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Minutes 2000-10-24 MINUTES REGULAR MEETING OF THE CITY COUNCIL TUESDAY, OCTOBER 24, 2000 COUNCIL CHAMBERS, 215 EAST BRANCH STREET ARROYO GRANDE, CALIFORNIA 1, CALL TO ORDER Mayor Lady called the Regular City Council meeting to order at 7:16 p.m, 2, ROLL CALL City Council: X Mayor Lady X Mayor Pro Tern Ferrara X Council Member Runels X Council Member Tolley X Council Member Dickens Staff Present: ~nterim City Manager/Chief of Police K--City Attorney ~irector of Administrative Services _Director of Building and Fire ~irector of Community Development _Director of Economic Development ~irector of Public Works _Director of Parks and Recreation ~irector of Financial Services K--Associate Planner K--Assistant Planner 3, FLAG SALUTE Boy Scout Troop 234 led the flag salute, 4, INVOCATION Rabbi Norman Mendel, Congregation Beth David, San Luis Obispo, delivered the invocation, 5, SPECIAL PRESENTATIONS 5,a, Proclamation - Red Ribbon Celebration Week Clemencia Figueroa, representing the County of San Luis Obispo Drug and Alcohol Services, accepted the Proclamation. CITY COUNCIL MINUTES OCTOBER 24, 2000 5,b. Proclamation - Erosion Control Month Ella Honeycutt accepted the Proclamation declaring October 2000 as Erosion Control Month and submitted to the Council a copy of a document entitled "The Cover Up Story - A Soil Resource Management Guide for Central Coast Counties". 6, AGENDA REVIEW None. 6.a. RESOLUTIONS AND ORDINANCES READ IN TITLE ONLY Council Member Dickens moved, Council Member Runels 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 HEARING 7,a, AMENDED CONDITIONAL USE PERMIT CASE NO. 00-004 TO PLACE A 960 SQUARE FOOT MODULAR BUILDING ON THE NEW HOPE CHURCH PROPERTY, LOCATED AT 900 OAK PARK BLVD., FOR THE ROYAL OAKS CHRISTIAN SCHOOL Associate Planner Heffernon highlighted the staff report, She explained that the applicant was proposing a second amendment to the original Conditional Use Permit to place a modular building on the east side of the property to provide additional classroom space for the Royal Oaks Christian School. She stated that the temporary classroom would allow the school to keep the number of students down in the existing classes and would not exceed the maximum occupancy originally imposed by the City. Staff recommended the Council adopt a Resolution approving Amended Conditional Use Permit Case No. 00-004 subject to the conditions of approval. Mayor Pro Tem Ferrara asked if the school was moving forward with plans for a permanent structure, and whether the proposed modular classroom would provide seating only or if any other amenities such as restrooms would be required. Associate Planner Heffernon replied that the applicant had not yet submitted plans for a permanent structure, and the proposal was for a modular building to provide classroom space only. Mayor Lady opened the Public Hearing. Patty Clarkson, Principal/Administrator, spoke on behalf of New Hope Church, She stated there was not a long-range plan at this time. She explained that the modular classroom would provide additional space for the existing enrollment of students. She said there were adequate restroom facilities on site to accommodate the additional building. 2 CITY COUNCIL MINUTES OCTOBER 24, 2000 Hearing no further public comments, Mayor Lady closed the Public Hearing, Following Council comments supporting the project, Council Member Tolley moved to adopt a Resolution approving Amended Conditional Use Permit Case No, 00-004, thereby amending Conditional Use Permit 84-368, applied for by the New Hope Church, located at 900 North Oak Park Blvd. Council Members Runels seconded the motion, - Voice Vote L Roll Call Vote Aye Lady Aye Ferrara Aye Runels Aye Tolley Aye Dickens There being 5 A YES and 0 NOES, the motion is hereby declared to be passed, 7.b. APPLICATION FOR CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY - DE GROOT ENTERPRISES, DBA FIVE CITIES TAXI SERVICE Director of Administrative Services Wetmore highlighted the staff, report, She explained that an application for a Certificate of Public Convenience and Necessity was received from Mr, Dutch De Groot to operate a taxicab service called Five Cities Taxi Service within the City, She explained that Mr. De Groot currently owns and operates Solvang Taxi and Santa Maria Valley taxi companies. She stated the Council must conduct a public hearing and determine