Minutes 2005-04-12
MINUTES
REGULAR MEETING OF THE CITY COUNCIL
TUESDAY, APRIL 12, 2005
COUNCIL CHAMBERS, 215 EAST BRANCH STREET
ARROYO GRANDE, CALIFORNIA
1. CALL TO ORDER
Mayor Ferrara called the Regular City Council meeting to order at 7:06 p.m.
2. ROLL CALL
City Council: Council Members Dickens, Guthrie, Arnold, Mayor Pro Tem Costello and
Mayor Ferrara were present.
City Staff Present: City Manager Adams, City Attorney Carmel, ,Director of Administrative
Services/City Clerk Wetmore, Director of Public Works/City Engineer
Spagnolo, Director of Financial Services 'Pillow, and Director of
Community Development Strong.
3. FLAG SALUTE
Members of Boy Scout Troop 489 led the Flag Salute.
4. INVOCATION
Pastor George Lepper, Peace Lutheran Church, delivered the invocation.
5. SPECIAL PRESENTATIONS
5.a. Honorary Proclamation Declaring April, 2005 as "Month of the Child".
Mayor Ferrara presented an Honorary Proclamation proclaiming April 2005 as "Month of the
Child". Paula Tripp, Director of EOC Head Start, accepted the Proclamation on behalf of the
Five Cities Head Start program.
6. AGENDA REVIEW
6.a. Resolutions and Ordinances Read in Title Only.
Mayor Pro Tem Costello moved, Council Member Amold seconded, and' the mation passed
unanimously that all resolutions and ordinances presented at the meeting shall be read in title
only and all further reading be waived.
7. CITIZENS' INPUT. COMMENTS. AND SUGGESTJON~
Kristen Barnelch, Arroyo Grande resident and member of the Architectural Review Committee,
expressed disappointment and concern with the fa98de changes that have taken place to the
brick wall, walkways, steps and handrail of the 100-year old church on E. Branch Street in the
Village. She stated that the stucco material used Is Inappropriate and too modem for the
building, and requested the City stop the work In progress and request that a proposal be
submitted to the Architectural Review Committee for review. Ms. Barneich submitted a letter for
the record (on file in the Administrative Services Department).
Mike McConville, Arroyo Grande resident, commended the Council and the City on the new
Traffic Way Bridge Rail and said it looks great.
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APRIL 12, 2005
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8. CONSENT AGENDA
CouncIl Member Arnold referred to Consent Agenda Item a.b. and noted that he was absent
from the March 22,2005 meeting and the minutes reflected that he was present. Staff noted that
the March 22, 2005 City Council minutes would be emended to reflect Council Member Arnold's
absence from the meeting.
Council Member Guthrie moved, and Council Member Arnold seconded the motion to approve
Consent Agenda Items a.a. through a.f., with the recommended courses of action. The motion
carried on the following roII-caII vote:
AYES: Guthrie, Arnold, Dickens, Costello, Ferrara
NOES: None
ABSENT: None
8.a. Cash Disbursement Ratification.
Action: Ratified the listing of cash disbursements for the period March 16, 2005 through
March 31, 2005.
8.b. 'Consideration of Approval of Minutes.
ActIon: Approved the minutes of the Regular City Meeting of March 22, 2005. as
amended.
8.c. Consideration of Resolution btabllahlng a Job Description and SIIIary Range for
the Poa1tIon of Information Technology llanager.
Action: Adopted Resolution No. 3829 establishing a job description and aaJary range for
the position of Information Tech.
a.d. Conalderatlon of an Agreement for Consultant Services with .... Wilson Electric
for Maintenance of Traffic Signala.
AmI!m: Approved an Agreement for Consultant Services with Lee wUaon Electric for
traffic signal maintenance.
a.e. Conalderatlon of a Resolution Approving an Agreement for M81nten8nce of State
Highway 227.
ActIon: Adopted Resolution No. 3830 approving an Agreement with Caltrans for
MaIntenance of State Highway 227, and authorIZe the Mayor to sign the Agreement.
8.f. Consideration to Appropr"te AddItional Funds for Construction of the Crnk'llde
Path, Phase III Lighting Project.
ActIon: Appropriated adcIitIonaJ funds in the amount of $6,000 for the COO8tNCIIon of the
Creekside Path, Phase III Ughting Project, PW 2004-03 for unanticipated expenses
incurred during construction.
9. PUPL,I~ HEARI,t<IGS
9... Consideration of Resolution Amending Operating F... Baaed on .CMngM In the
Consumer Price Indu: (CPJ) and Addition of a New Community Dr. Ilapment Fee.
