Minutes 1990-09-25
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305
MINUTES
REGULAR MEETING OF THE CITY COUNCIL
TUESDAY, SEPTEMBER 25, 1990
CITY COUNCIL CHAMBERS, 215 EAST BRANCH STREET
ARROYO GRANDE, CALIFORNIA
The city Council of the city of Arroyo Grande met at 7:30
P.M., with Mayor Mark M. Millis presiding.
FLAG SALUTE AND INVOCATION
~ Mayor Millis led the Pledge o~ Allegiance to our Flag, and
Council Member Gene Moots delivered the invocation.
ROLL CALL
Present were Mayor Millis and Council Members A. K. "Pete"
Dougall, Doris Olsen and Moots. Council Member B'Ann Smith was
absent. Staff Members present were City Manager Chris
Christiansen, City Attorney Judy Skousen, City Clerk Nancy Davis,
PUblic Works Director Paul Karp, Chief of Police Rich TerBorch,
Parks and Recreation Director John Keisler and Chief Building
Inspector John Richardson.
ORAL COMMUNICATIONS
NORMAN FULLER of 221 Tally Ho Road spoke about poor drainage
on Tally Ho Road between the addresses of 193 and 199. He said the
street was too narrow, and the traffic warning sign had been
removed. Mayor Millis directed Staff to look into the matter.
CONSENT AGENDA
It was moved by Dougall/Olsen, and the motion passed to
approve Consent Agenda items 5.B. through 5.J., with the
recommended courses of action.
5.B. September 11, 1990, city Council Minutes. Approved.
5.C. Request Approval of Town Service Bid. Awarded to Low Bidder.
5.D. Final Payment: Tennis Court Lighting: and File Notice of
Completion. Approved.
5.E. Steam Cleaning City Sidewalks, Village Area, Branch Street.
Awarded to Low Bidder.
5.F. Acceptance of Construction of Water and Sewer Main: Allen
Street (Between Mason Street and Traffic Way): Public Works
Department. Accepted and Notice of Completion authorized.
5.G. Purchase of 3/4-Ton Hydraulic Wheel Dolly: Budgeted Item;
(' Public Works Department. Awarded to Low Bidder.
I 5.H. 1990 update to the Public Works Operational Policy and
, Procedure Handbook for Field Personnel. Informational.
5.L Award of Bid, Pedestrian Traffic Signals at the Crosswalk on
Grand Avenue: Mid-Block Between Alder Street and Brisco Road:
Project No. 90-90-2. Awarded to low bidder.
5.J. Authorization for Staff to Amend the Vista del Mar (Wilma I
Pacific) EIR Contract. Authorized. '
Consent Agenda Item 5.A. Mayor Millis presented a proclamation
noting "crime Prevention Month" to Officer Sherrie Heath of the
Arroyo Grande Police Depa~tment.
6. REGISTER OF CHECKS
It was moved by Dougall/Olsen, and the motion passed, to
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CITY COUNCIL MINUTES
SEPTEMBER 25, 1990
7.A. PUBLIC HEARING - INTENT TO BUILD A NEW 1800-S0UARE-FOOT
MODULAR HOUSE: 194 1/2 BRISCO ROAD: RICHARD TETER
Mr. Christiansen said that the owner of the property wishes to
replace the existing older, substandard single family dwelling with
a new structure which will be slightly larger than the original.
He said the current prohibition on R-3 property prohibits issuance
of a building permit; however, Sec. 2.3 allows all uses which are
permitted in the R-1 zone provided appropriate findings can be
made.
After being assured that the Public Hearing had been duly "'"'
published and all legal requirements met, Mayor Millis declared the
hearing open and said all persons would be heard regarding the
matter. RICHARD TETER of 194 1/2 Brisco Road said he would answer
any questions the Council might have. When no one else came
forward to speak, Mayor Millis closed the hearing to the floor.
It was moved by Dougall/Olsen, and the motion passed, to
approve the application to build a new 1800-square-foot modular
house, with the following findings and conditions:
1. The proposed building permit is consistent with the intent and
purpose of the Urgency Ordinance.
2. The proposed building permit will not prejudice the City's
ability to provide for the public health, safety or welfare of the
city.
