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HomeMy WebLinkAbout01 - MinutesAgenda Item No. I June 28, 2011 cal City Council Minutes City Council Study Session June 14, 2011 — 3:00 p.m. r I. ROLL CALL Present: Council Member Hill, Mayor Pro Tern Gardner, Mayor;,Henn, Council Member Selich, Council Member Curry, Council Member Daigle Absent: Council Member Rosansky l , Council Member Rosansky arrived at 3:19 p.m l II. CURRENT BUSINESS ` 1. CLARIFICATION OF ITEMS ON THE CONSENT CALENDAR. In response to Mayor Henn regarding Item 23 (Building and Fire Board of Appeals), City Attorney Hunt reported that since -the item was not a public hearing requiring formal , notice, the item can simply be" -continued to a, ' future date as noted in the recommendation. 2. FY 2011 -12 BUDGET City Manager -Kiff utilized a PowerPoini presentation to discuss where the City has been the past fiscal., year, today's discussion and decision points, lifeguards, the CERT program, potential helicopter law enforcement support, the DARE program, the Special Events Advisory Conim'ittee '(SEAC). year -end actions, the budget checklist, Council discretioiSeryYunds fort,2010 -2011, -2010 =2011 year -end closing projections, staffing level ;comparisons, fulhtime positions, next steps, and strategic efforts for fiscal year 2011- ' 2012. , Discussion ensued between Council and staff regarding the status of current lifeguard positions, employee paid contributions, pension formulas for new employees, comparative costs`of.various employee /employer -paid costs for retirement, the input from all parties involved,.in the lifeguard negotiations, the City Manager's offering of contributing his share of retirement costs, patrol -based hours, the potential law enforcement relationship with HuntingtonfBeach for helicopter operations, the tidelands project loan, Corona del Mar planning project, the Balboa Island Historical Society contributions, bus shelters in Newport Coast, the option to use college interns for video work, changes in EPMC for various positions, and the feasibility and cost - benefit analysis related to outsourcing with private vendors for specific services. Council requested staff to return with a report related to a shared jail, dispatch services, outsourced fire prevention services, and possible alternatives for legal services. Mayor Henn also called for a comprehensive program to broadly evaluate potential outsourcing services in support of identyfing additional savings needed to balance next year's budget, including residential trash, IT and other functions. He indicated that everything should be considered during this process. Volume 60 - Page 159 City of Newport Beach City Council Study Session June 14, 2011 City Manager kiff thanked City staff, the Executive Team, the City Council and the community for their forward- thinking and assistance in providing the guidance and participation in putting together the proposed Fiscal Year 2011 -2012 budget. Gay Standard spoke in support regarding the revised plan for the CERT program. Jim Mosher spoke in opposition to the current administration of the City Council discretionary grants program. Brent Jacobsen, Newport Beach Lifeguard Management; Association (LMA), thanked Council and staff for the successful negotiations with the lifeguards. Craig Paige, Balboa Island Museum and Historical Society, spoke of the various benefits of the Museum. III. PUBLIC COMMENTS Regarding Closed Session Item B.2, Don Rypinski.,Julie= Karges, Devin Dwyer, a vd Anne Greer spoke in support of Dennis Holland and his restoration of the Shawnee boat. Jay Greer spoke regarding historical ,boating activities din Newport Beach and in support of Dennis Holland and his restoration of the Shawnee boat. IV. ADJOURNMENT - 4:26 p.m. The agenda for the Study Session was posted on June '10_2(41, at 4:57 p.m. on the City Hall Bulletin Board located outside ofl,the3City of Newport Beach Administration Building. Recording Secretary Mayor City Clerk Volume 60 - Page 160 '4 �r �r .�` �� , 111111 11 111 City Council Minutes City Council Regular Meeting June 14, 2011 — 7:00 p.m. I. STUDY SESSION - 3:00 p.m II. CLOSED SESSION - 4:26 p.m. A. Conference with Legal Counsel - 54956.9(a)): Three matters: 1. Pacific Shores v. Newport E 00457 JVS (RNBx)/USDC Case 2. Newport Coast Recovery -an 1 USI7.G Ninth Circuit 'Case No. SACV 08- 11 -55460 Beach, U.S. District Court Case No. SACV 09 -0701 DOC (ANx) 3. MORN v. City of Newpok...Beach, OCSC' 4 e No. 30- 0211 - 0044700 B. Conference with Legal Counsel- Anticipated Litigation - Initiation of Litigation (Government Code § 54956.9(0), Two matters--, 1. Potential.iuitia'tion of litigation against Morningside Recovery, LLC for failure to comply th Zoning Agreemen y; t' 2. Potential initiation of litigation