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HomeMy WebLinkAbout01 - Minutes - 6-22-04City Council Meeting July 13, 2004 Agenda Item No. 1 CITY OF NEWPORT BEACH City Council Minutes Study Session June 22, 2004 - 4:00 p.m. ROLL CALL DRAFT Present: Heffernan, Rosansky, Adams, Bromberg, Webb, Nichols (arrived at 4:10 p.m.), Mayor Ridgeway Absent: None CURRENT BUSINESS 1. CLARIFICATION OF ITEMS ON THE CONSENT CALENDAR. Council Member Webb referred to Item No. 7, Recycling Service Fee, and stated that he doesn't understand why the cost of living increase is reported as being 2.7% but the recycling fee is being increased by 6.7 %. City Manager Bludau stated that there are more components that go into making up the rate increase than just the contractor's fee. He added that the annexation of Newport Coast also contributed to the rate being increased because the residents in Newport Coast don't pay for recycling. Mayor Pro Tem Adams referred to Item No. 15, Street Light Replacement Program, and asked what kind of standards would be put in. Public Works Director Badum stated that cobra head lights would be used, except in Shorecliffs where a retrofit of the existing teardrop lights would be done. Additionally, he confirmed that the homeowners associations in Cameo reviewed the project. Council Member Heffernan referred to Item No. S39, Newport Coast Community Center, and asked if the $550,000 for architectural services was for an $8.7 million project or for a project that would cost less than that. City Manager Bludau stated that it's a $7 million project and includes the architectural fees. He added that the architect would be directed to design a building that could be completed for $7 million total. Council Member Rosansky asked if a library would be included in the design. Council Member Heffernan stated that the staff report indicates that the architect would be directed to include a library in the design and it will be up to the Newport Coast residents to determine if everything can be paid for. BUDGET — DEPARTMENT PRESENTATIONS. Public Works Department Using a PowerPoint presentation, Public Works Director Badum listed the goals of the Public Works Department, which included the implementation of the Capital Improvement Program (CIP), meeting the current and future needs of infrastructure, services and resources for citizens and visitors, and helping Volume 56 - Page 1000 INDEX (100 -2004) City of Newport Beach Study Session Minutes June 22, 2004 INDEX residents and businesses achieve their goals while maintaining quality public infrastructure. He displayed the proposed budget for the department for the 2004 -05 fiscal year compared with the 2003 -04 budget. The annual budget totals approximately $4 million for both years and staff positions are remaining the same at 35.75 Full-Time Equivalent (FTE). The CIP is being reduced from approximately $30 million to $24.4 million. The Public Works Department has three divisions, which include the administrative, engineering and transportation divisions. He displayed a breakdown of the budget by division. Public Works Director Badum listed the major tasks of the administrative division and stated that the key focus for the 2004 -05 fiscal year would be on records management. He listed the major tasks of the engineering division and stated that contract employees will continue to be used. The major tasks of the transportation and development division were also listed. He noted that the only major change in the program for the 2004.05 fiscal year would be an increase in signal maintenance costs due to prevailing wage and inflationary increases. Public Works Director Badum stated that revenues for the department would remain the same at $2.5 million. Mayor Pro Tem Adams stated that projects may be identified through the Corona del Mar High School traffic task force, and that funding for these and the costs associated with continuing the task force are not included in the budget. City Manager Bludau confirmed that Mayor Pro Tem Adams would like to include these costs on the supplemental list. Mayor Pro Tem Adams requested that the Public Works Director calculate an estimated cost. Utilities Department Utilities Director Davidson acknowledged Utilities Operations Managers Antista and Burt, and Administrative Manager Deutsch. Using a PowerPoint presentation, he stated that the mission statement of the department is to provide quality, cost effective utility services to the community of Newport Beach. He displayed the department's budget for the 2003 -04 and 2004 -05 fiscal years, and stated that the department consists of four divisions, which include the electrical, oil and gas, water and wastewater divisions. The electrical division maintains 6,000 streetlights and the City's general building electrical systems. The oil and gas division operates sixteen oil wells, and the water division maintains and operates approximately 200 miles of water mains, five pump stations and three reservoirs. The wastewater division maintains and operates approximately twenty pump stations and approximately 200 miles of sewer mains. Utilities Director Davidson noted that the total 2004 -05 fiscal year budget for the department is approximately $19.2 million, which reflects a 5.2% increase. He noted that a new employee is being requested on the supplemental list. Of the 5.2 0/6 increase, 1.6% is for salary and benefits and the remainder is for water purchases. Utilities Director Davidson displayed the 2003 -04 and 2004 -05 budgets and the major components of the electrical division. The large expenditures of the division include the power needed for the streetlights. The division collects no revenue. Utilities Director Davidson then displayed the budget for the oil and gas division, and noted that the major expenditures of the division include the costs of the contract operator and energy needed for the oil wells, and the royalties and regulatory fees. The division is partly funded by the sale of oil and Volume 56 - Page 1001 City of Newport Beach Study Session Minutes June 22, 2004 `I1013 :1 gas. He noted the increase in revenue due to the higher prices for oil, which were at $18 per barrel in January of 2004 and are currently at $30 per barrel. Council Member Webb asked how the injection program to improve production was working. Utilities Director Davidson stated that it's still a pilot program using existing water and wastewater, and that another source of water is needed for additional injections into other zones. Council Member Webb asked if the production had increased at the existing well. Utilities Director Davidson stated that there have been no measurable increases and that additional water is needed. Utilities Director Davidson displayed the budget for the water division and noted that 75% of the budget is for maintenance and operations. He stated that it is being recommended to add one new water production operator position. The large expenditures of the division include energy from Southern California Edison to run the water pumping plants, and water purchases. Council Member Nichols asked if the water purchases were for water flooding. Utilities Director Davidson responded in the negative and clarified that it's for domestic drinking water. Utilities Director Davidson stated that large expenditures of the water division also include City service charges. He noted that an operational change in the division for the 2004 -05 fiscal year is a decrease in the pumping allowance out of the groundwater basin, which will mean that more imported water will need to be purchased at a higher price. The price of groundwater is also increasing. Utilities Director Davidson stated that the new position that is being recommended is needed to properly maintain and operate the reservoir cover in compliance with the State Health Department. The position will also perform daily inspections and reviews, weekly maintenance and other functions. Council Member Nichols asked if the water purchases included the water needed for watering plants. Utilities Director Davidson responded in the affirmative. Council Member Nichols asked if the water pumped from the groundwater basin is used for drinking. Utilities Director Davidson responded in the affirmative and stated that the wells are located in Fountain Valley. Utilities Director Davidson listed the revenue sources for the water division. He then displayed the budget for the wastewater division. He stated that the large expenditures of the division include payments to the internal service fund for equipment maintenance and replacement. Council Member Webb noted the City's new water quality efforts and the cleaning of hazardous waste spills, and asked how often the Utilities Department is asked to respond. Manager Burt stated that the department's crews are called out on a fairly regular basis. Council Member Webb asked if the available equipment and personnel were sufficient to meet the new water quality requirements. Manager Burt responded in the affirmative and stated that a vacuum unit that will be mounted on one of the new trucks, the Youth Employment Program employees (YEPs) and the cross training that is done in the department will all help. Council Member Webb acknowledged the efforts of the department. Volume 56 - Page 1002 City of Newport Beach Study Session Minutes June 22, 2004 Utilities Director Davidson stated that another large expenditure of the wastewater division includes the payments for professional services, and that an operational change for the division will be the increase in tree root foaming in an effort to reduce sewer spills. Mayor Ridgeway confirmed that no new employees were proposed for the wastewater division. Utilities Director Davidson listed the revenue sources for the wastewater division. Additional Budgets Using a PowerPoint presentation, Administrative Services Director Danner stated that the City's budget includes several other budgets that aren't applicable to any single department's budget. These include the workers compensation and general liability insurance funds, compensated absences fund, retiree insurance fund, various police grants, an Air Quality Management District (AQMD) fund, environmental liability and the Ackerman Trust fund. Administrative Services Director Danner stated that workers compensation is estimated to be lower in the 2004 -05 fiscal year. In response to Mayor Ridgeway's question, he stated that the estimate is based on historical and trend information. Administrative Services Director Danner stated that the general liability fund is also estimated to be lower in the 2004 -05 fiscal year, and is also based on historical and trend information. He stated that the compensated absences fund totals $1.2 million and represents the cost of paying out excessive leave hours to employees when they retire. The retiree insurance fund provides partial medical coverage for retirees and totals approximately $1.2 million. Administrative Services Director Danner stated that the narcotics asset forfeiture fund, supplemental law enforcement service fund and local law enforcement grant fund are miscellaneous grants associated with the Police Department. The AQMD fund is money received from the State and is used primarily for subsidizing the cost of the City's electric vehicles. The environmental liability fund is money received from the franchised haulers and is used for environmental liability insurance. Lastly, the Ackerman Fund is money generated from sale of the Ackerman property and is used for scholarships and library expenditures. Mayor Ridgeway confirmed that the expenditures are made from the interest on the money only. Council Member Heffernan confirmed with City Manager Bludau that the budget numbers presented to the City Council include the supplemental items. 3. JOINT STUDY SESSION WITH PLANNING COMMISSION. The council members took their place at the conference table and were joined by the following members of the Planning Commission: Chair Earl McDaniel, Vice Chair Larry Tucker, and Commissioners Jeffrey Cole, Edward Selich, Michael Volume 56 - Page 1003 INDEX (100 -2004) City of Newport Beach Study Session Minutes June 22, 2004 Toerge and Barry Eaton. INDEX Assistant City Manager Wood stated that the current meeting is the second in a series of joint study sessions that the work program for the general plan update calls for. She introduced Woodie Tescher of EIP Associates and stated that he would be presenting some of the guiding principles that have been developed by the General Plan Update Committee (GPUC) and the General Plan Advisory Committee (GPAC). Assistant City Manager Wood explained that the guiding principles will be the foundation for the process of preparing and evaluating the land use alternatives. Using a PowerPoint presentation, Mr. Tescher stated that the guiding principles address five major topic areas, which include economic development, community character, workforce and special needs housing, mobility and alternative transportation modes, and environmental conservation. Mr. Tescher stated that there are a total of 39 guiding principles and that the current meeting would focus on the "top ten ", which are the guiding principles that might have had considerable discussion at the GPAC meetings or might be controversial, and those that have significant importance in setting the direction of the general plan. He stated that the current meeting is being held to receive input from the City Council and the Planning Commission on the guiding principles. Mr. Tescher displayed the first guiding principle, "maintain and enhance the beneficial and unique character of the different neighborhoods and business districts that together identify Newport Beach ". Council Member Rosansky noted that the word "beneficial" might be redundant since it would be assumed that something would be beneficial if it is desired to maintain and enhance it. Mayor Ridgeway asked if the principle was heading towards design review. Mr. Tescher stated that the general plan won't necessarily create design standards, but an implication of carrying out the principle could provide direction. Council Member Webb stated that the current standards allow boxy looking buildings. He asked if the principle could be structured to encourage uniqueness or architectural differences in developments. Mr. Tescher stated that everyone seems to agree that the principle and differentiation of places within the community is appropriate. He stated that the question is how to achieve this. Mayor Pro Tem Adams stated that the implementation of the principles isn't an issue that needs to be discussed at the current meeting. He stated that the guiding principles are citizen- driven through GPAC and that discussing the implications might be beneficial, but he didn't think it should go any further. Council Member Heffernan asked if there should be a timeframe for completing the general plan update. Mayor Pro Tem Adams stated that there is a very specific timeline and plan that is being followed. The current meeting is on the timeline. Mr. Tescher added that the entire schedule goes to the end of 2005. Mayor Pro Tem Adams stated that the development of the general plan is currently in the hands of GPAC, Volume 56 - Page 1004 City of Newport Beach Study Session Minutes June 22, 2004 INDEX which is the body that will be making a recommendation to the Planning Commission who will make a recommendation to the City Council. He stated that GPAC is stable and large enough that it can withstand some vacancies and replacements. Mr. Teacher stated that the current meeting is meant to provide feedback to GPAC on the principles and if they're headed in the right direction. Mayor Pro Tem Adams added that it's meant to save GPAC time and assist them in generating a document that won't require a significant