HomeMy WebLinkAboutS24 - LAFCO Staff Recommendations Regarding AnnexationI
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CITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
Agenda Item S24
May 8, 2007
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: City Manager's Office
Homer Bludau, City Manager
949/644 -3000 or hbludau @city.newport- beach.ca.us
SUBJECT: COUNCIL RESPONSE TO LAFCO STAFF'S RECOMMENDATIONS
REGARDING ANNEXATION ISSUES AFFECTING WEST SANTA ANA
HEIGHTS, THE COUNTRY CLUB, THE MESA DRIVE AREA AND THE
SANTA ANA COUNTRY CLUB
ISSUE:
What is the City Council's position regarding the annexation alternatives presented by
LAFCO staff in its report for the May 9 LAFCO meeting?
• RECOMMENDATION:
1) The City Council could allow LAFCO to act on the City's annexation application for
West Santa Ana Heights, see what, if any, conditions are placed on that application,
and decide at that time whether the conditions are acceptable or unacceptable. If
the conditions prove to be unacceptable to the City, the annexation of West Santa
Ana Heights would not take place;
Or
2) If the Council's desire to keep the Banning Ranch in Newport Beach is more
important than the prospect of bringing West Santa Ana Heights into the City, the
Council could consider withdrawing its annexation application, since it is that
application which pulls the Banning Ranch issue into the annexation equation.
DISCUSSION:
In 2001 -2002 the City of Newport Beach processed its application to annex East Santa
Ana Heights and Bay Knolls. At the same time the City of Costa Mesa processed an
application to annex about 288 acres, which included West Santa Ana Heights. During
the LAFCO hearing process, the agency formally deleted the West Santa Ana Heights
• area from Costa Mesa's application because LAFCO staff believed the residents there
would quickly generate enough protest (more than 50% of the area's registered voters)
to stop an annexation application by Cost Mesa for that territory.
Council Response to LAFC *taff's Recommendations Regarding Annetion Issues Affecting W. Santa
Ana Heights, the Country Club, the Mesa Drive Area and the Santa Ana Country Club
May 8, 2007
Page 2 •
As it pulled this portion from Costa Mesa's application, LAFCO then suggested that the
Newport Beach City Council consider adding West Santa Ana Heights to our City's
sphere of influence in anticipation of our annexation of it. Council never formally acted
on this request. LAFCO did; however, vote to annex both South of Mesa and the Santa
Ana Country Club to Costa Mesa. When it came time for the residents of South of
Mesa to weigh in, about 70% of the registered voters within that area protested Costa
Mesa's annexation application. The 70% protest vote terminated both the South of
Mesa annexation and the Country Club's annexation to Costa Mesa.
During the same period that Costa Mesa was attempting its annexations, both the West
SA Heights and Country Club residents filed applications with LAFCO asking they be
removed from Costa Mesa's sphere of influence. LAFCO denied the SACC's request
and continues indefinitely West SA Heights' request.
In November, 2006, these same annexation issues were again discussed at LAFCO,
when the City submitted an annexation application for West Santa Ana Heights. The
new factor was that Costa Mesa also filed an annexation application for a change of the
sphere of influence line for Banning Ranch, so it could file an application to annex a
357 -acre portion of Banning Ranch. This change of sphere was something opposed by •
Newport Beach and when these issues came before LAFCO, the Board gave Newport
Beach and Costa Mesa a six -month period, until May, 2007, to meet and try to resolve
its annexation differences, which was something a mediator could not make any
progress with.
The six months has transpired with a couple of meetings between elected officials and
staffs, but no plan has emerged agreeable to both. With Supervisor Moorlach's election
last November, he took a high interest in trying to help both cities resolve these long-
standing annexation issues (Supervisor Moorlach now sits on LAFCO as a Board
member). He has had talks with both cities and appears to have a plan he is prepared
to support; however, it includes a portion of Banning Ranch going to Costa Mesa.
