The URL can be used to link to this page

Home My WebLink About12 - Quarterly Business ReportCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. 12 February 8, 2011 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: City Manager's Office Dave Kiff, City Manager 949/644 -3000, dkiff()newportbeachca.gov TITLE: Quarterly Business Report Update ISSUE: Provide a quarterly update of City Business that includes; a financial review, an update of Council's 2010 Priorities, and a more detailed project tracking report for current key projects. RECOMMENDATION: Review and comment, as desired. DISCUSSION: The City Council held a Special City Council meeting on Saturday, January 9, 2010, to discuss and establish its priorities for 2010. Council set an ambitious agenda with 46 specific tasks identified. As in the past the City Manager was asked to ensure resources were appropriately designated to work on these projects and then report back periodically on the current status of this work. The attached update contains three sections that present a quarterly status report of City business. First, a financial review of the City's fiscal situation is provided. Secondly, a table is provided that gives a status update of the 2010 priorities that Council identified. The final section contains a more detailed summary of 22 specific projects. These projects are placed within a project tracking template that is proposed as a format to update Council on important projects in the future. The project tracking summary format summarizes the important highlights of the project by providing a; description, goal objective, staff lead, target completion date, milestones, project budget, and a quarterly status update. Your comments are welcomed. �0 DAVE KIFF City Manager Attachment NEWPORT BEACH QUARTERLY BUSINESS REPORT October - December 2010 0 x a v cC N W O �1. a� QUARTERLY FINANCIAL REVIEW City of Newport Beach, Administrative Services Department www.newportbeachca.gov 949.644.3127 It O Q N N C m L N L 7 L U (6 m O Q N z February 8, 2011 Volume 1, Issue 1 For the period ended December 30, 2010 INSIDE THIS ISSUE 2009 -10 Audit Results 1 Status on Long -term Funding Programs Latest CaIPERS Actuarial Report 2 OPEB (Retiree Insurance) 2 Public Liability & Workers Compensation Facilities Replacement Plan 2 Economic Update 3 2010 -11 Budget Update Revenue Outlook 5 Expenditures by Department 6 Quarterly Financial Review 2009 -10 Audited Results Page 1 The City of Newport Beach's Comprehensive Annual Financial Report (CAFR), as of June 30, 2010, is now available at www.newportbeachca.gov /cafr. These financial statements are the responsibility of City management and have been audited by an independent CPA firm in accordance with standards applicable per Government Accepted Auditing Standards. Our CPA's have opined that the financial statements are fairly presented, in all material respects, and are in conformity with Generally Accepted Accounting Principles. The City's CAFR has been recognized for Excellence in Financial Reporting, by the GFOA, every year for almost two decades. FY Ending 2009 2010 served $ 5,907,205 $ 5,472,481 ireserved (Designated) Facilities Financing Plan 25,000,000 27,500,000 Contingencies 18,614,125 18,895,125 Operations Reserve 13,098,656 17,293,299 Capital Reappropriations 4,661,307 3,495,487 Pension Rate Stabilization 5,000,000 5,000,000 Other Miscellaneous 7,329,671 4,501,474 $ 79,610,964 S 82,157,866 General Fund Highlights For the year ended June 30, 2010, the City was able to avoid any use of General Fund Reserves despite sharp declines in key General Fund revenue sources due to the recession. The City's General Fund actually increased in total by $2.5 million, finishing the year with $82.2 million of fund balance. This was the result of the City's strong fiscal policies, and proactive response to a tough economic climate. The City implemented ERIP (December 2009), negotiated with employee groups to share in pension costs and to work without pay raises, as well as continued contracting out services when it was proven cost effective without negative impacts to service levels. Of the General Fund balances, $5.5 million is externally restricted or is otherwise unspendable. Within the Council's discretion, the City designated $27.5 million for the Facilities Financing Plan, $18.9 million for contingencies and unexpected emergencies (by policy to equal 12% of General Fund operations), and $5 million for pension rate stabilization. Council has also designated $3.5 million for capital improvements that were not completed during the fiscal year. Other miscellaneous designations amounted to $4.5 million. Finally, $17.3 million remained for unspecified future appropriations. This undesignated portion of fund balance increased a total of $4.1 million during the fiscal year making FY 2010 the highest level of General Fund Reserves ever for the City. Quarterly Financial Review Status Updates on Long -term Funding Programs CaIPERS Update The latest actuarial results that are available from CalPERS reflect a valuation date as of June 30, 2009 (received October 2010) and will be used to set rates for fiscal year 2011 -12. This valuation date is significant because it is the first valuation that reflects the extraordinary losses in the equities market that occurred in October of 2008. The resulting increase to contribution rates and precipitous decline in funded status are very close to our previous estimates. The one -year change to total required contribution rates, annual required contribution and funded status is illustrated in the table to the right. OPEB Obligation (Retiree Insurance) Although the new retiree insurance plan does not carry any long -term obligations associated with it, the previous plan's unfunded liability is being actuarially funded and amortized over a twenty -year period. Unfortunately, the same market losses that impacted the CalPERS pension plan also impact our OPEB plan. Fortunately, the assets in the OPEB prefunding trust are only a small fraction of pension plan so rate volatility is not expected to be nearly as extreme. We obtain a bi- annual OPEB valuation per Governmental Accounting Standards and are currently in the process of updating the valuation for fiscal year ended 6/30/2010. The results of this valuation should be available in the spring. For fiscal year ended 6/30/2010, our OPEB contribution was $2.4 million and is expected to be $2.6 million in FY 2011. Public Liability and Workers Compensation These liabilities can have a very long life span between incurrence to final settlement. The City therefore, employs actuaries to review Page 2 Miscellaneous Safety 91.9% 81.0% 61.1% 54.8% Miscellaneous Plan Expected Payroll $ 45,292,416 $ 47,211,177 Employer Contribution 4,903,357 6,906,051 Employee Contribution 3,623,393 3,776,894 Safety Plan Expected Payroll $ 30,880,584 $ 33,299,729 Employer Contribution 9,326,554 11,646,229 Employee Contribution 2,779,253 2,996,976 Market Value Asset Basis losses, case reserves and predict future losses including incurred but not reported (IBNR) claims. Fortunately this is one of the more mature internal service funds, established by the City in the early nineties, and is 100% funded for our actuarially calculated losses of $16.1 million in addition to having $5.7 million in reserves. These valuations are also on a bi- annual calendar and are currently in progress; it is expected these programs will continue to be funded in excess of the targets set by Council, as was the case in fiscal year ended 6/30/2010. Facilities Replacement Plan Our financing plan is a long range planning tool to ensure proper funding (cash or bond financing) for the timely replacement of all major General Government facilities. With the issuance of the 2011 COP'S for the civic center, our plan maintains the strict 5% (or less) cap on annual general fund contributions. FFP reserves are currently at $31.3 million and the FY 2011 contribution was budgeted at $3.8 million. More analytical data on this topic is available www. newportbeachca .gov /financiatinfo under "Reserve Funding Status" Quarterly Financial Review Page 3 Economic Update Despite the tepid labor market, "the economic climate and conditions for growth are a good deal more favorable than it has been, "said Lawrence Summers, Former Secretary of the Treasury in a recent interview. In the closing months of 2010, leading economic and various manufacturing activity indicators painted a brighter picture of the U.S. economy. For many, the modest improvements were enough to abate worries of a double dip recession. US Gross Domestic Product (GDP) growth was up 2.6 percent for the third quarter. Moody's estimates that GDP growth will be 3.0 percent for the fourth quarter 2010 and then accelerate to a 4.0 percent growth average for 2011. Consumer Spending appears to have rebounded from recession lows but is nowhere near pre- recession levels. Household spending has continued to increase in 2010 at a moderate pace but consumers remain somewhat cautious due to job losses, home price declines and tightening credit standards. Retail Sales enjoyed a modest increase of .8 percent in November and strong holiday shopping season reported by retailers. Year- over -year sales are up nationally 7.7 percent. Auto Sales and Restaurants continue to be Newport Beach's top sales tax segments. The Housing Market is still weak but showed signs of improvement at the end of the year with sales of existing homes increasing 5.6% in November over the previous month. While this is welcome news, sales are still down 27.9 percent from a year ago however prices are up .4 percent year over year. Some economists are looking to the housing market as a key indicator of how the economy as whole may fare in 2011 but at present, a meaningful housing recovery is not expected until 2012. Inflation remains in check for the time being with the Core CPI (excluding food & energy) report indicating a year- over -year increase of only .8% but many economists forecast moderate inflation well into 2011. Monetary Policy: At its January 26, 2011 meeting, the Federal Reserve Board's Open Market Committee (FOMC) kept the federal funds rate unchanged with a target range between zero to .25 percent and the pledge to keep interest rates "exceptionally low" for an "extended period" to support the economic recovery. "The Committee will continue to monitor the economic outlook and financial developments and will employ its policy tools as necessary." The next FOMC meeting is scheduled for March 15, 2011. Labor Market: The economy added 103,000 jobs in December although it was lower than many analysts were expecting. Overall the latest employment report was disappointing and continues to be the number one concern in the nation. jobs creation has not historically come back in the numbers that are typical after an economic recession. "It could take four to five years for the job market to normalize fully, " Bernanke said in prepared testimony to the Senate Budget Committee Quarterly Financial Review Most serious recession since World War II 12.00% a t � 10.00% 8.00% c G 6.00% N d u � 4.00% 0 0 2.00% K 0.00% a V' -2.00% ry d -4.00% d m � -6.00% L Cumulative % Change in GDP from the Starting Quarter of Recent Recessions Am —Jul 1981- Nov 1982 Jul 1990 - Mar 1991 Mar 2001 - Nov 2001 Dec 2007 -Jun 2009 r 9 12 15 18 24 27 30 33 3fi Months After Recessioio n Start The above illustration compares the depth and recovery cycle of most the recent recession to previous recessions. The most recent recession realized a steeper decline and a more gradual recovery. Although unemployment rates are more than double the norm, employment in Newport Beach far compares favorably to County and Statewide figures. Quarterly Financial Review 2010 -1 1 Budget Update FY 2010-11 Revised R- •. 