Council approval also was contingent on the following
conditions:
1. That the proposed structure reflect final design and colors of
the neighborhood. The design and colors to be approved by Building
Department Staff prior to issuance of the building permit.
2. That necessary permits are obtained and all applicable fees
paid--giving credit for existing building tax, and existing city
utility hook-ups.
3. That any and all non-conforming uses or conditions be corrected
or abandoned prior to final.
4. That any future redesign or addition to the approved site plan
or structure will require additional staff review and processing.
5. That a formal landscaping plan be approved by the Parks and
Recreation Department prior to issuance of a building permit.
6. That an engineered site drainage plan be submitted and approved
prior to the building permit by the Public Works Department. """
7. That all existing banks and slopes to be no greater than 2 to
1 slope or retained with City Standard retaining walls.
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8. That all utilities will be placed underground from Brisco Road.
9. That all existing substandard or non-conforming fencing is to
be upgraded. Design and materials to be approved by Building
Department Staff.
10. That the existing driveway approach be modified to fit City
standards. Design and size to be determined by the Public Works
Department Staff.
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CITY COUNCIL MINUTES
SEPTEMBER 25, 1990
7.B. PUBLIC HEARING - ADJUSTMENT OF CERTAIN EXISTING FEES AND THE
ADDITION OF NEW FEES FOR SERVICES ,PROVIDED BY THE ARROYO GRANDE
POLICE DEPARTMENT: CITYWIDE
Mr. Christiansen referred to the September 25, 1990 Staff
Report of Police Chief Rick. TerBorch, who recommended that the
Council adopt a Resolution amending Resolution No. 2195 and
adjusting existing fees and adding new fees for services provided
by the police Department. Mr. Christiansen said the fees are in
accordance with the actual costs to the city. Chief TerBorch
pointed out several minor amendments to the Resolution.
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After being assured that the Public Hearing had been duly
published and all legal requirements met, Mayor Millis declared the
hearing open and said all persons would be heard regarding the
matter. When no one came forward to speak, the Mayor closed the
hearing to the floor.
After Staff and Council discussion, it was moved by
Dougall/Moots (4-0-1, Dougall, Moots, Olsen and Millis voting aye,
smith absent) to approve Resolution No. 2417 Amending Resolution
No. 2195, Which Adopted Fees and Fines for various services,
Permits, Licenses and Infractions.
7. C. CONTINUATION OF PUBLIC HEARING - BOND FINANCING. ARROYO GRANDE
COMMUNITY HOSPITAL
Mr. Christiansen said that Council had received, (1) a letter
from orrick, Herrington and Sutcliffe with drafts of the trust
agreement, ( 2 ) the installment sale agreement and installment
purchase agreement, (3) the master indenture and the supplemental
master indenture for Obligation No.1, (4) a proposed City Council
resolution, (5) a letter from Deloitte and Touche with a draft copy
of the Feasibility Study for Vista Hospital systems, Inc., and (5)
a composite Preliminary Official Statement and Contract of Purchase
with the Corporation. He said. the Council also had received a
letter from David R. McEwen, the City's attorney in the matter,
regarding the certificate of Participation Financing for Arroyo
Grande Community Hospital, and a letter from Coopers & Lybrand
concerning the reasonableness of the Management Fees and Expenses.
Mayor Millis asked questions of the city Attorney regarding
City liability.
After being assured that the Public Hearing had been duly
published and all legal requirements met, Mayor Millis declared the
hearing open and said all persons would be heard regarding the
matter.
SCOTT GROSS, chief executive of Alpha Hospital Management,
Inc., requested that the Council give preliminary approval of the
r concept of participating in the sale of tax-exempt bonds. Mayor
Millis asked if there was a top limit set for the Management Fee,
i and Mr. Gross said the $480,000 was for the duration of the three
I year contract. There was further discussion of the Management Fee.
, Mr. Gross said he had spoken to eight community groups, and the
general medical staff of the hospital. He said most of the
physicians had signed a Statement of support. He used the overhead
projector and showed data explaining the past and forecasted
financial picture of the hospital. He said JOHN MYERS, bond
attorney with orrick, Herrington and Sutcliffe, and DICK
WOOLSLAYER, hospital administrator, were in the audience to answer
any questions.
