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HomeMy WebLinkAboutAgenda Packet 1991/11/05 "', C!e::1lrll un "-er nena~ty 01 perjury that 1 am e,;~-,:'.';c:'.:!:_'; 1':'1:, '~. e i,' of Chl.l::-l Vista in the (,~.co:.:' :.": ".1: ',( ~-:,' t:1;:r! pos'::ed t~:fO /,"_-:m'_'~~JI".j L ,', I ,~v.. l!!et-in Goard at theF'W~'li\\~\:CG; L~;.i~: .' C'ty Hall DArED, \ ~ S:G:',"O Tuesday, November 5,1991 4:00 p.m. .. Council Chambers Public Services Building Resrular Meetim! of the City of Chula Vista City Council CALL TO ORDER 1. ROlL CALL: Councilmembers Grasser Horton ~ Malcolm ~ Moore ~ Rindone ~ and Mayor Nader _' 2. PLIillGE OF ALLEGIANCE TO THE FLAG. SILENT PRAYER 3. APPROVAL OF MINUTES: October 22,1991 4. SPECIAl. ORDERS OF THE DAY: a. Retiring Board and Commission Member Resolutions: Board of Appeals - Richard Reynolds Board of Ethics . Rodolfo David Civil Service Commission - Bill Berry International Friendship Commission - Mary Brining LibraI)' Board of Trustees . Suzanne Miller Planning Commission - Shirley Grasser Horton Safety Commission - Ernest Arnold and Eugene Militscher b. Oath of Office: Civil Service Commission - Mary Casillas Salas Montgomel)' Community Planning Committee - Phillip A. Scheuer Planning Commission - William C. Tuchscher II c. Presentation of Legislative Certificates of Recognition - Assemblywoman Tricia Hunter of the 76th District will present Legislative Certificates of Recognition to Mary Jane Diosdado and Rosemary Resnik of the Chula Vista Police Department for their efforts with Red Ribbon Week and crime prevention. d. Acknowledgement of receipt ofICMA Award for Excellence presented to City Manager John Goss CONSENT CALENDAR (Items 5 thru 16) The 81Ilff TeJ:011InIe1II1 regarding the following items 1isted under the Consent Calendar will be eruu:ted by the Council by one motion without discussion unless a Counci/member, a member of the publU; or City 81Ilff requests that the item be pu1Iedfor discussion. If you wish to speok 011 one of these items, please Jill out a 'Request to Speak Form' avaiklble in the lobby I11IIl submit it to the City Clerk prior to the meeting. (Complete the green form to speak in favor of the 81Ilff reconJI1Ie1UiJJ complete the pink form to speak in opposition to the 81Ilff recommendJJtion.) Items pulled from the Consent Calendar will be discussed after PublU; Hemin&< I11IIl Oral Communications. Items pu1Ied by the publU; will be the first items of business. November 5, 1991 -2- Agenda 5. WRITrEN COMMUNICATIONS: a. Requesting review of the Draft ShoreIine Preservation Strategy - Kenneth E. Sulzer, Executive Director, SANDAG, Suite 800, First Interstate Plaza, 401 B Street, San Diego, CA 92101. b. Letter of resignation from the Youth Commission - John Rodgers c. Letter inviting Council and/or designees on a tour of out-of-town Kaiser Permanente medical centers - Diane Strum, Director, Government & Community Affairs, Kaiser Permanente, 4647 Zion Avenue, San Diego, CA 92120. 6. ORDINANCE 2483 AMENDING SECTIONS 19.60.020 AND 19.08.030 OF TIlE MUNlCIPAL CODE RELATING TO ENFORCEMENT (first readinl!:l - Pursuant to Council direction, the Planning, Department, Building and Housing Department, and City Attorney's Office have initiated enforcement efforts to deal with the problem of illegal signs. As a result, it was discovered there was a need to clarify the ordinances. The change to Section 19.60.020 would allow enforcement power against those erecting an illegal sign and those who are plainly guilty of maintaining or permitting an illegal sign. The change to Section 19.08.030 