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HomeMy WebLinkAbout12/17/1985M I N U T E S REGULAR MEETING OF THE CITY COUNCIL CITY OF SAN LUIS OBISPO TUESDAY, DECEMBER 17, 1985 - 7:00 P.M. COUNCIL CHAMBER, CITY HALL, 990 PALM STREET SAN LUIS OBISPO, CALIFORNIA PLEDGE OF ALLEGIANCE ROLL CALL Councilmembers Present: Vice -Mayor GlennaDeane Dovey, Robert Griffin, Penny Rappa, Allen K. Settle (arrived at 7:02 p.m.) and Mayor Ron Dunin Absent: None City Staff Present: Paul Lanspery, Administrative Officer; Roger Picquet, City Attorney; Pamela Voges, City Clerk; Toby Ross, Community Development Director; Steve Henderson, Assistant to the Administrative Officer; Don Engiert, Police Chief; Roberta Goddard, Finance Director C O N S E N T A G E N D A Moved by Griffin /Settle (5 -0), to approve the consent agenda as recommended by the City Administrative Officer with the exception of amendment to C -4. The following actions taken as indicated: C -1 CLAIM AGAINST THE CITY - HARRIS (File #189) Claim against the City by Michael Harris in the amount of $563.00 for damages to his vehicle allegedly caused when he swerved to avoid a city fire truck was denied as recommended (5 -0). C -2 PLANS AND SPECIFICATIONS - SINSHEIMER POOL Plans and specifications approved for "Sinsheimer Pool Storage Area Project," City Plan No. J -28Y; bid estimate $25,200, without contingencies, as recommended (5 -0). C -3 ADVISORY BODY APPOINTMENTS (File #475) Confirmed appointments of Brad Bilsten, J. Michael Brady, Lynn Cooper, John French, Ken Frommelt and Michael Frucht to the Business Improvement Association Board of Directors, terms to expire 12 -31 -87 as recommended (5 -0). C -4 COMMUNITY PARKLANDS ACT (File #802) Resolution No. 5856 (1985 Series), was adopted supporting Community Parklands Act of 1986 which proposes to submit a $100 million general obligation bond issue for per capita grants for local parks to the voters at the June 1986 Primary Election as amended to include additional Whereas's which reinforced why the Council was supporting SB806 (5 -0). C -5 PERMIT PARKING - CITY LOT (File #552) Resolution No. 5857 (1985 Series), was adopted setting daily permit rate at 75 cents per day in Lot 14.1ocated between Palm and Monterey Street near Nipomo Street as recommended (5 -0). CITY COUNCIL MINUTES - TUESDAY, DECEMBER 17, 1985 - 7:00 P.M. PAGE 2 C -6 AMTRAK DEPOT (File #432) A. Resolution No. 5858 (1985 Series), was adopted as recommended approving purchase of property adjacent to the railroad depot from Southern Pacific (total cost estimated at $500,000; City's share $250,000; Caltrans $250,000). This will allow construction of improvements at the railroad depot and adjacent parking area (SLO Intermodal Facility Project) (5 -O). B. Resolution No. 5859 (1985 Series), was adopted approving Parking Management Program for the Amtrak Station and Railroad Square as recommended (5 -0). C -7 JOINT USE OF TRANSIT COACHES (File #548) Memorandum of Understanding approved for providing for joint use of transit coaches by the City of San Luis Obispo and North Coastal Transit (continued from 11- 19 -85) as recommended (5 -0). A P P O I N T M E N T S A. ADVISORY BODY APPOINTMENT (File #125) Councilman Griffin reviewed the Council Subcommittee report stating that the Subcommittee was recommending LaVerne Schneider to fill an unexpired term to the Promotional Coordinating ending 3- 31 -86, and Josef Kasparowitz to fill an unexpired term ending 3- 31 -87. Moved by Griffin /Rappa (5 -0), to make the appointments of LaVerne Schneider (3- 31 -86) and Josef Kasparowitz (3- 31 -87) to the Promotional Coordinating Committee as recommended. P R E S E N T A T I O N 1. 