Speaking in favor of the proposal were DR. GLENN THORPE, 425
Cuerda Courte: DR. MICHAEL PAYNE of 100 Country Hills Lane, Chief
of the hospital medical staff and Director of the Intensive Care
and Cardiac Rehabilitation Unit; CHRIS TETER, 584 Camino Caballo,
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CITY COUNCIL MINUTES
SEPTEMBER 25, 1990
manager of the hospital laboratory; DR. RICHARD LASIEWSKI, 775 Bee
Canyon: DR. JAMES THORTON, 1273 paseo Ladero, and JANE FRYE of
pismo Beach, director of nursing at the hospital.
Asking questions and expressing concerns about the proposal
were JOE MANION, 255 Larchmont; AL COOPER, 157 Hillcrest Drive; DR.
JERREN JORGENSEN of San Luis Obispo: ELLA HONEYCUTT, 560 Oak Hill
Road; CLARK MOORE, 11BO Ash street, and MARIE CATTOIR, 195 Orchid
Lane.
There were questions and answers concerning the city's loss of
tax revenue if the hospital is sold to a tax-exempt firm: appraisal ~
of the hospital; the city's liability in case of a lawsuit: charity
patient care offsetting the profits; possible loss of tax-exempt
status if the hospital land is sold to private individuals; the
City's liability if the debt service is not paid: whether
collateral is necessary for the sale: the possibility of the bonds
not selling; whether a non-profit organization can be sued, and how
the management firm could be replaced if necessary.
There being no further public discussion, Mayor Millis closed
the hearing to the floor.
council Members Olsen and Moots and Mayor Millis said many of
their questions had been answered, but requested more time to study
the materials given to them at the last minute and to ask questions
of the attorney hired by the city to protect its interests. Mayor
Millis said his big concern is liability and he wants "zero
liability."
Mr. Myers requested that the Council give final approval to
the proposal at the October 9, 1990 meeting.
After further discussion, it was moved by Dougall/Olsen, and
the motion passed, to continue the public Hearing to October 9,
1990.
THE CITY COUNCIL ADJOURNED FOR A RECESS AT 9:45 P.M.
B.A. HOOK RAMPS AT CAMINO MERCADO
Mr. Karp reported that City Staff now supports the Caltrans
striping plan for the oak Park interchange in the vicinity of West
Branch Street. He said the Caltrans plan for six lanes on U.S. 101
is now before the Parking and Traffic Commission.
Council Members said they supported keeping open all ramps on
Highway 10l in the city, exclusive of closures which will occur as
part of the Oak Park interchange project.
INTERSECTION IMPROVEMENTS AT WEST BRANCH STREET/GRAND 1
AVENUE/TRAFFIC WAY AND WESLEY STREET ,
Mr. Karp said he had received the appraisal reports on the I
property on the southerly side of Grand Avenue at the intersection. '
He said he had met with the Finance Director to confirm that the
correct amount was in the Public Works Department budget to
complete the acquisition. He said he had directed the city's
representative to begin negotiations with the saruwatari family,
owners of the property.
SOLID WASTE TASK FORCE
council Member Dougall referred to his report on the Solid
Waste Task Force to which was attached the County Integrated Waste
Management Program Budget for 90/91; the Memorandum of Agreement
between the County and Cities for Preparation of Source Reduction
and Recycling Elements and Countywide Integrated Waste Management
Plan, and the September 19, 1990 Staff Report of the San Luis
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CITY COUNCIL MINUTES
SEPTEMBER 25, 1990
Obispo Area Coordinating Council. He said this is a Countywide I
program and is mandated by the State. He urged ratif ication of the
$1 tipping fee which will be used for the costs of preparing an
integrated waste management plan. He said the tipping fee may be
increased in 1991.
Council Member Moots said the $721,300 in the budget is just
for the study and integrated waste management plan, and than there
will have to be money allocated for implementation.
S . D .' UPDATE ON COUNTY PROJECTS i\FFECTING T'HE CITY
city Attorney Skousen said the County did adopt some of Arroyo
Grande's suggestions with regard to County Tract 1746. She said
she believed that the County will listen to the City when Staff
strenuously pushes for an areawide environmental impact report for
the fringe areas of Arroyo Grande.
