Minutes 2000-10-10
MINUTES
REGULAR MEETING OF THE CITY COUNCIL
SPECIAL MEETING OF THE PLANNING COMMISSION
TUESDAY, OCTOBER 10, 2000
COUNCIL CHAMBERS, 215 EAST BRANCH STREET
ARROYO GRANDE, CALIFORNIA
1. CALL TO ORDER
Mayor Lady called the Regular City Council and Special Planning Commission
meeting to order at 7:00 p.m.
2. ROLL CALL
City Council: Planning Commission:
X Mayor Lady X Commissioner Greene
X Mayor Pro Tem Ferrara X Commissioner Parker
X Council Member Runels X Commissioner Keen
X Council Member Tolley X Commissioner Costello
X Council Member Dickens X Commissioner London
Staff Present:
1L-City Manager
1L-Chief of Police
1L-City Attorney
1L-Director of Administrative Services
_Director of Building and Fire
lLJ)irector of Community Development
1L-Director of Economic Development
1L-Director of Public Works
~irector of Parks, Recreation, and Facilities
1L-Director of Financial Services
1L-Assistant Planner
3. FLAG SALUTE
Representatives from Boy Scout Troop 489 led the Flag Salute.
4. INVOCATION
Pastor Paul Bautts, Bethel Baptist Church, Grover Beach, delivered the
invocation.
5. SPECIAL PRESENTATIONS
5.a. PROCLAMATION - "NATIONAL CHARACTER COUNTS! WEEK"
Mayor Lady presented a Proclamation declaring the week of October 15 - 21, 2000
as "National Character Counts! Week" which was accepted by Tobie Charles.
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OCTOBER 10, 2000
6. AGENDA REVIEW
City Manager Adams requested that Agenda Item #13, Staff Communications, be
moved up on the Agenda prior to commencing with New Business.
Mayor Lady and the Council agreed to consider Agenda Item #13 following the
Consent Agenda.
6.a. RESOLUTIONS AND ORDINANCES READ IN TITLE ONLY
Mayor Pro Tem Ferrara moved, Council Member Tolley seconded, and the motion
passed unanimously that all resolutions and ordinances presented at the meeting
shall be read in title only and all further reading be waived.
7. PUBLIC HEARINGS:
None.
8. CITIZENS' INPUT. COMMENTS. AND SUGGESTIONS
Ella Honeycutt, Coastal San Luis Resource Conservation District Director, stated
she had put together a report entitled Civilian Conservation Corps . 1935. She
passed out copies of the report to the Council and gave a brief overview of the
report which discusses South County soils, soil conservation, and erosion
control. She encouraged the Council to read the report and to be aware of the
condition of the City's soils. She requested that the City support Erosion Control
Month.
Nancy DePue, Superintendent for Lucia Mar Unified School District, invited the
Council to attend the ground breaking ceremony for the Nipomo High School on
Monday, October 16, 2000 at 10:00 a.m, She thanked the City of Arroyo Grande
for the great relationship it has with the School District and for hosting all of the
students in the South County for over 50 years. She announced that the Nipomo
High School would be opening in the Fall, 2002.
9. CONSENT AGENDA
Council Member Tolley moved to approve Consent Agenda Items 9.a. through
9.h., with the recommended courses of action. Council Member Runels seconded
the motion.
a. Cash Disbursement Ratification. Approved.
b. Statement of Investment Deposits. Approved.
c. Minutes of City Council Meeting of September 26, 2000. Approved.
d. Rejection of Claim Against City. L. Frazier. Rejected Claim.
e. Establishment of the Position of Administrative Intern. Adopted Resolution
. No. 3485.
f. Approval of Employment Agreement. Approved.
g. Cost Sharing Electrical Facilities Agreement Between the City of Arroyo
Grande and the State of California Department of Transportation. Adopted
Resolution No. 3486 and Approved Agreement.
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h. Authorization to Close Certain City Streets for the Arroyo Grande High
School Homecoming Parade. Adopted Resolution No. 3487.
