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Council Minutes 12/12/17APPROVED BY THE CITY COUNCIL ON JANUARY 9, 2018 CITY COUNCIL ORANGE, CALIFORNIA MEETING MINUTES DECEMBER 12, 2017 The City Council of the City of Orange, California convened on December 12, 2017, at 6:08 p.m. in a Regular Meeting in the Council Chamber, 300 E. Chapman Avenue, Orange, California. 6:00 P.M. SESSION 1. OPENING This Regular Meeting of the Orange City Council was called to order by Mayor Smith at 6:08 p.m. 1.1 INVOCATION Given by Pastor Nathan Hausch from St. John's Lutheran Church. 1.2 PLEDGE OF ALLEGIANCE TO THE FLAG Led by Mayor Teresa Smith. 1.3 ROLL CALL PRESENT — Alvarez, Whitaker, Smith, Murphy, Nichols ABSENT — None (Councilmember Kim Nichols entered the meeting at 7:00 p.m.) 1.4 PRESENTATIONS/ ANNOUNCEMENTS/ INTRODUCTIONS HomeAid Presentation Presentation by PRESERVE Orange County Proclamation Recognizing Chris LaFace for 32 years of service Proclamation Recognizing Randy Largent for 36 years of service Memorial Adjournment for Former Orange Mayor, Joanne Coontz 2. PUBLIC COMMENTS Bruce Dickens — spoke regarding the homeless along the Santa Ana riverbed. David Daleo — spoke regarding the cultivation of medicinal cannabis. Ron Ray — thanked the City for renovating the dog park at Yorba and Chapman. Thomas Schulenberg — spoke regarding the increasing homeless population in Orange and the impact on local businesses. CITY COUNCIL MINUTES DECEMBER 12, 2017 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 Confirmation of warrant registers dated November 9, 16, 22, and 30, 2017. (C2500.J.1.7) ACTION: Approved. 3.2 City Council Minutes, Special Meeting of October 24, 2017, and Regular Meeting of November 14, 2017. ACTION: Approved. 3.3 Waive reading in full of all ordinances on the Agenda. ACTION: Approved. 3.4 Number not used. 3.5 Submittal of Annual Financial Reports for Development Impact Fees for Fiscal Year 2016 -17. (C2500.J.1.0.2) ACTION: Received and filed. 3.6 Agreement between the City of Orange and The Roman Catholic Bishop of Orange Regarding Recreational Trails and Traffic Loop Detector. (Continued from 11/14/17.) (A2100.0; AGR -6615 & AGR -6616) NOTE: Mayor Smith and Councilmember Whitaker recorded an abstention due to a potential conflict with employment. ACTION: Approved the agreement regarding Recreational Trails (Trail 3) with Easement Deed, and authorize the Mayor and City Clerk to execute on behalf of the City; and approved agreement regarding Recreational Trail and Traffic Loop Detector (Trail 4) with Easement Deed, and authorized the Mayor and the City Clerk to execute on behalf of the City. 3.7 Agreement with CDCE, Inc. for the purchase, installation, and maintenance of Mobile Data Computers (MDCs) in the Police patrol fleet. (A2100.0; AGR -6544) NOTE: Mayor pro tem Murphy recorded an abstention due to a potential conflict with employment. ACTION: Approved agreement with CDCE in an amount not -to- exceed $90,000; and authorized the Mayor and City Clerk to execute the agreement on behalf of the City. CITY COUNCIL MINUTES 3. CONSENT CALENDAR (Continued) DECEMBER 12, 2017 3.8 Consultant services agreements with The Code Group, Inc. and Behrouz Azarvand, to provide plan review and field inspection services for the Building Division of the Community Development Department. (A2100.0; AGR- 6459.A, AGR- 6426.A) ACTION: Approved and authorized the Mayor and City Clerk to execute a consultant services agreement with The Code Group, Inc., in the amount of $180,000; and authorized the Mayor and City Clerk to execute a consultant services agreement with Behrouz Azarvand, in the amount of $60,000. 3.9 Agreement with ECS Imaging, Inc., of Riverside, California, for the upgrade of the City's Document Management System. (A2100.0; AGR -6545) NOTE: Mayor pro tem Murphy recorded an abstention due to a potential conflict with employment. ACTION: 1) Approved the Agreement with ECS Imaging, Inc., of Riverside, California, in the amount of $185,420, and authorized the Mayor and City Clerk to execute the Agreement on behalf of the City; and 2) Authorized a transfer of appropriation of $5,000 from Account 790.1601.56033.19640 (Info Tech Upgrades) to Account 790.1601.56033.20284 (Laserfiche Upgrade). 