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1/8/2008 - Council Minutes - CC Minutes Reg Meeting APPROVED BY THE CITY COUNCIL ON JANUARY 22, 2008 CITY COUNCIL MINUTES ORANGE, CALIFORNIA OF A REGULAR MEETING January 8, 2008 The City Council of the City of Orange, California convened on January 8, 2008, at 4:30 p.m. in a Regular Meeting in the Council Chambers, 300 E. Chapman Avenue, Orange, California. 4:30 P.M. SESSION 1. OPENING 1.1 INVOCATION Given by Irma Hernandez, Senior Assistant to the City Manager. 1.2 PLEDGE OF ALLEGIANCE TO THE FLAG Led by Councilmember Denis Bilodeau. 1.3 ROLL CALL PRESENT - Smith, Murphy, Cavecche, Dumitru, Bilodeau ABSENT - None 1.4 PRESENTATIONS/ ANNOUNCEMENTS/ INTRODUCTIONS Presentation recognizing the City of Orange 2007 United Way Fundraising Campaign. Proclamation designating the month of January as National Blood Donor Month. Presentation to Michael Merino for service on the Orange County Vector Control District Board. 2. PUBLIC COMMENTS Mary Kate Land, address on file, spoke about seized property of Mr. Charles Monson; and the medical marijuana issue. PaQe 1 CITY COUNCIL MINUTES January 8, 2008 3. CONSENT CALENDAR All items on the Consent Calendar are considered routine and are enacted by one motion approving the recommended action listed on the Agenda. Any member of the City Council, staff or the public may request an item be removed from the Consent Calendar for discussion or separate action. Unless otherwise specified in the request to remove an item from the Consent Calendar, all items removed shall be considered immediately following action on the remaining items on the Consent Calendar. 3.1 Request Council Confirmation of warrant registers dated December 6, 13, 20 and 27, 2007. ACTION: Approved. 3.2 Request approval of City Council Minutes, Regular Meeting of December 11, 2007. (C2500.D.4) ACTION: Approved. 3.3 Consideration to waive reading in full of all ordinances on the Agenda. ACTION: Approve. 3.4 Receive and file the City Treasurer's Report, period ending November 30, 2007. (C2500.F) ACTION: Approved. 3.5 Investment Oversight Committee Report for the period ending October 31, 2007. (OR1800.0.27.16.1) ACTION: Received and filed. 3.6 Audited Financial Statements and Related Financial Reports for the Year Ended June 30, 2007. (C2500.J.1.3) ACTION: Received and filed. PaQe 2 CITY COUNCIL MINUTES January 8, 2008 3. CONSENT CALENDAR (Continued) APPROPRIATIONS 3.7 Appropriation of funding for Homeland Security related training in Israel. (C2500.K) SUMMARY: Shaneson Consulting Group is offering a unique 7-day traInIng opportunity available to a limited number of law enforcement, military, and counter- terrorism professionals. The training will take place in Israel, February 3-11, 2008. The cost of training, lodging, transportation, and per diem expenses are included in this request. ACTION: Appropriated $12,000 to Account 355-4081-429300 (Federal Asset Forfeiture-Homeland Security-Overnight Training) to fund this training. FISCAL IMP ACT: Unreserved fund balance is available in the State Asset Forfeiture account to fund this appropriation. After appropriation, funds in the amount of $12,000 will be available in Account 355-4081-429300 (Federal Asset Forfeiture- Homeland Security-Overnight Training) for the purchase. BIDS 3.8 Bid No. 078-31; SP-3634; Annual Concrete Replacement at various locations, FY 2007-08. Approval of plans and specifications and authorization to advertise for bids. (S4000.S.7) SUMMARY: Plans and specifications have been completed for the Annual Concrete Replacement at various locations, FY 2007-08 Project. The project is ready to be advertised for bids. The estimated construction cost is $600,000. ACTION: Approved plans and specifications and authorized advertising for bids for Annual Services Contract for Concrete Replacement at Various Locations, FY 2007-08 project. FISCAL IMP ACT: Funds are budgeted in the Capital Improvement Program and are available in the following accounts: 262-5021-427100-0000 Measure M - Contractual Services $ 197,000.00 262-5011-483300-3120 Measure M Turnback $ 1,206,000.00 PaQe 3 CITY COUNCIL MINUTES January 8, 2008 3. CONSENT CALENDAR (Continued) 3.9 CLAIMS (C3200.0) SUMMARY: The following claim(s) have been received and investigated by the City Attorney's Office and/or the Risk Manager. After a thorough investigation with the involved departments, it is the recommendation of the