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Minutes 2011-06-28 ACTION MINUTES REGULAR MEETING OF THE CITY COUNCIL/REDEVELOPMENT AGENCY TUESDAY, JUNE 28, 2011 COUNCIL CHAMBERS, 215 EAST BRANCH STREET ARROYO GRANDE, CALIFORNIA 1. CALL TO ORDER Mayor /Chair Ferrara called the Regular City Council meeting to order at 7:05 p.m. 2. ROLL CALL City Council /RDA: Council /Board Member Jim Guthrie, Council /Board Member Tim Brown, Mayor Pro TemNice Chair Caren Ray, and Mayor /Chair Tony Ferrara were present. Council /Board Member Joe Costello was absent. City Staff Present: City Manager Steven Adams, City Attorney Timothy Carmel, Director of Legislative and Information Services /City Clerk Kelly Wetmore, Director of Administrative Services Angela Kraetsch, Community Development Director Teresa McClish, and Assistant City Engineer Mike Linn. 3. FLAG SALUTE Bob Lund, representing Arroyo Grande In Bloom, led the Flag Salute. 4. INVOCATION Pastor Randy Ouimette, Pastor, St. John's Lutheran Church and Chaplain of the Five Cities Fire Authority, delivered the invocation. 5. SPECIAL PRESENTATIONS 5.a. Special Centennial Presentations. Mayor Ferrara welcomed the following elected officials from neighboring jurisdictions who presented Centennial Proclamations to the City in honor of its' 100 Anniversary: John Shoals, Mayor, City of Grover Beach; Shelly Higginbotham, Mayor, City of Pismo Beach; John Ashbaugh, Vice Mayor, City of San Luis Obispo; and Adam Hill, Chairman of the Board OF Supervisors, County of San Luis Obispo. Mayor Ferrara thanked all the agencies who presented Proclamations and then read a letter received from Governor Jerry Brown congratulating the City on its Centennial Anniversay. 6. AGENDA REVIEW 6.a. Ordinances Read in Title Only. Council Member Brown moved, Mayor Pro Tem Ray seconded, and the motion passed unanimously that all ordinances presented at the meeting shall be read by title only and all further readings be waived. 7. CITIZENS' INPUT, COMMENTS, AND SUGGESTIONS The following members of the public spoke during Citizens' Input, Comments and Suggestions: Jeff Pinak and Brad Snook, representing Surfrider Foundation. Minutes: City Council /Redevelopment Agency Meeting Page 2 Tuesday, June 28, 2011 8. CONSENT AGENDA Mayor Ferrara invited public comment on the Consent Agenda. Speaking from the public regarding Item 8.g. was John Spencer, Spencer's Fresh Market. There were no other comments received, and the public comment period was closed. Council Member Brown requested that Items 8.f., 8.g. and 8.h. be pulled. Mayor Pro Tem Ray requested that Item 8.e. be pulled. Mayor Ferrara requested that Items 8.b. and 8.c. be pulled. Action: Council Member Brown moved, and Council Member Guthrie seconded the motion to approve Consent Agenda Items 8.a. through 8.k., with the exception of Items 8.b., 8.c., 8.e., 8.f., 8.g. and 8.h., with the recommended courses of action. The motion passed on the following roll -call vote: AYES: Brown, Guthrie, Ray, Ferrara NOES: None ABSENT: Costello 8.a. Consideration of Cash Disbursement Ratification. Action: Ratified the listing of cash disbursements for the period June 1, 2011 through June 15, 2011. 8.d. Consideration of an Award of Contract to Ferravanti Grading & Paving for Construction of the Traffic Way Extension Asphalt Overlay and Citywide Digout Project, PW 2011 -04. Action: 1) Awarded a contract for the Traffic Way Extension Asphalt overlay and Citywide Digout Project to Ferravanti Grading & Paving in the amount of $314,362; and 2) Authorized the City Manager to approve change orders for 10% of the contract, $31,436, for unanticipated costs during the construction phase of the project. 8.i. Consideration of City Manager Employment Agreement. Action: Approved a new City Manager Employment Agreement. 8.j. Consideration of Salary and Benefit Adjustments for Management Employees. Action: Adopted Resolution No. 4375 entitled, "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE MODIFYING COMPENSATION FOR MANAGEMENT EMPLOYEES FOR FY 2011 -12 ". 8.k. Consideration of Memorandum of Understanding with the Service Employees International Union Local 620. Action: Adopted Resolution No. 4376 entitled, "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE ADOPTING A MEMORANDUM OF UNDERSTANDING FOR EMPLOYEES REPRESENTED BY THE SERVICE EMPLOYEES INTERNATIONAL UNION LOCAL 620 AND REPEALING RESOLUTION NOS. 3875, 4101, 4193, 4274, 4299, AND 4323 IMPACTING SAID EMPLOYEES ". ITEMS PULLED FROM THE CONSENT AGENDA 8.b. Consideration of Statement of Investment Deposits. Recommended Action: Receive and file the report listing the current investment deposits of the City, as of May 31, 2011, as required by Government Code Section 53646(b). Minutes: City Council /Redevelopment Agency Meeting Page 3 Tuesday, June 28, 2011 Staff responded to questions from