amount of change when it reaches the Planning Commission and the City Council. Mayor Ridgeway stated that it's important for the Planning Commission and the City Council to understand the principles and that this first one was one of the more ambiguous. Mr. Teacher displayed the second guiding principle, "establish general plan land uses and density /intensity limits that will have less impact on peak hour traffic ". Mayor Ridgeway asked if the principle accommodated the concept of smart growth. Mr. Teacher responded in the affirmative and stated that it is the intent of the principle. Council Member Rosansky expressed his concern for the mandatory nature of the statement. He felt that using the words "encourage" or "consider" might be more appropriate and explained that there are uses in which additional trips might be acceptable. City Manager Bludau asked if the principle would require the City to downzone. Mr. Teacher responded in the affirmative and stated that possibly the principle should be modified. Council Member Heffernan asked if the focus of the principle is to reduce peak hour traffic. Mr. Teacher stated that less impact is referring to that which is currently permitted. Mayor Pro Tem Adams agreed with Council Member Rosansky that the principle should possibly be reworded. Mayor Ridgeway also agreed and stated that the policy should strive for a balance. Mr. Teacher summed up the comments by stating that concepts of smart growth do make sense but that there may be situations where a use is important and should be considered with the mix of uses on a Citywide basis. Council Member Rosansky suggested that changing "establish" to "encourage" would do that. Commissioner Tucker stated that it's unclear as to whether the principle is dealing with certain areas or certain properties. He explained that some areas in the City might benefit from intensification while other areas may not need it. Mr. Teacher displayed the third guiding principle, "consider the rezoning of underperforming commercial areas to allow residential or mixed -use development ". Commissioner Selich asked why the word "consider" was chosen and stated that the word "encourage" might be better since there are some underperforming commercial areas in the City. Secondly, he suggested that "rezoning" be Volume 56 - Page 1005 City of Newport Beach Study Session Minutes June 22, 2004 INDEX changed to "changing the land use designations" Mayor Ridgeway agreed that "consider" should be changed to "encourage" and stated that in some areas, such as the peninsula, residential development in commercially zoned areas should be allowed, noting that there are commercial properties that have no demand. Currently, a general plan amendment is required. Mayor Pro Tem Adams noted that there are several guiding principles in every major area, and no single principle should be taken out of context and considered without the others. He explained that a number of the principles relate to land use and rezoning, and together they form an overall guiding policy. Assistant City Manager Wood recalled that GPAC decided on the word "consider" because they felt that "encourage' provided direction that was too strong. Council Member Rosansky agreed that "consider" would be adequate, and noted that he'd like to see some of the commercially -zoned areas in West Newport changed to residential or mixed -use. Mayor Pro Tem Adams added that "encourage' is presupposing and implies that in every situation the rezoning would make sense, which may not be necessarily true. Council Member Webb asked if the airport area should be considered in this category along with the peninsula and West Newport. Mayor Ridgeway stated that other guiding principles deal with the airport area and that the guiding principles do need to be considered in totality. Commissioner Tucker asked if the guiding principles would have to be adhered to strictly or if there would be an internal process to determine how the land use alternatives would be approached. Mr. Tescher stated that the guiding principles are intended to be a guidepost, but also flexible to change. Mr. Tescher displayed the fourth guiding principle, "preserve the community's heritage ". Assistant City Manager Wood stated that preservation has not been a priority in the City's planning and development efforts, and the question is, should it be given greater importance. Mayor Ridgeway stated that it has been given a strong consideration in the sense of place, but not in the sense of buildings. He explained that the general heritage in the City has been maintained, but buildings have not been gone after because of the strong feelings regarding property rights. Mr. Tescher displayed the fifth guiding principle, "general plan land use policies will facilitate an economically viable concentration of marine uses ". Council Member Bromberg stated that this provides an example of an issue that overlaps with the Local Coastal Plan (LCP), and that the matter has been fairly well covered. Volume 56 - Page 1006 City of Newport Beach Study Session Minutes June 22, 2004 INDEX Council Member Heffernan pointed out that there is little frontage remaining. Mayor Ridgeway stated that the harbor element is another policy document that addresses the issue of saving marine uses and that all of the documents are meshing together very well. Mr. Tescher displayed the sixth guiding principle, "in selecting land use and circulation system alternatives, weight will be given to traffic congestion that is ongoing as well as to congestion that is limited to a few hours of the day or a few months of the year". Mayor Pro Tem Adams asked if the sentence should read, "...will be given to mitigating traffic congestion... ". Assistant City Manager Wood responded in the negative and stated that the principle is related to choosing the land use plan. Mayor Pro Tem Adams suggested that it might read, "...reducing traffic congestion... ". He stated that, otherwise, the statement doesn't make sense and could be interpreted that land uses that increase traffic congestion should be selected. After a brief discussion, Mayor Ridgeway noted that the principle is addressing time of year issues, such as summertime on the peninsula. He added, however, that traffic has increased throughout the City and agreed that the principle should be reworded. Council Member Nichols asked if the principle is also referring to projects that have peak hours, but not during the typical peak hours, such as a church. Assistant City Manager Wood stated that the principle is addressing both time of year and peak hours. Mr. Tescher summed up the comments by stating that the principle needs to distinguish between peak hour and seasonal. Mr. Tescher displayed the seventh guiding principle, "the general plan shall support the careful expansion of visitor- serving businesses and facilities, including hotels and meeting facilities ". In response to Assistant City Manager Wood's question, Mayor Pro Tem Adams stated that meeting facilities should be considered. Mayor Ridgeway agreed and stated that it's important in the long term if the City is going to be competitive in the convention business. Mayor Pro Tem Adams stated that it would help existing and future hotels to sell rooms during the off season. Council Member Heffernan asked where such a facility would be built Mayor Ridgeway stated that the Dunes and Fashion Island are possible locations. He noted that the total that has been discussed is 50,000 square feet, which could be added incrementally by the hotels, and would be enough to accommodate smaller conventions. Mr. Tescher displayed the eighth guiding principle, "the community will accept additional congestion when it chooses to maintain the current urban Volume 56 - Page 1007 City of Newport Beach Study Session Minutes June 22, 2004 I form /community character by limiting roadway widening or other circulation system improvements; and improvements to the City's circulation system should protect and take into consideration the community's character ". Mayor Ridgeway stated that the challenge is considering the community's character when looking at such areas as Mariner's Mile versus Newport Heights. Council Member Nichols stated that in Corona del Mar, land that could've been used for a parking lot was instead used for duplexes, which shows that residential can also encroach into commercial. Mr. Tescher displayed the ninth guiding principle, "the general plan shall offer a distinct land use concept and policy framework for the airport area; and consider establishing a different level of service standard for the airport area, with consideration of possible impacts on residential areas ". Mayor Pro Tem Adams stated the principle makes sense, but that the impacts will need to be fully considered. Mr. Tescher displayed the tenth guiding principle, "consider the potential benefits and costs of land use and circulation system alternatives as part of the process of adopting goals regarding acceptable levels of service for the circulation system'. Assistant City Manager Wood explained that the members of GPAC did not want to be considering impacts first, and instead felt that they should go hand in hand with land use considerations. City Manager Bludau stated that questions regarding the State and local government finances are influx and should be considered when constructing a general plan. Mayor Ridgeway stated that the principle is at the heart of any general plan Council Member Bromberg agreed that it is an important principle, dealing with issues such as quality of life and property values. In response to Commissioner Eaton's question, Assistant City Manager Wood stated that GPAC discussed the idea of considering alternatives before adopting goals but decided that they should be done concurrently. Mayor Ridgeway agreed that the wording allows for debate and discussion, and that dialogue needs to be kept open. Commissioner Tucker stated that the planning commissioners only received the guiding principles on June 17, 2004. He suggested that the typical protocol be followed and explained that the Planning Commission should have the opportunity to review all of the principles in depth and then forward a recommendation to the City Council. He further suggested that the typical protocol be followed for the update of the general plan itself. Mayor Pro Tem Adams agreed that the suggestion made sense, but expressed his concern for losing the bottoms up approach to the process. He explained that it's a good idea for the Planning Commission to take a closer look at the principles in a public meeting, but it needs to be done in its proper context and it needs to be remembered that the principles were generated by GPAC. Volume 56 - Page 1008 City of Newport Beach Study Session Minutes June 22, 2004 18013 1 Commissioner Tucker agreed and stated that the Planning Commission would be reviewing the principles recommended by GPAC. He explained that the City Council will be making the ultimate decision, but it might be beneficial for the Planning Commission to review the principles and make a recommendation also. Mayor Ridgeway expressed his support for Commissioner Tucker's suggestion. He stated that it would provide for more dialogue and for an administrative record, and GPAC members could be present at the meeting. He felt that it would provide the opportunity for more citizen involvement and explained that the joint study sessions are a difficult format for citizens to provide input. Mr. Tescher noted that the process is currently involving GPAC in generating the land use alternatives, which should be completed in the next six weeks. He stated that this information will be transferred to the traffic and economic consultants, who will determine the impacts of the options. The process will then involve another round of general public discussions to receive feedback on the options and impacts. He stated that this would take place in the Fall of 2004. Mayor Ridgeway supported the process and the additional opportunity for public input. Assistant City Manager Wood noted that any changes to the current process will involve additional time and money. She explained that a meeting with the Planning Commission and a meeting with the City Council have not been programmed into the timeline. In response to Commissioner Toerge's comment, Mayor Pro Tem Adams reminded everyone that the process should remain a bottoms up approach. He stated that having council members at the GPAC meetings would be inappropriate. Council Member Heffernan asked for additional information on the timeline. Mr. Tescher stated that the recommended land use plan would be in place by the end of 2004. By the middle of 2005, the policy section of the plan would be formalized. In response to Commissioner Tucker's question, Mr. Tescher stated that the environmental document will be prepared concurrently with the general plan. Once the general plan and Environmental Impact Report (EIR) documents are prepared and published, the Planning Commission will hold the initial rounds of public hearings. After public testimony is received, the Planning Commission will make a recommendation to the City Council. Assistant City Manager Wood added that the draft EIR and draft general plan are expected to be released in September of 2005. Mayor Ridgeway acknowledged the work done by Mr. Tescher and EIP Associates. PUBLIC COMMENTS • Roger Summers, Chairman of the Project Advisory Committee (PAC) for Santa Ana Heights, stated that the residents in Santa Ana Heights are pleased to be a part of Newport Beach, but still have a concern for aesthetics and the limited open space in the area. He displayed a map of the area and pointed to two Volume 56 - Page 1009 City of Newport Beach Study Session Minutes June 22, 2004 parcels at the corner of Mesa and Birch. Mr. Summers requested that the parcels be developed into a passive park, which would also serve as an attractive entrance to Santa Ana Heights. He stated that the County wants to develop the two parcels into a parking lot. He asked the City Council to agendize the issue for a future City Council meeting and support a passive park. ADJOURNMENT - at 5:55 p.m. * * * * * * * * * * * * * * * * * * * * * * * * * * * * * ** The agenda for the Study Session was posted on June 16, 2004, at 3:00 p.m. on the City Hall Bulletin Board located outside of the City of Newport Beach Administration Building. City Clerk Recording Secretary Mayor Volume 56 - Page 1010 INDEX CITY OF NEWPORT BEACH City Council Minutes Regular Meeting June 22, 2004 - 7:00 p.nL STUDY SESSION- 4:00 p.m. CLOSED SESSION —None. * * * * * * * * * * * * * * * * * ** A. RECESSED AND RECONVENED AT 7:00 P.M. FOR REGULAR MEETING B. ROLL CALL Present: Heffernan, Rosansky, Adams, Bromberg, Webb, Nichols, Mayor Ridgeway Absent: None C. CLOSED SESSION REPORT — None. D. PLEDGE OF ALLEGIANCE — Council Member Webb. E. INVOCATION -Moment of Silence. F. G. H. Jon Reynolds, Chairman of the American Legion 4th of July Old Glory Boat Parade, invited everyone to join this patriotic event that starts at 1 p.m. off of Collins. He stated that they lengthened the mute and provided Council with a copy of the parade route. He reported that people can get their parade packet at the American Legion at 215 151h Street. He announced that there will be an awards banquet on July 17 at the American Legion at a cost of $15 per person. Mr. Reynolds displayed the poster which is original artwork by Steven Simon. He stated that they believe that over 100 boats will participate and noted that there is no registration fee lie directed people to www.al291.com to view pictures from past parades. He announced that he received a lot of help from Gay Wassall•Kelly and her husband, Bill. MEMBERS WOULD LIKE PLACED ON A FUTURE AGENDA FOR DISCUSSION, ACTION OR REPORT (NON- DISCUSSION ITEM): Council Member Webb reported that there was a fatal accident at the intersection of Bristol and Campus due to a vehicle running a red light. He stated that three of the intersections in the airport area are the top intersections in the community that have accidents. He asked that staff find out if those accidents are predominantly due to running red lights and investigate the possibility of installing red light cameras at some of Volume 56 - Page 1012 W"D D►:/ City of Newport Beach Regular Meeting June 22, 2004 INDEX the worst intersections. • Council Member Webb stated that the City is getting more traffic calming requests from neighborhoods. He noted that in 2000 or 2001, the City did an extensive program on the types of traffic calming measures and procedures were suggested about how to implement those programs. He indicated that this was presented to Council at a Study Session, but staff was not given guidance on whether to implement the report. He requested a Study Session in August or September to review the report and make recommendations on how to handle the requests. • Council Member Webb stated that Council received a letter from a lady in the West Newport assessment district who indicated that she may not be able to afford the assessment. He noted that there are procedures for people who have a hardship and asked staff to put together a handout that explains what a hardship is and what measure the City may use to help the individual overcome the hardship so there is as much support for the assessment districts as possible. • Council Member Webb reported that Kathy Harrison has been the chairperson for the City Arts Commission for the last two years and still has one more year left in her term. He complimented her on the wonderful job she has done in bringing events to the City - I. CONSENT CALENDAR READING OF MINUTESIORDINANCES AND RESOLUTIONS 1. MINUTES OF THE ADJOURNED REGULAR AND REGULAR MEETING OF JUNE 8, 2004. 