1984 -85 FINANCIAL AUDIT (File #223) , Presentation was made by Tom Snow of Peat, Marwick, Mitchell and Company of the 1984 -85 Annual Financial Audit, stating that the City was still in excellent financial condition. Moved by Settle /Griffin (5 -0), to receive and file the financial audit report as recommended. Councilman Griffin requested staff to look at the enterprise funds in more detail. P U B L I C H E A R I N G S 2. UTILITY USERS TAX (File #294) Council held a public hearing to consider giving final passage to Ordinance No. 1049, to allow for utility users tax refund by utility companies pursuant to PUC orders for rate refunds (continued from 12- 3 -85). Bobbie Goddard, Finance Director, reviewed the agenda report with the recommendation that Council give final passage to the ordinance as introduced. Mayor Dunin declared the public hearing open. No one spoke for or against the ordinance. Mayor Dunin declared the public hearing closed. Moved by Settle /Griffin (5 -0), to give final passage to Ordinance No. 1049, to allow for utility users tax refunds along with service refunds as recommended. 3. STREET ABANDONMENTS /FINAL MAP APPROVALS (File #410 - 926/1034/1064) Moved by DOVey /Settle (5 -0), to continue to date certain January 7, 1986, CITY COUNCIL MINUTES - TUESDAY, DECEMBER 17, 1985 - 7:00 P.M. PAGE 3 the public hearing to consider actions relating to the Terrace Hill Development (final street abandonments of portions of Florence, Leona, Haskin, Bushnell and William Streets and final map approvals for Tracts 926, 1034 and 1064); R -1 -PD, zones, Cuesta Valley Properties (John French), subdivider. 7:17 p.m. Mayor Dunin adjourned the meeting to closed session to discuss litigation matters regarding the Chumash Mobilehome appeal. 7:25 p.m. City Council reconvened in open session, all Councilmembers present. 4. STREAMBED ABATEMENT (File #597) Council held a public hearing to consider giving final passage to Ordinance No. 1051, regarding abatement of dangerous obstructions in streambeds (Continued from 7 -2 -85 and 12- 3 -85). Dave Romero, Public Works Director, reviewed the agenda report with the recommendation that Council give final passage to the ordinance as introduced. Mayor Dunin declared the public hearing open. No one spoke for or against the proposed final passage. Mayor Dunin declared the public hearing closed. Moved by Settle /Griffin (5 -0), to give final passage to Ordinance No. 1051, regarding abatement of dangerous obstructions in streambeds as recommended. 5. PARKING REQUIREMENTS (File #463) Council held a public hearing to consider giving final passage to Ordinance No. 1050, amending the Zoning Regulations to extend the current provision for six months regarding parking requirements in the Central - Commercial zone (continued from 12- 3 -85). Toby Ross, Community Development Director, reviewed the agenda report with the recommendation that Council give final passage to the ordinance as introduced. Mayor Dunin declared the public hearing open. No one spoke for or against the proposed final passage. Mayor Dunin declared the public hearing closed. Moved by Settle /Griffin (5 -0), to give final passage to Ordinance No. 1050, amending the Zoning Regulations to extend the current provision for six months regarding parking requirements in the Central - Commercial zone as recommended. 6. INDUSTRIAL DEVELOPMENT BONDS (File #416) Council held a public hearing to consider issuing Industrial Development Bonds in the amount of $6,000,000 for Gottschalk's (located in the San Luis Mall) (continued from 10 -15 -85 and 12- 9 -85). Bobbie Goddard, Finance Director, reviewed the agenda report at length and stated that staff recommendation was Council adoption of a resolution which would give public approval to the issuance of Industrial Development Bonds for the Gottschalk project and San Luis Mall not to exceed ' $6,000,000. Jorgen Nielsen, City's bond counsel from San Francisco, reviewed the particulars with bonds and how they had been used successfully in other cities with similar types of projects. He was also available for questions. Upon question by Councilman Settle, Mr. Nielsen stated that the IDB's would have no effect on the liability or credibility of the city. Mayor Dunin declared the public hearing open. Giselle Naylor, 1720 Johnson Avenue, questioned if the project exceeded the $6,000,000, who was to be held liable; and if there was any limit, she CITY COUNCIL MINUTES - TUESDAY, DECEMBER 17, 1985 - 7:00 P.M. PAGE 4 also questioned why a 2 /3rds vote by the people