would give the City the option of prosecuting offenses as either infractions or misdemeanors. Staff recommends Council place ordinance on first reading. (City Attorney) 7. ORDINANCE 2484 ADDING SECTION 8.24.045 TO TIlE MUNlCIPAL CODE RELATING TO TRASH (first readinR:l - The City is currently having a problem with people using City trash receptacles on a routine basis to unload their privately generated garbage. The addition of the proposed section would specifically address this situation. Staff recommends Council place the ordinance on first reading. (City Attorney) 8. RESOllrnON 16392 MAKING CERTAIN FINDINGS AND AU1HORIZING DISTRIBunON OF E.ASTI.AKE RESERVE FUND - In conjunction with approval of EastLake I in 1986, a Reserve Fund was established to be used in the event that EastLake I had a negative fiscal impact on the City. The Reserve Fund, held by the City, has been funded solely through annual contributions from EastLake Development Company and investment earnings. Certain conditions have been met, and the Reserve Fund is to be distributed 50% to EastLake and 5()<l1o retained by the City. Staff recommends approval of the resolution. (Director of Finance) 9. RESOLunON 16393 ACCEPTING FEDERAL UBRARY SERVICES AND CONSfRUCTION ACT (LSCA) FUNDS FOR TIlE PURCHASE OF MATERIALS TO SERVE SPANISH SPEAKING IMMIGRANTS, APPROPRIATING FUNDS AND AMENDING TIlE FISCAL YEAR 1991-92 BUDGET - The State of California has approved the Chula Vista Public Library's application for grant funds in the amount of $8,000; $4,000 each for the Civic Center Library and the Castle Park Library. Staff recommends approval of the resolution. (Library Director) 4/5th's vote required. November 5, 1991 -3- Agenda 10. RESOLUTION 16394 DIRECl1NG TI-IE FORMATION OF AN UNDERGROUND 1JTJUTYDISTRICf ALONG "F" STREET FROM 1HIR.D AVENUE TO SECOND AVENUE AND APPROVING A CHANGE ORDER TO TI-IE NORMAN PARK CENTER RENOVATION PROJECf FOR CONSTRUCTION OF A BUS TURNOUT/DROP-OFF ZONE - In December 1989, Council directed staff to proceed with a re-design for the renovation of Norman Park Center. The approved re-design plans also involved the construction of a bus turnout/drop-off zone along "F" Street in front of the Center. The construction of the turnout and any necessary undergrounding requirements has not been accomplished. However, staff is now bringing forward the issues. Staff recommends approval of the resolution and direct staff to come back with a CIP proposal for the construction of a bus turnout/drop-off zone and necessary street improvements. (Director of Parks and Recreation) 11. RESOLUTION 16395 APPROVING REQUEST TO WAIVE TI-IE NEW PARK ACQillSITION AND DEVELOPMENT (PAD) FEES FOR PROGRESS CONSTRUCTION COMPANY, INC. AT 1424 1HIR.D AVENUE - Progress Construction Co., Inc. believes they were not properly notified of an impending fee increase, and had they so been notified, would have paid the required PAD fees in advance of the increase date in June. Staff recommends approval of the resolution. (Director of Parks and Recreation) 12. RESOLUTION 16396 AUTHORIZING TEMPORARY CLOSURE OF 1HIR.D AVENUE ON DECEMBER 1, 1991 FOR TI-IE oruLA VISTA DOWNTOWN BUSINESS ASSOCIATION TO CONDUCf TI-IE ANNUAL STARIJGlIT YULE PARADE; AND WAIVER OF FEES TI-lEREFOR - The Chula Vista Downtown Business Association is requesting permission to conduct the annual Starlight Yule Parade on Third Avenue on December 1, 1991. Staff recommends approval of the resolution subject to staff conditions. (Director of Parks and Recreation) 13. RESOLUTION 16397 APPROPRIATING $1,000 TO DEFRAY TI-IE COST OF AN ARTS CONSULTANT - The Cultural Arts Commission is requesting funds for a professional consultant to assist them in establishing a cultural arts plan. Staff recommends approval of the resolution. (Director of Parks and Recreation) 4/5th's vote required. 