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 City Clerk to read by title only. ORDINANCES FOR INTROD UCTION 3. AWARD OF NON - EXCLUSIVE SOLID WASTE COLLECTION Non- Exclusive FRANCHISE TO GOODWIN ENTERPRISES, INC. 1) Adopt Solid Waste Resolution of Intention No. 2004 -52 to award a Non - exclusive Solid Collection Waste Franchise to Goodwin Enterprises, Inc. and schedule a public Franchise hearing for July 13, 2004; and 2) introduce Ordinance No. 2004 -14 (421100 -2004) granting a Non - exclusive Solid Waste Franchise to Goodwin Enterprises, Inc. and pass to second reading on July 13, 2004. ORDINANCES FOR ADOPTION 4. Removed at the request of Council Member Heffernan. 5. CORPORATE PLAZA PLANNED COMMUNITY AMENDMENT - (100 -2004) PLANNED COMMUNITY DEVELOPMENT PLAN AMENDMENT NO. 2004 -002 (PA2004 -073). Adopt Ordinance No. 2004 -13 approving Volume 56 - Page 1013 City of Newport Beach Regular Meeting June 22, 2004 Planned Community Development Plan Amendment No. 2004 -002. (Council Member Heffernan recused himself on this item) RESOLUTIONS FOR ADOPTION INDEX 6. GENERAL MUNICIPAL ELECTION - NOVEMBER 2, 2004: General Municipal ADOPTION OF RESOLUTIONS CALLING THE ELECTION AND Election/ REQUESTING CONSOLIDATION WITH THE STATEWIDE November 2, 2004 GENERAL ELECTION. Adopt the following Resolutions pertaining to (32/100 -2004) the General Municipal Election scheduled for Tuesday, November 2, 2004 pursuant to Section 1000 of the City Charter: a) Resolution No. 2604 -53 Calling and Giving Notice of the Holding of a General Municipal Election to be Held on Tuesday, November 2, 2004, for the Election of Members of the City Council as Required by the Provisions of the City Charter; and b) Resolution No. 2004 -54 Requesting the Board of Supervisors of the County of Orange to Consolidate a General Municipal Election to be Held on Tuesday, November 2, 2004, with the Statewide General Election to be Held on the Same Date Pursuant to Section 10403 of the Elections Code.:. 7. RECYCLING SERVICE FEE. Adopt Resolution No. 2004 -55 (100 -2004) authorizing the recycling service fee to be set at $2.81 per month per residential unit effective July 1, 2004. 8. Removed at the request of Council Member Nichols. 9. SALE OF BONDS FOR UNDERGROUND ASSESSMENT Assessment DISTRICT NO. 75 BALBOA BUSINESS DISTRICT. Adopt District No. 75/ Resolution No. 2004 -57 which sets forth the terms and conditions for the Balboa Business sale of bonds and' approves the Purchase .Agreement submitted by the District (89/100 -2004) designated underwriter for Assessment District No. 75. CONTRACTS AND AGREEMENTS 10. LEGAL ADVERTISING BID FOR FISCAL YEAR 2004 -2005. Accept Legal Advertising the bid of the Daily Pilot and authorize a purchase order for the one -year (32/100 -2004) period of fiscal year 2004 -2005. 11. BAY AVENUE AREA STREET AND DRAINAGE IMPROVEMENTS C -3695 — APPROVAL OF PROFESSIONAL SERVICES AGREEMENT Bay Avenue WITH PENCO. ENGINEERING, INC. FOR DESIGN SERVICES Area Street and (C- 3696). 1). Approve a Professional Services Agreement with Penco Drainage Engineering, Inc. of Irvine for preliminary and final design services for Improvements the Bay Avenue area at a contract price of $175,314 and authorize the (38/100 -2004) Mayor and the City Clerk to execute the Agreement; and 2) approve a budget amendment (04BA -073) transferring $76,385 from Engineering Services Professional and Technical, account 5100 -8080 to General Fund — Bay Avenue Street and Drainage Improvement, account 7013 - 05100759, and $98,929 from Gas Tax — Balboa Island Pavement Improvement, account 7181- C5100645 to Gas Tax — Bay Avenue Street and Drainage Improvements account, 7181- C5100759. 12. CAMEO SHORES SEWER FORCE MAIN — COMPLETION AND C -3646 ACCEPTANCE OF CONTRACT (C- 3646). 1) Accept the work; I Cameo Shores Volume 56 -Page 1014 City of Newport Beach Regular Meeting June 22, 2004 INDEX Volume 56 - Page 1015 2) authorize the City Clerk to file a Notice of Completion; 3) authorize the Sewer Force Main City Clerk to release the Labor and Materials bond 35 days after the (38/100 -2004) Notice of Completion has been recorded in accordance with applicable portions of the Civil Code; and 4) release the Faithful Performance Bond one (1) year after Council acceptance. 13. NEWPORT BOULEVARD AND BALBOA BOULEVARD MERGER C -3654 (MDCI4ASTER) — COMPLETION AND ACCEPTANCE OF Newport Blvd. and CONTRACT (C- 3654). 1) Accept the work; 2) authorize the City Clerk Balboa Blvd. Merger to file a Notice of Completion; 3) authorize the City Clerk to release the (Mixmaster) Labor and Materials bond 35 days after the Notice of Completion has (38/100 -2004) been recorded in accordance with applicable portions of the Civil Code; and 4) release the Faithful Performance Bond one (1) year after Council acceptance. 14. NEWPORT BOULEVARD PAVEMENT REHABILITATION FROM C -3649 26TH STREET NORTHERLY — COMPLETION AND ACCEPTANCE Newport Blvd. OF CONTRACT (C- 3649). 1) Accept the work; 2) authorize the City Pavement Rehab Clerk to file a Notice of Completion; 3) authorize the City Clerk to release (38/100 -2004) the Labor and Materials bond 35 days after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code; and 4) release the Faithful Performance Bond one (1) year after Council acceptance. 15. STREET LIGHT REPLACEMENT PROGRAM (FY2002 -03) C -3447 SHORECLIFFS, CAMEO SHORES, AND CAMEO HIGHLANDS — Street Light COMPLETION AND ACCEPTANCE OF CONTRACT (C- 3447). Replacement 1) Accept the work; 2) authorize the City Clerk to file a Notice of Program Completion; 3) authorize the City Clerk to release the Labor and (38/100 -2004) Materials bond 35 days after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code; and 4) release the Faithful Performance Bond one (1) year after Council acceptance. 16. CORONA DEL MAR AREA PAVEMENT REHABILITATION — C -3650 AWARD OF CONTRACT (C- 3650). 1) Approve the plans and CdM Area Pavement specifications; 2) award the contract (C -3650) to Orion Contracting for the Rehabilitation total bid price of $892,660 and authorize the Mayor and the City Clerk to (38/100 -2004) execute the contract; 3) establish an amount of $89,000 to cover the cost of unforeseen work; 4) approve Geotechnical and /or Survey work in the amount of $21;000; and 5) approve a budget amendment (04BA -072) transferring the appropriation of $200,000 from Street and Bikeway Improvements, account 7181- C5100302 and $190,660 from the Newport Boulevard; Lindo Avenue, 28th, 30th, Clay, Coral, and 15th Street Improvements, account 7181- C5100729 to Corona del Mar Pavement Rehabilitation, account 7181- C5100730. 17. GRANT HOWALD — COMMUNITY YOUTH CENTER C -3634 BASKETBALL COURT REPLACEMENT - AWARD OF Grant Howald CONTRACT (C- 3634). 1) Approve the plans and specifications; Basketball Court 2) award a contract (C -3634) to International Pavement Solutions, Inc. Replacement for the total bid price of $67,720 and authorize the Mayor and the City (38/100 -2004) Clerk to execute the contract; 3) establish an amount of $6,700 to cover the cost of unforeseen work; 4) approve Geotechnical and/or Survey work Volume 56 - Page 1015 City of Newport Beach Regular Meeting June 22, 2004 in the amount of $1,000; and 5) approve a budget amendment (04BA -074) to appropriate an additional $15,420 in the Contributions — CYC Basketball Court Replacement account, 7251- C4120718 and to increase revenue estimates by the same amount in account 250 -4847, Per Capita Program 2002 Bond Act. 18. NEWPORT VILLAGE PARK DESIGN (C -3633) — APPROVAL OF PROFESSIONAL SERVICES AGREEMENT WITH HALL & FOREMAN. 1) Approve a budget amendment (04BA -075) in the amount of $8,950 from the Unappropriated General Fund balance, 010 -3605, to Newport Village Park Design, 7015- C4120656; and 2), approve a Professional Services Agreement with Hall & Foreman, Inc. of Irvine for planning and design services at a contract price of $128,950 and authorize the Mayor and City Clerk to execute the Agreement. 19. REQUEST FOR FUNDING FOR PROPOSED UNDERGROUND ASSESSMENT DISTRICT NO. 100 (AREA BOUNDED BY WEST BALBOA BOULEVARD, WEST OCEAN FRONT, ISLAND AVENUE AND 13TH STREET). 1) Approve a budget amendment (04BA -076) authorizing an advance from the General Fund in amount of $110,650 to Assessment District No. 100 and appropriate $67,200 to 74100 -9810 for SCE electric design, $22,000 to 74100 -9811 for SBC phone design, and $21,450 to 74100 -9812 for. assessment engineering services; and 2) authorize the City Managei-to execute a Professional Services Agreement with Hall & Foreman, Inc. in the not to exceed amount of $21,450 for assessment engineering services. 20. SEMENIUK SLOUGH PRELIMINARY ENGINEERING STUDY (C -3636) — APPROVAL OF A PROFESSIONAL SERVICES AGREEMENT WITH NOBLE CONSULTANTS, INC. Approve a Professional Services Agreement with Noble Consultants, Inc. of Irvine for a preliminary dredging investigation in the Semeniuk Slough at a contract price of $39,203 and authorize the Mayor and the City Clerk to execute the Agreement. 21. BIG CANYON RESERVOIR FLOATING COVER AND DISINFECTION IMPROVEMENTS (C -3037) — STATUS REPORT AND AMENDMENT` NO. 1 TO PROFESSIONAL SERVICES AGREEMENT WITH TETRA TECH, INC. 1) Receive and file status report; and 2)-,approve Amendment No. 1 to Professional Services Agreement with Tetra Tech, Inc. for construction support services for an increased fee of $36,000. 22. AUTHORIZATION TO PURCHASE POLICE MOBILE VIDEO SYSTEMS. 1) Approve an expenditure of $238,060 to purchase 31 Mobile Video Systems for use in all marked Police vehicles of the Newport Beach Police Department; 2) award bid to Kustom Signals, Inc. and authorize the Police Chief to negotiate a contract with the vendor, subject to approval by the City Attorney's Office and the City Manager; and 3) approve a budget amendment (04BA -077) of $13,060 from the General Fund Unappropriated Reserve to Account #1820 -9015. VoIume 56 - Page 1016 INDEX C -3633 Newport Village Park Design (38/100 -2004) Underground Assessment District 100 (89/100 -2004) C -3636 Semeniuk Slough Preliminary Engineering Study (38/100 -2004) C -3037 Big Canyon Reservoir Floating Cover and Disinfection Improvements (38/100 -2004) C -3047 Police Mobile Video Systems (38/100 -2004) City of Newport Beach Regular Meeting June 22, 2004 23. GREEN ACRES PROJECT — DOMESTIC SWIVEL ELL CONNECTIONS FOR NEWPORT BEACH AND BIG CANYON COUNTRY CLUBS — AWARD OF CONTRACT (C- 3698). 1) Approve the plans and specifications; 2) award the contract (C -3698) to GCI Construction for the total bid price of $196,600 and authorize the Mayor and the City Clerk to execute the contract; 3) establish an amount of $20,000 to cover the cost of unforeseen work; and 4) approve a budget amendment (04BA -078) increasing revenue estimates in the Water Fund, 500.5901, by $125,256 and increasing expenditure appropriations in the amount of $216,600 in Account No. 7501- C5500075 using $91,344 from Water Enterprise Fund Future Infrastructure Reserve 500 -3785. MISCELLANEOUS ACTIONS 24. Removed at the request of Council Member Nichols. 25. ADOPT A NEW COUNCIL POLICY FOR DISPLAYING FLAGS ON CITY BRIDGES (contd. from 5/25/04). 1) Adopt a new Council policy, L -24, for displaying flags on City bridges; and 2) direct staff to prepare and execute Encroachment Permit/Agreements with the Lido Isle Community Association and the Balboa Island improvement Association for the installation, maintenance and removal of flags on Via Lido Bridge and Marine Avenue Bridge. 26. RECOMMENDATION FROM ECONOMIC DEVELOPMENT COMMITTEE (EDC) TO FILL EDC VACANCY. Fill current EDC vacancy by appointing Ms. Jeannette Thomas as "at- large" representative. 27. Removed at the request of Council Member Nichols. 28. REVISIONS. TO APPEAL AND CALL FOR REVIEW PROCEDURES — CODE AMENDMENT NO. 2004 -002 (PA2004 -028) (contd. from 6/8/04). Continue to July 13, 2004. 