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HomeMy WebLinkAboutCC MINUTES 1980 03 17 MINUTES OF A REGULAR MEETING TUSTIN CITY COUNCIL COUNCIL CHAMBERS 300 Centennial Way March 17, 1980~ I. CALL TO ORDER Following the Planning Agency meeting, the City Council meeting was called to order by Mayor Pro Tem Saltarelli at 4:04 P.M. II. ROLL CALL Present: Councilpersons: Saltarelli, Sharp, Kennedy, Welsh Absent: Councilpersons: Schuster Others Present: Dan Blankenship, City Administrator Mike Brotemarkle, Coramunity Development Director James G. Rourke, City Attorney Mary E. Wynn, Chief Deputy City Clerk Bob Ledendecker, City Engineer Approximately 8 in the audience III. RECESS It was moved by Kennedy, seconded by Welsh, to recess to the Redevelopment Agency at 4:05 P.M. Carried. MINUTES OF A REGULAR MEETING REDEVELOPMENT AGENCY March 17, 1980 1. The meeting was called to order by Chairman Saltarelli at 4:05 P.M. 2. Present: Members: Saltarelli, Kennedy, Welsh Absent: Members: Sharp ~"~ 3. APPROVAL OF MINUTES of March 3, 1980 meeting. It was moved by Welsh, seconded by Kennedy, that the minutes of the March 3, 1980 meeting be approved. Carried 3-0, Sharp absent. 4. It was moved by Kennedy, seconded by Welsh, to approve the Demands for the Redevelopment Agency in the amount of $257,243.15. Carried 3-0, Sharp absent. 5. It was moved by Welsh, seconded by Kennedy, to adjourn at 4:06 P.M. to the next regular meeting on April 7, 1980. Carried. REC ING S~T~Y MEETING OF TUSTIN CITY COUNIL RECONVENED AT 4:06 P.M. March 17, 1980 I. PUBLIC CONCERNS ~ None II. CONSENT CALENDAR 1. APPROVAL OF MINUTES - March 3, 1980. 2. APPROVAL OF DEMANDS in the sanount of $683,578.32. RATIFICATION OF PAYROLL in the amount of $70,558.37. COUNCIL MINUTES P.age 2~ 3~17~80 3. RELEASE OF BONDS - PARCEL MAP NO. 78-120. Authorize the release of the Faithful Performance Bond, No. L-05-034112 in the amount of $202,100.00, the Labor and Materials Bond, No. L05-034112 in the amount of $101,050.00, and the Monu- mentation Bond, No. L05-034140 in the amount of $500.00 for Parcel Map No. 78-120 as recommended by the City Engineer. 4. RESOLUTION NO. 80-27 A Resolution ofthe City Council of the City of Tustin California, APPROVING PLANS AND SPECIFICATIONS FOR (PROJECT I) MAIN STREET SIDE- WALK CONSTRUCTION AND (PROJECT II) PROSPECT AVENUE SIDEWALK CON- STRUCTION AND DIRECTING THE CITY CLERK TO ADVERTISE FOR BIDS Adoption of Resolution No. 80-27 as recommended by the Engineering Department. 5. RESOLUTION NO. 80-28 A Resolution of the City Council of the City of Tustin, California, ESTABLISHING CERTAIN FEES AND SERVICE CHARGES Adoption of Resolution No. 80-28 as recommended by the City Administrator. 6. RESOLUTION NO. 80-25 A Resolution of the City Council of the City of Tustin, FINDING AND DECLARING A NEGATIVE IMPACT FOR CONSTRUCTION OF NEWPORT AVENUE ACROSS THE ATCHISON, TOPEKA AND SANTA FE RAILWAY AND THE ORANGE COUNTY FLOOD CONTROL DISTRICT RIGHT-OF-WAY Adoption of Resolution No. 80-25 as recommended by the City Engineer. ITEM 6 Councilwoman Kennedy asked if we should not study this further since we ~ have just approved a Zone Change to Residential Planned Development in that area. Bob Ledendecker, City Engineer, responded that staff feels it is a negative impact regardless of the zoning. Part of the application is for an at grade crossing. ITEM 5 Councilwoman Kennedy expressed concern over the wide range of increases, sometimes 50%, on some items, i.e., the address map from $6.75 to $15.00. Dan Blankenship, City Administrator, explained that previously the address map was one large sheet, but since the Peters Canyon Annexation, it now is made up of twolarge sheets of paper which increases the cost. He explained~hat the increases were to offset cost increases and not to raise revenue. ITEM 4 Councilman Welsh asked why this project was so long going out to bid since it was budgeted. Mr. Ledendecker, City Engineer, explained that this was a substitute pro- ject. When the School District denied the bike trail on San Juan, we had -- to get approval from the State to reallocate the money to this project. It was moved by Kennedy, seconded by Saltarell~, to approve the Consent Calendar as submitted. Carried 4-0, Schuster absent. III. ORDINANCES FOR INTRO- DUCTION 1. ORDINANCE NO. 824 An Ordinance of the City Council of the City of Tustin, California, PROHIBITING PARKING AT CERTAIN HOURS IN THE PARKING LOTS ADJACENT TO CENTENNIAL PARK AND AUTHORIZING THE TOWING AWAY OF ILLEGALLY PARKED VEHICLES COUNCIL MINUTES Page 3, 3~17-80 It was moved by Welsh, seconded by Saltarelli, that Ordinance No. 824 have first reading by title only. Carried 4-0, Schuster absent. Following the reading of the title of Ordinance No. 824 by Mary E. Wynn, Chief