Loading...
Minutes 2010-03-23 MINUTES REGULAR MEETING OF THE CITY COUNCIL/REDEVELOPMENT AGENCY TUESDAY, MARCH 23, 2010 COUNCIL CHAMBERS, 215 EAST BRANCH STREET ARROYO GRANDE, CALIFORNIA 1. CALL TO ORDER Mayor /Chair Ferrara called the Regular City Council /Redevelopment Agency meeting to order at 7:02 p.m. 2. ROLL CALL City Council /RDA: Council /Board Member Chuck Fellows, Council /Board Member Ed Arnold, Mayor Pro TemNice Chair Jim Guthrie, and Mayor /Chair Tony Ferrara were present. Council /Board Member Joe Costello was absent. City Staff Present: City Manager Steven Adams, City Attomey Tim Carmel, Director of Legislative and Information Services /City Clerk Kelly Wetmore, Director of Administrative Services Angela Kraetsch, Director of Recreation and Maintenance Services Doug Perrin, Chief of Police Steve Annibali, and Community Development Director Teresa McClish. 3. FLAG SALUTE Members of Cub Scout Pack 13, Den 8 led the Flag Salute. 4. INVOCATION Pastor David Burgeson, First United Methodist Church, delivered the invocation. 5. SPECIAL PRESENTATIONS 5.a. Honorary Proclamation Declaring April 2010 as "Month of the Child" and "Child Abuse Prevention Month ". Mayor Ferrara presented an Honorary Proclamation declaring April 2010 as "Month of the Child" and "Child Abuse Prevention Month ". Mariela Ruelas from Community Action Partnership (formerly EOC), Child Care Resource Connection, accepted the Proclamation. 5.b. Presentation of Friday Night Live Program by Arroyo Grande High School Students (San Luis Obispo County Drug & Alcohol Services). A group of Arroyo Grande High School students gave a brief presentation of the Friday Night Live (FNL) Program, California's leading youth development and substance abuse prevention program. She spoke of the group's efforts as part of the FNL Program to create awareness and change around alcohol, tobacco, and other drug and violence issues affecting the youth of San Luis Obispo County. 6. AGENDA REVIEW 6.a. Ordinances Read in Title Only. Council /Board Member Fellows moved, Council /Board Member Arnold seconded, and the motion passed unanimously that all ordinances presented at the meeting shall be read by title only and all further readings be waived. Minutes: City Council /Redevelopment Agency Meeting Page 2 Tuesday, March 23, 2010 7. CITIZENS' INPUT, COMMENTS, AND SUGGESTIONS Ira Hughes, Canyon Way, expressed concerns about the proposed City Hall project; the total cost of project; the proposed parking lot project behind the Council Chambers and the associated costs; the value of the Olahan Alley parking lot and concern about loss of revenue; ADA access issue as it relates to the current/flat parking lot versus the new lot which is at a slope; expressed further concerns about the proposed configuration of Short Street and related costs; requested an independent financial audit — as if another developer was doing the project; and also expressed concern about the City's lease for a building that is sitting empty; employee layoffs; the language in the lease; and that new information regarding this project is surfacing on a daily basis. Tim Moore, Fair Oaks Avenue, expressed concern that the City had not addressed ADA compliance issues since the Act was approved many years ago; stated the City has conducted minimum maintenance at City Hall over the years; stated that there are other buildings in the City that are bigger and ADA compliant, such as on Station Way; and expressed concern that there were sidewalks and potholes that are not being fixed; the local sales tax is being collected to do those projects; and that he wants accountability for the local sales tax and how it is being spent. Karen White, Halcyon, expressed disappointment about the low -cost, high density residential development to be constructed at Elm Street and The Pike, which will be surrounded by single - family residences, agricultural uses, and a cemetery. She expressed concerns about increased trespassing within the cemetery. Shirley Gibson, Halcyon, requested public notification in the newspaper about the May 29, 2010 special meeting, as well as written notification to interested parties. Chuck Fellows, Canyon Way, speaking as a citizen, shared information regarding the proposed purchase by the City of the NKT building; expressed concern about the latest appraisal of all the properties; reviewed comments he had received from three local realtors concerning the values arrived at, and the method used to determine the values, in the latest appraisal; expressed concern about the methodology of the appraisals; and concluded by stating that the true market value needs to be determined by another appraisal using the income approach. Susan Flores, East Branch Street, referred to Agenda Item 11.a. regarding the Mid Year Budget Status Report and expressed concern regarding the $350,000 savings being shown for the City Hall project when a decision had not yet been made on the project. 