LAFCO STAFF OPTIONS
The LAFCO staff in its report to the Board offered three options for consideration:
1. Approving the City's annexation application for W. Santa Ana Heights; or
2. Deny the City's annexation application for W. Santa Ana Heights; or
3. Phase the City's W. Santa Ana Heights annexation over three separate phases, with
progression based on the completion of certain key milestones. The second phase
listed includes the City of Newport Beach filing an application with LAFCO for the •
Council Response to LAFCO Staff's Recommendations Regarding Annexafion Issues Affecting W. Santa
Ana Heights, the Country Club, the Mesa Drive Area and the Santa Ana Country Club
• May 8,2
Page e 3 3
detachment of portions of the one -foot strip of City property surrounding the Banning
Ranch.
LAFCO staff is recommending a 6 -month delay of any action taking on Costa Mesa's
application to amend the sphere of influence for Banning Ranch. The LAFCO staff is
looking for its Board to provide staff with direction on the three options submitted.
Environmental Review: The City Council's approval of this Agenda Item does not
require environmental review.
Public Notice: This agenda item may be noticed according to the Brown Act (72 hours
in advance of the public meeting at which the City Council considers the item).
Submitted by:
• Homer Bludau
City Manager
Attachments: Annexation Staff Report
•
May 9, 2007
LOCAL7{GENCY FORMATION COMMISSION
W
ORANGE COUNTY
•
CHAIR
Supervise,
BILL CAMPBELL
Supervisor
TO:
Local Agency Formation Commission
Third District
APPLICANTS
ARLENE SCHAFER
VICE CHAIR
FROM:
Executive Officer
JOHN WITHERS
SOI 06 -20 - City of Costa Mesa, by resolution
Assistant Executive Officer
Director
SUSAN WILSON
BACKGROUND
wine Ranch Water District
Both of the subject applications were considered by your Commission on
July 12, 2006 and November 8, 2006. A copy of the individual staff
SUBJECT:
West Santa Ana Heights Reorganization to the City of
ROBERT BOUER
Counc6member
and Banning Ranch are included as Attachments land 2 to this
Newport Beach (RO 06 -25)
City of.Laguna Woods
report.
PETER HERZOG
Banning Ranch Sphere of Influence Amendment (SOI 06 -20)
Councilmember
Councilmernber
Both the subject of considerable Commission discussion
City of Lake Forest
proposals were
P P 1
and public testimony at both LAFCO hearings. On November 8, 2006, at
ALTERNATE
JOHN MOORLACH
Supervise,
2" District
APPLICANTS
ARLENE SCHAFER
RO 06 -25 - City of Newport Beach, by resolution
Director
Costa Mesa
SOI 06 -20 - City of Costa Mesa, by resolution
Sanitary District
SUSAN WILSON
BACKGROUND
Representative of
General Public
Both of the subject applications were considered by your Commission on
July 12, 2006 and November 8, 2006. A copy of the individual staff
ALTERNATE
PAT BATES
reports, which provide a detailed analysis of the West Santa Ana Heights
Supervisor
and Banning Ranch are included as Attachments land 2 to this
5° District
proposals,
report.
ALTERNATE
PATSY MARSHALL
Councilmernber
Both the subject of considerable Commission discussion
City of Buena Park
Pa
proposals were
P P 1
and public testimony at both LAFCO hearings. On November 8, 2006, at
ALTERNATE
the oint request of Costa Mesa and Newport Beach, the Commission
I P
RHONDAMCCUNE
Representative of
1
continued both items to today's date to allow for additional time and
General Public
discussion in the hope that a mutually agreeable resolution to the long -
ALTERNATE
term boundary issues in this area could be worked out between both
CHARLEY WILSON
Director
cities. Cormnissioner Moorlach is playing a key role in encouraging
Santa Margarita
Water District
ongoing negotiations among the affected agencies and groups. Despite
the cities' best intentions, the Cities of Costa Mesa and Newport Beach
JOYCE O Art'E
Executive Officer
Officer
were unable to reach a comprehensive solution to all unincorporated
boundary issues between the two cities at this time
12 Civic Center Plaza, Room 235, Santa Ana, CA 92701
(714)834 -2556 • FAX(714)834 -2643
http: / /wow ..orange.fafco.ca.gov
•
•
May 9, 2007
RE: H�SAH and Banning Ranch
Page 2 of 4
West Santa Ana Heights (RO 06 -25)
While discussions between the cities continue, staff believes it is prudent for the
Commission to move forward with consideration of the reorganization of West
Santa Ana Heights at this time. Staff has outlined three options for the
Commission regarding the City of Newport Beach's reorganization application.