Director of Financial Services Pillow presented the staff report and reconwended the CouncIl
adopt a Resolution amending operating fees for Parks and Recreetlon. CommunIty
Development, Engineering, BuJldlng, and Fire ServIces and approve the eatabllllhment at a new
operating fee for preparation of mailing labels.
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CITY COUNCIL MINUTES
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Mayor Ferrara opened the public hearing and invited comments from those in the audience who
wished to be heard on the matter. No pub1ic comments were received and the Mayor cJo8ld the
public hearing.
Council Member Dickens moved to adopt a Resolution as follows. "A RESOLUTION OF THE
CITY COUNCIL OF THE CITY OF ARROYO GRANDE AMENDING OPERA.... FIE8 FOR
PARKS AND RECREATION, COMMUNITY DEVELOPMENT, ENGINE_I' IUl DPfG,
AND FIRE SERVICES" and approve the addition of a new operating ... for mdng 1IIbeIa.
Council Member Arnold seconded the motion, and the motion carried on the following roJJ.oaII
vote:
AYES: Dickens, Arnold, Guthrie, Costello, Ferrara
NOES: None
ABSENT: None
S.b. Consideration of Request from South County Sanitary ServIce for ........... Solid
Waste Collection. Rate Increase.
City Manager Adams presented the staff report and recommenc:ted the Council adopt a
Resolution approving the integrated solid waste coUection rate increase.
Mayor Ferrara opened the publio hearing and invited comments from thole In the audience who
wished to be heard on the matter. No pubUc comments were received and the Mayor cloud the
publio hearing.
Council Member Arnold moved to adopt a Resolution as follows, "A RESOI.UTION OF THE
CITY COUNCIL OF THE CITY OF ARROYO GRANDE ESTABUSHIHG ......TED lOUD
WASTE COLLECTION SERVICE RATES". Council Member Guthrie seoonded the motion. and
the motion carried on the following roll-call vote:
AYES: Arnold, Guthrie, Dickens, CosteUo, Ferrara
NOES: None
ABSENT: None
10. CONTItw~ BU~ESS
None.
11. N~W BU~'t4u.s
11.a. ConsIderation of Resolution Adopting State AffordablUty HousIng Stendard8 for
Determination of Maximum s.Jea Price for AfforUble HousIng.
City Manager Adams presented the staff report and recommended the City Council adopt a
Resolution adopting State affordabllity housing standards for determination of maximum .....
price for affordable housing units and establish the interest rate at 6.125% for ~ the
formula. City Manager Adams and Mr. Jerry Rioux from the San Luis 0bIIp0 County Housing
Trust Fund reeponded to questions from Council abOut the propoled State formula for
determining maximum sales price for affordable housing. .
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Mayor Ferrara invited comments from those in the audience who wished to be heard on the
matter.
Jack Hardv, representing S&S Homes and owner of Century 21 Hometown Realty. spoke In
opposition to the proposal to modify the formula for determining maximum ..... price for
affordable housing units. He referenced the 17-unit affordable units at Jasmine PI8ce and statad
that every unit is either under contract or reserved. He stated that the difficulty uperIencacI in
selling the units has been the SO-year deed restriction requirement. not the aeIIIng price. He
commented that the terms of the affordable housing agreement are complex and difficult to
understand. He commented that most buyers have a difficult tIma coming up with a 5% down
payment and he explained, various financing methods that have been used to assist
homebuyers. He further expressed concerns about impacts on resale for 8JCiating homebuyers If
the selling price is reduceQ; and further stated that the proposal to use the $tats'. formula would
result in less affordable units being built. He felt there was a batter way to admInJat8r the
program and said they were willing to continue working on this issue with the CIty and others in
the housing industry.
Mike McConville. Arroyo Grande resident, agreed with comments made by Mr. Hardy and
commented that the City needed to hear from lenders, builders, and the convnunity before
considering this proposal further.
John Mack. representing S&S Homes, requested a continuance of this item in order to batter
understand the proposed formula and review Its effects and impact on current Jaamine Place
homebuyers, as well as on their proposed Parkside development project. He aubmIIted a Jetter
from S&S Homes for the record (on fUe in the AdministratIve Services [)epertnwnt) reqUHling a
continuance of this item for 30 days.
There were no further public comments received.