Voice Vote
LRolI Call Vote
Aye Lady
Aye Ferrara
Ave Runels
Aye Tolley
Aye Dickens
There being 5 A YES, and 0 NOES, the motion is hereby declared to be passed.
13. STAFF COMMUNICATIONS
City Manager Adams reported that the City Engineer has received the Final Map
for Phase 1 of Tract 2260 (Berry Gardens), and is authorized to approve or
disapprove the map on behalf of the City. Tract 2260 Is owned by Berry Gardens,
LLC and is located east of Oak Park Boulevard between Ash Street and East
Grand Avenue. Tract 2260 will subdivide a 36.8 acre property into 180 residential
lots, a 0.75 acre public park and a 1.5 acre drainage basin. He said this statement
served as a notice that the Final Map for Phase 1 of Tract 2260 will be approved
unless appealed to the City Council within ten days following the date of the
agenda.
Mayor Pro Tern Ferrara asked about the applicant's request for a time extension
and whether it was a factor with regard to this item.
Director Spagnolo confirmed that the approval of the Final Map would negate the
need for an extension.
10. CONTINUED BUSINESS
None.
11. NEW BUSINESS
11.a. STUDY SESSION - CITY COUNCIL AND PLANNING COMMISSION
City Manager Adams stated the purpose of the study session was to review the
City's Economic Development Strategy and discuss its relationship to the
General Plan and application to the Grand Avenue Corridor. He recommended
the City Council and Planning Commission discuss the following topics:
. General Plan Update Process and Schedule;
. Economic Development Strategy;
. Incorporation of the Economic, Development Strategy into an Economic
Development Element of the General Plan; and
. East Grand Avenue Design Overlay.
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He stated that formal action of the Council and Commission was not required;
however, informal direction was being requested before proceeding.
City Manager Adams explained that based on previous Council direction, staff
had developed recommendations on how to proceed with the completion of the
General Plan Update as quickly as possible. He said that staff had been working
with representatives of Envicom and Higgins Associates to develop a revised
scope of work to proceed. He explained that the information received from
Envicom would require an additional expenditure of $226,000 to complete the
project which represents an increase of $180,000 over the existing amended
contract and $49,000 over the current approved budget amount. He stated that
based on the figures, staff did not recommend authorizing the acldltional
expenditure. Staff recommended termination of the Envicom contract and hiring
an in-house staff person on a temporary contract basis to complete the project.
He also stated the City Attorney was reviewing the existing Envlcom contract and
the work product to date to determine if any legal action is recommended.
Community Development Director McCants gave a presentation highlighting the
status of the General Plan Update and work remaining to be done, including
modification of the draft documents prepared by Envicom; the Environmental
Review process; the Circulation Element and Traffic Model which will be prepared
by Higgins Associates under separate contract; and the inclusion of an Economic
Element that reflects the Economic Development Strategy that was approved by
the Council.
Council Member Dickens asked for clarification on the budget and whether
certain items would have to be redone.
Director McCants stated that there was some work generated by the previous
consultant that Envicom had hired that would be useful to Higgins Associates
and would not have to be redone.
Mayor Pro Tern Ferrara asked if it was staff's recommendation that the City
proceed on all of the Elements in order to ensure consistency within the
documents and adopt them as a package or adopt and implement the Elements
on an incremental basis.
Director McCants replied that the General Plan documents would be presented to
the Planning Commission and City Council as a package and would contain all
the Elements.
Council Member Runels asked what the timeframe would be if it was completed
in-house.
Director McCants estimated that it should be completed by April or May.
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There was discussion regarding the Circulation Element, the traffic model, and
the previous work completed by Higgins Associates.
Commissioner London asked why Envicom could not meet the scope of work in
the contract.
City Manager Adams gave an overview of the circumstances that have occurred
since the project began.
Commissioner London asked how getting a consultant on board and getting up to
speed on the project would fit into the proposed timeframe.
Director McCants replied that he has had preliminary discussions with two
potential contractors who have indicated their availability.