Mayor Millis said Mesa Drive is a cul de sac and not a
collector street and many residents of the street are objecting to
a development being built adjacent to it. Ms. Skousen said it
would be helpful if those residents would write letters to the
Council expressing their concerns. Mayor Millis requested that
Staff confirm that the Mesa Drive residents are notified of any
County Meetings on the project.
8.E. PROPERTY TRANSFER - FIVE ACRES
Mayor Millis, Council Member Dougall and Mr. Christiansen said
they may have conflicts of interest and left the room. Mayor
Millis said he would remain out of the room during the next Agenda
item also because of possible conflict of interests.
Ms. Skousen said the County and the developer of Royal Oaks
have agreed to a settlement stipulation concerning trees to be
given to the City by the developer. She said the city will receive
20 trees and will be allowed to plant them on the five acres or
elsewhere in the city. She said because of an insufficient number
of Council Members to vote on accepting the Settlement stipulation,
approval would have to take place at the October 9, 1990 meeting of
the Council. She and Council Members Olsen and Moots agreed that
the City lawsuit against the County and developer would not be
dismissed until the property is in the city's possession.
Council Member Dougall and Mr. Christiansen returned to the
meeting.
PROPOSED LEASE/PURCHASE AGREEMENT BETWEEN CITY AND LUCIA MAR
UNIFIED SCHOOL DISTRICT
Mr. Christiansen referred to the September 12, 1990 Staff
Report of the Parks and Recreation Director, who said the proposed
r- lease/purchase agreement does indicate a commitment by the district
I to carry out a property exchange within the next two years and to
vacate the Lopez High School campus.
Mr. Keisler referred to Page 2, No. 5 of the agreement, and
said the Parks and Recreation Commission felt that in the third
line the phrase "reasonable period" should be defined more
specifically. Council Members Dougall, Moots and Olsen agreed that
the time period should be six months.
Mayor Millis returned to the dais.
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CITY COUNCIL MINUTES
SEPTEMBER 25, 1990
9.A. POLICY STATEMENT - TRAFFIC WAY IMPROVEMENTS
Mr. Christiansen referred to his memorandum of September 25,
1990 and recommended that the city's policy pertaining to Traffic
Way should be the following:
1. Replacement of existing curb,
gutter, and sidewalk, to be
accomplished by the city.
2. Areas having no curb, gutter,
" , and sidewalk will be installed
by the property owner. "
Mr. Christiansen said that when the Public Works Department
reconstructs that section of the street as part of a future Traffic
Way improvement project, the City will replace the curb, gutter and
sidewalk at 414 Traffic Way.
It was moved by Olsen/Dougall, and the motion passed, to adopt
the policy as recommended by the City Manager.
9. B. LETTER OF REOUEST FROM PEDRO ARAYA: DISCUSSION OF INFRINGEMENT
ON HIS PROPERTY LOCATED AT 357 TALLY HO ROAD
Mr. Araya said there were discrepancies in past surveys of his
property. He showed maps to the council which he said proved the
city was not entitled to take a 14-foot-strip of his land for road
purposes. He said he would give the City the 14-foot-strip of
land, if he would be allowed to have a lot split and divide the
property into two parcels. He said a lot split had been granted on
the land in the past.
There were Council questions of Mr. Araya. The City Attorney
said that it would be illegal and not permitted by the zoning
ordinance to grant a lot split on the property at this time. She
suggested that Mr. Araya should consult his title company to
straighten out the problem of boundary lines on his property.
Council Members discussed the matter with Mr. Karp, who said
to his knowledge Mr. Araya's property had not been surveyed. He
said it is Mr. Araya's responsibility to have a surveyor look at
the deed and surrounding properties and then decide where the
boundaries are.
9. C. RESOLUTION APPROVING "HANDS ACROSS THE BEACHES" DAY ON OCTOBER
7. 1990
It was moved by Dougall/Olsen (4-0-1, Dougall, Olsen, Moots
and Millis voting aye, smith absent) to approve Resolution No. 2418
Approving "Hands Across the Beaches" Day October 7, 1990.
