Minutes 1995-06-27
4'92,
MINUTES
REGULAR MEETING OF THE CITY COUNCIL
TUESDAY, JUNE 27, 1995
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 A. K. "Pete" Dougall presiding.
1. AND 2. FLAG SALUTE AND INVOCATION
Boy Scout Troop 413, Howard Ferguson, Troop Leader, led the
Pledge of Allegiance to our Flag, and the Rev. Jared Hoover of
First Assembly of God Church delivered the invocation.
MAYOR DOUGALL ANNOUNCED THAT AGENDA ITEM 10.B. WILL BE CONTINUED
FOR 30 DAYS, AT THE REOUEST OF THE APPLICANT. OAK PARK FOURSOUARE
CHURCH
3. ROLL CALL
Present with Mayor Dougall were Council Members Drew Brandy,
Michael Fuller, Michael Lady and James Souza. Staff Members
present were City Manager Bob Hunt, city Attorney Roger Lyon,
City Clerk Nancy Davis, Planning Director Doreen Liberto-Blanck,
Chief of Police Rick TerBorch, Finance Director David Bacon,
Director of Building and Fire Kurt Latipow, Director of Parks and
Recreation John Keisler, and Recreation Supervisor Doug Perrin.
4. ORAL COMMUNICATIONS
MATTHEW GALLAGHER, 520 Leanna, said the city's streets are
in a deplorable condition and need to be repaired. He said the
city should return to the chip and seal method of repairing the
streets.
5. SPECIAL PRESENTATIONS
a. A Plaque of Appreciation was presented to Amy Miner,
Former Teen Advisory Committee Member, for her service and
dedication to the Committee. Mr. Perrin also .presented Ms. Miner
with a Parks and Recreation sweatshirt.
b. Mayor Dougall presented a letter of appreciation to Boy
Scout Troop 413 for leading the Flag Salute.
6. CONSENT AGENDA
It was moved by Souza/Brandy, and the motion passed
unanimously on a roll call vote (Souza, Brandy, Fuller, Lady and
Dougall voting aye) to approve Consent Agenda items 6.a., 6.b.,
6.d. and 6.e.
6.a. June 13, 1995, City Council Minutes. Approved.
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6.b. Resolution No. 3079 Authorizing Designated city
Representatives to Acquire Federal Surplus Property from the
California Department of General Services. Approved.
6.c. Award of Bid; Landscape Maintenance Contract to Maintain Ten
City Landscape Areas; Two-Year Contract.
Mr. (Matt) Gallagher said because of budget constraints,
Arroyo Grande should follow the practice of the City of San Luis
! Obispo and not maintain of all the landscape areas in the City.
: Council Members discussed the matter and had concerns about the
lawns going unmowed and the cost of re-establishing the
landscaping. Having various organizations maintain the areas and
the liability connected with that suggestion was discussed. Mr.
Keisler said this low bid of $400 per month was less than it
would cost the Parks Department to do the job. The city Manager
recommended that the present contractor be paid on a month-to-
month basis for now and the matter be continued 30 days so that
staff could look into the issues and perhaps tie the landscape
maintenance into the budget process.
It was moved by Souza/Lady, and the motion passed
unanimously to approve the City Manager's recommendation.
6.d. Update on New Interface Engine and Rescue; Fire Department.
Information.
6.e. Substantial Conformance Determination; Condition of Approval
No. 20, Conditional Use Permit Case No. 94-524; Katcho Achadjian.
Approved.
7. REGISTER OF CHECKS
It was moved by Souza/Brandy, and the motion passed
unanimously to approve Cash Disbursements in the amount of
$391,907.58, as listed in the June 22, 1995, staff report of
Finance Director Bacon.
8.A. PUBLIC HEARING - EXTENSION OF UTILITY USERS TAX ORDINANCE:
AMENDMENT TO MUNICIPAL CODE ORDINANCE NO. 454 C.S.: CITYWIDE
Mr. TerBorch said the Council had the first reading of the
Utility Users Tax Extension on July 13, 1995. He said at that
time the Council directed that the tax be extended for no more
than one year and designated this meeting for the purposes of
holding a public hearing and possible second reading of the
ordinance. He said the Council also gave staff direction in
terms of the budgeting process, which the City Manager and he are
working on at this time.
After being assured that the hearing had been duly published
and all legal requirements met, Mayor Dougall declared the
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hearing open and said all persons would be heard regarding the
matter.