24% Original 12/31/10 YTD Mid Year Revenue Budget Revenues Revised Est. Change Property Taxes $ 70,642,840 $ 33,597,170 $ 71,000,000 $ 357,160 Sales Tax 17,374,734 3,895,079 18,250,000 875,266 Property Tax - In Lieu of Sales Tax 6,392,273 - 6,308,305 (83,968) Transient Occupancy Tax 11,555,034 6,002,173 12,500,000 $ 944,966 Business Licenses 4,008,800 1,783,239 3,820,000 (188,800) Franchises 4,145,000 886,416 3,985,000 (1(,0,000) Building Revenue 3,852,749 1,573,002 4,319,381 466,632 Other 27,154,240 14,229,533 27,154,240 - Tran5fers -In 3,679,834 - 3,679,834 - TotalRevenues &Transfers $ 148,805,504 $ 61,966,612 $ 151,016,760 $ 2,211,256 Revenue Summary Generally, our economic outlook is stable with revenue projections coming at budget or slightly above. Newport Beach revenues are steadily, yet modestly, returning to pre- recession levels. In almost all categories we are expecting to surpass budget targets, but at a very modest pace. In their aggregate, 2010 -11 revenues are expected to outpace our original projections by one to two percent producing a revenue surplus of approximately $2 million at present. FY 2011 Revenues by Source ..- Property Taxes - The California residential housing market appears to have bottomed out for now and is now showing weak signs of recovery. Unfortunately, the City's number one revenue source is projected to produce minimal growth for the next several years. For 2010 -11, Property tax revenues are on track to produce a modest increase over the original budget by approximately $350,000, representing only .5% growth. Sales and Use Taxes - Consumer sentiment is still very cautious but sales tax revenues appear to be improving slightly. Although luxury auto sales continue to be the City's number one generator of sales taxes, the restaurant and department store sectors are showing the greatest improvement on a year- over -year basis; current projections estimate an increase over budget of $875,000. • Property Taxes •Sales Tax w /Paid Tax in Transient Occupancy Tax (TOT) - TOT receipts are Lieu Traoneot 0,caparr, Ta improving at a moderate pace and are expected to finish -Building Revenue above the 2010 -11 budget by more than 8 %, $940,000, • AIL Other Revenue at the current pace. The Pelican Hills resort is again showing the greatest year over year improvement. TOP " 3" The City's Top Three revenue sources are Property Taxes, Sales Taxes, and Transient Occupancy Taxes. The order of magnitude of General Fund revenues is illustrated by the chart above. Other Revenues - While far less significant than the top three revenue sources, but representing other community based activity indicators, building permit activity and revenues showing modest improvements over the prior year are likely to beat budgetary estimates. However Business tax and recreation based activities are likely to fall short of prior year estimates. 24% a% I Bo ..- Property Taxes - The California residential housing market appears to have bottomed out for now and is now showing weak signs of recovery. Unfortunately, the City's number one revenue source is projected to produce minimal growth for the next several years. For 2010 -11, Property tax revenues are on track to produce a modest increase over the original budget by approximately $350,000, representing only .5% growth. Sales and Use Taxes - Consumer sentiment is still very cautious but sales tax revenues appear to be improving slightly. Although luxury auto sales continue to be the City's number one generator of sales taxes, the restaurant and department store sectors are showing the greatest improvement on a year- over -year basis; current projections estimate an increase over budget of $875,000. • Property Taxes •Sales Tax w /Paid Tax in Transient Occupancy Tax (TOT) - TOT receipts are Lieu Traoneot 0,caparr, Ta improving at a moderate pace and are expected to finish -Building Revenue above the 2010 -11 budget by more than 8 %, $940,000, • AIL Other Revenue at the current pace. The Pelican Hills resort is again showing the greatest year over year improvement. TOP " 3" The City's Top Three revenue sources are Property Taxes, Sales Taxes, and Transient Occupancy Taxes. The order of magnitude of General Fund revenues is illustrated by the chart above. Other Revenues - While far less significant than the top three revenue sources, but representing other community based activity indicators, building permit activity and revenues showing modest improvements over the prior year are likely to beat budgetary estimates. However Business tax and recreation based activities are likely to fall short of prior year estimates. Quarterly Financial Review A.- . Expenditure Update The recession became most significant to Newport Beach during FY 2010; severe revenue shortfalls became evident. Early projections estimated the revenue shortfall to be as much as $8 million. Long- term forecasts of a declining revenue environment foreshadowed a slow recovery and a persistent structural deficit, if not addressed immediately. Making matters worse, it soon became apparent that the extraordinary losses in the equities market would cause a sudden and radical change to the funded status of pension plans which would in turn result in unsustainable pension cost increases for the foreseeable future. To address these concerns head -on the City Manager, with Council's approval, made an organization -wide structural shift in how the City operates. The structural changes included an early retirement incentive plan, outsourcing certain governmental functions, department cut - backs, employment concessions and deferral of capital improvement projects. At the close of FY 2010, revenue shortfalls were less severe than originally projected, actually coming in $6 million short of the budget vs. the $8 million projection. The City Manager's organizational re- structuring and revenue enhancement proposals resulted in an operating surplus which improved General Fund Reserves by more than $2 million during the worst economic recession since the Great Depression! These were structural changes which helped address the budget issues for the long -term. The FY 2011 Budget was initially adopted with an estimated $2 million of expenditures over revenues. However, management pledged to balance the budget and not access reserves prior to the close of the fiscal year. As of December 2010, as discussed earlier, revenue excesses alone will likely cover this deficit. Further expenditure reductions under development will be brought forward in the near term but they will likely bring about only modest savings during the remainder of the fiscal year. At present, an operating surplus of at least $1 -2 million is projected for FY 2011 and the City Manager has committed to budgeting any General Fund surplus in FY 2011 to capital needs previously deferred. GeneralFundf_ anditures4y Department FY 2010 -11 FY 2009 -10 FY 11 Original Amended YTD as of Percent YrD as of Percent Department Budget Budget 12/31/2010 Expended 12/31/2009 Expended City Council 1,044,410 $ 1,053,886 $ 535,594 51% $ 557,233 44% City Clerk 492,538 493,978 189,163 38% 189,886 50% City Manager 2,437,018 2,463,169 1,025,489 42% 1,069,089 44% Human Resources 2,292,046 2,326,746 1,024,207 44% 1,052,602 44% City Attorney 2,348,842 2,358,728 1,490,411 63% 1,231,353 51% Administrative Svcs 7,775,976 7,729,781 3,304,578 43% 3,977,803 47% Police 42,823,171 42,958,157 20,313,992 47% 21,723,448 48% Fire 34,055,183 34,183,820 17,100,589 50% 17,411,684 51% Planning 3,005,540 3,327,073 1,418,547 43 %. 1,475,024 40% Building 4,237,603 4,237,602 2,038,980 48% 2,254,487 46% General Services 22,034,946 22,121,466 9,760,047 44% 10,937,364 46% Library 6,472,808 7,052,147 3,221,516 46% 3,312,572 47% Recreation 7,590,671 7,655,730 3,668,227 48% 3,487,116 48% Public Works 5,550,535 5,877,960 2,624,883 45% 2,698,725 46% Electrical 1,307,491 1,336,290 438,150 33% 498,756 34% Cl P. 1,061,000 5,878,342 585,939 10% 2,357,406 23% OPEB 2,128,000 2,128,000 - 0% - 0% FFP 3,800,000 3,800,000 - 0% - 0% Debt Service 780,000 780,000 - 0% - 0% Total 151,237,778 $ 157,762,874 $ 68,740,312 44% $ 74,234,548 46% Expenditure Update The recession became most significant to Newport Beach during FY 2010; severe revenue shortfalls became evident. Early projections estimated the revenue shortfall to be as much as $8 million. Long- term forecasts of a declining revenue environment foreshadowed a slow recovery and a persistent structural deficit, if not addressed immediately. Making matters worse, it soon became apparent that the extraordinary losses in the equities market would cause a sudden and radical change to the funded status of pension plans which would in turn result in unsustainable pension cost increases for the foreseeable future. To address these concerns head -on the City Manager, with Council's approval, made an organization -wide structural shift in how the City operates. The structural changes included an early retirement incentive plan, outsourcing certain governmental functions, department cut - backs, employment concessions and deferral of capital improvement projects. At the close of FY 2010, revenue shortfalls were less severe than originally projected, actually coming in $6 million short of the budget vs. the $8 million projection. The City Manager's organizational re- structuring and revenue enhancement proposals resulted in an operating surplus which improved General Fund Reserves by more than $2 million during the worst economic recession since the Great Depression! These were structural changes which helped address the budget issues for the long -term. The FY 2011 Budget was initially adopted with an estimated $2 million of expenditures over revenues. However, management pledged to balance the budget and not access reserves prior to the close of the fiscal year. As of December 2010, as discussed earlier, revenue excesses alone will likely cover this deficit. Further expenditure reductions under development will be brought forward in the near term but they will likely bring about only modest savings during the remainder of the fiscal year. At present, an operating surplus of at least $1 -2 million is projected for FY 2011 and the City Manager has committed to budgeting any General Fund surplus in FY 2011 to capital needs previously deferred. Quarterly Financial Review Page 7 A New Era The severity of the recent recession will obviously leave its mark on the world for many years to come. The private and public sectors are still struggling to define equilibrium in a changed world. In September of 2009, phase 1 changes were engaged to provide expedient solutions in reaction to the fiscal crisis that was bearing down on the City. Phase 2 changes are under development and are intended to provide more structural and substantive change, adapting to a new norm where City operations will be more strategically focused, leanly operated and held accountable to our business objectives. 2010 COUNCIL PRIORITY UPDATE 0 a v cC N W O �1. a� z. O O a� r~ 0� N z» rC O a U U t� N 0� O N ii 2010 Council Priority Quarterly Update Protect and Enhance Quality of Life Goal Status Next steps • Airport: minimize adverse impacts of JWA Corridor cities added in 2011 will see a majority of on the community by protecting the 2010: the Settlement Extension Settlement Agreement's caps on average - Irvine discussions /negotiations, daily departures and passengers as well as - Laguna Beach led by Council, City the curfew and current noise ordinances. Villa Park Manager, City Attorney implementation updates to the Council. Met several times with employee benefit plan Supervisor Moorlach concessions • Group homes: implement group home See Project Tracking Report See Project Tracking Report regulations to minimize adverse impacts on — Project 8 — Project 8 residential neighborhoods while preserving updates regularly appropriate treatment options. - Succeeded. 