2011 -224) - Balboa Peninsula Between 7th Street and A
Street including Balboa Village.
15. BALBOA VILLAGE IMPLEMENTATION PLAN (PA2011 -224) - BALBOA PENINSULA
BETWEEN 7TH STREET AND A STREET INCLUDING BALBOA VILLAGE.
Motion by Council Member Henn, seconded by Council Member Selich to a)
adopt Resolution No. 2012 -84 approving the Balboa Village Master Plan consistent with the
recommendations of the Neighborhood Revitalization Committee and finding that the action is
exempt from the California Environmental Quality Act ( "CEQA ") pursuant to Section 15262
(Feasibility and Planning Studies) of the CEQA Guidelines, California Code of Regulations, Title
14, Chapter 3; b) adopt attached Resolution No. 2012 -85 creating the Balboa Village Advisory
Committee; c) confirm the Mayor's appointment of Council Member Henn and one additional
Council Member to the Balboa Village Advisory Committee ( "BVAC "); d) direct the City Clerk to
post and publish a Request for Applications for the BVAC; e) remove the RV parking element;
and f) authorize staff to conduct the Residential Parking Survey.
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
XIX. ADJOURNMENT - Adjourned at 12:00 a.m. on Wednesday, September 26, 2012, in memory of
Sarah Leaf and Catherine Campion Ritz, M.D.
The agenda for the Regular Meeting was posted on September 20, 2012, at 3:10 p.m. on the
City Hall Bulletin Board located outside of the City of Newport Beach Administration
Building. The supplemental agenda for the Regular Meeting was posted on September 21,
2012, at 2:30 p.m. on the City Hall Bulletin Board located outside of the City of Newport
Beach Administration Building.
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City Clerk
quh� 4, �Yw-
Recording
Mayor
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