8. CONSENT AGENDA Mayor /Chair Ferrara invited members of the public who wished to comment on any Consent Agenda Item to do so at this time. Brian Johnson, Granite Construction, referred to Item 8.e. regarding rejection of bids for the West Branch Street Rehabilitation Project. He then referred to the 2008 East Branch Streetscape project and provided a brief history of events related to the bid process, staffs recommendation for award of contract, a potential bid protest, and a re -bid of the project, which resulted in the project being awarded to a new low bidder. He expressed concerns regarding the same, apparent outcome for the West Branch Street project, referred to the language for method of award, and stated that while he respects the City's rights to reject all bids, he disagreed with the City's statement that a rebid is an advantage and ensures a level advantage among all bidders. He requested the Council award the construction contact to Granite Construction which is identified as an alternative in the report. Minutes: City Council /Redevelopment Agency Meeting Page 3 Tuesday, March 23, 2010 Upon hearing no further comments, Mayor /Chair Ferrara closed the public comment period. Mayor /Chair Ferrara requested Item 8.e. be pulled for response. Council /Board Member Arnold requested Item 8.g. be pulled for clarification and discussion. Action: Council /Board Member Arnold moved, and Mayor Pro TemNice Chair Guthrie seconded the motion to approve Consent Agenda Items 8.a. through 8.f., with the exception of Item 8.e., with the recommended courses of action. The motion passed on the following roll -call vote: AYES: Arnold, Guthrie, Fellows, Ferrara NOES: None ABSENT: Costello 8.a. Cash Disbursement Ratification. Action: Ratified the listing of cash disbursements for the period March 1, 2010 through March 15, 2010. 8.b. Consideration of Statement of Investment Deposits. Action: Received and filed the report of current investment deposits as of February 28, 2010. 8.c. Consideration of Approval of Minutes. Action: Approved the minutes of the Regular City Council /Redevelopment Agency Meetings of February 23, 2010 and March 9, 2010, as submitted. 8.d. Consideration to Declare Surplus Property/Police Vehicle and Authorize Vehicle Trade and Acquisition. Action: 1) Adopted Resolution No. 4266 as follows: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE DECLARING ITEMS AS SURPLUS AND AUTHORIZING THEIR TRADE "; 2) Approved a trade -in of the pick -up truck for a Chevrolet Impala at Christianson Chevrolet; 3) Approved acceptance of a 1995 Hummer from a Federal Surplus program; and 4) Appropriated up to $10,000 from revenues received from the sale of surplus vehicles to paint and equip the Hummer. 8.f. Consideration of Acceptance of the Porter Field Backstop Replacement Project, PW 2010 -04. Action: 1) Accepted the project improvements as constructed by Town & Country Fencing in accordance with the plans and specifications for the Porter Field Backstop Replacement Project; 2) Directed staff to file a Notice of Completion; and 3) Authorized release of the retention, thirty -five (35) days after the Notice of Completion has been recorded, if no liens have been filed. ITEMS PULLED FROM THE CONSENT AGENDA 8.e. Consideration to Reject Construction Bids and Solicit New Construction Bids for the West Branch Street Resurfacing Project, PW 2008 -08. Recommended Action: 1) Reject all construction bids received on March 2, 2010 for the West Branch Street Resurfacing Project; and 2) Direct staff to solicit new construction bids for the West Branch Street Resurfacing Project for an April 13, 2010 bid opening. Minutes: City Council /Redevelopment Agency Meeting Page 4 Tuesday, March 23, 2010 In response to public comment, City Manager Adams explained that the information provided was correct as far as the language in the bid specification and the problems that can occur when the City has to re -bid projects; said that this was not the City's preferred outcome for this process; explained specific references on how the bids were to be awarded and that two provisions were in conflict; that in order to maintain the integrity of the bid process, staffs recommendation was to reject all bids and request new bids to make sure there is a bid process with no confusion or discrepancies. Council Member Arnold asked for clarification about the conflicting language in the bid specifications and expressed concern that this problem is still occurring. Brief discussion ensued and City Manager Adams assured the Council that staff would follow -up to