14. RESOLUTION 16398 INTENTION TO VACATE A PORTION OF NORTH FIFTH AVENUE AND SETTING TI-IE DATE OF TI-IE PUBUC HEARING TI-lEREFOR - Dixieline Lumber Company, owner of the property at 40 North Fourth Avenue, has requested that a portion of North Fifth Avenue be vacated by the City. Dixieline claims that realignment of the street will reduce the impact on the developable area of its properties. By vacating the subject portion and dedicating new right-of-way, the properties in the area will be better served. In accordance with Section 8320 of the California Streets and Highways Code, the Council may initiate the vacation proceeding by adopting a resolution of intention and setting November 12, 1991 at 6:00 p.m. as the date and time for the associated public hearing. Staff November 5, 1991 -4- Agenda recommends approval of the resolution, direct staff to return with the appropriate resolution at the public hearing, and direct the City Clerk to set the public hearing. (Director of Public Works) 15. RESOLUl10N 16399 RELEASING BONITA WNG CANYON FROM 1HE REQUIREMENT TO IMPROVE 1HE INTERSECDON OF BONITA ROAD AND CENTRALAVENUE AS IDEN11PIlID ON 1HE INTERIM FINANCING AGREEMENT DATED ocrOBER 27, 1987 AND AUlHORIZlNG 1HE RELEASE OF A BOND GUARANIEE ON SAID IMPROVEMENTS - In 1987, Bonita Long Canyon Partnership entered into an Interim Financing Agreement with the City. The Agreement, which was the forerunner of the Chula Vista Development Impact Fee, required among other things, the improvement of the intersection of Bonita Road and Central Avenue. As a result of the changed traffic patterns and other material facts, the developer has requested to be released from that obligation. Staff recommends approval of the resolution. (Director of Public Works) 16. RESOLUl10N 16400 ACCEPTING CONfRACf WORK, PHASE NINETEEN 1HROUGH TWENTY- lWO STREET IMPROVEMENTS AT VARIOUS LOCATIONS IN 1HE CJ1Y AND APPROPRIATING FUNDS FROM 1HE UNAPPROPRIATED GAS TAX FUND BALANCE - On 2/19/91, Council by Resolution No. 16071, awarded a contract in the amount of $207,000 (including contingencies) for the Phase XIX through XXII street improvements at various locations to Caves Construction. The work is now completed. Staff recommends approval of the resolution and appropriating $44,000 from the unappropriated Gas Tax Fund balance to cover staff expenses incurred to construct the project. (Director of Public Works..} 4/5th'. vote required. * * * END OF CONSENT CALENDAR * * * PUBIJC HEARINGS AND RELATED RES0LUl10NS AND ORDINANCES The following items have been advertised illUl/m posted as public heming;J as rrquired by law. [fyou wish to speak to any item, please fill out the .Request to Speok Form' available in the lobby illUl guJ,mit it to the City Clerk prior to the meeting. (Complete the green form to speak in favor of the staff rrcommendoIion; complete the pink form to speak in opposiJion to the staff recommendJJtion) Comments are limited to five minutes per individual. 17. PUBIJC HEARING REVIEW AND POSSIBLE EXPANSION OF EXISTING TRUCK ROUTES WlTIIIN 1HE CJ1Y OF CHUI.A VISTA - There have been several changes to the City's circulation system since the existing truck routes were established in 1975 and amended in 1982. Revisions to Chula Vista Municipal Code Sections 10.64.010 and 10.64.040 are also needed. Staff recommends Council place ordinance on first reading and approve the resolution. (Director of Public Works) Continued from the meeting of 10/22/91. 