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Minutes 1986-08-12 CI'rY COUNCIL AUGUST 12, 1986 ARHOYO GRANlJE, CALH'ORNIA 7:30 P.M. The City Council met in Regular Session with Mayor B'Ann Smith presiding. Upon roll call Councilmembers Matt Gallagher, Dorace Johnson, Gene Moots and D.G. Porter were present. The meeting took place at the City Council Chambers, 215 Branch, Arroyo Grande, California. PLEDGE OF ALLEGIANCE AND INVOCATION Councilmember Moots led the Pledge of Allegiance to our Flag. Councilrnember Johnson delivered the invocation. ORAL COMMUNICATIONS ELLA HONEYCUTT of 560 Oak Hill Road was concerned about the Sanitation Uistrict raising rates. She said that there should be ample funds and requested that the City Council have a study session as to why there are problems at the Sewer District. MARIE CATTOIR of 195 Orchard Lane witheld Item 12 from the Consent Agenda. She was concerned about the July 30 and August 6 minutes of the Sanitation District. CONSl'.!f.L~AmiliQ!!. On motion of Councilmember Johnson, Seconded by Councilmember Moots, and unanir,\ously carried, to approve all Consent Agenda Items, with the exception of It~ms 1,5,12,17,18 and 20A. - ., C.d. Dubu<seoICnt Ratification &: Demand Register (RecOttJmo:nd Approval) ~. 3. July Invesn""nt Deposits Statem.:nt (Infonnation) 4. "Good N.i~rs" Months: September through December, 1986 (Recc.omc:nd Mayor So Proclaim) - -- I>. Jwy. l~l>b D.partmental Report (Information) 7. June 17 anJ ]wy I, 1986 Planning Coomission Minutes (Infomlation) ~. Aug...t 5, 19b6. Planning C~m,;<sion Answered Agenda (Information) 9. Jwy H, 1986 Parkinz and Traffic CorrmWion Minutes (Infocnation) 10. ]Ull< 23, 1906 SCAT Minutes (Infc.tt.1ation) 11. June, 1986 SCAT Monthly Performance Report (Information) 13. San Luis Obispo Area Coordinaring Council Leg;,.1.1Iive Report (Information) 14. Le,.gue of Califomio Cities: A. Legulative Bulletin No. 26-1986 H. Spedal Bulletin Re Gann Pay Limitation Initiative (Informacion) J 5. Terra de Oro Prognss Payment Nc.. 2 (Recomowmd Approv~) . 16. Methodist Canlp Wata Line Euement Acceptance (Recoumend Acceptance) 19. Resc.luti.:m of Recognition and Awatd to Flora I. Queen (Recoomend Adoption) 20. Oak Park MedW\ Funding and Go To Bid (R eccIIDllend Authorization) CITY CXJUNCIL AUGUST 12, 1986 ARROYO GRANDE, CALIFORNIA PAGE TWO Cbnsent A~a.Item 1 -M"mutes 2!. i/1Ih! .22.. 2i 6; Aup:lt .t. ~ Mayor Smith noted that the concern WIIS about the Minutes ot July 22 regarding the Noi~e Element ot the General Plan having to do with three COIIIII."jts by the Oty Manager. She said that the CUIIIJII::11ts and recuollleltdation; ot the Oty Manager shouJd be within the Minutes so that there is no contu9011 In the future. She requested that the page showing the COITection; be Included In the next Agenda. Chnsent Aienda.Item ~ =- VilIAiP AssocIation n"",1I'I! 2!. ~ smt. 0MIci1member Jolmson, In ~ to the Village Association closure ot Bridge Street, asked It any canpllcations rrdght arise It perrrission to close Bridge Street was granted. Mr. Mack said that Bridge street was closed ju!It prior to the July 4th activities and there were no problerrs. Chnsent Aienda.Item lZ. =- B2.utb. SlID. LuI&. OIi'lpO ('h1m1;y SanItation Db;trIct MARIE CA'ITOIR, ot 195 Orchard Lane, wanted to know It coment agenda enclosures were reglJl'dlng the appeals rela~ to the Oak Park Issue. Mayor Smith said that they were regarding the Oak Perk Issue and did Include an appeal from the Sanitation DIstrict. Mrs. O1tto1r WIIS !1'OVided enclosures by Mr. Mack. Chnsent Aienda .Item Jl =- I"hA<ztAI ~ 1mc1 H2a.l2!!1 ~ IIID'OVBIII!Ilts Acceptance 0JuncibneIrber Johnson was concerned about safety Invol~ cars backing out on both sides ot the street. She said that there is not enough clell1'8nCe tor me Clll', ITU!h less ~. She asked It this was what they were accepting tooight. Mr. Karp said that tonight we 8I'e accepting the public im(:rovements. He said that the !1'Oject Is no kqer subject to review ot planning criteria. Mayor smith said that we 8I'e a~ the irr{rovenents In ~ to the Acceptance Bond. Mayor Smith requested that Mr. Elsner !1'OVide the CouncIl with a report by the PI8mIng CormissIoo ~ the original review ot the project. Chnsent Aemda .I1mJ 18. =- EIne. amt. ~ Rkb1 2!. lYU GtImt. D!m AcceDtance Mr. Karp said the matter ot the PIne Street P\lbIfc Right ot Way was I:rought to the CouncIl because the PIne Street F\Jbllc Right of Way WIIS required If the ~ t)' owners at the north end ot Pine Street wanted to comtruct sldew8lks and a turnaround In an area not (X'eVIOlIIly dedicated to the public. He said the area had a IUII1ber of oak trees which could be preserved It the QJuncil pemits staft to vary from Oty standar<B when futtre (X'O{)o:tt)' owners apply tor pemits to Install sidewalks. QJuncllmen Iber Johnson expressed COIlCern about the trees In the area. She \\OOJd like to see the oak trees taken In consIderatloo. She wanted the trees to remain. Mr. Kill'(> explained, from a bulletin board, about the trees In the area, what was being done to preserve the trees. He noted one large oak In pIII'ticuI8r that the (X'u!Jt:I t)' owner wanted to [reserve. 