if there is a public need or convenience that requires another taxicab service in the City. Council Member Runels asked if the applicant could provide taxi service for the senior program, Director Wetmore responded that the applicant would have to approach the South County Area Transit Board of Directors in order to provide a proposal for the Senior Taxi program. Council Member Tolley asked if the community could support an additional taxi service, Chief of Police TerBorch replied that the population in the South County could support the operation of at least two cab companies. Mayor Pro Tem Ferrara asked about the status of Mr, Goldenberg's request to operate a taxi service called Beach Cities Cab Company, which was approved by the Council in June, 3 CITY COUNCIL MINUTES OCTOBER 24, 2000 Director Wetmore stated that Mr, Goldenberg had not yet complied with all of the conditions and requirements required for issuance of the Certificate, City Attorney Carmel explained that if the Council approved Mr. De Groot's application, the City would have three taxi service providers unless or until one or more did not comply with any of the conditions of approval. Mayor Lady opened the Public Hearing, Mr, De Groot, applicant, stated he receives a lot of calls for service from the South County area. He stated he proposed to open an office in Grover Beach as a central location to operate Five Cities Taxi Service, Hearing no further public comments, Mayor Lady closed the Public Hearing, Following Council comments supporting the proposal and encouraging the applicant to consider looking into the Senior Taxi Program, Council Member Dickens moved to adopt a Resolution granting a Certificate of Public Convenience and Necessity to Five Cities Taxi Service for the operation of a taxicab service within the City limits contingent upon full and total compliance with all conditions and requirements of Title 5, Chapter 10 "Taxicabs" of the Arroyo Grande Municipal Code, Mayor Pro Tem Ferrara seconded the motion, - Voice Vote L Roll Call Vote Aye Lady Aye Ferrara Aye Runels Aye Tolley Aye Dickens There being 5 A YES and 0 NOES, the motion is hereby declared to be passed, 7.c, PROPOSED ORDINANCE AMENDING PORTIONS OF TITLE 9 OF THE ARROYO GRANDE MUNICIPAL CODE REGARDING SECOND RESIDENTIAL DWELLING UNITS Assistant Planner McClish highlighted the staff report, She stated that the Council had directed staff to review and revise portions of the Development Code regarding second residential dwelling units, She said changes to the existing ordinance include clarification of conditional use permit requirements; expanded property development standards, and the inclusion of five findings specific to the approval of second residential units, Staff recommended the introduction of the proposed Ordinance by title only amending portions of Title 9 of the Municipal Code regarding second residential dwelling units, 4 ...- CITY COUNCIL MINUTES OCTOBER 24, 2000 Council Member Dickens commented on the minimum lot size standards for attached second dwelling units and asked if there were any examples in the City that had an attached second unit on a 7,200 square foot parcel, Assistant Planner McClish responded that she could not think of a specific location; however, 7,200 square feet was only the minimum size, Council Member Dickens referred to the parking standards and asked why the City could not mandate covered parking, Assistant Planner McClish responded that the provisions for parking were based on State law relating to second residential units and there was no requirement for covered parking. City Attorney Carmel read the section of State law that applies to parking requirements for second residential units, Further Council and staff discussion included clarification on parking requirements; clarification about the Deed Restriction requirement; issues related to utility meters, specifically with regard to water meters; whether the City could impose stricter interpretation of State law if the City had suitable findings; the difficulty of making appropriate findings that would support covered parking spaces; and how the maximum square footage of second residential units was determined. Council Member Dickens requested that "water meter" be included Section C,12, of the ordinance which addresses Utility Meters, Council Member Tolley stated that he did not support Finding #5 in the proposed ordinance, and