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SPECIAL AND REGULAR MEETINGS OF THE CITY COUNCIL
Tuesday, December 16, 2014
Special Meeting — 4:00 p.m.
Regular Meeting — 6:00 p.m.
Council Chamber, 990 Palm Street
San Luis Obispo, California
CALL. TO ORDER
A Special Meeting of the San Luis Obispo City Council was called to order on Tuesday,
December 16, 2014 at 4:00 p.m. in the Council Chamber, located at 990 Palm Street,
San Luis Obispo, California, by Mayor Marx.
ROLL CALL
Council Members
Present: Council Members Dan Carpenter, Carlyn Christianson, Dan Rivoire, Vice
1 Mayor John Ashbaugh, and Mayor Jan Marx
Council Member
Absent: None
City Staff
Present: Katie Lichtig, City Manager, Christine Dietrick, City Attorney, Michael
Codron, Assistant City Manager, and Anthony Mejia, City Clerk, were
present at Roll Call. Other staff members presented reports or responded
to questions as indicated in the minutes.
STUDY SESSION
SS1. REVIEW OF RENTAL HOUSING INSPECTION PROGRAM OPTIONS
Community Development Director Johnson and Chief Building Official Lease
narrated a presentation entitled "Rental Housing Inspection Program Options"
and responded to Council inquiries.
Sharon Whitney. San Luis Obispo, voiced support for the creation of a rental
housing inspection program; pointed out that an inspection program will identify
issues not visible from the exterior.
Grace Dempsey, San Luis Obispo, voiced concern that property managers are
sometime unresponsive to resident maintenance request; noted that notification
of inspection will prompt residents to clean -up prior to inspection.
City Council Meeting Minutes — December 16, 2014
Page 2
Genevieve Czech, San Luis Obispo, voiced support for a rental housing
inspection program; advised that rental housing has dramatically increased in her
neighborhood, opining that these changes have negatively impacted public
safety.
Camille Small, San Luis Obispo, stated that a rental housing inspection program
will provide options for tenants that are reluctant to report maintenance issues to
landlords; urged Council to adopt the proposed ordinance.
Pat Dempsey, San Luis Obispo, opined that a rental housing inspection program
would be poorly enforced and is intended only to generate revenue for the City.
Charlene Rosales, representing the Chamber of Commerce, questioned whether
the volume of complaints warrant the creation of a rental housing inspection
program and whether it will result in an improved housing stock; conveyed
support for a self - certification program, expanded tenant/landlord education, and
weatherization assistance.
Pete Peterson, property manager and owner, voiced objection to a rental housing
inspection program, asserting such a program is punitive to property owners;
opined that the City should continue with a complaint -based program and allow
for self - certification.
Jeannette Watson, Arroyo Grande, opined that a rental housing inspection
program should be limited to addressing matters of health and safety;
recommended that the program's intent should be better defined.
Linda Shinn, San Luis Obispo, voiced objection to the proposed inspection
program, noting that it singles -out a single type of property use; recommended
that the City focus on education and outreach related to tenant/landlord rights.
Steven Ferrario, San Luis Obispo, voiced concern that a rental housing
inspection program would be overly intrusive on citizens; opined that focus
should be given to education and outreach.
Sandra Rowley, representing Residents for Quality Neighborhood (RQN), voiced
support for a rental housing inspection program, noting that other cities have
successfully implemented similar programs; opined that such a program would
benefit the overall health of the community.
Nikki Anderson, Realtors Association, voiced concern that a rental housing
inspection program gives an anti - investor sentiment; pointed out there are
residents that prefers rental - living and there is no difference between an owner -
occupied or rental unit in disrepair.
Annette Shanks, San Luis Obispo, expressed opposition to a rental housing
inspection program, noting that the majority of property owners are good
operators and tenants are knowledgeable of their rights; suggested that
education and outreach efforts be focused on rentals in the Cal Poly area.
City Council Meeting Minutes — December 16, 2014
Page 3
Michael Sheffer, San Luis Obispo, opined that a housing inspection program
' should be expanded to include owner - occupied homes and enforced equally
throughout the community.
Dane Senser, Oceano, asserted that the proposed program is intended to
generate revenue for the City; stated that the City should enforce existing
regulations and urge Cal Poly to work towards rehabilitating dilapidated student
rental housing.
Eric Meyer, San Luis Obispo, spoke on his experience as a student living in
dilapidated rentals; advised that there are problem rentals in his neighborhood.
Michelle Tasseff, San Luis Obispo, stated that there is a need for a rental
housing inspection program, but there should be an emphasis on educating
landlords and tenants on property maintenance.
