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03-25-1997 Council MinutesAPPROVED BY THE CITY COUNCIL ON APRIL 8, 1997 CITY COUNCIL MINUTES OF A REGULAR MEETING ORANGE, CALIFORNIA March 25, 1997 The City Council of the City of Orange, California convened on March 25, 1997 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 PLEDGE OF ALLEGIANCE TO THE FLAG Led by Councilman Murphy 1.2 ROLL CALL PRESENT - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez ABSENT - None 1.3 PRESENTATIONS/ ANNOUNCEMENTS/ INTRODUCTIONS Mayor Coontz introduced newly hired City Attorney, David A. De Berry.The City Manager announced the newly-implemented City Employee Recognition Service Awards Program. The following employees were recognized for their years of service with the City: Gary Wann, Matt Miller, Amir Farahani, Lesley-Ann Walker, Mike Przysiecki, Robert Frick, Jack McGee, Dave Rudat, Alex Varga, Tom Bevins, Velia Balter, Jeff Guzzetta, Sally Trejo, John Waken, Doug Weeks, Stan Gabel III, Robert Bradley, Terry Fredrick, Steven Pham, Linda Salas, and Jim Palmer Kari Hummel, 2950 E. Shady Forest, Orange, reported on the 1997 Gogh Van Orange to be held May 3-4, 1997 and thanked Council for their active participation and sponsorship in past events.1.4 PROCLAMATIONS A proclamation was presented to Erlinda Compton, Records Manager, City Clerk' s Department, in honor of National Records and Information Management Week, March 30 through April 5, 1997.2. CONSENT CALENDAR 2.1 Declaration of City Clerk, Cassandra J. Cathcart, declaring posting of City Council agenda of a regular meeting of March 25, 1997 at Orange Civic Center, Main Library,Police facility at 1107 North Batavia and the Eisenhower Park Bulletin Board and summarized on Time Warner Communications; 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.PAGE CITY COUNCIL MINUTES March 25, 1997 2. CONSENT CALENDAR (Continued) ACTION: Accepted Declaration of Agenda Posting and authorized its retention as a public record in the Office of the City Clerk. 2.2 Request Council confirmation of warrant registers dated March 7 and 11, 1997. ACTION: Approved. 2.3 Request approval of City Council Minutes, Regular Meeting, February 25, 1997 Continued from March 11, 1997) and Regular Meeting, March 11, 1997. ACTION: Approved. 2.4 Consideration to waive reading in full of all ordinances on the Agenda. ACTION: Approved. APPROPRIATIONS 2.5 Request Council appropriate $750.00 of the State Asset Seizure Fund 356-000- 294000 to send two Vice/Intelligence Unit Investigators to the Law Enforcement Intelligence Unit's National Seminar. ( C2500.K)FISCAL IMPACT: The unappropriated balance of State Asset Seizure Funds will be reduced by $750.00. There is no impact on the General Fund. ACTION: Approved.CONTRACTS 2.6 Request Council award a contract in the amount of $134,960.00 to C. T. & F., Inc. for traffic signal improvements and installations at various locations. Bid No. 967-02. A2100.0 AGR-2777)FISCAL IMPACT: Total funds in the amount of$180,000 are budgeted and approved in the Capital Improvement Program in the following accounts:285-5032-483100-6124 (TSIP Area C-Chapman and Esplanade) - $20,000; 285-5032-483100-6125 (TSIP Area C-Chapman and Rancho Santiago Blvd.) - $45,000; 284-5032-483100- 6091 (TSIP Area B-Glassell and Grove) - $75, 000; 272-5032-483100-6135 (Gas Tax- Santiago Canyon Rd. Equestrian Crossing) - $40,000.Transfer of appropriations are required as follows:10,000 from 272-5032-483100- 6456 (Gas Tax) to 272- 5032-483100- CITY COUNCIL MINUTES March 25, 1997 2. CONSENT CALENDAR (Continued) ACTION: Approved transfer of funds and authorized Mayor and City Clerk to execute on behalf of the City. REMOVED AND HEARD SEPARATELY) 2.7 Request Council award a contract in the amount of $64,861.00 to Cairney Construction for demolition, right-of-way clearance and building remodeling at 490 South Main Street and 1435 West La Veta Avenue. Bid No. 967-22, SP-3077.NOTE: Mayor pro tem Slater abstained on this item due to a recent property sale that took place within 300 feet of this consideration. (A2100.0 AGR-2778)FISCAL IMPACT: Funds in the amount of $76,898.00 are budgeted in the following account: 272-5011- 483300-3227 (Gas Tax-Main/La Veta Critical Intersection).MOTION - Murphy SECOND - Alvarez AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSTAIN - Slater ACTION: Authorized Mayor and City Clerk to execute on behalf of the City.2.8 Request Council approve a contract with Dames and Moore, Inc. for construction inspection services for the Milford Street Storm Drain located on Milford Street from Santiago Creek to Walnut Avenue and on Walnut Avenue from Milford Street east to Handy Street. (A2100.0 AGR-2779)FISCAL IMP ACT: Funds in the amount of $45,000. 00 are budgeted in the following account: 530- 5011-483400-5332 (Storm Drain - Costa Mesa Freeway).ACTION: Authorized Mayor and City Clerk to execute on behalf ofthe City.DRAINAGE 2.9 Request Council approve latest updated Master Plan of Drainage (MPD) prepared by Williamson and Schmid Consulting Civil Engineers. ( C2500.M. CITY COUNCIL MINUTES March 25, 1997 2. CONSENT CALENDAR (Continued) PERMITS 2.10 Request from Robert E. Bayley Construction for a hauling permit for Phase I (demolition work) at The City Mills project located on The City Drive. (C2500.M.20) FISCAL IMPACT: None. ACTION: Approved. PERSONNEL 2.11 Request Council approve the addition of one (1) full-time and two (2) 20- hour part-time dispatcher positions. (C2500.K)FISCAL IMP ACT: The net impact on the General Fund would be 0 this fiscal year as the department will utilize existing savings from within their budget for the balance of this fiscal year. The total cost for three (3) positions is $87,621.62/yr. with a potential overtime savings of up to $20,000.00 which would be reflected in next fiscal year' s proposed budget. ACTION: Approved.RESOLUTIONS 2.12 RESOLUTION NO. 8747 A Resolution of the City Council of the City of Orange renaming Crawford Canyon Road, north of Chapman Avenue and Loma Street between Santiago Canyon Road and the north city limits to Cannon Street. (S4000. S.3. 6)ACTION: Approved.2.13 RESOLUTION NO. 8748 A Resolution of the City Council of the City of Orange upholding the recommendation of the Planning Commission of the City of Orange and approving the general plan classification of property situated south of the intersection of Hewes Street and Rancho Santiago Boulevard. General Plan Amendment 3- 96; Polygon Communities, Inc. C2300E GPA- CITY COUNCIL MINUTES March 25, 1997 2. CONSENT CALENDAR (Continued) 2.14 RESOLUTION NO. 8749 A Resolution of the City Council of the City of Orange upholding the recommendation of the Planning Commission of the City of Orange and approving the subdivision of property situated south of the intersection of Hewes Street and Rancho Santiago Boulevard. (T4000.0 TRT- 15371)Tentative Tract 15371, Minor Site Plan Review 23-96 Polygon Communities, Inc. ACTION: Approved.2.15 RESOLUTION NO. 8750 A Resolution of the City Council of the City of Orange upholding the recommendation of the Planning Commission of the City of Orange and granting a variance to allow setback modification on residential lots located south of the intersection of Hewes Street and Rancho Santiago Boulevard. (V1300.0 V AR- 2026-96)Variance 2026-96 Administrative Adjustment 96- 9 Polygon Communities, Inc.ACTION: Approved.2.16 RESOLUTION NO. 8751 A Resolution of the City Council of the City of Orange renaming "C" Streetto Crest de Ville. ( S4000.S. 3.6)ACTION: Approved.SPECIAL EVENTS 2.17 Request by Motorsport Industries to close the cul- de-sac in the 900 block of North Enterprise Street to conduct a car show on Saturday, April 19, 1997.FISCAL IMPACT: None. A $500 check has been submitted as a bond to cover any City services that might be required.ACTION: Approved.2.18 Request from Orange Chamber of Commerce to hold the annual Gogh Van Orange Art and Music Festival in the Downtown Plaza area on Saturday and Sunday, May 3 CITY COUNCIL MINUTES March 25, 1997 2. CONSENT CALENDAR (Continued) FISCAL IMPACT: None. A $12,000 check will be submitted by the Chamber of Commerce to cover City services. ACTION: Approved. 2.19 Request for temporary suspension of permit parking restrictions in Area A (Downtown Area) on May 3-4, 1997 for the annual Gogh Van Orange Arts and Music Festival.S4000.S.3.1. 2)FISCAL IMPACT: None.ACTION: Approved.2.20 Request Council approve the Police Running Team utilize the Police Traffic Van for a follow vehicle in the Baker to Vegas Relay Race, April 12 and 13, 1997. (C2500. k)FISCAL IMP ACT: None ACTION: Approved.URGENT ITEM MOTION - Mayor Coontz SECOND - Murphy AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved that the urgent request be added to the agenda and Consent Calendar as the need to take action arose subsequent to the posting of the agenda and there is a need for immediate action. 2.21 Requestto make the finding that the public convenience and necessity will be served by the ownership transfer of a Type "20" Off-Sale Beer and Wine license at property located at 125 Rancho Santiago Boulevard. (P1300.0.2)ACTION: Approved.MOTION - Murphy SECOND - Alvarez AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Item No.2. 7 was removed and heard separately, Mayor pro tem Slater abstained. Item No. 2.21 (added as an Urgent Item) was approved and the remainder of the Consent Calendar was approved as recommended.END OF CONSENT CALENDAR PAGE 6 CITY COUNCIL MINUTES March 25, 1997 3. REPORTS FROM MAYOR COONTZ 3.1 Formation of Ad Hoc Committee - Community Involvement and Outreach Program for the 1-5 North (ORI800.1.14) Mayor Coontz reported the purpose of the Committee is to promote better community relations in coordination with the 1-5 Freeway widening project and determine appropriate communication plans. The county's rapid growth has directly impacted the 1-5 and its ability to handle the increasing number of vehicles using the freeway. A person would be available at the City to answer questions from the community and Caltrans would have a contact person for businesses and residents. A detailed community notification process through the Orange Guidebook,Channel 3, and the City's new web page, would regularly inform businesses and residents of short and long term construction activities, as well as detours and appropriate route variances. It was indicated that Councilman Spurgeon had been ask to serve on the Ad Hoc Committee, and that they would meet with staff, representatives ofthe businesses along the corridor which affect the City of Orange, and the alternate routes of Orangewood and La Veta, to assure more direct contact with the merchants, residents, Caltrans and aCTA. The Committee will sunset as soon as the 1- 5 Project opens. MOTION SECOND AYES Mayor Coontz Spurgeon Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved to establish an Ad Hoc Committee titled "Community Involvement and Outreach Program" for the 1-5 Freeway North with participation of Mayor Coontz, Councilman Spurgeon,and members ofthe Public Works staff.4. REPORTS FROM COUNCILMEMBERS 4.1 Proposal from Mayor pro tem Slater and Councilman Alvarez creating an Ad Hoc Committee to formulate an ordinance dealing with political signs and special event promotional signs. (ORI800.1. 