Commissioner Parker referred to the proposed use of an in-house consultant and
asked if combining those costs with the Higgins Associates contract would still
result in a cost savings from what Envicom was proposing.
Director McCants replied yes,
Following further discussion regarding the budget, City Manager Adams
indicated there would be an approximate savings of $50,000 if the project was
completed in-house.
Mayor Lady opened the discussion to the public.
Richard Venable, 849 Mesa Drive, stated he had participated in the General Plan
Update meetings and workshops and he was appalled at the delay on the
process. He said it should have been completed by November 2000. He spoke in
opposition to the proposed increase by Envicom.
Ed Gordon, Arroyo Grande resident, stated he also participated in the meetings
and he felt that Envicom was competent. He said whenever the... was change in
the objective or the details, there were delays and cost increases. He said there
was blame for the delay on both sides. He said it was a lot of work to develop a
General Plan and all it takes is a 3-2 vote of the City Council to deviate from it. He
asked if there was any mechanism to make it more difficult to deviate from the
General Plan.
Mayor Lady acknowledged that Mr. .Otis Page had recently submitted a letter with
regard to that issue; however, he had not had an opportunity to discuss it with
the City's legal counsel.
Otis Page, 606 Myrtle, referred to a letter he submitted to the City Council which
stated that the City should consider a voter referendum to establish that certain
key elements of the General Plan be fixed and only changed based on the
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recommendation of the City Council and subsequent approval of the majority of
the voters. He said this places the responsibility for change with the elected
officials providing for subsequent concurrence by the citizens. After speaking of
the proposed SOAR initiative, he suggested that the legislative body take the
initiative to pursue such a referendum.
Ella Honeycutt spoke about the significance of agriculture in Arroyo Grande and
encouraged the City to address agriculture in the Economic Element.
Mike Titus, 404 Lierly, stated for the first time in a year he was encouraged that
the City may finally get an updated General Plan. He said in February It would be
three years since the process began and he had been involved in the entire
process. He supported staffs recommendation to bring the process in-house for
completion.
Colleen Martin, 855 Olive, stated that if the City was going to bring the General
Plan Update in-house, she recommended the Council approve a timellne for
completion and sticking to it.
Hearing no further public comments, Mayor Lady brought the discussion back to
the Council/Commission.
Council Members discussed concerns about the level of increase In funding
proposed by Envicom; clarification on the proposal to hire an In-house
consultant; the hiring of a firm do conduct the Environmental Review portion of
the project; the balance of funds remaining for completion of the project; and
pursuing cost recovery from Envicom.
Following further comments, the Planning Commissioners and City Council
Members reached consensus to direct staff to proceed with tennlnating
Envicom's contract and hiring an in-house staff person on a contract basis to
complete the project.
Economic Development Director Sheeley gave a presentation highlighting the
Economic Development Strategy approved by the City Council on May 23,2000.
She gave an overview of the Strategy's goals for Community Image
Enhancement, Light Manufacturing, Agriculture, Retail/Commercial, Tourism,
Housing, and the Development Process.
Planning Commissioner Costello asked if the Economic Development Strategy
needed to be an Element of the General Plan in order to be effective.
Director McCants explained the existing Strategy is a statement of goals. He
explained that in order for the document to be effective in tenns of dealing with
planning issues and decisions, it needs to be included in the General Plan as an
Element in order to develop a corresponding relationship with the other
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Elements. He explained that as a stand alone document, it would be more
difficult for staff to make findings on land use applications.
Commissioner Costello asked what would be a realistic timeframe to complete an
Element and adopt it into the General Plan.
Director Sheeley responded that it would be completed and approved on the
same timeframe as the General Plan.
Mayor Pro Tem Ferrara commented that the issue was whether the Economic
Strategy could be used as a tool now, prior to it becoming part of the General
Plan. He said his view was that it could because it has goals and it serves as a
policy document. He said the Strategy cross references consistency with
existing General Plan Elements. He said that although it is not technically part of
the General Plan, it could be used in a manner similar to an Element of the
General Plan. He referred to a previous project in which findings were made
based on the Developn:lent Code and goals in the Economic Development
Strategy. He spoke of the need to get this policy information and criteria out to
the development community. He said the document should continue to be used
as a policy document during the interim period until the General Plan Update is
finished. He spoke in support of proceeding with incorporating the Strategy into
the General Plan.
