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HomeMy WebLinkAbout01 - 1-28-03 and 2-11-03City Council Meeting February 25, 2003 Agenda Item No. 1 CITY OF NEWPORT BEACH City Council Minutes DRA Fr Regular Meeting J January 28, 2003 - 7:00 p.m. INDEX STUDY SESSION — 4:30 p.m. CLOSED SESSION — 5:35 p.m. A. RECESSED AND RECONVENED AT 7:00 P.M. FOR REGULAR MEETING B. ROLL CALL Present: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Absent: None C. CLOSED SESSION REPORT — None. D. PLEDGE OF ALLEGIANCE — Council Member Nichols. E. INVOCATION — Pastor Erik Tribble, Calvary Chapel of Costa Mesa. F. PRESENTATIONS Introduction of Balboa Theater Executive Director Mary Lonich by Dayna Pettit. Ms. Pettit stated that she founded the Balboa Theater Foundation nearly nine years ago, and is pleased to see the Balboa area and its facilities finally being renovated. She stated that Ms. Lonich has a great business background, the Board is becoming very involved and Ms. Lonich should enable the efforts of everyone to move forward. Ms. Lonich provided some background on her career. She stated that her philosophies include applying good business practice, applying the fundamentals of fundraising, instilling sound policies and procedures, not letting emotions drive decisions, and listening to and engaging the constituents. Ms. Lonich stated that she is driven by the opportunity to be successful, to be a leader and to build something from the bottom, up. She added that she is also driven by her passion for the arts and her vision for what the Balboa area can be. She listed some of her accomplishments with the Balboa Theater project since being hired. Mayor Pro Tern Ridgeway welcomed Ms. Lonich and thanked her for contributions. Introduction of new Library Services Director, Linda Katsouleas, by City Manager Bludau. Ms. Katsouleas stated that she is delighted to be a Volume 55 - Page 581 City of Newport Beach City Council Minutes January 28, 2003 INDEX part of the City, proud that she was selected and grateful for the opportunity to contribute to the City. Mayor Bromberg welcomed Ms. Katsouleas to the City. Announcement of the 2003 Arts Lecture/Performance Series, "Eye on the Arts", by City Arts Commissioner Dennis Baker. Mr. Baker invited everyone to the Series, which begins Saturday, February 1, 2003, at the Central Library at 3:00 p.m. He stated that there will be two additional performances on March 8th and April 12th, and added that the performances will each be approximately one hour and are free to the public. Mayor Bromberg thanked Mr. Baker and suggested that an additional presentation be done in the future to announce the Concerts in the Parks Series. G. NOTICE TO THE PUBLIC H. CITY COUNCIL ANNOUNCEMENTS OR MATTERS WHICH COUNCIL MEMBERS WOULD LIKE PLACED ON A FUTURE AGENDA FOR DISCUSSION, ACTION OR REPORT (NON- DISCUSSION ITEM): • Council Member Heffernan announced that a discussion on campaign reform /conflicts of interest is tentatively scheduled to take place at the February 11, 2003, Study Session. • Council Member Heffernan requested that the 2002 -2003 fiscal yearend plan for bringing the Newport Coast fuel modification zones into compliance be presented to the City Council at a future Study Session. • Council Member Heffernan requested that the top ten State budget impacts that will affect the City be reported to the City Council at a future Study Session. • Council Member Proctor announced that 15,000 questionnaires were sent to residents in the West Newport area addressing the City's enforcement of activity in the area on the 4th of July. He encouraged everyone to complete the questionnaires and stated that the July 4th West Newport Safety Planning Committee will be meeting again on February 3, 2003. • Council Member Proctor stated that he met earlier in the day with the Newport Shores Community Association regarding public access improvements to two street ends along the slough, which are being done in conjunction with a capital improvement project to improve water quality in the area. Council Member Proctor stated that the Association is willing to maintain the street end improvements if the City will construct them. He requested that staff provide an estimate of the cost for construction and the potential funding source. Additionally, he requested that staff work with the Association on a cooperative agreement. • Council Member Proctor additionally stated that there are several Volume 55 - Page 582 City of Newport Beach City Council Minutes January 28, 2003 issues regarding the improvement of the water quality in the slough that the Newport Shores Community Association would like addressed. He requested that staff contact the Army Corps of Engineers, the County of Orange and any other agency that might be involved in the matter to investigate the possibilities for improving the water quality in the area and who has the jurisdiction to act. Mayor Pro Tem Ridgeway suggested that the Newport Shores water quality issue be addressed by the Coastal/Bay Water Quality Citizens Advisory Committee. Council Member Webb announced that on January 27, 2003, he attended a ceremony to formally name the Mariners Library the Donna and John Crean Mariners Branch Library. Also at Mariners School on the same day, Council Member Webb stated that he attended the D.A.R.E. (Drug Abuse Resistance Education) graduation ceremony. He expressed his support for the program. Mayor Bromberg stated that the Council retreat that he requested at the City Council meeting of January 14, 2003, is on hold until the City hears from the State on budget issues. Mayor Bromberg announced that a Mariners Joint Use Steering Committee will be formed later in the meeting (Item No. 19). He expressed his support for the project. I. CONSENT CALENDAR READING OF MINUTES/ORDINANCES AND RESOLUTIONS 1. MINUTES OF THE ADJOURNED REGULAR AND REGULAR MEETING OF JANUARY 14, 2003. Waive reading of subject minutes, approve as written and order filed. 2. READING OF ORDINANCES AND RESOLUTIONS. Waive reading in full of all ordinances and resolutions under consideration, and direct City Clerk to read by title only. ORDINANCES FOR INTRODUCTION 3. MODIFICATION OF PROVISIONS OF CHAPTER 17.28 OF TITLE 17 OF THE NEWPORT BEACH MUNICIPAL CODE (NBMC) RELATING TO VEHICLE USAGE ON PIERS AND PLAZAS. Introduce Ordinance No. 2003 -2 amending Chapter 17.28 of Title 17 of the NBMC and pass to second reading on February 11, 2003, as amended by City Manager Bludau to increase the gross vehicle weight in Section 17.28.045(B) from 6,000 pounds to 8,000 pounds. 4. Item removed from the Consent Calendar by Council Member Heffernan. Volume 55 - Page 583 INDEX Ord 2003 -2 Vehicle Usage on Piers and Plazas (85) City of Newport Beach City Council Minutes January 28, 2003 ` L!►!!%a►;] ORDINANCE FOR ADOPTION 5. REQUEST TO AMEND THE FASHION ISLAND PLANNED Ord 2003 -1 COMMUNITY (PC -35) DEVELOPMENT PLAN AND DISTRICT PA2002.192 REGULATIONS PERTAINING TO SIGNAGE. THE APPLICANT Fashion Island Planned PROPOSES MODIFIED SIGNAGE DEVELOPMENT Community (PC -35)/ REGULATIONS THAT WOULD ALLOW ADDITIONAL Planned Community SHOPPING CENTER IDENTIFICATION MONUMENT SIGNS, Development Plan VEHICULAR AND PEDESTRIAN DIRECTIONAL SIGNS AND Amendment 2002 -002/ RESTAURANT MONUMENT SIGNS (PA2002 -192) [APPLICANT Signage Regulations/ — HOLLY SANDLER REPRESENTING THE APPLICANT, THE (68) IRVINE COMPANY. Adopt Ordinance No. 2003 -1 approving Planned Community Development Plan Amendment No. 2002 -002 based on the recommendation and revisions made by the Planning Commission. RESOLUTIONS FOR ADOPTION 6. ADOPT RESOLUTION FOR STREET SWEEPING ON FERN, Res 2003 -4 HIGHLAND, NORDINA AND SONORA STREETS. 1) Adopt Street Sweeping Resolution No. 2003 -4 establishing No Parking restrictions for street (85) sweeping on Mondays from 8:30 a.m. to 12:30 p.m. on the street ends at Highland and Sonora Streets and on Thursdays from 8:30 a.m. to 12:30 p.m. on the street ends on Fern and Nordina Streets; and 2) rescind Resolution No. 2002 -23. 7. Item removed from the Consent Calendar by Council Member Heffernan. CONTRACTS AND AGREEMENTS 8. OLD FORD ROAD PAVEMENT OVERLAY (C -3437) — BA -039 COMPLETION AND ACCEPTANCE. 1) Approve a budget C -3437 amendment (BA -039) authorizing the transfer of $53,858.64 from Old Ford Road Account No. 7181- C5100591 to Account No. 7181- C5100587; 2) accept Pavement the work; 3) authorize the City Clerk to file a Notice of Completion; Overlay 4) authorize the City Clerk to release the Labor and Materials bond 35 (38/40) days after the Notice of Completion has been recorded in accordance with applicable portions of the Civil Code; and 5) release the Faithful Performance Bond one (1) year after Council acceptance. 9. OCEANFRONT STREET END IMPROVEMENTS: FERN, C•3383 GRANT, HIGHLAND, NORDINA, AND SONORA STREETS Oceanfront Street (C -3383) — COMPLETION AND ACCEPTANCE. 1) Accept the End Improvements work; 2) authorize the City Clerk to file a Notice of Completion; (38) 3) 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; and 4) release the Faithful Performance Bond one (1) year after Council acceptance. 10. APPROVE AMENDMENT NO. 2 TO PROFESSIONAL SERVICES C -3515 AGREEMENT WITH PRO SOURCE, INC. FOR CONSTRUCTION Construction SUPPORT SERVICES. Approve Amendment No. 2 to Professional Support Services Agreement with Pro Source, Inc. for extension of contract Services Volume 55 - Page 584 City of Newport Beach City Council Minutes January 28, 2003 construction inspection services in the amount of $36,000. 11. Item removed from the Consent Calendar by Council Member Heffernan. 12. Item removed from the Consent Calendar by Council Member Heffernan. 13. Item removed from the Consent Calendar by Council Member Heffernan. 14. WEST BAY TRAIL, BOARDWALK & RESTORATION PROJECT. Authorize the City Manager to: a) enter into an agreement or memorandum of understanding with the County of Orange to formally allocate up to $800,000 of the County's share of American Trader Oil Spill settlement proceeds towards this project; and b) upon execution of the City- County Agreement and adoption of a budget amendment by City Council, enter into a sole - source Professional Services Agreement with Community Conservancy International (CCI) for Phase I of the project. MISCELLANEOUS ACTION 15. ANNUAL CITY RECYCLING REPORT. Approve the submission of the 2001 Annual City Recycling Report to the California Integrated Waste Management Board. Motion by Mayor Pro Tem Ridgeway to approve the Consent Calendar, except for those items removed (4, 7, 11, 12 and 13) and noting the amendment to Item No. 3. The motion carried by the following roll call vote: Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None J. ITEMS REMOVED FROM THE CONSENT CALENDAR 4. ORDINANCE EXTENDING NON - EXCLUSIVE FRANCHISES WITH ADELPHIA & COX CABLE TELECOMMUNICATIONS. Council Member Heffernan stated that the telecommunication franchise agreements with Adelphia and Cox Cable expired in January, 2002. He stated that the City has been working to modify the agreements, and that the recommendation to extend the current agreements allows the negotiation process to continue for another year. Council Member Heffernan stated that a needs assessment has been done through a public outreach program and that the results will be discussed at an Ad Hoc Telecommunications Committee meeting on February 10, 2003. He noted that Adelphia is currently in bankruptcy, Volume 55 - Page 585 INDEX (38) C -3597 West Bay Trail, Boardwalk and Restoration Project (38) Recycling Report (44) Ord 2003 -3 Adelphia & Cox Cable (42) City of Newport Beach City Council Minutes January 28, 2003 which makes the negotiation process more difficult. Motion by Mayor Pro Tern Rid¢eway to introduce Ordinance No. 2003 -3 and pass to second reading on February 11, 2003. The motion carried by the following roll call vote: Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None VEHICLE LICENSE FEE AND THE STATE BUDGET DEFICIT Council Member Heffernan stated that the Vehicle License Fee (VLF) is the fee paid by vehicle owners for vehicle registration. He stated that the impact of the State keeping the fees amounts to an approximate loss of $1.9 million to the City in the current fiscal year and $3 million in the upcoming fiscal year. Motion by Mavor Pro Tern Rideewas to adopt Resolution No. 2003 -5 urging the California Legislature to reject the Governor's proposed shift of local Vehicle License Fee (VLF) revenues and to honor the 1998 commitment to restore the VLF. The motion carried by the following roll call vote Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None [Item reconsidered under Motion for Reconsideration later in the meeting]. 11. CORONA DEL MAR STATE BEACH IMPROVEMENT — APPROVAL OF GRANT CONTRACT NO, 3461. Referring to the $1.5 million budgeted for the project, Council Member Heffernan asked for a description of how much rehabilitation can be done with that amount of money. He stated that the beach improvements and the first aid station that are needed could be more expensive. City Manager Bludau stated that $2.5 million is actually available due to an additional $1 million in the American Trader Oil Spill account. Council Member Heffernan additionally asked if there will be opportunities for public input on the project. City Manager Bludau stated that some public input has already been received and more will be received before the project is presented to the City Council. Council Member Nichols stated that the area residents need to be contacted and their input received. Public Works Director Badum Volume 55 - Page 586 INDEX Res 2003 -5 Vehicle License Fee /State Budget Deficit (40) I C -3461 Res 2003 -6 Corona del Mar State Beach Improvement (38) City of Newport Beach City Council Minutes January 28, 2003 stated that the preliminary concept is only being developed at this point. When completed, it will be presented to the public. He added that Senior Planner Berger is coordinating the public information program. Council Member Nichols asked how the program will be handled and noticed, and if the Parks, Beaches & Recreation (PB &R) Commission will be involved. Public Works Director Badum stated that area residents would probably be invited to some preliminary workshops and a presentation would be done at a PB &R Commission meeting. Council Member Nichols asked how residents can make suggestions on the project prior to the beginning of the planning stage. Mayor Bromberg assured Council Member Nichols that the public will have plenty of opportunities to provide input on the project. Public Works Director Badum stated that he is prepared to receive input on the project at any time. Assistant City Manager Kiff added that a survey of the residents in the area was completed approximately 1' /s years ago. The results, of which, are posted on the City's website. He also reminded everyone that the City has an opinion e-mail and phone line dedicated to receiving input from the public on any issue. Motion by Mayor Pro Tern Ridgeway to affirm the Notice of Exemption for this project; adopt Resolution No. 2003 -6 appointing the City Manager to act as agent for the City; and approve a Grant Contract with the State Department of Parks and Recreation, and authorize the Mayor and the City Clerk to execute the contract. The motion carried by the following roll call vote: Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None 12. TRAFFIC SIGNAL AND ROADWAY IMPROVEMENTS ON NEWPORT COAST DRIVE AT SAGE HILL SCHOOL — AWARD OF CONTRACT (C- 3587). Council Member Heffernan stated that the traffic signal under consideration will cost approximately $400,000 and is being done by the City due to safety concerns. He stated that the school was prepared to have the installation done prior to the annexation of the Newport Coast area, but the County wouldn't allow the signal on the roadway. He noted that the school is contributing $100,000 towards the cost. He further explained that it is a difficult signal layout and the City should be recognized for taking on the project. Mayor Pro Tern Ridgeway requested that a reimbursement agreement for the Knolls site be considered. He stated that if the site is developed, a portion of the cost of the traffic signal should be required. Motion by Mayor Pro Tern Ridzeway to approve the plans and specifications; award contract (C -3587) to Hillcrest Contracting Volume 55 - Page 587 INDEX I C -3587 BA -040 Traffic Signal and Roadway Improvements on Newport Coast Drive at Sage Hill School (38/40) City of Newport Beach City Council Minutes January 28, 2003 Incorporated for the total bid price of $161,930; and authorize the Mayor and the City Clerk to execute the contract; establish an amount of $16,190 to cover the cost of unforeseen work; approve a budget amendment (BA -040) appropriating $300,000 from the unappropriated balance of the Transportation and Circulation Fund to Account No. 7261- C5200702; and direct staff to consider a reimbursement agreement for the Knolls site, in the event that it is developed in the future. The motion carried by the following roll call vote Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None 13. REVIEW OF NEWPORT COAST ASSESSMENT DISTRICT FINANCIAL DATA. Council Member Heffernan stated that the annexation agreement requires the City to hire outside experts to investigate the three assessment districts in the Newport Coast area and, specifically, the propriety of how they were set up and how the money was spent. He suggested that the initial focus be on determining the City's right to contest any issues. Mayor Bromberg asked if the statute of limitations is a concern. City Attorney Burnham stated that the statute of limitations on any assessment proceeding is relatively short, and that there is a good chance that the statute of limitations expired quite some time ago. He stated that the scope of work for the specialists could be modified to include looking at the statute of limitations issue. Motion by Mayor Pro Tern Ridizeway to authorize the City Manager to execute Professional Services Agreements (PSAs) with Mr. Robert Messinger of Burke Williams & Sorenson, LLP and Mr. William Mitchell of Cummins and White, LLP regarding a review of Newport Coast assessment district financial data, as amended to first determine if the statute of limitations has expired on the issue; and approve a budget amendment (BA -041) in the amount of $93,750 relating to this expense. The motion carried by the following roll call vote Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None Volume 55 -Page 588 INDEX C -3596 BA -041 Newport Coast Assessment District Financial Data (38/40) City of Newport Beach City Council Minutes January 28, 2003 K. PUBLIC COMMENTS INDEX • Jim Hildreth stated that Tony Melum is no longer associated with the City and was apparently asked to resign. Mr. Hildreth stated that prior to Mr. Melum leaving the City, he asked to have Mr. Melum's office audited. He asked why this hasn't happened. Additionally, Mr. Hildreth stated that he received a letter from Fiscal Specialist Carney, dated January 22, 2003. He noted that the letter was not signed. He stated that the Municipal Services Statement that was included with the letter was extremely confusing. He also pointed out that there is no statute of limitations on access, and that there is no difference in accessing the'location in question and the other locations. Mr. Melum, prior to leaving, stated that he had evidence that there were four mooring locations with access. Mr. Hildreth stated that he hasn't received the documentation supporting this but that if others have access, he should also. City Manager Bludau noted that Mr. Melum did not resign, he retired in December of 2002. Additionally, he stated that the City's Municipal Services Statement is a consolidation of several bills. L. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES • Status report — Ad Hoc General Plan Update Committee (GPUC). Council Member Adams stated that GPUC has not met since the City Council meeting of January 14, 2003, but a subcommittee has been working on an action plan for the remainder of the general plan update process. He stated that GPUC will probably not meet again until the subcommittee is ready with its report. He noted that the task of the General Plan Advisory Committee (GPAC) ended with the completion of the visioning process, but that a majority of the members have agreed to remain on the committee to provide additional assistance throughout the process. Council Member Adams stated that GPUC will need to fill the positions of those individuals who will not be remaining on the committee. Mayor Bromberg noted that the City's general plan update process will probably take two years to complete, and is an involved process with many opportunities for public input. He stated that the discussions will become more philosophical in nature, and that compromise and flexibility will be extremely important if the general plan update process is to be effective. • Status report — Local Coastal Program Certification Committee. Mayor Pro Tem Ridgeway stated that once the Committee receives responses from the department heads, a new Local Coastal Plan (LCP) will be drafted and circulated to the committee members. • Status report — Newport Coast Advisory Committee (NCAC). Council Member Heffernan stated that the NCAC is scheduled to meet on February 4, 2003. He stated that the meeting will include a discussion on an amendment to the annexation agreement regarding ongoing responsibilities. He stated that the Committee will also Volume 55 - Page 589 City of Newport Beach City Council Minutes January 28, 2003 discuss fuel modification zones and how to deal with the issue, as well as potential landscaping on Newport Coast Drive. He noted that the meeting on February 4th begins at 5:30 p.m. and will take place at the Newport Coast Elementary School. Council Member Nichols asked if the City has received the documents it requested from the County dealing with the subdivisions. Assistant City Manager Kiff stated that earlier in the day, the County planning staff stated that they would be providing the City with building and grading plans for up to eight of the planning areas that have been completed. • Mayor Bromberg stated that the Councilmanic Redistricting Committee is planning to meet in February. M. PLANNING COMMISSION AGENDA AND ORAL STATUS REPORT 16. PLANNING COMMISSION AGENDA FOR JANUARY 23, 2003. Assistant City Manager Wood stated that the Planning Commission meeting began with a discussion of the Bayview Affordable Senior Housing project. She noted that the public hearing is scheduled for February 20, 2003. She stated that two concerns were brought up during the discussion and they will be addressed prior to the public hearing. These included the adequacy of parking for the project and the height of the building pads. Assistant City Manager Wood stated that the Planning Commission also recommended the initiation of a general plan amendment and that this item would be before the City Council at its meeting of February 11, 2003. She stated that the amendment is to allow self storage facilities on a site in the airport area, and that it was decided by the Planning Commission that such requests should be looked at on a site -by -site basis. She stated that the final item considered by the Planning Commission was an amendment to the zoning code regarding landmark buildings and allowing them to expand their uses without having to go through the usual use permit process. She stated that this item would also be included on the City Council meeting agenda of February 11, 2003. Mayor Bromberg noted that the Bayview Affordable Senior Housing project will consist of 150 units and that they will be filled on a lottery basis to those who qualify. Council Member Webb asked for more information on the concerns of the Planning Commission in regard to the height of the building pads. Assistant City Manager Wood stated that during the presentation, the architect stated that the building pad elevations would be raised five feet above the existing grade. The Planning Commission expressed concerns about why this had to be done, and audience members expressed concerns about the view impacts. Council Member Webb asked if there was a discussion about using story pales. Assistant City Manager Wood stated that story poles were discussed, but no formal Volume 55 - Page 590 INDEX Planning (68) City of Newport Beach City Council Minutes January 28, 2003 action was taken to require them. Council Member Nichols stated that the Bayview site was at one time a dump, which has resulted in the ground being very soft. He asked if the site above the Central Library is still under consideration as a place for senior affordable housing. Assistant City Manager Wood stated that the City Council previously provided direction to leave this site as open space. In regard to the general plan amendment initiation, Council Member Nichols asked if there were already sites in the airport area with self storage facilities. Assistant City Manager Wood stated that she did not know. Additionally, Council Member Nichols asked for an explanation of the process for changing the zoning code. Assistant City Manager Wood stated that the Planning Commission holds a public hearing and makes a recommendation to the City Council, which also holds a public hearing and determines if the change should be made. Council Member Adams stated that when he was Mayor, he requested that a report on the actions of the Planning Commission be provided to the City Council on a regular basis. He stated that it seems to be turning into a mini- hearing on the items, which he doesn't feel is appropriate. He thinks the focus should be on receiving and filing the report. Mayor Bromberg stated that it can include clarifications on the actions. Mayor Pro Tern Ridgeway stated that the Bayview site was never a dump site, although there is a liquefaction issue there due to the water table level. He stated that a soils report will determine how deep compaction will occur above the table. N. PUBLIC HEARINGS 17. UNDERGROUNDING UTILITIES IN PROPOSED ASSESSMENT DISTRICT NO. 70 BAYSHORES AND DESIGNATION OF THIS AREA AS AN UNDERGROUND UTILITIES DISTRICT. Mayor Bromberg announced that the public hearing is being held to hear protests or objections to the Resolution of Intention, Assessment Engineer's Report, proposed assessments and all other matters relating to Assessment District No. 70, and for designation of the area as an underground utilities district. He noted that all written protests and ballots must be received by the City Clerk prior to the close of the public hearing. John Friedrich, Assessment Engineer, noted the map on display, which showed the boundaries of the proposed district. He stated that there is an amendment to the Engineer's Report due to a discovery that the parcel designated as Assessment No. 2 included the termination pole for the undergrounding of Assessment District No. 13. Mr. Friedrich stated that he calculated that the assessment for Assessment No. 2 should be changed from $10,490.66 to $8,061.02. Volume 55 - Page 591 LTRYD Res 2003 -7 Res 2003 -8 Underground Utilities District 70/ Bayshores (89) City of Newport Beach City Council Minutes January 28, 2003 Mayor Bromberg opened the public hearing. Mayor Bromberg asked if there was anyone who wished to speak in opposition to the acquisition of the improvements, the Assessment District, the underground utilities district, the method of spread of the proposed assessments, or the designation of the area as an underground utilities district. Seeing no one, Mayor Bromberg asked if there was anyone who wished to speak in favor of the proceedings. Hearing no testimony, Mayor Bromberg closed the public hearing. Deputy City Clerk Fisher submitted the ballots to Junior Civil Engineer Arciniega for counting. 18. HOTTIES PIZZA (PA2002 -172) — 325 OLD NEWPORT BOULEVARD — AMENDMENTS TO USE PERMIT NO. 3622 THAT WOULD ALLOW THE SALE OF BEER AND WINE FOR ON -SITE AND OFF -SITE CONSUMPTION (INCLUDING DELIVERY) AND AMEND THE HOURS OF OPERATION ALLOWING THE ESTABLISHMENT TO OPERATE BETWEEN 6 AM AND MIDNIGHT DAILY (6 AM TO 10 PM FOR THE PATIO). Noting that the agenda states that Council can uphold or modify the Planning Commission decision, Council Member Heffernan asked if one of the options is also to deny the decision. City Attorney Burnham confirmed that Council can deny the decision and believed that this is subsumed under the term "modify'. Senior Planner Campbell reported that on January 9, 2003, the Planning Commission approved an amendment to Use Permit 3622 for sale of alcoholic beverages, a beer and wine license, and a change in the hours of operation. He indicated that Hotties Pizza also requested to deliver alcohol with their food. He reported that, based upon the recommendation of the Police Department and staff with the conditions of approval, the Planning Commission felt that the permit had adequate conditions to alleviate or avoid any issues with underage drinking and approved the application. Council Member Proctor noted that the application for the use permit was for the sale of alcohol onsite and offsite (Type 41 ABC License). He asked whether the idea of delivering alcohol is something that is appropriately considered or if it is subsumed in the issuance of the alcohol license for onsite /offisite consumption. Senior Planner Campbell indicated that it is part of the operational character of the restaurant and would be reviewed with the use permit. Council Member Proctor asked if Hotties Pizza needed City permission to deliver alcohol or if it would be permitted once they get the Alcoholic Beverage Control (ABC) license. Senior Planner Campbell stated that the delivery of alcohol would come under the review of the City's Alcoholic Beverage Outlet (ABO) ordinance. City Attorney Burnham added that the City Council could make findings that do not support the delivery of alcohol offisite, and that getting the ABC license does not prevent the City from imposing additional conditions under the ABO ordinance or denying Volume 55 - Page 592 INDEX PA2002 -172 Hotties Pizza/ 325 Old Newport Blvd. (88) City of Newport Beach City Council Minutes January 28, 2003 the delivery of alcohol. INDEX Per Mayor Bromberg's question, Senior Planner Campbell stated that he is not aware of any other businesses in the City that are currently delivering alcohol. Mayor Pro Tem Ridgeway stated that he has visited the Hotties Pizza site and feels that the delivery of alcohol would be inappropriate. He explained that there is no curb, gutter or driveway at the site, which would allow delivery vehicles to leave or access the site from various locations. He expressed his concern for safety. City Attorney Burnham stated that such concerns would not be relevant to the considerations that would go into making the findings for granting the conditions of the use permit under the requirements of the ABC ordinance. Mayor Bromberg stated that he is still concerned that some businesses may be delivering alcohol in the City. He stated that there needs to be some consistency on who is allowed to do so and who is not. City Attorney Burnham stated that the ABC ordinance applies to new businesses and to those changing their operational characteristics, and not to those that predate the ordinance. Per Council Member Proctor's question, City Attorney Burnham read from Section 20.89.020 of the ABC ordinance, which defines "off -sale" as alcoholic beverages sold, served, or given away for consumption off the premises. Council Member Proctor confirmed that this would include liquor stores, and asked if a use permit were granted for onsite and offsite alcohol sales, if the delivery of alcohol would automatically be included. City Attorney Burnham stated that if the use permit did not directly address the delivery of alcohol, then the establishment would be entitled to do so. He added, however, that the use permit application should provide exactly what the business intends to do and the approved use permit should legitimize that intended business practice. Council Member Proctor asked if the City has the right to regulate the delivery of alcohol and if the applicant is required to include this on their application, or if a regulation is being created. City Attorney Burnham stated that the City created such a regulation with the creation of the ABC ordinance. Per Mayor Bromberg's question, City Attorney Burnham stated that the ABO ordinance went into effect in 1998. Council Member Proctor stated that his initial concerns revolved around the pros and cons of delivering alcohol, but that he'd also like to understand if the City even has the right to regulate such an act. Council Member Heffernan referred to No. 10 of the conditions for approval in the staff report and noted that it does not permit the delivery of alcohol by restaurant employees. Senior Planner Campbell explained that this was a resolution drafted by staff and that it included language that could be used if the City Council decided not to allow the delivery of alcohol. Additionally, Council Member Heffernan referred to No. 21 of the conditions for approval and expressed his Volume 55 - Page 593 City of Newport Beach City Council Minutes January 28, 2003 INDEX concern that the applicant would be required to complete a certified training program within 180 days of the issuance of the certificate of occupancy, yet would be allowed to deliver alcohol from the beginning. Lastly, he asked what additional insurance requirements should be in place for the delivery of alcohol. City Attorney Burnham stated that there is not any potential City liability related to the issuance of a use permit. Council Member Heffernan explained that he's concerned about the potential for the delivery of alcohol to a minor. Senior Planner Campbell stated that there is not a condition of approval requiring additional insurance. City Attorney Burnham confirmed that it would be unusual to impose such a condition. Council Member Nichols stated that he was of the understanding that the delivery of alcohol is not allowed. Senior Planner Campbell stated that the ABC confirmed that there are no operations currently delivering alcohol in Newport Beach, but that it is permissible and up to the local jurisdiction whether or not to allow it. Council Member Nichols stated that the City should not be the first one to allow it in the area and that by allowing it, it could mean that other businesses may want to do the same thing. Per Mayor Bromberg's question, City Attorney Burnham stated that the City Council has to comply with the ABC ordinance in terms of evaluating the use permit application and applying the required findings. Mayor Bromberg opened the public hearing. Laura Dietz, 325 Cameo Shores Road, stated that delivering alcohol with pizza would only exasperate an existing problem with underage drinking. She stated that Hotties Pizza should not be allowed to deliver alcoholic beverages. She stated that she did some checking and the local grocery stores do not deliver alcohol. Nancy Clark, 2816 Broad Street, stated that she is shocked that the issue is even being considered. She stated that underage drinking is becoming an epidemic and that minors need to understand that it is wrong to drink alcoholic beverages, even at home. She expressed her opposition to allowing Hotties Pizza to deliver alcohol. Hearing no further testimony, Mayor Bromberg closed the public hearing. Motion by- Council Member Proctor to modify the decision of the Planning Commission to approve Hotties Pizza use permit, but prohibit the delivery of alcohol. The motion carried by the following roll call vote: Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Volume 55 - Page 594 City of Newport Beach City Council Minutes January 28, 2005 Absent: None Mayor Pro Tem Ridgeway requested that the ABO ordinance be amended to prohibit the delivery of alcohol by any business in the City. Council Member Proctor stated that the criteria for the findings needs to be amended. O. CONTINUED BUSINESS 19. CITY COUNCIL FORMATION OF A MARINERS JOINT USE STEERING COMMITTEE. Mayor Bromberg stated that the grant money has been received for the project. He briefly listed the members that would comprise the steering committee. Mayor Ridgeway suggested that the Newport -Mesa Unified School District Superintendent and the City Manager be allowed to have a designee represent them, if necessary. Mayor Bromberg appointed Council Member Webb and Mayor Pro Tem Ridgeway, and Board of Library Trustees Chairman Patrick Bartolic and Board of Library Trustee Theresa Chase to the committee. He appointed Council Member Webb as the Chairman and Board of Library Trustee Chase as the Vice - Chairman. Mayor Pro Tem Ridgeway noted that the reason there are three Newport -Mesa Unified School District trustees being recommended for the committee is because the library is in overlapping districts for three trustees. He stated that this was done at the request of the District. Mayor Bromberg additionally pointed out that only two Newport Beach Board of Library Trustees are being appointed because there are five members on the board, and a majority can't serve on the same committee. Motion by Council Member Adams to adopt Resolution No. 2003 -9 creating a Mariners Joint Use Library Ad Hoc Steering Committee to work with Thirtieth Street Architects, Inc. in site and facility planning for the new Donna and John Crean Mariners Branch Library; and confirm the Mayor's appointment of Council Member Webb (Chairman), Mayor Pro Tem Ridgeway, Board of Library Trustees Chairman Patrick Bartolic and Board of Library Trustee Theresa Chase (Vice Chairman) to the Committee. The motion carried by the following roll call vote Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None Volume 55 -Page 595 INDEX Res 2003 -9 Mariners Joint Use Steering Committee (24) City of Newport Beach City Council Minutes January 28, 2003 P. CURRENT BUSINESS 20. REQUEST TO WIDEN A DRIVE APPROACH AT 433 FERNLEAF AVENUE. Public Works Director Badum stated that the applicant wants to widen an existing single -car drive approach to a two -car approach. He stated that the approach abuts an alley and that Council Policy L -2, Driveway Approaches, prohibits street curb openings to residential properties which abut alleys. He referred the City Council to the exhibits and photos in the staff report. Stan Andrade, the architect representing the owner of the property at 433 Fernleaf Avenue, stated that the site is actually a double lot. He stated that rather than split the property and build two large residences, the owner would prefer to improve the existing cottage -style home and add a yard area to the rear of the property. He stated that a garage at the rear of the property at the alley is possible, but wouldn't leave the open space that the owner desires. Mr. Andrade stated that the owner is hoping that the City Council would find the request acceptable. Per Council Member Nichols' question, Mr. Andrade