Deputy City Clerk, it was moved by Welsh, seconded by Kennedy, that Ordinance No. 824 be introduced, with the following change in Section I., line 7: "between the hours of 12:00 midnight and 6:00 A.M. daily." Carried 4-0, Schuster absent. This change was made because many times there are functions at the club houses that last until midnight. The purpose of the ordinance is to ~"~ relieve overnight parking. IV. ORDINANCES FOR ADOPTION 1. ORDINANCE NO. 823 An Ordinance of the City Council of the City of Tustin, California, REZONING CERTAIN PROPERTY FROM INDUSTRIAL (M-l) TO RESIDENTIAL PLANNED DEVELOPMENT (P.D.) DISTRICT It was moved by Welsh, seconded by Saltarelli, that Ordinance No. 823 have second reading by title only. Carried 4-0, Schuster absent. Following the reading of the title of Ordinance No. 823 by Mary E. Wynn, Chief Deputy City Clerk, it was moved by Sharp, seconded by Welsh, that Ordinance No. 823 be passed and adopted. ROLL CALL VOTE: AYES: Saltarelli, Sharp, Welsh NOES: Kennedy ABSENT: Schuster V. ~ OLD BUSINESS 1. BIKE AND PEDESTRIAN PATH WITHIN THE ATCHISON, TOPEKA AND SANTA FE RAILROAD RIGHT OF WAY The staff report was given by Bob Ledendecker, City Engineer, stating that we had received 75 responses to the questionaires that were mailed to the residents and 56were opposed to the Bike and Pedestrian Path and 18 were for it. W. Howard Sibley, 20 Granada, Villa Valenoia Mobile Estates, reported that he had 143 signatures in opposition to this Bike and Pedestrian Path. Due to the responses of the affected residents immediately adjacent to the proposed project being about 3 to 1 against the project, it was moved by Welsh, seconded by Sharp, that this project not be pursued and that no further work or funds be committed to the project, except for notifying the resident that initiated the project study that it has been cancelled. Carried 4-0, Schuster absent. 2. PLACING PICTURE OF "MISS TUSTIN" IN CITY HALL Councilwoman Kennedy expressed that Miss Tustin does not have to be a City of Tustin resident and also that others such as the sponsors of Woman of the Year and Man of the Year might expect the same privilege ~nd this caused her to have reservations about approving this. Councilman Sharp stated that Miss Tustin represents the City at many functions during the year and he thought it would be appropriate to place her picture in City Hall. Councilman Welsh commented that if this action produces any adverse effects, staff should bring it back to the Council. It was moved by Sharp, seconded by Saltarelli, to authorize placement of a photograph of Miss Tustin near the Building Directory near the entrance inside City Hall. Carried 4-0, Schuster absent. COUNCIL MINUTES Page 4, 3-17-80 VI. NEW BUSINESS 1. SUPPLEMENTAL APPROPRIATIONS FISCAL YEAR 1979-80 It was moved by Kennedy, seconded by Saltarelli, to adopt Resolution 80-26 which restates the approved City budget for the 1979-80 Fiscal Year. Carried 4-0, Schuster absent. Councilwoman Kennedy commented that the report was clear and she congratu- lated the Finance Director. 2. AWARD OF BID - F.Y. '79-'80 SIDEWALK REPAIR PROGRAM Bids were opened for this project on March 7, 1980 at 11:00 A.M., and Were recieved as follows: Fleming Engineering Inc., Cerritos, CA ................. $29142.97 N.D~L. Construction Corporation, Rancho Cucamonga, CA--$39 777.83 Markel Cement Contracting Inc., Costa Mesa, CA ......... $43 882.44 Damon Construction Co., South Gate, CA ................. $44 057.60 Dyno Construction Inc., Azusa, CA ...................... $46 244.11 B.J. Construction Co., Monterey Park, CA ............... $46 513.30 Madison Paving, Signal Hill, CA ........................ $49 702.40 M. Grbavac Construction Co., San Gabriel, CA ........... $49,773.34 Nobest Incorporated, Westminster, CA ................... $54,555.20 The low bid is 36% below the Engineer's estimate of $45,500.00. There is presently $45,000.00 budgeted for this project. As was pointed out in the Staff memo of February 5, 1980, requesting authorization to advertise for bids, there are many additional locations throughout the City where sidewalk repair is necessary. The project plans call for repair at 112 different locations. In light of the very favorable bid received, it will be possible to add repair work at anestimated 50 additional locations. This will cut down on potential liability. It was moved byKennedy, seconded by Welsh, to award the contract for the ~- F.Y. '79-'80 Sidewalk Repair Program to Fleming Engineering Inc., of Cerritos, CA, and in addition, to authorize staff to add additional work to the contract not to exceed the $45,000.00 budgeted. Carried 4-0, Schuster absent. 