City Manager Adams clarified that the Strategy could be used now; however,
when it is incorporated into the General Plan it would be more effective.
Commissioner Keen stated he was in favor of including the Strategy into the
General Plan; however, he asked since it was not mandated by the State, it may .
not be able to be used as effectively. He asked the City Attorney about legal
ramifications for the City if a project was denied based on the Economic
Development Strategy.
City Attorney Carmel responded that staff has incorporated some of the
economic policies from the Strategy into the land use criteria that would be used
in evaluating a project. He said the City stands on firm legal ground in using the
Strategy in its current form when evaluating projects. He said the City would be
far better protected to have the Strategy incorporated into an Economic Element
of the General Plan.
Commissioner Parker commented on the agriculture portion of the Economic
Development Strategy and stated that agriculture should be looked at closely and
taken seriously. She said the Strategy encourages and supports retention of
agriculture and expansion of commercial agriculture business activities.
Commissioner Greene stated he was gratified that the Council was taking the
position that the Commission could rely upon the Economic Development
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Strategy as a basis upon which the Commission can decide whether a project is
consistent with the goals and objectives of the City,
Mayor Lady opened up the discussion for public comment.
Steve Hollister, member of the Economic Development Task Force, thanked the
Council for approving the Economic Development Strategy. He stated the Task
Force did not mean for the Strategy to usurp the General Plan. He commented
that it was meant to operate within the framework of the existing General Plan.
Hearing no further comments, Mayor Lady closed the public comment period.
Director McCants gave a presentation highlighting the process to transform the
Economic Development Strategy into an Economic Element in the General Plan.
He reviewed State mandated versus optional elements and stated that although
adoption of an Economic Element is optional, it would have the same force as a
mandated Element. He explained that an Economic Element would include a
statement of policy; a basis for specific implementation actions; and would
integrate other policies such as land use, circulation, and public facilities. He
said the Economic Element would require internal consistency with other
Elements of the General Plan, Director McCants explained the Environmental
Review process and staff progress to date on researching Economic Elements
adopted by other cities.
Mayor Pro Tem Ferrara asked for clarification on the development of supporting
ordinances for the goals and implementation strategy. He asked If one of the
ordinances would be the adoption of an overlay for Grand Avenue to support the
goals in the Economic Strategy.
Director McCants responded that was correct and that the ordinance would serve
as another policy tool with an implementation action that is associated with the
objectives and policies that are in the General Plan.
City Attorney Carmel clarified that this is the type of tool that staff is looking for
in implementing the Economic Development Strategy. He said It was an
implementation that can be relied on, is legally effective, and Is best suited to
adapt the Economic Strategy to a land use tool.
Mayor Pro Tem Ferrara asked if the Economic Element would be accomplished
in-house.
City Manager Adams replied that it could be prepared in-house with existing staff.
Commissioner Parker referred to the approval of a proposed overlay and stated it
would require public hearings and a Development Code Amendment. She asked
if this process could be done now separately from the General Plan Update
process.
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Director McCants replied yes.
Mayor Lady opened up the discussion for public comment.
Colleen Martin, 855 Olive, asked for an explanation of the East Grand Avenue
Gateway idea.
Mayor Lady said staff would be giving a presentation on the item. Hearing no
further comments, he closed the public comment period.
Following further discussion regarding the use of the Economic Development
Strategy as a policy document in conjunction with the Development Code and
General Plan, staff was directed to proceed with the incorporation of the
Economic Development Strategy into the General Plan.