stated that eighteen feet is normally required for a garage setback, but that the owner is requesting a driveway that is fifteen feet long and consistent with the existing setback. Public Works Director Badum stated that Section 20.66.040(B)(3)(a) of the City's zoning code requires a 19 -foot setback from the front property line. Council Member Nichols stated that he likes the concept of the proposed home and that, although he prefers rear curb cuts, he feels that the owner should be allowed to widen the existing drive approach. He asked Mr. Andrade how the 19- foot setback would affect the plans. Mr. Andrade stated that they could work with it and are hoping to remodel the existing structure. In response to Council Member Nichols' question, Mr. Andrade stated that the proposed plans comply with the City's requirements for the size of an enclosed garage. Council Member Nichols noted that the property has more open space than any other in the area and utilizes a five -foot setback on the sides instead of the three feet that is required. Mayor Pro Tem Ridgeway stated that he believes that four feet is required. He also stated that the proposed house is actually quite large, no elevations are provided in the exhibits and he can't understand why plans were produced that didn't place the garage at the rear of the property. Mayor Pro Tem Ridgeway stated that the open space area that the owner desires could be placed at the front of the property, with the garage at the rear. Council Member Webb stated that a rear drive approach has been required of other properties in the area. He added that a garage on the alley would also improve access to the other garages in the area, since it would replace an existing fence which is on the property line. Additionally, he noted that the remodel is actually a substantial Volume 55 - Page 596 .l 433 Fernleaf Avenue/ Drive Approach Widening (85) City of Newport Beach City Council Minutes January 28, 2003 INDEX increase in the size of the home with the proposed plans to increase it from approximately 1300 square feet to 3200 square feet. He stated that since there are no extenuating circumstances to prevent alley parking, he would suggest that that the request be denied. Council Member Adams expressed his opposition to the request. He stated that the applicant hasn't provided a compelling reason for why an exception should be made to the intent of Council Policy L -2. Per Council Member Nichols' question, Mr. Andrade confirmed that the existing fence at the rear is on the property line, but that the owner would comply with whatever setback the City required. Council Member Nichols stated that modifications permits have been issued throughout the area on a routine basis that allow garages at the sides and fronts of properties. He stated that if the applicant would accept a 19 -foot setback for the garage, he would suggest approval of the request. Council Member Adams stated that the Modifications Committee is not routinely overriding Council policies and only allows modifications when there are significant circumstances. Mayor Pro Tem Ridgeway agreed with the comments of Council Member Adams. He added that he can't agree to allowing more vehicle traffic to the front of a property over a sidewalk. Council Member Heffernan confirmed with Mr. Andrade that the proposed home's lot coverage will be similar to that of the existing home since it will be a two -story home instead of a single -story home. He additionally asked what the typical lot coverage in the area is. Assistant City Manager Wood stated that new construction typically goes to the setback lines. Council Member Heffernan stated that these properties probably cover 75% of the lots, while the home at 433 Fernleaf Avenue is covering only 25% of the lot. Council Member Nichols agreed that the lot coverage at 433 Fernleaf Avenue is substantially less than the other properties in the area and what could be allowed. Mr. Andrade stated that the property owner does not want to create controversy. He stated that he can redesign the home, if necessary, and only wants to create a nice home for the owner's family. Council Member Adams agreed that the proposed plans are refreshing and hoped that the owner would keep the open space even if the request to widen the existing drive approach is denied. Mr. Andrade noted that the owner has received several offers for purchase of the property by people who would intend to split the lot and build two large structures. Council Member Proctor asked what findings would have to be made if the City Council decided to approve an exception to Council Policy 1.-2. Public Works Director Badum stated that extenuating circumstances Volume 55 - Page 597 City of Newport Beach City Council Minutes January 28, 2003 INDEX usually exist to exempt a property from the policy. He added that the intent of Council Policy L -2 is to promote less vehicle traffic on the front streets and sidewalks. City Attorney Burnham stated that if the City Council decides to deny the request, that the findings should address due process issues. He stated that if the City Council decides to approve the request, that the findings should differentiate this application from others that might be submitted in the area. Council Member Adams asked if a finding to deny the request could be that it is inconsistent with Council Policy L-2. City Attorney Burnham stated that the findings should support the rationale behind the policy. Motion by Council Member Adams to deny the request to widen an existing single -car drive approach to a two -car drive approach on the northwesterly side of Fernleaf Avenue, based on the findings that the proposed project would 1) perpetuate the presence of a curb cut resulting in the loss of street parking, 2) perpetuate a potential safety problem relative to cars crossing the sidewalk, and 3) impede traffic on the abutting street. Mayor Bromberg stated that the design is a good one, but he has a concern about the loss of parking and the impeding of traffic. Council Member Nichols stated that the lot's coverage is minimal and the street is utilized by few vehicles. He stated that he believes that an exception should be made based on doing what is best for the area. Substitute motion by Council Members Nichols to approve the request to widen an existing single -car drive approach to a two -car drive approach on the northwesterly side of Fernleaf Avenue, with an amendment to require an 18 -foot setback from the front yard for the garage. Council Member Heffernan stated that during the visioning process for the general plan update, he felt that the strongest opponents to mansionization were the residents from Corona del Mar. He stated that he feels that lot coverage is more important to the residents than rear drive approaches, and especially in this case, since a front drive approach already exists. City Attorney Burnham confirmed that Council Member Nichols' motion was conditioned on the proposed lot coverage in the plans that were submitted, and suggested that he might want the applicant's agreement to such a condition. Mayor Pro Tem Ridgeway asked how long the condition would be required. City Attorney Burnham stated that it would be required for as long as the curb cut was in place. Mayor Bromberg confirmed with Mr. Andrade that the condition would be acceptable. Council Member Adams stated that the issue is whether to allow an Volume 55 - Page 598 City of Newport Beach City Council Minutes January 28, 2003 exception to Council Policy L -2 and not what the lot coverage should be. Council Member Heffernan stated that the issue is that the owner has the option to sell the property if she doesn't get the home she desires, which could result in mansionization of the lot. The substitute motion failed by the following roll call vote: Ayes: Heffernan, Nichols Noes: Proctor, Ridgeway, Adams, Webb, Mayor Bromberg Abstain: None Absent: None The original motion carried by the following roll call vote: Ayes: Proctor, Ridgeway, Adams, Webb, Mayor Bromberg Noes: Heffernan, Nichols Abstain: :Vane Absent: None 17. UNDERGROUNDING UTILITIES IN PROPOSED ASSESSMENT DISTRICT NO. 70 BAYSHORES AND DESIGNATION OF THIS AREA AS AN UNDERGROUND UTILITIES DISTRICT [continued from earlier in the meeting]. Deputy City Clerk Fisher announced that a total of 111 ballots were received for Assessment District No. 70. Ninety -four ballots were received in favor of the proposed assessment, representing 84.7% of the assessment amount, and 17 ballots were received in opposition to the proposed assessment, representing 15.3% of the assessment amount. Motion by Mayor Pro Tern Ridaeway to adopt Resolution No. 2003 -7 approving contracts for utility improvements since there were more yes votes than no votes submitted; and adopt Resolution No. 2003 -8 declaring the results of the ballot tabulation, confirming the assessment, ordering the acquisition of improvement, approving the Assessment Engineer's Report, and designating the area an Underground Utilities District for Assessment District No. 70 Bayshores. The motion carried by the following roll call vote Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None 21. PROPOSED CITY COUNCIL AD HOC AIRPORT POLICY REVIEW COMMITTEE. Mayor Bromberg appointed Council Members Proctor and Heffernan, and Mayor Pro Tern Ridgeway to the committee. He appointed Council Volume 55 - Page 599 INDEX Res 2003 -10 City Council Ad Hoc Airport Policy Review Committee (24) City of Newport Beach City Council Minutes January 28, 2003 Member Proctor as the Chairman. Motion by Mayor Pro Tem Ridgeway to adopt Resolution No. 2003 -10 creating the City Council Ad Hoc Airport Policy Review Committee and terminating the Airport Issues Committee; and confirm the Mayor's appointment of Council Members Proctor (Chairman) and Heffernan, and Mayor Pro Tem Ridgeway to the City Council Ad Hoc Airport Policy Review Committee. The motion carried by the following roll call vote: Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None 22. APPOINTMENTS BY THE CITY COUNCIL TO ENVIRONMENTAL QUALITY AFFAIRS CITIZENS ADVISORY COMMITTEE (EQAC), COASTAL/BAY WATER QUALITY CITIZENS ADVISORY COMMITTEE AND THE AVIATION COMMITTEE. Mayor Bromberg stated that if a council member is not prepared to make any of their appointments, those appointments can be deferred to a later City Council meeting. Council Member Heffernan requested a clarification on which committee appointments need to be made from the council member's district. Mayor Bromberg indicated that EQAC has a district appointment, but the at -large appointment does not have to come from within the council member's district. Regarding the Coastal/Bay Water Quality Citizens Advisory Committee and Aviation Committee, he indicated that those appointments do not have to come from within the council member's district. Environmental Quality Affairs Citizens Affairs Committee (District 1) Mayor Pro Tem Ridgeway reappointed Louis Von Dyl and Gary Borquez (at -large member). (District 2) Council Member Proctor reappointed Jim Miller and Nancy Raney (at -large member). (District 3) Council Member Webb deferred his appointments. (District 4) Council Member Adams deferred his district appointment and reappointed Phillip Lugar (at -large member). (District 5) Mayor Bromberg deferred his district appointment and Volume 55 - Page 600 INDEX Appointments to EQAC, CoastallBay Water Quality, and Aviation Committees (24) City of Newport Beach City Council Minutes January 28, 2003 INDEX reappointed Marge Pantzar (at -large member). (District 6) Council Member Nichols deferred his appointments. (District 7) Council Member Heffernan reappointed Richard Oberreiter and appointed Thomas Eastmond (at -large member). Coastal/Bay Water Quality Citizens Affairs Conunittee (District 1) Mayor Pro Tem Ridgeway reappointed Nancy Gardner. (District 2) Council Member Proctor reappointed Alan Silcock. (District 3) Council Member Webb deferred his appointment. (District 4) Council Member Adams reappointed Bud Frenzel. (District 5) Mayor Bromberg reappointed Tom Houston. (District 6) Council Member Nichols deferred his appointment. (District 7) Council Member Heffernan reappointed Dennis Baker. Aviation Committee (District 1) Mayor Pro Tem Ridgeway reappointed Robert Shepherd and Pete Drummond (alternate). (District 2) Council Member Proctor reappointed Dan Gilliland and Tim Brown (alternate). (District 3) Council Member Webb deferred his appointments. (District 4) Council Member Adams deferred his appointments. (District 5) Mayor Bromberg reappointed John Cunningham and Craig Page (alternate). (District 6) Council Member Nichols appointed Rick Taylor and deferred his alternate appointment. (District 7) Council Member Heffernan reappointed Chuck Colesworthy and appointed Bonnie Birch (alternate). Council Member Adams requested that the City Clerk's office provide the district in which an applicant lives when forwarding committee applications to the City Council in the future. He confirmed with City Attorney Burnham that the City Council has to confirm the appointments made by the council members. Council Member Adams requested that a straw vote be taken on Council Member Nichols' appointment of Rick Taylor to the Aviation Committee: Volume 55 - Page 601 City of Newport Beach City Council Minutes January 28, 2003 INDEX The appointment was not confirmed by the following straw vote: Ayes: Heffernan, Nichols, Mayor Bromberg Noes: Ridgeway, Adams, Webb Abstain: Proctor Absent: None City Attorney Burnham requested a recess to look through the Council Policy Manual to determine whether confirmation is required. Recessed at 9:25 p.m. and reconvened at 9:35 p.m with all members present. Assistant City Manager Wood reported that the Aviation Committee resolution states that the membership will consist of one appointee from each of the seven districts to be appointed by the council member that was nominated from the district. She indicated that the resolution is silent on whether the City Council confirms the appointments. Regarding EQAC, each council member appoints one member from the district and one at -large member, and the appointments need to be confirmed by the City Council. Regarding the CoastalfBay Water Quality Citizens Advisory Committee, the appointments do not need to come from the districts, but the appointments do need to be confirmed by the City Council. Council Member Nichols asked for a clarification on the alternate member appointment to the Aviation Committee. City Manager Bludau believed that, if the alternate is to serve in place of the person appointed, the alternate should also be from the district. City Attorney Burnham believed that Mr. Bludau's interpretation was the best interpretation of the resolution. Council Member Nichols stated that the present District 6 representatives on the Aviation Committee do not reside within the district. City Attorney Burnham agreed that the Aviation Committee membership needs to be looked at and that the current members should be advised of the requirement to live within the district from which they were appointed. He indicated that staff may need to come back to the City Council either with a revision to the resolution or a revision to the appointments so that they are consistent with the resolution. Given the new information, Mayor Bromberg requested and received confirmation from each of the council members who made appointments to EQAC that their district appointees reside in their district. Regarding the Aviation Committee, Mayor Pro Tern Ridgeway noted that he is unsure where his appointees live. He requested that staff let him know where they live and to also give him a list of the other appointees and their districts. Council Member Adams suggested that staff write a memo to the City Council outlining what districts all of the Aviation Committee appointees live in. Volume 55 - Page 602 City of Newport Beach City Council Minutes January 28, 2003 INDEX Council Member Proctor stated that he also did not know which district his appointees reside and, therefore, deferred his appointments. Mayor Bromberg reported that both his Aviation Committee appointees live within his district. Council Member Nichols deferred his appointments, noting that Rick Taylor does not live within his district. Council Member Heffernan reported that both his Aviation Committee appointees live within his district. Mayor Bromberg requested that this item be continued to the City Council meeting of February 11, 2003, for those appointments that were deferred. Council Member Adams recommended that the language for the Aviation Committee be clarified with regard to City Council concurrence and the ambiguity about the residency of the alternate. Motion by Mayor Pro Tem Ridgeway to confirm the appointments made by each Council Member as follows: Environmental Qualitv Affairs Citizens Affairs Committee (District 1) Mayor Pro Tem Ridgeway's reappointment of Louis Von Dyl and Gary Borquez (at -large member). (District 2) Council Member Proctor's reappointment of Jim Miller and Nancy Raney (at -large member). (District 4) Council Member Adams' reappointment of Phillip Lugar (at -large member). (District 5) Mayor Bromberg's reappointment of Marge Pantzar (at- large member). (District 7) Council Member Heffernan's reappointment of Richard Oberreiter and appointment of Thomas Eastmond (at- large member). Coastal/Bay -Hater Quality Citizens Affairs Committee (District 1) Mayor Pro Tem Ridgeway's reappointment of Nancy Gardner. (District 2) Council Member Proctor's reappointment of Alan Silcock. (District 4) Council Member Adams' reappointment of Bud Frenzel. (District 5) Mayor Bromberg's reappointment of Tom Houston. Volume 55 - Page 603 City of Newport Beach City Council Minutes January 28, 2003 INDEX (District 7) Council Member Heffernan's reappointment of Dennis Baker. Aviation Committee (District 5) Mayor Bromberg's reappointment of John Cunningham and Craig Page (alternate). (District 7) Council Member Heffernan's reappointment of Chuck Colesworthy and appointment of Bonnie Birch (alternate). The motion carried by the following roll call vote: Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None Q. MOTION FOR RECONSIDERATION City Manager Bludau stated that he wanted to make sure that the City Council understood that the resolution that was adopted in the action taken on Item No. 7 means that the City is supporting the State increasing taxes if the State no longer backfills the Vehicle License Fee (VLF). Motion by Council Member Adams to reconsider Item No. 7 (Vehicle License Fee and the State Budget Deficit). The motion carried by the following roll call vote: Ayes: Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: Heffernan Abstain: None Absent: None Council Member Adams stated that the City should only be expressing its opposition to a reduction of its VLF allocation, and silent on the issue of increasing the fee or raising taxes. Motion by Council Member Adams to adopt Resolution No. 2003.5 urging the California Legislature to reject the Governor's proposed shift of local Vehicle License Fee (VLF) revenues. Per Council Member Nichols' question, Council Member Adams explained that he is opposed to tax increases even though, in this case, it could have a negative impact on the City. Per Council Member Proctor's question, City Manager Bludau stated that the 1998 commitment to restore the VLF meant that the taxpayer would pay the entire cost if the Legislature did not fulfill its obligations. He added that he understands the direction made in the motion and that the resolution will need Volume 55 - Page 604 City of Newport Beach City Council Minutes January 28, 2003 to be rewritten. In summary, he stated that the City is urging the State to continue with the backfill. The motion carried by the following roll call vote: Ayes: Heffernan, Proctor, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: None R. ADJOURNMENT - at 9:50 p.m. in memory of Sean Robert Fenton. The agenda for the Regular Meeting was posted on January 22, 2003, at 2:30 p.m. on the City Hall Bulletin Board located outside of the City of Newport Beach Administration Building. City Clerk Recording Secretary Mayor Volume 55 - Page 605 I1op7�/:1 CITY OF NEWPORT BEACH City Council Minutes Study Session February 11, 2003 - 4:00 p.m. ROLL CALL DRAFT INDEX Present: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Absent: Proctor (excused) CURRENT BUSINESS 1. CLARIFICATION OF ITEMS ON THE CONSENT CALENDAR Council Member Heffernan asked if any of the items on the Consent Calendar had been modified. City Manager Bludau stated that Item No. 3, Refilling of Vacancies on the General Plan Advisory Committee, would be removed from the Consent Calendar at the regular meeting for discussion. 