9.D. RESOLUTION AMENDING RESOLUTION NO. 2400. WHICH ACCEPTED A l
GRANT OF REAL PROPERTY LOCATED IN THE CITY. AND APPROPRIATING
NECESSARY FUNDS FOR ESCROW FEES: 35 ACRES. OAK PARK ACRES
It was moved by Dougall/Olsen (4-0-1, Dougall, Olsen, Moots
and Millis voting aye, Smith absent) to approve Resolution No. 2419
Amending Resolution No. 2400 Which Accepted a Grant of Real
Property Located in the City of Arroyo Grande, California and
Appropriating Necessary Funds for Escrow Fees.
9.E. RECOMMENDATIONS FROM PARKING AND TRAFFIC COMMISSION
9.E.1. RESOLUTION ESTABLISHING A BOULEVARD STOP SIGN AT NORTH R~~
STREET AT ITS INTERSECTION WITH CORNWALL AVENUE (REPEAL RESOLUTION
NO. 23731
It was moved by Dougall/Olsen (4-0-1, Dougall, Olsen, Moots
and Millis voting aye, Smith absent) to approve Resolution No. 2420
Establishinq a Boulevard "stop sign" at North Rena Street at Its
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CITY COUNCIL MINUTES
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Intersection with Cornwall Street.
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9.E.2. RESOLUTION AUTHORIZING AND ESTABLISHING A 25-MILE-PER-HOUR I
SPEED LIMIT ON RODEO DRIVE I
It was moved by Dougall/Olsen (4-0-1, Dougall, Olsen, Moots
and Millis voting aye, Smith absent) to approve Resolution No. 2421
Authorizing and Establishing a 25 Mile Per Hour Speed Limit on
Rodeo Drive.
9. E. 3. RESOLUTION ESTABLISHING A BOULEVARD STOP SIGN AT RODEO DRIVE
AT ITS INTERSECTION WITH MERCEDES LANE ,
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It was moved by Dougall/Olsen (4-0-1, Dougall, Olsen, Moots
and Millis voting aye, smith absent) to approve Resolution No. 2422
Establishing a Boulevard "stop Sign" at Rodeo Drive at Its
Intersection with Mercedes Lane.
9.E.4. RESOLUTION ESTABLISHING A BOULEVARD STOP SIGN AT ASPEN
ST~EET AT ITS INTERSECTION WITH SAGE STREET
It was moved by Dougall/Olsen (4-0-1, Dougall, Olsen, Moots
and Millis voting aye, Smith absent) to approve Resolution No. 2423
Establishing a Boulevard "stop Sign" at Aspen Street at Its
Intersection With Sage street.
9.F. APPOINTMENT OF COUNCIL MEMBER MOOTS AND CITY MANAGER
CHRISTIANSEN TO THE CITY/COUNTY PARTICIPATION GROUP TO ADVI~E THE
COUNTY IN THE PREPARATION OF A COMPREHENSIVE DEVELOPMENT IMPACT FEE
STUDY
Mayor Millis appointed Council Member Moots as the elected
representative and Mr. Christiansen as the appointed representative
to the city/County Participation Group to advise the County in the
preparation of a Comprehensive Development Impact Fee Study.
10. WRITTEN COMMUNICATIONS
The city Attorney informed the Council about a lawsuit
concerning Coker Ellsworth and vic Pace Construction Co., Inc. v.
The City of Arroyo Grande, the Arroyo Grande Planning Commission
and Does 1 - 20, inclusive.
11. ORAL COMMUNICATIONS
None.
12. CLOSED SESSION
The City Attorney said that the Council would be discussing:
1. Litigation: Mack vs. city of Arroyo Grande
(Government Code Section 54956.9(a)
2. Potential Litigation: Government Code Section 54956.9(b)(1)
r' It was moved by DougalljMoots, and the motion passed, to
adjourn to a Closed session at 11:00 P.M.
13. ADJOURNMENT .
The Council reconvened at 11:15 P.M. and immediately
adjourned, on a unanimously approved motion by Moots/Dougall. I,
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AT'l'J;ST: '1'1A~a.~
· NANCY A. VIS, CITY CLERK
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