3. RESOLUTION NO. 80-24 A Resolution of the City Council of the City of Tustin TO PARTICIPATE IN A SPECIAL ELECTION CALLED BY THE BOARD OF SUPERVISORS OF ORANGE COUNTY TO APPROVE RENTAL HOUSING DEVELOPMENT FOR ELDERLY, HANDICAPPED, LOW- OR MODERATE-INCOME PERSONS In response to Councilman Welsh's questions, Mike Brotemarkle, Community Development Director, stated that the funds will come from the County and there will be no City funds involved. It was moved by Kennedy, seconded by Welsh, to adopt Resolution No. 80-24, which authorizes our participation in the Article 34 Referendum election. Carried 4-0, Schuster absent. 4. LITTLE LEAGUE SIGN FOR COLUMBUS TUSTIN PARK This item was continued tO the 7:30 P.M. meeting. 5. REQUEST FOR SIGN CODE EXCEPTION (Imperial Thrift and Loan) ~ The staff report was given by Mike Brotemarkle, Community Development Director. Jack Britton, 1146 E. Rosewood, a representative from the Sign Company, stated that this was just a change of face for existing signs. Instead of one long sign, they will just use the two shorter signs. It was moved by WelSh, seconded'by Kennedy, to approve the two subject signs for Imperial Thrift with thefoiloQing conditions: 1) Authorization for displaying signs in the two existing sign cabinets is only approved while Imperial Thrift occupies two tenant spaces, and 2) If one of the tenant spaces is vacated by Imperial Thrift, the sign fQ~ that space must be relin- quished to the new tenant. Carried 4-0, Schuster.absent. COUNCIL MINUTES Page 5, 3-17-80 6. POLICE PATROL VEHICLE REPLACEMENT It was moved by Saltarelli, seconded by Welsh, to approve the purchase of six (6) police patrolvehicles at the purchase price of $45,280.38. Carried 4-0, Schuster absent. VII. OTHER BUSINESS RESOLUTION NO. 80-32 A Resolution of the City Council, City of Tustin, California, PROHIBITING CERTAIN VEHICLES FROM USING OLWYN DRIVE BETWEEN RED HILL AVENUE AND WOODLAWN AVENUE AND WOODLEWN AVENUE BETWEEN OLWYN DRIVE AND IRVINE BOULEVARD Bob Ledendecker, City Engineer, reported that this hand out item had been given to the Council as staff had received a complaint regarding the over- night parking of large commercial trucks on or near Olwyn Drive or ~he im- mediate vicinity. The vehicle is started in the early morning hours and left running for a period of time which results in an annoyance to the surrounding residents. It was also indicated that the truck parks off- street within a private driveway. It was movedby Welsh, seconded b~ Saltarelli, to adopt Resolution No. 80-32, which places a load limit of 6,000 pounds on wehicles using Olwyn Drive between Red Hill Avenue and Woodlawn Avenue and Woodlawn Avenue between Olwyn Drive and Irvine Boulevard. Carried 4-0, Schuster absent. AWARD OF A PORTION OF COUNTY TITLE III FUNDS FOR SERVICES TO SENIOR CITIZENS Dan Blankenship, City Administrator, reported that the Council had received a memo from the Parks and Recreation Director that the City of Tustin has been granted $7,656.80 for the purchase Of equipment and furniture to be used in the City's Senior Citizen Programs. This grant is to be matched by $2,277.20 of City funds. REPLACE DOORS, INSTALL VIEW WINDOWS, AND REPLACE GLAZING The City Administrator addressed the Council regarding a memo they had receivedto replace doors, install view windows and replace glazing at City Hall. These doors represent a safety improvement. Staff advertised for bids on this project in September and November to 25 firms and no bids were received. Repeated telephoning to this one estimator resulted in his submitting a bid. New construction work has Orange County construction suppliers and contractors overwhelmed with work. It was moved by Welsh, secondedby Saltarelli, to approve the bid of Sonshine Glass and Mirror, Inc., 1743 W. Katella Ave., Orange, CA 92667 in the amountof $3200.00 for the installation of view windows, installa- tion of store front doors and replacement of side light glazing in City Hall and the Police Building. Carried 4-0, Schuster absent. CROSSWALK AT YORBA STREET AND AMAGANSENT WAY Councilman Welsh said that he had correspondence from Mrs. Hahn regarding children crossing YorbaStreet at Amagansent Way. He asked the City Engineer if this was being taken care of. Bob Ledendecker, City Engineer, responded that he had informed Mrs. Hahn that hopefully the crosswalk would be in this week. VIII. ADJOURNMENT It was moved by Kennedy, seconded by Welsh, to adjourn at 4:45 P.M. to the 7:30 P.M. meeting. Carried. ' / MAYOR '" COUNCIL MINUTES page 6~ 3~17-80 MINUTES OF A REGULAR MEETING TUSTIN CITY COUNCIL March 17, 1980 7:30 P.M. I. CALL TO ORDER Following the Planning Agency meeting, the City Council meeting was called to order at 7:38 P.M. by Mayor Schuster. II. ROLL CALL Present: Councilpersons: Schuster, Saltarelli, Sharp, Kennedy, Welsh Absent: Councilpersons: None Others Present: Dan Blankenship, City Administrator James G, Rourke, City Attorney Mike Brotemarkle, Community Development Director Mary E. Wynn, Chief Deputy City Clerk Ed Bushong, Finance Director Charles Thayer, Police Chief Bob Ledendecker, City Engineer Don Biery, Parks and Recreation Director R. Kenneth Fleagle, Consultant Approximately 75 in the audience III. NEW BUSINESS 4. LITTLE LEAGUE SIGN FOR COLUMBUS TUSTIN PARK Mike Brotemarkle, Com/nunity Development Director, reported that this was a proposal by the Tustin Western Little League to place a 96 sq. ft., 11 ft. ' high, f~ee standing sign for both their identification and enlisting of sponsors. After consideration, staff felt there would be some concern with regard to future requests for. similar signs by other utilizers of the field- 96 sq. ft. is the largest sign we permit under the sign code at the present time. William Ray Russell, 17922 Theodora, Tustin, representative from the Tustin! Western Little League, agreed they would be willing to work with staff as to height, location of sign, possibility of sharing the sign with football and soccar leagues and insurance for the sign. It was moved by Saltarelli, seconded by Welsh, to approve the concept of a sign for Tustin Western Little League subject to the Tustin Western Little League meeting with staff and working out the details and staff bringing back the conditions for Council to vote on for the next meeting. Carried 5-0. IV. PUBLIC HEARINGS 1. SALE OF SURPLUS PROPERTY ON NEWPORT AVENUE Bob Ledendecker, City Engineer, gave the staff report for the sale of two parcels on the westerly side of Newport Avenue between Irvine and Holt. These properties were acquired when we widened Newport Avenue several years ago and has since become surplus property for which the City no longer has a need. Sealed bids were received on March 6, 1980 at 3:00 P.M. for each parcel as follows: Northerly parcel - Raymond J. Larson - $21,800.00 (Minimum bid was designated to be $21,800.00) Southerly parcel - John M. Bell $18,100.00 Raymond J. Larson $17,700.00 The bid submitted on the southerly parcel by John M. Bell was subject to the parcel being granted vehicular access to Newport Avenue. Any access across the off-street bike path would create additional potential bicycle/ vehicle conflicts. The original intent 'Of the off-street bicycle path was to isolate the bicyctists from vehicular traffic for safety reasons. COUNCIL MINUTES Page 7, 3~17-80 The Public Hearing was opened at 7:50 P.M. There being no comments or objections, it was moved by Saltarelli, seconded by Sharp, to close the Public Hearing and to authorize the following: 1. Denial of any vehicular access rights to Newport Avenue from either of the subject parcels. 2. Award of bid to Raymond J. Larson in the amount of $21,800.00 for the purchase of the most northerly parcel of surplus land adjacent to Newport Avenue. 3. Award of bid to Raymond J. Larson in the a~Dunt of $17,700.00 for the purchase of the most southerly parcel of surplus land adjacent to Newport Avenue based upon the denial of access rights to Newport Avenue and the condition of bid proposal of John M. Bell, MOtion carried 5-0. 2. PURCHASE OF TUSTIN WATER WORKS SYSTEM BY THE CITY OF TUSTIN Dan Blankenship, City Administrator, reported that since the last Public Hearing on March 10th, the City Council has received aletter from the County Homeowners' Association opposing the proposed acquisition on the basis of past concerns about the City,s development policies and past disagreements. The Santiago Municipal Advisory Council (SMAC) has sub- mitted a letter which approves the acquisition with 5 provisos, 3 of which were basically routine such as equality of rates, service and improvements and assurance that any improvements planned by the Water Works would be pursued in their area. They asked the Council to request the Public Utilities Commission (PUC) to hold a Public Hearing in lieu of the PUC action without a Public Hearing on the proposed purchase. They also re- quested a 5 person board be elected by residents of the area and that the board be the authority to establish rates and setting policies. Letters were also received from John Roach encouraging acquisition because of the assurance the City would best serve the community in the upgrading of the system and provide the improvements needed such as pressure and water quality, and from Dave E. King~ Wheeler Place, supporting the acquisition. The Public Hearing was opened at 7:55 P.M. Patricia Wedell Sutcliff, 330 California, a former Councilperson, was in favor of the City purchasing the Water Works as she wouldbe assured that the City would restore and maintain the system. Heronly concern was that