539. Removed at the request of Mayor Ridgeway. Motion by Mayor Pro Tem Adams to approve the Consent Calendar, except for those items removed (4, 8, 24, 27 and S39), and noting the recusal of Council Member Heffernan on Item 5. The motion carried by the following roll call vote: Ayes: Heffernan, Rosansky, Adams, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: None Mayor Ridgeway announced that Mayor Pro Tem Adams will be catching a red- eye flight tonight to New York. He asked that Item 34 be considered now so Mayor Pro Tem Adams can vote on the item. Volume 56 - Page 1017 INDEX C -3698 Green Acres Project (38/100 -2004) (100.2004) (100 -2004) (100 -2004) City of Newport Beach Regular Meeting June 22, 2004 to take Item 34 out of order. The motion carried by the following roll call vote Ayes: Heffernan, Rosansky, Adams, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: None N. CONTINUED BUSINESS 34. APPOINTMENTS TO BOARDS AND COMMISSIONS. Mayor Ridgeway noted that Greg George requested that his application for the Planning Commission be withdrawn. City Clerk Harkless read the ballot votes for the Board of Library Trustees as follows: Byron Williams (Heffernan, Rosansky, Adams, Bromberg, Webb, Nichols, Mayor Ridgeway) City Clerk Harkless announced that Byron Williams is appointed to the Board of Library Trustees. City Clerk Harkless read the ballot votes for the City Arts Commission as follows: Arlene Cartozian ( Rosansky, Adams, Bromberg, Webb, Nichols, Mayor Ridgeway) Carol Starcevic (Heffernan, Rosansky, Adams, Bromberg, Webb, Nichols, Mayor Ridgeway) City Clerk Harkless announced that Arlene Cartozian is reappointed and Carol Starcevic is appointed to the City Arts Commission. City Clerk Harkless read the ballot votes for the Civil Service Board as follows: Paula Godfrey (Heffernan, Rosansky, Adams, Bromberg, Webb, Mayor Ridgeway) Doug Wood (Heffernan, Rosansky, Adams, Bromberg, Webb, Mayor Ridgeway) Charles Gross (Nichols) Marianne Zippi (Nichols) City Clerk Harkless announced that Paula Godfrey and Doug Wood are reappointed to the Civil Service Board. City Clerk Harkless read the ballot votes for the Harbor Commission as follows: Volume 56 -Page 10 18 INDEX (100 -2004) City of Newport Beach Regular Meeting June 22, 2004 Marshall Duffield (Heffernan, Rosansky, Adams, Bromberg, Webb, Nichols, Mayor Ridgeway) City Clerk Harkless announced that Marshall Duffield is reappointed to the Harbor Commission. City Clerk Harkless read the ballot votes for the Parks, Beaches & Recreation Commission as follows: Debra Allen (Heffernan, Rosansky, Adams, Bromberg, Webb, Nichols, Mayor Ridgeway) City Clerk Harkless announced that Debra Allen is reappointed to the Parks, Beaches & Recreation Commission. City Clerk Harkless read the ballot votes for the Planning Commission as follows: Jeffrey Cole (Heffernan, Rosansky, Adams, Bromberg, Mayor Ridgeway) Robert Hawkins ( Rosansky, Bromberg, Webb, Nichols) Leslie Daigle (Heffernan, Adams, Webb, Nichols, Mayor Ridgeway) City Clerk Harkless announced that Jeffrey Cole is reappointed and Leslie Daigle is appointed to the Planning Commission. Mayor Ridgeway congratulated everyone who was appointed. He also thanked everyone who applied for the positions and noted that their applications will be kept on file. PUBLIC HEARINGS' 29, JOSH SLOCUM'S DINNER AND SUPPER CLUB - USE PERMIT NO. 2003 -036 (PA2003 -220) — 2601 WEST COAST HIGHWAY. Associate Planner Ung reported that the site was first developed as a restaurant in 1968, prior to the requirement of a use permit. She stated that, since the site did not provide the required on -site parking spaces, an off -site parking, agreement was approved and implemented. She indicated that the off -site parking agreement was modified in 1977 and was subject to six conditions of approval when the establishment changed ownership. She stated that the site came under new management in 2001 and live entertainment and dancing was introduced. She reported that, since they require a cover charge in the late evening, this changed the establishment to a nightclub operation that requires a use permit. She indicated that code enforcement did not prove effective in convincing the operator to obtain a use permit and the matter was referred to the City Attorney's office for legal action. She reported that the City and operator settled the matter so that the operator would seek all necessary permits and the City would consider issuing special event permits. She stated that the applicant filed a use permit application in September 2003 to expand the hours to provide lunch service, expand the occupancy, and operate a nightclub after 9 p.m. with live entertainment and dancing. She reported that the application has two separate floor plans for the full- Volume 56 - Page 1019 INDEX Use Permit No. 2003 -036/ Josh Slocum's Dinner and Supper Club (88/100 -2004) City of Newport Beach Regular Meeting June 22, 2004 INDEX service dining operation with an occupancy of 140 people and the nightclub with an occupancy of 190 people. Ms. Ung reported that the Planning Commission considered the application on May 6 and only allowed the expansion of the legal nonconforming restaurant, but denied the nightclub request based on noise complaints, traffic issues, access issues, and public safety concerns raised by the Police Department. She stated that four people spoke against the application and reported that the applicant filed an appeal. Ms. Ung reported that, based on the concerns in the Planning Commission report and the public testimony, staff recommends that Council approve the recommendation in the staff report. She noted that the Commission received a letter in opposition to the live entertainment and dancing request, and it has bcen forwardcd to Council. In response to Mayor Pro Tem Adams' questions, Ms. Ong statcd that the City has permission on file for the applicant to represent the owner of the property. She reported that the applicant is planning to change the dock configuration from three slips to one. City Attorney Burnham added that one of the conditions limits the use of the facility to a single private vessel for private purposes, not charter activities. Ms. Ung confirmed that dancing and DJ activities have continued, even though it is not consistent with their entitlement. Mr. Burnham stated that there is ongoing disagreement between his office and the property owner's representatives about this, which resulted in the lawsuit that was filed against the establishment. He explained that a stipulation was filed with the court that required the applicant to submit a use permit application that would authorize dancing and live entertainment; however, the applicant believes they have a nonconforming right to continue to utilize a DJ and offer dancing . under their operation as it existed prior to the establishment of the use permit rcquirement. He believed that the ongoing dispute was not resolved in the. stipulation. He added that they proposed language in a draft of the stipulation that states there will be no dancing, but the language was removed at the request of the applicant and, in its place, they put in a provision which states that the applicant shall only engage in activitics to the extent permitted by the code. Mr. Burnham confirmed that the City did not take any code enforcement action because thcy were not advised by staff that there was any violation from the date the stipulation was approved to today. Further, there was a disagreement about what the applicant could do during that period. He explained that the stipulation essentially required the City to issue a special events permit that would allow the applicant to test the acoustics of the facility under live conditions. He stated that the initial acoustical test gave` all the information that was necessary to process the application. Further, the stipulation also called for the submission of the use permit application with the understanding that, if the use permit was denied, then the court would retain jurisdiction and the applicant would retain its rights to argue that they had nonconforming rights to offer dancing and utilize a DJ. In response to Council questions, Captain Riley displayed a book containing calls for service, crime reports, and incidents that the Police Department has responded to over the past 12 months. He reported that the 158 calls for service since June 1, 2003 were due to drunks, Volume 56 - Page 1020 City of Newport Beach Regular Meeting June 22, 2004 INDEX disturbances, drunk driving, keeping the peace, batteries, assault with a deadly weapon, vandalism, trespassing, drunk in public, business and professions code violations (alcohol - related issues), fights, and municipal code violations. He added that they have taken 30 reports at the location that involve vandalisms, suspicious circumstances, assault with a deadly weapon, petty thefts, batteries, and possession of marijuana. He confirmed that these activities occur primarily after 9 p.m. and noted that there is no other place in the community that has a record close to this. Captain Riley clarified that, after running the location address into their computer, it brings up any address and name mentioned on or about that location. However, he confirmed that the 30 reports either mention the restaurant or the incidents occurred at the scene. Ms. Ung confirmed for Mayor Pro Tem Adams that they serve lunch and dinner on Saturdays and Sundays. She reported that they currently operate from 5 p.m. to 2 a.m., but cannot serve lunch without discretionary approval. She stated that the current hours of operation were stipulated by the 1997 parking agreement. She indicated that they do not have information as to why the operation was started at that time, but the conditions set their hours of operation between 4:30 p.m. and 2:00 a.m., Monday to Saturday. Planning Director Temple added that there was a succession of off -site parking agreements and arrangements approved by the City over the years. She stated that they were sometimes related to change of Iocation or expansion of the floor area of the operation; however, the records were not clear. Jim Hildreth, Newport Beach, asked if the City is picking on Josh Slocum's because of the resident that just sold his property. He believed that the establishment has good ambiance and food, and there are people who want to patronize this establishment. He believed that it is inappropriate for the City to take on this attitude. Bill Hodge, representing Josh Slocum's Restaurant, presented Council with a handout. He reported that the use permit request would expand the dining capacity by ten seats, allow entertainment and dancing with a capacity of up to 190 people after 9 p.m., approve an additional off -site parking agreement across the street to bring the property up to code, and allow live entertainment. He noted that he has a copy of the settlement agreement but it is unsigned; however, it directs them to retain a noise consultant, secure a City permit to test live entertainment to do an acoustical study to determine if the restaurant is operating at a decibel level that was above City standards, compile the noise study results and then do improvements to ameliorate any noise impacts that were identified, file for a use permit to allow live entertainment, and have the court retain jurisdiction in the event the permit was not issued. Mr. Hodges reported that the acoustical consultant evaluated noise at six locations, including two on Lido Isle, and determined that the sound from Josh Slocum's was within the City's standard of 50 dB in residential areas and 60 dB in commercial areas. He stated that they agreed to implement further sound attenuation measures in order to ensure they were good neighbors. Regarding parking and circulation, he stated that the project will be to code through the use of the off -site agreement. He noted that they changed the number of boat slips because it was the Volume 56 - Page 1021 City of Newport Beach Regular Meeting June 22, 2004 INDEX reason they were three or four parking spaces short. He reported that the plan they developed would fill the off -site parking spots first in order to keep the parking on the premises open to allow better circulation; split the valets between the establishment parking lot and the lot across the street; utilize the pedestrian - protected crossing at the signalized intersection; and assist in the intersection upgrade. Mr. Hodges reported that the restaurant employs eight security guards who are identified with shirts; the line in front of the restaurant will be limited; if those waiting in line need to use the restroom, they will be taken to the restroom so access can still be controlled; and they have two control points. He indicated that he went to the Police Department after the Commission hearing and filed a request to look at their information, but he was not contacted and was surprised to hear some of the things that were said tonight. He believed that they are not near the highest volume of reporting calls in the City. Mr. Hodges believed that Josh Slocum's Dinner and Supper Club provides an upscale dining and dancing experience for residents and visitors. He stated that they desire to continue a working relationship with the City that was established through the settlement agreement and through this process. He noted that Pat Connors; Vice President of Operations for Random Interactive, Inc., who manages the restaurant and is responsible for its operation is present tonight. Mr. Hodges stated that they wish to enjoy the same business use= as other restaurants. He expressed the opinion that it does not make sense to accept a use permit with 44 conditions just to add ten seats to the restaurant. However, he noted that they were willing to accept the 68 conditions that were proposed by staff relative to dancing and entertainment. He believed that the City would be in a much better position to issue the use permit with 68 conditions and then take a.chance on this going to further litigation. He stated that they are willing to implement additional noise measures and .cooperate with the intersection improvements. He believed that, from the beginning, they have talked about having live entertainment one night a week and they are willing to stop this at midnight as a further way to ameliorate any noise impact that could be perceived. Mr. Hodges stated that the current maximum occupancy in the restaurant is 133. He noted that they initially requested an occupancy higher than 190, but they lowered it to try to answer some of the concerns. Mayor Pro Tem Adams expressed concern that they are requesting a lot higher density than what exists today. Mr. Hodges noted that noise improvements were implemented as a result of the acoustical study, adding that they even installed a switch for the manager that doesn't allow the DJ to go above a certain level. He assured Council that people can tell who security personnel are in the restaurant, they have closed down the parking lot when it is at capacity, and they allow people to use the restroom facility if they are in line. He stated that they are contemplating having one live entertainment permit a week, but they would be open to a condition that limits this number. Volume 56 - Page 1022 City of Newport Beach Regular Meeting June 22, 2004 INDEX Mr. Hodges reported that security is also out in the parking lot during hours of operation. Council Member Bromberg stated that he drove by the restaurant over the weekend and someone was throwing up in the street and another person was flipping cars off as they drove by. Mr. Hodges emphasized that those kinds of behavior are unacceptable and their security would be set up to try to deal with it. Council Member Bromberg expressed concern that changing to a nightclub would exasperate the problem. Council Member Webb asked how many people are necessary before they turn people away in line. Mr. Hodges stated that the line is currently restricted based on parking capacity, but they are willing to look at a number that makes sense as to what creates an impediment to circulation in the parking lot. He reported that they now have four valets who try to immediately run the cars across the street, they come back at the signalized intersection, and then they take the next group of cars over. He stated that occasionally there will be a backup like any restaurant in that area. Council Member Webb noted that the site is extremely tight and questioned whether the City wants to look at increasing its density. Mayor Pro Tem Adams left the meeting at 7:57 p.m. Roger Grable stated that he was the attorney that represented the applicant when this enforcement action came up. He indicated that, when he first became involved, the original noise complaints were from two neighbors who were living in a nonconforming residence immediately adjacent to the restaurant. He stated that the restaurant voluntarily made changes acoustically that addressed their problems and noted that they weren't getting complaints from Lido Isle. He pointed out that the judgment was designed to give them the opportunity to test live entertainment. He explained that they did not apply for the second permit because the acoustical test indicated that they did not need to do any further modifications. He noted that they had live entertainment, recorded music, and dancing over the years, so they felt they had a good argument for this to continue. However, as part of the judgment, they agreed to put these issues aside on the basis that they would evaluate the potential for live entertainment and then come to the City for a use permit so the City could regulate the issues they were concerned about and give Josh Slocum's an opportunity to have an operation that was more like others in the area. Mr. Grable emphasized that dancing was never something they agreed they could not do and added that this was not covered