Staff is requesting direction from the Commission on which alternative to
implement. The options include:
Option 1: Approve Reorganization 06-25, as proposed, which would annex
all of West Santa Ana Heights area to the City of Newport Beach.
Option 2: Deny Reorganization 06 -25 which would maintain West Santa Ana
Heights as an unincorporated community.
Option 3: Modify the City of Newport Beach's application from a single
annexation for all of West Santa Ana Heights into three, distinct
annexations that will be phased commensurate with the completion
of certain key milestones. This approach will allow for continued
discussion by both cities and could support the Commission's
desire to achieve a comprehensive solution to the remaining
boundary issues in this area.
Under Option 3, West Santa Ana Heights would be divided into
three distinct annexation areas as illustrated in Exhibit A. Draft
terms and conditions, outlined below, would be incorporated into
separate resolutions for each of the three areas to implement a
phased annexation plan.
Annexation Area 1, which includes territory generally north
of Mesa Drive, west of Irvine Avenue, and south of Orchard_
Drive, will annex after the City of Newport Beach files a
complete annexation application for the Emerson island
property located east of Tustin Avenue at Emerson Street.
Annexation Area 2, which includes the territory generally
north of Orchard, west of Kline Drive and south of Indus
Street, will annex after: (1) the annexation of Area 1 is
completed; and, (2) the City of Newport Beach files a
complete application with LAFCO for the detachment of
May 9, 2007
RE. WSAH and Banning Ranch
Page 3 of 4
portions of the one -foot wide strip of City property
surrounding Banning Ranch as approved by LAFCO.
• Annexation Area 3, which includes a rectangular strip of
commercial and residential development generally located
east of Santa Ana Avenue, north of Mesa Drive, and south of
Orchard Drive, will annex after the City of Costa Mesa and
the Santa Ana Country Club mutually agree to a long -term
governance plan for the Country Club property.
Banning Ranch (901 06-201
The City of Costa Mesa has filed an application to amend the sphere of influence
for 357 acres of Banning Ranch from Newport Beach to Costa Mesa. The
property is located between the two cities, and potential access to the site is
possible from either Newport Beach or Costa Mesa. To allow negotiations to
continue between both cities on Banning Ranch boundary issues, staff is
recommending that this application be continued for six months.
RECOMMENDATIONS
Staff recommends that the Commission
1. Provide direction to staff regarding one of three options outlined in
this staff report for the proposed West Santa Ana Heights
Reorganization (RO 06 -25), and direct staff to return at the June 13,
2006 meeting with appropriate resolutions and environmental
documentation for implementation.
2. Continue consideration of the Banning Ranch sphere of influence
amendment for six months.
Respectfully submitted,
JOYCE CROSTHWAITE BOB ALDRICH
May 9, 2007
RE: WSAHand Banning Ranch
Page 4 of 4
Exhibit
A. Proposed WSAH Annexation Phasing Map
Attachments
1. July 12, 2006 staff report - WSAH
2. July 12, 2006 staff report - Banning Ranch
C
LOCAL AGENCY FORMATION COMMISSION
ORANGE COUNTY
12 Civic Center Plaza, Room 235
Santa Ana, CA 92701
(714) 834 -2556 • FAX (714) 834 -2643
REGULAR MEETING AGENDA
Wednesday, May 9, 2007, 9:00 a.m.,
Planning Commission Hearing Room, Hall of Administration
10 Civic Center Plaza, Santa Ana
Any member of the public may request to speak on any agenda item at the time that item is being
considered by the Commission.