Susie Brans, San Luis Obispo, opined that young professionals are not
interested in purchasing homes and that has caused a surge in rental demand;
opined that the proposed program would be over - bearing and make investors
question purchasing property in San Luis Obispo.
Carol Winger, San Luis Obispo, voiced support for the rental home inspection
program, opining that the associated fees and fines are appropriate.
Jacob Rogers, representing Associated Students, Inc. (ASI), suggested that the
ordinance be modified to ensure fees will not be passed- through to renters.
Stephanie Teaford, representing Cal Poly President's Office, advised that Cal
Poly President Armstrong supports the rental housing inspection program.
Elsa Dawson, San Luis Obispo, voiced concern that the proposed program will
negatively impact renters and landlords; suggested that inspections only be
pursued if complaints are reported.
Tom Dawson, San Luis Obispo, expressed concern that government is
overreaching and intrusive.
Laura Mordaun, San Luis Obispo, suggested that the City focus on problem
rental properties rather than inspecting all rental housing.
Ian Farmer, San Luis Obispo, voiced concern that the proposed program could
displace at -risk individuals due to an increase in rents or reduction of available
rental units.
t Steve Caminiti, San Luis Obispo, opined that proposed ordinance is too extreme
and the City should take an incremental approach to the issue.
City Council Meeting Minutes — December 16, 2014
Page 4
Victor Montgomery, Avila Beach, expressed concern that the proposed program
allows for interior inspections, asserting that such an approach is too intrusive
and is discriminatory towards particular residential zones.
Ruth Holden, San Luis Obispo, conveyed concern that the City is enacting an
unenforceable ordinance; suggested that Cal Poly should take a role in
monitoring student housing for health and safety issues.
Odile Avral, San Luis Obispo, voiced support for the proposed ordinance, stating
that many individuals would rather move from dilapidated residences than file a
complaint.
Graham Updegrove, Board Member of SLO Association of Realtors, expressed
opposition to a rental housing inspection program, suggesting that focus be on
education of tenants rather than regulation.
Steve Barasch, San Luis Obispo, conveyed opposition to the proposed rental
housing inspection program; suggested that an authority be created for the
purpose of fire inspection, neighborhood wellness, and addressing emergency
conditions.
Vanessa Rizzo, San Luis Obispo, expressed support for the proposed rental
housing inspection program; stated that tenants are intimidated from complaining
with threats of eviction. 1
Linda White, San Luis Obispo, spoke in support of the proposed inspection
program; stated that rental properties are businesses and should be subject to
health and safety inspection.
David Singer, property manager, stressed that if an inspection program is
created that it be funded adequately and enforced.
Steve Delmartini, Association of Realtors, pointed out that a majority of speakers
tonight do not support the creation of an inspection program; voiced opposition to
a rental housing inspection program.
Chris Knauer, San Luis Obispo, opined that the program is an inappropriate
solution to address the underlying concerns related to noise and poor tenant
behavior.
RECESS
Council recessed at 6:01 p.m. and reconvened at 6:20 p.m., with all Council Members
present.
Stew Jenkins, San Luis Obispo, pointed out that the proposed program charges 1
property owners a fee whether or not a property is found to have any violations;
voiced concern that the inspection program violates citizen rights.
City Council Meeting Minutes — December 16, 2014
Page 5
Theodore de'Mout, Morro Bay, asserted that an inspection program is equivalent
1 to a tax on rental owners and tenants; voiced opposition to the establishment of
an inspection program.
Katheryn Caldwell, Morro Bay, conveyed opposition to a rental housing
inspection program; noted that rentals are businesses and that tenants are
encouraged to reports maintenance issues.
Kevin Rice, San Luis Obispo, voiced concern that City .employees will be at
greater risk attempting to gain entry into private residences; opined that the City
is attempting to assert aggression against residents.
Paul Rvs, San Luis Obispo, stated that students are willing to rent substandard
housing and that an inspection program would be ineffective in addressing
resident concerns; suggested that focus be given to increasing the number of on-
campus student housing units.
Julie Tower, San Luis Obispo, advised that the Laguna Lake neighborhood is
deteriorating and that the proposed program will help alleviate and address
resident concerns.
Kathie Walker, San Luis Obispo, voiced support for a rental housing inspection
program; spoke on her experience purchasing a substandard house and the
repercussions of poor property maintenance.
In response to public comment, Community Development Director Johnson
spoke on the average time for voluntary compliance to code enforcement
violations; noted that the City does not have an agreement with Cal Poly for
enforcement of a rental housing inspection program; advised that the proposed
inspection program is only a component of the neighborhood wellness strategy.