the City not pay more than it is worth. Steven Johnson, secretary of SMAC, 17772 E. 17th Street (business address), stated that for the last month they had been holding meetings regarding the proposed acquisition of the Water Works and what it means to their area, and in keeping with the idea that SMAC wants to work with the City of Tustin and believes there is a common area to be attended to by both agencies, they have approved the Resolution. However, they have set out certain reservations that cannot be eliminated without eliminating their approval. These reser- vations were in the letter received by the Council and also summarized by Dan Blankenship and recorded in the beginning of the minutes of this hearing. W. G. C01bern, President of the Chamber of Commerce, said that their Board of Directors has received reports from their Cormsunity Development Cormnittee and their Political Action and Overview Cor~nittee. The Community Development Committee recommended favorably toward the purchase because of the continuing commercial and industrial development of the City which needs expanded use of water and for adequate water in case of fire. They felt no responsible juris- diction has as much interest as the City of Tustin. The excellent bond rating of the City of Tustin will enable lowest cost of supporting the required bonds to finance the action. The rate review and review of proposed capital im- provements are all subject to Public Hearings. This committee recommends the Water Works be purchased as soon as possible. Based upon 10 principles that were contained in a letter to the Council, the Political Action and Overview Committee expressed that the purchase could ~e of benefit to City of Tustin businessmen in the greater Tustin area. The Board of Directors and Executive Committee have not taken their position yet but they are vitally interested in the material available and would be inclined to take a positive action if the price is verified as not being excessive and the cost estimated would include any replacement or maintenance to bring it up to the standard. COUNCIL MINUTES Page 8~ 3~17-80 Lloyd W. Robbins, 2002 Fallen Leaf Pi., Tustinl stated that he was not against the purchase of the Water Works. He brought up three problems that he thought ought ~o be resolved: 1) The decision making body should be the Board of Directors and not the City Council; 2) The bond market has taken a beating and probably won't be in much better shape a year from now and probably the discoun~ tha~ will have to be allowed could take an- other million dollars; and 3) A real good budgeE, perhaps budgeting ahead for 2 or 3 years should be prepared using staff and the Water Works personnel to help determine the condition of the underground system. Jerry Weil, 1702 Summerville, Tustin, was concerned about the decision 4~ making process. He expressed that he felt the time requirement for day ~o day problems of the Water Works would be too much for the Council members. The Board of Directors should perform this job. He did not agree that SMAC should have the majority control but they should have a representative on the Board. Phil Andersen, 161 Fashion Lane, Suite 114, thanked the staff for their quick response to his letter presented at the March 10th Public Hearing. He passed out another letter to the City Council which is on file in the City Clerk's office. He said he was not against the purchase of the Water Works but his letter contained four maan problems: 1) Budgets - Operating as well as Capital Expenditure, 2) Bonds, 3) Rate Setting Policy, and 4) Price. He quoted from the minutes of the East Orange County Water District meeting of December 6, 1979 where Rich Saas spoke and explained he had worked for Toups Corp. and had done an appraisal of the Water Works which showed that it was very old and there would be high maintenance costs to restore. He also referred to the minutes of Dec. 13th where Dan Blankenship said that no ma3or improvements will be made in the first 10 years. Peer Swanl 14351 Morning Glory, recommended that this matter be continued and staff do more study and work with the Homeowners' Associations. He expressed that he did not feel the City was the only agency ~o purchase the Water Works. In answer to Councilman Saltarelli's question of why he pays more for Irvine Ranch Water District water, Mr. Swan answered that it ~ was because they had good facilities and there was built in money for fixing up the system. Morey Iverson, 13452 Cindy Lane, hoped that politics did nor come into the City's decision, but he would be proud to be a par~ of a City that owns the Water Works. His background is of over 30 years in the Water Works, calling on cities, private water companies and irrigation