in the judgment. He stated that they do not allow people to dance there as part of the dinner section, explaining that they close the restaurant, move tables, and then charge admission. He noted that, according to the City's code, a cafe dance permit is only required if the restaurant does not charge admission. He stated that they feel they were acting in good faith, noting that no one told them that they weren't. He requested that they be given the opportunity to review the police reports if Council was going to base their decision on them. He stated that he constantly talks with Mr. Connors who indicated that they only had one fight at the location since January. He indicated that they would prefer that this be continued in order to review the police reports. Volume 56 - Page 1023 City of Newport Beach Regular Meeting June 22, 2004 INDEX In response to Council Member Rosansky's questions, Mr. Hodges believed that Margaritaville, Villa Nova, Billy's at the Beach, and Joe's Crab Shack have dancing and /or live entertainment. He noted that Villa Nova also has limited on -site parking and has a valet parking system. He agreed that Villa Nova has two driveways and a piano bar, and confirmed that Margaritaville has a significant parking lot and a municipal lot behind it. Mayor Ridgeway indicated that he is not persuaded by the Police reports and he is satisfied that Josh Slocum's can mitigate the noise. However, he is not favorably inclined knowing the traffic situation, the intensity of use, and inability to deal with the crowds. He agreed that they have a right to review the file. Motion by Mayor Ridgeway to continue the item to the July 13, 2004 Council meeting. Council Member Webb indicated that he is concerned with the Police reports and requested a summary of the types of complaints and whether they apply to Josh Slocum's. Council Member Heffernan stated that he is not sure why they are considering extending the hours when the establishment is shoe- horned in there with no general circulation. He noted that they are only going to have one guard per 200 square feet and believed that this is a very active late night use on a site that is ill- equipped .to handle the density. He indicated that he is in favor of upholding the Commission's decision, but his mind is always open and he will hear this de novo. The motion carried by the following roll call vote: Ayes: Heffernan, Rosansky, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: Adams K. PUBLIC COMMENTS Robert Walchli, Corona del Mar, requested that Council adopt an emergency ordinance to prohibit the installation of any rooftop canopy, shrub, or other object that exceeds the maximum legal building height and negatively impacts the views or light of neighboring properties. He believed that Council passed two ordinances in midnight sessions that may damage property values in Corona del Mar, and asked that Council take the same consideration on an ordinance designed to protect the property rights and values of view properties throughout Newport Beach. Mr. Walchli also requested an ordinance which deals with construction dust and requires the Police Department to enforce AQMD Rule 402. He requested that the City require building permittees to sign a statement that indicates they understand the dust law and will be cited for violations. He added that every job site should have a sign posted with a phone number so the public can report violations. He believed that, if the Volume 56 -Page 1024 City of Newport Beach Regular Meeting June 22, 2004 City does not take steps to protect the property and health of the public, it could be held legally responsible. He stated that he could email or fax his statement to the City Attorney. Jim Hildreth, Newport Beach, discussed the City's website concerning him. He referenced the seventh key point and stated that the old harbor permits for the Grand Canal have never been presented to him. He believed that the City does not want to retain records more than two years, but the County's marine department has records dated back 50 years. He stated that he presented documentation that, for J. M. Hildreth, the billing records state it was a pier permit, even though piers are not allowed in the Grand Canal. He indicated that someone has an access structure they want to put in the Grand Canal, but there is no permit they can fill out. He believed that the City has acknowledged that the location of the Grand Canal for J. M. Hildreth is an access structure. BJ Johnson, on behalf of the Corona del Mar Centennial Committee, invited Council as their VIP guests to their first event on July 15 at Sherman Gardens from 5 p.m. to 9 p.m. to help launch their centennial 100 day countdown. L. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES Ad Hoc General Plan Update Committee (GPUC) — None. Local Coastal Program Certification Committee — Mayor Ridgeway reported that the LCP was certified by Council and staff is preparing the application to send to the California Coastal Commission. Newport Coast Advisory Committee — Council Member Heffernan reported that they met the first week in June and noted that the community center and Newport Coast Elementary School loop road agenda items came out of that meeting. Mariners Joint Use Library Ad Hoc Steering Committee — Council Member Webb reported that the groundbreaking ceremony was held last Thursday. He stated that the plans are almost ready to go out to bid and it will come before Council sometime in mid to late August. Other Commnittee Activities — None. M. PLANNING COMMISSION AGENDA AND ORAL STATUS REPORT 30. PLANNING COMMISSION AGENDA FOR JUNE 17, 2004. Planning Director Temple reported that the public hearing for the St. Andrew's Presbyterian Church was continued to July 22. She also reported that the Commission approved amendments to the zoning code regarding group recovery homes in residential zones. She stated that this will be coming to Council and noted that this was the second discussion on the item. She indicated that the Commission expressed concerns about the City's limitation in regulating these types of facilities in residential districts. She stated that, given information provided by Volume 56 - Page 1025 INDEX (100 -2004) City of Newport Beach Regular Meeting June 22, 2004 the consulting attorney and the City Attorney's office, they felt that the proposed ordinance fell within the limits of the City's discretion. Ms. Temple stated that the Commission considered an appeal of the denial of the Modification Committee of a request to allow a required parking space to encroach 4.5 feet into a required 5 foot alley setback on Balboa Island. She indicated that they voted to sustain the action of the Modification Committee because they felt that additional obstructions in the alley setback would create hindrances they could not support. Ms. Temple reported that the Commission held a public hearing on a requested use permit for the Bahia Corinthian Yacht Club: She stated that staff recommended denying the request due to parking concerns. She indicated that the Commission continued the item to July 22 after testimony by the applicant and an agreement that the security gates in the parking lot would be raised during normal hours of operation and the applicant would prepare a parking study and management plan as originally requested by staff. Ms. Temple reported that the purpose of the change to the Mariners Mile landscape was to slightly reduce the number of palm trees adjoining public sidewalks and provide additional options for the hedge treatment. She stated that the item was approved without any discussion by the Commission and will be coming before Council. She explained that the design framework requires the installation of a hedge that is no less than 30- inches high, except in locations where sight distance would require it to be lower. She stated that it is intended to provide a continuous look of green vegetation. She. confirmed that, instead of only having a single species of hedge, the property owner will be able to select from three different varieties if Council approves this. She indicated that they recently discovered that the current specie can grow up to eight feet tall, which would require more maintenance. She stated that this requirement would run from O1d.Newport Boulevard to Dover Drive. N. CONTINUED BUSINESS 31. 2004 -05 BUDGET ADOPTION. City Manager Bludau reported that Council conducted four study session budget reviews:. He noted that Council is required to adopt a budget by July 1. Administrative Services Director Danner added that the budget resolution and checklist are required to be adopted. He explained that the checklist has items requested by Council, the public, public organizations, or by administrative action. He reported that, when they prepared the report last week, they predicted a General Fund shortfall of about $64,777 if all of the supplemental budget items were approved, noting that the total budget is $158 million and the General Fund budget is a little over $115 million. Mr. Bludau reported that the traffic management plan for the area around Corona del Mar High School was added at the study session. Mr. Danner stated that this was a request by Mayor Pro Tem Adams and believed that this can be done for $50,000 from Gas Tax Funds so it won't have an impact on the General Fund. Volume 56 - Page 1026 IIN117D/1 (100 -2004) City of Newport Beach Regular Meeting June 22, 2004 INDEX Council Member Bromberg stated that he requested a number of items at the last meeting. He requested that the $95,000 Balboa Island Streetlight Upgrades item be reduced by $60,000. Regarding the holiday lighting for the Balboa Island Improvement Association and Irvine Terrace area, he explained that this is for the Balboa Island bridge which is a City bridge but the community is involved in its the lighting and decorating. He noted that Balboa Island is a tourist attraction during the holiday season. He reported that the $2,500 for Irvine Terrace should be designated only to the northeast corner of Jamboree Road and Bayside Drive which is City property. He indicated that Balboa Island considers that an extension of the bridge. Council Member Heffernan indicated that his request for speed bumps on Port Weybridge and Port Provence was not included on the list and that it would only cost about $3,000. Public Works Director Badum believed that this was included as part of the $15,000 traffic calming project. He added that Item 24 is a status report on traffic calming studies for Newport Heights and the Port Streets. Council Member Webb asked if traffic calming measures should be listed specifically or by lump sum so there is something to back up what will be constructed. Council Member Heffernan expressed concern about spending $80,000 for the study and only spending $35,000 for the improvements. . He believed this is backwards and money should be allocated proportionately. He noted that no work has been done since last year. Mr. Bludau indicated that staff felt that, after the study concluded, Council could authorize the transfer of unappropriated General Fund moneys. Council Member Heffernan asked what happens if the traffic study determines that a lit crosswalk adjacent to Anderson Elementary School is not necessary but it has been heavily lobbied for. Mr. Bludau noted that Council can authorize anything it wants whether there is a traffic study or not. He stated that Council previously decided that, whenever neighborhoods came forward wanting traffic calming, there would be a process that staff would follow that involved the neighborhood and looked at all of the options before they came back to Council with a recommendation. City Attorney Burnham stated that, if there is a speck project Council Member Heffernan wants budgeted, Council may want to consider identifying that project with an estimated construction cost and then delete this $15,000 if there aren't identified improvements. Council Member Heffernan requested that it be left in as two separate items and see what the study says. Council Member Bromberg stated that the Newport Ocean Sailing Association (NOSA) who puts on the Newport- Ensenada Race asked the City to be a sponsor and requested $50,000. He indicated that he supports what they do; however, except for the Newport Beach Film Festival, the City does not give this amount of money to even local organizations. He suggested starting out with giving them $10,000 for the first year. Regarding the design of a monument sign for Newport Coast Drive, Council Member Webb reported that Council Policy L -14 allows for only two modest signs in City right -of -ways at various villages. He asked if this falls within this policy and if it should be modified if the City is going Volume 56 - Page 1027 City of Newport Beach Regular Meeting June 22, 2004 INDEX to design something more significant. He added that the policy also states that the association will pay 50 %. Council Member Heffernan noted that the Newport Coast Advisory Committee (NCAC) specifically asked for the money with the idea that the monuments would be a statement; however, if the policy does not allow them to have that type of unique entrance to the City, he believed it would be appropriate to address the policy and then do the design, rather than spend $25,000 on the design if Council is not willing to change the policy. He requested that this item be deleted. Mr. Bludau indicated that this could be brought back at a study session. Mayor Ridgeway suggested leaving it on the list since the money won't be spent until Council reviews Policy 1,-14. Council Member Heffernan agreed. Dolores Otting, Newport Beach, stated that she watched the last meeting's discussions about calling up Planning Commission items and believed that part of the problem is that you have to wait until the minutes are manually transcribed. She stated that she requested a duplicating machine so Council and the public could listen to meetings in their car. Ms. Otting asked that money be spent on updating the City's website so items are viewed by Acrobat Reader rather than Alchemy. City Clerk Harkless reported that Council purchased a new recording system last year which allows staff to make CDs of audio recordings of meetings that are held in the Council Chambers. Peggy Fort, Executive Director of the Corona del Mar Centennial Foundation and the Chairperson of the Centennial Planning Commission, urged Council to support their $50,000 budget request to help fund the centennial celebration- She noted that they submitted a detailed budget. She stated that the celebration is a prelude to the City's 100 year birthday. She indicated that the goal of the Centennial Foundation to build the Centennial Plaza is to honor their 100 year birthday and inspire future generations- She reported that the funding will go towards the event celebration, noting that the total budget is $470,000. Jim Hildretb, Newport Beach, requested that the City put money in the budget to replace the structure it removed on the Grand Canal. He believed that Policy H -1 is supposed to be temporary and not year- round. Bernie Svalstad, Corona del Mar Chamber of Commerce Board of Director, reported that the $5,000 for the Scenic 5K Run and the $10,000 for the Christmas Walk are the same amounts that were allocated last year. He stated that this will be the last year they will be asking for funding for the Christmas Walk. He reported that they almost made back all of the $5,000 for the City because it was the best year they've had for the 5K Run, noting that they raised $52,000 and the City gets half of that. Motion by Council Member Bromber¢ to adopt Resolution No. 2004- 58 adopting the City's 2004 -05 Budget, as amended by the approved Budget Checklist items. Volume 56 - Page 1028 City of Newport Beach Regular Meeting June 22, 2004 In response to Council Member Nichols' question, Mr. Danner clarified that the $23,663 is for the operating costs of the new bus for the Oasis Senior Center if it is approved tonight. Mr. Danner confirmed for Council Member Heffernan that the budget is now in the black. The motion carried by the following roll call vote Ayes: Heffernan, Rosansky, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: Adams City Manager Bludau believed that it would make more sense to take Item 33 before Item 32, in order to see if the City is going to need a Memorandum of Understanding. 