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HomeMy WebLinkAbout05 CC Action AgendaITEM #5 Report to the Pl~.nning Commission DATE: JUNE 22, 2010 SUBJECT: CITY COUNCIL ACTION AGENDAS JUNE 1 AND 15, 2010 PRESENTATION: ELIZABETH A. BINSACK, DIRECTOR COMMUNITY DEVELOPMENT DEPARTMENT ~(Y ~~ ~ .~ '~'; ~ ~ ~~~~ ATTACHMENT: CITY COUNCIL ACTION AGENDAS JUNE 1 AND 15, 2010 ACTION AGENDA OF THE JOINT REGULAR MEETING OF THE CITY COUNCIL AND REDEVELOPMENT AGENCY June 1, 2010 CLOSED SESSION MEETING 5:30 P.M. CALL TO ORDER -Meeting #2237 at 7:05 p.m. -Mayor Amante recommended continuing the closed session meeting until after the regular meeting ATTENDANCE Present: Mayor/Chair Jerry Amante, Mayor Pro Tem/Chair Pro Tem John Nielsen, and Councilmembers/Agencymembers Doug Davert, Deborah Gavello and Jim Palmer Absent: None City Clerk: Pamela Stoker, City Clerk Others Present: William Huston, City Manager; and Doug Holland, City Attorney PUBLIC INPUT -None CLOSED SESSION ITEMS -The Brown Act permits legislative bodies to discuss certain matters without members of the public present. The City Council finds, based on advice from the City Attorney, that discussion in open session of the following matters will prejudice the position of the City in existing and anticipated litigation: A. CONFERENCE WITH LEGAL COUNSEL -EXPOSURE TO LITIGATION [Govt. Code § 54956.9(b)] -Two Cases B. CONFERENCE WITH REAL PROPERTY NEGOTIATOR 54956.8] -One Case Property Address/Description: AgencX: [Govt. Code A triangular remnant property east of the current constructed alignment of Del Amo Avenue, north of the property owned by SchoolsFirst Federal Credit Union at 15552 Del Amo, which includes a portion of the property at 15332 Del Amo formerly owned by AAE and acquired by the City of Tustin and an abandoned portion of the former Del Amo Avenue (not yet formerly vacated by the City pursuant to State Law) City of Tustin City Council/Redevelopment Agency June 1, 2010 Action Agenda Page 1 of 10 City/Agency Negotiator: Christine Shingleton, Assistant City Manager Negotiating Parties: Francisco Nebot, Senior Vice President, SchoolsFirst Under Negotiation: Price and Terms of Payment (Purchase) C. CONFERENCE WITH LEGAL COUNSEL -EXISTING LITIGATION [Govt. Code § 54956.9(a)J -Two Cases • Tustin Unified School District v. City of Tustin et al., Case No. 30-2010- 00345476, Orange County Superior Court • City of Newport Beach and City of Tustin v. City of Irvine et al., Case No. 30-2008-00228855-CU-WM-CXC, Orange County Superior Court JOINT REGULAR CITY COUNCIL AND REDEVELOPMENT AGENCY MEETING 7:00 P.M. ~ ,~- CALL TO ORDER -Meeting #2237 at 7:06 p.m. INVOCATION - Councilmember Palmer PLEDGE OF' ALLEGIANCE -Girl Scout Troop 1162 ROLL CALL -City Clerk Stoker Present: Mayor/Chair Jerry Amante, Mayor Pro Tem/Chair Pro Tem John Nielsen, and Councilmembers/Agencymembers Doug Davert, Deborah Gavello and Jim Palmer Absent: None City Clerk: Pamela Stoker, City Clerk Others Present: William Huston, City Manager; and Doug Holland, City Attorney PRESENTATIONS Mayor Amante presented certificates to Ms. Amster's class of Myford Elementary in recognition of their participation in Kids Run the O.C. Mayor Amante presented a resolution to Jeff Thompson in recognition of his participation on OCTA's Bicycle Ad Hoc Committee Tamara Warren of OCTA presented an update of the Central County Corridor Major Investment Study City Council/Redevelopment Agency June 1, 2010 Action Agenda Page 2 of 10 ORAL COMMUNICATION /PUBLIC INPUT - • Phil Cox -spoke regarding Old Town Tustin improvements; thanked staff for assistance • Edward Chizkov -asked staff to explain the foundation of city code sections • Fred Saliba -spoke regarding claim that had been denied by the City • Ned Smith, Vice Chairman of the Tustin Chamber of Commerce -invited Tustin residents to attend the State of the City Luncheon on June 10tH • AI Murray -provided an update on OC Vector Control • Jeff Thompson -provided an update on OCTA's Citizens Advisory Committee PUBLIC HEARING ITEMS CODE AMENDMENT 10-003 (ORDINANCE NO. 1380), MASSAGE ESTABLISHMENTS On September 27, 2008, the Governor signed Senate Bill (SB) 731 into law, relating to massage therapy. Code Amendment 10-003 is proposed to achieve consistency with State law, codify new massage regulations, and protect the public health, safety, and welfare. Proposed Code Amendment 10-003 (Ordinance No. 1380) would: 1. Require all massage therapists and practitioners in Tustin to be certified by the California Massage Therapy Council (CAMTC). 2. Provide a grace period to existing massage technicians and operators holding Valid City of Tustin permits. 