1" Orange - Protect ratings by taking • Fiscal health and sustainability: make - Adopted Fiscal Implement Muni Cast decisions today that will protect and Sustainability Policy Analysis Tool enhance the City's fiscal health into the - Provided Finance -Multi Year Budget Forecast future. Committee regular updates - Control Costs on current and short and -Full Cost Recovery & long -term budget issues Revenue Enhancement • Public safety: provide services that Ongoing. Performance Hire new fire chief; protect enhance safety and protection in the measurement goals community safety despite community. generally met for 2010 continuing budget reductions Fiscal Sustainability Goal Status Next steps • Adopt and follow a Fiscal Sustainability - Adopted & Implemented - Regular Monitoring Plan. • Adopt a balanced budget that adjusts to -Final Budget adopted with - Identify and implement cost lower revenues; provide quarterly $2.5M in unidentified control measures including financial forecasts and budget adjustments. Should department reductions and implementation updates to the Council. balance by year end by employee benefit plan monitoring revenue concessions increase and implanting - Implement full cost expenditure reductions recovery and fee schedule updates regularly • Achieve and maintain the highest - Succeeded. 1" Orange - Protect ratings by taking possible bond rating. County city and one of budget actions to respond to only five cities in California revenue conditions and cost to receive AAA underlying control rising cost threats agency rating from all - Expand and improve upon three rating agencies financial policies where necessary O N a� O O 0� N s, cC O a U U CZ N 0� s. O N ii 2010 Council Goals Quarterly Update Fiscal Sustainability Goal Con't Status Next steps • Update the Facilities Financing Plan (FFP) -FFP was updated several - Update FFP quarterly or to reflect priorities for capital projects times during the course of when new information funding. the year as new concerning construction construction estimates costs or funding changes • Provide quarterly reports to City Council became available significantly • Update the City's harbor fees in a manner See Project Tracking See Project Tracking Report that is fair; secure a funding mechanism Report— Project 5 — Project 5 for funding harbor projects, such as - Will be integrated with dredging and providing additional harbor new results based amenities. budgeting system once • Initiate a results -based budgeting system. -Met with Department - Convert all other • Conduct the second Citizen Satisfaction Directors and Consultants department RAP to Survey. - Developed concept plan Performance Plan template -Admin Services and Public Works will serve as first test budgets for 2011 -12 Effective Management Goal Status Next steps • Restructure City government to become Several changes in 2009 -10 More to come in 2010 -11 more efficient and effective in the delivery (MOD, Code Enf, Harbor and 2011 -12 of valued services. Resources, contracting out, more) • Provide quarterly reports to City Council - Performance Awaiting implementation of on performance measurements Measurement Program results based budgeting (comparing ourselves to ourselves) and under transition. system information on feasibility of - Will be integrated with benchmarking (comparing ourselves to new results based other agencies). budgeting system once implemented • Conduct the second Citizen Satisfaction - Survey conducted in Completed. Next Survey Survey. August 2010. likely to be in 2012 or 2013. - Final survey report presented to Council on October 26, 2010 • Update the City Charter. Measure V passed by Amending Polices to match voters November 2010 new Charter language • Improve customer service by mirroring Generally met goal of 24- Provide more services the "gold standard" of service in the hour response time for online, 24/7. Reduce trips public or private sector. calls, a -mails to City Hall C4 Ln N l� CZ V CDv rC a� s, O 2010 Council Goals Quarterly Update Effective Management Goal Con't Status Next steps • Improve City / resident communications. - Citizen survey indicated PIOs from various and the prompt opening of Nordstrom. increased citizen departments will meet early satisfaction with overall in new year to align communication efforts and communication goals and several communication objectives for 2011 tools - Staff continues to incorporate new • Abate nuisances and improve Mariners technologies & update See Project Tracking Report Mile between Dover and MacDonalds. processes for community — Project 1 • Start implementation of The Irvine outreach and See Project Tracking Report Company's North Newport Center project. communication efforts — Project 11 • Restructure development services See Project Tracking Report See Project Tracking Report function for improved coordination — Project 16 — Project 16 among disciplines; continued improvement in customer service. • Adopt an updated Zoning Code and Zoning Code adopted in - Implement and train staff Transportation Fair Share Fee and obtain October on updated Zoning Code, certification of Housing element. - Fair Share fee See Project Adopt any necessary Tracking Report— Project 19 revisions to the Zoning Code - Fair Share fee See Project Tracking Report— Project 19 • Address the economic impact of new None passed in 2010 regulations considered by the City Council. Economic Sustainability Goal Status Next steps • Support the renovation of Fashion Island Staff has worked closely Continuation of key staff and the prompt opening of Nordstrom. with the Irvine Company to assignment to support support renovation of renovation of Fashion Island Fashion Island including renovation of the movie theaters - Nordstrom opened in April of 2010 • Abate nuisances and improve Mariners See Project Tracking Report See Project Tracking Report Mile between Dover and MacDonalds. — Project 1 — Project 1 • Start implementation of The Irvine See Project Tracking Report See Project Tracking Report Company's North Newport Center project. — Project 11 — Project 11 • Dredge the Lower Bay and establish a See Project Tracking Report See Project Tracking Report long -term funding source for repeat — Project 13 — Project 13 dredging efforts. N tx a� s~ 0� N s, cC d U U N W r—+ s, O N 2010 Council Goals Quarterly Update Economic Sustainability Goal Con't Status Next steps • Continue to support business Economic Development Focus on providing business development efforts consistent with the staff has supported the attraction and business Strategic Plan for Economic & Fiscal Chamber of Commerce, retention services and Stability and with the Council's Fiscal BIDS, Restaurant Week, project implementation Sustainability Plan. Film Festival and has coordination where coordinated development necessary processing for several water from 432 acre -feet prospective businesses, (af) to 500 of OPIS Network program - Increase our basin support pumping percentage from • Identify a process and the resources See Project Tracking Report See Project Tracking Report needed to support innovative planning of — Project 12 — Project 12 and improvement in Lido Marina Village, Landscaping and imported water from including Via Oporto and other nearby landscape & Irrigation Metropolitan Water District properties. Design Standards - Implement a progressive • Complete update of vision for Balboa See Project Tracking Report See Project Tracking Report Village. — Project 3 — Project 3 Environmental Sustainability Goal Status Next steps • Respond to the results of the JWA air Study completed August Decide if Phase II study quality study. 110 (water quality) warranted • Reduce our use of potable water and our - Reduced residential - Support construction of dependence on imported water sources. potable water the Poseidon desalinization consumption by 15% from plant Syr average to 130 gallons - Increase use of recycled per day per capita (GPCD) water from 432 acre -feet - Updated NBMC 14.16 (af) to 500 of Water Conservation and - Increase our basin Supply Level Regulations pumping percentage from - Adopted NBMC 14.17 62% to 65% to eliminate Water- Efficient the need for 500 of of Landscaping and imported water from landscape & Irrigation Metropolitan Water District Design Standards - Implement a progressive tiered water rate - Implement City rebate programs to incentivize efficient water use N a� S~ oa N s, cC CY v rC W r-+ s, O i 2010 Council Goals Quarterly Update Environmental Sustainability Goal Con't Status Next steps • Improve recreational water quality. - Coastal Cleanup Day - Work with our upstream the new Civic Center. 1293 volunteers cities and regional agencies • Break ground on the Civic Center Project, - Upper Buck Gully to reduce nutrient, selenium including the park. Wetlands Restoration and debris loading into the • Complete the EIR and seek funding - Newport Beach Receives Upper Bay and Harbor sources for the Banning Ranch property. Five Star Rating - NRDC's - Water quality projects in • Start construction of Sunset Ridge Park. report provides a 5 -star Lower Buck Gully and Big rating guide for 200 of the Canyon Creek • Start construction of Marina Park (phase I nation's most popular - Maintain our enhanced or all phases). beaches cleaning and maintenance of storm drains - Deploy trash booms in Newport Bay • Assist the Corps and County in dredging Upper Bay project Longterm funding for Upper the Upper Bay and establish a long -term complete in November Bay possibly provided by funding source to repeat the UNB 2010 current harbor fee increases dredging. (moorings, BYB, pier permit fees etc...) • Dredge the Rhine Channel. See Project Tracking Report See Project Tracking Report — Project 17 — Project 17 • Create a plan for responding to future sea - Building code slab Consultant report on Sea level changes that may affect properties. construction height Level rise impact to Balboa adjusted to meet latest Island to be completed in FEMA guidelines Spring 2011 - Future Bulkhead heights - Future review of Sea Level to be increased as rise impacts to rest of replaced Coastal area to be Study underway to undertaken understand Sea Level impacts to Balboa Island Community Enhancements Goal Status Next steps • Incorporate a public art component into See Project Tracking Report See Project Tracking Report the new Civic Center. — Project 10 — Project 10 • Break ground on the Civic Center Project, See Project Tracking Report See Project Tracking Report including the park. — Project 6 — Project 6 • Complete the EIR and seek funding See Project Tracking Report See Project Tracking Report sources for the Banning Ranch property. — Project 4 — Project 4 • Start construction of Sunset Ridge Park. See Project Tracking Report See Project Tracking Report — Project 18 — Project 18 • Start construction of Marina Park (phase I See Project Tracking Report See Project Tracking Report or all phases). — Project 14 — Project 14 a� O N a� O O 0� N s, cC d U U N W r-+ s, O 2010 Council Goals Quarterly Update Community Enhancements Goal Con't Status Next steps • Complete construction of and open the Opened per plan on Project is Complete. new OASIS Senior Center. September 20, 2010. Project is Complete • Reduce fire hazard in Buck Gully and See Project Tracking Report See Project Tracking