City Attorney's Office that the claim( s) be denied. a. Carolyn Newton b. State Farm subrogee of Eugene Shabinaw c. Narong Lim d. Barbara and Alfonso DeHerrera ACTION: Denied Claim(s) for damages and referred to City Attorney and Adjuster. CONTRACTS 3.10 Final Acceptance of Bid No. 078-02; SP-3579; Meats Avenue AHRP Project Street Rehabilitation Improvements from Orange Olive Road to Nordic Street and authorization to file Notice of Completion with the County Recorder (No staff report reQuired). (A2100.0 Agr-5147) SUMMARY: Bid No. 078-02; SP-3579; Meats Avenue AHRP Project Street Rehabilitation Improvements from Orange Olive Road to Nordic Street. Staff recommends acceptance of improvements. The contractor on said job was R.J. Noble Company. ACTION: Accepted public work improvements, authorized release of Travelers Casualty and Surety Company of America of Connecticut, Bond No. 104980422 in the amount of $752,752.00 and authorized the Mayor and City Clerk to execute the Notice of Completion. FISCAL IMP ACT: None. 3.11 Final Acceptance of Bid No. 078-06; SP-3577; Glassell Street Rehabilitation AHRP Project from Collins Avenue to Katella Avenue and authorization to file Notice of Completion with the County Recorder (No staff report reQuired). (A2100.0 Agr-5143) SUMMARY: Glassell Street Rehabilitation AHRP Project from Collins Avenue to Katella Avenue. Staff recommends acceptance of improvements. The contractor on said job was All American Asphalt. ACTION: Accepted public work improvements, authorized release of Fidelity and Deposit Company of Maryland, Bond No. 08903377 in the amount of $587,443.00 and authorized the Mayor and City Clerk to execute the Notice of Completion. FISCAL IMPACT: None. PaQe 4 CITY COUNCIL MINUTES January 8, 2008 3. CONSENT CALENDAR (Continued) 3.12 Final Acceptance of Bid No. 078-13; SP-3613; Street Monument and Entry Sign at Tustin Street and Seba Avenue and authorization to file Notice of Completion with the County Recorder (No staff report reQuired). (A2100.0 Agr-5138) SUMMARY: Street Monument and Entry Sign at Tustin Street and Seba Avenue. Staff recommends acceptance of improvements. The contractor on said job was Elite Bobcat Service, Inc. ACTION: Accepted public work improvements, authorized release of Fidelity and Deposit Company of Maryland, Bond No. 7595064 in the amount of $54,000.00. FISCAL IMPACT: None. 3.13 Award of Bid No. 078-17 to Allstar Fire Equipment for the purchase of Fire Pumper Truck Equipment for the three recently purchased Fire Pumper Trucks. (C2500.H) SUMMARY: On February 13,2007, the City Council approved purchase of three Fire Pumper Trucks for the Orange Fire Department. The trucks are now ready to be outfitted for service and require additional equipment which include hoses, nozzles, ladders, fittings, and miscellaneous tools and equipment. ACTION: Authorized purchase of Fire Pumper Truck Equipment in the amount of $217,366.39. FISCAL IMP ACT: Funds are currently available in the following account: 720-5023-472102 Vehicle Replacement Fund $217,366.39 PURCHASES 3.14 Purchase of Neptune replacement water meters on a sole source as needed basis. (C2500.P) SUMMARY: This is a request that the City Council authorize the ongoing purchase of Neptune replacement water meters, on an as needed sole source basis, in the amount not to exceed $182,000.00. ACTION: Authorized purchase of Neptune replacement water meters from Neptune Technology, Tallassee, AL., on an as needed basis in the amount not to exceed $182,000.00. PaQe 5 CITY COUNCIL MINUTES January 8, 2008 3. CONSENT CALENDAR (Continued) FISCAL IMP ACT: Sufficient funds are budgeted and are available to cover the cost of the purchases as follows: 601-8041-484501-8400 600-8041-474700 601-8041-484501-8400 Pipeline Renewal Projects Meters Meter Replacement Program $ 27,912.64 $104,000.00 $ 50.278.00 Total $182,190.64 MOTION - Murphy SECOND - Smith AYES - Smith, Murphy, Cavecche, Dumitru, Bilodeau All items on the Consent Calendar were approved as recommended. END OF CONSENT CALENDAR ******** 4. REPORTS FROM MAYOR CA VECCHE - Mayor Cavecche wanted to ensure a report would be provided to the Council soon on the staffing requirements for enforcement of the Day Laborer Ordinance. 