15)Mayor pro tem Slater reported that the issue of temporary promotional signs, which includes political signs, needs to be addressed with respect to health, safety and aesthetic concerns.Councilman Alvarez indicated he and Mayor pro tem Slater will be working on the issue and will bring a report back to the Council. MOTION SECOND AYES Slater Alvarez Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved to approve the creation of an Ad Hoc Committee consisting of Mayor pro tem Slater and Councilman Alvarez to deal with the political signs and special events promotional sign issue.PAGE 7 CITY COUNCIL MINUTES March 25, 1997 5. REPORTS FROM BOARDS, COMMITTEES, AND COMMISSIONS 5.1 Reappoint Jerry Coker to the Community Video Advisory Board (term expires 3/31/99). (ORI800.0.28) MOTION - Spurgeon SECOND - Murphy AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Approved.5.2 Reappoint the following members of the East Chapman Improvement Committee terms expire 3/ 31/99):Sylvia Caigoy, Jessie Ledesma, Nora Razo, Tom Saenz, Bob Torres, James Whitaker, Jim Hudson (Police Representative) ( ORI800.0.8.8)Mayor Coontz indicated that Tom Saenz splits his time between the City of Orange and Michigan. Mr. Saenz serves this committee when notified.MOTION - Murphy SECOND - Spurgeon AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Approved.6. ADMINISTRATIVE REPORTS 6.1 Report from the Director of Public Works on a professional services contract with Hilton Farnkopf & Hobson, LLC to conduct a Water Rate Study (continued from March 11,1997). (A2100.0 AGR-2770) NOTE: Mayor Coontz requested full minutes of this item.The Director of Public Works explained the four purposes for the Water Rate Structure Study are as follows: 1 )To ensure fairness and equity in the rate structure for all customer classes. 2) To ensure that the rate structure accurately reflects the actual costs of providing water service to the customer and otherwise conforms to the spirit and intent of Proposition 218. 3) To ensure that the rate structure conforms to urban water conservation Best Management Practices criteria. 4)To develop a Water Fund reserve policy that, together with a review of future expenditure projections to identify revenue needs, will facilitate rate stability and the proper planning for adequate revenue levels.The objective ofthe study is to develop alternative rate structures that will address these and similar issues and provide an improved rate structure format. The scope of work for the study involves four major tasks:PAGE 8 CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) 1. Data Analysis which is gathering all the information on the existing operation Review budget documents, capital improvement plans, etc. To become familiar with the utility's operating expenses, capital costs, current revenue levels, and various reserve funds Identify customer classes Review customer account and consumption history for all customers by class analyze water usage characteristics and consumption patterns of each customer class Review data on all private fire service connections 2. Cost Analysis and Allocation To identify existing and projected costs to determine revenue requirements To allocate costs to customer classes To analyze the costs associated with pumping to various pressure zones Analyze unique cost of service factors for outside of city customers Analyze unique cost of service for private fire service connections 3. Develop Water Rate Structure Alternatives Develop and evaluate refinements to the current rate structure Develop up to five different rate structure alternatives Develop a rate design model to test the different rate structure alternatives to verify revenue levels and to assess how typical customers will be impacted 4. Final Report Submit draft report for staff review Prepare final report and present finding and recommendations to City Council Mayor Coontz asked if it would it be necessary to make this study over and above any of the other issues addressed, indicating that Proposition 218 addresses fairness. The Director of Public Works indicated this is an added imperative to examine all of the City's fee and rate structures to insure that the City is in compliance with the spirit and intent of Proposition 218. Councilman Spurgeon commented the report indicates that every five years the City has to reevaluate its rate structure. Did the City hire a firm five years ago to evaluate the City's rates? An explanation was requested on an elevation surcharge for higher pressure zones. Will people that live in the hills pay more for water rates under this type of concept? Based on studies done in similar cities and districts, have the rates increased, remained the same, or gone down after the evaluations have been made? The Director of Public Works responded rates are a part ofthe Best Management Practices that were being referred to with respect to water conservation and compliance with the State regulations. In-house evaluations were done for that study. Staff did not evaluate the rate structure in-depth as this is a different scope of work and effort. With the addition of Proposition 218 issues, the City needs consultant assistance to perform an adequate job. CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) The higher elevation areas need to be explored. There are cost differences in pumping water from one zone to another. The City also utilizes imported water that comes into the system at differing elevations; 25% ofthe water used is imported water. With the present rate structure there is a differing cost of service for differing classes of customers which is not reflected in the current rate structure. The overall study can result in no additional costs to customers or revenues raised. It is staff's expectation that this would be the likely outcome, given the current revenue and expenditure flow. There may be a shifting of costs because ofthe differences in costs of service to various classes of customers. The City Manager reported this issue is sensitive because it deals with rates. Any taxation or rate issue has always been extremely important to this Council and past Council's and to the citizens of Orange. The study mayor may not result in an increase of rates. It is important to do the water rate study, coincidence or not with the issue of Proposition 218. For example, someone that might raise the issue of elevation charges would not want to feel as though they, at a lower elevation, were subsidizing the rates for an individual at a higher elevation. In preparing for the 1997/98 Budget, the Capital Improvement Program for the Water Department reflects that a significant amount of dollars are being reinvested into the water system. Forecasting the City's move into the 1998/99 and 1999/2000 Budget, the City finds itself at a $200,000 deficit one year and a $300,000 deficit the following year, subsequently rising up to an $800,000 and $1.2 million deficit. The City is closely examining its water rates to ensure that the procedures for reinvestment in the City's infrastructure and pumping stations are not overzealous in what is trying to be accomplished. The City of Orange does have the lowest rates in the County and the issue needs to be brought to Council's attention. Mayor Coontz remarked it is important to recognize that the City has several sources of water. There are supply rates that are not determined by the City of Orange, but outside the City of Orange. It was requested that the City's complex and unique water supply background be included as part of the presentation from the consultant. Councilman Murphy commented the City recently wrestled with the water rate question and a formula was put in place that evaluated costs of service delivery which was used as an indicator in terms of whether rates would be increased, decreased, or remain the same. A review was requested of what is on the books and ifit indicates higher rates, lower rates, or the same rates today. The Water Manager indicated the formula was adopted in 1993 and was never implemented. Council was assured it has gone up since 1993. Mayor Coontz responded that was because ofthe Council's lack of desire to go into a utility tax which was about the time it was presented to Council. PAGE 10 CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) Councilman Spurgeon commented for the record: "As we have had these discussions in the past in Study Sessions, and I know the Mayor and I have been here when some of these, I don't know if Murphy had gone on the Council at that time, but I remember one time where we got sprung with a water increase at a Study Session without any warning. Including the Director of Public Works at the time had no warning ofthat introduction. I think our policy has always been, at least in recent years, if we have to do what we call pass-thru rate increases, such as Metropolitan Water comes in, and because during those drought years, and asked for an increase in rates, and whatever percentage is that we get our water from at the time, versus pumping other sources as you recommended. I have never had a problem as long as we can clearly justify to our citizens that we are passing through cost wise rates that are passed us by the Metropolitan Water for whatever percentage for the total increase of our water bill that is going to be. Ifthat ever comes up, and we get pass-thru's like that, I have no problem addressing that, as long as it is clearly established that is what the raise if for. I have had concerns in the past, as the Council has, in terms of other types of what I would consider, tampering with our rate structure, because it is the lowest, and we do have an outstanding Water Department, I think as the Manager's already indicated."Councilman Murphy expressed concern with a comment in the proposal which states that it is not a legal opinion and that the study is being done on the basis of planning for the "what ifs" of Proposition 218. An opinion was requested, from a timing standpoint, on legal information vs.study information, to ensure that modifications or addendums would not have to be done after the study was completed, based on Proposition 218. The City is doing investments that need to be done to ensure the high level of water. A comment in the proposal was referred to relative to the spirit of218. It was indicated that the citizens expect to approve or disapprove taxes,assessments or fees imposed on them, and expect that the assessment and fees will be fairly determined on the basis of cost of service.The City Manager reported in going through the budget process last year, fee inequity issues were identified in the water rate distribution or allocation methods, even prior to discussions of Proposition 218 coming forward. It was felt that the rates should be studied at this time. While the City is trying to be cautious, Proposition 218 is not being used as a veil to hide while doing a rate study. The study needs to be done to keep Council informed as to whether the current rates are adequate and are being properly assessed. With the addition of Proposition 218, it was felt a more thorough study should be done because of the potential interpretation as to whether it is property related or not. It was decided to get a bit more sophisticated and involve an outside consultant in the study.The Director of Public