that the maximum square footage of a second residential unit should be increased, Mayor Lady opened the Public Hearing, Dave Robasciotti, 178 S, Elm, asked if this proposal would jeopardize future rezoning in any areas within the City, He stated that on S. Elm there are homes, senior residences, and apartments, yet the area is zoned single-family, He said there are large lots that could be developed further in the future. City Attorney Carmel responded that it did not affect any ability to rezone, Gary Young, 2850 Mesa Alta Lane, stated that the average size of a garage was 480 square feet, He stated he built a second unit on his property that was located in the County and he was allowed to build up to 1,200 square feet, He said that further discussion about increasing the maximum square footage for second dwelling units within the City deserves consideration, 5 CITY COUNCIL MINUTES OCTOBER 24, 2000 John Keen, 298 N. Elm, applauded the Council for revising the ordinance, He said the Planning Commission held extensive discussion regarding the issue with regard to parking. He spoke in favor of keeping the maximum square footage of second residential units as proposed and that second residential units should be restricted for use as granny units, Hearing no further public comments, Mayor Lady closed the Public Hearing. Council Member Tolley stated that the General Plan calls for the building of second residential units and it was an opportunity to provide affordable housing in the City. He suggested a compromise on the square footage by increasing it to 1,000 square feet; said he was opposed to Finding #5 as it provided an easy way to deny such projects; and was opposed to #11 - Deed Restriction - which requires the owner to occupy one of the units, He stated he did not support the Ordinance in its current form, Council Member Runels stated he was opposed to Finding #5 in the ordinance, Council Member Dickens stated he supported the wording of the ordinance, He commented that there was a need to maintain restrictions on second residential units to maintain the quality of neighborhoods, He stated that a 640 square foot unit seemed small; however, it seemed appropriate for an attached second residential dwelling unit. He stated that he would support the ordinance with the minor amendment to C,12. to add water meter to the language. He also supported the requirement for a Conditional Use Permit prior to issuance of a building permit. Mayor Pro Tem Ferrara stated he did not support second units being used as rental units. He said it creates additional density; traffic, water, and other infrastructure burdens. He said he would like to take a second look at the City's Housing Element and look at the wording for support of second dwelling units, particularly in the area of affordable housing. He said he didn't believe this was a viable way to provide affordable housing. He commented on D,5, of the ordinance and said this Finding provided prudent, reasonable criteria, He said issues of public safety and nuisance should be considered, He commented that the text of the ordinance as it relates to parking is the best the City can do based on State law. He supported the ordinance as written, Mayor Lady spoke in support of the ordinance. Council Member Dickens moved to introduc& an Ordinance amending portions of Title 9 of the Municipal Code regarding Second Residential Dwelling Units, with a modification to Section C.i2" Utility Meters, to add water meter to the language, Mayor Pro Tem Ferrara seconded the motion, - Voice Vote LRolI Call Vote 6 CITY COUNCIL MINUTES OCTOBER 24, 2000 Aye Lady Aye Ferrara No Runels No Tolley Aye Dickens There being 3 A YES and 2 NOES, the motion is hereby declared to be passed. 8, CITIZENS' INPUT , COMMENTS, AND SUGGESTIONS None, 9, CONSENT AGENDA Council Member Runels moved and Council Member Dickens seconded the motion to approve Consent Agenda Items 9.a, through 9.h" with the recommended courses of action. a, Cash Disbursement Ratification. Approved, b, Cash Flow Analysis/Approval of Interfund Advance from the Water Facility Fund. Approved. c, Minutes of Regular City Council Meeting/Special Planning Commission Meeting of October 10, 2000, Approved. d, 2000 San Luis Obispo County Plays It Safe (SLOCOPS) Grant. Adopted Resolution No. 3490. e. Fair Oaks AvenuelTally Ho Road Overlay Project, Project No. 2000-3, Progress Payment No, 3. Approved. f. Spring 