was not required to allow this. All questions were responded to by staff or bond counsel immediately following presentation by the speakers. Fran Ferman, 1700 Alisco Court, questioned why the City would support a project when the owner was an out -of -town developer such as Gottschalk's and what their real tax advantage would be. Ross Humphrey, owner of Riley's Department Store, read into the record a 1 letter he had submitted to the Council with various concerns regarding the proposed financing and urged against Council's approval. Tom Brown, 611 Pasitiempo, also questioned the economic benefits being derived and would others be given an equal opportunity should they apply for these funds. Don Smith, 1111 Vista del Lago, did feel that the City was getting a good deal as well as Gottschalk's, however, he felt that the taxpayers should have been better informed, and this should have been discussed at length up front. Joe Levy, Chairman of Gottschalk's, spoke to the financing aspects, stated this had been discussed with staff for the last couple of years and answered many of the questions raised by previous speakers with regard to exact dollar amounts for the financing. He stated that at this time they were still negotiating, however, the limit would not be in excess of $5.5 million with Wells Fargo. They were looking at a spread of between 8.5% and 11% conventionally, approximately a 2 1 /2% spread. At this time the bonds would probably be for 10 years, not 15. After 5 years-it may be that it would be offered back against prime. Gottschalk's were paying for costs of all attornies involved, including Wells Fargo and the City's, which had cost approximatley $150,000 to date. He stated also that the negotiations did not include inventory but did include fixtures. , Ron Bearce read into the record a letter he had received from Virginia Rogers of Brazil's Jewlers who asked that this item be postponed and that there be an opportunity for additional comment and review. Mr. Bearce asked several questions as to how the financing was arrived at, what benefit the City would derive, and how other buisnesses would be affected. Bob Carpenter, 751 Buchon Street, felt that the City was looking at this as an opportunity to finance improvements, rather than looking at how this would effect the community on an overall basis. Joe Hubner, 249 Patricia Court and a downtown businessman, stated he was not afraid of a competing business and would even encourage it. He was concerned about who was ultimately going to pay the costs for bringing in this type of business. Rick Racouillat, 511 Serrano Drive, was concerned that there be a policy in place with regard to the earmarking of these funds to go towards this type of project. It was his understanding that this is not made clear as part of the agreements. Paul Lanspery, Administrative Officer, then reviewed some of the financing particulars. Mayor Dunin declared the public hearing closed. 9:05 p.m. Mayor Dunin declared a recess. 9:20 p.m. City Council reconvened, all Councilmembers present. Councilman Griffin stated that to a certain extent, each of the three methods of financing would affect someone. He was, therefore, still inclined to support the resolution. He felt it was a form of innovative financing which was necessary to help the city maintain its fiscal responsibility. Councilman Settle agreed stating that as the city no longer had general revenue sharing funds available, it was important to provide self- sufficiency. He would encourage this as well as other forms of debt CITY COUNCIL MINUTES - TUESDAY, DECEMBER 17, 1985 - 7:00 P.M. PAGE 5 Councilwoman Dove y commented that had this method of financing been used as an inducement to bring Gottschalk's and if there was no other way that they would have been able to come in, she would have looked at this differently. As it is, there is no risk to the city and she felt it was a real plus for the city in gaining the $250,000. Councilwoman Rappa could support the resolution in order for the city to become more independent and felt this was a mechanism and an opportunity to