Works commented that it may be years before the City has definitive guidelines to rely on with Proposition 218, which will probably come through the process of lawsuits. Flat rates need to be looked when they apply to varying levels of customer classes.The advise of individuals giving seminars on Proposition 218 is that there are a number of answers to any particular issue and there are varying levels of risk that an agency can assume.The best course of action is to identify what the options are, assess the risks, and make decisions based on that information. CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) Mayor Coontz asked if this proposal cover the concerns of the Council and her suggestion that there be alternatives to Proposition 218, if Proposition 218 does not cover water issues? It is important, of course, it is a political message, but the Council felt that we potentially were burned in 1993 when we were surprised with some of the water proposals, and we don't want to revisit that situation. I guess the proposal is specific in many respects, but general in others. I think what we want to be sure of, is that if we approve this, that those things that we are most concerned about are going to be included." John Farnkopf, Senior Vice President, Hilton, Farnkopf & Hobson, LLC reported two provisions specifically mentioned in Proposition 218 that cities and districts should be aware of are costs of service allocations and any transfers to the general fund. For years these areas, both within the public and private sector, have been carefully worked out by either the courts or regulatory commissions. Mr. Farnkopf indicated the work he does in rate making is from metered water systems that are not broken. Proposition 218 legislation is going to take years to get worked out. It appears that the City should be in good shape relative to fees and charges for water and sewer servIce. Mayor Coontz advised that the entire Council, in a Resolution, voted to support Proposition 218 and asked for a level of confidence from Mr. Farnkopfthat he understood and that Council would have options, Proposition 218 or no Proposition 218. Is that possible? John Farnkopf commented it is mentioned in the proposal that they would look for five different rate alternatives, those would be rate designs. Within those alternatives, they would be looking at potential interpretations of Proposition 218. It would be left to Council and the City Attorney to decide which of those interpretations is the best fit. Councilman Spurgeon commented for the record: "I am having great difficulty here committing $25,000 to find an innovative way, in my view, to find ways to raise the water rates for a number of people in this city, and Ijust can't vote in good conscious. It has nothing to do with the reputation of our City Manager or Public Works Director or our fine Water Department. It is just a philosophical thing that I'm having difficulty coming to grips with here in terms of innovative ways to raise the water rates, and spending $25,000 to do it. That is my opinion, and I will be voting no on this." Mayor pro tem Slater commented the last thing he would want is to see a rate increase come out of this. This is an equity situation where the City might actually be encouraging people to waste water because there might be an artificially high minimum on water charges. Perhaps it is encouraging people to waste water which I don't like that at all. This rate structure study should be done so that there is equity and all the citizens are charged fairly which is how I am interpreting this. PAGE 12 CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) Mayor Coontz remarked there are elderly people in the City who have said that they did not appreciate the base rate. A lady having financial difficulty indicated that she wasn't using her water and wasn't watering her lawn. Quite a few similar calls have been received over a period of time. At one time the City had talked about eliminating the base rate. It was indicated that the City needs to think about this in a more global way. Councilman Alvarez indicated he shares the same concerns as Councilman Spurgeon. Once the study is completed, it is the Council's preview as to what is done with the information. The Finance Director could assist in getting the information out to the public through the new water billing system. MOTION - Mayor Coontz SECOND - Slater AYES - Slater, Coontz, Alvarez NOES - Murphy, Spurgeon Moved to approve a professional services contract with Hilton Farnkopf & Hobson, LLC, in the amount of $24,660 for a Water Rate Structure Study; authorize the Mayor and City Clerk to execute on behalf of the City; with the understanding that the City Council of the City of Orange is not interested in achieving an increase in the water rates in the City of Orange.Councilman Murphy gave the following minute order: "I didn't take a position one way or the other before the vote, and I really wrested with it to the end. I still wrestle with the thought of 1) the order of process; and 2) the fact that in past times we have done this within the organization and the investment involved, while I am sure it will return the information required.I was just uncomfortable with the investment level, so that was the reason for my no vote."6.2 Report from the Director of Public Works and Director of Community Development on the City of Orange's recommendation to the OCT A on the Corridor Major Investment Study. (OC1300.D.l) Mayor Coontz reported that new development in the City of Orange will dramatically impact the City's transportation capacity. The City's charge is to help aCTA determine how the City can reduce or eliminate the gridlock that could come with new jobs, workers, visitors and residents.The City could expand roads and freeways; revamp the bus and shuttle system; develop technology for smart streets; or explore urban rail. Urban rail is a fixed route, light passenger train system similar to those in Sacramento, Portland, San Diego, or Long Beach's blue line.There are short and long term options. All alternatives involve new financial commitments,however, ISTEA funds provided at the federal level are available to Orange County.PAGE 13 CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) aCTA has asked the City of Orange to look at seven transportation alternatives that link cities in a corridor which extends from Southern Irvine to Fullerton, through Costa Mesa, Santa Ana, Orange and Anaheim. Each city has a chance to offer its comments. Irvine asked that the rail 6.ADM route go along Santiago Creek; Anaheim wants the route to link up with Anaheim Stadium and Disneyland; and the City of Santa Ana has several options that they are still exploring. The City of Orange discussed a route that links Town and Country with St. Joseph's Medical Center and The Mills Project. The City has been assured that their separate demands are likely to be incorporated into one alignment, one short term and one long term, in an attempt to satisfy all parties. Urban rail is costly and highly subsidized. The corridor and the urban rail proposal may not be the right option for the citizens of Orange. The City is a reluctant participant, concerned with the total revenue commitment for the implementation and the annual operations and maintenance, but wants to ensure that they are a beneficiary if a decision is made. The Director of Community Development addressed a revised draft letter to aCTA which includes recommendations incorporating the suggestions of the Mayor and the City Manager to reflect the concerns of the City. The recommendations are as follows: 1. The City of Orange recognizes the need to look at all forms of transportation in order to adequately plan for future growth and economic development of Orange County. The City acknowledges that the center core of the County will be much more intensely developed by the Year 2020 than it is today. Therefore, planning for any transportation systems, especially light rail, needs to begin now in order to be implemented in time. 2. The City of Orange's dual recommendation on the Corridor Major Investment Study includes Alternative 2 (Optimize use of Present System) as a means of maximizing the use ofthe present transportation system as a short term interim solution and Alternative 5 (Rail System Harbor/Main/Creek) as a part of Orange County's long range transportation program.3. The recommendation for Alternative 5 includes a concern for the potential visual and environmental impacts of light rail on the residential areas adjacent to the preferred alignment as well as the impacts on pedestrians and drivers in the business areas through which the rail system will pass. A further recommendation is to make the rail system as unobtrusive to the community as possible without requiring it to become prohibitively expenSIve. 4. The City of Orange is also concerned about the funding, and overall cost/revenue and long-term maintenance issues related to the proposed Rail Alternatives. We understand that additional financial information will be available responding to this concern later this year in the June or July time period.PAGE 14 CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) The above should be considered an interim recommendation from the City of Orange subject to further review of financial information anticipated to be available from the Orange County Transportation Authority in June of 1997. Councilman Murphy requested a copy ofthe information be included in the aCTA's Board Meeting on April 14, 1997. The City Manager reported that the cities of Santa Ana and Costa Mesa will wait until late April or May to make their recommendations. The information should be available from aCTA by April 14, 1997. It was indicated that the cities of Fullerton, Garden Grove and Anaheim have already made their recommendations, and the City of Orange does not want to get left out in making a recommendation. Bob Bennyhoff, 10642 Morada Drive, Orange Park Acres, urged Council to consider adding a provision to the letter conditionally supporting the rail system providing that the City of Orange is one of the stops or approves the route that is chosen. MOTION - Mayor Coontz SECOND - Slater AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved to recommend to Orange County Transportation Authority (aCTA) Alternate No.2 and an interim recommendation or approval for Alternate No.5 subject to the June, 1997 financial information, long term cost analysis of maintenance and operation, and transit demands at the time of final approval. The letter to aCTA be redrafted as a stronger letter adding a provision conditionally supporting the rail system, providing that the City of Orange is one of the stops or approves the route that is chosen.The City Manager, gave the following answer that was asked at the March 18, 1997 study session relating to train systems: According to 1996 estimates, the population of San Diego County is 2. 