2000 Pavement Management Project, Project No, 2000-5, Progess Payment No, 2 and Notice of Completion, Approved. g, Technical Amendment to the Consultant Services Agreement Between the City of Arroyo Grande and John L. Wallace & Associates, Approved. h, Lopez Dam Improvement Bond Documents, Approved. - Voice Vote LRolI Call Vote Aye Lady Aye Ferrara Aye Runels Aye Tolley Aye Dickens There being 5 A YES and 0 NOES, the motion is hereby declared to be passed, 10. CONTINUED BUSINESS 7 CITY COUNCIL MINUTES OCTOBER 24, 2000 10,a, REVISION TO THE SEWER AREA CHARGE Director of Public Works Spagnolo highlighted the staff report. He explained that several issues were raised at a previous Council meeting regarding the effect of open space easements on the City's sewer area charge. He said there was a request from the developer of the Village Glen Tract 2265 project to exclude the open space easements over lots 3740 from the sewer area charge, He explained that because the final map had been approved and recorded for Tract 2265, any future changes to the sewer area charge would not be applicable for Tract 2265. Director Spagnolo explained how changes have occurred over thEt years in the method of calculating sewer area charges. Staff recommended the' Council authorize the City Manager to execute a Consultant Services Agreement to revise the sewer area charge and to specifically address open space easements; authorize an appropriation of $8,500 from the Sewer Facility Fund and add the Sewer Area Charge Update to the Capital Improvement Program, Council Member Dickens asked for clarification stating that it was his understanding that at the August 8th meeting, Council direction was to move fOlWard with charging the reduced sewer area fees for the open space areas as requested by the applicant for Tract 2265, Director Spagnolo responded that it was agreed to move forward with the first 36 lots in the Tract and that lots 3740 which include a large area of open space were in question. He stated his understanding of the direction was to go back and review the ordinance as it pertained to the open space areas and bring a recommendation back to Council. He explained that the area of the Village Glen project in question was unique in that it consisted of large lots, which are mostly open space with a small buildable area. Most projects have a separate lot entirely dedicated as open space; separate open space lots are not subject to the sewer area charge. There was extensive discussion regarding the methodology for calculating the sewer area charge. City Manager Adams clarified the current methodology by which fees are calculated and the direction to staff to review and revise this methodology so that it did not provide a disincentive for the dedication of open space. He said that most cities currently charge the fee on a per unit basis, which more accurately defines the impact on the sewer system. He explained that a per unit charge methodology would not help the Village Glen project. There was discussion on whether staff could find a model ordinance which could be used in-lieu of hiring a consultant, Mayor Lady opened up the discussion for public comment, Gary Young, 2815 Mesa Alta Lane, stated his project consisted of 41 lots on 60 acres and reviewed a chronology of the project, He stated that in March he had submitted a letter to the Public Works Department asking for clarification on the sewer connection fees required on open space areas within Tract 2265 and read it 8 CITY COUNCIL MINUTES OCTOBER 24, 2000 into the record, He stated that on March 23rd, he received a letter from the City in response and read portions of it into the record, On June 7th, he said the South County Sanitation District Board approved an exemption of fees on the deed restricted open space. He explained that a document was recorded that should the City Council undo the deed restriction and allow the development of the property, the sewer annexation fees would then be due at their current level. On June 29th, he stated another letter was sent to the Director of Public Works requesting a reduction of the sewer fees prior to map recordation, He stated that on August 8th, staff recommended the Council provide direction to staff regarding the amount of the sewer area fees to be paid for Tract 2265. He stated at that time, staff supported a reduction of fees and recommended that Village Glen Homes