Report Morning Canyon. — Project 15 — Project 15 • Implement traffic management plan See Project Tracking Report See Project Tracking Report (including traffic synchronization) to — Project 9 — Project 9 improve traffic flows. • Implement a comprehensive parking See Project Tracking Report See Project Tracking Report program for the Balboa Peninsula. — Project 7 — Project 7 • Widen Jamboree Road in the Airport Area See Project Tracking Report See Project Tracking Report (especially Jamboree and Bristol). — Project 20 — Project 20 • Initiate the acquisition of Coast Highway See Project Tracking Report See Project Tracking Report between Jamboree and the Santa Ana — Project 2 — Project 2 River and Newport Boulevard from Finley to West Channel Bridge; create a process for initiating a longer range planning process for Mariner's Mile Traffic, Pedestrian, and Parking Comprehensive Plan. • Facilitate Newport Beach arts $100,000 Council grant in - Continued efforts to opportunities through: support of the Film Festival support the Arts in Newport • Opening of the remodeled Port Theater; given in 2010 Beach • The Newport Beach Film Festival; -Arts Commission is giving - The City continues to have • Encouraging fundraising to renovate the the Festival a $5,000 arts a staff representative to Balboa Theater and implement the grant work with the Film Festival - Master events calendar Board Newport Nautical Museum's master plan; that is enclosed in the • Assisting VisitNB.com or the Chamber in City's Navigator newsletter publishing and promoting a Master Calendar of Events. • Plan the future of the current City Hall site Study Session 1/11/2011 - Approve the final at 3300 Newport Boulevard. completed with direction conceptual plan on given to staff as a 1/25/2011, component of the Lido - Implement final Council Village Conceptual planning direction on re -use, prepare effort environmental review and adopt necessary amendments to regulatory documents • Work to change the dynamics in West West Newport Safety Committee will meet Newport on July 4 to have a more family- Committee reps, regularly through the late friendly celebration and lower law community members and winter & spring enforcement costs. staff to meeting in January PROJECT TRACKING REPORTS 0 a v cC N W O �1. a� PROJECT TRACKING REPORT TABLE OF CONTENTS Abatement Nuisances and Improve Mariner's Mile PROJECT 1 Acquisition of Coast Highway PROJECT 2 Balboa Village Visioning PROJECT 3 Banning Ranch PROJECT 4 City Harbor Fees PROJECT 5 Civic Center Project PROJECT 6 Comprehensive Parking Program for the Balboa Peninsula PROJECT 7 Group Homes PROJECT 8 Implement Traffic Management Plan PROJECT 9 Incorporate Public Art Component in new Civic Center PROJECT 10 Irvine Company's North Newport Center Project PROJECT 11 Lido Village Conceptual Planning PROJECT 12 Lower Bay Dredging Project PROJECT 13 Marina Park PROJECT 14 Reduce Fire Hazard in Buck Gully and Morning Canyon PROJECT 15 Restructure Development Services PROJECT 16 Rhine Channel Contaminated Sediment Cleanup PROJECT 17 Sunset Ridge Park PROJECT 18 Transportation Fair Share Fee PROJECT 19 Widen Jamboree Road in the Airport Area PROJECT 20 0 o. a� cC Ln Ln N W 0 c� o' U c6 a� 0� O �L 3 a� ii PROJECT 1 PROJECT: Abate Nuisances and Improve Mariner's Mile Department(s): City Attorney's Office and Community Development Project Lead: Kyle Rowan, Deputy City Attorney Project Start Date: July 2009 Target Completion Date: July 2010 Description: The project is to aggressively pursue enforcement actions against the property owner of 17 lots within the Mariner's Mile area of the City, more specifically located at 200 -600 West Coast Highway, in order to abate nuisance conditions that exist on the properties. The lots were vacant for several years as a result of a redevelopment plan that never materialized, resulting in dangerous conditions and public nuisances, including graffiti, abandoned signs, overgrown landscaping, weeds, debris, broken windows, and harboring vagrants. The City's goal is to have all of the public nuisances that exist on the property corrected, abated, or remedied, and to improve the aesthetics of the properties. Funding Source: General Fund and Settlement Agreement Total Funding Required for Project: unknown Funding Allocated to Date: $10,000 received from current property owners as part of settlement agreements. Amount Spent to Date: Approximately $10,000 in external legal fees and budgeted staff resources from multiple departments. Status to Date: Background- In 2004, a development application was filed with the City to redevelop properties located at 200 -600 West Coast Highway. The properties are located on the north side of the highway, between Dover Drive and the MacDonald's restaurant. In anticipation of project approval and demolition of the existing structures, the landowner vacated the eight detached retail /commercial structures. Entitlements to develop a 56,000- square -foot retail center was approved on January 19, 2006; however, due to difficulties obtaining approvals to install a new traffic signal from Caltrans and litigation with former prospective tenants, the Project Tracking Report (October- December 2010) Page 1 t. O �1. N CC Ln Ln N O W s. N c� O o' U c6 a� 0� O �L 3 Ong PROJECT 1 Abatement Nuisances and Improve Mariner's Mile landowner was unable to commence construction on the approved project. Public Nuisances and Actions - Starting as early as February 2005, Building and Code Enforcement staff began working with the landowner to correct dangerous conditions and public nuisances, including graffiti, abandoned signs, overgrown landscaping, weeds, debris, broken windows, and harboring vagrants. Due to the landowner's lack of cooperation and continual violations, the City commenced a more aggressive attempt to abate the nuisances starting in July of 2009, by recording a Notice of Violation of Public Nuisance and Order to Abate on the property. At that time, the landowner was in the process of advertising the property for sale and the recorded Notice proved to be an encouragement for the landowner to cooperate with the City. After several months of meeting with the landowner to abate the nuisances, it became evident that the landowner had no intentions of abating the public nuisances and was only interested in selling the property. To ensure that the properties were not sold to new buyers without addressing the required nuisance abatement, on February 9, 2010, the City filed a Complaint with the Orange County Superior Court against the landowner and also recorded a Notice of Pendency of Action, which provides notice of the pending compliant with the Court. On February 26, 2010, settlement agreements were entered into with the landowner and the two new buyers of the properties, Russell Fluter and VBAS, Properties, Inc. Each new buyer was given a schedule for abatement. Current Status - The VBAS property consists of the first 6 lots west of Dover Drive (200 -300 West Coast Highway). A development application was submitted in August of 2009, to redevelop the property with a 23,015 square -foot, two -story commercial building and a three- story parking structure. Project implementation requires several approvals from the City and the preparation of a Mitigated Negative Declaration in compliance with the California Environmental Quality Act. Planning Commission and City Council hearings are anticipated to be scheduled in late Spring or early Summer 2011. Although the property is not in technical compliance with the conditions of the settlement, the applicant is diligently processing their application and has maintained the property in a safe and secure condition, including the removal of graffiti, painting the buildings, and adequately securing the site. Thus, it is not in the City's best interest at this time to take further code enforcement actions because if the project is approved, the applicant will commence demolition and complete the abatement. Project Tracking Report (October- December 2010) Page 2 PROJECT 1 Abatement Nuisances and Improve Mariner's Mile The Fluter property consists of the remaining 11 lots (400- 600 West Coast Highway). Fluter has complied with all conditions of the settlement and has abated all nuisances associated with this property. Staff has supported Fluter's efforts to aesthetically enhance and re -use the six existing buildings that occupy the site. The buildings have been upgraded and leased out to new commercial and retail tenants. M L. O N U) Cz N O W N s.. O d U N L. O 3 Ong VBAS Properties Fluter Properties Project Tracking Report (October- December 2010) Page 3 O N a Cn V) CU CO s.. a� d v N 0. O a� i PROJECT 2 PROJECT: Acquisition of Coast Highway Department(s): Public Works Project Lead: Dave Webb Project Start Date: January 2004 Target Completion Date: Winter 2012 Description: The objective of this project is to initiate a long range planning process to create a Mariner's Mile Traffic, Pedestrian and Parking Comprehensive Plan. The first step is to acquire ownership of Coast Highway between Jamboree Road and Santa Ana River and Newport Boulevard between Finley Street and West Channel Bridge from the State of California Department of Transportation ( Caltrans). The process involves passing the appropriate legislation, having the State review the facility for ability to relinquish and its state of repair, providing a report to the City on the facility, development of an offer for City to take the facility, and the City to chose whether it would accept the offer. There is no defined schedule for this process and it is expected to be rather lengthy to accomplish. Funding Source: Sources for future improvements to be determined Total Funding Required for Project: To be determined Funding Allocated to Date: None Amount Spent to Date: None other than staff time Status to Date: Section 73 of the Streets and Highways Code allows the California Transportation Commission to relinquish state highways through a prescribed process. Caltrans has prepared a Project Study Report that documents an assessment of the condition of the two segments of state highway to be considered for relinquishment and has circulated the report within its organization. On September 16, 2010, staff met with Caltrans to discuss its tentative findings of the current condition assessment of the two highway facilities. Caltrans informed staff that they found the facilities to be in a good state of repair and would offer $0 for its relinquishment. Project Tracking Report (October- December 2010) Page 1 O V) V) O f� N c0 O a U U M 4- L. O Q7 i Project 2 Acquisition of Coast Highway Staff expressed concern with this position and requested Caltrans review / correct various existing items such as traffic signals, drainage structures, failed pavement areas, failing slopes, etc., prior to finalizing the report and determining the value of relinquishment. Caltrans agreed to conduct further review and update its report Project Tracldng Report (October- December 2010) Page 2 0 o~ 0 as a� 0 0 oa z. cC a U t� N W r.