'The pI'O{)eI't)' owners are 8W111'e of the CouncIl's wish to !1'Otect the trees; each case will cane before the Bo8rd and be decided on an individual basis. Chnsent Aimda.Item.2.!!A =- J}f"""" lYlI1kwIIy Rejection of. Bi!h CbuncIlmember Johnson asked what the DbaIon Walkway was and how we named It. Mayor Slrith explained that It belonged to the DIxson family and came fran the P8rkIng and Advisory Bo8rd, who named It tor the Dixson tamlly. On motion of CbuncIlmember Jolmson, seconded by QJunclJne,1ber Moots, and unanlm:Mly c!llTied, Chnsent Agenda Item; 1, 5, 12, 17, 18 and 20A were a[)Il'OVed. FRIYAIE ENGlliEERS ERRORS AND OMTSSTONa .msIIRAHCE Mr. Mack noted that tor the current fiscal yelll', the Oty lacked liability insurance that pertained to any type ot earth movement. That type ot insurance is not available anymore. He cited a (X.'ecedent set by the Daly Oty C!8Se, whereas In 1982, during heavy stomB, homes located on slopes, sane as long as ten years or more, slid. Iropei'~ owners sued the designer, people Involved In the construction and the Oty of Daly Oty. The cities were held partly resp(udble tor allowing houses 00 slopes. The Insurance caT()BnYS reacted by removing any type of earth movement Instn'8l'ICe. 'The question remains as to what kind ot Insurance do engineers have to cover this type of thing. the Oty Councll asked that private engineers be present at a meeting so that the CouncIl could get an Idea of the type of expcsure they (the Onmcil) have. Mayor Srrith referred to letters from San LuIs Engineering, Inc. and Bonita Hanes. She asked for a report from engineers In the area. CITY OOUNCIL AUGUST 12, 1986 ARROYO GRANDE, CALIFORNIA PAGE THREE FlUYAIE ENGINEERS ERRORS AND OMISSIO~ .lliSllRANCE (contlnued) JIM MOOILLIS, 133 BrIdge Street spoke on behslf of hinBeJf and his colleagues. He said, bosicslly, that we are self-insured. The cost for $25,000 deduct.ible with $500,000 cap Is $38,000 per year. For $25,000 deductible, $1,000,000 cap, the cart Is $48,000 per year. In a major earth slide, the Insurance v.uuld probably be Inadequate. Mr. McGillis said he ~ have to generate $1,000 per week Incane to pay the insurance costs. In addition to the expense, consider the WIly that ErI'a's and OrrdssIons Imurance \\Q'ks. In the lBst ten years San LuIs Engineering spent $7,435 In COI'lectlng minor errors, which Is a lot less than $50,000 Insurance carts. Mr. McgIllIs stated that If his crew staked a driveway wrong, they would not be allowed to fIX that driveway. It v.wld have to be turned Into the insurance canpeny, \'Ato v.uuld Investigate It. The ninIrrum cost for the investigation Is $3,000. the cost for fixing the driveway Is $300. the insurance CCIJt'8IIY v.wld settle out of CO\rl for $25,000, the deductible. The actual mechanism of how the Insurance \\Q'ks Is one of the major re&SOI\':I wily they do not have the Insurance. Maya' smith asked If this Is COIII,lOh practice tlu'oughout Oilifomla. Jim McGillis said that he believes that smaller fInrs do not carry the Insurance. Larger fInrs, like Boyle Engineering out of San Diego, J:1'Obably carry the insurance. Maya' Smith asked If all the engineering fInrs In the O!ntral <:bast area delete the Insurance. Jim McGillis said yes, to his knowledge. Maya' Srrith asked If soil engineers have the ErI'a's and Onissions Imurance. Jim McGillis said that he doubts It. He also doubted that the two fInrs me<! In this area have the lmurance. BILL SOMMERMEYER, 1173A El Om1Ino Real, noted his cost for fixing errors over the past 27 years WIIB $2700. The cost for the lnsIrance v.uuld have been $25,000 per year. He did not feel that the lnsIrance v.uuld necessarily protect the city. He Introduced his attorney, John Darwin. JOHN DORWIN, 16 West Mission Street, Santa Barbara, noted that he has had some experience In Santa Barbara