3. Require all massage owners and operators to obtain new establishment permits from the City. 4. Amend the Zoning Code to allow massage establishments as an outright permitted use in the Retail Commercial (C-1), Central Commercial (C-2), and Commercial General (C-G) zoning districts. On May 11, 2010, the Tustin Planning Commission adopted Resolution No. 4146, recommending that the Tustin City Council adopt Ordinance No. 1380, relating to the regulation of massage establishments and massage therapists and practitioners. Public hearing opening at 7:42 p.m. Public hearing closed at 7:42 p.m. with no public input Motion: It was moved by Councilmember Davert and seconded by Councilmember Nielsen to introduce and have the first reading by title only of Ordinance No. 1380. City Council/Redevelopment Agency June 1, 2010 Action Agenda Page 3 of 10 ORDINANCE NO. 1380 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, REPEALING PART 2 OF CHAPTER 6 OF ARTICLE 3 OF THE TUSTIN CITY CODE, ADDING PART 6 OF CHAPTER 6 OF ARTICLE 3 OF THE TUSTIN CITY CODE, AND AMENDING ARTICLE 3 AND ARTICLE 9 OF THE TUSTIN CITY CODE RELATING TO REGULATION OF MASSAGE ESTABLISHMENTS AND MASSAGE THERAPISTS AND PRACTITIONERS 2 Motion carried 5-0 PUBLIC HEARING TO CONSIDER LEVYING OF ANNUAL ASSESSMENTS FOR THE TUSTIN LANDSCAPE AND LIGHTING DISTRICT FOR FISCAL YEAR 2010-2011 At the February 16, 2010 meeting, the City Council ordered the preparation of an Engineer's Report for the Levy of Annual Assessments for the Tustin Landscape and Lighting District. The Engineer's Report was completed and approved by the City Council at their May 4, 2010 meeting. The City Council also declared its intention to levy annual assessments and set a public hearing for June 1, 2010. The City Council will conduct a public hearing and, provided there is no majority protest, adopt Resolution No. 10-56 confirming the annual assessments for Fiscal Year 2010-2011. Public hearing opening at 7:43 p.m. Public hearing closed at 7:43 p.m. with no public input Motion: It was moved by Councilmember Davert and seconded by Councilmember Nielsen to adopt Resolution No. 10-56. RESOLUTION NO. 10-56 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA CONFIRMING THE LEVY OF ANNUAL ASSESSMENTS FOR THE LANDSCAPE MAINTENANCE AND PUBLIC STREET LIGHTING EXPENSES IN THE TUSTIN RANCH AREA WITHtN THE BOUNDARIES OF THE TUSTIN LANDSCAPE AND LIGHTING DISTRICT FOR FISCAL YEAR 2010-2011 3 Motion carried 4-1 (Mayor Amante dissented) 2010 JUSTICE ASSISTANCE GRANT (JAG) Congress established the Byrne Justice Assistance Grant (JAG} program in the City CounciURedevelopmentRgency June 1, 2010 Action Agenda Page 4 of 10 2005 Omnibus Appropriations Package. The JAG program blends the previous Edward Byrne Formula Grant (Byrne) and the Local Law Enforcement Block Grant (LLEBG) programs into one program, which is intended to provide agencies with the flexibility to prioritize and place justice funds where they are most needed. The Police Department proposes to use the 2010 JAG funds to provide supplemental funding to the Proactive Methamphetamine Task Force (PROACT) and to purchase a digital audio/video recording and storage system for police interview rooms. Public hearing opening at 7:44 p.m. Public Input: • Ralph Klimek -offered to assist in selecting equipment Public hearing closed at 7:47 p.m. Motion: It was moved by Councilmember Davert and seconded by Councilmember Nielsen to approve staffs recommendation. Motion carried 5-0 CONSENT CALENDAR ITEMS - It was moved by Councilmember Davert and seconded by Councilmember Gavello to pull consent calendar items 8, 9,11 and 12 and to approve the balance of the consent calendar items as recommended by staff. Motion carried 5-0 4. APPROVAL OF MINUTES -REGULAR MEETING OF THE JOINT CITY COUNCIL AND REDEVELOPMENT AGENCY HELD ON MAY 18, 2010 Recommendation: Approve the Action Minutes of the Regular Meeting of the Joint City Council and Redevelopment Agency held on May 18, 2010. 5. APPROVAL OF DEMANDS AND RATIFICATION OF PAYROLL Recommendation: Approve demands in the amounts of $1,062,981.63, $188,264.14, $3,040,117.63, and Payroll in the amount of $723,581.18. 6. CONSIDERATION OF CLAIM OF EMELIDA MCLEAN, CLAIM NO. 10-07 The Claimant alleges that she backed into equipment that was left in her driveway by a City water crew, resulting in damage to her vehicle. A City water crew was working near the claimant's home to relocate a fire hydrant. Equipment and parts were located on Bergen Circle while the work was being done. No equipment or parts were in the claimant's driveway. The claimant was City Council/Redevelopment Agency June 1, 2010 Action Agenda Page 5 of 10 aware that the City crew was working on the hydrant. There was a 30-inch hydrant spool on white bricks located adjacent to claimant's driveway, which claimant backed into. Claimant is also alleging damage to the front of her vehicle, which several witnesses state did not occur as a result of this incident. Recommendation: That the City Council deny Claim Number 10-07, Emelida McLean, and direct Staff to send notice thereof to the Claimant. 