help the whole community. She asked that the public remember that these are not the city's funds and that the city is only the facilitator for the Federal government. They would have these funds available anyway. Mayor Dunin felt that the city needed to continue to look at innovative financing. This is government working with private industry to help the entire community and he would, therefore, support the resolution as recommended. Moved by Settle /Griffin (5 -0), to adopt Resolution No. 5860 (1985 Series), approving issuance of industrial development bonds for the Gottschalk's project in the San Luis Mall not to exceed $6 million as recommended. 9:50 p.m. Mayor Dunin declared a recess. 9:55 p.m. City Council reconvened, all Councilmembers present. 7. APPEAL - 651 FOOTHILL BLVD. (File #407) Pam Voges, City Clerk, stated that there had been a request by the appellant to have this item continued to date certain January 7, 1986. Moved by Dovey /Rappa (5 -0), to continue to date certain January 7, 1986, the public hearing to consider an appeal by Jacob Feldman and Theodore & Roberta Foster of a decision by the Community Development Director to grant a negative declaration of environmental impact for a proposed 132 -unit air -space condominium complex at 651 Foothill Blvd. (Tract 1343). Mayor Dunin allowed the applicant Pat Smith to make some comments. Pat Smith asked that the Council consider this appeal this evening rather than continue it as he felt he had responded to the concerns of the appellants. He felt they had been minor in nature, and the project had been put off for a considerable amount of time as it was. He would urge that they not continue to postpone it. After brief discussion, Council requested review and recommendation regarding policy concerning continuance of appeals which would be brought back with Council Policy & Procedures Manual (5 -0). 8. ENERGY CONSERVATION (File #494) Council considered an ordinance revising solar water heating requirements to revise findings to grant exceptions for new condominium projects; City of San Luis Obispo, applicant. Toby Ross, Community Development Director, reviewed the agenda report with the recommendation that Council introduce the ordinance to print. Mayor Dunin declared the public hearing open. Rick Webster, representing Tract 1323, urged the Council to delete the requirement entirely as he felt the ordinance was not flexible enough to provide exceptions when they should be noted. The geographical area that San Luis Obispo is in already exceeds most all other areas in the State of California by over 400%. There was sufficient energy conservation regulation available making the ordinance unnecessary. Mayor Dunin declared the public hearing closed. After brief discussion, moved by introduce to print Ordinance No. heating requirements with amendm, and C as suggested by Councilman Councilwoman Dovey to accept the "compelling ". Dovey /Settle (4 -1, Dunin voting no) to 1052 (1985 Series), revising solar water ants to the exceptions, subsection A, B, Griffin, with friendly amendment by revised wording without the word CITY COUNCIL MINUTES - TUESDAY, DECEMBER 17, 1985 - 7:00 P.M. PAGE 6 9. NEIGHBORHOOD PERMIT PARKING (File #552) Council considered a request by the Rougeot Place neighborhood to provide residential permit parking on Rougeot Place. Dave Romero, Public Works Director, reviewed the agenda report with the recommendation that Council deny the request. Mayor Dunin asked for public comment. None was forthcoming. Dave Romero stated that after additional discussions since this item went on the agenda, the neighborhood did not seem to feel as strongly about this issue. Moved by Dovey /Dunin (5 -0), to deny their request as recommended by staff. 