Fire Chief Olson advised that the multi - family housing inspection program
administered by the Fire Department only inspects complexes with three- or
more -units and is an exterior inspection only.
Following discussion, MOTION BY VICE MAYOR ASHBAUGH, SECOND BY
COUNCIL MEMBER CHRISTIANSON, CARRIED 3 -2 (COUNCIL MEMBERS
CARPENTER AND RIVOIRE VOTING NO), to support the creation of a Rental
Housing Inspection Program for single - family and duplex rental units, and
continue the Fire Department's Multi- family Inspection Program.
(Council action continued on next page)
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City Council Meeting Minutes — December 16, 2014
Page 6
MOTION BY COUNCIL MEMBER CHRISTIANSON, SECOND BY VICE MAYOR
ASHBAUGH, CARRIED 3 -2 (COUNCIL MEMBER CARPENTER AND RIVOIRE 1
VOTING NO), to support a Rental Housing Inspection Program based on the
following perimeters:
1. Scope of Inspection: Both exterior and interior inspections.
2. Frequency of Inspection: 3 years.
3. Incentives:
a. Self- certification after passing initial inspection.
b. System and standards to authorize self - certification period.
4. Disincentives: High fines or re- inspection fees.
5. Potential Exemptions:
a. Owner - occupied units (or occupancy by an immediate family member
without other renters).
b. Units in mobile home parks.
c. Publicly owned or managed housing.
d. Units governed by homeowner associations.
6. Set fees at full cost recovery.
Council Member Ashbaugh noted for the record that he desires for the rental
housing inspection program to provide early notification of pending inspections to
property owners and tenants and to allow for self - certification to extend
inspection cycles or provide fee credits.
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City Council Meeting Minutes — December 16, 2014
Page 7
CALL TO ORDER
A Regular Meeting of the San Luis Obispo City Council was called to order on Tuesday,
December 16, 2014 at 7:23 p.m. in the City Council Chambers, located at 990 Palm
Street, San Luis Obispo, California, by Mayor Marx.
PLEDGE OF ALLEGIANCE
Council Member Christianson led the Pledge of Allegiance.
PRESENTATIONS
P1. PRESENTATION OF MUNICIPAL INFORMATION SYSTEMS ASSOCIATION OF
CALIFORNIA EXCELLENCE IN INFORMATION TECHNOLOGY PRACTICES
AWARD
Brian Hom, representing the Municipal Information Systems Association of
California, presented the Excellence in Information Technology Practices Award to
the City of San Luis Obispo represented by Finance and Information Technology
Director Padilla, Information Technology Manager Schmidt, and Information
Technology Supervisor Guardado.
1 PUBLIC COMMENT
Donald Hedrick, San Luis Obispo, voiced concern that local governments are infringing
of citizen's constitutional rights; urged that generosity and giving be directed toward
individuals in need.
Patty Beck, San Luis Obispo, spoke on the mission to find housing for the 50 most
vulnerable, chronically homeless in the community; encouraged the community to
participate in the Welcome Home Kit Drive and the Homeless Remembrance Ceremony
on December 18, 2014 at the Courthouse.
CONSENT AGENDA
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY COUNCIL MEMBER
CHRISTIANSON, CARRIED 5-0, to approve Consent Calendar Items C1 thru C9, with
Council Member Carpenter registering a no vote on Item C8 and removing Item C9 for
separate discussion.
Mila Vuiovich- LaBarre, San Luis Obispo, voiced opposition to Items C8 and C9 related
to a contract amendment with Johnson Aviation and the adoption of the Airport Overlay
Zone ordinance.
' Donald Hedrick, San Luis Obispo, opined that Item C9 related to the Airport Overlay
Zone should be agendized as a business item.
City Council Meeting Minutes — December 16, 2014 Page 8
Kevin Rice, San Luis Obispo, pointed out that residents are threatening litigation on
Item C9 related to the adoption of the Airport Overlay Zone.
Aileen Loe, representing Caltrans, advised that Caltrans in highly interested in the
viability of the airport and interregional travel; stated that Caltrans is concerned that the
City is infringing onto principles of the State Aeronautics Act; stated that Caltrans would
not be able to recognize the LUCE in the current form on any decision they would be
asked to make, potentially impacting funding and grants for future projects; encouraged
Council to work with the Airport Land Use Commission in reaching compromises related
to Item C9 (Airport Overlay Zone).