69 million. The population of the City of San Diego is 1.1 million compared to the population of Orange County which is 2.64 million.6.3 Report from the Director of Public Works on the Neighborhood Parking Permit Program. (S4000.S. 3.1.2)The Director of Public Works presented background information on the Neighborhood Parking Permit Program. The City Traffic Commission recommended a removal policy which would be at no cost to the proposed permit area resident. A petition would be required to be circulated by the proponents with 55% or more of all residents in the permit area supporting the removal. A hearing would be held before the City Traffic Commission and the City Council with notification PAGE 15 CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) to all affected residents; and the entire neighborhood that originally approved the permit parking be removed. A request for reinstatement, after going through the removal process, would be subject to the $1500 parking permit application fee and reviews would be done in response to resident requests. Mayor Coontz commented the report states that programs shall not be approved merely because ofthe neighborhood density, parking supply, or high vehicle registration, indicating it is confusing because ofthe history on East Maple, Adams, Hoover, and a few other streets in which neighborhood parking programs were instituted due to neighborhood problems. It was suggested that a section that states that any identified parking intrusion must be from an external source be included with the above statement to avoid confusion. The Director of Public Works explained the thrust is to base the determinations on two major criteria: 1) the utilization of the parking spaces and the turnover of those parking spaces, and 2) an overwhelming support, 95% level from the property owners for the parking permit area. It was intended to minimize the number of applications and the successful approval of the applications. It was clarified that the removal policy is what is proposed for adoption. Councilman Slater suggested, in order to address the Mayor's concern, that No.1 read: "the area must abut an institutional, commercial, industrial or multiple-family housing development which is generating the parking intrusion," which would include a problem such as Villa Santiago that could arise again. It was suggested that there be a $500 limit on the Implementation Policy since no applications had been received since the $1500 parking permit application fee limit was put in place.MOTION - Slater SECOND - Spurgeon AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved to approve the Removal of a Neighborhood Parking Permit Program policy. The Implementation of a Neighborhood Parking Permit Program policy be brought back for further reVIew.6. 4 Report from the Police Chief concerning a proposal to implement changes to the Neighborhood Parking Permit Program. (A2500.0)The Police Sergeant reported the proposed change would be a reflective, colorized, serialized type of a program. The Police Department would be able to use their in-house computer database to identify which visitor pass belongs to which area. The stickers would be given out on a three-year basis and the plastic holders will be identified with City of Orange information. The parking permit fee would be $3.00 for a three-year period oftime, with a pro-rated fee for those coming into the program after it has started. It is their intention to go into the parking permit areas of the community and set up an ad hoc community meeting where the parking CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) permits can be sold to minimize the inconvenience to the residents. The program should be fully operational by July 1, 1997. Councilman Murphy suggested certain individuals that may wish to repeal the Neighborhood Parking Permit Program should be advised that this would be a good time to start that procedure, so they would not have to participate unless they chose to at the July 1, 1997 start-up date.The Police Sergeant responded it is their intention to send out letters announcing their presence in the neighborhood and Councilman Murphy's suggestion would be included in that announcement.Councilman Murphy suggested, with Council's concurrence, to provide participating residents an opportunity, at their expense, to return a portion of the notification being sent out indicating whether they support or wish to repeal the program.Mayor Coontz suggested that the proposed agendas for the City Traffic Commission be looked at relative to a request from East Orange.ORDINANCE NO. 7-97 An Ordinance of the City Council of the City of Orange amending Chapter 10.30 of Title 10 of the Orange Municipal Code pertaining to parking requirements.MOTION - Mayor Coontz SECOND - Slater AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved that Ordinance No. 7-97 be read by title only and same was set for second reading by the preceding vote. RESOLUTION NO. 8745 A Resolution of the City Council of the City of Orange amending and revising the Master Schedule of Fees and Charges as authorized by Orange Municipal Code Chapter 3.10. MOTION - Mayor Coontz SECOND - Slater AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez PAGE 17 CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) Moved that Resolution No. 8745 as introduced, be adopted and same was passed and adopted by the preceding vote. MOTION - Mayor Coontz SECOND - Slater AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved to approve the requested change in procedure for the administration of the Neighborhood Parking Permit Program. 6.5 Treasurer' s Report for the period ending February 28,1997. (C2500.F)The Finance Director reported the Cash and Invested Balance was $113.7 million; the cash receipts exceeded cash disbursements by $600,000; $2 million matured and was invested in the Local Agency Investment Fund; the Local Agency Fund Balance was $13 million; the Portfolio Yield to Maturity was 5.49%; the MarketValues were 99.25% of the book value, which was a slight decline from January. As interest rates go up, a decline can be expected to continue. The Portfolio Average Maturity was 1.43 years.MOTION - Spurgeon SECOND - Slater AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved to receive and file the report.6.6 Report from Director of Public Works on the proposed Street Tree Ordinance revisions. (A2500.0)The Director of Public Works reported on four goals attempted to be achieved to the Street Tree Ordinance and recommended alternatives for Council' s consideration.Bea Herbst, 1435 E. Walnut Avenue, expressed disappointment that Council did not want to form a Tree Advisory Committee as was originally proposed and commented that the City of Orange is not considered a tree friendly or an environmentally friendly City.Barbara DeNiro (address on file), addressed various tree issues and requested a break-down of separate costs to be included in utility charges in all areas be provided.Mayor Coontz indicated Ms. DeNiro' s concerns would be referred to the Director of Public Works.Mayor pro tem Slater expressed concern with changing the current Ordinance from a misdemeanor to an infraction.PAGE 18 CITY COUNCIL MINUTES March 25, 1997 6. ADMINISTRATIVE REPORTS (Continued) Councilman Alvarez suggested Mayor pro tem Slater be assigned to the Committee to be available to the Council as a direct contact. Mayor pro tem Slater concurred. MOTION - Slater SECOND - Alvarez AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved to approve the following: I)Various administrative changes to reflect the transfer of the Street Tree Program from the Community Services Department to the Public Works Department.This reassignment of duties occurred in 1993; 2) Conformance ofthe Ordinance provisions to current street tree management policies; 3) Amend the chapter with provision for a Staff Hearing Committee, composed of representatives from Community Services, Community Development and the City Manager's office, as well as a certified arborist and Mayor pro tem Slater, to review citizen concerns regarding street trees and make appropriate findings and recommendations; and 4) That in conjunction with the above alternatives, utilize an ad hoc or "on-call" citizens committee to assist in preparation of the Street Tree Master Plan and development of the approved Street Tree List. This committee would sunset upon adoption of these documents by the City Council.6.7 Report from the City Attorney recommending approval of a professional services agreement with Pillsbury, Madison & Sutro to represent the City in its litigation against KMPG Peat Marwick for losses associated with the Orange County Bankruptcy. There are sufficient funds in the legal services account no. 100-0301-426100. (A2100.0 AGR- 2765.1) The Assistant City Attorney reported the Orange County Transportation Authority (aCTA) and the Orange County Water District have also filed lawsuits against Peat Marwick. If approved, litigation costs would be shared. aCTA has agreed to pay 55%; Orange County Water District would pay 35%; and the City would pay 15%. If the matter proceeds to trial, additional funds may have to be requested. MOTION - Murphy SECOND - Spurgeon AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved to authorize the Mayor and City Clerk to execute the amendment to the City's current contract with Pillsbury, Madison & Sutro on behalf ofthe City.NOTE: The City Council recessed at 6:45 p.m. and reconvened at 6:55 p.m.PAGE 19 CITY COUNCIL MINUTES March 25, 1997 7. REPORTS FROM CITY MANAGER 7.1 Report from the City Manager regarding the City's request to serve as a "pilot project" implementing a portion of the Illegal Immigration and Immigrant Responsibility Act of 1996. (C2500.K) The City Manager reported on Council's direction at the March 11, 1997 meeting which a letter was prepared to U.S. Representative Christopher Cox (40th District) inviting him to the City to participate in a community meeting on Section 133. A Council resolution was also prepared which would formally state Council's interest in having the City serve as a "pilot" project to assist the I.N.S. in implementing Section 133. Pending further direction from Council, the City Manager indicated he would await Congressman Cox's response to the invitation and continue to ask the Orange Police Department to examine the potential costs of Orange's participation in the process. The City Manager read the proposed Resolution No. 8757 in its entirety. The following individuals spoke in opposition: Jack McElroy, 1796 N. Lincoln Street Sr. Marie Gaillac, 2075 Greengrove Alexandro Moreno, 1600 W. Maple Avenue #76 Bob Torres, 4525 Agua Way, (letter on file in City Clerk's office) Scott Mather, 777 S. Main Street, Development Director for St. Vincent de Paul, Director of Institute for Conflict Management, Chair of Orange Cares, indicated information will be gathered throughout the community to present a position on what could happen. Support was expressed for Congressman Cox coming to the City of Orange before adoption of the Resolution. The motion of the Orange Cares Community Board is for more studies to be done. The following concerns were expressed: The local police are taking on duties and jurisdictional problems of the federal government. Division between federal and local entities. Successful functions ofthe Police Department being destroyed. All aspects of proposal should be considered; more in-depth studies.Community involvement, advise and concerns be considered.Potential for young adults becoming gang members.Result on the community/consequences of