-+ s.. O N ii PROJECT 3 PROJECT: Balboa Village Visioning Department(s): Community Development Project Lead: James Campbell, Acting Deputy Director Project Start Date: February 2010 Target Completion Date: December 2010 Description: The completion of an updated vision for the Balboa Village area to support revitalization and sustained economic growth while supporting the efforts of the Newport Harbor Nautical Museum and Balboa Theater. The Newport Harbor Nautical Museum has conceptual plans for the future expansion of their maritime museum presently located within the Balboa Fun Zone and the Balboa Theater Foundation also has plans for the future reconstruction of the performing arts theater located at 707 E. Balboa Boulevard. Funding Source: None identified Total Funding Required for Project: $100,000 (estimated) Funding Allocated to Date: None identified Amount Spent to Date: None Status to Date: It was anticipated that the City and major stakeholders within the area would join together to form a partnership to fund and manage the preparation of an updated vision for Balboa Village. An updated vision could lead to changes in land use, parking or economic development policy to create an environment for the economic success of the district while maintaining compatibility with nearby residential uses. Project Tracking Report (October- December 2010) Page 1 O S� N CG a� O O 0� O c� O d U CT< N S. O PROJECT 3 Balboa Village Visioning h1 . NHNM �� Theater i a<N f�. aW Balboa Village Past vision and planning documents were collected and reviewed, and as a result, the need for an economic analysis was identified. Pursuant to Council direction, the Balboa Market site was purchased and a surface parking lot was developed to support businesses and visitors. Staff completed the preliminary groundwork in support of a parking management district to enhance parking resources. Further progress on this visioning project was stalled due to staffing and budget constraints. If this project is to be continued, City Council direction is requested to re- affirm its priority and funding. The estimated budget of $100,000 would include retaining a project manager, planning /architectural consultant, a financial consultant and City staff time. Budget expenditures could be off -set by private contributions. Project Tracking Report (October- December 2010) Page 2 s. O N CC Ln Ln N O w s ro o' U c6 N L. O �L 3 Ong PROJECT 4 PROJECT: Banning Ranch Department(s): Community Development, Public Works and City Manager's Office Project Lead: Patrick Alford, Planning Manager Project Start Date: August 2008 Target Completion Date: January 2013 Description: The General Plan contemplates two uses for the Banning Ranch: acquisition for open space or a planned community consisting of retail, hospitality, recreational, open space and residential uses. Newport Banning Ranch is a 402.3 -acre planned community proposed by Newport Banning Ranch, LLC, a partnership formed by Aera Energy, Cherokee Investment Partners, and Brooks Street The project would contain a maximum of 1,375 dwelling units, 75,000 square feet of retail commercial, a 75 -room "boutique' hotel, parks and open space. The site is generally bound to the north by Talbert Nature Preserve /Regional Park (Costa Mesa) and to the south by West Coast Highway and the Newport Shores Community; to the east by Newport Crest Community, West Newport Mesa, and Westside Costa Mesa; and to the west by a U.S. Army Corps of Engineers wetlands restoration area and the Santa Ana River. Approximately 40 acres of the site are located within the incorporated boundary of the City of Newport Beach; the remainder of the site is within unincorporated Orange County, but within the City of Newport Beach's adopted Sphere of Influence. Funding Source: General Fund (off -set by application fees) Total Funding Required for Project: $3.5 million (estimated) Funding Allocated to Date: $2,317,000 Amount Spent to Date: $2,315,398 Project Tracking Report (October- December 2010) Page 1 S?. W Sr .M W N ca d U c6 N O �L 3 Ong PROJECT 4 Banning Ranch Status to Date: The exploration of funding sources for the acquisition of the Banning Ranch is continual, but to date, no funding sources have been identified. Newport Banning Ranch (NBR) submitted applications to the City in August of 2008 for the development of the property consistent with the General Plan. NBR is finalizing their drafts of the proposed Planned Community (PC) text and the Master Development Plan (MDP), which were expected to be submitted to the City for final review by the end of January 2011. _ v -F The Tentative Tract Map (TTM) submitted by NBR has undergone extensive review by City staff and will be finalized following the completion of the PC text and MOP. The target completion date for the PC text, MDP, and TTM is March 2011. A draft of the Development Agreement (DA) is expected to be submitted to the City for staff /City Council Committee review by February 2011. The target completion date for the draft DA is March 2011. Project management has transitioned from a special projects coordinator within the City Manager's Office to the Planning Division. The existing team of consultants who have been working on the project have been retained to provide continuity within the overall review Project Tracking Report (October- December 2010) Page 2 s. O Q, N CC Ln Ln N O O W s. N ca O d U c6 N L. O �L 3 Ong PROJECT 4 Banning Ranch process. Staff and consultants have been in the process of preparing a Draft Environmental Impact Report (DEIR) including all necessary technical studies. The final draft will be completed once the PC text, MDP, DA and TTM are finalized. Publication of the DEIR with a 60 -day public comment period is anticipated in Anril 2011. Following DEIR public comment period, responses to public comments and a draft Final EIR will be prepared and submitted along with the project for public hearings before the Planning Commission that are anticipated to begin in the Summer of 2011. The Planning Commission's recommendation will be forwarded to the City Council for hearing and final action in the Fall of 2011. Should the City Council approve the project, an application will be submitted to the California Coastal Commission (CCC) by Newport Banning Ranch. Processing by the CCC staff is anticipated to take a minimum of 15 months. Project Tracking Report (October- December 2010) Page 3 0 rx N 0 oa N ct< O d v cC N W O O PROJECT 5 PROJECT: City's Harbor Fees Department(s): Public Works/ City Manager's office Project Lead: Chris Miller, Dave Kiff Project Start Date: Summer 2010 Target Completion Date: December 2011 Description: This project consists of updating Harbor Resources' cost of service fees and updating the City's harbor fees to reflect the fair market value for the use of the Tidelands by the associated user groups. Fees include permits for moorings, Balboa Yacht Basin slip rates, and commercial pier leases. These fees contribute to harbor projects such as dredging and the provision of additional harbor amenities. Funding Source: Tidelands Total Funding Required for Project: None to date. However, consultant funding is required to negotiate leases for all of the commercial marina owners. The RFP is currently under review by OCA. Funding Allocated to Date: None Amount Spent to Date: Not available at this time. The City hired MGT Services to update City wide cost of services including harbor related fees. Status to Date: The Harbor Commission will be recommending a conceptual review for a Mooring Support Service Center idea to the City Council in February 2011 to address mooring owner needs. In the fall of 2010, City Council approved Harbor Resources cost of services fees, with Administrative Services implementation estimated in the next couple months. Revised mooring fees and Balboa Yacht Basin fees (boat slips, garages, and apartments) were approved by Council in November /December 2010. Staff has worked on the last component of evaluating the commercial marinas and converting their annual permits to commercial leases. Project Tracking Report (October- December 2010) 0 a rx CU r~ N o' v CU N 0. 0 0 M1 PROJECT 6 PROJECT: Civic Center Project Department(s): Public Works Project Lead: Steve Badum Project Start Date: April 2010 Target Completion Date: December 2012 Description: The Civic Center Project includes a City Hall Office Building, one of the city's largest parks (16 acre), a 450 -space parking structure, and an expansion of the Newport Beach Central Library. It is located on two parcels inland of the Newport Beach Central Library and bordered by Avocado Avenue and MacArthur Boulevard. The project also includes a community room, new Council Chambers, a "One Stop" Customer Service Center, dog park, passive wetlands park, a civic green, and a small cafe to service library and city hall customers. Funding Source: Bond Proceeds /General Fund Total Funding Required for Project: $128,000,000 (estimated) Funding Allocated to Date: $128,000,000* Amount Spent to Date: $18,542,143 (through 12/31/10) *includes financing Status to Date: The Civic Center Project is on schedule and budget. The first phase (Soil Export, Grading, and the construction of the Parking Structure Shoring Wall) is nearing completion with soil export substantially complete and the shoring wall to be completed in February. The second phase (Parking Structure) will begin foundation construction in March. Bid packages for the third and final phase (City Hall Office Building, Library Addition, and Parks construction) will be presented to City Council on February 22, 2011 for approval. The project is scheduled to be substantially complete during the Fall of 2012 with the grand opening planned for December 2012. Project Tracking Report (October- December 2010) I PROJECT 6 Nevrport Beach CivicC enter and Park Boh H nCyviinski Jackson I PWP Newponsemi. caINmN MAY 10, MIG z. O �1. N CG Ln V) w N c� O o' U c6 a� 0� O �L 3 a� M! PROJECT 7 PROJECT: Comprehensive Parking Program for the Balboa Peninsula Department(s): Community Development & Public Works Project Lead: Leigh M. De Santis, Economic Development Administrator Project Start Date: January 2010 Target Completion Date: December 2010 Description: The project includes implementation of a comprehensive parking program for the Balboa Peninsula with the broad goal to optimize the use of existing parking resources and to explore opportunities to increase public parking supply. Walker Parking Consultants studied two geographic areas on Balboa Peninsula; Balboa Village and the Lido /Cannery /McFadden Square area. One recommendation was to modify the pricing of on- street and public parking spaces to increase access and optimize their use and availability to the public. An opportunity also became available to increase parking supply in Balboa Village through the purchase the Balboa Market site and the expansion of the existing public parking lot located at the intersection of Palm Street and Balboa Boulevard. Funding Source(s): General Fund, Neighborhood Enhancement B Reserve Account, the Off- Street Parking Reserve Account, and the [n -Lieu Parking Reserve Account. Total Funding Required for Project: $75,000 estimated for consulting assistance and 1.0 FTE split between CDD and Public Works. Funding Allocated to Date: $3,664,765 (does not include staff time) Amount Spent to Date: Appraisal: $12,000, Environmental clearance: $2,250, Acquisition: $3.5 million, demolition and construction of the parking lot: $150,515. Status to Date: Due to the differing geographic characteristics of the Balboa Peninsula and the recommendations provided by Walker Parking Consultants, parking management efforts were limited to Balboa Village as a way to test and validate the precepts. Progress was made toward the creation of a parking management plan or district and the City purchased the Balboa Market site and expanded the Palm Street public parking lot. Project Tracking Report (October- December 2010) Page 1 S. 7�. N ry Ln V) U N r-. v c� o' U c6 a� 0� O �L 3 Ong PROJECT 7 Comprehensive Parking Program Public Parking Lot Expansion - The City took possession of the Balboa Market property in March 2010. Public Works staff prepared designs for the parking lot and managed Coastal Commission approvals, demolition