7. APPROVAL OF PLANS & SPECIFICATIONS AND AUTHORIZATION TO ADVERTISE FOR BIDS FOR PARK PLAYGROUND EQUIPMENT PURCHASE AND INSTALLATION AT LAUREL GLEN AND MAGNOLIA TREE PARKS (CIP No. 2064) This project includes the purchase and installation of playground equipment and ADA required playground surfacing and ramps. Recommendation: That the City Council approve Resolution No. 10-55, approving specifications for the purchase and installation of new playground equipment at Laurel Glen and Magnolia Tree Parks (CIP No. 2064), and authorizing the City Clerk to advertise for bids. RESOLUTION NO. 10-55 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, APPROVING PLANS AND SPECIFICATIONS AND AUTHORIZATION TO ADVERTISE FOR RE-BIDDING FOR PARK PLAYGROUND EQUIPMENT PURCHASE AND INSTALLATION AT LAUREL GLEN AND MAGNOLIA TREE PARKS (CIP No. 2064) 8. EXTENSION OF AUDITING SERVICES Due to the finance software conversion and the incorporation of business license processing within the Finance Department, staff time is limited. Staff proposes a one year extension with Macias Gini & O'Connell LLP, a California limited liability partnership ("MGO") for auditing services for fiscal year ending June 30, 2010 due to staffs limited time constraints. Motion: It was moved by Councilmember Davert and seconded by Councilmember Nielsen to approve staffs recommendation. Motion carried 4-1 (Councilmember Gavello dissented) 9. NOVEMBER 2, 2010 GENERAL MUNICIPAL ELECTION Adoption of the proposed resolutions will call the election, consolidate election services with the County of Orange, and set the Candidate Statement fees and regulations. City Council/Redevelopment Agency June 1, 2010 Action Agenda Page 6 of 10 Motion: It was moved by Councilmember Gavello and seconded by Councilmember Davert to approve staffs recommendation. RESOLUTION NO. 10-58 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, CALLING AND GIVING NOTICE OF ELECTION AND REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTY OF ORANGE TO CONSOLIDATE A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 2, 2010, WITH THE STATEWIDE GENERAL ELECTION TO BE HELD ON THE DATE PURSUANT TO § 10403 OF THE ELECTIONS CODE RESOLUTION NO. 10-59 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, ADOPTING REGULATIONS FOR CANDIDATES FOR CITY COUNCIL PERTAINING TO CANDIDATE STATEMENTS SUBMITTED TO THE VOTERS AT AN ELECTION TO BE HELD ON TUESDAY, NOVEMBER 2, 2010 Motion carried 5-0 10. REVIEW OF CITY'S CONFLICT OF INTEREST CODE The Political Reform Act requires that no later than July 1 of each even- numbered year, the City Council direct a review of the City's Conflict of Interest Code. Recommendation: That the City Council direct the City Manager, or designee, to have the City's Conflict of Interest Code reviewed, file a statement of review with the City Council no later than October 1, 2010 and revise the Conflict of Interest Code based upon such review, if necessary. 11. MEMORANDUM OF UNDERSTANDING WITH THE TUSTIN POLICE OFFICERS ASSOCIATION -POLICE MANAGEMENT REPRESENTATION UNIT AND ESTABLISHMENT OF EMPLOYER PAID MEMBER CONTRIBUTIONS TO THE CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM Adoption of the attached Resolutions and Memorandum of Understanding (MOU) will authorize compensation adjustments for employees in classifications represented by the Tustin Police Officers Association -Police Management Representation Unit (TPMA) and reduce the City's expenditures in accordance with Council direction. City CounciURedevelopmentRgency June 1, 2010 Action Agenda Page 7 of 10 Motion: It was moved by Mayor Amante and seconded by Councilmember Davert to approve the recommended action. RESOLUTION NO. 10-60 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, AMENDING THE CLASSIFICATION AND COMPENSATION PLANS FOR THE CITY OF TUSTIN AND APPROVING THE MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF TUSTIN AND THE TUSTIN POLICE OFFICERS ASSOCIATION - POLICE MANAGEMENT REPRESENTATION UNIT, CONCERNING WAGES, HOURS, AND TERMS AND CONDITIONS OF EMPLOYMENT RESOLUTION NO. 10-61 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, ESTABLISHING EMPLOYER PAID MEMBER CONTRIBUTIONS TO THE CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM FOR EMPLOYEES IN CLASSIFICATIONS REPRESENTED BY THE TUSTIN POLICE OFFICERS ASSOCIATION - POLICE MANAGEMENT REPRESENTATION UNIT Motion carried 5-0 12. MEMORANDUM OF UNDERSTANDING WITH THE TUSTIN POLICE OFFICERS ASSOCIATION -POLICE OFFICER REPRESENTATION UNIT AND ESTABLISHMENT OF EMPLOYER PAID MEMBER CONTRIBUTIONS TO THE CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM Adoption of the attached Resolutions and Memorandum of Understanding (MOU) will authorize compensation adjustments for employees in classifications represented by the Tustin Police Officers Association - Police Officer Representation Unit (TPOA) and reduce the City's expenditures in accordance with Council direction. Motion: It was moved by Mayor Amante and seconded by Councilmember Davert to approve the recommended action. RESOLUTION NO. 10-62 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, AMENDING THE CLASSIFICATION AND COMPENSATION PLANS FOR THE CITY OF TUSTIN AND APPROVING THE MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF TUSTIN AND THE TUSTIN POLICE OFFICERS ASSOCIATION - POLICE OFFICER REPRESENTATION UNIT, CONCERNING WAGES, HOURS, AND TERMS AND CONDITIONS OF EMPLOYMENT City Council/Redevelopment Agency June 1, 2010 Action Agenda Page 8 of 10 RESOLUTION NO. 10-63 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, ESTABLISHING EMPLOYER PAID MEMBER CONTRIBUTIONS TO THE CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM (CALPERS) FOR EMPLOYEES IN CLASSIFICATIONS REPRESENTED BY THE TUSTIN POLICE OFFICERS