against Dennis Holland to abate a public nuisance due to ^a violation of Newport Beach Municipal Code Chapter 10.64 at -2200 Holiday.., �'; C. ,Conference with Labor.Neaotiators (Government Code § 54957.6): Agency Designated Representatives: Dave Kiff, City Manager, Terri Cassidy, Human Resources Director' Employee Organization: All Labor Associations: Association of Newport Beach Ocean Lifeguards (ANTBOL); Lifeguard Management Association (LMA); Newport Beach Fire Managereilt Association (NBFMA); Newport Beach Firefighters' Association (NBFA); Police Management Association (PMA); Police Employees Association (PEA); City Employees A'ss'ociation (CEA); Newport Beach Professional & Technical Employees Association (Prof- Tech); Newport Beach Employees League (NB LEAGUE); Newport Beach Part -Time Unit (UPEC, Local 777) D. Public Employee Performance Evaluation (Government Code 6 54957(b)(1)): The City Council will meet in closed session to consider the appointment, employment, evaluation of performance, discipline, or dismissal of one public employee. Title: City Attorney III. RECESS Volume 60 - Page 161 City of Newport Beach City Council Minutes June 14, 2011 IV. RECONVENE AT 7:00 P.M. FOR REGULAR MEETING V. ROLL CALL Present: Council Member Hill, Council Member Rosansky, Mayor Pro Tern Gardner, Mayor Henn, Council Member Selich, Council Member Curry, Council Member Daigle VI. CLOSED SESSION REPORT City Attorney Hunt reported that by a vote of 7 -0, the City Council auth6rized proceeding with a civil action against Dennis Holland under Chapter 10.64 of the Newport Beach Municipal Code to abate a public nuisance at 2200 Holiday (Item B.2). r VII. PLEDGE OF ALLEGIANCE - Mayor Pro Tern Gardner - VIII. INVOCATION - Reverend Tim McCalmont, Presbyte_'rian Church'of.the Covenant IX. PRESENTATIONS City of Newport Beach Youth Council Disneyland Scholarship Program - Mayor Henn'read and presented a proclamation to Abbey Michelson for being awarded the Disneyland Scholarship`.1. _ Leaders of Environmental Action Films;(LEAF) Winner.- LEAF Founder Anna Bothwell described LEAF's mission and announced�that' two-film entries <from Newport Beach were in the Top 15 Finalists. More information can be found at wwvJeaf-rocks.com- Citizen of the Year - Tom;Johnson - Mayor Henri read a proclamation which proclaimed Tom Johnson as the " 2011 New -`ort Beach Citizen o_f-tke Year" X. NOTICE TO THE PUBLIC .4 Member Daigle reported that she attended the Annual Meeting of Stop Polluting Our (SPON) on Saturday, June 11,land a MiOcean meeting. Council Member Selich announced the 361h Annual Irrelevant Week events honoring 2011 NFL Mr. Irrelevant', �Gheta Ozougwu, of the Houston Texans. f Council Member Hill'reported attending the 50th Annual Athletic Awards Banquet sponsored by the Newport Beach Chamber of Commerce. I- Mayor Henn reported attending the grand opening of the Pavilion Store on June 11, the Corona del Mar 5I{ Fun Run on June 4, the Balboa Island Parade on June 5, the Newport Harbor High School Character Awards on June 7, the Visit Newport Beach Annual Dinner on June 8, a Meet The Mayor on June 11, and a fundraising event for Autism at the home of Barry Saywitz on June 11.. He announced the Tidelands Management Committee Meeting to be held on June 15, and the Neighborhood Revitalization Committee Meeting to be held on June 16. XII. CONSENT CALENDAR Volume 60 - Page 162 City of Newport Beach City Council Minutes June 14, 2011 A. READING OF MINUTES /ORDINANCES AND RESOLUTIONS 1. MINUTES FOR THE STUDY SESSION AND REGULAR MEETINGS OF MAY 24, 2011. [100 -2011] Waive reading of subject minutes, approve as written, and order filed. 2. READING OF ORDINANCES AND RESOLUTIONS. Waive reading in full of all ordinances and resolutions under consideration, and direct City Clerk to read by title only. C. RESOLUTIONS FOR ADOPTION 4. ADOPTION OF FISCAL YEAR 2011 -12 APPROPRIATIONS LIMIT. [100- 2011] Adopt Resolution No. 2011 -45 adopting' the.; pity's Appropriation (Gann) Limit for Fiscal Year 2011 -12 in the amount:of $144,448;989. 5. AUTHORIZATION FOR THE PUBLIC WORKS DIRECTOR AND /OR CITY ENGINEER TO EXECUTE AGREEMENTS AND AMENDMENTS FOR FEDERALLY FUNDED TRANSPORTATION PROJECTS.,,- [100 -2011] Adopt Resolution No. 2011 -46 authorizing the Public Works Director and/or City Engineer to execute all necessaryagreements and amendments for federally funded projects with Caltrans, consistent with, but not exceeding the authority already granted to Department Heads 6y ' -City Council as denoted within the City's Codes and Policies.c ` N 10. ANNUAL MEASURE M^ FUND`- ELIGIBILITY- REQUIREMENTS. [100 - 2011] a) Adopt the Seven-Year Measrue M,'CIP; b) adopt Resolution No. 2011 -51 affirming that, the City's Circulation Element is in conformance with the Regional - ,'Maier