2. BONITA CANYON SPORTS PARK UPDATE. City Manager Bludau stated that the item was placed on the agenda at the request of Council Member Heffernan. Using a PowerPoint presentation, Public Works Director Badum reported that the contract for Bonita Canyon Sports Park was awarded on May 9, 2000, to Castello, Inc. at a cost of a little over $6 million. He stated that the park was scheduled to be completed in the Summer of 2001, with an expected opening in December of 2001. He explained that the time between completion and opening is to allow for landscape establishment and maintenance. Public Works Director Badum stated, however, that in November of 2001, work on the park was stopped due to financial issues associated with Castello, Inc., unrelated to the Bonita Canyon Sports Park project. In December of 2001, the City banned Castello, Inc. from proceeding with the work due to nonperformance. In addition, the bonding company, St. Paul Surety, was notified and a takeover agreement was approved. St. Paul Surety assigned the project to Errecas, work was resumed in February of 2002 and the expected completion was revised to October of 2002. Public Works Director Badum stated that there continue to be irrigation problems on the site. He displayed some photos, which provided examples. In an attempt to correct the problems, the valve manufacturer has agreed to replace all of the rubber diaphragms and flush the irrigation system at no cost to the City. Public Works Director Badum stated that it will delay the project by an additional four to six weeks. He noted that another problem with the project is incomplete work and that the list includes forty to fifty items. He stated that it has been estimated that it will take four weeks to complete the work. He displayed some photos illustrating the problems. Public Works Director Badum Volume 55 - Page 606 C -3270 Bonita Canyon Sports Park (38) City of Newport Beach Study Session Minutes February 11, 2003 INDEX stated that the 60 -day period for plant establishment has also been suspended due to the irrigation problems. He noted that the park appears green, but the turf experts have stated that the turf grasses have not yet developed a strong enough root system to enable the use of the fields. He also reported that the original contract was for $6.2 million and that change orders have increased the cost to $6.8 million. He noted that $6.1 million has been paid to date. Public Works Director Badum outlined the current schedule, which shows the improvements to be completed by March 2003, and plant establishment and maintenance by June 2003. He noted that the West Park is a bit behind that schedule with completion expected by April 2003, and plant establishment and maintenance by September 2003. The East Park tot lot and restrooms are currently open, and the West Park tot lot, tennis courts and basketball courts could be open by May 2003. He stated that the current schedule is subject to the irrigation system problems being corrected and the weather. He stated that the legal and liability issue of opening the park in stages also needs to be addressed. Council Member Heffernan stated that the project is at least two years behind the original schedule and noted the money that has been spent with nothing being received in return. He confirmed with Public Works Director Badum that the City is not recommending that any of the fields be used at this time. Public Works Director Badum stated that the contract should be completed and the issues resolved prior to the fields being used, and that this may not happen before the end of this year's baseball season. Council Member Heffernan asked if any other projects in the City have experienced such delays. Public Works Director Badum stated that it is rare to have a project run into so many delays. City Manager Bludau added that the project is very large and the worst -case scenario has occurred. Council Member Webb stated that there have been other major projects in the City that have taken longer to complete than estimated, such as the Central Library and the groundwater project. He added that the Bonita Canyon Sports Park project has definitely seen its share of problems, however. Mayor Pro Tem Ridgeway stated that the City is required to take the lowest responsible bidder for projects. He asked if this requirement should be reviewed. He, additionally, asked if surety agreements could provide the City with some control over who is hired if a takeover is required. Public Works Director Badum stated that staff is looking at options to improve contract specifications to insure that the best protection is provided. Assistant City Attorney Clausen added that her office has been researching changes to the laws dealing with lowest responsible bidders, and will make sure that the findings are incorporated into the contracts so that the City has the opportunity to reject bidders who don't meet the required qualifications or background. Council Member Nichols suggested that earlier notice should have been given to the City Council and the public about the reason for not allowing the use of the fields at Bonita Canyon Sports Park. He stated that it's frustrating for people to see the grass and not understand why they can't use the fields. He added that it might also provide the opportunity for the public to provide some valuable input. Volume 55 - Page 607 City of Newport Beach Study Session Minutes February 11, 2003 INDEX Council Member Heffernan requested an update on how the status of the usage of the fields was conveyed to the Little League and how they reacted. Recreation and Senior Services Director Knight stated that in June of 2002, all of the youth sports organizations were notified that the City did not anticipate the park to open for the 2002 baseball season and that they should not plan to use the park until at least June of 2003. She added that an update was also included in a recent issue of the Newport Navigator and an additional meeting was held with the sports organizations in December of 2002. Recreation and Senior Services Director Knight stated that the City has been working with the organizations to assist them with finding alternate sites and is also in the process of working with the Parks, Beaches & Recreation (PB &R) Commission to develop a new use policy for all of the City's facilities. She stated that more recent updates have been provided to the Little League and an assurance has been made that the City will allow use of the fields as soon as it is possible. Recreation and Senior Services Director Knight stated that she is unsure of how they have been taking the information. Council Member Heffernan stated that he assuming the Little League has accepted the City's decisions, since no one is present at the current meeting to provide input. He confirmed that once the Public Works Department determines that the fields can be used, it will be up to the PB &R Commission to determine which groups will use them. Council Member Webb asked how the fields are assigned and if all of the organizations share all of the fields throughout the City. Recreation and Senior Services Director Knight stated that the community as a whole will be looked at and the facilities will be distributed equitably. She stated that staff will be providing the PB &R Commission with a recommendation at their meeting of March 4, 2003. Council Member Heffernan asked if a preference will be given to the neighborhoods closest to the Bonita Canyon Sports Park since that is where the bond payers reside. City Attorney Burnham stated that no preference is planned to be given. Council Member Nichols referred to a controversy at the Lincoln Athletic Center regarding local organizations that were prepared to upgrade some practice fields and the City didn't follow through on their offer. He suggested that the City work with the organizations. Mayor Pro Tem Ridgeway stated that the situation at the Lincoln Athletic Center involved the Baseball Association taking it upon themselves to fence off two fields without notifying the Newport -Mesa Unified School District. He stated that they were required to remove the fencing. Mayor Bromberg confirmed with Recreation and Senior Services Director Knight that the City does work with the organizations. She added that the City has established a very close working relationship with all of the youth sports organizations. She stated that the City also acts as the liaison to the school district and requests that the organizations inform the City of any planned facility modifications. She stated that in the case of the Lincoln Athletic Center, the City was not notified of the modifications so was unable to work with the Volume 55 - Page 608 City of Newport Beach Study Session Minutes February 11, 2003 INDEX school district prior to the fencing being installed. Council Member Nichols noted that they were practice fields that were being converted to game fields. Recreation and Senior Services Director Knight stated that they were not existing fields and that the fencing went through a kindergarten play area. Mayor Bromberg stated that there are often two sides to a story, that both sides need to be considered and the situation looked into. Council Member Heffernan noted that the Lincoln Athletic Center is owned by the school district and is operated under a joint use agreement with the City, which is different than the operation of the Bonita Canyon Sports Park which is owned by the City. Recreation and Senior Services Director Knight added that it was the school district that decided that the fields should not be allowed and the fencing should be removed. City Attorney Burnham stated that the Bonita Canyon Sports Park is actually owned by the City and school district through a joint powers authority. Council Member Adams asked which property owners are paying the Mello -Roos taxes that are contributing to the funding of the Bonita Canyon Sports Park. Assistant City Attorney Clausen stated that the tract that surrounds the property and two parcels in the Bonita Canyon area comprise the special district that was formed. Per Council Member Adams' question, Assistant City Attorney Clausen stated that the Mello -Roos funding went towards the purchase of the property and some of the improvements. Val Skoro, PB &R Commission, stated that the Recreation & Senior Services Department does a good job of communicating with the youth sports organizations, but people will remain frustrated when they can't use the fields. 3. TIDEPOOL PROGRAM. Tidepool Program (51) Assistant City Manager Kiff introduced Cheri Schonfeld, the Marine Life Refuge Supervisor, and stated that her position is partially funded on a grant from the California Resources Agency. Using a PowerPoint presentation, Ms. Schonfeld stated that the tidepool education program was begun by first looking at the problems in the Little Corona Marine Life Refuge, then addressing the issues and finding solutions, looking at what groups visit the area, deciding if a difference is being made and determining the next steps. She outlined the problem as a typical day when 1500 school children will visit the area and have no idea they are inflicting any harm by walking on the refuge. She stated that the problems involve offering a program on a public beach in a residential neighborhood, preserving and protecting the intertidal ecosystem and educating the public on the impact they have. Ms. Schonfeld displayed an aerial photo of where the groups use the intertidal zone in Corona del Mar. She also displayed a graph, which illustrated the number of program visitors during the past three years. She noted the increased usage in May and June, which she explained is due to weather and the curriculum schedule established by the teachers. She stated that she will Volume 55 - Page 609 City of Newport Beach Study Session Minutes February 11, 2003 •I101) /V attempt to encourage more use during the other months. Ms. Schonfeld stated that the program currently costs $29.50 per class and that this fee includes parking at the Big Corona lot. Per City Manager Bludau's question, Ms. Schonfeld stated that the average class size is usually 20 to 30 students. She added that the program length is approximately two hours, usually one staff member is provided for every two classes, and a packet of educational materials is sent out to the classes ahead of time. Ms. Schonfeld noted that since the Corona del Mar program costs less than other programs, more classes participate from the underprivileged areas. She stated that the program is publicized via the Harbor Resources website, word of mouth from other teachers and repeat visitors. She stated that the largest number of participants come from the elementary, middle and high schools, and that other participants include preschools, home school groups and independent study programs, scout groups, day care programs, community organizations and YMCA groups. Ms. Schonfeld stated that 45% of the school groups are from Orange County schools, with the remainder from the Los Angeles and Riverside areas. She displayed a pie chart that illustrated participants of the program by age group. City Manager Bludau confirmed that only 2% of the program participants are in the seventh grade or higher. Ms. Schonfeld stated that the reason the program is utilized is because it supplements the science curriculum, introduces the beach to the kids, gives the students an appreciation and respect for the environment, teaches conservation and awareness, and that it's fun. She stated that the staffing for the program includes herself and the tidepool rangers. She stated that the rangers are responsible for presenting the program to the schools and groups, educating and interacting with visitors to the marine life refuge, and informing the visiting public of the rules and regulations. Ms. Schonfeld stated that anyone wanting to book a trip can call the tidepool information line or visit the Harbor Resources website. She distributed an information packet to each of the council members, similar to the ones mailed to the classes about six weeks before their trips. The packet included a confirmation letter, bus pass, marine life refuge video and vocabulary, field guides, tidepool trading cards, and contacts for obtaining additional information. She stated that when a group arrives at Big Corona, they are separated into groups and the ranger meets with them. She noted how excited the students are when they see the tidepools. Ms. Schonfeld stated that a survey was conducted in the Spring of 2002 and 95% of the respondents "strongly agreed" that they enjoyed bringing their classes to the tidepools. She stated that 54% felt that the students were prepared for the trip. Ms. Schonfeld stated that the information packet was enhanced due to this response. She stated that they are also planning ways to make the trip more compatible with scout badges and are planning to utilize volunteers from the Community Watch Program to assist the tidepool rangers on the weekends. Mayor Bromberg asked how often the program runs. Ms. Schonfeld explained that it runs to coincide with the tides. Mayor Bromberg noted that the tide schedule is included on the website and complimented the program. Assistant Volume 55 - Page 610 City of Newport Beach Study Session Minutes February 11,2003 City Manager Kiff stated that it's enjoyable to see the students visiting the area. He complimented the program also and thanked the City Council for funding it. Ms. Schonfeld introduced Diane Williams and Rick Cannella, two of the tidepool rangers. 