3.10 Agreement with Matrix Consulting Group to conduct a user fee study. (A2100.0; AGR -6546) ACTION: Approved agreement with Matrix Consulting Group in in the amount of $48,000 and authorized the Mayor and City Clerk to execute the agreement on behalf of the City. 3.11 Agreement for use of West Palm Avenue between North Lemon Street and North Cypress Street by the Orange Home Grown Farmers and Artisans Market. (A2100.0; AGR -6547) ACTION: Approved Agreement for use of West Palm Avenue between North Lemon Street and North Cypress Street by the Orange Home Grown Farmers and Artisans Market and authorized the Mayor and the City Clerk to execute on behalf of the City. 3.12 Assignment of Official Police Towing and Storage Service Agreement. (A2100.0; AGR -6548) ACTION: Authorized the Mayor and the City Clerk to execute assignment between the City and California Coach Towing of Orange, Inc., on behalf of the City. 3.13 Bid No. 178 -19; Approval of plans, specifications, and estimates (PS &E) for the intersection of Chapman Avenue and Lemon Street Traffic Signal Improvements Project (SP- 4013); and authorization to advertise for bids. (A2100.0; S4000.S.3.3) ACTION: Approved the PS &E and authorized advertising for construction bids for the Chapman Avenue and Lemon Street Traffic Signalization Improvements Project. CITY COUNCIL MINUTES DECEMBER 12, 2017 3. CONSENT CALENDAR (Continued) 3.14 Bid No. 178 -22; Approval of plans and specifications for the Council Chamber Remodel; and authorization to advertise for bids. (C2500.D.9) ACTION: Approved plans and specifications and authorized advertising for construction bids for the Council Chamber Remodel. 3.15 CLAIMS (C3200.0) 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. Victoria Gleason b. Kerri Slaton c. Jeffrey Tobin ACTION: Denied claim(s) for damages and referred to City Attorney and Claims Adjuster. 3.16 Final Acceptance of Bid No. 167 -45; Glassell Street Water Quality Improvements Projects performed by Paulus Engineering, Inc.; and authorization to file the Notice of Completion with the County Recorder. (No staff report required. ACTION: Accepted the public work improvements, authorized release of North American Specialty Insurance Company Bond #2220706 in the amount of $255,068.00 to the contractor on said job, and authorized the Mayor and City Clerk to execute the Notice of Completion. 3.17 Final Acceptance of Bid No. 178 -01; Walnut Avenue Street Improvements performed by PALP, Inc. dba Excel Paving Company; and authorization to file the Notice of Completion with the County Recorder. ( staff report required. ACTION: Accepted the public work improvements, authorized release of Federal Insurance Company Bond #8245 -25 -71 in the amount of $195,874.00 to the contractor on said job, and authorized the Mayor and City Clerk to execute the Notice of Completion. 3.18 Award of Contract — Bid No. 178 -14, SP -4017; Annual Concrete Replacement at Various Locations, Fiscal Year 2017 -2018 (FY2018). (A2100.0; AGR -6549) ACTION: Awarded the contract in the amount of $292,263 to Klassic Engineering of Orange, California, and authorized the Mayor and the City Clerk to execute on behalf of the City. 3.19 Mills Act Contract No. MAC 261.0 -17 (Historic Property Preservation Agreement) 149 North Cambridge Street. (A2100.0; AGR -6550) ACTION: Approved a Mills Act Contract (Historic Property Preservation Agreement) between City of Orange and the property owner for the preservation and rehabilitation of a qualified historic property. CITY COUNCIL MINUTES 3. CONSENT CALENDAR (Continued) DECEMBER 12, 2017 3.20 Mills Act Contract No. MAC 262.0 -17 (Historic Property Preservation Agreement) 264 North Center Street. (A2100.0; AGR -6551) ACTION: Approved a Mills Act Contract (Historic Property Preservation Agreement) between City of Orange and the property owner for the preservation and rehabilitation of a qualified historic property. 3.21 Mills Act Contract No. MAC 263.0 -17 (Historic Property Preservation Agreement) 283 North Harwood Street. (A2100.0; AGR -6552) ACTION: Approved a Mills Act Contract (Historic Property Preservation Agreement) between City of Orange and the property owner for the preservation and rehabilitation of a qualified historic property. 