of the market building, and the construction of the 32 -space parking lot. The expanded parking lot was completed and opened to the public in December of 2010. �W Palm Street Public Parkm9 yQl o'"cs , •' �Ii'Bwae y-e. Yoh, ® i y- ins jy '! Former Balboa Market Site Parking Management Plan or District - Based upon the recommendations of the Walker Consultants report and City Council direction, Community Development staff prepared a parking management plan. Included within the plan was the creation of a parking management district where public parking revenues would be collected and used to manage existing public parking and where feasible, expand public parking. The pricing of public parking would be modified and seasonally adjusted to improve access to spaces. The parking management district was presented to the City Council at the study session on September 28, 2010. The Council placed the project on hold pending a more comprehensive look at Balboa Village (see status of the Balboa Village Visioning). Project Tracking Report (October- December 2010) Page 2 s. O Q, N CG Ln V) N O O r-. s.. O c� O d U c6 N L. O �L 3 Ong PROJECT 7 Comprehensive Parking Program Next Steps - If deemed a priority by the City Council, next steps includes the continuation of comprehensive parking management strategies for Balboa Village as well the remainder of the Balboa Peninsula, provided sufficient funding sources can be identified. Parking management for the Balboa Village would be a component of the broader visioning effort to be undertaken. Project Tracking Report (October- December 2010) Page 3 t. O fL N CC Ln Ln N O O W s N c� O o' U c6 N L. O cL 3 Ong PROJECT 8 PROJECT: Group Homes Department(s): Office of the City Attorney, City Manager's Office; Planning Project Lead: City Attorney and City Manager Project Start Date: 2007 Target Completion Date: ongoing Description: Group homes: Implement and defend group home regulations to maintain the residential character of the City's residential neighborhoods while providing equal access to housing and accommodating the needs of the disabled. Funding Source: General Fund and Fund Balance Total Funding Required for Project: All costs have not been specifically identified since a great deal of the costs are internal, staff resources from the City Manager's Office, Office of the City Attorney, Planning, and Code Enforcement. Funding Allocated to Date: $2.8 million in outside counsel and litigation costs to date with an additional $225,000 anticipated in this fiscal year and $400,000 next fiscal year. Amount Spent to Date: $2.8 million on outside counsel plus internal staffing costs and cost of Hearing Officer in administrative Status to Date: (1) Initial preparation of ordinance and implementation of the administrative process for existing operators completed by February of 2010; (2) Ongoing defense of the ordinance in the Federal Court successful to date through victories on motions to dismiss portions of the complaints and motions for partial summary judgment with a trial date now scheduled August 2, 2011, then an anticipated appeal that could last up to two years; (3) Enforcement of the ordinance and two zoning agreements used as vehicles to settle the cases of two operators ongoing. Project Tracking Report (October- December 2010) z. O N tx N r~ ov U CU N 0. O ai i PROJECT 9 PROJECT: Implement Traffic Management Plan Department(s): Public works Project Lead: Antony Brine Project Start Date: December 2002 Target Completion Date: 2012 Description: The City is undertaking work to improve traffic signal system reliability, traffic flow, and reduce congestion. Current traffic management projects include a combination of traffic signal rehabilitation improvements and Phases 4, 5, and 7 of the traffic signal modernization program. The annual traffic signal rehabilitation program provides required maintenance and improvements of existing equipment. The traffic signal modernization program is a multi- phased effort to install new software, CCTV live feedback equipment, and fiber optic cable that allows staff to adjust signal timing from the traffic management center at City Hall. Current efforts include improvements to intersections around Balboa Peninsula, Superior Avenue, and Irvine Avenue. Phase 5 improvements address intersections in the Newport Center area. Funding information below only includes estimates for the traffic modernization program. Funding Source: Transportation and Circulation, Measure M Turnback, Measure M Competitive Total Funding Required for Project: $7,500,000 Funding Allocated to Date: $5,000,000 (excludes Phases 6 and 8) Amount Spent to Date: $3,886,035 Status to Date: Phases 1 -3 of the traffic modernization program are complete and operational. Phases 4 and 7 are substantially complete. Phase 5 of the traffic signal modernization program is currently in design and will be combined with a traffic rehabilitation project. Award of a construction contract is anticipated in spring 2011. Project Tracking Report (October- December 2010) 0 rx N 5~ O N c� O d v cC N W O a� PROJECT 10 PROJECT: Incorporate a Public Art Component in new Civic Center Department(s): Public Works and Library Services Project Lead: Steve Badum and Cynthia Cowell Project Start Date: Target Completion Date: December 2012 Description: Goal 6 pertains to Community Enhancements to increase opportunities for recreational and arts enjoyments, provide for essential facilities and facilitate sound land use decisions. The objective is this project is to incorporate public art as part of the new Civic Center project. Funding Source: Civic Center Bond Proceeds and Private Contributions Total Funding Required for Project: to be determined Funding Allocated to Date: None Amount Spent to Date: None Status to Date: A memorandum of understanding has been executed with the Orange County Museum of the Arts for the acquisition and installation of art work as part of the Civic Center project. Additional art will be acquired and installed when construction of the buildings and park is completed. The Civic Center Park design incorporates willow structures by Patrick Dougherty and animal sculptures in the various meadows. Project Tracking Report (October- December 2010) PROJECT 10 abAss Children's Discovery Elements 77 Nev�port Beach CivicC enter and Park nonllnuywnsn dacx sons vvvY NewlP n6exk. CallonU FIPy Ia. 9110 t. O a� cC Ln Ln a) w s. N ct< O d U c6 a� 0� O �L 3 a� nf PROJECT 11 PROJECT: Irvine Company's North Newport Center Project Department(s): Community Development Project Lead: Patrick Alford, Planning Manager Project Start Date: March 2011 Target Completion Date: May 2011 Description: Irvine Company has notified City Staff of their plans to construct a new office building within Block 600 of Newport Center. The exact location has not been identified at this time. The North Newport Center Planned Community (PC) text requires any development to be submitted to Plan Review by the Planning Director in order to determine compliance with the PC text The Plan Review application will include floor plans, elevations, parking plans, and preliminary landscape plans. Funding Source: General Fund (off -set by application fees) Total Funding Required for Project: Funded through budgeted staff resources, $2,200 application fee Funding Allocated to Date: Existing budgeted resources Amount Spent to Date: Unknown Status to Date: In January 2010, the City Council approved a transfer of developments rights, which included the transfer of 50,000 square feet from Block 500 to Block 600. In October 2010, the City Council approved a transfer of development rights, which included the transfer of 45,236 square feet of general office from Block 100 to Block 600. Staff has reviewed and approved on schedule the Irvine Company's request for seismic retrofit of the Block 600 parking garage. The Irvine Company has not submitted plans for new construction within the North Newport Center Planned Community to date; however, staff has had preliminary meetings with project proponents. When the plans are submitted, Staff will administratively review the plans to Project Tracking Report (October- December 2010) Page 1 s. O Q, N CC Ln Ln N O O W s. N c� O d U c6 N L. O �L 3 Ong PROJECT 11 Irvine Company's North Newport Center Project determine compliance with the PC tent and Development Agreement. When compliance is determined, the Irvine Company will submit the all the necessary architectural and structural plans and calculations to the Building Division for the review and issuance of a building permit for construction. Project Tracldng Report (October- December 2010) Page 2 O S=L a� cC Ln Ln a) w s. N c� O d U c6 a� 0� O �L 3 Ong PROJECT12 PROJECT: Lido Village Conceptual Planning Department(s): Community Development Project Lead: James Campbell, Acting Deputy Director Project Start Date: June 2010 Target Completion Date: October 2010 Description: Provide planning for the future vision and improvement of the Lido Village area that is generally bounded by Newport Boulevard, Newport Bay and 32nd Street. The process and necessary resources were identified in July 2010. The process consisted of a public /private partnership with Fritz Duda Company and Vornado Partners to jointly fund and manage a conceptual planning effort. The purpose of the effort was to create a process and plan to guide redevelopment of Lido Marina Village, facilitate pre - planning for the Duda shopping center due to the relocation of Pavilions and to identify re -use opportunities for the existing City Hall site. Funding Source: General Fund & Private Funds Total Funding Required for Project: $75, 000 total ($25,000 from the General Fund & $50,000 from major stakeholders) Funding Allocated to Date: $25,000 from unallocated reserves was allocated on July 27, 2010 Amount Spent to Date: $25,000 Status to Date: Tim Collins was retained by the public /private partnership in August 2010. Proposals from several planning firms were evaluated and a grouping of consultants consisting of William Hezmalhalch Architects, The Concord Group and Government Solutions was selected. Planning began in September with a ULI Technical Advisory Panel, consultation with City Staff and targeted public outreach. Four 90% draft plans were presented to the City Council on 11/23/2010, and direction was provided and additional public outreach was conducted. Two final draft plans were presented to the City Council on 1/11/2011, and the Council provided input and direction on re -use opportunities for the existing City Hall site. Project Tracking Report (October- December 2010) Page 1 0 u. 0 rx V) O 5~ O W N Cz sz O d U ns N O f-L 3 Ong i ! i ladr Sao !! Wt6 ALTERNATIVE 5B PROJECT12 Lido Village Conceptual Planning The final plan above was presented to the City Council on January 25, 2011, and the Council directed staff to prepare an action plan for the implementation of Alternative 5b including the planning for a community center and housing at the existing City Hall site. A lot line adjustment between the City Hall site and the Duda property and a potential specific plan are contemplated. Project Tracking Report (October- December 2010) Page 2 ! � Ya••S a••a Jj r ♦ J ALTERNATIVE 5B PROJECT12 Lido Village Conceptual Planning The final plan above was presented to the City Council on January 25, 2011, and the Council directed staff to prepare an action plan for the implementation of Alternative 5b including the planning for a community center and housing at the existing City Hall site. A lot line adjustment between the City Hall site and the Duda property and a potential specific plan are contemplated. Project Tracking Report (October- December 2010) Page 2 0 a CU 0 0 o' v CU CU 0. 