4. STATUS REPORT OF NEWPORT COAST FUEL MODIFICATION ZONES COMPLIANCE. City Manager Bludau stated that the item was placed on the agenda at the request of Council Member Heffernan. Council Member Heffernan stated that the item is important to review because it is a topic of conversation at every Newport Coast Advisory Committee (NCAC) meeting and many of the fuel modification zones are out of compliance. He stated that the area used to be under the authority of the Orange County Fire Authority prior to the annexation of Newport Coast, but it is now under the City's authority and every attempt is being made to enforce compliance. He noted that the issue is complicated since some of the areas that are out of compliance are owned by homeowners associations. He stated that compliance is becoming even more important since Spring is approaching. Using a PowerPoint presentation, Fire Chief Riley defined a fuel modification zone as a wide strip of land where combustible vegetation has been removed and/or modified with drought tolerant and fire resistant plants to reduce the risk to homes from wildland and vegetation fires and to create a defensible space for firefighters. He stated that the landscaping plans are put together by licensed landscape architects, which is important since there is also a great concern for erosion during rainfall. Fire Chief Riley stated that fuel modification zones are subject to periodic inspections by the City in order to assure that the zone continues to be maintained. Fire Chief Riley displayed an exhibit, which illustrated the basic requirements of a fuel modification plan and the four zones that comprise it. He noted that the A and B zones should be irrigated, while the C and D zones are naturally maintained. Fire Chief Riley stated that the A zone is the primary defensible space and where the firefighters would attempt to protect a structure. He stated that it's a minimum of twenty feet from the structure setback zone. The B zone can only include plant material from the approved plant list, the surface plants are not to exceed eighteen inches in height and the native grasses are not to exceed eight inches in height. He stated that the C zone uses the natural vegetation, but it is thinned out by about 50 %, and dead and dying plant materials and undesirable species are removed. The D zone is closest to the wildland area and uses the natural vegetation, but is thinned out by about 30°x6. Fire Chief Riley stated that the fuel modification program initiated for Newport Coast by the City began with a development of the inspection program. The first notice to all of the homeowners association management companies was sent out on September 30, 2002, and required compliance by November 2, 2002. He stated that all properties were reinspected and a second notice was sent to the management companies that were not in compliance on November 21, 2002. Fire Chief Riley noted that additional contact was made with the homeowners, Volume 55 - Page 611 go l �► Newport Coast Fuel Modification Zones (41 City of Newport Beach Study Session Minutes February 11, 2003 W191 and fuel modification plans and additional information was provided. He stated that the City has spent a great deal of effort on advising, educating and informing the residents of what is required. Per Mayor Bromberg's question, Fire Chief Riley confirmed that there was 100% noncompliance prior to the second notice being sent. He stated that there are 32 different property owners in Newport Coast, approximately 136 parcels and 21 homeowners associations. He stated that it has been difficult to define ownership and responsibility since various entities have ownership within the zones. Fire Chief Riley stated that the City has succeeded in notifying the homeowner associations of their specific requirements for their specific fuel modification plans, but the responses vary on when they feel they can meet compliance. He listed the six fuel modification zones that are currently in compliance, and two others that have made significant progress towards compliance. As an example of significant progress, Fire Chief Riley listed the items completed by Ocean Ridge II, which included the pruning of the B zone, the removal of all dead and dying material, and the 50% thinning of the C and D zones. He additionally listed seven fuel modification zones that have made some progress towards compliance and seven others that have made minimal progress. As an example of having made minimal progress, he pointed to Newport Ridge Master Association, which has only thinned or cleared 250 feet of a 3500 -foot fire modification zone in the past three weeks. At this rate, the work wouldn't be completed until December of 2003 and that this is not acceptable. Fire Chief Riley provided a list of communities that were not previously required to have a fuel modification zone, although two of them should have one and the City will address the situation. Fire Chief Riley stated that the next step will begin on February 28, 2003, with reinspections of the noncompliant zones. He stated that those zones that have been determined to have made significant progress towards compliance will be given a 30 -day extension. The others will be given a 14 -day notice of the City's final intention to abate, which will result in a reinspection and possibly a clearing of the necessary areas by a contractor hired by the City. He explained that this work is scheduled to begin on March 17, 2003, and that the owner of record will be billed for the services. Fire Chief Riley stated that the City will continue to be available to provide assistance and that resources include the initial inspection findings, the fuel modification zone maps, the fuel modification zone landscape plans approved by the Orange County Fire Authority, interpretation manuals of the City's guidelines and approved plant lists. He stated that on -site property inspections can also be requested. In conclusion, Fire Chief Riley stated that a tremendous amount of work still needs to be done due to the lack of maintenance over the years. He stated that it is a significant hazard to the City and that prompt action is required. Referring to the preannexation agreement, Council Member Heffernan asked what the City's role will be once the fuel modification zones are in compliance. Volume 55 - Page 612 City of Newport Beach Study Session Minutes February 11, 2003 He noted that many of the homeowners associations have already spent money on landscape companies and that they may have to spend more money if a contractor is brought in to do the work. He stated that an obligation of the preannexation agreement is for the homeowners associations to bring the fuel modification zones into compliance and then the City would perform the ongoing maintenance. To highlight the significance of the problem, Council Member Heffernan stated that it is estimated that the total cost for compliance is approximately $500,000. Fire Chief Riley noted that some areas are performing the necessary work themselves, so the cost could be closer to $200,000. Mayor Pro Tem Ridgeway asked what work the City contractor would be performing on March 17, 2003. Fire Chief Riley clarified that the contractor will not be installing irrigation in the A and B zones, or doing any plantings. The contractor will be removing undesirable species, removing dead and dying material, and thinning the C and D zones. He noted that the City could also install irrigation lines, but that the City is more interested in abating the immediate hazard. Referring to the preannexation agreement, Mayor Pro Tem Ridgeway asked if the City will be responsible for all of the zones, noting that the A zone is basically the property owner's backyard. Fire Chief Riley noted that some of the fuel modification plans don't have an A zone because they were done prior to 1992. He stated that it is the Fire Department's job to make sure that the hazards are abated, but that the City has agreed to honor the fuel modification plans that were approved by the County of Orange. He stated that this can create a problem, but the City will still plan to educate the homeowners on how they can make their homes safe from fire. Mayor Pro Tem Ridgeway asked how collection and grievance issues will be handled in regard to the contractor that has been hired to perform work. Fire Chief Riley stated that, in the past, the work has been performed, an administrative cost has been added and then the property owner is billed through the City's existing billing system. If payment is not received, the City Council is asked to approve a lien on the property. Council Member Webb asked if the City will take over maintenance of those zones that are in compliance, or if all zones must be in compliance before the takeover will occur. Fire Chief Riley stated that the preannexation agreement allows the City to provide reimbursement once a property is brought up to compliance. Council Member Webb confirmed that the property owner will still be responsible for compliance, but the City will provide the funds. He further confirmed that this would be included in the budget. Council Member Heffernan stated that it is a liability issue. The City will be liable for making the payment, but the property owner and the homeowner association will be responsible for making sure that the work was done right. Per Council Member Nichols's question, Fire Chief Riley stated that the zones are measured horizontally, with the A zone measuring twenty feet and the B, C and D zones measuring fifty feet. Additionally, he stated that the preannexation agreement requires that the City reimburse for the maintenance of the B, C and D zones. PUBLIC COMMENTS —None. Volume 55 - Page 613 INDEX City of Newport Beach Study Session Minutes February 11, 2003 ADJOURNMENT - at 5:35 p.m The agenda for the Study Session was posted on February 5, 2003, at 2:00 p.m on the City Hall Bulletin Board located outside of the City of Newport Beach Administration Building. City Clerk Recording Secretary Mayor Volume 55 - Page 614 INDEX CITY OF NEWPORT BEACH City Council Minutes Regular Meeting February 11, 2003 - 7:00 p.m. — 4:00 p.m. CLOSED SESSION — Cancelled. INDEX mmmmmmmmmmm,rr����as A. RECESSED AND RECONVENED AT 7.00 P.M. FOR REGULAR MEETING B. ROLL CALL Present: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Absent: Proctor (excused) C. CLOSED SESSION REPORT — None. D. PLEDGE OF ALLEGIANCE — Mayor Pro Tem Ridgeway. E. INVOCATION — Reverend Dr. Dennis Short, Pastor of Harbor Christian Church, Chair of Newport Mesa Irvine Interfaith Council. GOD BLESS AMERICA— Sung by Dawn Bohas. F. PRESENTATION — None. G. NOTICE TO THE PUBLIC H. CITY COUNCIL ANNOUNCEMENTS OR MATTERS WHICH COUNCIL MEMBERS WOULD LIKE PLACED ON A FUTURE AGENDA FOR DISCUSSION. ACTION OR REPORT (NON- DISCUSSION ITEM): Council Member Webb reported that he and his wife attended the 'Eye on the Arts" performance on February 1. He announced that the next performances will be held on March 8 and April 12. Council Member Heffernan announced that he will be appealing Modifications Permit No. PA2003 -005 for properties located at 1530 and 1532 Ocean Boulevard. In response to Mayor Bromberg's question, Assistant City Manager Wood confirmed that the loan agreement for the Lower Bayview Senior Affordable Housing project will be on the February 25 agenda and that the Planning Commission will hear the issue on February 20. Mayor Bromberg asked that staff make sure that Council reviews the land use Volume 55 - Page 615 City of Newport Beach City Council Minutes February 11, 2003 and development applications at the same time. Mayor Bromberg displayed a Valentine's card that Council received from the children at the Grant Howald After School Program. He noted that they also gave Council and staff Valentine's candy. CONSENT CALENDAR READING OF MINUTES/ORDINANCES AND RESOLUTIONS 1. Removed by a member of the audience. 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. ORDINANCE FOR INTRODUCTION 3. Removed by a member of the audience. ORDINANCE FOR ADOPTION 4. ORDINANCE EXTENDING NON - EXCLUSIVE FRANCHISES WITH ADELPHIA & COX CABLE TELECOMMUNICATIONS. Adopt Ordinance No. 2003 -3. RESOLUTION FOR ADOPTION 5. MODIFICATION TO THE COMPOSITION OF THE COUNCIL /CITIZENS AD HOC AVIATION COMMITTEE- Adopt Resolution No. 2003.11 modifying the composition of the Council/ Citizens Ad Hoc Aviation Committee. CONTRACTS AND AGREEMENTS 6. BALBOA PENINSULA STREETLIGHT MODIFICATIONS (C -3416) — COMPLETION AND ACCEPTANCE. 1) Accept the work; 2) authorize the City Clerk to file a Notice of Completion; 3) 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; and 4) release the Faithful Performance Bond 1 year after Council acceptance. DOVER DRIVE ZONE II WATER MAIN REPLACEMENT AND STREET REHABILITATION FROM CLIFF DRIVE TO WEST COAST HIGHWAY (C -3394) — COMPLETION AND ACCEPTANCE. 1) Accept the work; 2) authorize the City Clerk to file a Notice of Completion; 3) 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; and 4) release the Faithful Performance Bond 1 year after Council acceptance. Volume 55 - Page 616 INDEX Ord 2003 -3 Adelphia & Cox Cable (42) Res 2003 -11 Council/Citizens Ad Hoc Aviation Committee (24) C -3416 Balboa Peninsula Streetlight Modifications (38) C -3394 Dover Drive Zone II Water Main Replacement and Street Rehabilitation (38) City of Newport Beach City Council Minutes February 11, 2003 8. ZONE V EMERGENCY BACKUP GENERATOR (C -3506) — COMPLETION AND ACCEPTANCE. 1) Accept the work; 2) authorize the City Clerk to file a Notice of Completion; 3) 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; and 4) release the Faithful Performance Bond 1 year after Council acceptance. 9. Removed by a member of the audience. MISCELLANEOUS ACTION 10. RELEASE OF SURETIES FOR THE MACARTHUR BOULEVARD WIDENING RELATED TO TRACT NO. 12105 AND TRACT NO. 14533. 1) Authorize the City Clerk to release the Labor and Materials Bond and the Faithful Performance Bond for the construction of MacArthur Boulevard Improvements along the residual parcel adjacent to Tract No. 12105 (Bond No. 52410025); and 2) authorize the City Clerk to release the Labor and Materials Bond and the Faithful Performance Bond (Bond No. 17- 64 -49) for the construction of MacArthur Boulevard Improvements along Tract No. 14533 frontage. 11. RELEASE OF SUBDIVISION BONDS FOR NEWPORT BLUFFS APARTMENTS, TRACT NO. 15584. 1) Authorize the City Clerk to release the Faithful Performance Bond for the construction of street and storm drain improvements in Tract No. 15584 (Bond No. 21- 36 -20); and 2) authorize the City Clerk to release the Labor and Material Bond for the construction of on -site street and storm drain improvements (Bond No. 21- 36 -20) in six months, provided no claims have been filed. 12. Removed by Council Member Heffernan. Motion by Mayor Pro Tern Rida'eway to approve the Consent Calendar, except for those items removed (1, 31 9 and 12). The motion carried by the following roll call vote: Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor J. ITEMS REMOVED FROM THE CONSENT CALENDAR 1. MINUTES OF THE ADJOURNED REGULAR AND REGULAR MEETING OF JANUARY 28, 2003. City Clerk Harkless reported that the recommendation is to approve the Adjourned Regular (Study Session) minutes; however, the Regular Meeting minutes are being continued to February 25, 2003. She noted that the Regular Meeting minutes cannot be discussed since they are not before Council at this time. Volume 55 - Page 617 INDEX C -3506 Zone V Emergency Backup Generator (38) Tract 12105 Tract 14533 MacArthur Blvd Widening TRM 12105 TRM 14533 Tract 15584 Newport Bluffs Apartments TRM 15584 City of Newport Beach City Council Minutes February 11, 2003 Dolores Otting asked why the minutes are not here. Ms. Harkless explained that they were not done in time to include in the packet. Jim Hildreth believed that, the way the agenda is written, it does not state Study Session minutes. In response to Mr. Hildreth's question, Mayor Bromberg confirmed that he will be able to speak on the Regular Meeting minutes for January 28 and February 11 at the next meeting. Motion by Mayor Pro Tern Ridaeway to waive reading of subject minutes, approve Adjourned Regular Meeting minutes as written and order filed and continue approval of Regular Meeting minutes until February 25, 2003. The motion carried by the following roll call vote: Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor 3- MODIFICATION OF PROVISIONS OF CHAPTER 17.28 OF TITLE 17 OF THE NEWPORT BEACH MUNICIPAL CODE (NBMC) RELATING TO VEHICLE USAGE ON PIERS AND PLAZAS. Jim Hildreth indicated that he meant to pull Item No. 4. Motion by Mayor Pro Tern RidLeway to re- introduce Ordinance No. 2003 -2 amending Chapter 17.28 of Title 17 of the NBMC and pass to second reading on February 25, 2003. The motion carried by the following roll call vote Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor 9. TEMPORARY EMPLOYMENT AGREEMENT WITH TONY MELUM. Jim Hildreth stated that he agrees with this agreement because he has asked the City to conduct an audit of Mr. Melum's office prior to his departure. He believed that Mr. Melum has not totally retired and will be allowed to continue so the items he is asking for can be found. Referencing Municipal Code Title 17, he indicated that the City is responsible for maintaining files and records of all pier permits. He noted that he has asked for documents, but they have yet to be found. He stated that he would like Mr. Melum to itemize /audit his office. Volume 55 - Page 618 INDEX Ord 2003 -2 Vehicle Usage on Piers and Plazas (85) BA -042 C -3598 Temporary Employment (38/40) City of Newport Beach City Council Minutes February 11, 2003 Mayor Pro Tem Ridgeway requested a point of order since this item is only for a temporary employment contract and not an audit of Harbor Resources. Mr. Hildreth believed that Mr. Melum should clean up his office during his temporary employment. He added that the City's money would be well spent during his part -time service to have him determine where the records are that he should have maintained. Mayor Bromberg clarified that this item is for the approval of a temporary employment agreement and that this is the issue that should be discussed. Mr. Hildreth believed that Mr. Melum's employment will be beneficial if he follows some guidelines and does what he is supposed to be doing before his departure from the department. He stated that it is within the City's and a resident's right to make sure a City employee has done the service he is supposed to have done. Motion by Mayor Pro Tern Ridgeway to 1) approve a temporary employment agreement with Tony Melum in the amount of $65/hour and authorize the City Manager to execute the agreement; and 2) approve a budget amendment (BA -042) transferring $50,000 from Account No. 2371 -7010 (Salaries — Safety) to Account No. 2371 -7020 (Salaries — Part- time). The motion carried by the following roll call vote: Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor 12. REFILLING OF VACANCIES ON THE GENERAL PLAN ADVISORY COMMITTEE. Assistant City Manager Wood reported that the resolution that established the General Plan Advisory Committee (GPAC) indicates that one of their duties is to review General Plan policies and make recommendations to the Planning Commission and Council. However, when GPAC members were recruited at the start of the visioning process, they were told that there would be a shorter term than what is needed to complete the General Plan Update process. She reported that staff polled GPAC to see how many were interested in continuing service. She noted that 27 responded that they could continue, but there are eight vacancies with a potential for two more. Ms. Wood stated that staff looked at the original applications and asked those in the districts that had vacancies if they were still interested in serving. She noted that they provided Council with a list of the 50 individuals and believed that this was a good pool of applicants. She stated that they recommend that Council ask the General Plan Update Committee Volume 55 - Page 619 INDEX General Plan Advisory Committee (24) City of Newport Beach City Council Minutes February 11, 2003 INDEX (GPUC) to review the applications and make recommendations to fill the vacancies. She noted that GPUC does not have a meeting scheduled at this time because they were waiting to see how this would unfold. Mayor Bromberg asked if a special meeting should be called. Council Member Adams, GPUC chair, suggested that GPUC hold a meeting during its next regular date (March 3). Ms. Wood reported that the seeping subcommittee is waiting to schedule their next meeting to see if the full GPUC is going to take the time slot on March 24 from 4:00 p.m. to 6:00 p.m. She believed that this time will now be used to deal with the appointments. Council Member Adams indicated that it would be helpful if GPUC was prepared to go through the same exercise that was done previously which involved the matrix and cards. Motion by Council Member Adams to direct the General Plan Update Committee to review previously submitted GPAC applications and make recommendations for the City Council to fill vacancies. The motion carried by the following roll call vote: Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor K. PUBLIC COMMENTS Jim Hildreth, The Grand Canal, stated that Tony Melum's title was Director of Harbor Resources, but now there is a Harbor Resources Manager. He indicated that, in the beginning of the year, the City provides a notice of City staff positions and asked if this was going to happen. He stated that he is going to continue to ask for the records since, according to the municipal code, pier permits are supposed to be on file with the City. He noted that he has asked for some of the ones in The Grand Canal but they have yet to be found. He believed that, if the City's municipal code states that the City is supposed to maintain and keep records, they need to be there. He added that Mr. Melum mentioned that the records are being microfiched, but they have yet to be found. Mr. Hildreth reported that the City has put together a website citing a letter complaining about a platform, but the platform had a