33. NEWPORT COAST ELEMENTARY SCHOOL LOOP ROAD — AWARD OF CONTRACT (C -3684) (contd. from 6/8/04). Assistant City Manager Kiff utilized a PowerPoint presentation which was used last night at the Newport Coast workshop. He reported that the proposal would allow people to make a right turn behind the school off of Newport Coast Drive, before they get to San Joaquin Hills. He stated that the road would be open only during school hours (7 a.m. to 4 p.m.) and there would be two automatic gates. He indicated that other operational changes were to make the entrance /exit to Newport Coast into an egress, add no parking zones, and extend the left turn signal. He indicated that the Tesoro residents expressed concern relative to inadequate noticing, noise impacts, and aesthetics. In response to Council Member Heffernan's questions, Public Works Director Badum stated that construction design will be completed before Labor Day so the road will be functional for the first day of school. He indicated that the contract completion date for the road is about 30 working days, but they will probably end up doing some of the landscape work along Newport Coast Drive after the start of school. He stated that he believes that the road will be done unless there is some intervention and the project has to stop. He added that they have the contractor's schedule and they are confident that there is plenty of time to do all the work required to have an operable roadway. He stated that, in the event the work was not done by the time school started, the City would need to talk with the Newport -Mesa School District and, depending on what work is remaining, they can determine if areas could be fenced off to continue work. However, if this project is not started in the very near future, they would probably not start it because construction would be too disruptive. City Manager Bludau noted that the memorandum of understanding (MOM between the City and the school district (Item 32) allows the City to design the project and oversee its construction. Even though the project is on school district property and if the project was not completed by the time school started, he Volume 56 - Page 1029 INDEX C -3684 Newport Coast Elementary School Loop Road (38/100 -2004) City of Newport Beach Regular Meeting June 22, 2004 I101"I :1 believed that the school district would work with the City especially due to the purpose of the road. Council Member Webb asked if it would be possible to install a fence to isolate the construction equipment from the playground equipment since the project is set up with access off of Newport Coast Drive. Mr. Badum stated that this is possible, but the real goal is to get the traffic problem solved before school starts. Council Member Webb asked if the liquidated damage amount could be increased for this project. Mr. Badum noted that there already is a bid and the amount has already been set. Council Member Rosansky noted that the City normally would not do construction on school property and asked where the money is coming from. Mr. Badum reported that the money is coming from a Bonita Canyon bond indenture, stating that school improvement and City improvement accounts were established when the bonds were sold. He indicated that the City's improvement was the Bonita Canyon Sports Park. He reported that the project is basically complete, but since there is a substantial amount of interest in that account, they are proposing to transfer that money to the school improvement account. He clarified that the school improvement account lists Newport Coast Elementary School as an eligible recipient of these funds. He stated that the school district will appropriate these funds and turn it over to the City so the City can manage this project for them. Mr.. Bludau indicated that the City's portion totals about $934,000 and can only be used for the benefit of the people who paid into the assessment. Council Member Heffernan asked if the children of the people who paid into the assessment can go to Newport Coast Elementary School. Mr. Bludau stated that the bond was set up in a way that this might happen. Sean O'Connor, Newport Coast, stated that he is a parent and homeowner, he lives in the Tesoro neighborhood, and he is an attorney. He indicated that he appreciates the effort to find a solution to the traffic problem, but opposed the solution being offered. He expressed his surprise that bids were received on May 25 and stated that they just learned about this for the first time about two weeks ago. He noted that Mr. Badum acknowledged that it was a mistake not to include them in the process. He believed that it was presented to them when this was already a done .deal and the City held last night's meeting only for the purposes of saying they held it, even though the conclusion has already been made. -Mr. O'Connor stated that, at last night's meeting, they learned that there are operational improvements that can be made that might solve the problem without constructing a $500,000 road. He suggested combining operational improvements like having volunteers or traffic guards at the parking lot entrance to help regulate the traffic situation; providing incentives to take the bus to school; and changing the time construction trucks can use Ridge Park Road. He stated that these alternatives should be looked at over the next school year. Mr. O'Connor believed that the proposal will bring more cars to the area since it will be more convenient to use, and there will be more traffic which means more danger for the children who walk to school. He believed that the City will also have a major California Environmental Quality Act (CEQA) problem, noting that the reference to Section 15314 only applies to physical Volume 56 - Page 1030 City of Newport Beach Regular Meeting June 22, 2004 INDEX additions to schools where the student body population is being improved by less than 25 %. He noted that there are a couple of cases that interpret this and believed that alternatives should be looked at so the residents are not forced into a CEQA challenge. Leon Lyon, Newport Coast, stated that he lives above the site. He noted that it took over a year to see the playground completed and questioned whether the project will really be done over the summer. He indicated that he was told there was not enough room for a queue along Ridge Park Road because of the entrance at Tesoro, but believed the area is longer than what other schools have. He believed that trucks that do not have anything to do with the project should be moved over one block. He stated that he was told they want to provide parking in the back for evening events. He added that they do not need an automatic gate. Council Member Bromberg asked about the CEQA issue. City Attorney Burnham indicated that he has not done the research on the appropriateness of using Section 15314 on this project. Mr. Badum reported that the notice for last night's meeting was sent out by the school district and the City about a week ago. He stated that they have been meeting with the PTA, the school district, the Newport Coast Advisory Committee (NCAC), and other interested parents for the last year, and indicated that they have had no formal correspondence with the homeowner associations. Mr. Kiff stated that there are no members from Tesoro on the NCAC. Gregory Brown, Newport Coast, read his email he sent to Council, stating that the project is being presented as a means to mitigate congestion and improve safety during the times parents are dropping off and picking up their children at the school. He believed that the road will not solve the problem but only move the congestion to a new location. He stated that simpler solutions that require little or no construction entail modifications to existing traffic patterns, signage, and enforcement by traffic officers. He believed that the current plan will affect their property values and increase noise and air pollution. He stated that the City has made no effort to directly contact the Tesoro residents and suggestions were presented last night but they will not be evaluated. He indicated that he is a manager of a local transportationlinfrastructure firm and offered to donate his time to help find other solutions. Mr. Bludau reported that the current path is a 50 foot wide maintenance road and what is being proposed is a 25 foot wide paved loop road and a 5 foot wide sidewalk. Dana Schonwit, Newport Coast, spoke in support of the road. She stated that it will not resolve the traffic issues because there are a lot of geographical restrictions; however, the proposal is the safest resolution to the problem. She expressed her support of having the traffic flow in one direction and for restricting the buses so they have their own designated area. She believed that kids will be safer than if they were on Ridge Park Road or a major arterial highway. She indicated that people say they will volunteer, but they don't consistently do it. Volume 56 - Page 1031 City of Newport Beach Regular Meeting June 22, 2004 INDEX Craig Meteskey, Newport Coast, stated that he was only notified about a week to 10 days ago. He indicated that his biggest issue is that about $90,000 was spent on this study, but no written documentation was generated. He read a letter from his neighbor, Michael Sheehan, who took issue with the noticing and the meeting that occurred on Monday. He indicated that, when the City was questioned about how many accidents occurred and the number of cars that drive through the school each day, they did not know the answer. He stated that he was told there was no study but they showed aerial videos from March 2003. He believed that the loop road is not needed and that the City is solving the symptoms and not the issues. He added that using a few operational processes could save taxpayer dollars. He stated that a shift is needed to mandate an operational flow from all parents who wish to drop their kids off at the school. He suggested staggering the times for the different grades, deploying volunteers to help direct and maintain the ingresses and egresses, limiting access by not allowing the left turn into the school from Ridge Park Road, and moving teacher parking to the northeast end of the playground to free up drop off space for the parents. He believed that the City was not open to any alternatives at this late stage. He stated that many residents are happy to engage in a cooperative process. In response to Council Member Heffernan's question, Mr. Kiff indicated that the NCAC has not taken a position on the loop road. He stated that this was brought to them at their June meeting, they had the opportunity to take a position but didn't, and asked to have the meeting that was held yesterday. Council Member Bromberg stated that he visited the school three times and thinks this is a good fix; however, he believed that outreach slipped through the cracks. Further, there is no answer to the CEQA issue. He indicated that he is inclined to continue this to allow the residents the opportunity to be heard and to look at alternatives. Motion by Council Member Brombere to continue this to the July 13, 2004 Council meeting. Regarding the study, Mr. Badum reported that they have only spent $30,000 at most, which includes project management, title work, design work for retaining walls, and soil investigation. Mr. Bludau added that there was no written study and explained that members of the Police Department and Public Works went out to the site a number of times. He stated that they were first approached by members of the Newport Coast Elementary School and PTA to do something about the problem. He reported that they did look at other alternatives but they were discarded. He stated that staff was assuming the community thought there was a safety problem that needed remedying, but agreed that staff dropped the ball with regard to the process. Council Member Heffernan noted that this would actually be continued for three weeks and the conundrum before the City is that, if this is not approved, it puts it into the school year. Mr. Badum confirmed that the project would not be completed by fall if this was continued. Further, he would need to ask the low bidder if he is willing to hold his prices for Volume 56 - Page 1032 City of Newport Beach Regular Meeting June 22, 2004 INDEX another three weeks. He added that this item would actually be continued a total of five weeks since this was continued at the last meeting. He stated that, if the contractor is not willing to hold his prices, the City would need to reject all bids and rebid the entire project. Council Member Heffernan asked what will be done substantially in the interim to improve the situation. Council Member Bromberg indicated that the decision makers have not seen the alternatives. He stated that it might be a waste of time, but he does not know that. Council Member Rosansky emphasized that the school is not the City's property and, with regard to operating alternatives, it is not the City who will provide parking monitors. He stated that the school district will have to decide operationally to do things differently. Mr. Bludau stated that school officials are willing to change their operation and the City can help with the removal of construction trucks on Ridge Park Road. Mr. Riff reported that the loop road is combined with a number of operational improvements, including removing construction trucks and making improvements onsite. He stated that the basic problem at the school is that there is not enough space to queue and the loop road doubles or triples the queuing space. Mr. Badum indicated that the proposal was generated through a process where they met with the Police Department, traffic engineers, and the PTA. He believed that the idea of the loop road was around even before the school was built, but it was not pursued because it was originally thought that the school would only have about 200 students. He reported that, with 600 students, there is not enough space for queuing on Ridge Park Road which is a 45 mph arterial highway with construction traffic. He stated that there is a huge concern that something is going to happen and that is why they pushed this forward so quickly. He indicated that they probably should've brought in the residents earlier, but they met with them and showed them the reasoning behind the proposal. Mr. Badum stated that he is thoroughly convinced in his professional judgment that the loop road is the best solution. He added that he does not have a problem with pushing this back, but this means that Council is okay with starting the next school year without any improvements. Mayor Ridgeway stated that he lives almost adjacent to Newport Elementary School which has a significant queuing problem, even though school zone speed limits are 25 mph. He indicated that he witnessed two pedestrians hit in the crosswalk while the crossing guard was there because there is too much traffic. He stated that, if the residents are prepared to sit here tonight and say they are going to endanger one student, that is a decision Council has to weigh. Regarding alternatives, Mr. Kiff reported that they considered installing a signal at Ridge Park Road and the school entrance, but it was too close