0 a� i PROJECT 13 PROJECT: Lower Bay Dredging Project Department(s): Public Works Project Lead: Chris Miller Project Start Date: 2012 Target Completion Date: 2013 Description: This project includes dredging the main navigational channels in the Lower Bay by the federal government. There is approximately 1 million cubic yards of material to be dredged with most of the sediment being suitable for ocean disposal at the off -shore site "LA -3". The remaining material is unsuitable for ocean disposal and needs to be disposed of at an alternate approved location. It is anticipated the project will not obtain full funding and which will require it to be spread over multiple years. Funding Source: Federal Funds, Tidelands Total Funding Required for Project: —$25 Million Funding Allocated to Date: $100,000 (CIP) and—$2.5 Million (federal funds) Amount Spent to Date: $400,000 (0 &M Tidelands) for sediment testing Status to Date: Staff is coordinating with and assisting the Army Corps of Engineers. There are two major hurdles to overcome: funding and sediment disposal. The City's local and D.C. lobbyists are exploring creative solutions within the Corps' funding mechanism to ensure this project moves forward in a timely manner. Some sediment material is deemed unsuitable for disposal in the ocean and must be disposed at an alternate location. Previously, the City applied to the Port of Long Beach (POLB) for disposal in their Middle Harbor fill site, but the request was not granted because the City's quantities exceeded capacity. There is a possibility that the window with the POLB may in 20 Project Tracking Report (October- December 2010) O Q N ry U O c 00 T L L cu C� U O N m O Q N Z PROJECT 14 PROJECT: Marina Park Department(s): Public Works Project Lead: Dave Webb Project Start Date: 2007 Target Completion Date: 2013 Description: Between 2005 and 2009, the City worked with various citizen groups, the Harbor Commission, and a 9- member Council /Citizens Advisory Committee to develop a plan to replace the current mobile home park between 18th Street and 15th Street along West Balboa Boulevard (on the "Bay" side of Balboa Boulevard) with something more visitor - serving. The Marina Park project proposes new visitor - serving marina facilities, an aquatics sports building, community center and community park. The Environmental Impact Report was completed in spring 2010. The next step involves approval and permitting by the California Coastal Commission which began in 2010. Considering the City's current budget challenges, the City Council has not decided whether to implement the project in phases or to construct the entire park and marina project at once. Among the things that will influence the Council's decision is the City's success in receiving Federal and State grants and /or loans. Funding Source: General Fund and undetermined sources Total Funding Required for Project: To be determined Funding Allocated to Date: $4,470,727 (not including settlement agreement costs) Amount Spent to Date: $1,361,766.37 Status to Date: Currently, the Coastal Commission and federal agencies are reviewing the project. The status of the various permit /approvals required is: CA Regional Water Control Board 401 Permit - Permit obtained 12/22/2010 US Army Corp 404 Permit - Application submitted. Letter of Public Noticed being issued. CA State Land Boundary Agreement & Project Concurrence - Approval expected late Spring Project Tracking Report (October- December 2010) Page 1 PROJECT 14 Marina Park 2011. CA Coastal Commission Permit - Application submitted. Responded to first Incomplete Application letter. Received second Incomplete Application letter stating project needs CA State Lands Commission approval to proceed. Staff is also continuing to negotiate with the Southern California Edison Company to purchase a surplus piece of property adjacent to the south side of the project. Project Tracking Report (October- December 2010) Page 2 s. O N tx Cu N o' v CU N 0. O i PROJECT 15 PROJECT: Reduce Fire Hazard in Buck Gully and Morning Canyon Department(s): Fire Project Lead: NBFD Fire Marshal Ron Gamble Project Start Date: Dependent on the final Cal Fire FHSZ Maps due in early 2011 Target Completion Date: Once the maps are completed and available from the state, they will be submitted to the City Council. Then scheduling of public hearings on the subject can take place and the CAL FIRE map can be adopted by the city council. This will become part of the annual hazard reduction program. Description: (CAL FIRE) began a project in 2007 to update the Fire Hazard Severity Zone Map for all areas of California. The data used in the development of these scientific computer modeled maps combines recognized risk factors like fuel loading, fire weather, topography, emergency access, building construction and satellite imagery to pinpoint hazards from wildfire. The very high fire hazard severity zones include areas where winds have been identified by Cal Fire as a major cause of wildfire spread, such as our annual Santa Ana wind storm conditions. Due to budget cuts, this project has taken longer than expected to complete but should be available in early 2011. With the SB1595 written by Senator Kehoe, the California Legislature found and declared that Wildfires are extremely costly, not only to property owners and residents but also to local agencies. Preventive measures are therefore needed to ensure the preservation of the public peace, health, or safety. The wildfire front is not the only source of risk since embers, or firebrand, travel far beyond the area impacted by the front and pose a risk of ignition to a structure or fuel or fuel on a site for a longer time. The prevention of wildland fires is not a municipal affair, as that term is used in Section 5 of Article XI of the California Constitution, but is instead, a matter of statewide concern. It is the intent of the Legislature that, this chapter applies to all local agencies, including, but not limited to, charter cities, charter counties, and charter cities and counties. This subdivision shall not limit the authority of a local agency to impose more restrictive fire and public safety requirements, as otherwise authorized by law. Project Tracking Report (October- December 2010) Page 1 0 a. ryo N s~ 0 w ca O d v N W s. O L�. 3 Ong PROJECT 15 Reduce Fire Hazard in Buck Gully and Morning Canyon Because this bill would change the definition of a crime, it would impose a state - mandated local program. Although SB 1595 is a state mandated program, no reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency will be incurred because this act creates a new crime within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution. SB 1595 became law in 2008 and the CAL FIRE maps will allow the provisions of this law to be enforced. It requires a person who owns, leases, controls, operates, or maintains an occupied dwelling or structure within a very high fire hazard severity zone to maintain defensible space no greater than 100 feet from each side of the structure. It will involve removing or reducing vegetative and non vegetative fuels (wood piles and combustible materials). Funding Source: unknown Total Funding Required for Project: unknown Funding Allocated to Date: Currently we have $190,000 budgeted for Fuel Modification maintenance Account 2330 - 80804. Our city wide, weed abatement and hazard reduction programs from 2330 - 8080 has $46,114. Amount Spent to Date: $163,085 from 80804 and $44,564 from 8080 Status to Date: The second revised map is currently up in Sacramento for final approval and is anticipated to be available in the first half of 2011. All local comments to the draft FHSZ map were provided to Cal Fire/ SFM staff on December 21st 2010. At that time, Cal Fire staff told us that they were planning on beginning their work in early January, so 1 assume they've already begun. We were also told that they plan to establish a method to make the process more visible to each city while it occurs. That will likely mean we will be provided access to a website that will be regularly updated. As soon as they make that happen I will pass the information along. Project Tracking Report (October- December 2010) Page 2 PROJECT 15 Reduce Fire Hazard in Buck Gully and Morning Canyon Please attach a location map if the project is site specific: One portion of the VHFHZ map is attached showing s. O N tx N O O N ca O d v cC N W O �1. a� Project Tracking Report (October- December 2010) Page 3 0 s�. N CC Ln Ln N O 0 w s. O s. ct< O o' U U N t� O 3 Ong `, PROJECT 16 PROJECT: Restructure Development Services Department(s): City Manager's Office & Community Development Project Lead: Dana Smith, Assistant City Manager and Joel Fick, Interim Community Development Director Project Start Date: February 2010 Target Completion Date: July 2011 Description: In February 2010, City Council identified "Effective Management" as a specific goal. A project within this goal included restructuring the development services function for improved coordination among disciplines, and continued improvement in customer service. The City Manager's Office took action steps toward addressing this goal and project by combining the Planning and Building Departments. Funding Source: General Fund Total Funding Required for Project: Funded through budgeted staff resources. Funding Allocated to Date: Existing budgeted staff resources. Amount Spent to Date: Salary savings experienced from funding Interim Community Development Director position from two vacant Department Head positions. Status to Date: Vacancies in the two Department Head positions for Planning and Building afforded the opportunity to proactively address restructuring of the departments and related customer service issues. In mid October an Interim Community Development Director was hired. A number of very focused customer service initiatives have been implemented, including numerous procedural and operational improvements. Enhancements have also been initiated to improve counter customer service and reduce permit issuance timeframes, expedite issue and problem resolution, and improve navigation of the web site and direction of telephone contacts. Additional improvements, including on -line permitting and electronic plan checking, are also being explored. Project Tracking Report (October- December 2010) Page 1 s. O Q, N CC Ln Ln N O O W s. N c� O d U c6 N L. O �L 3 Ong PROJECT 16 Restructure Development Service City Council on January 25, 2011, approved the staffing and organizational changes for the Community Development Department. A recruitment is currently underway for the permanent Community Development Director position. Full implementation of the reorganization is anticipated during the next several months. Project Tracidng Report (October- December 2010) Page 2 0 rx s~ 0 N c� O d v cC N W O O PROJECT 17 PROJECT: Rhine Channel Contaminated Sediment Cleanup Department(s): Public Works Project Lead: Chris Miller Project Start Date: August 2011 Target Completion Date: December 2011 Description: This project will remove contaminated sediments from the Rhine Channel in Lower Newport Bay as well as from nearby areas found unsuitable for unconfined ocean disposal under Regional General Permit S4 issued by the U.S. Army Corps of Engineers. The project will remove contaminated sediments to restore and enhance state - designated impaired beneficial uses of the Rhine Channel, dispose of material in an environmentally responsible and cost - effective manner, and improve navigation. Funding Source: Tidelands Total Funding Required for Project: $4,000,000.00 Funding