Sea -Doo on it and had nothing to do with the access rights which he believed is a pier permitted location under the guidelines for The Grand Canal. He believed that there is no difference between the access rights for that location and the other locations in The Grand Canal. He stated that he needs to do more research into the City's history and thanked Council for allowing him to gain all this knowledge because it has been a nice and fruitful learning experience. He expressed his hope that his knowledge will keep growing and added Volume 55 - Page 620 City of Newport Beach City Council Minutes February 11, 2003 INDEX that he is looking forward to becoming more intelligent as time goes on. Dolores Otting asked what the status is regarding the Big Canyon Reservoir cover. Ms. Otting noted that, two weeks ago, there was discussion about how some Council Members are being too picky about what goes on with the Planning Commission agenda and took issue that the public cannot get an audio tape of the Planning Commission meetings. She believed that people have to ask a lot of questions because there is no other way to get information. She asked that the City spend money to allow the public to have access to information, especially since the visioning festival will go on for another year. She believed that no one can get information unless they set up an appointment to listen to the tape at City Hall. City Manager Bludau reported that, while the City is still hoping to get $1 million of Federal funding, it is moving forward with the Big Canyon Reservoir cover specifications. He also clarified that the visioning festival for the General Plan will not be continuing since it has concluded. Council Member Heffernan clarified that the City thinks there is a possibility that Federal money will be available, but emphasized that no money will be available if the City commences work since people will think that the City has the money to pay for the cover. He stated that, given the State budget, the $1 million is worth a lot this year. He assured everyone that the City is not dropping the ball or trying to put the water in jeopardy, but is trying to let the Federal process go through to get the funding to assist with the cost. Council Member Nichols stated that Council minutes are on the City's website and asked if the Planning Commission minutes can also be available online. Mayor Bromberg indicated that they are. City Clerk Harkless believed that the problem Council Member Nichols might be facing is that he needs to go back to the archived minutes for 2002. City Manager Bludau indicated that staff can work with him on this. Lindsay D'Agostino presented Council with a letter. She indicated that she has a full-time job, but does freelance work out of her home which only generates about $2,000. She reported that she received a letter asking for a business tax license registration, but requested an exemption. Mayor Bromberg indicated that City Manager Bludau or City Attorney Burnham will contact her. L. ORAL REPORTS FROM CITY COUNCIL ON COMMITTEE ACTIVITIES Ad Hoc General Plan Update Committee (GPUC). No report. Local Coastal Program Certification Committee. No report. Southern California Association of Governments (SCAG). Mayor Pro Tern Ridgeway indicated that he will be making at least once a month reports about SCAG starting next month. He reported that SCAG is a bureaucratic Volume 55 - Page 621 City of Newport Beach City Council Minutes February 11,2003 INDEX organization out of Los Angeles which represents Los Angeles, Riverside, ban Bernardino, Orange, and Imperial Counties. He stated that its main focus as a regional organization is to filter all transportation plans. He announced that the Federal government, before it gives transportation funds, requires that transportation plans go through a regional agency. He indicated that all cities and transportation agencies come together to discuss the overall regional plan. He added that, every three years, a Regional Transportation Plan and a Regional Transportation Implementation Plan cycles through. He stated that all of the subvention monies that are received through the State or Federal government starts at SCAG. He announced that there are 75 members on the Board who look at the airport plans and integrate it into the regional transportation plans. Mayor Pro Tem Ridgeway added that SCAG is also responsible for affordable housing and determining each community's obligations. He reported that they create the Regional Housing Needs Assessment (RHNA) every three years. He noted that SCAG also touches on water issues. He announced that he is a part of SCAG's aviation task force. Newport Coast Advisory Committee. Council Member Heffernan reported that Newport Coast is a difficult area because of its land mass, canyons, and fire zones. He stated that he just discovered that Newport Coast Drive and San Joaquin Hills Corridor are not owned in fee, other than by the two homeowners associations. He announced that they are not public roadways and the City does not maintain San Joaquin Hills Corridor because the homeowners association will not allow the City on the property. Council Member Heffernan reported that the committee is dealing with the fuel modification zones. He indicated that Council received a briefing during the study session about how it will soon start policing the fire hazard zones to get them into compliance. He stated that this will cost about $500,000. He noted that the City's annexation agreement does not require the City to step in and pay for maintenance of those areas until they are up to code. He indicated that the residents thought they had paid for compliance for years through their association dues, but have not gotten it. He emphasized that the City needs to bring them up to a standard which will minimize fire danger in a very high fire hazard area. Council Member Heffernan announced that the Sage Hill traffic signal is scheduled to be operational on April 15. He added that the pre- annexation agreement is going to be amended because of everything that is being discovered about Newport Coast. This will be discussed at the next committee meeting on March 3. Telecommunications Committee. Council Member Heffernan reported that the committee met yesterday and part of their agenda was to extend the existing franchises. He noted that Adelphia provides 2/3 service to the residents and Cox 1/3. He stated that there are about 27,000 cable subscribers in the City. He indicated that Adelphia's bankruptcy compounded their issues. He stated that they are dealing with a franchise agreement which allows the City a 5% fee of the residents' total cable bill. He added that, since they also use part of the City's right -of -way, the City has a say in the franchise agreement. He indicated that part of what the committee negotiates is the three public channels, access to them, and how they are used. He stated that the concerns about not being able to view Planning Commission meetings, etc. may be included by the cable company or the City can use part of its 50/6 fee to Volume 55 - Page 622 City of Newport Beach City Council Minutes February 11, 2003 provide this to the residents. Further, they are looking at the school district to use part of the time for their services through their production facilities. He indicated that the key issue is that the money be used for City purposes since the City will be receiving money. He stated that the needs assessment will try to define the residents' needs, prioritize them, and then negotiate the contracts. Finance Committee. Referencing an article in the newspaper about the property tax appeal from Mr. Pool in Seal Beach, Council Member Heffernan stated that this may mean that the City will need to pay back $5.7 million the first year, plus $2.3 million to $5 million per year if the litigant prevails. He reported that the school district may need to pay back $15 million to $18 million its first year. He stated that this has to do with the right of the assessor to reassess properties back up once they reduce its values. However, according to this lawsuit, the assessor can only increase the value on a 2% per year basis. He added that this does not include the State issues regarding the Vehicle License Fees (VLF) or the retirement contribution through PARS which could double and then triple in the next two fiscal years. Council Member Heffernan stated that it is not business as usual and there will have to be some tightening because of things that are imposed on the City. Regarding Mr. Pool's lawsuit, Mayor Pro Tem Ridgeway explained that there was a rollback of taxes over the years. He agreed that the tax assessor is limited to a 2% increase per year, but once values started to go back up, the assessor reached back and compounded the 2 %. He indicated that the constitutional limitation of 2% per year and reaching back is in question, not the fair market value. He noted that the Superior Court Judge indicated that once the annual raise is started again, they have to start with that property value and only raise it 2 %, and not include the other two percents that were waived in the prior years. Council Member Heffernan concurred and added that, since Proposition 13 is part of the constitution and not a law passed by the legislature, it can only be fixed the way it was created if it is wrong. Jim Hildreth, The Grand Canal, stated that, ever since Newport Coast has been annexed, not many people are trying to defend themselves. He asked if Cox or Adelphia is able to reach them and if the homeowners associations are getting a copy of the committee's report. M. PLANNING COMMISSION AGENDA AND ORAL STATUS REPORT 13. PLANNING COMMISSION AGENDA FOR FEBRUARY 6, 2003 [MEETING CANCELLED]. N. PUBLIC HEARING 14. CODE AMENDMENT CA 2002 -007 — LANDMARK BUILDINGS (PA 2002 -218) — AMENDMENT TO TITLE 20 OF THE NBMC TO DESIGNATE CERTAIN TYPES OF BUILDINGS AS "LANDMARK BUILDINGS" AND MODIFY RESTRICTIONS ON NONCONFORMING USES IN LANDMARK BUILDINGS. Council Member Nichols recused himself as a Council Member since he lives within 500 feet. He indicated that he does not have a financial Volume 55 - Page 623 INDEX Planning (68) PA2002 -218/ Code Amendment CA2002 -007/ Landmark Buildings (68) City of Newport Beach City Council Minutes February 11, 2003 `10013 /1 interest in the project, but will testify as a member of the audience. Planning Director Temple stated that this was generated at the direction of former Council Member O'Neil a couple of months ago. She indicated that this would add a new definition in the municipal code and create a category for 'landmark buildings". She emphasized that this designation does not constitute an official historic designation of a property that would limit a property owner's ability to tear down a building or make significant modifications. She reported that the purpose of the amendment is to allow changes of use within the landmark buildings by way of an increase or change in operational characteristics that may, under normal zoning code provisions, be considered an intensification. Ms. Temple indicated that the initial principal criteria that staff presented to the Planning Commission which would allow this type of change of use within these buildings was that there be no change or increase in the amount of required parking, unless the increase in parking was provided in association with the change. She reported that the Commission expressed concerns about how far change of use could go within the structures. She noted that this amendment would only apply to four properties in the City (Balboa Theater, Port Theater, Lido Theater, and Balboa Pavilion). She stated that the only way other properties would be included is if historic registered properties were added that were also nonconforming. Due to Commission concerns, Ms. Temple reported that staff looked at the proposed code change and added a provision in which no more than 25% of the gross floor area of the existing nonconforming building could be converted or intensified in the change of use and operational characteristics. She stated that, with this change, the Commission recommended approval to Council. She reported that a theater is a use that currently requires a use permit and noted that none of the theaters previously mentioned have use permits because they were established before it was a requirement of the code. She explained that, if a property owner wanted to add an additional characteristic, like enhanced food service, or if they wanted to intensify a type or style of live entertainment, they can do so but only if the portion of the property that is intensified is no more than 25% of the floor area. This change can be done without the approval of a new use permit. Council Member Adams stated that entitlements are usually done through a use permit process which allows the City to include conditions that provide remedies for problematic uses. He asked if addressing the change in designation would limit the City's ability to have a remedy for a future problem, i.e. parking, noise, and hours of use. Ms. Temple stated that the Commission was concerned about the potential for these problems and wanted to ensure that certain types of permits that the City would normally require would still be required despite not needing a use permit for the establishment of the use. She clarified that, if a restaurant was added to a theater, this could be done but requires a use permit pursuant to the Alcoholic Beverage Outlet (ABO) ordinance if they wanted to serve alcohol. Further, they need a live entertainment permit if they wanted live entertainment. She Volume 55 - Page 624 City of Newport Beach City Council Minutes February 11, 2003 INDEX emphasized that the code provisions regarding ottenses and nuisances would still be applicable and be dealt with through normal channels. She added that the establishment of the use would not have a use permit but, if a use became problematic, the City would need to use other parts of the code to deal with it. Council Member Adams asked if the City could use this process to impose blanket conditions on the land use designation. Ms. Temple indicated that Council can add limitations in order to qualify for this exemption. She stated that the Commission wanted to ensure that they will not lose the ability to approve /deny an ABO or live entertainment use permit, so they crafted the language so those types of permits would still be applicable. She stated that, if there were other specific operational characteristics that Council did not want to exempt, they need to be specified in the ordinance. Council Member Adams asked if exceeding a certain hour for alternative uses over the status quo requires discretionary approval by the Commission. Ms. Temple indicated that Council would need to state that the exemption would only apply up to the designated hour and they would have to come back for a conventional use permit anytime after that. Mayor Bromberg stated that the Balboa Theater was built around 1928. Ms. Temple indicated that she is unsure when the Port or Lido Theaters were built, but noted that the three theaters were built before December 12, 1950. Council Member Webb reported that the Lido Theater was built in 1939. Mayor Bromberg noted that the Port and Balboa Theaters have not operated for a while, but asked if their uses ever changed while they were operating. Ms. Temple believed that all three theaters fall in the "cinema" use classification in the zoning code, but there is question as to whether one or more of them may have had live entertainment. She indicated that, if the property owner wanted to claim that as an existing nonconforming use, they would have to present the City with evidence proving that this was an already authorized nonconforming use. She reported that the Port Theater and Lido Theater are in retail service /commercial districts and the Balboa Theater is in the Balboa Specific Plan. In response to Council Member Heffernan's questions, Ms. Temple reiterated that staff was requested to work on this by former Council Member O'Neil, but he did not suggest the four properties being discussed tonight. She explained that staff was given broad direction and came up with this strategy as a way to address the request. She stated that one of the reasons they suggested this strategy was to limit the number of properties it would apply to. Regarding the 25% provision, she stated that staff wanted to make the number large enough to allow a realistic supplemental use, but smaller than 50 %. She noted that the Commission was concerned about the additional use overtaking and becoming the principal use. Council Member Heffernan asked, if a theater removes a mezzanine, whether the 250A applies to what they end up with or what they started with. Ms. Temple indicated that this would need to be clarified. Council Member Heffernan asked what the existing rule is about how long a building can go dark and still have the permits in place for the Volume 55 - Page 625 City of Newport Beach City Council Minutes February 11, 2003 INDEX use rights. Ms. Temple indicated that nonconforming rights would go away after 180 days, but they can maintain their nonconforming right if the property owner made efforts to continue the use. She noted that the Balboa Theater has different circumstances because it is a City property and the City has been actively pursuing changes to the building. She indicated that staff would document the situation related to the provisions and make sure it qualifies for the exemption. She confirmed that, since the root of the exemption applies to the preexisting cinema use, a condition of the alternative 25% use is that they maintain the principal nonconforming use. She also confirmed that the Port Theater does not have to comply with the 3:1 parking ratio that applies to a new cinema and would be allowed to open the cinema as is. Dick Nichols, Corona del Mar, referenced Exhibit A of the proposed ordinance (handwritten page 8). He stated that items 1 to 4 are parallel but are subject to interpretation, and that it is not clear if item 1 applies to items 2 to 4. Further, it is not clear if items 2 to 4 are subordinate to item 1 because of the exception and it is not clear if they are independent phraseologies. He reported that the Port Theater opened in 1949, has 900 seats, and has to be able to park up to 300 cars. He indicated that, if they went beyond that with some new use and need 400 cars, then they would have to have parking for another 100 cars. Mr. Nichols stated that the City went through a community development process for a General Plan and noted that this was not included in any of the hearings. He indicated that, during the visioning process, definitions were generated and comments were gathered about what people wanted in their communities. He added that workshop participants commented that they wanted to limit the growth of business in Corona del Mar. He noted that the theaters would be able to change its design, which is different than the historic model which states that it is the building that is being preserved. Mr. Nichols stated that the visioning process also looked at areas needing revitalization, but noted that Corona del Mar was not included. He indicated that, if this is part of Corona del Mar's revitalization, no one asked for it. He noted that mixed use areas were discussed and believed that this would combine more business with residential areas. He added that Corona del Mar was excluded from these