pay $59,481,95 in fees based on the requirements of the ordinance, He requested clarification from the Council on this issue on the fees that need to be paid. Hearing no further public comments, Mayor Lady brought the issue back to the Council for discussion. Council Member Dickens stated that the issue of revising the ordinance to charge sewer fees on a per unit basis rather than an area charge makes sense. He stated that on August 8th, he understood that staff was directed to apply the $59,481.95 sewer charge which reflected a 37% reduction, He stated he would agree that the sewer area fee should not be applied to deed restricted open space areas, He stated that Council should clarify for the applicant the direction that was given at the August 8th meeting, as well as determine what action is required to update the City's sewer area charge ordinance to reflect a unit charge. City Attorney Carmel clarified that staff's recommendation on August 8th was to follow the reduction allowed pursuant to Section 6-6.408(b) of the ordinance; however, there was a provision in the ordinance which inhibited the Council's ability to allow the reduction, This provision requires the Council to find that a lot qualifies for subdivision into five or more lots in order to qualify for a fee reduction, He explained that the concern was being able to make that finding on an open space lot which is restricted for at least 30 years, He stated that although the final map had been recorded for Tract 2265, staff believes that the Code provides a way to achieve a reduction in the fees, Following further discussion, Council Member Dickens moved to authorize the City Manager to execute a Consultant Services Agreement to revise the sewer area charge based on a per unit cost; authorize an appropriation of $8,500 from the Sewer Facility Fund and add the Sewer Unit Area Charge Update to the Capital Improvement Program; and approve the applicant's request to exclude the deed restricted open space area on lots 37-40 in Tract 2265 from the sewer area charge, Council Member Runels seconded the motion. _Voice Vote -XRolI Call Vote 9 CITY COUNCIL MINUTES OCTOBER 24, 2000 Aye Lady Aye Ferrara Aye Runels Aye Tolley Aye Dickens There being 5 A YES and 0 NOES, the motion is hereby declared to be passed, COUNCIL MEMBER TOLLEY LEFT THE MEETING AT 9:30 P.M. 10.b, TERMINATION OF CONSULTANT SERVICES AGREEMENT WITH ENVICOM CORPORATION City Manager Adams highlighted the staff report. Staff recommended the Council authorize and direct the City Manager to terminate the existing Consultant Services Agreement with Envicom to prepare the update of the City's General Plan, Mayor Lady opened the discussion for public comment, and upon hearing no comments, brought the issue back to Council for consideration. Mayor Pro Tem Ferrara moved to authorize and direct the City Manager to terminate the existing Consultant Services Agreement with Envicom to prepare the update of the City's General Plan and to move forward with staff's recommendation to acquire an in-house consultant to finish the remainder of work on the City's General Plan. Council Member Runels seconded the motion, - Voice Vote LRolI Call Vote Aye Lady Aye Ferrara Aye Runels Absent Tolley Aye Dickens There being 4 AYES, 0 NOES, and 1 ABSENT, the motion is hereby declared to be passed. 11. NEW BUSINESS None. 10 CITY COUNCIL MINUTES OCTOBER 24, 2000 12. CITY COUNCIL REPORTS: a, MAYOR MICHAEL LADY (1) South San Luis Obispo County Sanitation District (SSLOCSD), Finalized the request for the deferment of the sewer connection fees for the South County Performing Arts Center; Received another application for brine disposal for consideration; Finalized agreement with Cellular One to place antennas on one of the tanks at the Sanitation District; Considered reclassification of mechanics positions; and Received presentation of the FY 1999-00 Audit. (2) Other. None, b, MAYOR PRO TEM TONY M, FERRARA (1) Integrated Waste Management Authority Board (IWMA). Met on September 13th; Discussed concerns about maintaining the recycling diversion rate and concerns about construction and demolition waste impacting the county-wide diversion rate; APCD gave IWMA a grant from Unocal to be spent to serve Avila or rural Arroyo Grande; IWMA bought a natural gas garbage truck to service the area in order to satisfy the criteria within the grant; Reviewed and provided model ordinance to City