10. SETBACK LINES (File #532) Council considered a report recommending a consultant be hired to perform necessary traffic studies and prepare environmental impact report for Broad Street corridor setback lines (estimated to cost $25,000). Councilwoman Raopa stated that she would step down to avoid a possible conflict of interest. Dave Romero, Public Works Director, reviewed the agenda report with the recommendation that Council direct staff to hire a consultant to perform necessary traffic studies and prepare environmental impact report for Broad Street corridor. The final agreement would come back for Council approval. Councilman Settle questioned why the city should spent $25,000 to hire a consultant when it would appear that the consensus of the Council was to abolish the setback lines. Mayor Dunin asked for public comment. r Ron Young, 1426 Broad Street, also spoke against any possible expansion of Broad Street. Peg Pinar d, 714 Buchon, asked that this issue be scheduled for a public hearing and also felt a consultant would be a waste of taxpayers dollars and was not necessary. Don Smith, member of Old Town Association, stated he was opposed to the widening of Broad Street. Staff commented that because of the environmental process, even if the Council wished to abolish the Broad Street setback line because of possible impact to other neighboring streets, the environmental study would be required. Moved by Dovey /Griffin (3 -1 -1, Settle voting no, Rappa stepped down), to accept the status report, continue the action on additional study of Broad Street setback lines and when completed, initial environmental study to be referred to the Planning Commission with request to evaluate the land -use and circulation policy issues and to recommend whether the City Council should proceed with further study, or amend the General Plan and delete the setback line. 11. SOLICITORS /PEDDLERS (File #478) Due to the lateness of the hour, Mayor Dunin requested that this be continued to the next regular Council meeting on January 7, 1986. Council concurred (5 -0). C O M M U N I C A T I O N S C -1 BEVERAGE BOTTLE RECYCLING Council Subcommittee (Griffin / Dovey) appointed to draft letter to Legislature and a news release in support of S.B. 2020 (5 -0). CITY COUNCIL MINUTES - TUESDAY, DECEMBER 17, 1985 - 7:00 P.M. PAGE 7 C -2 DEEP POCKET LEGISLATION Staff directed to prepare resolution in support of placing initiative on ballot and urging legislative action regarding deep pocket legislation (5 -0). C -3 REGULATIONS ASSESSMENT COMMITTEE Councilman Settle requested that the Council Subcommittee (Griffin / Dunin) to the Regulations Assessment Committee to consider an evaluation form that might be used as an attachment to building applications taken out by individuals to provide better tracking and an opportunity to comment on regulations (5 -0). There being no further business to come before the City Council, Mayor Dunin adjourned the meeting at 11:40 p.m. to Monday, December 25, 1985, at 12:00 noon. Pame a Voges, City C rk APPROVED BY COUNCIL: 2 -4 -86 M I N U T E S ADJOURNED REGULAR MEETING OF THE CITY COUNCIL CITY OF SAN LUIS OBISPO MONDAY, DECEMBER 23, 1985 - 12:00 NOON COUNCIL HEARING ROOM, CITY HALL, 990 PALM STREET SAN LUIS OBISPO, CALIFORNIA ROLL CALL Councilmembers Present: Vice -Mayor GlennaDeane Dovey, Robert Griffin, Penny Rappa, Allen K. Settle (arrived at 12:10 p.m.) and Mayor Ron Dunin Absent: None City Staff Present: Pamela Voges, City Clerk; Roger Picquet, City Attorney; Toby Ross, Community Development Director; Steve Henderson, Assistant to the Administrative Officer I. INDUSTRIAL DEVELOPMENT BONDS - GOTTSCHALK'S (File *416) Council considered the option of a supplemental resolution authorizing the issuance of Industrial Development Bonds for the Gottschalk project in the San Luis Mall not to exceed $6,000,000 (continued from 10- 15 -85, 12 -9 -85 and 12- 17 -85). Roger Picquet, City Attorney, reviewed the agenda report stating that the United States National Bank in Portland Oregon was named the trustee which should be inserted into the resolution should the Council adopt it. He also stated that the writ of mandate was granted by the Court in the validation lawsuit. After brief discussion, moved by Griffin /Settle (5 -0), to adopt Resolution_ No. 5861 (1985 Series), approving supplemental resolution authorizing the issuance of IDB's for Gottschalk's as amended to add the trustee United States National Bank.