3.22 Mills Act Contract No. MAC 264.0 -17 (Historic Property Preservation Agreement) 453 South Orange Street. (A2100.0; AGR -6553) ACTION: Approved a Mills Act Contract (Historic Property Preservation Agreement) between City of Orange and the property owner for the preservation and rehabilitation of a qualified historic property. 3.23 Mills Act Contract No. MAC 265.0 -17 (Historic Property Preservation Agreement) 543 North Pine Street. (A2100.0; AGR -6554) ACTION: Approved a Mills Act Contract (Historic Property Preservation Agreement) between City of Orange and the property owner for the preservation and rehabilitation of a qualified historic property. 3.24 Mills Act Contract No. MAC 266.0 -17 (Historic Property Preservation Agreement) 220 South Batavia Street. (A2100.0; AGR -6555) ACTION: Accepted Historic Resource Assessment for 220 S. Batavia Street and approved a Mills Act Contract (Historic Property Preservation Agreement) between the City of Orange and the property owner (Application No. MAC - 266.0 -17) for the preservation and rehabilitation of a qualified historic property. 3.25 Mills Act Contract No. MAC 267.0 -17 (Historic Property Preservation Agreement) 110 West Chapman Avenue. (A2100.0; AGR -6556) ACTION: Approved a Mills Act Contract (Historic Property Preservation Agreement) between City of Orange and the property owner for the preservation and rehabilitation of a qualified historic property. CITY COUNCIL MINUTES DECEMBER 12, 2017 3. CONSENT CALENDAR (Continued) 3.26 Redistribution of property tax revenues from the City of Orange to the City of Garden Grove due to the Lewis Street Reorganization of .901 acres of property located at Lewis Street and Garden Grove Blvd. Resolution No. 11044. (Continued from 11/14/17.) (A3100.0) NOTE: Mayor Smith and Councilmember Whitaker recorded an abstention due to a potential conflict with employment. A Resolution of the City Council of the City of Orange agreeing to a redistribution of property tax revenue due to the reorganization of .901 acres of property located at Lewis Street and Garden Grove Blvd. from the City of Orange to the City of Garden Grove, pursuant to Cortese -Knox- Hertzberg Local Government Reorganization Act of 2000. ACTION: Approved Resolution No. 11044. 3.27 Amending the Citywide Salary Schedule. Resolution No. 11051. (C2500.J.4) A Resolution of the City Council of the City of Orange amending the Citywide Salary Schedule in accordance with the requirements of California Code of Regulations, Title 2, Section 570.5. ACTION: Approved Resolution No. 11051. 3.28 Letter of Understanding between the City of Orange and the Orange Fire Management Association. Resolution No. 11052. (C2500.J.4.3.1) A Resolution of the City Council of the City of Orange establishing a Letter of Understanding between the City of Orange and the Orange Fire Management Association effective July 1, 2017, through June 30, 2019. ACTION: Approved Resolution No. 11052. 3.29 Retirement Health Savings Plan for the Orange Management Association (OMA). Resolution No. 11055. (C2500.J.4.2.1) A Resolution of the City Council of the City of Orange establishing a Retirement Health Savings Program for the Orange Management Association. ACTION: Approved Resolution No. 11055. 3.30 Authorizing the sale of 4537 W. Tiller Avenue (Water Well Site No. 3). Resolution No. 11049. (P2500.0.1) A Resolution of the City Council of the City of Orange finding that certain City -owned real property located at 4537 W. Tiller Avenue in the City of Orange is surplus to the City's needs and authorizing the sale of said property. ACTION: Approved Resolution No. 11049. CITY COUNCIL MINUTES 3. CONSENT CALENDAR (Continued) DECEMBER 12, 2017 3.31 Amendment to Master Schedule of Fees and Charges to adjust Ground Ambulance Transportation Rates. Resolution No. 11047. (C2500.J.1.0.1) A Resolution of the City Council of the City of Orange amending the Master Schedule of Fees and Charges to adjust Ground Ambulance Transportation Rates. ACTION: Approved Resolution No. 11047. MOTION — Alvarez SECOND — Nichols AYES — Alvarez, Whitaker, Smith, Murphy, Nichols Mayor Smith and Councilmember Whitaker recorded an abstention on Items 3.6 and 3.26. Mayor pro tern Murphy recorded an abstention on Items 3.7 and 3.9. All other items on the Consent Calendar were approved as recommended. END OF CONSENT CALENDAR 4. REPORTS FROM MAYOR SMITH Mayor Smith reported that Orange is now home to two CIF champion football teams and congratulated Orange High School and El Modena High School for their victories. Mayor Smith also reported on the many community events that took place this month including the tree lighting and the lighting of the menorah in the Plaza, an awards event honoring the Police Department volunteers, and breakfast with Santa. She also announced that 18 Orange Fire Department fire fighters have been sent to help with all of the wildfires in California. 5. REPORTS FROM COUNCILMEMBERS Mayor pro tern Murphy requested that staff look at how the Mills Act contracts are cycled through and suggested having them come to Council on a quarterly basis instead of all at once at the end of the year. Mayor Smith requested that it be put on a future Council meeting agenda for discussion. CITY COUNCIL MINUTES DECEMBER 12, 2017 6. REPORTS FROM BOARDS, COMMITTEES, AND COMMISSIONS 6.1 Report from City Council Ad Hoc Committees related to Homelessness: • Community Communications • Cities and Non - profit Collaboration • County Engagement Community Communications Councilmember Alvarez reported that the City of Anaheim was having a Community Triage Day on December 19 at the Angel Stadium parking lot. Representatives from the City of Orange will be present at the event. He requested that staff prepare a report (similar to the one prepared for 2016) on the amount of services and cost to each City department relating to homelessness, and its impact on the overall 2017 budget. Councilmember Alvarez also requested that the City Manager provide a report on the activity taking place at the Santiago Creek river trail. Cities and Non - profit Collaboration Mayor Smith attended a meeting to discuss mental health concerns. December 21 has been designated as "National Homeless Persons' Remembrance Day." An interfaith ceremony will be held at Christ Cathedral in Garden Grove. County Engagement Councilmember Whitaker reported that he met with County Supervisor Spitzer regarding the County's ongoing effort to increase the number of shelter beds in the County. Mayor pro tern Murphy added that there have been discussions with all of the County Supervisors regarding appropriate locations for shelter beds. The Batavia Street site is no longer available for purchase, and would not be an appropriate site for the types of uses being discussed. 6.2 Re- appointment of Councilmember Michael Alvarez to the Orange County Mosquito and Vector Control District Board. MOTION — Nichols SECOND — Murphy AYES — Alvarez, Whitaker, Smith, Murphy, Nichols Moved to re- appoint Councilmember Alvarez to the Orange County Mosquito and Vector Control District Board. 7. ADMINISTRATIVE REPORTS 7.1 Four -year Agreement with the Orange Plaza Rotary (OPR) to use the Orange Plaza area for their Annual Car Show. (Continued from 11/14/17.) Item withdrawn; no action taken. City Manager Otto announced that the item was withdrawn at the request of the Orange Plaza Rotary. CITY COUNCIL MINUTES 7. ADMINISTRATIVE REPORTS DECEMBER 12, 2017 7.2 Certifying the need for the immediate appointment of Joe Defrancesco as Interim Public Works Director while a recruitment is completed. Resolution No. 11050. A Resolution of the City Council of the City of Orange certifying the need for the immediate employment of Joe Defrancesco as interim Public Works Director and waiver of the 180 day wait period. MOTION — Smith SECOND — Nichols AYES — Alvarez, Whitaker, Smith, Murphy, Nichols During discussion, City Manager Otto stated that it is expected to have someone in background for the Public Works Director position by March. Moved to approve Resolution No. 11050 making the necessary certification to allow the immediate appointment of the retiring Public Works Director. 