5. REPORTS FROM COUNCILMEMBERS - None. 6. REPORTS FROM BOARDS, COMMITTEES, AND COMMISSIONS - None. PaQe 6 CITY COUNCIL MINUTES January 8, 2008 7. ADMINISTRATIVE REPORTS 7.1 Report on Agreements for Qualified Construction and Demolition Debris Processors. (A2100.0 Agr-5210; 5211; 5212) SUMMARY: On October 25, 2007, proposals were received and opened for the provision of self-hauled Construction and Demolition (C&D) debris processing. Of the six proposals received, all six were deemed qualified. Discussion - Public Works Director Gail Farber gave the staff report, stating that the six proposed facilities are inspected monthly by the local enforcement agency and no violations have been reported during the last year according to the California Integrated Waste Management Board. Mayor pro tern Dumitru indicated he had traveled to all sites and determined three to be too far and even hard to locate. He expressed concern for incremental increases to staff time to administer paperwork on each facility. City Attorney David DeBerry stated that the Council may choose all or part of the proposed list. He stated that the idea in suggesting the six facilities was to give contractors a choice based on convenience of location. Ms. Farber stated the intent was to encourage C&D recycling and that if the options are not needed, the list can be changed in the future. Mr. DeBerry, responding to Council questions, stated that the contractors pulling C&D permits will receive a list of the processing facilities. He added that random auditing will be conducted and if it appears contractors are not complying, the City Manager has the ability to require deposits and receipts be shown as proof. Public Works Department, Sr. Administrative Analyst Jamie Herbon stated that a copy of the application form will be taken by the contractor to the facility to ensure the City receives the credit for the recycled material She stated this will allow for a paper trail for auditing purposes. Mayor pro tern Dumitru suggested that contractors designate a facility on their permits for easier auditing by the City. MOTION - Dumitru SECOND - Cavecche AYES - Smith, Murphy, Cavecche, Dumitru, Bilodeau Moved to approve three - Republic Services, Madison Materials and Orange Transfer and Recycling Center - qualified C&D debris processors be placed on a list of designated facilities for receiving self-hauled C&D debris and authorized the City Manager to execute the C&D Processing Agreements on behalf of the City. PaQe 7 CITY COUNCIL MINUTES January 8, 2008 8. REPORTS FROM CITY MANAGER 8.1 FY 2008-09 Budget Kick-off and Preliminary Outlook City Manager John Sibley reported on FY 07-08 decrease in revenue and the expected loss of sales taxes. However, he stated his expectation in balancing the budget without compromising the quality customer service provided by the City. He reported the imposition of an immediate hiring freeze on all non-safety positions; or his approval required if it became necessary to fill a position. He also reported the imposition of cuts in non-essential travel budgets and purchases of non-critical equipment and supplies. He noted some of the following projects that will be going forward - Hart Park pool renovation; EI Camino Park renovation; the Grijalva Gymnasium bidding process is underway; Fire Station No.4 renovation; purchase of three new fire engines; and the maintenance of outstanding levels of customer service by staff. He explained that a review of the departments' mid-year budgets would occur and, if necessary, budget reductions will be directed. He added that property tax revenue has been a little higher than had been expected. 9. LEGAL AFFAIRS 9.1 ORDINANCE NO. 20-07 (SECOND READING) (A2500.0 Code Enforcement Fees) An Ordinance of the City Council of the City of Orange Amending and Revising Various Sections of the Orange Municipal Code Related to Fees and Charges. MOTION - Murphy SECOND - Dumitru AYES - Smith, Murphy, Cavecche, Dumitru, Bilodeau Moved that Ordinance No. 20-07 be read by title only and same was approved and adopted by the preceding vote. 10. RECESS TO THE MEETING OF THE ORANGE REDEVELOPMENT AGENCY PaQe 8 CITY COUNCIL MINUTES January 8, 2008 11. RECESS TO CLOSED SESSION The City Council recessed to a Closed Session at 5:20 p.m. for the following purposes: a. Conference with Legal Counsel - Anticipated Litigation Significant exposure to litigation pursuant to Government Code Section 54956.9(b) - Two potential cases b. Conference with Legal Counsel- Existing Litigation pursuant to Government Code Section 54956.9(a): 1) Gary T. Blankenhorn v. City of Orange, et aI., United States District Court