Plan of Arterial Highways; and c) direct staff to submit all necessary material to OCT &'to satisfy the Measure M annual eligibility requirements. D. CONTRACTS , D AGREEMENTS 12: AGREEMENT`,BETWEEN'YIUNICIPAL WATER DISTRICT OF ORANGE COUNTY.,(M"OC) AND ITS MEMBER AGENCIES (C- 4816). [381100- 20111 Authorize the ,Mayor to execute the agreement with MWDOC and 28 Member Agencies which outlines improvements in the way MWDOC works with its agencies.; 13. TRAFFIC SIGNAL MODERNIZATION PROJECT PHASE 5 - AWARD OF CONTRACT (C4698). [381100 -2011] a) Approve the project drawings and specifications; b) award Contract No. 4698 to Select Electric, Inc. for the total bid price'o'f $508,372.50, and authorize the Mayor and City Clerk to execute the contract; and c) establish an amount of $51,000.50 (10 %) to cover the cost of unforeseen work. 14. TRAFFIC SIGNAL MODERNIZATION PROJECT PHASE 5 - APPROVAL OF PURCHASE CONTRACT WITH ECONOLITE CONTROL PRODUCTS, INC. (C- 3456). [381100 -2011] Approve a Purchase Contract with Econolite 'Control Products, Inc. of Anaheim, for purchase and installation of advanced traffic signal control equipment for Phase 5 of the Traffic Signal Modernization Project, at a not to exceed price of $212,621.40, and authorize the Mayor and City Clerk to execute the agreement. Volume 60 - Page 163 City of Newport Beach City Council Minutes June 14, 2011 15. CORPORATION YARD FLEET SHOP CNG MODIFICATION PROJECT - COMPLETION AND ACCEPTANCE (C- 4315). [381100 -2011] a) Accept the completed work and authorize the City Clerk to file a Notice of Completion; b) authorize the City Cleric to release the Labor and Materials Bond 35 days after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code; and c) release the Faithful Performance bond one year after Council acceptance. 16. STREETLIGHT IMPROVEMENT PROJECT FOR FY 2010 -2011 - AWARD OF CONTRACT (C4605). [381100 -2011] a) Approve the project plans and specifications; b) award Contract No. 4605 to Steiny: and Company, Inc. for the total bid price of $585,510.75, and authorize the-i'Mayor and the City Clerk to execute the contract; and c) establish a contingehcytof $59,489.25 to cover the cost of unforeseen work. 17. ENERGY EFFICIENT STREETLIGHT IMPROVEMENT PROJECT - COMPLETION AND ACCEPTANCE (C- 4232). [381106-2M111 a) Accept the completed work and authorize the Qlerk to file a Notice -of.Completion; b) authorize the City Clerk to release., the, Labor and Materials Bond'35 days after the Notice of Completion has been %recorded in accordance with applicable portions of the Civil Code; c) release."the Faithful Performance bond one year after Council acceptance; and d) approve, Budget Amendment No. IIBA -046 transferring $7,185.00 from account 7013 - 02202000 to account 7013- C2202002. 18. HARBOR VIEW HILLS (SOUTH AND NEWPORT HEIGHTS PAVEMENT REHABILITATION -AWARD OF"C,0NTRACT ;(C- 4609). [381100 -2011] a) Approve the project drawings and specifications; b) award Contract No. 4609 to R.J. Noble. GQmpany for thea, total" bid price'-of $1,247,650, and authorize the Mayor and CityjClerk to execute, the contract; c) establish an amount of $125,000 (10%), to cover the cost of unforeseen work; and d) approve Budget Amendment No. 1- IBA - 045: transferring $202_ ,000 from Account No. 7281- C20020024 to Account No- 7281-- C2002039. E. MISCELLANEOUS',` . 19. PLANNING COMMISSION AGENDA FOR JUNE 9, 2011. [100 -2011] Receive and'file writ -6, report. 20.... BOARD AND COMMISSION SCHEDULED VACANCIES - CONFIRMATION OF NOMINEES. [100 -20111 Confirm the nominations made by the Ad Hoc Appointments Committee, as listed in the staff report. 21. AMENDMENTS TO THE BOARD OF LIBRARY TRUSTEES BY -LAWS. (100 - 201.1] Approve the revisions to the Board of Library Trustees By -Laws. 22. BUDGET AMENDMENT TO PURCHASE EMERGENCY SEISMIC RESPONSE EQUIPMENT. [100 -20111 Approve Budget Amendment No. 11BA -044 transferring a total of $27,319.38 from the Seismic Safety deposit account, 010 -2226, to the Building- Inspection, Tools & Instrumentation expenditure account 2920 -8240. 23. ORDINANCE PERTAINING TO THE BUILDING AND FIRE BOARD OF APPEALS; AND RESOLUTION SETTING FORTH THE MEMBERSHIP, TERM, AND PURPOSE AND RESPONSIBILITIES OF THE BUILDING Volume 60 - Page 164 City of Newport Beach City Council Minutes June 14, 2011 AND FIRE BOARD OF APPEALS. [100 -2011] Continue this item to the June 28, 2011 City Council meeting to provide staff sufficient time to address the questions raised by City Council on May 10, 2011. S30. RESOLUTION AUTHORIZING THE TEMPORARY CLOSURE OF SELECTED STREETS AND PARKING LOTS FOR THE JULY 4TH HOLIDAY PERIOD. [100 -2011] Adopt Resolution No. 2011.56 authorizing the temporary closure of Seashore Drive, Newport Boulevard, Back Bay Drive, and Balboa Boulevard, selected parking lots, and selected feeder streets. Motion by Mayor Pro Tern Gardner, seconded by Council Member Rosanskv to approve the Consent Calendar, except for the item removed (3, 6, 7, 8, 9 & 10- The motion carried by the following roll call vote: J. Ayes: Council Member Hill, Council Member Rosansky'Mayor Pro Terii Gardner, Mayor Henn, Council Member Selich, Council Member Curry,, dounqil Member Daiglb, XIII. ITEMS REMOVED FROM THE CONSENT CALENDAR 3. CITY ADMINISTRATIVE DEPARTMENT RESTRUCTURING AND RENAMING. [100 -2011] ., Motion by Mayor Pro Tern Gardner, seconded by Council Member Hill to continue the item to the June 28. 