districts. He wanted to clarify the following: 1) To his knowledge, there are no 8" openings for fire hydrants. The only reason for bringing ~n 8" pipe would be to help supply a new subdivision; 2) The only steel p~pe used in Tustin Meadows as by private property owners to make their own service. The people com- plaining about low pressure may find steel pipe that has corroded but the p~pe was installed by the owner; and 3) Tustin Water Works is one of the finest companies he has been associated with. In every system there are some old pipes but Tustin Water Works has bought quality material. There may be some problems, but this is true in every city. Niles P. Koines, 18022 Weston Place, Tustin, representative from the County Homeowners' Association, asked that the matter be continued for 45 days as was requested in their letter of March 13th. He said there was a procedure in the Public Utilities Code of the State of California which permits the formation of a Utilities District by the majority vote of the people. He cited Section 1005 which he said seemed to require that a Municipal Corp. first make provision for City residenEs and thereafter to the County resi- dents. ~--. After looking a~ the section of the code which Mr. Koines provided, Dan Blankenship said this section specifically says that whenever there is an excess of water, over and above what is necessary for the use of the muni- cipality and those it serves, the municipality may sell, lease, or dis- tribute the excess outside its corporate limits. Phil Andersen asked if the City excercised its option ~o take the areas of Pepper~ree and Laurelwood into the Tustin Water Works, would those residents still have to pay the Irvine Ranch Water District assessment. Dan Blankenship responded that Tustin Meadows ~s Under the Tustin Water Works but pays to the Irvine Ranch Water District. An area is responsible even if they are in another district. He explained that an order for the City to exercise its option, there would have to be a Public Hearing and he did not think it would be likely that the staff would recommend approval COUNCIL MINUTES Page 9t 3-17-80 if the rates would have tO be increased to more than they are paying at the time. Mr. Edwin Wells, consultant and principal author of the financial concept of the possible acquisition of the Water Works, said he has been associated with this project for 11 years. The purchase price has been rejected several times becuase the rates could not support it. He believes the City has an agreement which can be amortized within the present rates. If the City acquires the system, it can use the revenue that has been previously used for profits, income tax, and property tax to improve the system. The City can within its perogatives, require future subdividers to contribute in tract facilities rather than to require repayment over a long period of time. The City has three years tosell the bonds. They cannot use water revenue for any purpose other than water purposes. Any proceedings to halt the proposed purchase to study further and figure on a budget would not be productive. Salaries are only t/6th the total. We based our findings on PUC operating projections. The final analysis is we are losing money every month we put this off. Thomas Skip, County resident, asked that a motion be made to continue this hearing so that questions brought up could be answered. It was moved by Kennedy to continue this hearing to March 31st so that Council can study the new information. Because there was no second to the motion, it was moved by Kennedy to continue this hearing to March 24th. No second to this motion. In answer to a question of why the Board of Directors has to be advisory, Fritz Stradling, Bond Counsel in regards to this matter, explained that there has been a misunderstanding of the function of this particular non- profit corporation. It is primarily for the financing of the bonds. The corporation is set up on behalf of the City and its sole function is to issue the bonds and to lease the system to the City and once the City has complete control over the system under the lease, they will have full obli- gation for maintenance and operation. The idea is that these lease revenue payments will be securing the bonds. The bonds are subject to a trust and the trustee requires that the City will be the one that will provide rates and charges sufficient to maintain the revenues to support the bonds. He believed, without further research on this, that the City having the public facility, has the legal obligation to provide rates and charges or provide the guidelines for rates and charges. Perhaps another non-profit corporation could be set up as an advisory cormnittee to the City and would probably be very