ASSOCIATION -POLICE OFFICER REPRESENTATION UNIT WHO ARE CALPERS LOCAL SAFETY MEMBERS RESOLUTION NO. 10-64 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, ESTABLISHING EMPLOYER PAID MEMBER CONTRIBUTIONS TO THE CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM (CALPERS) FOR EMPLOYEES IN CLASSIFICATIONS REPRESENTED BY THE TUSTIN POLICE OFFICERS ASSOCIATION -POLICE OFFICER REPRESENTATION UNIT WHO ARE CALPERS LOCAL MISCELLANEOUS MEMBERS Motion carried 5-0 REGULAR BUSINESS ITEMS 13. LEGISLATIVE REPORT At this time, the City Council may take the opportunity to discuss current legislation of interest. None 14. SELECTION OF EXECUTIVE SEARCH FIRM FOR CITY MANAGER RECRUITMENT With the pending retirement of Mr. Huston, the City requested and received proposals from several executive search firms to conduct a recruitment to fill our City Manager position. Based on the recommendation from Mayor Amante and Councilmember Davert, they recommend selecting Teri Black & Company as the firm to conduct the executive search for City Manager. Motion: It was moved by Mayor Amante and seconded by Councilmember Palmer to approve the recommended action. Motion carried 5-0 OTHER BUSINESS/COMMITTEE REPORTS -City Manager, City Attorney, City Council City Council/Redevelopment Agency June 1, 2010 Action Agenda Page 9 of 10 Councilmember Gavello: No comments Councilmember Davert: • Reported current budget lockdown at the Orange County Fire Authority • Reported that the Orange County Sanitation District's budget is almost finalized; Elected new officers -Larry Crandall was elected as Chair and Troy Edgar was elected as Vice-Chair • Mentioned the State of the City Luncheon on June 10cn • Invited all to attend the Street Fair on June 6tH Councilmember Palmer: No comments Mayor Pro Tem Nielsen • Reported that the Orange County Council of Governments approved the Memorandum of Understanding between OCTA regarding the development of a sustainable community strategy for Orange County and to comply with state law SB 375; discussed the presentation of Southern California Association of Governments Regional Green House Gas Reduction Scenarios; reported that the Memorandum of Understanding agreement between OCCOG and CSU Fullerton Center for Demographic Research was approved • Attended the Teacher of the Year Dinner on May 27tH • Shared that he served on the Mayor's panel for Leadership Tomorrow in Newport Beach on May 20tH • Shared that he was honored to speak at the American Legion's Tri-Cities Memorial Day Ceremony Mayor Amante: • Reported the Transportation Agency Corridor Authority and OCTA are in mid- budgetdiscussions and OCTA is also in labor negotiations; negotiations appear to be going well although both agencies have suffered from the recession; mentioned there are a number of issues relative to sustainable community strategy planning • Expressed importance of agendizing the issue of immigration; a number of cities are taking positions on which way to move on this issue and it is appropriate to discuss in the context of tonight's budget discussions; these discussions show the City has maintained a balanced budget, managed its money well, and maintained healthy reserves but Tustin as well as other California cities have suffered as a result of state legislation on the immigration issue RECESSED - At 8:03 p.m. City Council recessed to closed session to discuss matters listed under Closed Session. CLOSED SESSION REPORT - City Attorney Holland -The Council did not take any reportable action ADJOURNMENT - 8:35 p.m. The next regular meeting is scheduled for Tuesday, June 15, 2010 at 5:30 p.m. for the Closed Session Meeting followed by the Regular Business Meeting at 7:00 p.m. in the Council Chamber, 300 Centennial Way, Tustin, California. City Council/Redevelopment Agency June 1, 2010 Action Agenda Page 10 of 10 ACTION AGENDA OF THE JOINT REGULAR MEETING OF THE CITY COUNCIL, REDEVELOPMENT AGENCY AND TUSTIN PUBLIC FINANCING AUTHORITY June 15, 2010 CLOSED SESSION MEETING 5:30 P.M. CALL TO ORDER -Meeting #2238 at 5:30 p.m. ATTENDANCE Present: Mayor/Chair Jerry Amante, Mayor Pro Tem/Chair Pro Tem John Nielsen, and Councilmembers/Agencymembers Doug Davert, and Jim Palmer Absent: Mayor Pro Tem/Chair Pro Tem John Nielsen and Councilmember/Agencymember Deborah Gavello City Clerk: Erica Rabe, City Clerk Services Specialist Others Present: William Huston, City Manager; and Doug Holland, City Attomey PUBLIC INPUT -None CLOSED SESSION ITEMS -The Brown Act permits legislative bodies to discuss certain matters without members of the public present. The City Council finds, based on advice from the City Attomey, that discussion in open session of the following matters will prejudice the position of the City in existing and anticipated litigation: A. CONFERENCE WITH LEGAL COUNSEL -EXPOSURE TO LITIGATION [Gaut. Code § 54956.9(b)] -Two Cases B. CONFERENCE WITH LEGAL COUNSEL -EXISTING LITIGATION [Govt. Code § 54956.9(a)] -Three Cases • Tustin Unified School District v. City of Tustin et al., Case No. 30-2010- 00345476, Orange County Superior Court • City of Newport Beach and City of Tustin v. City of Irvine et al., Case No. 30-2008-00228855-CU-WM-CXC, Orange