Kathy Walker, San Luis Obispo, voiced support for Item C4 related to adding 1267
Fredericks Street to the City's list of contributing historic resources; spoke on the history
of the residence, including that it was the home of a former Council Member in 1915 -16.
C1. WAIVE READING IN FULL OF ALL RESOLUTIONS AND ORDINANCES
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY COUNCIL MEMBER
CHRISTIANSON, CARRIED 5 -0, to waive reading of all resolutions and
ordinances as appropriate.
C2. REQUEST FOR PROPOSAL FOR ELEVATOR MAINTENANCE SERVICES,
SPECIFICATION NO. 91341 1
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY COUNCIL MEMBER
CHRISTIANSON, CARRIED 5 -0, to:
1. Authorize issuance of a Request for Proposal (RFP) for "Elevator
Maintenance Services, Specification No. 91341."
2. Authorize the City Manager to execute an agreement of up to $11,900 to
perform elevator maintenance services.
C3. ONE -YEAR REVIEW OF THE. MOBILE VENDOR ORDINANCE
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY COUNCIL MEMBER
CHRISTIANSON, CARRIED 5 -0, to receive and file the Mobile Vendor
Ordinance one -year review.
C4. REQUEST TO ADD 1267 FREDERICKS STREET TO THE CITY'S LIST OF
CONTRIBUTING HISTORIC RESOURCES - RESOLUTION
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY COUNCIL MEMBER
CHRISTIANSON, CARRIED 5 -0, to adopt Resolution No. 10588 (Series 2014)
entitled "A Resolution of the City Council of the City of San Luis Obispo,
California, adding the property located at 1267 Fredericks Street to the
Contributing List of Historic Resources (HIST- 0511 -2014 (CHC))."
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City Council Meeting Minutes — December 16, 2014 Page 9
C5. SINSHEIMER STADIUM STAIRS REPLACEMENT, SPECIFICATION NO.
91255
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY COUNCIL MEMBER
CHRISTIANSON, CARRIED 5 -0, to:
1. Approve plans and specifications for "Sinsheimer Stadium Stairs
Replacement, Specification No. 91255 ".
2. Authorize staff to advertise for bids and authorize the City Manager to award
the contract if the lowest responsible bidder is within the Engineer's Estimate
of $109,000.
3. Approve the transfer of $7,732 from the project's design account and $15,000
from the construction management account to the construction account at the
time of bid award.
C6. REQUEST FOR PROPOSAL FOR CONSULTANTS TO ASSIST WITH
AMENDMENTS TO CITY'S SUBDIVISION REGULATIONS, SPECIFICATION
NO. 91345
C7.
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY COUNCIL MEMBER
CHRISTIANSON, CARRIED 5 -0, to:
1. Authorize the issuance of request for proposals (RFP) for consultant services
to assist staff in updating the Subdivision Regulations, Specification No.
91345.
2. Authorize the City Manager to award a consultant services agreement in an
amount not -to- exceed $50,000 to assist staff with the development of
revisions to the Subdivision Regulations document provided the bids fall
within the budgeted amount.
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY COUNCIL MEMBER
CHRISTIANSON, CARRIED 5 -0, to:
1. Approve the agreement with Cash Cycle Solutions (CCS) for a 5 -year term to
provide regular printing and mailing of all utility bill and business license billing
and certificate renewal documents.
2. Approve waiver of insurance retention and deductibles.
City Council Meeting Minutes — December 16, 2014
C8.
Page 10
AMEND SCOPE OF WORK WITH JOHNSON AVIATION FOR REMAINING
COSTS ASSOCIATED WITH THE LAND USE AND CIRCULATION
ELEMENTS UPDATE PROJECT AND TECHNICAL ASSISTANCE RELATED
TO THE UPDATE OF THE AIRPORT LAND USE PLAN
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY COUNCIL MEMBER
CHRISTIANSON, CARRIED 4 -1 (COUNCIL MEMBER CARPENTER VOTING
NO), to authorize the Community Development Director to execute a contract
amendment to fund costs associated with the Land Use and Circulation Elements
update and modify the scope of work for Johnson Aviation to continue providing
technical assistance to the City in its effort to work with the Airport Land Use
Commission on its update the Airport Land Use Plan (ALUP).