permissable. It was moved by Saltarelli, seconded by Sharp, to adopt Resolution No. 80-30, which certifies that the acquisition of the Tustin Water Works by the City of Tustin will not have a significant effecton the environment. The motion was withdrawn because the Public Heazing had not been Closed. It was moved by Sharp, seconded by Saltarelli, to close the Public Hearing at 10:11 P.M. Carried 3~2~ Welsh and Kennedy opposed. It was moved by Welsh, seconded by Kennedy, that instead of closing the Public Hearing that we continue the item to the next regular meeting in order to address the items brought before us and to reduce the price by $1,000,000. The motion was defeated 2-3, Schuster, Saltarelli, and Sharp opposed. It was moved by Saltarelli, seconded by Sharp, to adopt Resolution No. 80-30 which certifies that the acquisition of the Tustin Water Works by the City of Tustin will not have a significant effect On the environment. Carried 5-0. Attorney Rourke pointed out that Resolution No. 80-31 refers to the form of agreement which authorizes the acquisition and contains the other items pro- vided relative to assurances to County residents about non discrimination and the form of agreement staff negotiated which was signed by the Tustin Water Works. In that agreement, there are 2 erroneous exhibits, each let- tered as Exhibit I, that are attached, and were attached in error, we believe, by the Water Works, and therefore as staff~ we recommend to the Council that the resolution as submitted be modified as follows, starting at the end of Page 2 of each Exhibit I: COUNCIL MINUTES page 10, 3-17-80 Subject to the following modification and conditions: 1.Revision of Exhibit I, employment contracts of Rowenhorst and Jensen, to provide: (A) Employment until at least such time as the ~ustin Water Works shareholders have been paid in full. (B) Salaries of $2,815.00 per month with raises of not less than fifty percent (50%) of those given to other City employees in comparable positions. (C)Regular City fringe benefits. (D)Availability of a pool vehicle for use of Reed Jensen for City business. (E) Assignment of a vehicle to Earl Rowenhorst for use on City _t business. (F) Use of house on t~e Tustin Water Works property and utilities for Earl Rowenhorst, and 2. Tustin Water Works to give its written approval of this modification and delivery of a duly executed copy thereof to the City of Tustin before 5:00 o'clock P.M. on Wednesday, March 19, 1980. Other than that, we would recommend the Resolution with that addition to it. It was moved by Saltarelli, seconded by Sharp, to adopt Resolution No. 80-31 with the modifications to Exhibit I, as specified above by the City Attorney. Councilpersons Welsh and Kennedy desired that the concerns and questions brought up at the Public Hearing regarding price, budget, underground condition of the Water Works, etc. be studied and answered before voting on the matter. Councilman Saltarelli asked if there would be some stipulation for Mr. Earl Rowenhurst to give up his position as member of the Board of Directors of the East Orange County Water District. The City Administrator responded that if the City Council thinks there is ~ a conflict of interest, it could be stipulated. Councilman Saltarelli said an opinion on this should be rendered if this motion passes. Motion passed 3-2, Kennedy and Welsh opposed. It was moved by Saltarelli, seconded by Welsh, to appoint Walter Fredriksen (County), William A Moses, II (County), Martin J. Regun (City), Lloyd W. RObbins (City) and Jerry Weil (City) to the Board of Directors of the non- profit Tustin Water Corporation. Carried 5-0. V. PUBLIC CONCERNS MISS TUSTIN PAGEANT Dave Edgar, representing the Tustin JCs,~; reported that they had just finished the most successful Miss Tustin Pageant, both financially and participation wise, anda good bit of the success is attributed to Mr. Blankenship's staff and for that reason he presented a plaque to the Parks and Recreation Department and to the Maintenance Department and he thanked the Mayor for his participation in all aspects of the pageant. Mayor Schuster said that the Tustin JCs did a beautiful job with the ~ pageant. BIKE AND PEDESTRIAN PATH WITHIN THE ATCHISON, TOPEKA AND SANTA FE RAILROAD RIGHT OF WAY Jack Ohringer, 14811 Alder Lane, said he had just been informed that the Council had decided to not pursue this project. Since the City is not going to pursue this, is it possible for the homeowners to purchase the land. Bob Ledendecker, City Engineer, informed Mr. Ohringer that the right of way still belongs to the railroad and would have to be formally abandoned. COUNCIL MINUTES Page 11, 3~17-80 Mr. Ohringer asked how the homeowners could go about getting it abandoned. Mr. Ledendecker