Manager for construction and demolition waste recycling, (2) Economic Vitality Corporation (EVC). Approved Economic Vitality Corporation's Economic Development Strategic Plan, (3) Air Pollution Control District (APCD), Met September 27th; Discussion held regarding a planning tool that the Energy Commission has developed which is an urban planning tool that uses energy efficiency as a measure to evaluate land use, design of neighborhoods, the proximity of housing to jobs, managing transportation facilities, etc, The Energy Commission has brought the model to San Luis Obispo County to launch a pilot project. The Board was concerned about funding issues so it took action to approve funding on a contingency basis. (4) Other, None, c, COUNCIL MEMBER THOMAS A, RUNELS (1) Zone 3 Water Advisory Board, Reported that the water line hook up for the Village Centre is scheduled to occur right before or right after Thanksgiving. (2) County Water Resources Advisory Committee (WRAC). No report, (3) Other, Reported that the trial has been delayed in the Santa Maria Valley water litigation case; and the Lopez Dam Remediation Contract has not been awarded yet. 11 CITY COUNCIL MINUTES OCTOBER 24, 2000 d. COUNCIL MEMBER STEVE TOLLEY (1) long-Range Planning Committee. No report, (2) San Luis Obispo Council of Governments/San Luis Obispo Regional Transit Authority (SLOCOG/SLORTA), No report, (3) Other. None. e, COUNCIL MEMBER JIM DICKENS (1) South Coun~ Area Transit (SCAT), No report; next meeting is December 13t . (2) Economic Development Committee/Chamber of Commerce, No report, (3) Community Recreation Center Subcommittee, Met September 27th; Guest speaker from the Cal Poly Architecture Department addressed the Subcommittee and has committed to have students begin creating conceptual designs; an instructor from the City and Regional Planning Department would also like to assist the Subcommittee in developing a survey to be administered by the students to help identify the amenities that the community desires, Also reported that the Chamber of Commerce has put together a draft proposal to allow the South County Regional Center to be used one day a week by the seniors, 19th; (4) Economic Opportunity Commission (EOC), Met October Reviewed grant applications; Reported on the scope of services that are provided through the EOC; EOC services twelve counties within the State. Some of the services/programs that EOC provides within the City include the Halcyon Migrant Head Start program; Las Lomas State Migrant Program; the Childcare Resource Connection Food program; an PG&E Energy program for low-income applicants; and the Health Service Clinic on S, Halcyon, Met September 28th; (5) South County Youth Coalition. Presented conceptual ideas of the Recreation Center. (6) Other. None, 13, COUNCIL COMMUNICATIONS Mayor Lady reported that the Council had received a request regarding a Sister- City relationship with a jurisdiction located in Japan. Following discussion and Council consensus, Mayor Lady directed the City Manager to investigate what would be involved in forming a Sister-City relationship with Japan and report back to the Council. Council Member Dickens referred to a request the Council received from Joseph Morales, an Arroyo Grande student, requesting funding to assist in the costs of participating in a President Classroom seminar in Washington D,C, Following Council discussion about how to fund this request and associated concerns with future requests, Mayor Lady directed the City Manager to speak with the Arroyo Grande High School principal and provide the Council with additional information or alternatives regarding the request, 12 CITY COUNCIL MINUTES OCTOBER 24, 2000 14. STAFF COMMUNICATIONS City Manager Adams reported that a draft Construction and Demolition Recycling Ordinance had been completed by staff and was sent to the Chamber of Commerce for review, Mayor Pro Tern Ferrara commented that the model Ordinance that was provided by the Integrated Waste Management Authority had been reviewed by members of the Building Industry Association, He requested that. the City Manager inform the Chamber of Commerce of this fact. 15, ADJOURNMENT Council Member Runels moved, Council Member Dickens seconded, and the motion passed unanimously to adjourn the meeting, Time: 10:12 p,m. ~ 44 MICHAEL A. LADY, MAYO ATTEST: LA cJ1t1J2hJ-- ORE, ADMINISTRATIVE SERVICES DIRECTOR! DEPUTY CITY CLERK 13