201`1 -City Council ❑ieetins. The motion carried by the followin&oll call vote:, , Ayes: Council Member,'Hill, Council Member Rosansky, Mayor Pro Tem Gardner, Mayor Henn, Council Me {mber Sehch, C6 -uhcil Member Curry, Council Member Daigle 6. NEWPORT BEACH RESTAURANT `ASSOCIATION BUSINESS IMPROVEMENT DISTRICT (BID),,RE:NEWAL: 2010 -2Q11 ANNUAL REPORT AND ADOPTION OF RESOLUTION OP4NTENTI.ON.TO LEVY ASSESSMENTS FOR FISCAL YEAR 201:1 -2012 []00- 20'11] 7. BALBOA VILLAGE BUSINESS IMPROVEMENT DISTRICT (BID) RENEWAL: 2010 -2011 ANNUAL REPORT AND ADOPTION OF RESOLUTION OF - INTENTION TO LEVY FOR`FISCAL YEAR 2011 -2012. [100 -2011] 8. MARINE AVENUE' BUSINESS IMPROVEMENT DISTRICT (BID) RENEWAL: 2010 -201.1 ANNUAL REPORT AND ADOPTION OF RESOLUTION OF INTENTION TO LEVY FOR FISCAL YEAR 2011 -2012. [100 -2011] 9. CORONA DEL:MAR BUSINESS IMPROVEMENT DISTRICT (BID) RENEWAL: 2010 -2011 ANNUAL REPORT AND ADOPTION OF RESOLUTION OF INTENTION TO LEVY FOR FISCAL YEAR 2011 -2012. [100 -2011] Jim Mosher believed that the BID Advisory Boards are not operating under the rules and regulations of the Newport Beach City Charter. City Attorney Hunt reported that the BID Advisory Boards are established under State Law and are not considered to be a Newport Beach City Charter Board or Commission. Motion by Council Member Curry. seconded by Council Member Rosanskv to a) approve the Newport Beach Restaurant Association Business Improvement District Fiscal Year 2010 -2011 Annual Report; b) adopt Resolution of Intention No. 2011 -47 to Volume 60 - Page 165 City of Newport Beach City Council Minutes June 14, 2011 Levy Assessments and set the public hearing for June 28, 2011; c) confirm the Restaurant Association Business Improvement District 2011 Advisory Board, as nominated by the general membership at the 2010 Annual Meeting, as follows (* _ Executive Board): Sheri Drewry, President* - Wilma's Patio; Jim Walker, Treasurer* - The Bungalow; John Robinson, Secretary* - Amelia's Restaurant; Ali H. Zadeh, Member at Large* - Port Restaurant & Bar; Stephano Albano, Vice Pres.* - El Torito Grill; Tony Mokatef - Tommy Bahama's; Chris Ann Richards - Wine Lab; Dave Salisbury - Harborside Restaurant; John Bullard - Newport Landing; Miguel Rodriguez* - Maestro's Ocean House; Nicole Hay - 21 Oceanfront; Robert Ramirez - The7First Cabin; Sam Tila - Royal Thai Cuisine; Steve Kim - Five Crowns; d) approve the'- Balboa Village Business Improvement District Fiscal Year 2010 -2011 Annual Report; e) adopt Resolution of Intention No. 2011 -48 to Levy Assessments and set the public hearing for June 28, 2011; f) confirm the Balboa Village Business Improvement District 2011 Advisory Board, as nominated by the 2010 BID Advisory Board, as follows: Boh'Black - Catalina Passenger Service; Butch Wilson - Balboa Saloon; Tony George - Surfsid'e Silver; Patrick Moore - Fun Zone Rides; Ralph Rodheim - Balboa Boat`Etental; Mike Thompson - Davey's Locker; Craig Batley - Baywalk, Inc. - Bungalow Basic; g) approve the Marih Avenue Business Improvement District Fiscal Year 2010 2011 Annual Report; h) adopt., Resolution of Intention No. 2011 -49 to Levy Assessments and s'et the public hearing for'June 28, 2011; i) confirm the Marine Avenue Business Improvement District 2011 Advisory Board, as nominated by the 2010 BID Advisory Board,`ae follows: Sheri Drewry - Wilma's Patio; John Robinson - Amelia's Restaurant; Anne Moloney - Beach Time Realty; Alexandra Richardson - HOM Realty; Pam '\liIuhbard - Persimmon,Tree; Eldy Galieta - Barolo by the Sea; j) approve the Corona del`rMar Business Imprbvement District Year 2010 -2011 Annual Report; k) adopt Resolution of Intention.No. 20i1'5O to levy assessments and set the public hearing for June 28, 1011; and. ij� "conform the Corona del Mar Business Improvement District.2011 -2012 Advisory - `Board, as.nominated by the 2011 general membership, as %.follows: Bernie Svalstad - Newport Factoring; Jim Walker - The Bungalow; Scott Laidlaw - Laidlaw'iShultz Architects; Keith Dawson - Dawson and Dawson; Ali Zadeh - The Port; Tom Nicholson - Nicholson Companies; Tina B. Hoover - Law Offices of Tina Hower. The motion ,,.nrried bv`the followingigll call vote: h. Ayes: Council