Speaking to the Council about the utility Users Tax were
GARY FOWLER of 777 Mill Street, San Luis ObispoJ ANTHONY AZEVEDO
of 1352 Huasna RoadJ MATT GALLAGHERJ THE REV. JAN ARMSTRONG of
629 GarfieldJ PETE GALLAGHER of 1064 Rogers CourtJ LEROY
SARUWATARI of 572 Launa LaneJ HEATHER JENSEN, executive director
of the Chamber of CommerceJ JIM DORSEY of 579 Gularte Road, and
MARIE CATTOIR of 195 Orchid Lane. The speakers voiced the
following opinions:
1. A portion of the San Luis Obispo Utility Users Tax was J
supposed to be used for capital outlays and improvements, and is
now being used to expand City government. The Arroyo Grande tax
money should be accounted for through specific projects.
2. Residents are paying the tax on their own utilities, and again
as it is passed through by local businesses. Business owners are
paying the tax twice also, if they live in Arroyo Grande.
3. Government gets bigger and the residents of Arroyo Grande
enjoy less.
4. A city budget without the tax should be figured. If the
city's yearly shortfall was $630,000, all of the $900,000 that
was generated by the tax will not be needed. Extra tax revenue
should not be generated during a recession.
5. The citizens were promised that the tax ordinance would
sunset, and it should do so. Council could vote for another tax
ordinance if, after studying the budget, it is found to be
needed.
6. until the budget shortfall is resolved, the City should do
minimal contracting. By hiring a new city Manager, the council
has boxed itself in.
7. The tax should be extended until the budget is analyzed
because the loss of revenue involved in ending the tax and then
starting it up again would be too high.
8. The City should back out of the Utility Users Tax
incrementally as City revenues are enlarged by increasing sales
tax monies, etc.
9. city government has been "whittled down" in the past few years
at the risk of making Arroyo Grande a second-class city. It
should be made evident to the citizens where the tax is being
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used...on streets, for more police officers, for increased fire
response time, etc.
10. A lot of senior citizens and single people, who are not
working 40 hours a week, cannot pay increased utility bills.
11. The intent of Proposition 13 is being eroded by taxes like
the utility users tax.
When no one further came forward to speak, the Mayor closed
the hearing to the floor.
Council Member Lady began the Council discussion of the tax.
He said he believed that most of the citizens see the tax as
necessary to maintain the quality of life in Arroyo Grande. He
said, as a result of the budget sessions, there may be an
opportunity to eliminate or reduce the tax before the end of the
year, but he was going to stand behind his decision to continue
the tax without a break.
Council Member Souza said if the City begins the budget year
on July 1, 1995, without the tax, it would be spending money it
does not have. He said the responsible thing to do is continue
the tax until the council can look at the budget, and then begin
the process of backing out of the tax.
Council Member Fuller said he did not like the tax. He said
the citizens are intelligent enough to understand that without
the tax they will have to do without some services. He said he
was elected because he said he would not support the utility
users tax. He said there will be tough times, but the people do
not want this tax.
Council Member Brandy said no one likes the tax. He said
the sunset clause was put in with the hope that the economy would
improve, and it has not. He said the City is directing its
efforts toward more economic development, and the City Manager
should be working toward this goal. He said the city cannot run
without a city Manager, nor should the city keep the Police Chief
doing two jobs. He said a portion of the tax should have gone
into a sinking fund for road repair. He said some of the utility
tax monies were used for fire and police protection. He said the
Arroyo Grande Police Officers are the second lowest paid in the
county. He said if an Arroyo Grande resident has a business in
the city, he or she should be exempt from the tax in one of the
places. He said if government should be run like a business, it
would be "business foolish" to stop the money coming in before
the budget is addressed.
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Mayor Dougall said he did not like the tax in the first
place and the sunset clause should be honored. He said he was
willing to make a concession of dropping the tax to four percent,
but changes that are non-clerical cannot be made to the
ordinance. He said the Council has not been able to see the
budget in order to make a conscientious decision. He asked why
the language, "This ordinance shall expire on June 30, 1996,
unless it is further extended by another ordinance adopted by the
City Council," does not appear in the ordinance. The City
Attorney said the ordinance before the Council simply modifies
one provision that contains a sunset clause and makes the
ordinance automatically go away on June 30, 1996. He said it is
not necessary to have any additional language to make it go away.
Council Member Brandy said he was voting only to continue ,
,J
the tax until he could look at the budget and then perhaps
eliminate or reduce the tax by proposing a new ordinance.