County Superior Court • Marble Mountain Partners, LLC v. City of Tustin et al., Orange County Superior Court Case No. 30-2008-.0011668 C. CONFERENCE WITH LEGAL COUNSEL -INITIATION OF LITIGATION [Govt. Code § 54956.9(c)J -Two Cases City Council/Redevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 1 of 12 RECESSED - At 5:34 p.m. City Council recessed to closed session to discuss matters listed under Closed Session. JOINT REGULAR CITY COUNCIL, REDEVELOPMENT AGENCY AND TUSTIN PUBLIC FINANCING AUTHORITY MEETING 7:00 P.M. ,. CALL TO ORDER -Meeting #2238 at 7:01 p.m. INVOCATION -Councilmember Palmer PLEDGE OF ALLEGIANCE -Councilmember Davert ROLL CALL -City Clerk Stoker Present: Mayor/Chair Jerry Amante, Mayor Pro Tem/Chair Pro Tem John Nielsen, and Councilmembers/Agencymembers Doug Davert, and Jim Palmer Absent: Councilmember/Agencymember Deborah Gavello City Clerk: Pamela Stoker, City Clerk Others Present: William Huston, City Manager; and Doug Holland, City Attorney CLOSED SESSION REPORT - City Attomey Holland -The Council unanimously approved settlements on pending cases and provided direction to the City Attorney's office to resolve those cases: City of Newport Beach and City of Tustin v. City of Irvine et al., Case No. 30- 2008-00228855-CU-WM-CXC, Orange County Superior Court Marble Mountain Partners, LLC v. City of Tustin et al., Orange County Superior Court Case No. 30-2008-.0011668 PRESENTATIONS Mayor Amante presented cert~cates with Nancy Bany to the 2010 Tustin Community Pride Student Essay and Poster Contest Winners: Madison J. Chang Tustin Ranch Elementary Essay Gisele Tevy Robinett Tustin Ranch Elementary Poster Bryan Ho Nelson Elementary Essay Anita Flores Nelson Elementary Poster Taylor Horton-Pope Utt Middle School Essay City Council/Redevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 2 of 12 Marilyn Nguyen Utt Middle School Essay Alejandro Maldonade Utt Middle School Poster Jessenia Sanchez Utt Middle School Poster Joana Duarte Utt Middle School Essay ORAL COMMUNICATION /PUBLIC INPUT - • AI Murray- Acknowledged Don Ropele and Marilyn Esposito for a successful Chili Cook Off and thanked all staff for their efforts at the event • Edward Chizkov -Asked staff to explain the foundation of Ordinance No. 1354 • Stephen Ignathis - Reqested police patrol at the intersection of AnaTree and Raintree PUBLIC HEARING ITEMS ADOPTION OF RETAIL WATER RATES -PUBLIC HEARING RESOLUTION NO. 10-57 Presentation by Public Works Director Doug Stack and Finance Director Pam Arends-King The purpose of the public hearing, under the California Constitution ("Proposition 218") is to permit the property owners to comment upon or present objections to the proposed water rate increases. The proposed rate increases will (1) generate the necessary revenues to meet ongoing operations and maintenance expenses and eliminate a General Fund subsidy; (2) generate the necessary revenues to meet ongoing operations, maintenance expenses and debt financing for major capital projects; and meet current bond covenant requirements; (3) expand the current rate structure from four to seven tiers; (4) establish a capital project fee solely dedicated for non-debt financed capital improvement projects; (5) provide for a new pass-through provision to account for unanticipated third party charges related to the purchase of electricity and/or imported water; and (6) establish Water Demand Reduction Stages (WDRS) that would enable the City to comply with wholesale water use restrictions in response to regional water shortage conditions as necessary. The WDRS was included within the official Proposition 218 notice of Public Hearing to ensure proper noticing and compliance. Only upon specific City Council authorization can a WDRS be declared and put into action. The proposed rate increases would be effective July 1, 2010 for fiscal year 2010-11 and July 1St in subsequent fiscal years. The typical residential customer (a residential user with a 5/8 or 3 ! 4 inch meter and consuming about 40 units} would experience an increase of 17.8% in FY 2010-11, 14.13% in FY 2011-12, 6.31 % in FY 2012-13 through FY 2014-15. Additionally, the pass-through provision is restricted to-not-exceed 7% of the annual water charges. Public hearing opening at 7:57 p.m. City Council/Redevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 3 of 12 Public Input - In opposition: • Dale Stark • David Ash • Douglas Chapman • Ken Weir • Richard Nelson Neutral: • Ryder Todd Smith In opposition: • Robert Morton • Berklee Maughan Public hearing closed at 9:09 p.m. RECESSED at 9:09 p.m. RECONVENED at 9:20 p.m. Motion: It was moved by Mayor Amante and seconded by Councilmember Davert to approve Resolution 10-57 approving the rate increases with the following change: modify the proposed rates by reducing the rates in the first two years by a total of 5% and increasing the rates in years three through five by an amount not-to-exceed a 1 % per year to offset but not exceed the 5% reduction in the 1•irst two years. The Finance Director is authorized to make such changes in the fee schedules consistent with the Council direction as provided in this motion. Motion carried 3-1 (Councilmember Palmer dissenting) CONSENT CALENDAR ITEMS - It was moved by Councilmember/Agencymember Davert and seconded by Councilmember/Agencymember Palmer to pull consent calendar items 7, 8, 9, and 12 and to approve the balance of the consent calendar items as recommended by staff. Motion carried 4-0 2. APPROVAL OF MINUTES -REGULAR MEETING OF THE JOINT CITY COUNCIL AND REDEVELOPMENT AGENCY HELD ON JUNE 1, 2010 Recommendation: Approve the Action Minutes of the Regular Meeting of the Joint City Council and Redevelopment Agency held on June 1, 2010. 