cases from the aspect of the plaintiffs. He refenoed to the PI'ofesslonal EngIneering Act. He said that we should not look to jurt the engineers as a solution to the city's problerrs Instead of overall liability problerrs the LegIslature has already dealt with. If we single out engineers, we are not looking at all the other people Involved. It Is a team effort that puts together a subdivision, and If any portion of that team falls, we end up with liability problerrs. He noted that an alternative woolcI be to provide for a liability bond by the developer, or by the owner, to Insure the J:1'Oject. When a client canes In to see an attorney, we look to their lnsIrance first. We look at the Bond. Then we look to the banks and the lenders \'Ato loaned on all the individual hotEes. He said that If the city wished to J:1'Otect itself, it need! to identify high risk areas. The city II'I.5t be aware of where the problerrs are involving geological hazards and seismic problerrs. These are historical areas of liability, J:1'Ojects that should never have been built In canpllance with the Unlfonn BuIlding 0xJe. He recUlIIII,,,ided that the Oty CbuncU might WBIIt to check with the Oty Attorney and the leading text In the field, LandslIdes and Sub!ldence Practice, by the O:Jntinulng Education Board of the state of O11Ifomla. 'ThIs Is a blueprint for plaintiffs' attorneys. It Is also a blueprint on how to run a lBndslIde case, defend them and avoid the problem In the first place. A lot of our Oilifomla cases talk about "red fIags"-uneven foundations, soil problerrs, hcues built on slopes greater than 45 degrees. If you study the problem and alert the staff to these "red flags", you can avoid the J:1'Ojects that Involve the city In liability suits. The key Is to spot the problem and keep the J:1'Oject from being built. Ninety percent of these problerrs relate to soil stability, flood control hazards, siting of a J:1'Oject too close to a slope, expal'l!llve soDs In presence of septic systerrs and known seismic hazards where we have UIICUII~ted fill. Rather than regulating the practice of engineers and getting Into a competition with the state Board of Professional Practices, the Oty should require soU tests and have them reviewed by a licensed soil engineer, and not allow anyone to build on a slope greater than 45 degrees without jllrtlficatlon. Matt Gallagher wanted to know how one couJd "red flag" a person's property without getting Into a Iawroit for down grading and devaluating hIs/her pN[JeI t)'. JOHN DORWIN CUI...",nted that he thought the city could sllow deve~I"'lIt with adequate disclosure and avoid the Inverse Cbndennatlon Issue. InsIst, as a tenn of the perrrits and occupancy, the White Paper contain the geological risk, and get them to sign a paper acknowl~ that they are occupying a hazardou!; site. CITY COUNCIL AUGUST 12, 1986 ARROYO GRANDE, CALIFORNIA PAGE FOUR ElUYATE EHG.WEEB.5 ERRQRS AlfD OMTRRTOHS .lliSl1RAlfCE (continued) LARRY ROHLOFF, 1328-B Gmnd Avenue, GI"Over aty, reaff1nned what his colleagues had said and added 00 additional Item;. He said that he had attEnt>ted to get Insurance, and that 00 Insurance canponys YQJ}d not talk to him about EiTors and OnissIol19 Insurance. They are not issuing new policies, particulBrly to new buJlnesses. BeIng concerned about liability Insurance, he attended a seminar with people from all over the United states. The point trought up was If you have (X'Ofess1onBl instrance, It Increases the chance by 43 percent that you are going to be sued, a "deep pocket" side effect. That is why sane are trying to go without. He said that he could not afford the Insurance If It were avallable. If he could, the cost M>U1d be passed on to the people. He said that If the aty of Arroyo Grande required the insurance, he M>U1d not be able to ~ fer the aty. JIM GARING, 141 South EJm street, handed out an actual Insurance canpeny quote fer Emrs and Onisslons to the aty 0Juncfi, explaining the cost to his ~, If they had EiTors and OmIssIons Insurance. He noted that the Insurance cost of $60,000 to $80,000 per year \\WId pay 00 times over all the cJairrB they have ever had ht 25 years of operation. He said that the $15,00 to $25,0000 deductible is used by Insurance ~ as a bargaJnIng chip. A case oould cane to trial, get right up to the court, then the insurance ~ YoOOld settle fer the amount of the e~'s deductible. It does not rns.tter to the Insurance canpany If you are right er wrong. He introduced neMpllper clippl~ and perlodIcaJs concemlng sane of the liability Insurance problem;. He said that sane very qualified engineers the aty could like to have ~ fer them are tmable to get liability Insurance. O>unciJmember GalI8gher asked what type of Insurance Jim Garing did clI!TY. He answered that there are basically 00 types of insurance, General BusIness LIability Insurance, which he has and which roost of the blElnesses clI!TY; and Professional Liability Insurance. The General BusIness Liability Insurance covers ~ne getting hurt on your !Jt'vv<:.l tj. The Professional LiabIlity Insurance is different. ThIs Is wI1ere an individual feels you have rns.de a nistake and sues fer ~ce. ThIs is the insurance that is unavallable er the cost too expensive. CounclJmember Johnson noted that other engineers felt their loeses were negligible, usually the cost of correcting their eITOI'S, and asked Jim Garing If he agreed. He did. He did note, however, that the only time Garing and Tayler and AssocIates had any significant loss, they were carrying liability Insurance. 0JunciJment>er Moots asked If there had been anyone hurt or any major dlstruction of homes due to faulty engineering ht the area. Mr. Garing said that to his knowledge, there had been no construction faul1s, and the only person claiming Injury due to a faIl had lost In court. On motion of Cbuncllmel.1ber Gallager, seconded by Counclbnember Porter, and \II1III1imou;ly carried, the quote fran Vlcter O. Schlnnerer and 0:ITpmy, Inc. was made a part of the record. CbuncIh,IeIIIber Gallagher said that he YoOOld like to have a study session to gather more facts becau;;e the aty ends up being the "deep pocket." The aty has unIlrrited resources, accordl~ to how sane of the lawyers address what goes on. He said that we could have one percent of the liability and pay 99 percent of the costs. He thought the WhIte Paper could be of some help to the aty, and the aty should "red flag" certain areas so that we do not get Into a problem In the future. He also felt that between the attorneys and the liberal awardg that are being given In these cases, the aty should do everything possible to reduce the risks. Cbuncllmember Johnson WIJS concerned about the high cost of liability Insurance. She asked Mr. Shaw to cooment on Item 3A fran Mr. McGillis' letter, stating that the State law aIl0\\6 them to practice , and the aty OrdInance cannot be more restrictive than the state Ordinance. Mr. Shaw said that as far as regulating the practice of the engineers, that \\OOld be true, but he felt that the aty could hire engineers who had their own Insurance. OJuncilment>er Johnson wanted to know If we had a precedent In the County wI1ere other cities were requiring Errors and Onisslons Insurance. Jim Garing said that he did not believe there were any local cities requiring the engineers to have Insurance, except on partlculBr jobs. Occasionally, If an agency Is concerned about a particulBrly ca11>IIcated design, wI1ere life may be at risk, insurance may be required of the engineers. Mr. Karp stated that everyone purchasing residential property In a subdivision Is encouraged to read the WhIte Paper on the subdivision. He noted that under the Map Act, we do require soDs reports on every new subdlvlsloo. John DorwIn said that the aty has several statutes that do not make It a good target defendant. We have the 100 Day 0aIm statute under the Government Cbde for filing claiml after the Injured party has given notice of the ca~e of action against the aty. We have sane shorter statutes of LImitations that relate to negligence CITY COUNCIL AUGUST 12, 1986 ARROYO GRANDE, CALIFORNIA PAGE FIVE PRIVATE ENGINEERS ERRORS AND OMISSIONS INSURANCE-Continued as far as the City or the engineer is concerned. When we look at the developer for latent defects in California under that Statute of Limitations, we are talking about a ten-year statute. We are also talking about greater exposure because we can go after them under a Theory of Products liability. We do not have to necessarily prove they are negligent, only that they had a defective product. We also have Proposition 51 in California. Now someone will have to go into court and prove exactly what percentage of liability the City has. ELLA HONEYCUTT of 560 Oak Hill Road said that even though insurance costs are high, it is the duty of the City Council to go over the City Ordinances to see where the problems are and do whatever is necessary to protect the people and the City. Mayor Smith asked for