Member Hill; Council Member Rosansky, Mayor Pro Tern Gardner, Mayor Henn, Counbil,Member?Selich, Council Member Curry, Council Member Daigle 11. PROFESSIONAL 'SERVICES AGREEMENT WITH WILLIAM HEZMALHALCH ARCHITECTS FOR THE PREPARATION OF DESIGN GUIDELINES FOR THE LIDO N'ILLAGE AREA (C- 4817). [381100 -2011] Denys Oberman believed that the preparation of landscape and architectural guidelines for the Lido Village Area is premature because it lacks input from a sufficient number of principal landwners, and that William Hezmalhalch Architects lacks experience in marine and coastal resorts, including hospitality. She urged the City Council to not approve the agreement. Mayor Henn stated that a sufficient number of principal landowners have participated in the process to date and that it is reasonable to consider this item at this time. The City Council discussed the oversight role of the Revitalization Committee in the project. Tom Larkin spoke in opposition and expressed the opinion that expenditure of City funds Volume 60 - Page 166 City of Newport Beach City Council Minutes June 14, 2011 for the preparation of landscape and architectural guidelines for the Lido Village Area is premature. Motion by Council Member Selich, seconded by Council Member Curry to authorize the City Manager to execute a professional services agreement with Wiliam Hezmalhalch Architects for the preparation of landscape and architectural design guidelines for the Lido Village Area. The motion carried by the following roll call vote: Ayes: Council Member Hill, Council Member Rosansky, Mayon "Pro Tern Gardner, Mayor Henn, Council Member Selich, Council Member Curry; Council Member Daigle XIV. PUBLIC COMMENTS ` Michael Turner, representing Dan's Landscaping of Orange County;'-commented on the leaf blower ban and offered several suggestions relative to both gas and electricblowers. Kevin Doane stated his concern regarding the diminishing number of 4- hour. parking meters throughout the City. Bruce Blackman of Blackman Ltd. Jewelers, spoke.'regarding the perceived lack of Code Enforcement regarding alleged littering (cigarette butts, 6tcJ by Morningside Recovery's clients near his business on Via Oporto. Tom Billings seconded Mr. Blackman's concern and 'pdinted out'tRat Morningside Recovery also has facilities on Via Lido. City Attorney Hunt commented that Morningside Recovery was issued a warning letter approximately 30 days ago that indicated tlia they were potentially not in compliance with Zoning Codes and might, need tq take corrective action. Council,fN,1 tuber Daigle - ,reported on a potential mosquito abatement project in Big Canyon involving Vector Control` of.Garden'Grove and the Newport Beach Public Works Department. Council Member Curry reported on the Finance Committee meeting of June 13, which included an audiCentrance interview;.with the City's new auditors, a review of the Investment Policy, the crafting of aseries of Debt P ilicies, and a review of the Budget Checklist. Mayor Pro Tern Gardner reported on the June 14 meeting of the Marine Committee where two California State measures:were discussed relative to life jacket requirements for vessels less than 18 -feet in length and4s'ter contamination caused by the copper content of Boat Paint. She recommended that Council consider formally commenting on these two measures before they are enacted. XVI- PUBLIC HEARINGS Mayor Henn called for a show of hands of those members of the audience who were in attendance to testify regarding Item 27 (Morningside Recovery Compliance), and based upon their response he suggested that Item 27 be considered fast. The consensus of Council was that the agenda schedule be adhered to. Volume 60 - Page 167 City of Newport Beach City Council Minutes June 14, 2011 24. T- MOBILE TELECOMMUNICATIONS PERMIT (PA2011 -021) - 20311 ACACIA STREET. [100 -20111 Council Member Daigle recused herself and left the dais. Motion by Council Member Rosanskv, seconded by Council Member Selich to adopt Resolution No. 2011 -52 approving Telecommunications Permit No. TP2011 -005, subject to findings and conditions of approval. Mayor Henn opened the public hearing. Mandy Medina, representing the Acacia Plaza II Owners- Association, stated that T- Mobile Communications has made no attempt to obtain, and has not been granted approval and authority to proceed with the permit for;const'ruction from the Acacia Plaza II Owners Association, and that any claims by TmMobile Communications to the contrary are false. Discussion ensued between the City Council and; City Attorney Hi4rit. relative to the reasons why the granting of approval and authority to proceed with the permit for construction by the Acacia Plaza II Owneis,Asscciation is a Condition of Approval. Tim Miller of Trillium Consulting, representing