discussions. Shirley Conger believed that Paris, France, is probably the most beautiful city in the world because of the many imposing public buildings, art galleries, museums, and large public gardens. She noted that this publicly financed beautification attracts tourists that support the many businesses. She stated that the Corona del Mar business district does not reflect the quality of the surrounding residential area and is pedestrian unfriendly. Further, traffic speeds through and frequently runs red lights. She reported that she attended the charrette a few years ago in which alternatives were presented, like sidewalk cafes and roadside parks with no impedance of traffic. She stated that she appreciates that the City has done some improvements, like add trees, and that the businesses have modernized some of the buildings; however, she feels more needs to be done. She believed that Volume 55 - Page 626 City of Newport Beach City Council Minutes February 11, 2003 INDEX a reopened Port Theater can become the crown jewel and attract more visitors, especially in the evening when there is no parking problem. She stated that, even though the building is closed, the Port Theater is an attractive building, but with some renovation could become a magnet to come to Corona del Mar. She believed that the Port Theater deserves landmark status and public support from the City. Oliver Winn, 422 Heliotrope Avenue, presented Council with a copy of a letter highlighting his position and a copy of his comments. He indicated that he has no objection to the Balboa, Lido, or Port Theaters, noting that he attends the Lido Theater regularly as he did the Port Theater when it was operating. He stated that the theaters present carefully selected out -of- the - mainstream films of high quality and entertainment value. Further, films are shown over a long period of time so viewers are spread over time rather than being concentrated in a few days. He pointed out that the Balboa and Lido Theaters have adequate parking; however, Corona del Mar has developed over the years to the point where there is no public parking near the Port Theater. He expressed concern that the "landmark" designation has nothing to do with the protection of the theaters, but is a relaxation of zoning /development rules and is misleading. He stated that, considering the concentrated nature of Corona del Mar, the City should never relax any rule. He noted that the rules are not forbidding and are the ones that Council handles everyday. He took issue with how this got started and believed that this should not have come before Council. He reitereated that, if there is no protection for the buildings, this is just a relaxation of rules. He requested that the City use its full review prerogative to give the public a chance to comment on each location. He suggested that Council reject this for the Port Theater. Luvena Hayton, 235 Poppy, stated that there is a Corona del Mar posse in attendance tonight to ensure justice is served and the Port Theater is saved. She indicated that the theater has sentimental value and will help the business community. Further, it will be great to get it cleaned up. Donald Glasgow, Corona del Mar businessman, stated that he has been an active member of the Corona del Mar Chamber of Commerce for 12 years, owned/operated a business on East Coast Highway for ten years, and is the co- founder and immediate past chairman of the Corona del Mar Business Improvement District (BID). He noted that two questions he is asked are, "When is something going to be done about the Port Theater ?" and 'What is the status of Vision 2004T Regarding the Port Theater, he indicated that he responds that his hope is your hope. He added that he does not know of a more important subject in the Corona del Mar village than to see that the Port Theater reopen for film showings and other performing arts. He believed that he speaks for an enormous number of people when he requests to get on with the show by remodeling the Port Theater and reopening it to the public as soon as practical. He emphasized that they have seen enough of how it should not look, noting that it has been a blight on the community for too many years. He stated that this is the opportunity to do something Volume 55 - Page 627 City of Newport Beach City Council Minutes February 11, 2003 INDEX positive for this local community treasure. He requested that Council approve the landmark building designation which includes the Port Theater. Ray Halowski, Corona del Mar resident, stated that he is a fan of the Port Theater, but asked what the benefit of the amendment is to the owner and if this means they will actually open it. He also asked what the benefit is to the residents and the City. He requested that these questions be considered before voting on this issue. Mayor Bromberg announced that he received a letter today from the Corona del Mar Chamber of Commerce supporting this because they feel that the Port Theater would bring much needed business to Corona del Mar. BJ Johnson, 23 Canyon Crest Drive, stated that she is the chair of the resident's association. She noted that she sent the Commission a letter and received confirmation that Council also received a copy. She indicated that, at their November 1, 2002 meeting, the Corona del Mar Residents Association voted to support the landmark theater zoning code amendment. She emphasized that the Port Theater is not asking for financial support. She reported that, while getting new tires in Corona del Mar, the owner's son told her that he was neutral about the theater but would like them to figure out how they would clean up their parking lot if they use it at night. She pointed out that there are parking lots that could be used by the theater at night and assumed that the theater would use some of these spots so it does not impact residents. Ms. Johnson noted that, if the Port Theater is torn down, then a new building would be built and parking would still need to be contended with during the day and night. She reported that, if the theater reopens, she heard that the plan is not to have a 900 seat theater. She expressed her hope that Council support this. Council Member Heffernan stated that this all presupposes that the existing use permit for cinema use is valid and that the owner can prove that it was used as a cinema within the last six months. He asked if this has happened because, if it has not, this designation does not apply. Ms. Temple indicated that it is her understanding that, from time -to -time, films are run in the Port Theater but staff still needs documentation. Council Member Heffernan noted that the property owner is not here asking for this. Ms. Temple reiterated that staff prepared the ordinance based on a request by Council. She stated that she has not heard from the property owner of the Port Theater, but they were noticed. She reported that the owner of the Lido Theater testified at the Commission meeting. City Attorney Burnham noted that Council Member Heffernan mentioned a use permit for the Port Theater, but clarified that they have nonconforming rights. Mayor Bromberg announced that he received a telephone call today from the Executive Director for the Balboa Theater who indicated Volume 55 - Page 628 City of Newport Beach City Council Minutes February 11, 2003 support for the ordinance. INDEX Mayor Pro Tern Ridgeway clarified that the proposal is not to give 25 %+ floor area, it is in lieu of, which means that, if they go to another use, they have to delete part of the existing use. He asked, if an applicant surpassed the 25 %, whether that person comes in under a use permit application. Ms. Temple confirmed that they would need to apply for a use permit since they exceeded the limits of the exclusion. John Loper, Fritz Duda Company, 3425 Via Lido, stated that he is Vice President of the California Division and that they are the managers and owners of Via Lido Plaza, which includes the Lido Theater. He noted that he spoke at the first Commission meeting. He reported that the theater was built in 1939, the Fritz Duda Company is the second owner, and he managed the renovation of the theater after Edwards Theaters closed it. He stated that the theater is a historic structure and they are proud that the renovation was completely done via private money so they could reopen the theater to provide first -run movies that can only be seen in the City. He reported that they support the landmark buildings code amendment and feel it will be beneficial for their operators and the other theaters because it will allow them the flexibility to operate the theater in order to compete with the multiplexes. He emphasized that it is difficult to make a single screen theater work because taxes, insurance, and maintenance expenses are often more than the rent. He believed that allowing flexibility without going through an extensive, expensive public hearing process for minor changes to a small amount of square footage for full- service food use or additional entertainment venues in conjunction with showing a movie would be helpful in keeping the Lido Theater and the other theaters open and a viable business. Mr. Loper reported that, when they were renovating for two months, the restaurants in the shopping center and surrounding area saw a noticeable affect. He emphasized that any changes in the code will not increase the overall parking that was required if it was just run as it is now. Mr. Loper noted that the Lido Theater has varying hours of operation depending on the movie. He stated that it could open prior to 11:00 a.m. and, if there are longer movies, they play past midnight. He added that they are also one of the homes for the Newport Beach Film Festival and the largest venue for their major screenings. Further, their stage has historically been used for live performances in conjunction with a movie. He stated that they would like to continue to do this. Val Skoro stated that he is a longtime Corona del Mar resident and has been involved with many of the resident associations, the BID, and the Chamber. He stated that the Port Theater has been sitting as it is for years and believed that it is time a decision is made. He expressed the opinion that the code amendment is a vehicle where they can do something and urged Council to pass the ordinance. Dolores Otting read a letter from Novell Hendrickson that was in the Daily Pilot today. She stated that the question is not whether the Port Theater is to remain or be demolished, but the real issue is the Volume 55 - Page 629 City of Newport Beach City Council Minutes February 11,2003 .l proposed zone code amendment. 6he continued by stating that the property owners did not initiate the process and that only a Lido Theater representative responded at the Commission meeting. She asked if the nonconforming structures and use code should be short circuited by the amendment which would give the three theaters special status by bestowing "landmark" on the buildings. She stated that the most troubling part is the elimination of the use permit process that allows public hearings. She asked if the owners of the theaters should be able to use a portion of their building as a cabaret, cyber cafe, nightclub, arcade, restaurant, bar, or other similar uses that could present noise, parking, and police problems without having to obtain a use permit. If Council approves the proposed amendment, she believed it would mean that any of these uses can be put in place without input from the neighbors, there would no longer be a review by an elected body, and the Planning Department would make all the decisions. Further, the visioning process which allowed for public involvement appears to be very important to Council; however, this proposed amendment disenfranchises the public who may be impacted by changes in their village's character or neighborhood. Noting that Council denied a driveway widening at 433 Fernleaf two weeks ago, Ms. Otting took issue that the City is going to let anyone open a bar, etc. without a use permit. Council Member Adams stated that he received an email from the author of the letter. He indicated that the short circuiting of the public process was a concern to him, but this is just like lumping together four use permits at one time. He stated that the City needs to ensure it is considering all the impacts just as if this was a use permit. He believed that this is not short circuiting the process because this guarantees a Council hearing; however, if these were use permits, this would stop with the Commission unless it was appealed. Council Member Adams expressed the opinion that the benefit to the public is that the landmark buildings could be restored with private money and be a viable use to the communities in the same way they were years ago. He stated that using the buildings as theaters is not financially viable so some flexibility needs to be given in terms of land use to motivate the owner to make a significant investment in the structure and make it usable. Council Member Adams indicated that he is generally in favor of this, but expressed concern regarding the parking impacts, particularly in Corona del Mar. He stated that, if the Port Theater opened as a 900 seat theater and was well attended, it would overwhelm the neighborhoods and there would be nothing the City could do; however, this is not occurring now. He indicated that, if the owner decides to invest in the theater, there will be a significant change in parking. He believed that the City needs to think about what it needs to do to mitigate this. He stated that, if he supports this, he would like some confidence that the parking issue will be addressed in some way. Mayor Pro Tem Ridgeway agreed that the benefit to the community at large is the saving of a building that was built in 1949. He stated that he attended the Port Theater on numerous occasions and reported that Volume 55 - Page 630 City of Newport Beach City Council Minutes February 11, 2003 INDEX it is used as a venue for the Newport Beach N'ilm N'estival. lie believed that the days of 900 seat theaters are gone, but he wants to create an environment where the Port Theater building could be saved. He reported that he has seen a plan, which did not come from the owner, to rehabilitate the building. He indicated that the plan reduces the seats from 900 to 300, provides for a small bar and eating area upstairs to be patronized by the people going to the movie theater, and possibly with a small coffee shop downstairs. He noted that, with a 300 seat theater, the maximum number of parking spaces needed is 100. After reading the inventory of parking, Mayor Pro Tern Ridgeway believed that there is more than ample parking for the theater in and around the Corona del Mar village, especially after 6:00 p.m., but may be more problematic during the weekend. He reported that the Lido Theater runs more art films and foreign films, and that they draw about 150 people. He believed that the same amount of people will patronize the Port Theater. He agreed that the theater needs revitalization and that he would support the plan he saw since it renovates the entire theater and does not put a severe demand on the parking in the neighborhood. Mayor Pro Tern Ridgeway indicated that he has concerns about the hours of operation. He stated that he is supportive of the landmark status, noting that he talked to the owner of the Balboa Pavilion and briefly with the owner of the Lido Theater. He believed that this is a benefit, but emphasized that this does not ensure that the buildings will be saved. He added that he is pleased that the residents association and business district supports this. Council Member Heffernan expressed concern that the applicant is not here. He stated that the City is trying to entice an absent owner to do something when he does not have to do anything. He believed that, if the City is going to do this, there should be conditions added that ensure that the theaters qualify under the preexisting cinema license, that cinema use be continued, and that the 25% provision be the modified floor area which leaves 75% for cinema use. He stated that he assumes that, within the cinema use, they could split the area and make a two screen cinema out of the single screen theater since it is still a cinema use. He expressed concern that this is all for nothing because the owner cannot justify that the theater has been used intermittently to sustain the prior cinema use right. He indicated that he understands that there would be no preexisting entitlements and they would need to come back with a new plan and qualify as a permitted use. Ms. Temple explained that the code does have that as part of the provision, but there are other provisions that allows the continuation of a nonconforming use if the owner has shown a diligence in maintaining the use. Council Member Heffernan asked if there is anything that prevents the City from creating a landmark ordinance for the Port Theater for a specific redevelopment plan/use when the owner brings in a detailed plan. Mr. Burnham reported that Council can adopt zoning ordinances that confer a substantial public benefit and apply it to similarly situated properties; however, the courts have been reluctant to approve "spot zoning" in which specific zoning provisions are applied to a single parcel. Volume 55 - Page 631 City of Newport Beach City Council Minutes February 11, 2003 INDEX Council Member Adams asked if this ordinance can grant continuance of nonconformance for these uses. Mr. Burnham stated that Council would have to reintroduce and renotice. He believed that Council can do that if it were included as part of the notice but Council would need to apply standards Citywide to whatever properties would be affected. He added that Council can develop a new standard for nonconforming uses as the legislative body. Council Member Adams asked if Council could override the continuation of nonuse provision if it was determined that there was public interest in retaining the uses of these buildings as a theater. Mr. Burnham confirmed that Council can establish special provisions for theaters. Council Member Adams agreed with Council Member Heffernan that this seems inappropriate to be considering this without at least concurrence from the property owners of all four parcels. He stated that considering a land use change for these buildings without at least having a letter from the Port Theater or Balboa Pavilion is odd. Mayor Bromberg indicated that the discussions seem to be focusing on the Port Theater and asked those in attendance regarding the theater to raise their hand. He expressed hope that the Port Theater building is saved because so much of the evidence of the City's history is disappearing. He noted that the theater is about 18,000 square feet and is zoned retail - commercial. He expressed concern that, if it is torn down, 18,000 square feet of retail - commercial can be built which means that it might be bad for parking in the area. He emphasized that there is no project before them. He noted that the Balboa and Lido Theaters indicated support. Mayor Pro Tern Ridgeway added that he spoke to Mr. Black of the Balboa Pavilion who indicated his support, but pointed out that this was not an important issue to him because he has other statuses that protect him. Mayor Bromberg believed that the project Mayor Pro Tern Ridgeway described earlier sounded great and would mitigate any traffic concerns. He indicated that he could support this tonight