Council input. Councilmember Gallagher said by gathering more information and with engineer involvement, perhaps the City could solve the problem by identifying what the attorney brought forth and protect the people and the City against costly lawsuits. He advocated continued close cooperation between the City, the City Attorney and the engineers. CITY PARTICIPATION IN COASTAL BRANCH ENVIRONMENTAL IMPACT REPORT/WATER STUDY Mayor Smith explained what the County wants and Mr. Mack's recommendation of participation in the E.I.R. and E.I.R. consideration of 4,000 acre feet annually. An adoption of a Resolution was recommended. BILL SOMMERMEYER passed out information on the population trends in Southern California 1980-85. On motion of Councilmember Gallagher, seconded by Council- member Porter and unanimously carried to accept the paper as part of the record. A discussion of the graphs and numerical increase in the population followed. Mr. Sommermeyer felt that the City should ask for as much water as they could possibly get to prepare for a future influx of people into the area. Mayor Smith referring to the August 7, 1986 Staff Report read the recommendation from the City Manager and introduced the two resolution drafts for the Council's consideration. She explained that the Council was to vote for or against par- ticipation and, if voting for, insert the amount of acre feet wanted. The overall opinion of the City Council was that we should develop our water sources. Councilmernber Porter, however, would only want participation if all other public water agencies in the County also participated. He was concerned that the other cities would not commit and Arroyo Grande would be obligated for the entire cost. Mayor Smith agreed with Councilmember Johnson that the City was only being asked to commit to a study. Mr. Mack said that it is not likely that the northern cities in the County will want to participate in the E.I.R., and that if all had to participate, there probably would not be an E.I.R. A discussion of the cost of the E.I.R. followed. Councilmember Johnson noted that being at the extreme south end of the County, we are in an excellent position to sell water to Santa Barbara County. Councilmember Gallagher felt State water would be high quality water, that we are a high quality and others look to us for leadership, and we should participate. ELLA HONEYCUTT agreed with Councilmember Porter that all cities should participate in the E.I.R. MARIE CATTOIR asked that participation in the E.I.R. be put to a vote of the people in November. Mayor Smith asked for reading of the Resolution favorable to the E.I.R. and asked that 4,000 acre feet be the amount inserted. Mr. Mack read the title and the entire Resolution authorizing the City of Arroyo Grande to participate in the Coastal Branch of the State Water Project Environmental Impact Report, requesting delivery of 4,000 acre feet annually. RESOLUTION NO. 1981 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE AUTHORIZING CITY OF ARROYO GRANDE PARTICIPATION IN THE COASTAL BRANCH OF THE STATE WATER PROJECT ENVIRONMENTAL IMPACT REPORT On motion of Councilmember Moots, seconded by Councilmember Johnson, and on the following roll call vote, to wit: AYES: Mayor Smith and Councilmembers Gallagher, Johnson and Moots NOES: Councilmember Porter ABSENT: None the foregoing Resolution was passed and adopted this 12th day of August, 1986. .~~.._-_._._----"_.","" --"-'..'-',-"-'.- CITY COUNCIL AUGUST 12, 1986 ARROYO GRANDE, CALIFORNIA PAGE SIX RANCHO GRANDE TENTATIVE TRACT MAP NO. 1132 AND TENTATIVE PARCEL MAP NO. A.G.A.L. 83-013 TIME EXTENSION Mr. Eisner referring to his Staff Report of August 6, 1986 explained the request for a 12 month time extension on Tract ll32 and Parcel Map A.G.A.L. 83-013 with one condition as outlined in the Staff Report. He displayed and explained at the board a map of the tract. A discussion of the reason for the time extension followed. Mr. Karp explained that a concern of the Staff was that a hold-up of the recording of the map would hold up other subdividers of land who would require use of water from the storage tank being constructed on Rancho Grande property. If a dedication of the tank has not occurred be- cause the map has not recorded, the City would not be able to issue Building Permits even though everything else was ready. He alsoa explained that at the time the Rancho Grande project was originally approved, the City required a bonding that said that in the event