ensure that the standard bid documents and templates are reviewed and corrected so that this problem would not occur again. Action: Mayor Pro TemNice Chair Guthrie moved, and Council /Board Member Fellows seconded the motion to approve Item 8.e., with the recommended courses of action. The motion passed on the following roll -call vote: AYES: Guthrie, Fellows, Ferrara NOES: Arnold ABSENT: Costello 8.g. Consideration of Adoption of an Ordinance Approving Development Agreement 09 -002 and Amending the Lease Agreement with the 5 Cities Community Service Foundation. Recommended Action: 1) Adopt an Ordinance approving Development Agreement 09- 002; and 2) Approve the First Amendment to the Lease Agreement with the 5 Cities Community Service Foundation. Community Development Director McClish explained the modification to Section 5 of the Development Agreement regarding the intent to waive all applicable City fees for the Recreation Center project. She recommended the City Council re- introduce the Ordinance approving the Development Agreement as modified to amend Section 5 of the Development Agreement and to amend the Lease Agreement as directed by the Council at its March 9 meeting. She explained a public hearing would be scheduled for the April 13, 2010 City Council meeting for final adoption of the Ordinance. Mayor Pro Tem Guthrie requested a breakdown of fees be included in the April 13 staff report for this item. Action: Council Member Fellows moved, and Council Member Arnold seconded the motion to re- introduce an Ordinance as follows: "AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE APPROVING DEVELOPMENT AGREEMENT 09-002 TO CONSTRUCT A MULTI- PURPOSE RECREATION CENTER ON A PROPERTY LOCATED AT THE CORNER OF WEST BRANCH STREET AND OLD RANCH ROAD ", as modified to amend Section 5. The motion passed on the following roll -call vote: Minutes: City Council /Redevelopment Agency Meeting Page 5 Tuesday, March 23, 2010 AYES: Fellows, Arnold, Guthrie, Ferrara NOES: None ABSENT: Costello Action: Council Member Fellows moved, and Council Member Arnold seconded the motion to approve the First Amendment to the Lease Agreement with the 5 Cities Community Service Foundation. The motion passed on the following roll -call vote: AYES: Fellows, Arnold, Guthrie, Ferrara NOES: None ABSENT: Costello 9. PUBLIC HEARINGS: None. 10. CONTINUED BUSINESS: 10.a. Presentation by the San Luis Obispo Council of Governments (SLOCOG) on the 2010 Regional Transportation Plan (RTP) Update. Community Development Director McClish gave a brief introduction of the SLOCOG representatives who would be presenting the 2010 Regional Transportation Plan Update; progress on the Plan; implications it may have to the City; to educate the public regarding the Plan which includes how the City will deal with funding uncertainties for transportation projects; and also new regulations regarding green house gas emissions. Ron DeCarli, SLOCOG, gave a presentation of the SLOCOG 2010 RTP Update which specifies the policies, projects, and programs necessary to maintain, manage, and improve the region's transportation system; stated that the Plan is required by State law; provided an overview of the four (4) major elements; stated that the Plan is required in order to receive State and Federal transportation funding; provided a brief overview of the SLOCOG 2005 RTP strategies; and reviewed funding scenarios based on three basic revenue forecast scenarios. Geoffrey Chiapella, SLOCOG, provided an overview of SB 375 as it relates to changes in the process for the RTP Update (Sustainable Communities Strategy [SCS]); reviewed the Community 2050 Blueprint — Regional Growth Strategy and development of the Preliminary Sustainable Communities Strategy (PSCS), modeling tools used to develop the 2010 RTP Update, growth projections by 2035, and four scenarios under review and consideration reflecting growth and housing units. Ron DeCarli, SLOCOG, concluded the presentation by explaining how the PSCS will affect the City; provided a funding outlook for transportation funds; noted that revenues have declined dramatically; reviewed local financial implications as it relates to impacts on transportation project and enhancements; and reviewed the next steps in the process. Minutes: City Council /Redevelopment Agency Meeting Page 6 Tuesday, March 23, 2010 Brief discussion ensued regarding the Regional Housing Needs Assessment (RHNA) figures; recent Cal Poly Community Visioning Workshops held in the City; population projections as it relates to constraints; and projects that are currently in the pipeline. Mayor Ferrara thanked Mr. DeCarli and Mr. Chiapella for their presentation; stated that the City is required to comply with SB 375 and that the City is ahead of a lot of