Case No. SACV02-1160 GL T (MLGx) 2) Frank Gutierrez v. Michael Fisher, Agusto Rocha, The City of Orange, et ai, United States District Court Case No. SACV06-760 CJC (RNBx) c. Conference with labor negotiators pursuant to Government Code Section 54957.6 City's representatives: Personnel Director Steven Pham and Personnel Services Manager Mike Harary Employee organization: Fire Management and Orange City Firefighters d. To consider and take possible action upon such other matters as are orally announced by the City Attorney, City Manager, or City Council prior to such recess unless the motion to recess indicates any of the matters will not be considered in Closed Session. 7:00 P.M. SESSION 12. PUBLIC COMMENTS - None. 13. PUBLIC HEARINGS 13.1 APPEAL NO. 0523-07 - CONDITIONAL USE PERMIT NO. 2671-07 APPELLANT: BAGEL ME CORPORATION (A4000.0 APP-0523-07) Time set for public hearing to consider an appeal of the Planning Commission's denial of a Conditional Use Permit to allow on-premise sale of beer and wine (Type 41 license) for an existing eating establishment, Bagel Me and First Class Pizzeria, located at 3533 East Chapman Avenue, Unit C. Discussion - Community Development Director Alice Angus gave the staff report. PaQe 9 CITY COUNCIL MINUTES January 8, 2008 13. PUBLIC HEARINGS (Continued) THE MAYOR OPENED THE PUBLIC HEARING. Appellant, Gary McArthur stated his previous restaurant experience and his plan for this establishment to have a low-key approach to serving alcohol, along with a conservatively- managed eating establishment. He stated that serving alcohol required additional staff, but that his customers have requested it. He added that the neighboring restaurant that serves alcohol has no existing problems, and that no parking problems currently exist as well. In response to questions from Councilmembers, Mr. McArthur stated: · The availability of alcohol would be advertised on the menu only and that no off-sale of alcohol would occur. · He owns several Bagel Me! restaurants, but only this one is combined with the First Class Pizza operation. He added that Bagel Me! items are served until 4:00 p.m. and service of the pizza items begins at 11 :00 a.m. until the close of business. · Menu items are ordered at the counter and then served at the table-known as the fast, casual concept. He added that the alcohol would be handled in the same way. · The staff will undergo training in alcohol management. THE MAYOR CLOSED THE PUBLIC HEARING. Councilmember Smith stated her concern with the proximity of the restaurant site to the Fred Kelly Stadium and El Modena High School; availability of alcohol at various other sites along Chapman Avenue; access issues and traffic along Chapman; and the layout of the restaurant is such that not all areas can be seen from the counter. She suggested the new type of restaurant branding with two different restaurants is confusing and she did not want to encourage alcohol at a Bagel Me; and stated that even though this census tract is not over-licensed, the neighboring tract is. She noted the Planning Commissioners were unable to make the findings necessary for a Conditional Use Permit. Mayor pro tern Dumitru clarified that the stadium separates the high school from the establishment and that other restaurants in the area are allowed to serve alcohol. He stated he is in favor of granting the CUP. In response to questions from Councilmember Murphy, Police Sergeant Jeff Bird reported that the crime rate in this tract is below 20%, and that there is a lower concentration of liquor licenses in this tract. Councilmember Murphy stated he sees the site as a pizza restaurant and given that there is not an over-concentration of liquor licenses, he would have a hard time not granting the license. He compared the operation to other pizza restaurants serving alcohol, adding that the customers may be inclined to purchase the pizza and go elsewhere to purchase the alcohol. PaQe 10 CITY COUNCIL MINUTES January 8, 2008 13. PUBLIC HEARINGS (Continued) Mayor Cavecche stated she was not in support of the CUP; that she sees the operation as a Bagel Me! eatery and not yet a pizza shop and not the type of restaurant that should have an alcohol license. Councilmember Bilodeau stated he did not fully agree with the findings made by the Planning Commission; but did agree that the restaurant's layout is awkward. In response to Council questions, Mr. McArthur stated that the