It was moved by Souza/Lady to approve Ordinance No. 467 C.S.
to Extend the utility Users Tax to June 30, 1996. On a roll call
vote, Council Members Souza, Lady and Brandy voted aye, and
Council Member Fuller and Mayor Dougall voted no. The ordinance
passed and became effective immediately.
8.B. PUBLIC HEARING - PLANNED SIGN PROGRAM CASE NO. 95-115 FOR
THREE RESIDENTIAL SUBDIVISIONS; VARIANCE CASE NO. 95-189 FOR A
VARIANCE FROM THE REOUIREMENTS FOR THE NUM&ER OF SIGNS. MAXIMUM
SIGN AREA. SIGN HEIGHT. AREA OF SINGLE SIGN FACE. AND USE OF
FLAGS: 920 PALOS SECOS: OTTSE. INC.
Council Member Lady said he may have a conflict of interest
with this agenda item and left the room.
Planning Director Liberto-Blanck said the applicant has
proposed a comprehensive sign program to advertise the lots for
sale and direct potential buyers to the sales office in the
Rancho Grande tracts. She said the Planning commission had
recommended approval of the variance and planned sign program.
She said the variance resolution had been modified to make the
expiration date of the variance coincide with the temporary
office.
After being assured that the Public Hearing had been duly
published and all legal requirements met, Mayor Dougall declared
the hearing open and said all persons would be heard regarding
the matter. When no one came forward to speak, the hearing was
closed to the floor.
It was moved by Fuller/Souza (4-0-1, Fuller, Souza, Brandy
and Dougall voting aye, Lady absent) to approve Resolution No.
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3081 Approving Variance Case No. 95-189, Applied for by ottse,
Inc.
It was moved by Souza/Fuller (4-0-1, Souza, FUller, Brandy
and Dougall voting aye, Lady absent) to approve Resolution No.
3081 Approving Planned Sign Program Case No. 95-115, Applied for
by Ottse, Inc.
Council Member Lady returned to the dais.
9.A. SECOND READING OF ORDINANCE ISSUING A CATEGORICAL EXEMPTION,
I REPEALING THE EXISTING TITLE 6. CHAPTER 5 OF THE MUNICIPAL CODE
ENTITLED "HOUSE TRAILERS" IN ITS ENTIRETY AND ADOPTING A NEW
TITLE 6. CHAPTER 5 ENTITLED "RECREATIONAL VEHICLES:" CITYWIDE
The Planning Director said this would be the second reading
, of the ordinance, which was amended before the first reading to
clarify the circumstances under which a recreational vehicle may
be stored on a vacant residentially-zoned parcel.
It was moved by Souza/Brandy (5-0-0, Souza, Brandy, Lady,
Fuller and Dougall voting aye) to adopt Ordinance No. 467 C.S.
Issuing a Categorical Exemption, Repealing the Existing Title 6,
Chapter 5 of the Municipal Code Entitled "House Trailers" in Its
Entirety and Adopting a New Title 6, Chapter 5 Entitled
"Recreational Vehicles."
9.B. APPROVAL/ADOPTION OF CITYWIDE CURBSIDE RECYCLING COLLECTION
AGREEMENT: THREE-YEAR CONTRACT EXPIRING JUNE 30. 1998
Mr. TerBorch said staff was directed by the Council to
, return a contract with the current vendor for a period of three
i years. He said Council requested some changes to the contract
,
and those changes have been incorporated. He said some state
, public education requirements also have been included.
, Council Member Brandy asked about enforcement of compliance
I
I with the contract on the part of the vendor, and the city
I Attorney said the contract has provisions for termination if the
requirements are not met.
Council Member Fuller asked why the recycling contract did
not go out to bid, and Mr. TerBorch said because the Council
i voted to continue with the same vendor.
:
Council Members Lady and Souza said they were satisfied with
the present program, the City has not had complaints about the
program and the 50 cent per month rate is reasonable.
Mayor Dougall said the contract should be put out to bid.
He said residents of Grover Beach only pay a 40 cent rate. He
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said recycled material (post consumer waste) is now generating a
lot of money, and the city's current contract does not have
provisions that say the recycler can make unlimited profit. He
said as the prices of materials go up, some of the money should
go back to the community. He said that should be in the
contract. He said there should be more commercial and multi-
family recycling.
It was moved by Fuller/Dougall to put the contract out to
bid.