3. APPROVAL OF DEMANDS AND RATIFICATION OF PAYROLL City Council/Redevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 4 of 12 Recommendatian: Approve demands in the amounts of $2,155,510.53, $15,864.86, $474,333.55, and Payroll in the amount of $677,828.59. 4. CONSIDERATION OF CLAIM OF JACOB SOUTSO, CLAIM NO. 09-37 The Claimant sustained personal injuries and property damage as a result of an auto vs. motorcycle accident that occurred on April 15, 2009 at the intersection of Tustin Ranch Road and EI Camino Real. The claimant is alleging that the City created and/or maintained a dangerous condition at the intersection, including but not limited to a dangerous traffic signal. The claimant/motorcyclist was found at fault in the accident, as opposing traffic still had a yellow signal and he did not wait for the intersection to clear before entering it. Recommendation: That the City Council deny Claim Number 09-37, Jacob Soutsos, and direct Staff to send notice thereof to the Claimant. 5. CONSIDERATION OF CLAIM OF ALEX NAGHIBI, CLAIM NO. 10-04 The Claimant alleges that roots from a City tree created blockage in his sewer lateral. Recommendatian: That the City Council deny Claim Number 10-04, Alex Naghibi, and direct Staff to send notice thereof to the Claimant. 6. SET A PUBLIC HEARING FOR PUBLIC HEALTH GOALS (PHGs) 2007-2009 REPORT The California Health and Safety Code requires that water utility agencies with more than 10,000 service connections prepare a report every three years and conduct a public hearing to provide information to consumers on the levels of contaminants in the City's drinking water. Recommendation: It is recommended the City Council set a public hearing for July 6, 2010 at 7:00 p.m. to receive and respond to public comments on the City of Tustin 2007-2009 Public Health Goal Report. 7. APPROVE A LICENSE AGREEMENT FOR LEMON GROVE MAINTENANCE AT CITRUS RANCH PARK In order to preserve the lemon grove at Citrus Ranch Park, staff has negotiated a license agreement with a qualified vendor to maintain the grove and the agreement is now ready for City Council approval. Motion: It was moved by Mayor Pro Tem Nielsen and seconded by Councilmember Davert to approve the recommended action. Motion carried 4-0 City Council/Redevelopment AgencylPublic Financing Authority June 15, 2010 Action Agenda Page 5 of 12 8. APPROVAL OF CONTRACT AMENDMENT NO. 4 FOR SPECTRUM CARE LANDSCAPE AND IRRIGATION MANAGEMENT, INC. FOR LANDSCAPE MAINTENANCE SERVICES IN THE TUSTIN LANDSCAPE AND LIGHTING DISTRICT Staff is requesting the City Council to approve a contract amendment with SpectrumCare Landscape and Irrigation Management, Inc. (SpectrumCare) to provide a one (1) year extension to the existing landscape maintenance contract for the Tustin Landscape and Lighting District. The proposed amendment will result in a 4% decrease from the existing contract fee and will also require the performance of additional maintenance by the Contractor at no additional cost to the District. Motion: It was moved by Mayor Amante and seconded by Councilmember Davert to approve the recommended action. Motion carved 4-0 9. APPROVAL OF CONTRACT AMENDMENT NO. 5 FOR SPECTRUM CARE LANDSCAPE AND IRRIGATION MANAGEMENT, INC. FOR LANDSCAPE MAINTENANCE SERVICES IN THE GENERAL FUND AND TUSTIN LEGACY AREAS OF THE CITY Staff is requesting the City Council to approve a contract amendment with SpectrumCare Landscape and Irrigation Management, Inc. (SpectrumCare) to provide a one (1) year extension to the existing landscape maintenance contract for the General Fund and Tustin Legacy areas in the City. The proposed amendment will result in a 4% decrease from the existing contract fee and will also require the performance of additional maintenance by the Contractor at no additional cost to the City. Motion: It was moved by Mayor Amante and seconded by Councilmember Davert to approve the recommended action. Motion carried 4-0 10. APPROVE THE ANNUAL MEASURE M ELIGIBILITY SUBMITTAL PACKAGE, FISCAL YEAR 2010-2011 In order to maintain Measure M eligibility, the City is required to annually submit a compliance package to the Orange County Transportation Authority (OCTA). Recommendation: It is recommended that the City Council take the following actions: 1. Adopt Resolution No. 10-65 concerning the City's Circulation Element for Master Plan of Arterial Highways consistency; and 2. Adapt the attached draft Measure M .Growth Management Program City Council/Redevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 6 of 12 Seven-Year Capital Improvement Program (Fiscal Year 2010-2011 through