that offers to dedicate are not provided by the two year period, the City will take the bonds and acquire the tank site, easement and pump station site through Eminent Domain. On motion of Councilmernber Moots, seconded by Councilmember Johnson, and unanimously carried to grant the requested extension with the one condition as outlined in Mr. Eisner's Staff Report of August 6, 1986. STAGECOACH ROAD TRACT MAP NO. 1187 APPROVALS Mr. Karp referred to his memo of August 7, 1986 and recommended approval of Tract 1187, Stagecoach Road. Referring to the map, he explained Item 2, and noted that there had been no changes since the last Council discussion. On motion of Councilmember Johnson, seconded by Councilmember Moots, and unanimously carried to approve Stagecoach Road Tract Map No. 1187, finding the map to conform with Resolution 1948. RESOLUTION REQUESTING LAFCo TO INCLUDE OAK PARK ACRES l55-ACRE PARCEL IN CITY'S SPHERE OF INFLUENCE WITH CONDITIONS Mr. Mack explained the Resolution. If adopted, he would convey the approval to LAFCo at the hearing. It was noted that the City Council had read the Resolu- tion. MARIE CATTOIR was not in favor of taking the 155 acres into the City's Sphere of Influence because she did not feel that would conform with the City's attempt to keep agricultural land from being developed. JOHN WILLBANKS of 416 Higuera Street, San Luis Obispo spoke in behalf of Oak Park Acres. He noted that the site is a hillside site and not suitable for agriculture. He said that it was city policy to use hillsides for building. He said that he was not here to oppose action on the issue before the Council but to see if annexation to the City made sense. He wanted the language in Paragraph C. Traffic to reflect the same language as Paragraph C. Traffic of the Resolution relating to the 28 acres for the Grace Bible Church. He felt that it was absolutely imperative for planning purposes to view the two properties together. His purpose was to have an E.I.R. and be able to go ahead with development prior to the completion of the Oak Park/U.S. 101 Interchange improvements. He wanted to acertain if the City had any desire to see the property within the City limits or just within the Sphere of Influence. Mayor Smith felt that deleting the completion of the Oak Park/U.S. 101 Interchange was not relevant because there were other factors to be dealt with that would probably take longer. She questioned the sewer services. Mr. Willbanks felt that they would be able to take care of the Sanitary Sewer. Councilmember Gallagher noted that the Sewer District Expansion is 18 months to two years away. He said that the City was really being up front with what their expectations and concerns are. He did not feel that an E.I.R. was necessary to meet the terms of the Resolution. In reviewing Item C, Resolution No. 26, Mayor Smith said she has no problem C)'j'Y COUNCIl. AUGUS1' 12. 1986 ARROYO GRANUE, CALIf'OIUHA PAGE SEVEN in substituting that language in Resolution 25, Item C because of the wording "acceptable to the City Council" and she felt that an E.I.R. would address all of the stipulations. Mr. Mack noted that in Resolution 25 and 26, the word Ordinance should be changed to Resolution. It was also noted that under Item B, the word Fish should be inserted after State. Mayor Smith asked if Council wanted to change the Resolution to include the language change asked for by Mr. Willbanks. Councilmember Moots said that he did not want to change the Resolution at all. The idea was to addr~ss the drainage, low water and sewer. We simply want the property to be within our Sphere of Influence. Mr. Mack read the title of the Resolution regarding including the 155 acres in O"k Park Acres in the City's Sphere of Influence. On motion of Council- rncmbor Gallaghcc, seconded by Councilmember Moots, and unanimously carried, to dispense with further reading or the Resolution. RESOLUTION NO. 1982 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE REQUESTING LAFCo TO INCLUDE THE 155 ACRES MAJOR PARCEL (Kvidt) IN OAK PARK ACRES IN THE CITY'S SPHERE OF INFLUENCE WITH CONDITIONS, BUT TO DELETE SAID PARCEL FROM THE CITY'S SPHERE OF SERVICE, AND SUPERSEDING ANY AND ALL PORTIONS OF RESOLUTION NO. 1950 IN CONFLICT OR INCONSISTEN1' HEREWITH On motion of Councilmcmber Moots, seconded by Councilmember Johnson, and on the following roll call vote, to wit: J\YES: Counc.:ilmembers Gallagher, Johnson, Moots and Porter NOES: Mayor Smi th J\HSENT: None the foregoing Resolution