Mayor Ferrara regarding potential for more fund diversification within the City's investment deposits. Action: Mayor Ferrara moved to approve Item 8.b. with the recommended course of action. Mayor Pro Tem Ray seconded, and the motion passed on the following roll call vote: AYES: Ferrara, Ray, Guthrie, Brown NOES: None ABSENT: Costello 8.c. Consideration of Approval of Minutes. Recommended Action: Approve the minutes of the Special and Regular City Council Meetings of June 14, 2011, as submitted. Mayor Ferrara noted a correction to in the Regular City Council meeting minutes of June 14, 2011 that he attended a League of Cities Policy Committee Meeting, not a Board Meeting. City Clerk Wetmore noted the change. Action: Mayor Ferrara moved to approve Item 8.c., as amended. Council Member Brown seconded, and the motion passed on the following roll call vote: AYES: Ferrara, Brown, Guthrie, Ray NOES: None ABSENT: Costello 8.e. Consideration of a Fourth Amendment to the Agreement with North Coast Engineering for the El Camino Real Rehabilitation and Enhancement Project, PW 2008 -09. Recommended Action: 1) Approve a Fourth Amendment to the Agreement for Consultant Services with North Coast Engineering to increase the "not to exceed" amount by $8,958 to perform additional roadway design services near Comwall Avenue, construction surveying and construction support for the El Camino Real Rehabilitation and Enhancement Project; and 2) Authorize the Mayor to execute the Amendment. Staff responded to questions from Mayor Pro Tem Ray regarding costs for improvements near Cornwall Avenue located near the VCA Animal Hospital. Action: Mayor Pro Tem Ray moved to approve Item 8.e., with the recommended courses of action. Council Member Brown seconded, and the motion passed on the following roll call vote: AYES: Ray, Brown, Guthrie, Ferrara NOES: None ABSENT: Costello 8.f. Consideration to Approve Final Tract Map 2653 — Cherry Creek; Subdividing 9 Acres into Twenty-Eight Residential Lots, Six Open Space Lots, and One Drainage Lot; Adopt a Resolution Accepting Easements and Public Improvements; Approve a Subdivision Improvement Warranty Funding Agreement; Adopt a Resolution Accepting the Transfer of a Portion of the Real Property Formerly Known as Dirt Minutes: City Council /Redevelopment Agency Meeting Page 4 Tuesday, June 28, 2011 Cherry Avenue Located Immediately Adjacent to Tract 2653; and Approve an Agricultural Buffer Easement and maintenance Agreement. Recommended Action: 1) Approve Final Tract Map 2653 — Cherry Creek, subdividing 9 acres into twenty -eight residential lots, six open space lots, and one drainage lot; 2) Adopt a Resolution accepting the Lot 29 drainage lot, easements and public improvements; 3) Approve a Subdivision Improvement Warranty Funding Agreement withholding $271,707 of funds the City committed to pay to the Tract owner towards the regional portion of the drainage improvements installed as part of the project and an additional $21,800 to guarantee certain additional minor improvements; 4) Adopt a Resolution accepting the transfer of a portion of the real property formerly known as Dirt Cherry Avenue located immediately adjacent to Tract 2653; and 5) Approve an Agricultural Buffer Easement and Maintenance Agreement. Staff responded to questions from Council Member Brown regarding enforcement of agricultural buffer landscaping maintenance requirements and questions regarding whether the developer obtained all ownership interests needed to transfer "dirt cherry" to the City. Action: Mayor Ferrara moved to approve Resolution No. 4377 entitled: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE ACCEPTING EASEMENTS AND IMPROVEMENTS FOR TRACT 2653 CONSTRUCTED BY HUASNA DEVELOPMENT COMPANY, LLC "; and Resolution No. 4378 entitled: "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE ACCEPTING THE TRANSFER OF A PORTION OF THE REAL PROPERTY FORMERLY KNOWN AS DIRT CHERRY AVENUE (A PORTION OF APN 007 - 711 -004) LOCATED IMMEDIATELY ADJACENT TO TRACT 2653 "; approve Final Tract Map 2653 — Cherry Creek, subdividing 9 acres into twenty -eight residential lots, six open space lots, and one drainage lot; approve a Subdivision Improvement Warranty Funding Agreement withholding $271,707 of funds the City committed to pay to the Tract owner towards the regional portion of the drainage improvements installed as part of the project and an additional $21,800 to guarantee certain additional minor improvements; and approve an Agricultural Buffer Easement and Maintenance Agreement. Council Member Guthrie seconded, and the motion passed on the following roll call vote: AYES: Ferrara, Guthrie, Ray NOES: Brown ABSENT: Costello 8.g. Consideration of Development Code Amendment 11 -003; Adoption of Ordinance Amending Regulations Regarding Temporary Signs; Citywide. Recommended Action: Adopt an