TOM MARTIN of the South County Sanitary Service, which also
provides curbside recycling, spoke to the Council. He said if
the city's curbside recycler is willing to account for every
dollar of material sales and apply the difference to the I
reduction of rates~ hold latex paint, anti-freeze and oil , I
I
collection events in the City~ be involved with the County, --'
Integrated Waste Management Authority for the collection of
hazardous waste in the city~ document the promise of $40,000 out
of pocket promotion expenditures over three years, and promote
recycling in area schools by on-site demonstrations, then the
Council should give the recycler a five-year extension of the
contract. He said if the Council is not satisfied, it should not
settle for less than Grover Beach.
Council Members Souza and Lady said they were proud of what
he current vendor is doing, the City is getting good value, and
making a profit should not be a "four-letter" word. Council
Member Lady said if the cost the recyclable commodity markets
begin to fall, the City will have the three-year contract and
residents' rates will not increase.
MR. DORSEY complained about not getting recycle dumpsters
for his businesses, the fact that two companies pick up
recyclables and garbage on different days, that different people
read the utility meters and that the landfill does not segregate
materials for recycling.
Mayor Dougall called for the vote on the motion to put the
recycling contract out to bid. On a roll call vote, Council
Members Fuller, Brandy and Mayor Dougall voted aye. Council
Members Souza and Lady voted no. The motion passed.
Mr. Hunt said the existing contract will be continuing
month-to-month and the bid process will probably take 60 days.
Council directed Mr. Hunt to advertise a three-year contract.
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9.C. UPDATE ON GENERAL FUND REVENUES AND EXPENDITURES: FINANC~
DIRECTOR
Mr. Bacon referred to his June 14, 1995, staff report and
said there was no serious change from last month. He said
expenditures on the storm damage of the bridge are beginning to
show up now so the City may be exceeding the expenditures' budget
for the year, but some recovery is anticipated next year.
There were Council questions regarding Subsidy Net Transfers
to Other Funds, projected Operating Reserves, and the effect on
the budget if Utility User Tax revenues were not available to the
I City. On the last point, Mr. Bacon said the budget would have a
i deficit of $600,000.
I 10.A. COUNCIL DISCUSSIO<<: I.D.E.S. PARADE: SUNDAY. JULY 2. 1995:
'- REOUEST FOR PARADE MARCH THROUGH VARIOUS CITY STREETS AND WAIVING
OF FEES
Mr. TerBorch said I.D.E.S. has had a parade for several
years on the July 4 weekend, and approximately 200 people will be
marching from the Arroyo Grande Hall Association on Highway 227
to st. Patrick's Church on Fair Oaks Avenue. He said overtime
police officers will provide adequate safety measures at a cost
to the city of $385.02. He said I.D.E.S. will provide a barbecue
free to the public this year. He said the Council could require
full reimbursement for the police services, partial
reimbursement, or waive all fees.
MR. AZEVEDO, who is president of I.D.E.S. Council 28,
reiterated that the barbecue would be free to the public and
asked the City for a waiver of the fees. He said barbecue
dinners also would be sent to home-bound persons.
Council Members discussed the request. They said were in
favor of waiving the fees on the basis of the free public
barbecue, that the event brings tourist money to the City and
that it increases cultural awareness.
It was moved by Souza/Lady, and the motion passed
unanimously to waive the fees for the I.D.E.S. Council 28 parade.
10.B. REOUES~ FOR INTERPRETATION: OAK PARK FOURSOUARE CHURCH: 900
OAK PARK BOULEVARD.
This item was continued for 30 days, at the request of the
applicant.
10.C. COUNCIL DISCUSSION: FIREWORKS PROHIBITION WITHIN CITY
LIMITS
Director of Building and Fire Latipow referred to his June
22, 1995, staff report, and said with the adoption of the 1991
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Uniform Code, the section banning fireworks was not amended. He
said since that time, fireworks in Arroyo Grande are controlled
by permit. He said the current regulation in the City is an
exercise in good risk management. He said it minimizes the
potential for injury of citizens and exposure to loss. He said
the City is in an interface area, with two and one-half sides
backed up to wildland influence. He said the call volume on the
Fourth of July is very low, and with the low call volume and
restrictions in Arroyo Grande, the Fire Chief's job is made
easier and the City's fiscal impact is lower. He said in the
fire safety program, children are taught not to play with fire,
and fireworks are the same as fire. He suggested a community
fireworks display at the high school.