action.Implementation concerns.Latino, Hispanic involvement.Community trust.Barbara DeNiro (address on file), spoke in support, indicating that whenever the law is broken criminally, it needs to be dealt with.Mayor Coontz referred to the previous meeting and the split vote, indicated she joined the majority ofthe Council. "My questions were exactly some of the questions that have been asked PAGE CITY COUNCIL MINUTES March 25, 1997 7. REPORTS FROM CITY MANAGER (Continued) about the legal ramifications and the funding process, and us picking up the costs of a federal program. But, as I have said before, we may not agree on the process or procedure, but I thought it was important for me to join in the last vote, because I thought we should all be on the same page. We will have an opportunity, hopefully, to get the information that we need. I think a number of people have expressed that, and of course, that is the way I feel. At a later date, I think it would be a good idea, ifthe Council, each Councilmember, presented a couple of names of your choice to put on a Committee, and that would help us. First, we need to get more information, and hopefully people will get their questions formed, so that when we do have an open forum with Congressman Cox, that there will be some definitive questions, and hopefully, definitive answers." Councilman Alvarez commented for the record: "I want to take this opportunity to clarify my position on this resolution. I clearly understand that illegal alien crime is something that we here in Orange can not tolerate. It is my opinion, this resolution must focus on crime suppression and be narrowly focused at people who commit those crimes." The following was read into the record: I do have concerns as to what we can realistically do at this time. The generation of leaders that sit here before you, did not create this problem of illegal immigration or alien crime. But, it is our duty to try and resolve this potential public safety concern. As City leaders, we can explain and propose new methods to deal with this issue, however the problem of illegal immigration and alien crime is a matter that the Federal government has failed to resolve. Councilman Murphy's proposition will have us leap from a Federal jurisdiction, all the way down to a City jurisdiction in a matter of weeks. I don't believe our City is prepared to do this. I see this as a potential intrusion by the Federal government into the rights oflocal citizens and taxpayers. If we allow it, we are in fact going to be subject to Federal supervision thus losing local control of our police and tax dollars while trying to resolve a massive Federal problem. I will not support diverting any community based policing funds into this untested and un-proven Federal program.Our own Police Chief was very clear that he did not support this program because there are too many unknown costs, Federal requirements and red tape.Specifically, here are my concerns, for the City Manager:What will the cost be to our taxpayers to cooperate with the Justice Department or any other government agency?How will we be able to work under the supervision of the U.S. Attorney General and what flexibility will we have in agreeing to the terms of an M.O. U.?How will we pay for the training needed for this resolution? Are we prepared today, to pay for this enormous expense, given our current financial status?To what extent will this involve the City Attorney's office and what will it cost us to develop anM.O. U.?PAGE CITY COUNCIL MINUTES March 25, 1997 7. REPORTS FROM CITY MANAGER (Continued) For the Police Chief: Do you know the type oftraining that will be required of the men and women of your department? Will it be legal, procedural, tactical, crime suppression? Do you know the costs and direct benefits of this law to your department? Does this new law provide guidelines for your department? And do we have some flexibility in this law? How narrow and strict can the law be interpreted? Are their any safeguards set-forth in this new law that will protect the Police and the citizens of our city? For example, protecting our individual rights as citizens. Let's not forget that it was in our town not to long ago that a Catholic Church was raided by I.N.S. agents trying to catch people attending church. Is that what we want to bring to Orange? I think not. And what about the safeguards of high speed chases?At what point does this law come into action during the arrest of a person for criminal activity? I need the Chief to tell all of us as a community, each step that occurs from the initial arrest, straight through to the final disposition.Mayor and my fellow colleagues, the best position for us is to approach this conservatively and to allow us time to get enough information to make an informed decision. The language of this resolution should be such that it serves as the vehicle to gather information, express our concerns and to finally know the tangible benefits to our city and to the taxpayers before we commit to any program, pilot or otherwise. We must know this first, in order to be accountable to tax paying citizens. I believe that the challenge for us as City leaders is to remove the barriers that separate people in this community, we can all agree, that we must do everything we can, to protect public safety, our homes, businesses and property. I am prepared to make a motion that the staffbe allowed to take our concerns and comments and incorporate them into the resolution. I would also include in this motion, that this be made available to the City Council before the next meeting. When this item is agendized for future City Council consideration, I feel strongly that we have public input on this issue."Councilman Alvarez indicated he had asked the Police Department to supply him with statistics of how many illegal criminals had been arrested and how those criminals were disposed of that were illegal aliens. At this time, the Police Department could not provide that information,because it is illegal for a police department to ask that. Calls of support have been received from the community; the most vocal of those being the Hispanic and Jewish communities which see this as a mistake for the City of Orange.Police Captain Gene Hernandez commented there are concerns on both sides which are extremely justified. There is no question that there is a sensitivity issue here that the Police Department has to be extremely concerned with. The Police Department hires intelligent,capable people that do use common sense when they apply the law. Law enforcement has extreme latitude in the laws that are enforced. Therefore, it does require tremendous scrutiny and oversight. No other governmental agency is more closely scrutinized than law enforcement.PAGE CITY COUNCIL MINUTES March 25, 1997 7. REPORTS FROM CITY MANAGER (Continued) Currently officers are sent to sensitivity training; the Museum of Tolerance in West Hollywood. Every sworn officer has gone through that training and was very enlightening. I would hope this type of sensitivity reassures the Council, the community, that the Police in this City do have their concerns at heart. Councilman Murphy commented, "a lot of what was brought up here in terms of concerns and open issues are incorporated into the resolution. Comments from the public in terms of trust in the Police Department have been heard and that same trust needs to be applied. The Police Department knows how to deal with the criminal element and how to use the tools provided to them to do that in a professional upbeat fashion. I trust our Police Department implicitly as I believe our entire Council does. I would not have suggested this in the first place had I not also had input from both the Chief and individual members of the department that they wanted to explore this more fully. I believe it is not taking police off the street or taking things away from the police, or rebadging them, as I think was said earlier. It is providing this tool that will help them more effectively take criminals off the street. I think that it what we are all here trying to do. I believe, with the language here in terms ofthe obligation assessment and the evaluation, it provides the opportunity for additional input, and it also provides a vehicle to expedite this process, rather than wait for someone else, hopefully, to bring the answers to us. There is always two ways to go on any issue, I believe. One is to sit back and hope that either another layer of government or another entity will take care of you or the other is to step forward, state what your goal is, and then see if there is an appropriate way to go about it. If information comes back to me that it is either cost prohibitive or there are other things fundamentally wrong, I will be the first to say, okay, we can't implement it. But from what I have seen so far, and what I have seen from a standpoint of the willingness and the laws that is written in Section 133, I believe that it is an effective tool, and I think this is the approach to get the answers that we are all looking for. And with that, deferring other comments, I would like the opportunity to make the motion when ready." Mayor pro tem Slater commented: "There is no doubt that racism exists in our society; racism exists in the City of Orange. There is no denying that. But this resolution is not about race; it is not about racism. If it was, I wouldn't just vote against it, I would run from it. I am glad that Captain Hernandez mentioned our Police Department is required to go to the Museum of Tolerance in Los Angeles, and I congratulate them for that. That just shows how sensitive our Police Department is to the race issue. I think they really should be commended for that. I think they are really on the cutting edge there. I think that this is something that will help deter crime in our City; I think it is a tool, and it is something that I can wholeheartedly support." Mayor Coontz commented: "I had a comment before. I said that there was some controversy. Obviously, the train has already left the station as far as the votes are concerned on proceeding with this resolution. I had many, many questions that are at this point unanswered. Hopefully, when Congressman Cox comes, some of the questions will be answered, but I doubt that they all PAGE 23 CITY COUNCIL MINUTES March 25, 1997 7. REPORTS FROM CITY MANAGER (Continued) will. It depends on who you talk to in the Police Department as to whether there is an indication that the department is for or against this, it is individual thought, as far as I can see. I wouldn't wish to let anybody know that they were either for or against it. I think what they are trying to do is respond to the wish ofthe majority ofthe Council. I do believe that we need to have some participation from the community. We have done that before when we have controversial issues and issues similar to this. Therefore, when Mr. Murphy is through with his motion, then I will make a motion regarding an ad hoc advisory committee." MOTION - Murphy SECOND - Slater AYES - Murphy, Slater, Mayor Coontz, Spurgeon NOES - Alvarez Moved to:Accept the report from the City Manager regarding the City's request to serve as a pilot project implementing a portion of the Illegal Immigration and Immigrant Responsibility Act of 