Fiscal Year 2016-2017); and 3. Authorize the Director of Public Works/City Engineer to submit the City of Tustin's Measure M eligibility package to the Orange County Transportation Authority. RESOLUTION NO. 10-65 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA CONCERNING THE STATUS OF THE CIRCULATION ELEMENT FOR THE CITY OF TUSTIN 11. STATUS REPORT ON REDEVELOPMENT AGENCY PROJECTS Redevelopment Agency staff provides on a monthly basis an update of redevelopment related projects. Recommendation: Receive and File. 12. CROSSING GUARD PROGRAM CONTRACT RENEWAL The crossing guard contract with All City Management Services, Inc. is up for renewal for the 2010-2011 school year. Motion: It was moved by Mayor Amante and seconded by Councilmember Davert to approve the recommended action. Motion carried 4-0 REGULAR BUSINESS ITEMS 13. RESOLUTION NO. 10-67 & RDA RESOLUTION NO. 10-06 APPROPRIATING FUNDS FOR VARIOUS CITY BUDGETS FOR THE FISCAL YEAR 2010/2011 The City Council is requested to approve the attached Resolution adopting the budgets for the City and the Water Enterprise for Fiscal Year 2010/2011. Motion: It was moved by Councilmember/Agencymember Davert and seconded by Mayor Pro Tem/Chair Pro Tem Nielsen to approve the recommended action. RESOLUTION NO. 10-67 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, ADOPTING THE CITY BUDGET AND APPROPRIATING FROM THE ANTICIPATED REVENUES OF THE CITY FOR THE FISCAL YEAR 2010- 2011 RDA RESOLUTION NO. 10-06 A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF City CouncitlRedevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 7 of 12 THE CITY OF TUSTIN, CALIFORNIA, ADOPTING THE AGENCY BUDGET AND APPROPRIATING FROM ANTICIPATED REVENUE OF THE AGENCY FOR THE FISCAL YEAR 2010-2011 14. Motion carried 4-0 APPROPRIATION LIMIT FOR FISCAL YEAR 2010/2011 Article XIII B of the State Constitution requires each City to annually adopt a limit on appropriations for all governmental funds. The following recommendation and attached worksheets are based on the Proposed Budget as presented to the City Council Motion: It was moved by Councilmember Davert and seconded by Mayor Pro Tem Nielsen to approve the recommended action. RESOLUTION NO. 10-68 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, DETERMINING AND ADOPTING AN APPRPRIATION LIMIT FOR THE FISCAL YEAR 2010-2011 IN ACCORDANCE WITH ARTICLE XIII B OF THE CONSTITUTION OF THE STATE OF CALIFORNIA, AND SECTION 7910 OF THE GOVERNMENT CODE 15. Motion carved 4-0 SALARY RESOLUTION FOR THE ELECTED CITY CLERK Adoption of the attached Resolution will authorize compensation and benefits adjustments for the elected City Clerk in accordance with Council direction. Motion: It was moved by Councilmember Davert and seconded by Councilmember Palmer to approve the recommended action. RESOLUTION NO. 10-66 A RESOLUTION OF THE CALIFORNIA, AMENDING ELECTED CITY CLERK 16. Motion carried 4-0 CITY COUNCIL OF THE CITY OF TUSTIN, COMPENSATION AND BENEFITS FOR THE INTRODUCTION OF ORDINANCES AMENDING COMPENSATION AND BENEFITS PROVIDED TO CITY COUNCIL MEMBERS Adoption of the attached Ordinances will amend compensation and benefits provided to members of the City Council pursuant to Council direction. Motion: It was moved by Councilmember Davert and seconded by Councilmember Palmer to approve the recommended action. City Council/Redevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 8 of 12 ORDINANCE NO. 1383 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, AMENDING SECTION 1303 OF THE TUSTIN CITY CODE RELATING TO CITY COUNCIL COMPENSATION AND ADDING SECTION 1308 RELATING TO CITY COUNCIL BENEFITS ORDINANCE NO. 1384 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, AMENDING SECTION 9503 OF THE TUSTIN CITY CODE RELATING TO COMPENSATION AND EXPENSES OF MEMBERS OF THE TUSTIN COMMUNITY DEVELOPMENT COMMISSION Motion carried 4-0 17. APPOINTMENT OF INTERIM CITY MANAGER William A. Huston, the City Manager since 1981, has provided the City Council with his intent to retire in July. The City has initiated a process to begin an executive search for a new City Manager. We anticipate a limited period of time between the City Manager's retirement and the appointment of his replacement and suggest Mr. Huston remain as a part-time employee continuing to serve as City Manager. Motion: It was moved by Councilmember Davert and seconded by Mayor Amante to approve the recommended action. Motion carried 4-0 18. SECOND READING OF CODE AMENDMENT 10-003 (ORDINANCE NO. 1380), MASSAGE ESTABLISHMENTS On September 27, 2008, the Governor signed Senate Bill (SB) 731 into law, relating to massage therapy. Code Amendment 10-003 is proposed to achieve consistency with State law, codify new massage regulations, and protect the public health, safety, and welfare. Proposed Code Amendment 10-003 (Ordinance No. 1380) would: 1. Require all massage therapists and practitioners in Tustin to be certified by the California Massage Therapy Council (CAMTC). 2. Provide a grace period to existing massage technicians and operators holding Valid City of Tustin permits. 