asked him to give him his name and address and he would get back to him with the information. SIGNAL DEVICES ALONG THE RAILROAD George Spiker, 14711 Alder, remarked about the modification of the crossing from Tustin Meadows into Peppertree at Sycamore and asked if there was any way that the City and the homeowners could combine to make a recommendation to the railroad to modify the 2 big tall silver poles that are ~sed for signal devices so that they would be more aesthetic. The City Engineer said that any modification would have to come through the railroad to the Pablic Utilities Commission. POLITICAL SIGNS Richard B. Edgar, 13622 Loretta Drive, wanted to note that as a political candidate, he had put political signs on a number of private residences, with their permission, and there have been a number of them taken down by vandals and he felt this was unfortunate that some members of our community would be doing this. LARGE TRUCKS PARKED OVERNIGHT Peer Swan, 14351 Morning Glory, complained about largeiztruoks parking all over the City and particularly on Redhill between the Santa Fe Railway main tracks and Sycamore Avenue. It was moved by Saltarelli, seconded by Kennedy, that staff be directed to look into the problem of parking in general along Tustin Meadows wall on Redhill between the Santa Fe Railroad main tracks and Walnut Avenue and any other areas where trucks park and if staff believes something should be done, they be authorized to take whatever steps are necessary to elimi- nate the hazard. Carried 5-0. VI. OTHER BUSINESS COUNTY COMPLETION OF SIDEWALK AND STREET ON NORTH SIDE OF BRYAN AVENUE Councilman Sharp asked that a letter be sent to Supervisor Riley thanking the County for their completion of the sidewalk and street on the north side of Bryan Avenue. Counoilman Welsh suggested that Ralph Clark should be included in the letter as he had included this in the budget. Council concurred that a letter be sent to both Supervisor Riley and Supervisor Clark. PROGRESS OF IMPROVING BRYAN AND BROWNING Councilman Sharp asked what the progress was of improving Bryan and Browning. Bob Ledendecker, City Engineer, responded that this involves the ANFP joint powers project of both the City and County for Flood Control and street widening. We are in the progress of design which will require the approval of the County of Orange. Construction is scheduled to be under way by July 1st and completion around Dec. 15th. This project does not include any roadway SE of the intersection. APPRECIATIONS Councilman Saltarelli expressed his appreciation to Bob Ledendecker and his department for the fine job he has been doing on capital improvements which include the Peppertree-Tustin Meadows crossing; to Mr. Wells for his long association and service to the City regarding the purchase of the Tustin Water Works; and to Chief Thayer and the Police Department on the excellent reports given to the City Council. PRICING AT GASOLINE STATIONS Councilwoman Kennedy asked abut the report on pricing at gas stations and was informed that it would be on the April 7th agenda. COUNCIL MINUTES Page 12, 3~17-80 MINUTES FOR THE WATER WORKS HEARINGS Mrs. Kennedy asked when the minutes for the Public Hearings regarding the proposed acquisition of the Tustin Water Works would be available and staff responded that they would be ready for the April 7th meeting. LEAGUE OF CALIFORNIA CITIES ANNUAL REORGANIZATION MEETING Councilman Welsh reported that the League of CalifOrnia Cities annual reorganization County wide con~ittee appointments is to be decided at the April 10th meeting. Don Saltarelli is up for a four year term and he said __ it would be appropriate for some recommendations from the Council. COUNTY ISLAND ANNEXATIONS CounCilman Saltarelli would like the Council to consider once again looking at the problem of the County islands relative to annexations. A couple of bills have been introduced in Sacramento that would prematurely terminate the provisions Of the MORGA Act, which expires January 1, 1981. After the election, the Council should reconsider filing on these annex- ations. TRAFFIC SAFETY ON FIRST STREET AT MC DONALDS AND THE POST OFFICE Mayor Schuster asked that a stacking lane into McDonalds be looked into as was suggested about a year and a half ago. There presently is a stacking lane into the Post Office. Bob Ledendecker, City Engineer, responded that there was some action but it was under Redevelopment funds but was not included in the budget. He said he would look into it and bring back a report for the April 7th meeting. Council concurred. VII. ADJOURNMENT It was moved by Kennedy, seconded by Saltarelli, to adjourn at 11:12 P.M. to the next regular meeting on April 7, 1980. Carried. __ / MAYOR