1996.Adopt Resolution No. 8757 - " A Resolution ofthe City Council of the City of Orange relating to Illegal Immigration and Immigrant Responsibility Act of 1996" including word changes on file in the City Clerk's Office.Amend the draft letter to Congressman Cox to first request his assistance in moving this section of the Code forward given the inference and the direction of the Resolution; solicit his assistance in terms of piloting; request the attendance and participation at the forum; and amending the signature block so that all those that would like to sign this particular request to the Congressman be able to put their signature on the bottom ofthe letter. Council to review the letter before it is sent to Congressman Cox.MOTION - Mayor Coontz SECOND - Spurgeon AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved to:Form an Ad Hoc Committee made up of two people to be appointed by each member of the Council to work with the Police Department and the City Attorney in the creation of questions regarding responsibility, legal implications, costs and other issues that have been discussed.This Committee would report to the Council; the date of initiation will be determined at a later date when we find out when Congressman Cox is going to come.Questions from the community should be sent to the Council, collected, and used in Council's determinations for the MOU. Anyone would like to participate in the Ad HoctCommittee can contact the Councilor the Mayor.PAGE 24 CITY COUNCIL MINUTES March 25, 1997 8. LEGAL AFFAIRS 8.1 ORDINANCE NO. 2- 97 An Ordinance of the City Council of the City of Orange amending Chapter 10.06 of the Orange Municipal Code regarding the City Traffic Commission. (A2500. 0)MOTION - Slater SECOND - Alvarez AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved that Ordinance No. 2-97 be adopted and was passed and adopted by the preceding vote.8. 2 ORDINANCE NO. 8-97 An Ordinance of the City Council of the City of Orange amending Title 17 of the Orange Municipal Code and approving the reclassification of property situated south of the intersection of Hewes Street and Rancho Santiago Boulevard. (ZI500.0 ZCG- 1184-96)Zone Change 1184-96 Polygon Communities, Inc.Steve Shepard, representing Polygon Communities, 15751 Rockfield, Irvine, was present to answer any questions. MOTION - Spurgeon SECOND - Alvarez AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved that Ordinance No. 8-97 be read by title only and same was set for second reading by the preceding vote.9. RECESS TO THE MEETING OF THE ORANGE REDEVELOPMENT AGENCY 10. ORAL PRESENTATIONS - None 11. RECESS The City Council recessed after the 7:00 p.m. Session. at 10:30 p.m. to a Closed Session for the following purposes: a. Public employee performance evaluation pursuant to Government Code Section 54957: City Manager. b. 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. PAGE 25 CITY COUNCIL MINUTES March 25, 1997 7:00 P.M. SESSION NOTE: The 7:00 P.M. Session began at 7:50 P.M. 12.1 INVOCATION Pastor David Daniel, Calvary Chapel 12.2 PLEDGE OF ALLEGIANCE TO THE FLAG Led by Councilman Murphy 12.3 ANNOUNCEMENTS - None 12. 4 INTRODUCTIONS - None 12.5 PROCLAMATIONS - None A proclamation of appreciation from the Edmund H. Salter Memorial Park Bench - Main Library was presented to Helen Salter Nies.A proclamation of appreciation from the Mary Sheffer Nies Memorial Park Bench - Main Library was presented to Boyd A. Nies, M.D.A Certificate of Recognition was presented to Anita Freedman.A Certificate of Recognition was presented to Judy Sollee.12.6 PRESENTATIONS - None 12. 7 REPORTS FROM COUNCILMEMBERS Report from Councilman Alvarez regarding the Friends of the Orange Public Library's approval of funds for Children's Programs and facility improvements for the Main Library (C2500.I)Councilman Alvarez reported the Friendsof the Library will be donating $4,525 in funds which will be used for the Children' s Summer Reading Program; Recognition of Teenage Volunteers;and a cassette player for the Children's Room Listening Center. Additional money is being donated to sandblast the sidewalk, the entryway, planter wall, and various other improvements at the Main Library. Total donations amounted to $7,744.Mayor Coontz clarified Council has not had a presentation on the facility improvements to the Library. Approval is pending upon recommendation by the City Manager, Director of Community Services/Library and final approval by Council.PAGE 26 CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS 13.1 ZONE CHANGE 1187-97; GENERAL PLAN AMENDMENT 1-97;AMENDMENT TO THE CHAPMAN COLLEGE SPECIFIC PLAN; CHAPMAN UNIVERSITY (ZI500. 0 ZCG-1187-97)Time set for a public hearing to consider General Plan Amendment 1-97 to designate Orange Unified School District property as Public Facility/Quasi- Public (College) on the General Plan Land Use Map; the revised text for the Chapman University Specific Plan; and Zone Change 1187-97 to reclassify Orange Unified School District property from R-4 (Multiple Family Residential) to P-I (Public Institution District, Specific Plan); to reclassify four residential parcels on Center Street from R- 2-6 (SP) (Duplex Residential District, Specific Plan) to R-2-6 ( Duplex Residential District). The property affected is Chapman University Campus and property located west of Glassell Street, south of Sycamore, at 370 N. Glassell Street (Orange Unified School District buildings).NOTE: Environmental Impact Report 1195-89 was previously prepared and certified as complete. (SCHNo. 8712231).NOTE: Mayor pro tem Slater regretfully abstained from Item No. 13.1 due to a property interest near this decision. The Planning Manager presented a brief overview of the Chapman College Specific Plan. The proposed Third Amendment would incorporate the four acre property that was recently acquired from the Orange Unified School District situated across Glassell Street ( former Orange Unified School District administrative headquarters), which would be used to develop Chapman University's New Law school. Chapman University has proposed revisions to the exhibits within the Specific Plan which would allow the law school to be constructed to a height ranging from 30-62 feet, the same limit as the existing campus. The law school development would include a two story, three-level parking structure with approximately 800 parking spaces behind it. Changes to the existing Specific Plan would: I)Incorporate Council's prior approval into the Specific Plan. 2) Shift the division between academic and residential zones to the north. 3) Allow an increase in the maximum enrollment of the University from 2500 to 4000 students and 4) Remove four University-owned residential parcels from the planning area east of Center Street.The Specific Plan does not apply to any property which Chapman University does not own. The City Council's prior resolutions do not allow the University to use residential parcels for any other use unless it acquires all the residential parcels on the street, and amends the Specific Plan to establish permitted uses and development standards. The parcels owned by Chapman University on the east side of Center Street, which are being removed from the Specific Plan,will now be CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) Chapman University is proposing height limits and setbacks for the eleven lots removed from the area west of Orange Street which will be used as a parking lot. The use of the property was originally presented as a surface parking lot; no limits were established at the time of the amendment to include the property. The University is now considering a future parking structure for the site. The Planning Commission is recommending that all new height limits be established in concert with prior City Council resolutions requiring a minimum setback of 20 feet from all public streets; 15 feet from adjacent residential property; and 10 feet from the adjacent commercial property. In 1989, Environmental Impact Report 1195 was prepared to evaluate the potential environmental impact of a Chapman College Specific Plan. The Report was updated through an addendum prepared to include a traffic study and to provide documentation that satisfies key mitigation measures about the loss of a building that was previously identified as being eligible for listing on the National Register of Historic Places, the former Orange Unified School District headquarters building. Chapman University is proposing to retain a decorative architectural of the school building facade and incorporate the facade within the New Law school structure. If the amendment is approved, the University would be able to move forward with their plans to construct a law school, a new business school, the chapel, and related parking structures under the rules of the Specific Plan document. This would include the administrative processes of staff and design review. Subject to the requirements contained in the City's demolition ordinance, a permit may be issued to authorize the demolition of the former Orange Unified School District administrative headquarters. MAYOR COONTZ OPENED THE PUBLIC HEARING. Dr. James Doti, 19252 Mesa Drive, Villa Park, representing Chapman University, presented the revised Specific Plan through a slide show presentation which depicted Chapman University's expansion plans, increase in student enrollment, economic impact, and strategic plans for the future. Bob Mickelson, 121 W. Rose, representing Chapman University, referred to Condition No.2 of Planning Commission Resolution No. PC 12-97, indicating a zero setback was proposed on the west side of the Orange Street parking lot which backs up to duplexes and commercial property along Glassell, however, they have agreed to the 10 feet setback consistent with previous resolutions.Mr. Mickelson referred to Condition No.3 and distributed an exhibit to the Council of the area.It was indicated that in order to accommodate a 100,000 square foot law school building and to do everything possible to design around the existing facade and place a 750-800 space parking CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) structure on that site, flexibility was needed, yet they still wanted to maintain the essence of the main campus and reflect what had gone on in the past. A 40 foot height along Glassell Street was proposed, consistent with the existing contour on the east side of Glassell Street. The 40 foot height limit would be wrapped around to the north boundary to Olive Street, then reduced to 30 feet, because of the one-story residences. Thirty feet is proposed on the western boundary for the same reason. A 40 feet height limit was requested on the southern boundary to create a larger envelope to accommodate the law school. It was noted that the existing Orange Unified School District building is 36 feet to the top plate, plus the roof. The existing building is already over the 30 foot height. It was requested that Council approve the exhibit, as submitted, in this area.Mr. Mickelson indicated Condition Nos. 8, 9 and 10 are acceptable.Mayor Coontz addressed the Neighborhood Parking Permit Plan which Council approved earlier in the evening which establishes a $3.00 permit fee for Chapman University parking Area A. It was suggested an incentive be offered to students to retain