was passed and adopted this 12th day of August, 1986. !U,SOLUTION REQUESTING LAFCo TO INCLUDE GRACE BIBLE CHURCH 28-ACRE PARCEL IN CITY'S SPHERE OF INFLUENCE AND SPHERE OF SERVICE, WITJI CONDITIONS GHEG J\LlJHIGHT, Grace Bible Church expressed confusion on Item A-Water. He saiu that it was their understanding that they have a similar statement as originally proposed under the June 14 Annexation Development Policy Proposal which stated that the applicant would provide a development plan that does not exceed the water provided by the City in its 1980 agreement. The way it is written now in the latest Resolution, we have the same wording as the 155 acres which does not give us the option of living within our 1980 agreement. Mayor Smith commented that that was correct and addressing Mr. Mack asked that since under A & E they have an agreement for water and sanitary sewer services, shouldn't those two items be written in a way to show that they have that agreement rather then they have to come up with the \'later. Mr. Mack said that as far as his records show, the City Council has not changed that agreement. He said that he would not be concerned if we stay within our 1980 ~yrecment for water, but was becoming incroasingly concerned wi th the SauitcJ.ry District's particular problems because the nature of the development ha.s changed, and to be on the safe side the Sanitary District should be the party that certifit?s that they have adequate treatment plans and capabilty. Mayor Smith said that they have an agreement and as she saw it, it should stand. Mr Mack said that he was not saying that they should not honor the ~grecment, but he would not want to enter into a new agreement to give them sanitary service. Mayor Smith asked, shouldn't this Resolution have wording to that effect and should we come up with a new agreement because they added the church. Mr Mack did not advocate a new agreement. He said that if it \/d5 the Council's intent to continue to provide water under the 1980 agreement, ttlen they should just alter Paragraph A to reflect that. Councilmember Moots fclt that we should start over and get some language we can understand. Much of the problem related to the curch not bcing included in the original 1980 CI1'Y COUNCIL AUGUS'f 12, 1986 AHROYO GHANDE, CALH'ORNIA PAGE EIGHT agreement and the time constraint involving LAFCOe Councilmember Johnson requested that the issue be continued. at a later date, and Council agreed to continue August 13, 1986 at 1:00 PM. I,OPEZ CONTRACT AMENDMENT Mr Karp explained the Lopez Contract Amendment referring to his memo of August 6, 1986. He noted the typing error, correcting the March 2, 1966 date to read March 28, 1966, in the Amendment, page 1 and the water year 1987-88 t.o 1988-89 on page 6. On motion by Councilmember Gallagher, seconded by Councilmember Johnson, and unanimously carried, to approve Lopez Contract Amendment with two corrections. RESOLUTION CREATING NO PARKING ZONE AT 1025 GRAND AVENUE, CREATIVE URGE MARY ROBERTS of 1025 Grand Avenue, Creative Urge, spoke in favor of the No Parking Zone for safety and vision purposes. Mr. Karp read the title of the Resolution creating a No Parking Zone at 1025 Grand Avenue. On motion of Councilmember Gallagher, seconded by Council- member Moots, and unanimously carried to dispense with further reading of the Resolution. RESOLUTION NO. 1983 A RESOLUTION OF' THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE ESTABLISHING A "NO PARKING" ZONE ON A PORTION OF GRAND AVENUE, (1025 GRAND AVENUE) MUNICIPAL CODE 4-3.05 On motion of Councilmember Gallagher, seconded by Councilmember Moots, and on the following roll call vote, to wit: AYES: Mayor Smith, Councilmembers Gallagher, Johnson, Moots, and Porter NOES: None ABSEN1' : None the foregoing Resolution was passed and adopted this 12th day of August, 1986. RESOLUTION CREATING TEMPORARY SIDEWALK ON FAIR OAKS AVENUE, VICK PACE F9RD Mr. Mack read the title and explained the Resolution establishing a temporary walkway on Fair Oaks Avenue. A discussion followed relating to pedestrian traffic and the need for the walkway. It was unanimously agreed by the Council to put the item on hold and take no action. 