regions with the development of its SCS; that the RTP is needed to support the SCS; that some basic planning assumptions made during the last General Plan Update may have changed, and that moving forward the policies should be updated, particularly due to economics; and stated it would be important to add qualifiers to the RTP including vehicle miles travelled, job generation and demographics, and the Housing Element. City Manger Adams noted that staff would continue to work with SLOCOG staff on the RTP. There was no formal action on this item. Mayor Ferrara called for a break at 8:45 p.m. The Council reconvened at 8:55 p.m. 11. NEW BUSINESS: 11.a. Consideration of Fiscal Year 2009 -10 Mid -Year Budget Report. [COUNCIURDA] Administrative Services Director Kraetsch presented the staff report and recommended the Council: 1) Approve detailed budget adjustments listed in the Mid -Year budget report; 2) Approve Schedule A; 3) Approve requests for additional appropriations in the General Fund; and 4) Approve staff's recommended strategies to address the projected FY 2010 -11 budget shortfall. Staff responded to questions from Council conceming the status of the Hampton Inn project and clarification conceming the Police "Avoid the 14 DUI Campaign" grant. Recreation and Maintenance Services Director Perrin provided an update on the Children In Motion Program; steps taken over the past several years to make the program self- sufficient; reported a decrease in participation; noted that fee structure had been adjusted; reported that although expenditures are down, revenues are also significantly down. City Manager Adams explained that the goal has been to save the Children In Motion Program and make it self- sufficient, even though there are non - profit organizations available that can take over and run the program. Recreation and Maintenance Services Director Perrin added that his staff from Children In Motion also participates in the planning and operation of the City's playground programs and special events. Council Member Fellows asked about budget impacts if management of the program was turned over to a non -profit organization and whether City staff could be transferred over to the non - profit organization. Minutes: City Council /Redevelopment Agency Meeting Page 7 Tuesday, March 23, 2010 City Manager Adams stated he would encourage the placement of staff with the other organizations; however, he expressed concem about a potential loss of the City's large pool of part-time staff, which would impact other City programs and events. Mayor Ferrara invited comments from those in the audience who wished to be heard on the matter. Dawn Zavackv, S. Halcyon Road, spoke in support of Children in Motion program; expressed concem about impacts to employees as well as families; and opposed the elimination of the Child Care Coordinator position. Mvma Vickorv, Hillside Lane, spoke in support of the Children In Motion program; stated cuts have already been made to the program and staffing; stated that families depend on the program; opposed the elimination of the full time Childcare Coordinator position, and stated it would lack the necessary leadership and impact the viability of the program. Carie VanBeveren stated she was the employee being impacted; spoke about the many duties and responsibilities required of this position and how much she cares about the children and their families; felt it was important to have a quality program; that she also works with many other City programs and special events; expressed concem about transferring the program to another agency; and urged the Council to consider maintaining the Childcare Coordinator position. She responded to questions from Council conceming enrollment and methods for increasing enrollment to sustain the program. Susan Flores, East Branch Street, expressed concern that funds for the City Hall improvements were eliminated from the budget when a decision has not yet been made; commented that the City's debt service has gone up because of renting the Farm Credit building; expressed concem that the City is spending money, and that all the proposed budget cuts are people related; acknowledged that the City has renegotiated labor agreements; noted that the Children In Motion program affects a huge population of children and opposed elimination of the Coordinator position; reiterated that the budget cuts are affecting individuals; and that no money should be spent on things like the Centennial Park project. Dawn Zavackv noted that other childcare programs offered by non - profits like the Boys and Girls Club summer program are charging comparable fees as those charged by the City. Greq Vickorv, Hillside Lane, commended the Council for proclaiming April as Month of the