Director McCants gave a presentation on the concept of a design overlay for East
Grand Avenue. He explained that the overlay would include a set of policies,
standards, and an implementation measure that would deal with development of
the East Grand Avenue corridor. He said the overlay would be a method to assist
in implementing the Redevelopment Plan. Director McCants explained that the
existing Development Code provides for the adoption of design overlays. He
reviewed the proposed overlay district boundaries and objectives; proposed use
regulations; affected businesses on East Grand Avenue; site development
criteria; and design guidelines. Further, he reviewed the process and findings for
creating a design overlay.
Members of the Planning Commission commented on some of the language in
the proposed overlay district guidelines.
Mayor Pro Tem Ferrara explained that the introduction of the overlay was to
obtain consensus on the use of the concept.. He stated that the document was in
process and suggested that the Planning Commission review the report as an
Agenda item at a future meeting. He said the Planning Commission could then
review Exhibits Band C which contain permitted uses and proposed design
guidelines for the district and then make a recommendation to the City Council.
Commission comments included ensuring that the language in the overlay is
specific enough so that it sets forth areas in which the Commission and/or
Council has some discretion when reviewing projects. Commissioner Greene
said areas should be identified in which it is the mandate of the overlay that no
discretion should exist; or if there is a limited discretion, to what extent the
Commission and/or Council can deviate from the overlay. Further, Commissioner
Greene inquired whether this overlay would be considered tentative City policy
now and how the issue of retroactivity and projects currently in process would be
addressed.
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Council Member comments included clarifying the definition of non-conforming
use; concerns about existing businesses that would become non-conforming
with the adoption of a design overlay district; consideration of the existing level
of Service policy; proposed building height limitations in the overlay district;
reviewing the potential for certain light manufacturing uses as permitted uses
within the district; and a recommendation to Increase public outreach efforts to
encourage public participation in the process.
Mayor lady opened the discussion for public comment.
The following members of the public spoke: Colleen Martin, Vernon Frederick,
Nancy Gillingham, John Kiff, and Bob Barron. Comments included the concept of
the proposed design overlay in an effort to upgrade Grand Avenue; expressing
concerns about the negative impact too many development restrictions would
have on existing and future businesses on Grand Avenue; commenting on the
realities of the commercial real estate market in that there are not enough
retailers; suggesting review of alternate retail uses; and encouraging
redevelopment on existing properties,
Ted Moore, developer for the proposed longs drug store, said the
implementation of the overlay would have a major impact on the project and
would kill the project. He commented on some of the proposed guidelines in the
overlay district and asked the Council to consider the Impact the guidelines
would have on how properties can be developed and also. be successful. He said
the Staff Advisory Committee, Architectural Review Committee, and Planning
Commission had preliminarily reviewed his project, and he has been able to
incorporate most of the suggestions. He stated he was planning to file an
application within the next week or two to begin the formal process and said it
could be two more months before the project gets to the Planning Commission.
He stated he would like to submit it to the Planning Commission now If the
proposed overlay was going to affect his project.
Following discussion regarding the proposed project and the Intent of the
proposed overlay district, it was suggested that Mr. Moore move forward with
submitting his project application for review.
Peggy Carmichael, stated she was the present owner of the property Mr. Moore
was referring to and her family has been paying taxes on the property for 50
years. She said it seems unfair that there is so much control over her property.
She spoke in support of the proposed project.
Hearing no further comments, Mayor lady closed the public comments. Mayor
lady thanked and recognized the Planning Commissioners for their efforts while
serving on the Commission.
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Following discussion, staff was directed to refine the proposal for the East Grand
Avenue Design Overlay; schedule and conduct workshops with the Planning
Commission; increase public notification efforts to encourage public
participation and input; and to prepare a recommendation for how retroactivity
and projects currently proposed will be addressed.
12. COUNCIL COMMUNICATIONS
None.
14. ADJOURNMENT
Council Member Tolley moved, Council Member Runels seconded, and the
motion passed unanimously to adjourn the meeting.
Time: 10:45 p.m.
MICH=:~~~
ATTEST:
tlJ ONL---'
ORE, ADMINISTRATIVE SERVICES DIRECTOR!
DEPUTY CITY CLERK
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