to the signal at Newport Coast Drive and Ridge Park Road, and does not add any queuing space. He stated that a drop off location on northbound Newport Coast Drive is not accessible to people with disabilities, is a fairly dangerous location to pull over and park, and the queuing is limited and would back up into the intersection. Regarding prohibiting left turns from eastbound Ridge Park Road, he stated that this does not add queuing space and would force drivers up the hill. He indicated that Volume 56 - Page 1033 City of Newport Beach Regular Meeting June 22, 2004 INDEX not enough kids cross at Ridge Park Road and the school entrance to warrant having a crossing guard. Regarding the operational changes on school grounds, he noted that changes that rely on people's behaviors don't always last and needs to be reinforced, and the system could be ruined by one or two parents in a hurry. Further, queuing space would still be a problem. He reported that schools cannot stagger the release times enough to even out the problem. He stated that there is discussion at the school level about their bussing requirements. Further, they are asserting that they have to go to a drop off schedule in which 120 kindergarteners get out first and the rest of the school gets out at the next timeslot. In response to Council Member Rosansky's questions, Mr. Riff stated that they propose to have a gate on the road so it is only open during school hours and on school days, roughly 8 a.m. to 4 p.m., Monday through Friday. He noted that during the drop off time, only buses will be allowed to use the left turn lane; however, parents can use it during the middle of the day. Mr. Kiff stated that they talked about closing off the road other than during drop off times, but this is something they would need to work with the school district if Council felt it was appropriate. Monique Van Zeebroeck, Principal of Newport Coast Elementary School, reported that the school opens at 8:35 a.m., kindergarten will dismiss at 2:05 p.m. and the rest of the students will dismiss at 3:10 p.m. She believed that children will probably be dropped off at 8 a.m., noting that they have supervision on campus about 20 minutes before school starts. She indicated that the problem happens more in the afternoon. She expressed her support for the loop road, stating that she has been involved with this since the school opened. She assured Council that every option has been discussed, including having an underground parking lot, a walking bridge, and a tunnel under Ridge Park Road. She emphasized that their concern is for safety since there is too much congestion at the entry into the school. She reported that attendance has more than doubled in four years, noting that next year there will be more than 650 students enrolled. She expressed her appreciation to the City for working with them when they came to them. Ms. Van Zeebroeck indicated that queuing occurs from about 1:30 p.m. to 3:30 p.m. Mr. Brown believed that the problem is queuing, all this does is move it to the school ground, and this can still take place on Ridge Park Road because the road is wide. He noted that the road does not need to be posted at 45 mph. He indicated that, if the queue needs to be extended, Ridge Park Road has plenty of room to be widened. Mr. Kiff showed a 50 second video from May 2003 that shows how close children have gotten to being hit. Chris Johnston, Newport Coast, believed that some of the operational changes could be done right now to help the present system and agreed that moving the construction trucks should be done immediately. He stated that the loop road might ultimately be the best solution, but he would like to see what can be done first. Volume 56 - Page 1034 City of Newport Beach Regular Meeting June 22, 2004 INDEX Phil Britton, Newport -Mesa School District Assistant Director of Maintenance and Operations, reported that they support the construction of the loop road. He believed that all the alternatives were studied and reviewed by most of the parties involved and that the loop road is the best possible alternative to solve the problem. Council Member Nichols believed that the road can be queued by putting in a turning circle. He added that this would also slow down the excessive speeds. He noted that they have a one -way that allows them to exit parallel with the buses and also allows people to get in the lane to go up the hill. He stated that, if the parking lot that is controlled by the Master Association can be used, the 30 spots could provide possible space for someone who wants to walk their child into the school. He believed that it would get worse if they have a queue that extends out onto Newport Coast Drive since the speed limit is 60 mph. Shana Woodyard, Newport Coast, stated that she is the PTA President and a lot of parents have approached her to ask for help in solving this problem before a child is hit. She indicated that she understands that the Tesoro residents are concerned about their property values, traffic, and noise; however, the reason she supports this is for the safety of the children. She believed that they have talked about every possible solution, but does not know if anything is going to make the Tesoro residents accept the road even if this issue is delayed. She indicated that she cannot bear another year of this and stated that staff has worked hard to come up with options. She stated that parents have even emailed the principal with ideas. She asked Council to support this. Kim Vosbinder, Newport Coast, stated that the people on Tesoro that she has talked to are not against the loop road, but believed that it alone is not the solution. She indicated that the issue is also getting down Ridge Park Road past the opening of the school. She stated that the loop road will not change this unless there is also traffic management. She indicated that the loop road may work, but asked who will help the children in and out of the cars, noting that her daughter is too small to open her own door. She reported that people used to help do this and they used to place signs in their car window indicating the teacher and child's name to help keep the flow going. She stated that, even with the loop road, they need assurances that there will be operational changes, traffic management, and full-time crossing guards. Mr. Kiff indicated that Superintendent Dr. Barbot has committed to doing this to make sure the traffic control is appropriate at the entrance of the school with the loop road- Jim Hildreth noted that school zone speed limits are 25 mph and should be posted. He stated that no left turn will be allowed for anyone and teachers and parents should know that crossing a street that is not marked for pedestrian crossing is against the law and unwise, and they should instruct their children about how to cross the street correctly. He believed that the loop road should be revisited and the owners around the place should have a word about it. He questioned not posting an officer there to patrol the area during school time, believing that the City could generate a lot of revenue. Volume 56 - Page 1035 City of Newport Beach Regular Meeting June 22, 2004 INDEX Dolores Otting, Newport Beach, stated that she has been attending the NCAC meetings since the annexation took place. She took issue with how this was handled and how people were treated. She asked how this is exempt from CEQA since the City Attorney has not done any research and believed that Council should start listening to alternatives. She indicated that the only way the people found out about this was through the Daily Pilot and because Council Member Nichols made the NCAC put it on their agenda; however, the NCAC has no jurisdiction over it because it's not in the pre - annexation agreement. Ms. Otting stated that Harbor Day and Our Lady Queen of Angels queue up and wait in line, and they do this at a lot of other schools. She believed that the loop road won't work if there aren't any operational changes. She asked how any safety equipment can get on the loop road during an accident when everyone is using the road. She also asked how the City can propose a project that queues cars when no one counted how many cars there are. Mr. Burnham stated that he has not done the CEQA research and is not familiar with the cases that Mr. O'Connor referenced. He noted that the CEQA exemption talks about minor additions to school facilities, i.e. facilities that do not add more than 25% to the capacity of the school, but there are no other examples in that particular category. Council Member Heffernan asked if the school district would be under the same constraints. Mr. Burnham reported that they would have to comply with CEQA and the Education Code. Further, they may have to get City approval since there is some improvement required on Newport Coast Drive. Bob Hoser, Newport Coast, stated that there was not enough notice given to the homeowners. He indicated that he has two children at the school, and agreed that there is a lack of drop off and pick up area. He believed that the only solution is one that increases this area, noting that queuing up the hill does not increase this like the loop road would. Don Rainer, Newport Coast, displayed the notice about the meeting last night which he received about a week and a half ago. He noted that they just found out last night that this was going to be voted on by Council tonight. Donna Anderson, PTA Board Member, expressed her support of the loop road because it is necessary. She stated that she used to take her daughter to school but she could not handle seeing the near misses every morning and afternoon, so now her daughter takes the bus. She urged Council to pass this tonight and not wait another three weeks which delays the road for September. Melinda Brouwer, Newport Coast, expressed support for the loop road and stated that she gathered 30 signatures from neighbors this afternoon who also support this. She submitted the signatures. She stated that, it's not just for the children and those taking them to school, it's also for people who go to work and get backed up on Ridge Park Road. She indicated that her husband leaves for work at 8 a.m. and gets delayed 10 minutes just waiting for the people at the school. Volume 56 - Page 1036 City of Newport Beach Regular Meeting June 22, 2004 INDEX Uouncll Member Webb stated that, if this is continued for three weeks, Council in effect has continued this for one year since there is no way to try any of the other traffic control methods until school starts. He noted that staff has looked at a number of the alternatives. He understands that Tesoro residents have concerns about the proposed changes; however, he questioned their concern about noise since vehicles are relatively quiet and will be moving slow. He stated that the noise they will probably hear will be from car doors opening and closing, and children on the playground which is what they hear all day long anyway. He agreed that the black pathway will be twice as long as what they now see, but he does not understand how this will reduce property values. He stated that the closest houses are only separated 15 feet to 20 feet vertically, but they all have glass walls that act as noise attenuation. He believed that the City should've gone through a slightly different process to get input, but he is not sure if it would've changed the objections from the 20 houses that are immediately above the school. He stated that, when the school was under construction and it was not in the City's jurisdiction, a suggestion was made to the school district to improve the queuing by paving this roadway. He indicated that it was a money issue at the time and the County refused to do anything. He stated that he sympathizes with the Tesoro residents, but he also sympathizes with the parents who are having to live with a potentially dangerous situation. He indicated that he will oppose the motion because it would continue this for three weeks, it would be another two weeks before the contractor is given authorization to start, and this is at least a 60 day project which is a month into the school year. He believed that, if they are going to go forward this school year, Council needs to vote on it tonight; however, if it is going to be postponed a year, he agreed that it should be continued. Substitute motion by Council Member Webb to 1) approve the plans and specifications; 2) award the contract (C -3684) to GCI Construction, Inc. for the total bid price of $364,552 and authorize the Mayor and the City Clerk to execute the contract; 3) establish an amount of $36,500 to cover the cost of unforeseen work; 4) approve geotechnical work in the amount of $7,500; and 5) approve special retaining wall inspection services in the amount of $15,000. Council Member Heffernan stated that, if this was started on May 1 instead of June 1 when he learned about it, the City would not be in this spot. He believed that the City has been backed into this because the City is trying to do something on someone else's property and it had the money to back it. He stated that staff dropped the ball; however, due to timing, he has to defer to the safety issue and support the substitute motion. He emphasized that this does not mean he does not sympathize with the residents on Marisol and Tesoro, but he does not think the City shouldn't do the work or delay it three more weeks, come to the same conclusion, and then be backed into a timing issue. He pointed out that the PTA, the school, and the parents have worked on this and came up with this solution, noting that this is a bad location for a school. He stated that the only choice the City has is to proceed with the work. Council Member Bromberg stated that he made the motion to continue the item because they don't know if the alternatives would or wouldn't Volume 56 - Page 1037 City of Newport Beach Regular Meeting June 22, 2004 INDEX make a difference because there isn't enough information. He indicated that he also has concerns about safety. Council Member Nichols indicated that he is not supporting the substitute motion. He stated that he recognizes that the loop road will ultimately be needed; however, to support the loop road without the other alternatives will not solve the problem. He noted that he was at the meeting last night and each school district and City representative each had a different idea of how this would operate. He expressed the opinion that this has not been analyzed adequately. He believed that the alternatives should be looked at and stated that he would be happy to meet before the next meeting to vote on this. Council Member Rosansky stated that the City needs to look primarily at the safety of the children and it is apparent that the driveways at the school are not sufficient. He agreed that this is a burden for the neighbors that abut the road, but encouraged the school when they operate the road to minimize its impact as much as possible by closing it down. He believed that keeping the road open all day is unnecessary and stated that the school should analyze exactly what the requirements of the road are in order to solve the problem. He agreed that dropping kids off on Ridge Park Road is not an acceptable solution. Mr. Burnham stated that the substitute motion should include a determination that the project is categorically exempt pursuant to Section 15314 of the CEQA guidelines. He indicated that this should be made at the time the project is approved. He noted that Public Works filed a Notice of Determination on the categorical exemption. Council Member Webb amended the substitute motion to include the determination that the project is categorically exempt pursuant to Section 15314 of the CEQA Guidelines. Council Member Webb pointed out that the CEQA exemption is stated in the staff