Ordinance amending portions of Chapter 16.60 of Title 16 of the Arroyo Grande Municipal Code regarding temporary banners and signs. Staff responded to concerns expressed during public comment and clarified the time period regulations for temporary pennants and flags; and clarified that American flags and holiday decorations were not considered commercial signs, therefore, they are not regulated by the proposed Ordinance. Mayor Ferrara invited public comment on Item 8.g. Speaking from the public was John Spencer, Spencer's Fresh Market, who expressed concerns regarding the short time limit for Minutes: City Council /Redevelopment Agency Meeting Page 5 Tuesday, June 28, 2011 displaying pennants, flags, and holiday decorations. There were no further comments received, and the public comment period was closed. Action: Council Member Brown moved to adopt an Ordinance entitled, "AN ORDINANCE OF THE CITY OF ARROYO GRANDE AMENDING PORTIONS OF CHAPTER 16.60 OF TITLE 16 OF THE ARROYO GRANDE MUNICIPAL CODE REGARDING TEMPORARY BANNERS AND SIGNS ". Council Member Guthrie seconded, and the motion passed on the following roll call vote: AYES: Brown, Guthrie, Ray, Ferrara NOES: None ABSENT: Costello 8.h. Consideration of Consultant Services Agreement with The Wallace Group. Recommended Action: Approve and authorize the Mayor to execute an updated agreement with the Wallace Group for engineering services. Staff responded to concerns from Council regarding the delay in issuing a Request for Proposals for engineering services. Council Member Brown also requested the Council consider continuing this item for two weeks to direct staff to provide documentation regarding the rates charged by other local engineering firms for similar services. Action: Council Member Brown moved to continue this item for two weeks and direct staff to provide additional documentation regarding rates charged by other local engineering firms. Council Member Guthrie seconded, and the motion passed on the following roll call vote: AYES: Brown, Guthrie, Ray, Ferrara NOES: None ABSENT: Costello 9. PUBLIC HEARINGS None 10. CONTINUED BUSINESS None. 11. NEW BUSINESS 11.a. Consideration of FY 2011 -12/FY 2012 -13 Biennial Budget. [CC /RDA] Director of Administrative Services Kraetsch presented the staff report and recommended that the Council /Board adopt a Resolution approving the FY 2011 -12 Budget. Council /Board Member questions and comments ensued regarding impacts to the City as a result of the State's elimination of redevelopment agencies; clarification of payments to the California Joint Powers Insurance Authority; clarification regarding worker's compensation costs; clarification that funding for a solar speed sign on Huasna Road is from the Local Sales Tax Fund; and to add a goal for the Legislative and Information Services Department to ensure continued, comprehensive IT support for the city's network infrastructure, City staff, and City Council. Minutes: City Council /Redevelopment Agency Meeting Page 6 Tuesday, June 28, 2011 Mayor /Chair Ferrara opened the public comment period. There were no comments received, and the public comment period was closed. Action: Council /Board Member Guthrie moved to adopt "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE ADOPTING FISCAL YEAR 2011 -12 OF THE FISCAL YEAR 2011 -12 & 2012 -13 BIENNIAL BUDGET AND MAKING APPROPRIATIONS FOR THE AMOUNT BUDGETED ". Council /Board Member Brown seconded, and the motion passed on the following roll call vote: AYES: Guthrie, Brown, Ray, Ferrara NOES: None ABSENT: Costello 12. CITY COUNCIL REPORTS The Mayor and Council Members provided brief reports from the following committee, commission, board, or other subcommittee meetings that they have attended as the City's appointed representative. (a) Mayor Ferrara: (1) San Luis Obispo Council of Governments /San Luis Obispo Regional Transit Authority (SLOCOG /SLORTA). (2) South San Luis Obispo County Sanitation District (SSLOCSD) (3) Brisco /Halcyon /Hwy 101 Interchange Project Subcommittee (b) Mayor Pro Tem Ray: (1) Economic Vitality Corporation (EVC). (2) California Joint Powers Insurance Authority (CJPIA) (3) Tourism Committee (c) Council Member Costello: (ABSENT) (1) Zone 3 Water Advisory Board (2) Air Pollution Control District (APCD) (3) Five Cities Fire Authority (FCFA) (d) Council Member Guthrie: (1) South County Area Transit (SCAT) (2) Community Action Partnership (CAPSLO) (3) Homeless Services Coordinating Council (HSOC) (e) Council Member Brown: (1) Integrated Waste Management Authority Board (IWMA) (2) County Water Resources Advisory Committee (WRAC). 13. CITY MANAGER ITEMS None. 14. COUNCIL COMMUNICATIONS Mayor Ferrara encouraged the Council and staff to participate in the Centennial Gala on July 8, 2011. Mayor Pro Tem Ray thanked Michelle Mayfield for organizing the City's participation in