student parking on site, rather than on residential streets.Mr. Mickelson referred to Condition No.5 that If those plans were to include mandatory parking permits with commuter students, the University would accept that. Anything that would make it work to the best degree, the University is committed to that end. Condition No.5 is workable and there is a good relationship with the Public Works staff. Whatever incentives are appropriate and the University will work out.Mr. Mickelson indicated the 5 foot setbacks are required in the R-2-6 zone on the south end of the project; there are no setbacks on the commercial zones. The plan proposes a 15 foot setback to the first height contour of 30 feet; there would be a minimum of 20 feet between structures. Speaking in favor:Harry Hamilton, 1508 E. Candlewood Avenue, Chief Academic Officer of Chapman University,expressed delight in the expansion plans of Chapman University.Anne Siebert, 3405 S. Olive, representing Old Towne Preservation Association, commended Chapman University for including the neighbors and interested groups in their future planning process. A compromise was reached with the Chapman University to save the facade and to incorporate the architectural features of the old Orange Unified School building into the design of the New Law school building. The Historic Mitigation document will be an archive for the Library. The Old Towne Preservation Association is comfortable with future expansion of Chapman University to the west.Jack Gray, 19132 Lomita Avenue, Yorba Park Medical Group, spoke in support of Chapman University's CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) Doy Henley, 14251 Mimosa Lane, Tustin, Chair of Chapman University's Relations Committee, expressed his enthusiasm with the University's plans for the future, indicating the University intends to continue seeking advise and input from their neighbors. The new architectural design on the buildings will be ventilated throughout. The significance of having an historical impact on the New Law school building is very positive. The following people expressed their concerns: Socorro Baca, 313 N. Center Street, asked ifher lot had been rezoned? Ms. Baca requested a copy of the City Council meeting minutes. Mayor Coontz responded that Ms. Baca's lot was not rezoned and referred Ms. Baca to the City Clerk's office to obtain a copy ofthe City Council minutes. M. J. Martini, 638 E. Walnut Avenue, spoke in opposition to the Specific Plan Amendment and expressed concern with the Director of Community Development having power to amend the Specific Plan with the right of appeal to the Planning Commission and the City Council. Carole Walters, 534 N. Shaffer, commented that Chapman University has become a decent neighbor in the past four years; expressed concern with the Director of Community Development having the ability to amend the Specific Plan; asked where the "no parking" will be on Glassell Street; requested the City's records on class enrollment figures at Chapman University; asked if it is possible for traffic to enter and exit Orange Street without traveling into a residential area; and requested that Chapman University meet with the neighbors if they have more sport activities planned at the University. T. J. Clark, 811 E. Chapman Avenue, referred to an article in the Los An~eles Times dated March 25. 1997; requested that Dr. Doti or Mr. Henley from Chapman University comment on the article; and expressed concern with the lack of notification on the proposed three- story parking lot.STAFF RESPONSE The Planning Manager indicated the maximum height in residential areas is 32 feet. The height of the Chapman University property is established by the Specific Plan; Chapman University has requested a scale of 40-62 feet height. The parking formula exceeds the typical City' s parking formula that would be applied to any college or university that came into town. Ms. Baca's property on Center Street has not been rezoned for inclusion into the Specific Plan area.Councilman Alvarez asked ifthe law school would have the same architecture of old buildings such as Memorial Auditorium and Reeves Hall, and if the parking structure will conform to the Old Town Design Guidelines; type of materials used on the fencing on the south property line? CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) The Planning Manager stated that the architectural styles would have to consistent with the Old Town design guidelines; but indicated he was unable to locate an answer to his question relative to the wall materials at this time. REBUTTAL Bob Mickelson confirmed that Ms. Baca's property is not being rezoned. Three or four parcels are being removed on the east side of Center Street from the Plan. A final copy of the Specific Plan, as adopted, will be provided to Ms. Baca. In response to Councilman Alvarez, it was indicated the fencing materials are directed by the Design Review Board. The law school and the parking structure will be subject to site plan review and scrutinized. In response to Mr. Martini, it was indicated the Director of Community Development has limited authority in amending the Specific Plan. General administration allows limited changes, usually being a clarification of wording, which has always been in the Plan. The Director of Community Development previously had the authority to approve temporary or modular units for classrooms or offices, however, the Planning Commission has required it to be part of the site plan review process. There is a long-term program to maintain adequate parking. During the construction period,there will be excess spaces over what is currently on the campus.Mr. Mickelson stated for the record: "The question of downzoning continuously comes up, and there is always someone who says, Well, didn't Chapman University have a part in that downzoning process so that they could then expand to the west and buy the properties less expensively. We have no knowledge that Chapman University had anything to do, any involvement what-so-ever, in that downzoning process. My recollection of it was that the property owners themselves up in that area, some of them proposed it, and they had the support of Old Towne Preservation, and so on. I realize that it was quite a battle, but I do want to state for the record that Chapman had no part of it, did not instigate it in any way."Dr. Doti explained the Los Angeles Times article was regarding the appointment of Parham Williams as the new dean of the law school. Mr. Williams brings 25 years of experience as a dean at the University of Mississippi Law School and Cumberland School of Law. The major goal of Chapman University is to attain American Bar Association ( ABA) accreditation, which would supersede Cal-Bar accreditation.The Director of Community Development commented that his authority is more interpretative,indicating he believes that the historic issue raised by Mr. Martini is related to definition of gateways or entrys.MAYOR COONTZ CLOSED THE CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) Council comments: Mayor Coontz commented there is an entirely different climate today in the City of Orange than when the Specific Plan was first presented, indicating initially it was not well accepted by Chapman representatives. Chapman University has learned to work with the community and has created a strong partnership, not only with the immediate neighbors, but with the entire community. They have earned the respect and trust ofthe community, partly due to the hard work of Dr. Doty and Doy Henley. The connection between the law school site and the major site of Chapman University is extremely important. The law students will have the opportunity to participate in all the activities at Chapman. Councilman Spurgeon thanked Mr. Doy Henley for his assistance in getting the law school at Chapman University and his effort at improving the relationship between Chapman University and community members, neighbors, and the City. Councilman Murphy expressed his excitement with the development of Chapman University and commended the leadership at the University for their communication with the City and the neighbors. There will always be differences of opinions on specific issues, however, the overall goals and objectives have been met with an appreciation ofthe neighborhood and the City. Councilman Alvarez reported that his participation with Chapman University was more as a businessman; indicated he sat on several committees with Mr. Martini; and commended Chapman University for their support of the business community throughout Orange County. Mayor Coontz recognized Carole Walters, 534 N. Shaffer, who asked how many times staffwere at Chapman University since the Specific Plan to do student and parking counts? The Director of Community Development responded staffwas there a few years ago; attempts are made to do it annually; however there have not been any major construction projects recently. An inventory will be done of classroom capacity, student enrollment, and parking as required by the Specific Plan before the law school, business school, or chapel begins. MOTION - Mayor Coontz SECOND - Murphy AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSENT - Slater Moved to affirm that no evidence of environmental effects or effects greater than those evaluated under Environmental Impact Report 1195-89 exist to require the preparation of a new environmental impact report ( as indicated by the Addendum).PAGE 32 CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) MOTION - Mayor Coontz SECOND - Alvarez AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSENT - Slater Moved to approve General Plan amendment 1-97 to designate Orange Unified School District property as Public Facility/Quasi-Public (College) on the General Plan Land Use Map as outlined in Planning Commission Resolution No. PC-II-97. MOTION - Mayor Coontz SECOND - Murphy AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSENT - Slater Moved to approve the revised text for the Chapman University Specific Plan as outlined in Planning Commission Resolution No. PC-12-97; acquiesce to the request of Chapman University for the height and setback determinations as represented on the exhibit submitted - Condition No.3; and Condition No.5 to include a parking incentive for students to encouragement the use of Chapman University on- site parking spaces instead of off-site parking spaces.MOTION - Mayor Coontz SECOND - Murphy AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSENT - Slater Moved to approve Zone Change 1187-97 as outlined in Planning Commission Resolution No.PC-13-97.NOTE: The City Council recessed at 9:57 p.m. and reconvened at 10:05 p.m.13.2 RESOLUTION OF NECESSITY; CONDEMN PROPERTIES AT 426-490 SOUTH MAIN STREET Time set for a public hearing on petition by the City of Orange to determine the necessity to condemn real property located generally on the west side of Main Street between La Veta Avenue and Culver Avenue, also known as 426, 440, 444, 452, 456, 460, 464, 472-490 South Main Street and the southwest corner of Main Street and Culver Avenue. (C2500.M.14) NOTE: Mayor pro tem Slater abstained from Item No. 13.2 due to a property sale within 300 feet of the subject property. PAGE 33 CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) MAYOR