Members of the public speaking on the issue of fireworks in
the city were, JEFF PETERS of 1587 EI Camino Real: MIKE ZIMMERMAN
of 227 East Branch street: MR. DORSEY: REVEREND ARMSTRONG; PETE
GALLAGHER: MS. JENSEN: THE REV. PHIL COLEMAN of Oak Park
Foursquare Church: THE REVEREND RANDY QUIMETTE, Arroyo Grande
Fire Chaplain, and DICK FRANKS of 879 Fair Oaks Avenue. Points
made by the speakers included:
1. There are too many governmental restraints and restrictions on
citizens' lives. The fireworks ban should be lifted.
2. Fireworks are a symbol" of the Revolutionary War and contribute
to the celebration of the birth of our nation. It is a good way
to teach children history.
3. Freedom involves risk backed up by responsibility.
4. The Arroyo Grande Fire Department is the best Fire Department
in the County.
5. statistics do not show there were a large number of calls on
July 4 before fireworks were banned.
6. Volunteer fire fighters love being at the station and using
their skills to fight fires.
7. Selling fireworks is a good way to raise money for
organizations.
8. Money for fireworks should be spent in Arroyo Grande.
9. The state thinks safe and sane fireworks are risk manageable.
, 10. Volunteer fire fighters live for preventing fires. They
provide services to protect residents and should not be put in
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harm's way.
11. Citizens need other ways than fireworks to express individual
freedoms in this litigious society. The ban on fireworks should
continue in Arroyo Grande.
12. Fire fighters view fires with solemnness and with a sense of
dislike of the destruction of fire. Any fire that comes on the
Fourth of July is not a service to our patriotism, but is a
distraction.
13. The city Council should promote public awareness and safety,
but not legislate it.
Council Members said they could support lifting the ban on
fireworks for the reasons that there is a correlation between
freedom and the freedom to have fireworks, that the risk could be
managed, that there could be certain safety restrictions and that
there could be more education about safety and fireworks.
Mr. Hunt said staff needs time to do research on the subject
and will return to Council with various options. He said Council
can then decide what restrictions it wants in connection with the
sale and use of fireworks in the City.
AT 10:25 P.M. THE COUNCIL" RECESSED FOR TWO MINUTES.
10.D. MAYOR'S INTENTION TO APPOINT/REAPPOINT MEMBERS TO VARIOUS
COMMISSIONS AND BOARDS: (TERMS EXPIRING JUNE 30. 1995)
Mayor Dougall said he intended to reappoint william Tappan
and william Deviny and to appoint Joe Naylor to the Planning
Commission.
Council Members Souza, Lady and Brandy said they were not
prepared to vote on the matter because they had not seen the
applicants' Reservoir of citizens forms. Council Member Souza
said since the appointments were opened up to the public, he
would like to see the applications.
Council Member Fuller said he wasn't sure of the standard
procedure, but that he was familiar with Mr. Naylor's background.
Mayor Dougall said in the past it has been the Mayor's
prerogative to make the appointments.
Mr. Hunt said the item could be continued and the requested
information provided to the Council.
JOHN KEEN, Planning commission chairman, asked about the
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CITY COUNCIL MINUTES
JUNE 27, 1995
status of those presently serving on the commission, and Mr. Lyon
said they would remain in their positions until the new
appointments were made.
10.E. ADOPTION OF RESOLUTION AUTHORIZING PAYMENT OF ACCUMULATED
EXPENSES INCLUDING EMPLOYEE COMPENSATION AND OPERATING
EXPENDITURES AFTER JUNE 30. 1995. AND UNTIL 1995-96 BUDGET IS
APPROVED
It was moved by Brandy/Lady (5-0-0, Brandy, Lady, Souza,
Fuller and Dougall voting aye) to approve Resolution No. 3082
Authorizing Payment of Accumulated Expenses Including Employee
compensation and Normal Operating Expenditures After June 30,
1995, and until the 1995-96 Budget is Approved. U
11~ REPORTS
This agenda item was cancelled because of the late hour.
12. WRITTEN COMMUNICATIONS
Mayor Dougall read a letter from Colleen Martin thanking the
City and Mr. Wallace for working with the School District to
repair the corner of Alder Street and Fair Oaks Avenue. The
letter said the sidewalk and handicap ramp will be appreciated by
all.
13. ORAL COMMUNICATIONS
None.
14. CLOSED SESSION
None.
15. ADJOURNMENT
It was moved by Brandy/Lady, and the motion passed
unanimously to adjourn the meeting at 10:39 p.m.
ATTEST:
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