7.3 Update to the Historic Preservation Design Standards for Old Towne. Resolution No. 11053. (C2300.I) A Resolution of the City Council of the City of Orange adopting the update to the Historic Preservation Design Standards for Old Towne. Historic Planner Marissa Moshier presented the staff report. She provided background information and noted that the standards were last updated in 1999. Council discussed the elimination of the Conditional Use Permit requirement for a second story addition and the noticing requirements. The Design Review Committee would have approval of these projects and would no longer require Planning Commission approval. The appeal process would remain the same per the Orange Municipal Code. Public Speaker Sandy Quinn, Old Towne Preservation Association — spoke in support of approving the Resolution. Council was in favor of approving the design standards and addressing the noticing requirements separately. City Manager Otto explained that staff is in the process of reviewing the noticing requirements for the Design Review Committee (DRC). Staff can bring back an amended ordinance for Council's approval in February as the noticing requirements for DRC are included in the Orange Municipal Code. MOTION — Smith SECOND — Murphy AYES — Alvarez, Whitaker, Smith, Murphy, Nichols Moved to approve Resolution No. 11053. Direction was given to staff to revise the noticing requirements for the Design Review Committee, especially as it pertains to second story or additional units in Old Towne. CITY COUNCIL MINUTES DECEMBER 12, 2017 RECESS: The City Council took a short recess at 8:36 p.m. and reconvened at 8:50 p.m. with all members present. 8. REPORTS FROM CITY MANAGER — None 9. LEGAL AFFAIRS 9.1 Re- zoning property at 1725 West Katella Avenue to Urban Mixed Use. Ordinance No. 07 -17 (Second Reading). An Ordinance of the City Council of the City of Orange approving Zone Change No. 1284- 16 rezoning property located at 1725 West Katella Avenue to Urban Mixed Use to establish consistency between the Urban Mixed Use General Plan Land Use Designation and zoning classification in accordance with State Law. NOTE: Councilmember Whitaker recorded an abstention due to a potential conflict with a nearby property interest. MOTION — Murphy SECOND — Nichols AYES — Alvarez, Smith, Murphy, Nichols ABSTAIN —Whitaker Moved that Ordinance No. 07 -17 be read by title only and same was approved and adopted by the preceding vote. 9.2 Development Agreement for Branch West Apartment Project. Ordinance No. 08 -17 (Second Reading). (A2100.0; AGR -6541) An Ordinance of the City Council of the City of Orange approving a development agreement for the Branch West Apartment Project located at 1725 West Katella Avenue. NOTE: Councilmember Whitaker recorded an abstention due to a potential conflict with a nearby property interest. MOTION — Nichols SECOND — Murphy AYES — Alvarez, Smith, Murphy, Nichols ABSTAIN — Whitaker Moved that Ordinance No. 08 -17 be read by title only and same was approved and adopted by the preceding vote. CITY COUNCIL MINUTES 9. LEGAL AFFAIRS (Continued) DECEMBER 12, 2017 9.3 An Ordinance Repealing Ordinance No. 10-11 returning the zone district designation for property located on the former site of Ridgeline Golf Course. Ordinance No. 09- 17 (Second Reading). An Ordinance of the City Council of the City of Orange Repealing Ordinance No. 10 -11 and returning the Zone District Designation for Approximately 47 acres of property located on the site of the former Ridgeline Golf Course to solely recreation/open space (ro). MOTION — Whitaker SECOND — Smith AYES — Alvarez, Whitaker, Smith, Murphy, Nichols Moved that Ordinance No. 09 -17 be read by title only and same was approved and adopted by the preceding vote. 10. ITEMS RELATING TO THE SUCCESSOR AGENCY OF THE ORANGE REDEVELOPMENT AGENCY — None 11. PUBLIC HEARINGS 11.1 Proposed Water Rate Adjustment. (C2500.P) Time set for a public hearing to consider proposed increases to the City's water rates and charges. Water Manager Jose Diaz provided the staff report utilizing a PowerPoint presentation, and answered Council's questions. He explained the current rates and went over the proposed rates. City Manager