COONTZ OPENED THE PUBLIC HEARING. The Director of Public Works explained the project improvements are necessary to accommodate existing and anticipated development and related traffic demands within the City. The acquisition of the properties is necessary for the widening and improvement of the intersection of Main Street and La Veta Avenue. Within a section of the existing parking lot, there are no structures or building, and existing signs will be relocated as part ofthe street widening. An independent appraisal was conducted ofthe subject properties and offers, which included the value of the land taken and damages for lost parking, have been made to the property owners which were either rejected or allowed to expire with no comment. The property owners were provided notice of the hearing by first class mail, and pursuant to State law, only those that file a timely written request with the City have a right to be heard at the public hearing. Construction improvements need to begin as soon as possible. Proposed to be acquired through the condemnation process is the owner of records fee interest in the parcels, the owner of records reciprocal easement interest in the parcels, and an owner of records alley easement interest in one of the parcels. The three findings the City Council must make are: The public interest and necessity require the proposed project. The proposed project is planned and located in the manner that will be most compatible with the greatest public good and the least private injury and that the property described is necessary for the proposed proj ect. The offer required by Section 7267.2 ofthe Government Code has been made to the owner of record. Dennis Catron, 14732 Van Buren, Midway City, CA, spoke in favor the street expansion, but expressed concern that the expansion does not hurt the businesses in the area. Mr. Catron spoke for Mr and Mrs. Kim, owner of Standard Beauty Supply, expressing their concern that this property be redeveloped as soon as possible. Speaking in a neutral posture: Emil Wohl, 800 S. Figueroa Street, Los Angeles, Attorney with Sullivan, Workman and Dee, speaking on behalf of the private ownership interest of Fulton/Morton party, RichardsIMaddix Trust party, indicated the owners do not oppose the condemnation but would like to enlarge the scope of it. They feel the remaining property will become an uneconomic remnant of little market value. Mr. Wohl referred to Eminent Domain Code, Section 1240.40 of the Code of Civil Procedure. The property owners feel it would be best if the city would go forward and take the entire piece of property. The Interim City Attorney indicated it is the City's intent to only take the amount needed and that the City is not in favor of a larger take. The Assistant City Attorney addressed a lawsuit on the adjacent property that the City lost in which the City had attempted to acquire an entire PAGE 34 CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) parcel, arguing there was not an economic remnant. It was indicated, in this situation, it has been determined that there would be an economical, viable use of the remaining property. Emil Wohl responded that the legislative comment to Section 1240.410 states that where access property may be taken is to be determined in light of the circumstances of the particular case, indicating that what happened to the adjacent property is not relevant to what will happen with this particular property. The Interim City Attorney indicated that staff has not changed their position as to the amount of property to be taken; the amount of compensation will be sorted out through the court system if it can't be settled. MAYOR COONTZ CLOSED THE PUBLIC HEARING. RESOLUTION NO. 8731 A Resolution of the City Council of the City of Orange declaring real property located at 426 South Main Street necessary for public purposes and authorizing the acquisition thereof. MOTION - Mayor Coontz SECOND - Alvarez AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSENT - Slater Moved that Resolution No. 8731 as introduced, be adopted and same was passed and adopted by the preceding vote.RESOLUTION NO. 8735 A Resolution of the City Council of the City of Orange declaring real property located at 440, 444 and 452 South Main Street necessary for public purposes and authorizing the acquisition thereof.MOTION - Murphy SECOND - Alvarez AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSENT - Slater Moved that Resolution No. 8735 as introduced, be adopted and same was passed and adopted by the preceding vote.PAGE 35 CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) RESOLUTION NO. 8736 A Resolution of the City Council of the City of Orange declaring real property located at 456 South Main Street necessary for public purposes and authorizing the acquisition thereof. MOTION - Spurgeon SECOND - Murphy AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSENT - Slater Moved that Resolution No. 8736 as introduced, be adopted and same was passed and adopted by the preceding vote.RESOLUTION NO. 8737 A Resolution of the City Council of the City of Orange declaring real property located at 460 South Main Street necessary for public purposes and authorizing the acquisition thereof.MOTION - Alvarez SECOND - Mayor Coontz AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSENT - Slater Moved that Resolution No. 8737 as introduced, be adopted and same was passed and adopted by the preceding vote.RESOLUTION NO. 8738 A Resolution of the City Council of the City of Orange declaring real property located at 464 South Main Street necessary for public purposes and authorizing the acquisition thereof.MOTION - Mayor Coontz SECOND - Spurgeon AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSENT - Slater Moved that Resolution No. 8738 as introduced, be adopted and same was passed and adopted by the preceding vote.PAGE 36 CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) RESOLUTION NO. 8739 A Resolution of the City Council of the City of Orange declaring real property located at the southwest corner of Main Street and Culver Avenue necessary for public purposes and authorizing the acquisition thereof. MOTION - Murphy SECOND - Mayor Coontz AYES - Murphy, Mayor Coontz, Spurgeon, Alvarez ABSENT - Slater Moved that Resolution No. 8739 as introduced, be adopted and same was passed and adopted by the preceding vote.13. 3 ZONE CHANGE 1185-97; PARKRIDGE PARTNERS; APPLICANT: STANDARD PACIFIC OF ORANGE COUNTY Time set for a public hearing on petition by Parkridge Partners proposing a second revision to the Parkridge Hills Planned Community text, to allow a modified (10 ft.-O inch minimum) front setback for single- story residential units. This proposed revision affects Planning Units D and E Tracts 15027 and 15264) under construction east of Loma Street on Goldemod. (ZI500.0 ZCG-1185-97) NOTE: Environmental Impact Report 1204-88 was previously certified as having been prepared in compliance with the California Environmental Quality Act. Mayor Coontz announced a letter was received from Mabury Ranch Association which is included in the agenda packet. The Director of Community Development reported the property is zoned PC (Planned Community) and a change is requested to the Planned Community Text which operates as a zoning code for the project. There are approximately 209 homes within the area; and the applicant would like up to 1/3rd or 69 units to have the 10 foot front setback. The homes would be one-story models with a lower height; would not be overly intrusive on the street; but would provide variety. The portion ofthe home in the normal front yard area would either be a side swing-in type of a garage or a habitable bonus room. The driveway lengths for all of the units is 20 feet. When the side swing-in driveway occurs, it does not face the street directly and there is a 25-30 foot dimension from the garage to the opposite side ofthe driveway, and an additional 1 0 feet to the street. There is adequate parking space outside the garage so cars will not overhang the sidewalks.MAYOR COONTZ OPENED THE CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) Mike White, Standard Pacific of Orange County, 1565 W. MacArthur Blvd., Costa Mesa, in response to Councilman Alvarez, indicated the single story unit will be approximately 2979 square feet; with the bonus room option the square footage would be approximately 3300 square feet. The lots are 8000 square feet and the houses range from 2900 to 4200 square feet. MAYOR COONTZ CLOSED THE PUBLIC HEARING. MOTION - Murphy SECOND - Slater AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved that Environmental Impact Report 1204-88 was previously certified as having been prepared in compliance with the California Environmental Quality Act.MOTION - Murphy SECOND - Mayor Coontz AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved to approve Zone Change 1185-97 as outlined in Planning Commission Resolution No.PC-3-97.13. 4 ISSUANCE OF REVENUE BONDS BY THE INDUSTRIAL DEVELOPMENT AUTHORITY OF THE CITY OF ORANGE:Time set for a public hearing on petition by the City of Orange to consider information concerning possible issuance of revenue bonds by the Industrial Development Authority of the City of Orange in an aggregate principal amount not to exceed $5,000,000. The proceeds from the sale of the Bonds, if any are issued, will be loaned to Control Air Conditioning Corporation,Ellis Enterprises, or some other related entity to finance the acquisition, construction and equipping of an air conditioning ductwork manufacturing facility comprising two buildings consisting of approximately 9,940 and 65,300 square feet to be located at 2176 Pacific Street.11300.0) MAYOR COONTZ OPENED THE PUBLIC HEARING.The Development Specialist for Economic Development indicated this action is required by Federal law, specifically the Tax Equity Fiscal Reform Act, often referred to as a TEFRA hearing. The Industrial Development Authority must approve or disapprove the final financing documents prior to the actual bond issuance. The final Industrial Development Authority meeting will likely occur in April, 1997.MAYOR COONTZ CLOSED THE PUBLIC HEARING.PAGE 38 CITY COUNCIL MINUTES March 25, 1997 13. PUBLIC HEARINGS (Continued) RESOLUTION NO. 8752 A Resolution of the City Council of the City of Orange approving the issuance of Revenue Bonds by the Industrial Development Authority of the City of Orange to finance the acquisition, construction and equipping of a manufacturing facility for Control Air Conditioning Corporation. MOTION -Murphy SECOND -Mayor Coontz AYES -Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez Moved that Resolution No. 8752 as introduced, be adopted and same was passed and adopted by the preceding vote. 14. PLANNING AND ENVIRONMENT - None 15. ORAL PRESENTATIONS - None 16. ADJOURNMENT MOTION - Murphy SECOND - Mayor Coontz AYES - Murphy, Slater, Mayor Coontz, Spurgeon, Alvarez The City Council recessed to Closed Session at 10:30 p.m. (see Page 25). The City Council reconvened to Regular Session at 10:55 p.m. and adjourned to an Adjourned Regular Meeting,April 1, 1997 at 5: 00 p.m. in the Weimer Room for a Joint Study Session with the Planning Commission to discuss the 7 Year Capital Improvement Plan.CASSANDRA. ATHCART, CMC CITY CLERK PAGE 39