CALL THE MEETING TO ORDER
PLEDGE OF ALLEGIANCE —BY COMMISSIONER SUSAN WILSON
3. ROLL CALL
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4. APPROVAL OF MINUTES: •
a.) March 14, 2007 – Regular Commission Meeting
5. PUBLIC COMMENT
This is an opportunity for members of the public to address the Commission on items
not on the agenda, provided that the subject matter is within the jurisdiction of the
Commission and that no action may be taken on an off - agenda item(s) unless authorized
by law.
6. CONSENT CALENDAR
a.) Rue Annexation (DA 06 -36)
The Commission will consider the annexation of approximately 1.06 acres of
uninhabited territory located in unincorporated North Tustin area to the Orange
County Sanitation District.
7. CONTINUED PUBLIC HEARING
Items continued from the Commission's November 2006 meeting:
a.) West Santa Ana Heights Reorganization to the City of Newport Beach (RO
06 -25)
The Commission will consider a proposal initiated by the City of Newport Beach
to amend the city's sphere of influence to include the community of West Santa
Ana Heights, which is currently contained in the City of Costa Mesa's sphere of •
influence, and annex the territory to the City of Newport Beach.
• •
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LAFCO Agenda —May 9, 2007
• Page 2
b.) Banning Ranch Sphere of Influence Amendment to the City of Costa Mesa
(SOI 06-20)
The Commission will consider a proposal initiated by the City of Costa Mesa to
amend the city's sphere of influence to include the area commonly referred to as
Banning Ranch, which is currently contained in the City of Newport Beach's sphere
of influence.
PUBLIC HEARING
a.) Adoption of Proposed LAFCO Budget for Fiscal Year 2007 -2008
The Commission will consider the adoption of the final LAFCO budget for Fiscal
Year 2007 -2008.
b.) Municipal Service Review and Sphere of Influence for Orange County Sanitation
District (MSR 06-54 & SOI 07-03)
The Commission will consider the Municipal Service Review (MSR) and Sphere of
Influence (SOI) report for the Orange County Sanitation District. The Commission
will also consider the Notice of Exemption prepared for the MSR and SOI in
compliance with the California Environmental Quality Act.
• c.) Municipal Service Review and Sphere of Influence for Municipal Water District
of Orange County (MSR 06 -30 and SOI 07 -04)
This item will be continued to the June 2007 LAFCO meeting.
9. COMMISSION DISCUSSION AND ACTION
a.) LAFCO Audit Policies
The Commission will discuss possible changes in the existing policy regarding use of
auditors.
b.) Change in June 2007 LAFCO Meeting Date
The Commission will discuss a possible change in the date of June LAFCO meeting
from June 13"' to June 20th.
c.) CALAFCO Annual Conference
The Commission will receive an update on the upcoming 2007 CALAFCO
Conference which will be held in Sacramento from August 28 -31.
10. COMMISSIONER COMMENTS
This is an opportunity for Commissioners to comment on issues not listed on the agenda,
provided that the subject matter is within the jurisdiction of the Commission and that no
action may be taken on off - agenda items unless authorized by law.
11. INFORMATIONAL ITEMS & ANNOUNCEMENTS
• 12. CLOSED SESSION
None
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LAFCO Agenda -May 9, 2007
Page 3
13. ADJOURNMENT
NOTICE: State law requires that a participant in a LAFCO proceeding who has a financial
interest in a decision and who has made a campaign contribution of more than 5250 to any
commissioner in the past year must disclose the contribution. If you are affected, please notify
the Commission's staff before the hearing.
LAFCO Agendas are available on the Internet at hqp://orange.lafco.ca.gov/agenda/index.httn.
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