restaurant closes at 10:00 p.m. all seven days. He added that alcohol is served starting at 11 :00 a.m. and that Bagel Me! and First Class Pizza items are served from 11 :00 a.m. to 4:00 p.m. After 4:00 p.m. only the pizza items are served. Council discussed additional conditions being added to the standard conditions imposed on CUPs, addressing the advertising of alcohol on the menu only; requirement for an alcohol management plan; no pitchers of beer-bottles only; ceasing serving alcohol one hour before closing; no alcohol-only orders; alcohol inventory out of sight, but allowed in refrigerators with glass doors. Councilmember Smith registered an extreme concern with an alcohol license, especially with 18 year olds able to serve alcohol and a school next door. MOTION - Bilodeau SECOND - Murphy AYES - Murphy, Dumitru, Bilodeau NOES - Smith, Cavecche Moved to uphold Appeal No. 0523-07, granting approval of Conditional use Permit No. 2671- 07; subject to standard conditions, with additional conditions agreed to by the appellant - hours serving alcohol from 11 :00 a.m. to 9:00 p.m.; no sale of alcohol unless it is in conjunction with the sale of food; an Alcohol Management Plan to be adopted and be followed by the applicant; no interior advertisement of alcohol except on menus, except that an alcohol refrigerator is allowed with glass doors; and alcohol only to be served in individual servings. City Attorney David DeBerry noted that this action is not final until a Resolution formalizing the conditions is adopted; to be brought back to Council at the January 22, 2008 Council meeting. PaQe 11 CITY COUNCIL MINUTES January 8, 2008 13. PUBLIC HEARINGS (Continued) 13.2 DENSITY BONUS ORDINANCE (A2500.0 Ord-02-08 Density Bonus) Time set for public hearing to consider adoption of a proposed Ordinance amending Chapters 17.04 and 17.14, and adding Chapter 17.15, to the Orange Municipal Code to reflect an amendment to state density bonus law. Discussion - Community Development Director Alice Angus gave the staff report. THE MAYOR OPENED THE PUBLIC HEARING. Cesar Covarrubias, Kennedy Commission, address on file, stated that the proposed ordinance does not do enough to provide a vehicle for affordable housing. THE MAYOR CLOSED THE PUBLIC HEARING. Ms. Angus responded that the current Housing Element has a provision for affordable housing, and that the zoning code, as well, includes an affordable housing provision; however they do not tie into the density bonus. The existing ordinance has the old density bonus incentives without the sliding scale and contains a more cumbersome process, requiring a CUP for denser development. She stated the proposed process allows for staff to have a preliminary review of developer's requests for incentives and concessions and it is treated similar to a major site plan review which involves Planning Commission action and possible Council approval if a request for financial incentives are involved. Mayor Cavecche noted that Councilmember Smith had brought forward a concern with regard to incentives or concessions on projects that would have an adverse effect on any real property that qualified for inclusion in a local, state or federal listing of historically significant resources. Councilmember Smith indicated that this would address concerns in Orange Park Acres, Olive, Eichler residences, as well as Old Towne, and as the City continues to age, more historic districts may be identified. ORDINANCE NO. 2-08 (FIRST READING) An Ordinance of the City Council of the City of Orange approving an amendment to Title 17 of the Orange Municipal Code to reflect the State Density Bonus Law. MOTION - Murphy SECOND - Smith AYES - Smith, Murphy, Cavecche, Dumitru, Bilodeau Moved that Ordinance No. 2-08 be read by title only and same was set for second reading by the preceding vote. PaQe 12 CITY COUNCIL MINUTES January 8, 2008 14. PLANNING AND ENVIRONMENT - None. 15. ADJOURNMENT - The City Council adjourned at 8:20 p.m. The next Regular Council meeting is scheduled for January 22,2008. Declaration of City Clerk, Mary E. Murphy, declaring posting of City Council agenda of a regular meeting of January 8, 2008 at Orange Civic Center kiosk, Police facility at 1107 North Batavia, and the Main Public Library at 407 E. Chapman; all of said locations being in the City of Orange and freely accessible to members of the public at least 72 hours before commencement of said regular meeting. PaQe 13