Extensive discussion ensued regarding the complexity of the incIusionary housing program; the
City's existing practice of using the County formula for determining maximum ..... prices for
affordable units versus changing to. the State formula; the need to use. In ICQUfate and
responsive index to determine interest rates; the Importance of maintaining 0Qf1 l' 1 tJI1CV with
regard to setting sales prices; clarifying that there is .protection in affordable housing IIQI'MI1I8I\ts
that enabie buyers to sell their units at the price they paid plus a portion of the ~ In value;
a suggestion for a modification to the affordable housing agreement that would not require the
3O-year deed restriction to revert to the beginning of the term when a home Ia tI'8tIIIIeIYecI to a
family member; acknowledgement that the City's goal is to keep affordable housing in the City's
housing inventory; working toward a policy to support workforce housing; a requ_ to proIIide
additional detail regarding how the State affordable housing formula would be Wled by
presenting specific scenarios and assumptions in order to batter und4N1It8nd the pI'OpOaad
formula; a suggestion to research the City's demographics and provide optIana for a locally
cJeaignated formula; a suggestion for developing a pool of qualified buy8l'8; a eugg I 11Ion to place
information regarding the program on the CIty's website with links to the San LuIa 0IMpn County
Housing Trust Fund; and direction to staff to bring this item back as a duly noticed public
hearing.
Following further discussion, Council Mamber Arnold moved to continua the Item to a date
uncertain. Mayor Pro Tem Costello seconded the motion, and the motion carried on the
following roll-call vote:
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CITY COUNCIL MINUTES
APRIL 12, 2005
PAGE 5
AYES: Arnold, Costello, Dickens, Guthrie, Ferrara
NOES: None
ABSENT: None
11.b. Consideration of "Let There Be Ughta" Program Changes.
Community Development Director Strong presented the staff report and reoommended the
Council approve revising the fixture, pole and lighting system design and eooept donations for
remaining street lighting within the VUlage area to a new proposed PG&E aItemative.
Mayor Ferrara invited comments from those in the audIer1ce who wished to be heerd on the
matter. No public comments were received and the Mayor closed the pubIIo convnent period.
Council and staff diacussion ensued concerning the change in design; the ~ of
matching the existing lights as closely as possible; and cJarIfIcatIon that PG&E would maintain
the Ughts; however, the City would be responsible for maintaining and repIIIcInQ ueooiated
banner arms and acceasorIea. Following Council comments in support of the propoeai. Director
Strong announced that the City had received a lingle voJuntary donatior1 from HaMId MIInkJna
for all twelve Ughts in Phase 2 and recognized him for his generosity. CIty MII.-ger AdIma also
recognized Director Strong for his efforts in developing adminIatering the "Let There Be Ughta"
Program.
Mayor Pro Tem Costello moved to approve revising the fixture. pole and Jighting 8)'8tem de8ign
and accept donations for remaining street lighting within the Village ..... to . new propolld
PG&E altematlve. Council Member Guthrie seconded the motion. and the motion carried on the
following roll-call vote:
AYES: Costello, Guthrie, Dickens, Arnold, Ferrara
NOES: None
ABSENT: None
12. CITY CO\JNCIL14iMBEB !JellS
a) Request to forward comments to County Board of Supervisors on Cypreaa Ridge Phase
2 project. (FERRARA)
Following a brief overview of the proposed Cypress Ridge Phase 2 project. which is ICheduIed to
be considered by the San Luis Obispo County Board of Supervisors on ApriI1Q. 2005. Mayor
Ferrara requested; and the CouncIl concurred. to direct staff to draft a letter regilding the Clty's
concerns about land use, water, air quality, traffic and circulation impacta and the nMd for a full
Environmental Impact Report. It was also requested that staff attend and pnunt the Clty's
concerns in person at the Board of Supervisor's AprU 1 sf' meeting.
13. CItY MANAGE,,. ITEMS
None.
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14. COUNCIL COMMUNICATIONS
Council Member Dickens requested that staff investigate information that was provided to him
concerning a proposed 19-acre subdivision project referred to as the Godfrey Tract located off of
Corbett Canyon Road. He stated that the subdivision is scheduled to be heard by the County
Planning Commission on Thursday, April 14'" and he would like to obtain further information on
the specific proposal, whether there may be an impact on the City, and whether the City should
take a position on the proposal.
Council Member Arnold expressed concern about conflicting information a citizen had received
regarding the City's plumbing retrofit program, especially since the City is encouraging water
conservation, and requested that staff follow up on the issue to ensure, that all parties are aware
of the policies in place.
15. STAFF COMMUNICATIONS
None.
16. COMMUNITY COMMENTS AND SUGGESTIONS
None.
17. ADJOURNMENT
There being no further business to come before the City Council, Mayor Ferrara adjourned the
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Tony Ferrara
ATTEST:
chuoN-
Kelly We City Clerk
(Approved at CC Mtg 1- %-05 )
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