Child and noted it was ironic that cuts to the Children in Motion Program are being discussed. He spoke of indirect costs if the position were eliminated. Upon hearing no further comments, Mayor Ferrara closed the public comment period. Council questions and comments ensued regarding the Children In Motion Program; proposed elimination of the full time Childcare Coordinator position and its potential impacts to the Children In Motion program; how to improve or increase enrollment of the Children In Motion program; creating a subcommittee to determine how to keep the program and/or to determine what the impact is to other City programs if the childcare program is transferred to a non - profit organization; concems that the City cannot sustain the program without the full -time Coordinator position and the City has been dealing with this budget issue every year, that the program should be fully - funded and not subsidized; and that most cities have moved away from providing childcare programs. Mayor Pro Tem Guthrie expressed concems about revenue projections in the budget and with regard to the loss of funding for the School Resource Officer, he suggested staff approach other cities to see Minutes: City Council /Redevelopment Agency Meeting Page 8 Tuesday, March 23, 2010 if they would be interested in helping to fund that position since the High School serves students in those cities; and to look at costs associated with maintenance and operation of Soto Sports Complex to make it more cost effective and reduce the subsidies, particularly with the sports programs. Mayor Ferrara acknowledged that the Children in Motion program has been addressed on an annual basis and that this issue warrants a focused effort on the part of staff to review how the program is budgeted; how we can improve enrollment and actively recruit to increase attendance; that more time is needed to review the program and develop an outreach program to try to keep the program; recognized that a lot of the staff work at many of the City's special events; and suggested bringing the issue back in six months or sooner for review. He noted that if the proposed position cut is made, it could impact the quality of the program. Administrative Services Director Kraetsch clarified that the playground revenue is included in the line item for the Children in Motion program, and the revenue is still down. Brief discussion ensued regarding the formation of a Council subcommittee to review the program, and staff was directed to place the item on a future Agenda for consideration. Action: Mayor Pro TemNice Chair Guthrie moved, and Council /Board Member Arnold seconded the motion to: 1) Approve detailed budget adjustments listed in the Mid -Year budget report; 2) Approve Schedule A; 3) Approve requests for additional appropriations in the General Fund; and 4) Approve staffs recommended strategies to address the projected FY 2010 -11 budget shortfall, with the exception of the Children in Motion position, and to include looking at and approaching other agencies to help offset the costs for the School Resource Officer, and further, to review costs associated with the Soto Sports Complex and the potential for finding other revenues to address those subsidies. The motion passed on the following roll -call vote: AYES: Guthrie, Arnold, Fellows, Ferrara NOES: None ABSENT: Costello Council also directed staff to place on a future agenda formation of a subcommittee to review the Children in Motion program. Administrative Services Director Kraetsch provided an overview of the Citizen Financial Review meeting held on Thursday, March 11 ; stated that the Citizen Committee consisted of Otis Page, Carroll Pruett (former Chairman of the board for Mid State Bank) and Mike McKenzie (Vice President and Manager of the Arroyo Grande Santa Lucia Bank); stated that others who attended this meeting were Mayor Ferrara, Council Member Guthrie, League of California Cities representative Dave Mullinax, City Manager Steve Adams, and herself. She reported that the Committee discussed: 1) The effect of the State budget crisis on the City. The City's League representative explained that signatures are being collected in order to put a measure on the November ballot that will protect all City funds from the State, which will provide the City with protection from future State raids and /or borrowing; 2) The status of the City's current budget; staff informed the committee that the City is experiencing decreases in key revenues as mentioned tonight in the Mid Year report; and 3) The proposed City acquisition of 300 East Branch Street. Staff discussed the project and the related costs. The committee stated that they Minutes: City Council /Redevelopment Agency Meeting Page 9 Tuesday, March 