C9. ORDINANCE NO. 1610 (SECOND READING) — ORDINANCE ESTABLISHING
PLANNING AREAS IDENTIFIED IN CHAPTER 8 OF THE LAND USE AND
CIRCULATION ELEMENT UPDATE PROJECT
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY COUNCIL MEMBER
CHRISTIANSON, CARRIED 4 -1 (COUNCIL MEMBER CARPENTER VOTING
NO), to adopt Ordinance No. 1610 (2014 Series) entitled "An Ordinance of the
City Council of the City of San Luis Obispo, California, amending Title 17 (Zoning
Regulations) of the Municipal Code (GPI /ER 15 -12)." (Intro. on 12/09/2014)
BUSINESS ITEM
B1. GENERAL FUND FIVE YEAR FISCAL FORECAST: 2015 -2020
Finance and Information Technology Director Padilla and Budget Manager
Lamers narrated a presentation entitled "General Fund Five Year Fiscal Forecast
2015 -20" and responded to Council inquiries.
Steve Barasch, San Luis Obispo, voiced concerns related to CalPERS
contribution increasing and excessive development impact fees; suggested that
the City reexamine its cost recovery system.
By consensus, the City Council received and filed the General Fund Five -Year
Fiscal Forecast for 2015 -20.
RECESS
Council recessed at 8:38 p.m. and reconvened at 8:50 p.m., with all Council Members
present.
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City Council Meeting Minutes — December 16, 2014 Page 11
B2, 2015 -17 FINANCIAL PLAN PROCESS - CONSIDERATION OF PROPOSED
' CHANGES TO THE CITY'S BUDGET POLICIES
City Manager Lichtig, Finance and Information Technology Director Padilla,
Assistant City Manager Codron, and Budget Manager Lamers narrated a
presentation entitled "Budget Foundation Workshop December 16, 2014" and
responded to Council inquiries.
Andy Pease, San Luis Obispo, voiced support for the establishment of an
infrastructure investment fund with prioritization criteria such as quality -of -life
improvements, development of head -of- household jobs, and climate action plan
implementation.
Pierre Rademaker, San Luis Obispo, stated that infrastructure needs are severe
and conveyed support for the creation of an infrastructure investment fund.
Irmina Karim, representing the Chamber of Commerce, voiced concern that the
community forum is scheduled at a time inconvenient for families with children;
voiced support for the prioritization of open space acquisition, progress on paying
down pension obligations and creation of an infrastructure investment fund.
Bill Almas, representing Chevron, advised that Chevron supports an
' infrastructure investment fund; opined that such a fund would allow for the City to
leverage funds to help generate additional development and revenues.
It was noted that consideration of selecting an early start time should be
considered for future Community Forum Budget meetings.
MOTION BY COUNCIL MEMBER CHRISTIANSON, SECOND BY VICE MAYOR
ASHBAUGH, CARRIED 5 -0, to:
1. Review and approve the 2015 -17 Financial Plan Goal Setting Process and
revision to the date of the Council's Strategic Budget Direction meeting to
April 21, 2015.
2. Receive and file the Local Revenue Measure (Measure Y) Integration Report.
3. Review and approve proposed changes or direction regarding the City's
budget policies, including:
a. Direction to develop a new policy to support the creation of an
Infrastructure Investment Capital Fund and return to the City Council for
review in Spring 2015.
b. Changes to existing reserve policies for the Fleet and Information
Technology replacement funds.
(Council action continue on next page)
City Council Meeting Minutes — December 16, 2014
Page 12
c. Direction to develop a new budget policy relating to reporting the City's 1
unfunded pension liabilities and to return to the City Council in Winter
2015 with further analysis of whether additional funding should be
allocated to unfunded pension liabilities during the 2015 -17 Financial Plan.
d. Direction to update the City's purchasing and procurement policies to
improve operating efficiencies for City Council review in Winter 2015.
B3. REALLOCATION OF BUILDING AND SAFETY TEMPORARY STAFFING
RESOURCES FOR FULL TIME REGULAR STAFFING
Community Development Director Johnson and Supervising Administrative
Assistant Ryan narrated a presentation entitled "Reallocation of Building and
Safety Temporary Staffing Resources for Full -Time Regular Staffing" and
responded to Council inquiries.
MOTION BY VICE MAYOR ASHBAUGH, SECOND BY MAYOR MARX,
CARRIED 5 -0, to approve the addition of a regular full -time Building Inspector
and a regular full -time Plans Examiner in the Building and Safety Division of the
Community Development Department.
LIAISON REPORTS
A council liaison report was received from Vice Mayor Ashbaugh.
COUNCIL COMMUNICATIONS
None.
ADJOURNMENT
The City Council adjourned at 9:58 p.m. The next Regular City Council Meeting will be
held on Tuesday, January 6, 2015 at 6:00 p.m. in the City Council Chambers, 990 Palm
Street, San Luis Obispo, California.
APPROVED BY COUNCIL: 02/17/2015
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