T- Mobile Communications, acknowledged that the granting ofapproval and authority to proceed with the permit for construction by the Acacia Plaza!ll Owners Association has not yet been obtained, but requested that the City Council approve "the Permit anyway. Jim Mosher spoke in opposition, seconding the concerns -of Ms. Medina. Hearing no further testimony, Mayor Henn closed the public hearing. The City Council and }City Attorney Hunt discussed the reasons why the City Council should or shoul&hot involve itself at this lime in what is currently a dispute between two private parties. _ 1 , The motion carried by the following roll call vote: Ayes: Council Member Hill,Council Member Rosansky, Mayor Henn, Council Member Selich, CouncihMember'baigle Noes: Mayor Pro Tem Gardner, Council Member Curry 25. 2010 URBAN WATER MANAGEMENT PLAN (UWMP). [100 -20111 Mayor Pro Tem Gardner congratulated Utilities General Manager Murdoch for a job well done. Mayor Henn opened the public hearing. Motion by Council Member Rosanskv, seconded by Council Member Curry to a) adopt Resolution No. 2011 -53 approving the 2010 UWMP; and b) direct staff to fulfill the notification requirements set forth in the Water Code once the UWMP is adopted. Jim Mosher questioned the approval of the Banning Ranch project shown in the plan. City Manager Kiff stated that the Banning Ranch project was not approved in the current plan, but had been erroneously shown as approved in a previous draft version of Volume 60 - Page 168 City of Newport Beach City Council Minutes June 14, 2011 the plan. He assured that the document will be amended. Hearing no further testimony, Mayor Henn closed the public hearing. Council Member Rosansky indicated that he will amend his motion to include the change. Amended motion by Council Member Rosanskv, seconded by Council Member Curry to a) adopt amended Resolution No. 2011 -53 approving the 2010 UWMP; and b) direct staff to fulfill the notification requirements set forth in the Water Code once the UWMP is adopted. The amended motion carried by the following roll call vote. Ayes: Council Member Hill, Council Member Rosarsky, Mayor .Pro Tern Gardner, Mayor Henn, Council Member Selich, Council Member Curry, Council Member Daigle 26. VIA LIDO AMENDMENTS (PA2011- 024) " - 3363; 3377 VIA LIDO4AND 3378 VIA OPORTO - AMENDMENTS TO THE'. GENERAL PLANT, COASTAL. LAND USE PLAN, AND THE ZONING CODE JO - CHANGE THE DESIGNATIONS OF SUBJECT PROPERTY FROM MULTIPLE -UNIT RESIDENTIAL- (RM) TO MDfED -USE VERTICAL (MU -V). [100- 2011/,';, 4A Mayor Henn opened the public -hearing. Hearing no testimony, he closed the public hearing. Motion by Council Member Rosanskv, seconded by Mayor Pro Tern Gardner to continue the item to the June 28, 201`1 City, Council iiieeting. 1,. The motion carried by the following roll call vote: Ayes: Council',Xlember Hill , Council Member Rosansky, Mayor Pro Tern Gardner, Mayor Henn, Council Member, Selich, Council Member Curry, Council Member Daigle T CE OF ZONING IMPLEMENTATION AND FOR MORNINGSIDE RECOVERY, LLC (PA2011 -107). 1Vlavor Henn called for a show of hands of those members of the audience who intended to testify regarding this item, and based upon their response, he suggested that the time allotted-to each Public Speaker be limited. It was the consensus of Council to limit public testimonyto three minutes. Associate Planher Brown provided a PowerPoint presentation to discuss the Zoning Agreement, display the existing facilities, discuss key operating conditions, violations of conditions, Notice of Violations (NOVs) and Administrative Citations, highlight the total notices issued for failure to comply, discuss issues with the 24-hour hotline, Morningside's administrative and client treatment facilities, and recommendation. Mayor Pro Tem Gardner requested an explanation from Morningside Recovery regarding the lack of a 24 -hour hotline. In response to a Council questions, City Attorney Hunt explained the series of events that will transpire if the City Council adopts the recommendations and stated that the City is bound by the terms of the Zoning Agreement. Volume 60 - Page 169 City of Newport Beach City Council Minutes June 14, 2011 Mayor Henn opened the public hearing. Mary Helen Beatif`icato, Attorney for Morningside Recovery, believed that Morningside Recovery is not obligated to establish a 24 -hour hotline under the terms of the Zoning Agreement Operational Conditions. She stated that Morningside Recovery has been in full compliance with all Zoning Agreement Operational Conditions regarding parolees and probationers, and in good faith compliance with the Zoning Agreement Operational Conditions regarding smoking and tobacco use. She challenged "the veracity of some of the 19 NOVs and 14 Administrative Citations