3. Require all massage owners and operators to obtain new establishment permits from the City. 4. Amend the Zoning Code to allow massage establishments as an outright permitted use in the Retail Commercial (C-1 ), Central Commercial (C-2), and Commercial General (C-G) zoning districts. On May 11, 2010, the Tustin Planning Commission adopted Resolution No. City Council/Redevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 9 of 12 4146, recommending that the Tustin City Council adopt Ordinance No. 1380, relating to the regulation of massage establishments and massage therapists and practitioners. Motion: It was moved by Councilmember Davert, seconded by Councilmember Palmer to have second reading by title only and adoption of Ordinance No. 1380 (roll call vote). ORDINANCE NO. 1380 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, REPEALING PART 2 OF CHAPTER 6 OF ARTICLE 3 OF THE TUSTIN CITY CODE, ADDING PART 6 OF CHAPTER 6 OF ARTICLE 3 OF THE TUSTIN CITY CODE, AND AMENDING ARTICLE 3 AND ARTICLE 9 OF THE TUSTIN CITY CODE RELATING TO REGULATION OF MASSAGE ESTABLISHMENTS AND MASSAGE THERAPISTS AND PRACTITIONERS Motion carried 4-0 19. LEGISLATIVE REPORT At this time, the City Council may take the opportunity to discuss current legislation of interest. Mayor Amante: Council will discuss the issue of Rule of Law city and support for Arizona's immigration law at the July 6~', 2010 meeting. Copies of SB 1445 were provided to staff and Council. Mayor Amante requested to have a discussion at the July 6"', 2010 meeting. 20. CONSIDER ACTIONS WITH RESPECT TO CITY REMEDIES FOR MATERIAL DEFAULT UNDER THE DISPOSITION AND DEVELOPMENT AGREEMENT BETWEEN TUSTIN LEGACY COMMUNITY PARTNERS, LLC., THE CITY OF TUSTIN, AND TUSTIN PUBLIC FINANCING AUTHORITY. Presentation by Assistant City Manager, Christine Shingleton The City and Tustin Public Financing Authority ("Authority") previously entered into a Disposition and Development Agreement (Master Development) ("DDA") with Tustin Legacy Community Partners, LLC ("TLCP" or the "Developer"). The DDA established the parameters of development and conveyance of certain property at Tustin Legacy to TLCP. TLCP has not performed under the terms of the DDA. As a result, the City found the Developer in Material Default under the DDA. Since the Material Defaults have not been cured by TLCP or the Developer's Permitted Mortgagee, the City and Authority are being asked to consider certain actions in response to the uncured Material Defaults. A Termination Agreement has been prepared which would permit TLCP to ___ City Council/Redevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 10 of 12 consensually terminate its obligations under the DDA and Development Agreement 06-01 and to voluntarily re-convey 335.76 acres of land back to the City. Absent execution of the Termination Agreement by TLCP, certain additional actions in response to the uncured Material Defaults with regards to the DDA and Development Agreement 06-01 are identified for City Council and Tustin Public Financing Authority consideration. Public Input - Elizabeth Cobb- requested an extension to produce the requested loan documents to City negotiators RECESSED -11:00 p.m. RECONVENED - 11:07 p.m. Motion: It was moved by Councilmember/Agencymember Davert and seconded by Mayor Pro Tem/Chair Pro Tem Nielsen to approve the recommended action with the following changes: (1) extend the deadline in Option 1 to the close of business on July 6, 2010 and require that non-redacted loan documents be provided to City negotiators by July 6, 2010 as a condition of proceeding with the agreement; (2) if mod~ed Option 1 is unsuccessful, then staff is directed to implement Option 2. Motion carried 4-0 OTHER BUSINESS/COMMITTEE REPORTS -City Manager, City Attorney, City Council Councilmember Davert: • Thanked staff for a great time at the Chili Cook-Off • Congratulated Fountain Valley Mayor, Larry Crandall, as the newly elected Chair for Orange County Sanitation District • Mentioned Tustin's schools are out for summer break • Mentioned that at the Revenue and Taxation Committee meeting on Thursday, July 17, Robin Lowe, President of the State League, will have a presentation on AB 32 and SB 375 Councilmember Palmer: No comments Mayor Pro Tem Nielsen: No comments Mayor Amante: • Reported that Transportation Corridor Agency passed a balanced budget • Reported that Orange County Transportation Authority passed a balanced budget • Reported that West County Connectors Project broke ground last week • Mentioned attending a Rating meeting next week where he will present to Wall Street how the Orange County Transportation Authority is handling tough economic times City Council/Redevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 11 of 12 • Invited residents to attend the Fourth of July parade in Tustin Meadows and the fireworks show at Tustin High School ADJOURNMENT - 11:35 p.m. The next regular meeting is scheduled for Tuesday, July 6, 2010 at 5:30 p.m. for the Closed Session Meeting followed by the Regular Business Meeting at 7:00 p.m. in the Council Chamber, 300 Centennial Way, Tustin, California. Adjourned Meeting in Memory of Paul Wagner ~~ty c;ouncniKeoevelopment Agency/Public Financing Authority June 15, 2010 Action Agenda Page 12 of 12