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Home My WebLink About04/27/19931 City Council Meeting Tuesday, April 27, 1993 - 7:00 P.M. Page 2 Officer; Mike McCluskey, Public Works Director, Arnold Jonas, Community Development Director, Bill Staffer, Finance Director, Jeff Hook, Associate Planner There were no public comments. PUBLIC COMMENT PERIOD CONSENT AGENDA Moved by Roalman/Settle to approve the Consent Calendar as recommended by the City Administrative Officer, motion carried (5 -0).. C-1 CONDOMINIUM WATER METERS (File No. 463) Council considered giving final passageto an ordinance amending the subdivision regulations relating to water service connections and tentative map time extensions (continued from 4/6/93 and 4/13/93). Moved by Roalman /Settle to give final passage to Ordinance No. 1231 amending Sections 16.16.180 and 16.36.250 of the subdivision regulations; motion carried (5-0). C-2 SUNSET OF CITIZEN'S ADVISORY COMMITTEE (File No. 123) Council considered terminating the Citizen's Advisory Committee (CAC) as a special purpose committee. Moved by Roalman /Settle to adopt Resolution No. 8159 terminating the CAC; motion carried (5-0). PUBLIC HEARINGS 1. TRANSIENT OCCUPANCY TAX INCREASE (File No. 296) Council held a public hearing to consider increasing the Transient Occupancy Tax (TOT) from 9% to 10% effective July 1, 1993. Bill Statler. Finance Director, reviewed transient occupancy rates in other cities and promotional budgets. Mayor Pinard declared the public hearing open. Tenn Westroae. 3050 Rockview Place, representing Sterling Hotels, stated that the City needed aggressive campaigns to promote San Luis Obispo as a tourist destination, expressed concern about transient occupancy funds going to the general fund and existing contracts, and previously booked reservations at the 9% rate up to one year in advance. Ruth Guyer. Atascadero, employed by the Madonna Inn, opposed the increase and stated it would decrease tourism. Lynn Block, Administrator of the Business Improvment Association, spoke in favor of a planned promotional program and an increase in funding. City Council Meeting Page 3 Tuesday, April 27, 1993 - 7:00 P.M. Jesse Norris. San Luis Obispo, stated that the tax increase would affect business in general, citing , various impacts to Cal Trans and existing contracts. Jonnie Evlar, of the Visitors Conference Bureau, presented a study from Purdue University regarding the impact of tax rates on occupancy and California's declining market share, and stated that tourism was under funded. Ken Jones. Carpenters Rexall Drug Store, asked Council to consider reducing the tax. Jack Gatz. Chair of the Promotional Coordinating Committee (PCC), stated that the PCC would discuss alternative advertising strategies and present the recommendations to Council. Suzanne Yost representing the Chamber of Commerce, spoke against increasing the tax at this time but said that if it was necessary, to use a larger portion to promote San Luis Obispo. Bob Davis, representing the Apple Farm, spoke in favor of increasing promotional funds and effectiveness of advertising. !M Rea , La Cuesta Motor Inn, explained the difficulties with the federal per diem rates, stating that the contracts ran to 1994. George Newland. Quality Suites, stated that local businesses would end up paying the increase because of the existing contracts. Ann Dinshaw, representing the Adobe Inn, spoke against taxing a healthy industry, and asked for investments to promote the industry. Mayor Pinard declared the public hearing closed. Council discussed ways to provide a balanced budget, concerns about exiting contracts with hotels, tourism promotion and funding, methods of advertising promotion and impacts on the tourism industry. Moved by Settle /Pinard to not raise the transient occupancy tax at this time; motion failed 2 -3 (Council Members Rappa and Romero and Vice -Mayor Roalman voting no). After discussion, moved by Roalman /Romero to introduce to print Ordinance No. 1232 amended to make the effective date 10/1/93; motion carried (3-2, Council Member Settle and Mayor Pinard voting no). Moved by RoalmaniHomero to direct the Promotional Coordinating Committee to work with staff to recommend funding increase of approximately $50,000 for promotional activities not targeted to any one account; motion carried (5-0). 