issued against Morningside Recovery. Discussion ensued between Council and staff regarding tiwhether or not Morningside Recovery has demonstrated good faith compliance' with the Zoning Agreement Operational Conditions regarding the 24 -hour hotline 'and the'-633 Via Lido'Soud facility. In response to Ms. Beatificato's challenge regarding the NOW and Administrative Citations issued against Morningside Recovery, City }Manager Kiff staled that the City's typical process involves a fairly extensive' investigation by Code Enforcement before an NOV or Administrative Citation is issued: ;Senior Code Enforcement Officer Cosylion confirmed the City Manager's statement. .L Joel Slutzky, representing Maintain Our Residential Neighborhood (MORN), thanked staff for the 300 -page staff report-which documents what MORN considers to be a pattern of significant repetitive violations'by Mbi— nLagside Recoveery. Tom Billings, member of MORN, suggested -that the Gity Council consider taking immediate action to shut down all of Morningside Recovery's facilities. Willis Longyeaix expressed the opinion:, that the high turnover rate associated with a business like.Morningside Recovery is the underlying cause of its repeated violations of the Zoning Agreement;bperational Conditions, and that the City Council should consider forcing..Mormngside;Recove p to. relocate its facilities that are located in R -1 and R -2 zones-to 'locations which are more compatible with such high turnover businesses. 'Edward Cook believed tht&a business like Morningside Recovery should not be allowed to operate in a Residential Zone. Barbara Lichman, Counsel for MORN, questioned the legality of Morningside Recovery's 533 VIA. Lido Soud facility. Nancy Sheffner spoke in support of the recommendations. ,f „i Tom Larkin stated his concern regarding the apparent lack of investigations by the Fire Department of Morningside Recovery's facilities. Mark Ruder believed that a CEQA study is required for Morningside Recovery's operations. Roger McGregor expressed the opinion that a business like Morningside Recovery should not be allowed to operate in a Residential Zone. Jack Thompson believed that a business like Morningside Recovery should not be allowed to operate in a Residential Zone. Volume 60 - Page 170 City of Newport Beach City Council Minutes June 14, 2011 Laura Sharp submitted a packet that purportedly documents numerous violations of the Zoning Agreement Operational Conditions by Morningside Recovery which were not included in the staff report. Doug Dwyer stated his concerns regarding perceived violations by Morningside Recovery of the Zoning Agreement Operational Conditions regarding smoking and parking, and suggested that the City Council impose a bed tax on Morningside Recovery. Cynthia Koller questioned why complaints against Morningside Recovery by residents of the Balboa Peninsula were not included in the staff report. , Denys Oberman read a prepared statement that urged'theCity Council to pursue legal remedies against Morningside Recovery that are in the best -interest of the City and the community. Jonathan L. Birer, President and owner of Charlie's Locker, asked`the City Council to eliminate the unfair disruption of business activity on Lido caused by,the presence of Morningside Recovery. Laura Curran requested information regarding how Newport Beach enforces rules and regulations relative to commercial housing of parolees, probationers, registered sex offenders, gang members, and cheir � fun_ ded by Propbsition 36. 1\ � David Diamond thanked the City `,Council'and-City Manager Kiff for what they have accomplished to date regarding this`matter. Fie siggested' that the City Council compare the complaints registered against :Morningside Recovery with complaints registered against similar businesses for possible',guidance in their decision making process. Jim Mahoney,, ,a business owner in Lido Village, stated his concerns regarding the inconsiderate behavior; of Morningside Recovery clients. Nicolai Glazec'express_ed the opiiifomtla`t the residents of Morningside Recovery are not ,good neighbors:' 1 ;1.Mike Zawadzki read':a prepared statement, believing that the Zoning Agreement afforded ir,Iornmgside Recovery generous, unprecedented benefits, and was a well- intentioned mistake. He requested that the City Council terminate the Zoning Agreement with Morningside Recovery. .r Victoria Zawadzki''stated that she has personally observed and taken photographs of numerous parking and after -hour deliveries which are violations of the Zoning Agreement Operational Conditions. Julie Ackerman believed that Morningside Recovery is not adequately instructing its employees and clients regarding the Zoning Agreement. Marian Dickens shared her observations of what she considers