1986/87 BUDGET AMEIIDMENTS Hr. Mack said that this is a very time consuming item and given the late hour, that he would put it on a lighter Agenda in the future. APPOINTMENT Of LEAGUE OF CALIFORNIA CITIES' ANNUAL CONFERENCE VOTING DELEGATE On motion of Councilmember Porter, seconded by Councilmember Moots, and unanimously carried, Mayor B'Ann Smith was designated Voting Delegate for the League Annual Conference. GRAND AVEIIUE/COURTLAND TRAFFIC SIGNAL DESIGN MI. Karp discussed his recommendation referring to his Staff Report of August 6, 1986. On motion by Councilmember Johnson, seconded by Councilmember Moots, and carried unanimously the City Council authorized an expenditure up to $9,000 for engineering and inspection of the referenced signal for Grand Avenue and Courtland Drive by employment of Garing, Taylor & Associates. - ~---- CITY COUNCIL AUGUST 12, 1986 ARROYO GRANDE, CALIFORNIA PAGE NINE RUBBERIZED CHIP SEAL PROGRAM REPORT Mr. Karp reported that the Rubberized Chip Seal Program had been completed and went very smoothly with very few calls of a negative nature. He thanked the Citizens of Arroyo Grande for their help. He noted that final construction quantities were a little higher than originally estimated. RESOLUTION ADOPTING POLICY FOR TRANSPORTATION NEEDS ON/NEAR LE POINT STREET FROM MILLER WAY TO WESLEY STREET AND VICINITY Mr. Karp introduced the Resolution, asking Council's advice on the North side sidewalk. Council's direction was to have no more sidewalk than already built on the North side of the street. Mr. Karp read the title of the Resolution adopting policy for transportation needs on/near Le Point Street. On motion by Councilmember Johnson, seconded by Councilmember Moots, and unanimously carried to dispense with further reading of the Resolution. RESOLUTION NO. 1984 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE ADOPTING POLICY FOR TRANSPORTATION NEEDS ON AND NEAR LE POINT STREET FROM MILLER WAY TO WESLEY STREET AND VICINITY On motion of Councilmember Johnson, seconded by Councilmember Moots, and on the following roll call vote, to wit: AYES: Mayor Smith and Councilmembers Gallagher, JOhnson, Moots and Porter NOES: None ABSENT: None the foregoing Resolution was passed and adopted this 12th day of August, 1986. SECOND READING OF ORDINANCE AMENDING ZONING MAP FOR PROPERTY AT HALCYON ROAD NEAR FAIR OAKS, (FORMER GRIEB PROPERTY), (JERREN F. JORGENSEN, ET AL). Mayor Smith introduced the Ordinance and said for the record that she would be voting on this item based on reading the minutes and listening to the entire tape of the City Council Meeting. Mr. Mack read the title of the Ordinance amending Zoning Map for property at Halcyon Road near Fair Oaks. On motion of Councilmember Johnson, seconded by Councilmember Moots, and unanimously carried to dispense with further reading of the Ordinance. ORDINANCE NO. 349 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE AMENDING THE ZONING MAP BY MODIFYING THE ZONE DESIGNATION ON CERTAIN PROPERTY FROM R-l (SINGLE FAMILY RESIDENTIAL) TO P-C (BUSINESS AND PROFESSIONAL) On motion of Councilmember Johnson, seconded by Councilmember Moots, and on the following roll call vote, to wit: AYES: Mayor Smith and Councilmembers Gallaqher, Johnson,Moots and Porter NOES: None ABSENT: None the foregoing Ordinance was passed and adopted this 12th day of August, 1986. CITY COUNCIL AUGUST 12, 1986 ARROYO GRANDE, CALIFORNIA PAGE TEN WRITTEN COMMUNICATIONS Mr. Mack acknowledged receipt of a gift of $360.00 from the Diamond Jubilee Committee that is a condition gift to the City of Arroyo Grande. The condition is that the City promises to utilize the gift for completing the picture collection of the City Council members and any further City Council members. They desire written assurance from the City that they will spend the money only for that purpose. On motion of Counci1member Gallagher, seconded by Counci1member Johnson, and unanimously carried to accept the gift with the condition and promise to utilize the gift only for the picture collection of the City Council members. ORAL COMMUNICATIONS Councilmember Porter said that he had received a telephone call relative to Montego by the Oceanview school. The gravel path that the children use is being destroyed due to City construction work, creating a dangerous area for the children. He felt that perhaps a sidewalk should be constructed since the children walk on the street side of the guardrail. Mr. Karp said that he would look into the matter. ADJOURNMENT TO CLOSED SESSION Counci1members adjourned to a Closed Session in the Council Chamber.s Conference Room at 11:00 P.M. ADJOURNMENT Councilmembers adjourned the meeting at 11:11 P.M. to a special meeting at 1:00 P.M. Wednesday, August 13, 1986. MAYOR BlANN SMITH ATTEST: CITY CLERK