Otto noted that staff began the process a year and a half ago by looking at different models, considering case law, and Prop 218 requirements before presenting the recommended proposal. THE MAYOR OPENED THE PUBLIC HEARING; AND THERE BEING NO SPEAKERS, THE MAYOR CLOSED THE PUBLIC HEARING. Correspondence received by the City Clerk's Office was included in the hot file. Chief Clerk Robert Zornado announced that five letters were opposed and one was in support. Resolution No. 11046 A Resolution of the City Council of the City of Orange Amending and Revising the Master Schedule of Fees and Charges for Water Rates. MOTION — Whitaker SECOND — Smith AYES — Alvarez, Whitaker, Smith, Murphy, Nichols Moved to approve Resolution No. 11046 and receive and file the Comprehensive Water Rate Study conducted by Raftelis Financial Consultant, Inc. CITY COUNCIL MINUTES 11. PUBLIC HEARINGS (Continued) DECEMBER 12, 2017 11.2 An Ordinance amending Chapter 17.34 of the Orange Municipal Code to modify the City's Off - Street Parking and Loading Requirements for Multi- Family Residential Uses. (Continued from 10/24/17.) (A2500.0) Time set for a public hearing to consider modifying the City's off - street parking and loading requirements for multi - family residential uses. THE MAYOR OPENED THE PUBLIC HEARING. Public Speakers Adam Wood, Building Industry Association — spoke in opposition of the amended Ordinance. Ed McCoy — asked if projects that have already been submitted will be effected by the Ordinance if approved. THE MAYOR CLOSED THE PUBLIC HEARING. During discussion, City Attorney Winthers clarified that, generally speaking, a project is bound by the policies when the project is submitted; therefore, this ordinance would only apply to projects submitted after the ordinance goes into effect. Ordinance No. 06 -17 (First Reading) An Ordinance of the City Council of the City of Orange amending Chapter 17.34 of the Orange Municipal Code to modify the City's Off - Street Parking and Loading Requirements for Multi - Family Residential Development. MOTION — Murphy SECOND — Smith AYES — Alvarez, Whitaker, Smith, Murphy, Nichols Moved that amended Ordinance No. 06 -17 be approved for First Reading and same was set for Seconding Reading by the proceeding vote with the following revisions: studio and 1 bedroom parking standards from the 10/24/17 staff recommendations column of Attachment 1 of the staff report, comparison table; and 2 and 3 bedroom parking standards from the 12/12/17 staff recommendations column. City Manager Otto asked for clarification on the 4 or more bedrooms recommendation. Mayor pro tem Murphy amended his motion to include 4 or more bedrooms 10/24/17 staff recommendations and guest parking to remain the same throughout. CITY COUNCIL MINUTES 11. 12. 13. PUBLIC HEARINGS (Continued) MOTION — Murphy SECOND — Whitaker AYES — Alvarez, Whitaker, Smith, Murphy, Nichols NOES — Smith (as to 4 bedroom only) DECEMBER 12, 2017 Moved that amended Ordinance No. 06 -17 be approved for First Reading and same was set for Seconding Reading by the proceeding vote with the following revisions: include the studio and 1 bedroom parking standards from the 10/24/17 staff recommendations column of Attachment 1 of the staff report comparison table; 2 and 3 bedroom parking standards from the 12/12/17 staff recommendations column; and 4 or more bedrooms parking standards from the 10/24/17 staff recommendations column with guest parking to remain the same throughout. The amendments are included in Ordinance No. 06 -17 set for Second Reading on January 9, 2018. RECESS TO THE MEETING OF THE INDUSTRIAL DEVELOPMENT AUTHORITY (I1300.0) The City Council recessed at 10:40 p.m. to the meeting of the Industrial Development Authority with all members present, and reconvened at 10:44 p.m. ADJOURNMENT — The Council adjourned at 10:44 p.m. in Memory of former Orange Mayor, Joanne Coontz. The next Regular City Council Meeting will be held on Tuesday, January 9, 2018, at 4:30 p.m. for an Employee Recognition and the Regular Meeting at 6:00 p.m. in the Council Chamber, with Closed Session beginning at 5:00 p.m., if necessary. ROB 47T ZORNADO CIREF CLERK TERESA E. SMITH MAYOR