Allocated to Date: $4,000,000.00 Amount Spent to Date: None Status to Date: The project is shovel ready with construction documents complete. The bid package will be released by February 18, 2011, for 30 days with an anticipated Council approval in April. A conditional Coastal Permit was issued in January 2011 and a Water Board permit was secured. A permit from the Army Corps of Engineers is expected in February 2011. Also, the Port of Long Beach's Memorandum of Agreement for disposal will be sent to the City for approval soon. The anticipated start date is August 2011 but is dependent on the Port of Long Beach schedule. The project should take 4 months and should be complete by December 2011. A location map is attached. Project Tracking Report (October- December 2010) PROJECT 17 SOURCE: Basemap prepared from City of Newport Beach GIS files. NOTE: Temporary moorage areas are located throughout Lower Newport Bay. ,� �Q ANCHOR �[,,, OEA LEGEND: M Proposed Project Area Pierhead Lines (Approximate) 0 01000 Scale in Fee Figure 2 Proposed Project Area Rhine Channel Contaminated Sediment Cleanup 0 rx 0 O t� N c� O d v cC N W O �1. a� PROJECT 18 PROJECT: Sunset Ridge Park Department(s): Public Works & Recreation & Senior Services Project Lead: Mike Sinacori Project Start Date: 6/1/2007 Target Completion Date: Winter 2012 Description: The proposed 13.7 acre Sunset Ridge park is situated on the northern corner of the West Coast Highway and Superior Avenue in West Newport Beach. Sunset Ridge Park is to be an active park per the city's General Plan with amenities including Pony League baseball field, soccer fields, parking area, restroom, butterfly garden, shaded viewpoint, walkways, walls, signs, and fencing. Funding Source: General Fund and Park -in -lieu Total Funding Required for Project: $11,125,000.00 Funding Allocated to Date: $11,125,000.00 Amount Spent to Date: $1,456,493.32 Status to Date: Staff is currently working to obtain all necessary regulatory permits including a Coastal Development Permit from the California Coast Commission. Construction of the park, entry road and traffic signal at West Coast Highway could begin in Fall of 2011 and is estimated for completion in Winter 2012. Project Tracking Report (October- December 2010) PROJECT 18 t I II � Entry laza y Retaining Wall Memorial Garden Vehicular Access I \ r Restrooms Walking Path 1\ \\ \ Overlook with Shade Structure `t • ��— \ & Seating Y Pedestrian cc Field Access Ls \� > Soccer Field p _ Pedestrian ----- --..�— - .^,�— Stair Access PAOF�I HIGgyyAV � Pedestrian Play Area -- _ _ Access Park Sign Conceptual Site Plan Exhibit 3 -9 Sunset Ridge Park EIR • • ��jj ZP del! C O N S U L T I N G (Rev 1=2V9 KFD) PmjxffiMewpaNJ018IGPappIEIR /Ex3 -0_CSP.pM 0 rx 0 0 w N c� O d v cC N W O a� PROJECT 19 PROJECT: Transportation Fair Share Fee Department(s): Community Development Project Lead: Formerly Sharon Wood Project Start Date: Feb 2007 Target Completion Date: Spring 2011 Description: In 1984, City Council established the Fair share Traffic Contribution Ordinance to alleviate funding shortfalls of the City's Master plan of Arterial highways and General Plan Traffic Circulation Element. The ordinance established a fair and equitable method to distribute costs of the circulation system improvements necessary to accommodate the traffic volumes generated by development. From time to time, the City Council has updated this ordinance as costs have risen and whenever the General Plan has been updated. The city recently updated the General Plan and the General Plan Implementation Committee has been pursuing an update. Funding Source: General Fund Total Funding Required for Project: Funding Allocated to Date: Amount Spent to Date: Status to Date: The completion of this project has stalled with various iterations being proposed by The General Plan /LCP implementation committee, project consultant and interested parties such as the BIA. The most recent version of the Fair Share fee was reviewed by GP /LCP committee and final draft is being prepared by a consultant. City Manager's Quarterly Report (October- December 2010) O a N rx w C. cz 7 o' v Cz N W O t1. a� PROJECT 20 PROJECT: Widen Jamboree Road in the Airport Area Department(s): Publicworks Project Lead: AndyTran Project Start Date: January 2005 Target Completion Date: June 2012 Description: This project involves widening of the Jamboree Road bridge over the 73 Freeway by 22 feet to the west and the Jamboree Road Improvement project to widen the intersection of MacArthur Boulevard between Bristol North and Fairchild Road in an effort to reduce traffic congestion and delay. The bridge widening will create one additional northbound and southbound thru lane on Jamboree Road between MacArthur Boulevard and Bristol South. The project required developing a design and obtaining approval and a permit from Caltrans for this state owned bridge. Additionally, the project required negotiations and purchase of three pieces of private property as well as an OCTA grant funding application and successful funding award. The Jamboree Road Improvement will provide one additional northbound lane and an additional left turn lane onto southbound MacArthur Boulevard. Funding Source: Transportation and Circulation, IBC Settlement, Measure M Turnback, and Measure M Competitive Total Funding Required for Project: $10,217,942.00 Funding Allocated to Date: $10,217,942.00 Amount Spent to Date: $1,647,736.41 Status to Date: Plans and specification are complete and the bridge widening project and is currently out for public bid. Staff expects to award the construction contract in March 2011. This past quarter, staff resolved some outstanding right -of -way issues and secured the Caltrans encroachment permit. Construction should begin in May 2011 and is estimated for completion in Summer 2012. The road widening project is nearing the completion of design and staff is negotiating with property owners for the purchase of needed property. Currently, award of construction is estimated for fall 2011. Project Tracking Report (October- December 2010) PROJECT 20 PROJECT LOCATION JAMBOREE RD. BRIDGE WIDENING LOCATION MAP CITY OF NEWPORT BEACH PUBLIC WORKS DEPARTMENT N.T.S. C -3724 X OF XX R- XXXX -S Rj EjVE R AGE, i DA l =RjNTEVI - �-l1 r' Central Newport Beach Community Association PO Box 884 • Bewport Beach, CA • 92661 -0884 www.CentrablewporLOrg Date: February 8, 20113 To: Mayor Henn, Members of the City Council C, i=n o From: Central Newport Beach Community Association (CNBCA) ? m = ap 44 Subject: Quarterly Business Report Update, Agenda Item #12, February 8, 2011 � 44 � rn We previously provided comments to the Saturday Workshop on 2011 goals. We would like to to this oppgl§nity 0 to comment on the subject Quarterly Business Report, and in particular, the Marina Park Tracking Report, Project 14. Staff should be commended for implementing project status using a template. It is a useful tool to keep both the Council and residents informed of progress in 1-2 pages. We do have several concerns: • The Marina Park (Project 14) report does not reflect the 'Status To Date" of grant fundino and "undetermined sources" that staff have said they were working on since the Council approved the Marina Park Concept Plan, roughly 38 months ago. • The Marina Park (Project 14) "Status To Date" is a bit misleading as it implies that the California Coastal Commission (CCC) is reviewing the project. It is our understanding that since early November, 2010, the CCC has considered our Coastal Development Permit application incomplete. The status should simply state this fact. We would also like to suggest several items that would add value to the project templates, in general: • The reports don't contain any graphic schedules with milestones and activities. A high-level schedule would go a long way to help answer simple questions like: Are we making progress ?, or What is the next step after the CCC? •- Risk is not mentioned in most of the project reports. The identification of significant cost, schedule, and/or technical risk areas, if any, are helpful in understanding the project. These can be as simple as a couple of bullets in a box, or a couple of sentences in a paragraph and still be meaningful. • A graphic "Dashboard" that communicates the proiect manager's status of Cost, Schedule, and Technical issues, at a glance, would be very helpful. It can take many forms: Happy /Sad faces. Green, Yellow, Red signal lights. All of these formats work well to communicate how the project is progressing. Again, we ask the Council to make the Marina Park Project a management priority in 2011 so that it gamers the appropriate attention by both City management and staff. Thank you for the opportunity �tto— comment. Central Newport Beach Community Association Louise Fundenberg, President From 77 02/08/2011 12:22 #469 P.002/002 RECEIVED 2M FEs -s PH a 10 PYCSE/ IlOA9R /eH%/OdIBP.AC�SPB,I,�'S &OpSYI Spaces February 7, 2011 For Public Record, February 8, 2011, Council Meeting, Item 12 Honorable Mayor and Council Members City Of Newport Beach 3300 Newport Boulevard Newport Beach, CA 92663 Dear Mr. Mayor and Council Members: Thank you for the opportunity to once more contribute with our thoughts on Council 2011 Priorities. As you know, our organization has worked closely with the community, potential stakeholders, architects, City Council members and City staff on the Marina Park Project for neatly seven years. Hundreds of hours have been committed by POP volunteers to advance this Project in one way or another. We have become increasingly concerned with attention given to the Marina Park project schedule, or lack thereof. It appears that project activities that could be worked concurrently are being worked in series. Nearly five (5) months elapsed between the date the Council certified the Environmental Impact Report and the date the application was submitted to the California Coastal Commission. With the extended EIR preparation period —over a year and one - half —one would have hoped the application would have been prepared concurrently with EIR preparation. Clearly it was not. In addition, we believe that issues which have stalled acceptance of the City's application to the Coastal Commission could have been dealt with anytime after November 2007 when the Marina Park Concept Plan was approved by the Council. We understand that survey and mapping efforts were required before the issue could be resolved, but continue to be puzzled why the issue hasn't been resolved in over three years. By our estimate, by requiring a revised EIR(-8 months), not preparing the Coastal Commission application concurrently with the EIR ('"5 months), and not addressing issues that were undoubtedly known to be important to the Coastal Commission ("'4 months), almost a year and one -half has been lost, to date. None of these delays can be attributed to State bureaucracy or "standing in line, waiting our turn" as we have been told recently. Our Coastal Development Permit application has vet to be accepted! The bottom line is that we believe the Marina Park Project needs to be a higher priority for City management. The project needs to be managed more effectively. Milestones alone do not make a schedule of interrelated tasks for staff to execute. The "Project Of The Month" (and there have been many!) seems to have been getting most of their attention. Milestones that aren't tracked against a baseline are not worth the paper they are printed on. As one of our members remarked, "Thank goodness we're building a park and not a plane or a rocket!" Thank you for portunityto provide comments. Tam Billings For the Protect Our Parks Steering Committee