but suggested continuing this in order to get a letter from the Port Theater owner. Council Member Adams supported a continuance to get a letter, but added that he would also like to see the 25% gross floor area condition clarified. Further, he recommended that the theaters remain one screen cinemas, that the owners be required to retain the substantial preservation of the building fagade or at least the essence of the look and feel of the fagade, that some type of discretionary approval of a parking plan be explored, and that any hours of operation past midnight require discretionary approval to protect the Corona del Mar neighborhoods. Mayor Bromberg stated that he is looking forward to supporting this, but he needs to hear from the owner, not an intermediary unless it is their legal representative. He indicated that the owners do not need to provide a project. He noted that a phone call also works. Mayor Bromberg indicated that he is unsure whether he wants to tell a business how to keep its fagade, but he is open to listening to anything. Volume 55 - Page 632 City of Newport Beach City Council Minutes February 11,2003 INDEX Regarding the ordinance, Council Member Webb explained that the restrictions on nonconforming uses and structures are defined to discourage the demolition of landmark buildings and to encourage their adaptive uses. He stated that this tells him that the City is trying to do something to keep the buildings around. He also agreed with Council Member Adams' comment that, if the buildings have a significance to the community, the City should try to preserve the fagade. Mayor Bromberg asked if any of the buildings would lose its landmark status if it were torn down. Ms. Temple stated that it would depend on how the final language of the code is written. She noted that, currently, the code does not require preservation of the building. She stated that, if a building is torn down, it may not lose its nonconforming use, but in most cases they are also nonconforming with regard to floor area. She reported that the Balboa Theater is trying to save enough of the building to maintain its nonconforming right. She believed that the code could either be for preservation or refurbishment/reinstatement. She noted that staff can structure the code with as much strength or flexibility as Council desires. Motion by Council Member Adams to continue the item to February 25, 2003. Mr. Burnham indicated that he assumes that the motion will include a request of staff to draft language to deal with fagades, parking, a nonconforming use definition, and hours of operation. He reported that the ordinance will be reintroduced after a straw vote of Council to integrate those changes into the ordinance. Mayor Bromberg requested that staff also contact the owner of the Port Theater. Council Member Heffernan asked that staff also find out what prior cinema use /activity has happened to sustain the existing use right. Council Member Adams indicated that, if this is problematic for the Port Theater, he feels strongly enough about preserving the building that the ordinance deal with the nonconformance issue. Council Member Heffernan stated that this probably should be dealt with because he feels the building has not been used for a long time and that the exemption is going to be hard to get unless Council creates something within the ordinance to expand what would otherwise apply. Mayor Bromberg suggested that Council first see whether there is interest from the Port Theater owner. Council Member Webb suggested that this item be continued to the fast meeting in March so staff has more time to work on the wording. Amended motion by Council Member Adams to continue the item to the March 11, 2003 Council meeting; and direct staff to redraft the ordinance for introduction to deal with fagades, parking, and hours of operation, and include a nonconforming use definition. The amended motion carried by the following roll call vote: Ayes: Heffernan, Ridgeway, Adams, Webb, Mayor Bromberg Noes: None Abstain: Nichols Volume 55 - Page 633 City of Newport Beach City Council Minutes February 11, 2003 M Absent: Proctor 15. APPOINTMENTS BY THE CITY COUNCIL TO ENVIRONMENTAL QUALITY AFFAIRS CITIZENS ADVISORY COMMITTEE, COASTAL/BAY WATER QUALITY CITIZENS ADVISORY COMMITTEE AND THE AVIATION COMMITTEE (contd. from 1/28/03). Mayor Bromberg stated that the Aviation Committee appointments need to be cleaned up, not everyone is ready to make EQAC appointments, and EQAC is having a subcommittee meeting in two days which may provide recommendations regarding Council Members' district appointments. Motion by Mavor Brombere to 1) continue the appointments to the Environmental Quality Affairs Citizens Advisory Committee and the Coastal/Bay Water Quality Citizens Advisory Committee to the March 11, 2003 Council meeting; and 2) direct the City Clerk to solicit additional applications for the Aviation Committee and continue the appointments until March 11, 2003. Council Member Nichols asked if the rules are going to apply to every committee. He also asked whether each Council Member appoints someone from the district for both the primary and alternate positions for the Aviation Committee and whether there needs to be a majority vote of Council. Mayor Bromberg confirmed that this is the procedure for the Aviation Committee. Regarding EQAC, he clarified that each Council Member has a district appointment in which the person must live in that Council Member's district and each has an at -large appointment that can live anywhere in the City. He confirmed that those appointments are subject to majority approval by Council and added that all commission and committee appointments are voted on by Council. He indicated that, after each Council Member makes its appointments, Council generally votes on all the appointments at one time. Council Member Nichols believed that this means that the Council majority basically makes the appointments since they can cancel out anyone they do not like. Mayor Bromberg indicated that, some time ago, a Council Member made an indication that he was going to appoint someone to a committee but most of Council did not want that to happen so it did not happen. He stated that it is rare to see Council turn an appointment away. The motion carried by the following roll call vote: Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor Volume 55 - Page 634 INDEX Appointments to EQAC, Coastal/Bay Water Quality, and Aviation Committees (24) City of Newport Beach City Council Minutes February 11, 2003 W 16. GENERAL PLAN AMENDMENT (GPA) INITIATION NO. 2003- 001 (PA2003 -010) — GPA TO INCLUDE SELF - STORAGE FACILITIES IN THE RANGE OF PERMITTED USES IN THE CAMPUS DRIVE AREA OF STATISTICAL AREA L4 (AIRPORT AREA). Council Member Heffernan recused himself due to a conflict of interest. He announced that his law firm represents Cardinal Development who may be a potential operator. Planning Director Temple clarified that the General Plan Amendment process starts with a procedure called initiation. She stated that initiation allows the Planning Commission and Council to look at a project concept before any detailed environmental, traffic, or parking studies are conducted. She indicated that this also assists in finding out whether the applicant can proceed with the studies in confidence knowing that consideration might be given to the amendment. She emphasized that, by choosing to initiate a General Plan Amendment, Council is not committing the City to actually approving the amendment. Ms. Temple stated that this is a request from a property owner to add self- service storage uses to the list of uses permitted in the General Plan. She noted that there are a couple of areas in the City in which the City has made this specific provision. Dan Perlmutter, 26 Mission Bay Drive, applicant, stated that he has owned the property for ten years which was once known as the Newport Industrial Complex. He added that the building was built in 1962 and has had only one tenant, Edler Industries. He reported that, 1%: years ago, the building became vacant and they were challenged to find the best project that would be useful to the area, make financial sense, and be beneficial to the City. He stated that prospective businesses, like automotive users, brokers, etc., were brought to the site to look at the four acre property. He utilized photos from the roof of the building to show that the building is in the middle of the large jets' take off pattern at John Wayne Airport (JWA), is within 200 yards of the runway, and the smaller planes take off about 300 to 400 feet away and fly over the building. He added that the small planes are parked near them and the building rocks when the planes take off. Mr. Perlmutter reported that they tried to get an automotive dealership, but it has been difficult and they do not have an offer. He added that major retailers will not go there because there are no residents in the area and the people who work in the area leave at 5:00 p.m. He stated that 100,000 people work in the immediate area who need services. Mr. Perlmutter indicated that, when the storage facility idea was brought to the City, staff agreed to it as long as a mixed use project was built and they preserve some of the existing building. He displayed the design and indicated that they are proposing to remove the front of the Volume 55 - Page 635 .l PA2003 -010 GPI 2003 -001 Self- Storage Facilities (68) City of Newport Beach City Council Minutes February 11, 2003 INDEX existing building and connect the two sides to provide service retail, including fast food. Further, they wanted to put in self storage which is greatly needed for the businesses and the future apartments in the area. He reported that the proposal will bring in tax revenue for the City and makes sense. He noted that the facility will be state -of- the -art and will not be a metal facility. He stated that there is already self storage a block away from him but it is not in the General Plan. He indicated that this is actually just a text amendment they want to initiate. In response to Mayor Pro Tem Ridgeway's question, Mr. Perlmutter stated that businesses like Home Depot, Lowes, Office Depot, and a sporting goods store have shown an interest in the property, but when they study the area, it is determined it is not a retail area. He stated that they can put a hotel or hospital on the property, but the airport impact is still the same. Mayor Pro Tem Ridgeway stated that he spoke to Mr. Edler and asked whether Mr. Edler owned the building. Mr. Perlmutter confirmed that Mr. Edler previously owned the building and he owned the land. He noted that Mr. Edler vacated the building in September 2001 and they purchased his rights. He added that they terminated Mr. Edler's lease almost a year ago. John Petry, 43 Royal Saint George Road, stated that he has been working as a consultant with Mr. Perlmutter for about 1% years. He expressed concern about waiting to make this change with the General Plan Update since the building has been vacant for over a year, providing no income, and the General Plan Update will be complete later than sooner. He requested that Council initiate this so they can move forward. He believed that a self storage facility allows about 17,000 to 18,000 square feet of outbuildings that may or may not include a fast food restaurant and is the retail that is currently approved in the zone. He emphasized that approval allows a property owner to move forward with his property. John Dewey stated that he is a commercial mortgage banker and a real estate feasibility consultant. He indicated that he is not employed by Mr. Perlmutter but may be interested in being one of his storage tenants. He stated that his office is located at 3720 Campus Drive and looks directly at the end of the runway. He added that he likes the location of his office because the rent is probably half of what it is for buildings on MacArthur and Jamboree since it rattles when the planes take off. He noted that his building has been vacant for four years probably for the same reasons that the area has been a challenge for new office developments. Mr. Dewey pointed out that his building is an older building, but his landlord does not plan to upgrade or make it more attractive to try to lease the vacant spaces for another 15 years because that is the term remaining on his deed restriction that limits density with The Irvine Company. He noted that most of the corridor between Campus and Birch has this type of deed restriction. Mayor Bromberg clarified that Council will not be voting on whether or not they will be amending the General Plan, noting that Mr. Dewey is Volume 55 - Page 636 City of Newport Beach City Council Minutes February 11, 2003 statmg a case for the project. Mr. Dewey believed that there is wisdom in considering this General Plan Amendment and not delaying it for inclusion in the broader General Plan Update discussion. He stated that, when you look at the compatibility of this proposed use, it makes sense with the area's synergy and supporting commercial uses. Further, Council will find that the City is limited in the types of uses that make economic sense in that area. He indicated that it will be problematic to find tenants who will put up with the noise. Mr. Dewey added that a storage facility will have negative traffic impacts. Regarding the economic feasibility and market demand, he indicated that the City has about four square feet of storage space per capita, compared to Irvine which has about 13 square feet per capita. Motion by Council Member Adams to 1) approve General Plan Amendment Initiation No. 2003 -001 and direct staff to include the discussed land use change in the amendment. The motion carried by the following roll call vote: Ayes: Adams, Webb, Nichols, Mayor Bromberg Noes: Ridgeway Abstain: Heffernan Absent: Proctor 17. SUTHERLAND TALLA HOSPITALITY RESORT PROJECT REVIEW AD HOC COUNCIL COMMITTEE. Assistant City Manager Wood reported that the agreement with Sutherland Talla Hospitality required them to provide the City with planning documents for their proposed project in January. She stated that, when they turned in the project, it only included 110 hotel units as opposed to the 147 that was proposed to Council when it initiated the General Plan Amendment and zone change. She indicated that Council may need to consider whether to proceed with the project at that level. Further, staff feels that they have not given themselves enough time to conduct the initial environmental study that is required for the project. She stated that they are recommending that an Ad Hoc City Council Committee be formed to look at those issues and any others they feel are appropriate, and return with a report to Council on February 25. Mayor Bromberg stated that there have been a number of revisions to the project, the Council committee will review everything that has occurred, and will bring back a recommendation to Council. He pointed out that this has to be done quickly since they are supposed to return in two weeks. He emphasized that the motion has no relationship to the project itself, but is just to appoint the committee. He reported that he will be appointing himself as the chair, along with Mayor Pro Tern Ridgeway and Council Member Webb. Volume 55 - Page 637 INDEX Sutherland Talla Hospitality Resort Project Review Ad Hoc Council Committee (24) City of Newport Beach City Council Minutes February 11, 2003 INDEX Dolores Otting asked if the meeting will be open to the public and when it will occur. She added that the committee looks like a stacked deck and does not include any residents. Mayor Bromberg indicated that a date for the meeting has not been set because there is no committee yet. He stated that the meeting is not open to the public and no residents will be on the committee. He assured everyone that there is nothing devious going on and that the committee includes three of the seven policy makers to review what has happened to date. He emphasized that nothing more or less will happen and noted that the committee is not a debatable committee. He added that Mr. Sutherland is not even invited to the meeting and that only the three Council Members, the City Attorney, and the City Manager will attend. Motion by Mayor Bromberg to appoint himself as the chair, Mayor Pro Tem Ridgeway, and Council Member Webb to the Ad Hoc Committee to review the proposed project and return to Council on February 25, 2003 with recommendations regarding any modifications to the proposed project and/or the agreement. Council Member Heffernan noted that there are two Greenlight- elected Council Members but neither of them are on the committee. He stated that this is a substantial project which has been the subject of election and Greenlight discussions. He requested that one of the members be a Greenlight- sponsored Council Member. Mayor Bromberg reported that he spoke with a member of the Greenlight Steering Committee who specifically asked that Council Member Webb be appointed. He noted that the committee was initially going to consist of only two people. He reiterated that this is not an action committee, but a committee that looks at existing documents. Council Member Heffernan took issue with Mayor Bromberg appointing Council Member Webb at the request of a Greenlight Steering Committee Member when he, as a Council Member, is asking him to appoint a Greenlight- elected Council Member. Mayor Bromberg emphasized that the project is highly controversial but the committee will not be because they will not be doing anything controversial. Tom Hyans, President of the Newport Beach Community Association, reported that he was the person who asked Mayor Bromberg to appoint Council Member Webb to the committee after he was told that the Mayor and Mayor Pro Tem were going to be appointed. He indicated that he told Mayor Bromberg that Mayor Pro Tem Ridgeway is in favor of the project, but Council Member Webb is not. He expressed the opinion that there are issues that transcend Greenlight, noting that there are ordinances that control the project from the voter's perspective that were in place long before Greenlight. He thanked the Mayor for his appointments. Mayor Bromberg stated that he is on the fence regarding this project and believed that this is a great committee since there is someone for and against the project, and a person who is on the fence. Mr. Hyans noted that he is not talking to Council today as a Greenlight representative. Volume 55 - Page 638 City of Newport Beach City Council Minutes February 11, 2003 Council Member Nichols requested that at least two hearings occur regarding the committee's decision so the education can get out to the people and so there can be feedback before a decision is made. He asked that all the issues be fully heard. Mayor Bromberg stated that this is the purpose of the committee. He believed that the first meeting will get the issues out and the second can be used to get consensus since this is a controversial issue. The motion carried by the following roll call vote Ayes: Heffernan, Ridgeway, Adams, Webb, Nichols, Mayor Bromberg Noes: None Abstain: None Absent: Proctor Q. MOTION FOR RECONSIDERATION — None. R. ADJOURNMENT — at 9:45 p.rrL in memory of Don Means. The agenda for the Regular Meeting was posted on February 5, 2003, at 2:00 p.m. on the City Hall Bulletin Board located outside of the City of Newport Beach Administration Building. City Clerk Recording Secretary Mayor Volume 55 - Page 639 INDEX