ridiculous behaviors by Morningside Recovery residents, such as sunbathing on City streets. Jana Shoals questioned whether the use of the Newport Beach City Seal by Morningside Recovery on their website was in good faith. Volume 60 - Page 171 City of Newport Beach City Council Minutes June 14, 2011 Hearing no further testimony, Mayor Henn closed the public hearing. City Attorney Hunt advised the City Council of the legal requirements for Equal Opportunity Housing for the disabled under Federal and State laws, and how that influenced the Zoning Agreement with Morningside Recovery. He advised the City Council that the issue before it for consideration is whether or not Morningside Recovery has been in compliance with, or acting in good faith compliance with the Zoning Agreement Operational Conditions based upon the evidence before it for consideration. He reported that the only action available to the City Council lat this time under the Zoning Agreement is to instruct staff to give notice to Morningside Recovery pursuant to Paragraph O of the Zoning Agreement. He commented on,tlie parolee and probationers issue, and the allegedly abandoned facility. Discussion ensued relative to the differences between ihe,,reviews of Morningside Recovery and Sober Living by the Sea, and whether or not the evidence of a substantial and repetitive cycle of violations by Morningside Recovery indicates.an unwillingness or inability to fully comply with the Operation, Conditions of the Zoning _agreement. Motion by Mayor Henn, seconded by Mawr Pro Tern Gardner, to a) adopt Resolution No. 2011 -57 finding that Morningside has not demonstrated good faith compliance with the terms and operational conditions of the Zoning Agreement based on substantial evidence; and b) du-act at to issue a written notice to Morningside specifying the manner in wh'ell vlor has " failed to comply and state the steps :- Morningside must take to bring it�elf�rntp.compliance`: The motion carried by the following roll call vote:; Ayes: Council Member.:Hill, Council Member Rosansky; Mayor Pro Tem Gardner, Mayor Henn, Cou''Lil Member Selich, Council Member Curry, Council Member Daigle s. Mayor Henn'recessed the meeting at 10:30 p.m and reconvened the meeting at 10:35 p.m. with,'all members of the City Council in attendance. 28. RESOLUTION NO. ,2011 -54. FISCAL'YEAR 2011 -12 BUDGET ADOPTION. [100 - ,20I1J City Manager Kiffprovided a'staff report. Discussed ensued relative to the Balboa Island Historical Society, Buck Gully Canyon Stabilization and Flood Control, Crystal Cove Parking Lot /Pond Area Improvement, a poteniiiEproject plain for landscaping on Bristol Street South, sub - contracting of the Costa Mes i,,Jail, Fire Prevention Bureau, Call Dispatch, Helicopter Air Support, the DARE Program, and the Lifeguard Consensus Proposal. Mayor Henn opened the public hearing. Jim Mosher questioned why the Morningside Recovery item has no fiscal impact, and what portion of Account 0110 -8250 the Balboa Island Historical Society item represents. Without objection, Mayor Henn recommended that the public hearing remain open to the June 28, 2011, City Council meeting. Motion by Mayor Pro Tern Gardner, seconded by Council Member Rosansky to continue the public hearing and consideration of the Fiscal Year 2011 -12 Budget to the Volume 60 - Page 172 City of Newport Beach City Council Minutes June 14, 2011 June 28, 2011 Council meeting. The motion carried by the following roll call vote: Ayes: Council Member Hill, Council Member Rosansky, Mayor Pro Tem Gardner, Mayor Henn, Council Member Selich, Council Member Curry, Council Member Daigle XVII. CURRENT BUSINESS 29. COMPENSATION PHILOSOPHY. [100 -2011] City Manager Kiff explained the purpose and scope of jfhe proposed Compensation Philosophy. ! j The City Council discussed several elements of the-, , Compensa`tion Philosophy, including increased pension contributions by employees, comparisons wiii6he private sector, and the increase from one -year to three -years for the determination of final compensation. Motion by Mavor Pro Tem Gardner, seconded by Council Member Selich to adopt Resolution 2011 -55 relating to a'coinpensation philosophy for the d-Rv of Newport Beach. The motion carried by the following roll call vote-.--- Ayes: Council Member Hill, Council'Memher Rosanslt�,,Mayor Pro Tem Gardner, Mayor Henn, Council Member Selich, Council Member Curlgti Council Member Daigle XVIII. MOTION FOR RECONSIDERATION - None i XIX. ADJOURNMENT - Adjourned at 11:00 p.m.- n memory of Masao Kato The agenda and supplemental agenda for the Regular Meeting was posted on June 10, 2011, at 8:55 a.m. on the City Hall Bulletin Board located outside of the City of Newport Beach Administration Buildi]1g:- ,4 Recording Secretary City Clerk Mayor Volume 60 - Page 173