2. TRANSPORTATION DEVELOPMENT FEES (File No. 532) Council held a public hearing to consider implementing transportation development impact fees calculated under the standards of AS 1600 with a recommended fee for a single family residence of ' $2,152 with fees for non - residential projects varying based on land use type and square footage (continued from 4/6/93). City Council Meeting Page 4 . Tuesday, April 27, 1993 - 7:00 P.M. ' Moved by Settle /Romero to continue this item without discussion until date certain Tuesday, June 1, 1993; motion carried (5-0). 3. RETROFIT CREDIT ON WATER IMPACT FEES (File No. 517) Council held a public hearing to consider implementing an 87% credit on water impact fees when retrofitting is required as a condition of a development (continued from 4/6/93). Bill Statler. Finance Director, reviewed the report. Council discussed impacts on water supply facilities, water treatment facilities, water conservation rates, ratios of the retrofit program and utilizing conservation and retrofitting as a source of water supply- Mayor Pinard declared the public hearing open. Steve Barasch, 2602 El Cerrito, spoke in favor of a 100% credit, stating that developers were charged twice for the same service. Mayor Pinard declared the public hearing closed. Moved by Ranoa /Romero to adopt Resolution No. 8160 implementing retrofit credit on water impact fees; motion carried (3-2, Vice -Mayor Roalman and Mayor Pinard voting no). ADD-ON #4. PARKING METER RATE INCREASE (File No. 551) Council held a public hearing to consider amending the Municipal Code to change all parking meters to 40 and 60 cents per hour effective July 1, 1994, and 50 and 70 cents per hour effective January 1, 1998. Moved by Settle/Roalman to continue this item without discussion to Tuesday, May 4, 1993; motion carried (5-0). ADD-ON #5. LATE FEE ON DEUNQUENT ACCOUNTS (File No. 202) Council held a public hearing to consider implementing a monthly late fee in the amount of $10 or 1.5%, whichever is greater, on all accounts that have not been paid within 30 days of due date and providing for setting penalties on delinquent business and transient occupancy taxes. Moved by Roalman /Settle to continue this item without discussion to Tuesday, May 4,1993; motion carried (5-0). BUSINESS ITEMS 4. CDBG APPUCATION STRATEGIES (File No. 427) ' Council considered application strategies for Community Development Block Grant (CDBG) funding through the U.S. Department of Housing and Urban Development. City Council Meeting Page 5 Tuesday, April 27, 1993 - 7:00 P.M. ,Jeff Hook. Associate Planner, briefly reviewed the application and the three application strategies. Council discussed pass - throughs from the County and administrative fees. Bob Hendrix. County Administrator, stated that pass - throughs and administrative costs would be detailed in the agreement prior to applications being made and stated that funding made available beyond baseline margins would be made available In a pool for entities to compete for. Council discussed equity of representation, risk of cities not following through with requirements, funding impacts to San Luis Obispo and other cities based on the alternatives. Georte Movlan. Director of the Housing Authority, recommended exploration of the urban county strategy with the County. Moved by Romero /Raeoa to direct staff to pursue the "urban county" strategy by jointly applying for the CDBG program (Alternate #2); and pursue additional financial incentives (Alternate #3); motion carried (5-0). 5. COUNCIL SECRETARY POSITION (File No. 101) Council considered an analysis of the City Clerk's Office organization and the Council Secretary position. Diane Gladwell, City Clerk, briefly reviewed the Hughes, Heiss and Associates' analysis of the City Clerk's office and the Council Secretary position. After discussion, moved by Settle /Romero to receive and file the Hughes, Heiss and Associates' analysis of the City Clerk's Office and retain the Council Secretary on a full -time basis; motion carried COMMA. Council Member Settle requested that staff examine urban reserve lines in the westerly Los Osos Valley Road area for consistency when the LUE is presented to Council; (general consent). COMM.2. Vice -Mayor Roalman requested a proclamation designating May as "Bicycle Month ". 10:10 PM Mayor Pinard declared a recess to closed session to discuss existing litigation concerning Los Osos Valley Associates vs. City of San Luis Obispo. 11:03 PM Council reconvened to open session and reported no action taken. 11:05 PM there being no further business to come before the City Council, Mayor Pinard adjourned the meeting. APPROVED BY COUNCIL: 6/15/93 �. D- ne R. Gla well, Clerk DRG:cm