23, 2010 believed that the numbers presented to them were accurate and acceptable and did not issue any concerns. Director Kraetsch stated a detailed binder had been prepared for this meeting that included Budget information, Local Sales Tax information, proposed City Hall project funding, State Budget information, and the City's Comprehensive Annual Financial Report (CAFR) and is available for review at City Hall. 12. CITY COUNCIL REPORTS: (a) MAYOR TONY FERRARA: (1) San Luis Obispo Council of Governments /San Luis Obispo Regional Transit Authority (SLOCOG /SLORTA). Reported on the Regional Transportation Plan (RTP) which was presented tonight and discussion held on SB 375. (2) South San Luis Obispo County Sanitation District (SSLOCSD). Reported that the co- generation plant has been working well and has resulted in a substantial reduction of monthly energy usage and costs. (3) Brisco /Halcyon /Hwy 101 Interchange Project Subcommittee. Provided update on the design exception submitted to Caltrans for approval. (4) Other. None (b) MAYOR PRO TEM JIM GUTHRIE: (1) South County Area Transit (SCAT). Has not met since the last report. (2) Community Action Partnership. Provided update on the homeless campus project which will be located in City of San Luis Obispo; the project received approval by the Airport Board; the HSOC is the primary agency working on the project. Also exploring location for homeless campus in South County. Noted that the 10 -Year Plan to End Homelessness has been effective. (3) California Joint Powers Insurance Authority (CJPIA). No report. (4) Homeless Services Coordinating Council (HSOC). Working in conjunction with the Community Action Partnership on the homeless campus project. (5) Economic Vitality Corporation (EVC). No report. (6) Tourism Committee. Working to finalize a brand; reported on participation in Sunset Magazine event in which the City will be represented. (7) Other. None. (c) COUNCIL MEMBER JOE COSTELLO (ABSENT) (1) Zone 3 Water Advisory Board. (2) Air Pollution Control District (APCD). (3) Fire Oversight Committee. (4) Other. Minutes: City Council /Redevelopment Agency Meeting Page 10 Tuesday, March 23, 2010 (d) COUNCIL MEMBER ED ARNOLD: (1) Other. None. (e) COUNCIL MEMBER FELLOWS: (1) Integrated Waste Management Authority Board (IWMA). Attended first IWMA Board meeting as a member; nothing significant to report for Arroyo Grande at this time. (3) County Water Resources Advisory Committee (WRAC). Reported the Board will be sending a letter requesting action to request temporary deliveries of State water to offset pumping to try to stem the seawater intrusion; Reported there have been no threats or evidence of invasive mussels at Lopez Lake; Reported that Lopez Lake was at 63% capacity at last check; have had more than normal rainfall, however, it is important to continue conserving water. (4) Other. None. 13. CITY COUNCIL MEMBER ITEMS: a) Request to consider cancelling second meeting in July instead of the first meeting in July (FELLOWS) Council Member Fellows requested, and the Council concurred, to direct staff to place on a future agenda a request to cancel the second meeting in July instead of the first meeting in July. 14. CITY MANAGER ITEMS: None. 15. COUNCIL COMMUNICATIONS: Council Member Arnold reported that it had come to his attention there may be some easement issues in the Miller Way neighborhood as it relates to the Methodist Camp. He suggested that project applications should include a graphical diagram depicting easements affecting the subject property(ies). Mayor Ferrara referred to the adopted City Council meeting policies and protocols for conducting business, stated it would be important to adhere to these protocols for the May 29 Special Meeting, and that the three minute rule for speakers would be enforced. 16. STAFF COMMUNICATIONS: City Manager Adams provided the following communications: 1) Staff is preparing the Agenda and report for the May 29 Special City Council Meeting and packets will be distributed on Friday; 2) Provided update on work being done to the crosswalks in the Village which are being redone due to substandard work on the project that the City required the Contractor to fix pursuant to the contract; and 3) Congratulated the Mayor for his hole -in -one at Monarch golf course. Minutes: City Council /Redevelopment Agency Meeting Page 11 Tuesday, March 23, 2010 17. COMMUNITY COMMENTS AND SUGGESTIONS: Mike McConville, E. Branch Street, expressed concern over the three minute rule for public comment and stated that people should be heard and that this is a public process. 18. ADJOURNMENT Mayor /Chair Ferrara adjourned the meeting at 10:30 p.m. Tony Ferrar or /Chair ATTEST: // KeIIy W- o - , City Clerk (Approved at CC Mtg 'y' /3 - 20/0 ) •