report and noted that the exemption was filed with the County on May 10, 2004. Council Member Webb noted that everyone has been very harsh on staff tonight. He reported that staff got brought in by the school and the PTA to try to solve a problem and felt there was more community involvement than there really was. He stated that they could've done it differently, but staff probably felt that the word would get out in some way since they were working with the school and PTA members who are members of the homeowner associations in the area. He indicated that they will know better next time. The substitute motion carried by the following roll call vote: Ayes: Heffernan, Rosansky, Webb, Mayor Ridgeway Noes: Bromberg, Nichols Abstain: None Absent: Adams Volume 56 - Page 1038 City of Newport Beach Regular Meeting June 22, 2004 32. APPROVAL OF THE MEMORANDUM OF UNDERSTANDING (MOU) AND REIMBURSEMENT AGREEMENT WITH THE NEWPORT -MESA SCHOOL DISTRICT FOR THE NEWPORT COAST ELEMENTARY SCHOOL LOOP ROAD (C -3684) (contd. from 6/8/04). Motion by Council Member Webb to 1) approve the MOU and Reimbursement Agreement between the City of Newport Beach and the Newport -Mesa Unified School District for the Newport Coast Elementary School Loop Road; and 2) approve a budget amendment (04BA -069) authorizing the transfer of excess Bonita Canyon Bond funds from the City Improvement Account to the School Improvement Account for the total anticipated project cost of $508,889. The BA will appropriate $460,007 in the Contributions Funds and $25,259 in the General Fund for anticipated project costs not yet appropriated and will increase revenue estimates in the Contributions Bond by $460,007 and General Fund revenue by $47,883 to reflect the reimbursement from the School District Improvement account. The motion carried by the following roll call vote: Ayes: Heffernan, Rosansky, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: Adams 34. Taken out of order. Mayor Ridgeway recessed the meeting at 10:55 p.m. and reconvened the meeting at 11:11 p.m. with all members of Council present. Without objection, Council Member Webb moved to move forward with the agenda. O. CURRENT BUSINESS 35. CORONA DEL MAR CENTENNIAL FOUNDATION REQUEST FOR CONCEPTUAL APPROVAL OF `CDM CENTENNIAL CELEBRATION PLAZA' PROJECT. Bernie Svalstad, Centennial Foundation Chairman, reported that this project is in keeping with the original 2004 Vision for Corona del Mar, it has been to the Parks, Beaches and Recreation Commission for review of tree removal and placement, and the City Arts Commission approved the conceptual design and will be working with them on the final design. He stated that their goals are to provide a public statement that represents the story and essence of Corona del Mar, create a functional public place worthy of the centennial celebration that provides a literal and figurative sense of time, provide an appropriate icon that is apparent to travelers and pedestrians that go by Coast Highway, and provide an appropriate site for the commemorative time capsule. Volume 56 - Page 1039 INDEX C -3684 Newport Coast Elementary School Loop Road (38/100 -2004) (100 -2004) City of Newport Beach Regular Meeting June 22, 2004 INDEX Council Member Heffernan asked why this is not being proposed in a median rather than on a corner. Mr. Svalstad stated that they are going to have a donor monument and a tile program, and it would be very hard for people to look at it in the median. Council Member Nichols suggested putting the clock tower in the median. Mr. Svalstad stated that he does not believe the City would allow that since it is a 24 foot tower. Mayor Ridgeway added that they are trying to create a people place. Council Member Rosansky noted that the City doesn't control Coast Highway yet. Motion by Council Member Bromberg to approve the conceptual design for the `CdM Centennial Celebration Plaza' and its elements. Council Member Nichols asked if the tile wall will look like graffiti. Mr. Svalstad stated that they hope they will be historical tiles that deal with the 2004 centennial and noted that they have the right of approval on all tiles. The motion carried by the following roll call vote: Ayes: Heffernan, Rosansky, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: Adams 36. CORONA DEL MAR STATE BEACH IMPROVEMENTS (C -3461) — C -3461 DETERMINATION OF AMOUNT OF FUNDING AVAILABLE FOR Corona del Mar AWARD. State Beach Improvements Assistant City Manager Kiff reported that they found out on Monday that (381100 -2004) the City made the next cut for consideration of the $784,000 grant which means they would use less parking revenue. He stated that they meet with a California State Parks representative onsite Thursday morning. In response to Council Member Rosansky's questions, Public Works Director Badum reported. that Council sets the maximum funding amount in which the project will be awarded. He indicated that there is an alternative bidding system set up but the City Attorney advised them that they need to determine the funding before they open the bids. He stated that the bid opening is June 29. He indicated that, if the City gets the grant funds, they are proposing to have the parking revenue backfill the project for three years; however, if the City does not get the grant funds, the parking revenue will have to backfill the project for seven years. He confirmed that Council can reject all bids, but they cannot reduce the size of the project. Mr. Kiff stated that they hope to hear about the grant money before Council awards the bid. Jim Hildreth, Newport Beach, referenced page 8 and believed that this is a roach coach. He stated that Huntington Beach has food places at the beach that look nice. He expressed the opinion that this is not appropriate and sets a wrong style for an affluent community. Volume 56 - Page 1040 City of Newport Beach Regular Meeting June 22, 2004 Motion by Council Member Webb to 1) find that $2,200,000 is available to award the CdM Beach Project (as described in Alternative B); and 2) authorize staff to fund the Project in a manner similar to Alternative A's provisions should the City receive a Proposition 40 or other grant to supplant parking lot revenue available for the Project. Council Member Rosansky asked if voting on this jeopardizes the City's ability to get the grant. Mr. Kiff stated that they discussed this on a staff level and discussed this with the City's legislators and lobbyists who felt the grant stands on its own. Council Member Nichols stated that he does not believe they need the lifeguard facility. He noted that they badly need sand, not structures that will be a problem to the residents. The motion carried by the following roll call vote: Ayes: Heffernan, Rosansky, Bromberg, Webb, Mayor Ridgeway Noes: Nichols Abstain: None Absent: Adams 37. RESOLUTION REGARDING A PROPOSITION 13 GRANT FOR THE NEWPORT COAST WATERSHED PROGRAM. Motion by Council Member Webb to adopt Resolution No. 2004 -59 allowing the City to accept a Proposition 13 grant under the Watershed Protection Program. The motion carried by the following roll call vote: Ayes: Heffernan, Rosansky, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: Adams 38. AGREEMENTS AND FUNDING FOR THE BACK BAY SCIENCE CENTER (FORMERLY KNOWN AS THE MARINE STUDIES CENTER) ON SHELLMAKER ISLAND. City Attorney Burnham clarified for Mayor Ridgeway that this would be insured like all the other City buildings. Motion by Council Member Bromberg to 1) authorize the City Manager to execute a Cooperative Agreement between the City of Newport Beach, the County of Orange and the Department of Fish and Game; 2) authorize the City Manager to execute a Construction Agreement between the City of Newport Beach and the Department of Fish and Game; and 3) authorize the City Manager, upon a favorable determination by the City Attorney or the State Lands Commission, to allocate up to three years' revenue (roughly $315,000) from two Newport Bay Accounts towards the City's commitment to share in the funding of Volume 56 - Page 1041 INDEX (100 -2004) C -3460 Back Bay Science Center (38/100 -2004) City of Newport Beach Regular Meeting June 22, 2004 the construction of the Back Bay Science Center. Council Member Nichols noted that there is no funding for the Back Bay dredging project, but received confirmation that there is support for the facility if there is no dredged Back Bay. The motion carried by the following roll call vote: Ayes: Heffernan, Rosansky, Bromberg, Webb, Mayor Ridgeway Noes: None Abstain: Nichols Absent: Adams P. ITEMS REMOVED FROM THE CONSENT CALENDAR 4. ORDINANCE AMENDING SECTIONS 12.24.065 AND 12.24.080 OF THE NBMC REGARDING REDUCING THE PRIMA FACIE SPEED LIMIT OF RIDGE PARK ROAD FROM SAN JOAQUIN HILLS ROAD TO NEWPORT COAST DRIVE. Council Member Heffernan stated that the City will be reducing the speed limit when it probably is already too low. He asked how this will be enforced. City Manager Bludau indicated that the new speed limit is being set based on a traffic survey which showed that the average speeds are slower than the posted 40 mph. Council Member Rosansky asked, since the average is 33 mph, why the speed limit is not going to be 35 mph instead of 30 mph. Mr. Bludau indicated that, given the nature of the community, they would rather see slower speeds and the City can come in under the speed limit. Motion by Council Member Webb to adopt Ordinance No. 2004 -12 amending Chapter 12.24 (Special Speed Zones), Sections 12.24.065 and 12.24.080 of the NBMC reducing the prima facie speed limit on Ridge Park Road from San Joaquin Hills Road to Newport Coast Drive from 40 mph to 30 mph. The motion carried by the following roll call vote Ayes: Heffernan, Rosansky, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: Adams 8. MEASURE M ELIGIBILITY RE- QUALIFICATION FOR FY 2004- 05. Public Works Director Badum explained for Council Member Nichols that the City gets sales tax money from the Measure M program annually, but it needs to make sure it is eligible. He stated that each year, the City does different things and reported that this year the City adopted a seven year program, confirmed the level of maintenance of Volume 56 - Page 1042 INDEX (100 -2004) (100 -2004) City of Newport Beach Regular Meeting June 22, 2004 effort, and adopted a resolution to reaffirm the City's adherence to the County Master Plan of Arterial Highways. Motion by Council Member Webb to 1) adopt the Seven -Year Capital Improvement Program; 2) direct staff to submit the adopted Capital Improvement Program and Maintenance of Effort certification to the Orange County Transportation Authority to satisfy the eligibility provisions for the Measure M and the Congestion Management Programs; and 3) adopt Resolution No. 2004 -56 pertaining to the status of the City's Circulation Element. The motion carried by the following roll call vote: Ayes: Heffernan, Rosansky, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: Adams 24. NEIGHBORHOOD TRAFFIC MANAGEMENT STUDY UPDATE. City Manager Bludau stated that this study involved two different locations (Newport Hills /Harbor View and Newport Heights /Cliff Haven). He indicated that the City will be working with the neighborhoods and holding community meetings to look at alternatives and to come up with a consensus for traffic calming measures. Council Member Nichols asked what the City's position is regarding speed bumps. Council Member Webb stated that the current City policy is that the City does not allow speed bumps but he has requested a study session item to discuss this. 27. ADDITIONAL BUS FOR SENIOR SERVICES. Council Member Nichols stated that this is for a 21 passenger bus and received confirmation that this is a gift from the OCTA. He asked if this is an appropriate bus for picking up seniors in Corona del Mar. General Services Director Niederhaus reported that the City currently has three buses and a van that provided over 12,000 rides in the past year for 71,000 miles. He stated that there are four drivers and the only change will be that, if this is approved, the contract bus will be turned back to the contractor with the driver, and the City will retain the OCTA bus at no expense except for fuel and maintenance. He noted that they will be starting a replacement fund so the bus could eventually be replaced. He stated that the contract bus and the OCTA bus are the same type of bus. Motion by Council Member Webb to accept a 21 passenger bus from OCTA for Senior Services use; and directed staff to request that OCTA transfer the ownership of a retired OCTA para- transit bus to the City for use in the Senior Mobility Program. The motion carried by the following roll call vote: Volume 56 - Page 1043 INDEX (100 -2004) (100 -2004) City of Newport Beach Regular Meeting June 22, 2004 Ayes: Heffernan, Rosansky, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: Adams 539. NEWPORT COAST COMMUNITY CENTER — PROFESSIONAL SERVICES AGREEMENT WITH DOUGHERTY AND DOUGHERTY ARCHITECTS, LLP. Mayor Ridgeway stated that he has a problem with designing a building with a library and a budget of $8.7 million when the City knows it only has $7 million. Assistant City Manager Kiff stated that the Newport Coast Advisory Committee (NCAC) controls the design through the pre - annexation agreement, but they do not have control over the money. He reported that, when they last met with them, the Committee said they would like to hire an architect to design the whole thing, they'll see what funding is available, and then pull out portions in the event the $7 million was not enough. He added that the City Manager has made it clear to them that $7 million is all they get. He stated that the NCAC has now indicated that they may try to raise private funds for the rest of the building. Mr. Kiff reported that the preliminary design has three separate buildings. Council Member Webb added that the instruction to the architect is to make sure that the design is compatible with the City being able to eliminate something to bring it to a $7 million project if they don't come up with the additional funds. Dolores Otting, Newport Beach, stated that when this was brought before Council, staff and some Council Members wanted this to go to a vote, but it didn't. She believed that the original motion for this did not include a library because the City could not afford to fund it. She asked who is going to staff the library and pay for it if the NCAC finds a way to build it. She stated that someone needs to remind the NCAC that the community center is for everyone. She added that this library would take away from the Central Library. Motion by Council Member Bromber¢ to 1) direct staff to execute a Professional Services Agreement with Dougherty and Dougherty Architects, LLP, for architectural design services at a not to exceed contract price of $550,000 and authorize the Mayor and City Clerk to execute the agreement; and 2) approve a budget amendment (04BA -079) appropriating $600,000 from the Newport Coast Building Fund unappropriated fund balance to 7298- C5100705, Newport Coast Community Center project. The motion carried by the following roll call vote: Ayes: Heffernan, Rosansky, Bromberg, Webb, Nichols, Mayor Ridgeway Noes: None Abstain: None Absent: Adams Volume 56 - Page 1044 INDEX C -3710 Newport Coast Community Center (381100 -2004) City of Newport Beach Regular Meeting June 22, 2004 Q. MOTION FOR RECONSIDERATION - None. Council Member Bromberg announced that there will be fireworks at the Dunes on July 4th R. ADJOURNMENT- 11:47 p.m The agenda for the Regular Meeting was posted on June 16, 2004, at 3:00 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 June 18, 2004, at 2:30 p.m. on the City Hall Bulletin Board located outside of the City of Newport Beach Administration Building. City Clerk Recording Secretary Mayor Volume 56 -Page 1045 INDEX