4/5th'. vote required. A. ORDINANCE 2482 AMENDING SECDONS 10.64.010 AND 10.64.040 OF 1HE CHUI.A VISTA MIlNICIPAL CODE RELATING TO 1HROUGH TRUCK ROUTES (first readinlZ) B. RESOLUl10N 16401 APPROPRIATING $1,000 FROM 1HE GENERAl. FUND FOR TRUCK ROUTE SIGNS November 5,1991 .5. Agenda 18. PUBUC HEARING PCA.91-06: FOR TIiE PURPOSE OF CONSIDl!RING AN AMENDMENT TO TIiE MUNICIPAL CODE TO DELI!TE CERTAIN PROCEDURAL REQUIREMENTS FOR CHURCHES TIiAT SERVE AS TEMPORARY SHELTERS FOR THE HOMELESS - OTYINlTIATED - The Interfaith Shelter Network has requested that the City consider streamlining certain local procedural requirements which now apply to churches that wish to participate in the program. The proposed amendment would allow churches to provide shelter for the homeless for two weeks per year without the necessity to secure a zoning permit or to notice surrounding residents each year prior to providing the shelter services. Staff recommends Council place ordinance on first reading. (Director of Planning) AMENDING SECTION 19.58.110 OF THE MUNICIPAL CODE TO DELETE CERTAIN PROCEDURAL REQUIREMENTS FOR CHURCHES TIiAT PROVIDE TEMPORARY SHELTER POR THE HOMELESS (first readin..-) ORDINANCE 2485 19. PUBUC HEARING PCM-9Ul8: <JTY INlTIATED PROPOSAL TO AMEND THE GROwrn MANAGEMENT IMPLEMENTATION ORDINANCE (NUMBER 2448); THE GROwrnMANAGEMENT PROGRAM; AND THE TIiRESHOIDSTANDARD POUCY - These amendments would change the Traffic Threshold Standard from the Intersection Capacity Utilization method to the 1985 Highway Capacity Manual method; and change the focus of the Economic Threshold Standard to fIScal matters, including an annual review of the development impact fee programs. Staff recommends that Council: 1) find that the proposed amendments are categorically exempt from environmental review under Class 5 of CEQA Guidelines; 2) place the ordinance on first reading; and 3) approve the resolutions. (Director of Planning) A. ORDINANCE 2486 AMENDING SECTION 19.09.040 OP THE MUNICIPAL CODE BY <BANGING THE TRAFFIC TIiRESHOID STANDARDS TO THE 1985 HIGHWAY CAPAOTY MANUAL (HeM) METHOD AND DELETING ECONOMICS POR THE ECONOMICS TIiRESHOID STANDARD (first readinR:) B. RESOLUTION 16402 AMENDING SECTIONS 3.12 AND 3.2 OP THE CITY'S GROwrn MANAGEMENT PROGRAM C. RESOLUTION 16403 AMENDING THE TRAFFIC TIiRESHOID STANDARDAND THE ECONOMIC TIiRESHOID STANDARD OP THE CITY'S TIiRESHOID STANDARDS POUCY 20. PUBUC HEARING POR THE PURPOSE OP DEUBERATING AND DISCUSSING THE SCHEDULED INCREASE IN BUSINESS UCENSE TAXES TO BE EFFECTIVE JANUARY 1,1992. In October 1990, Council approved a business license tax rate increase to be phased in over a three year period and also provided for annual public hearings. This public hearing is for the purpose of discussing and reviewing the second year scheduled increase. Staff recommends that Council conduct the public hearing and provide for implementation of second year business license tax rate increase. (Director of Finance) November 5,1991 -6- Agenda 21. PUBUC HEARING FOR THE PURPOSE OF CONSIDERING ABATEMENT OF THE TRANSIENT OCCUPANCY TAX- In October 1990, Council adopted Ordinance No. 2407 increasing the Transient Occupancy Tax (TOT) to a maximum rate of 10% and providing for annual abatement hearings at which time the tax could be lowered. Staff recommends approval of the resolution. (Director of Finance) RESOLUTION 16404 APPROVING ABATEMENT OF THE TRANSIENT OCCUPANCY TAX PROM A RATE OF TEN PERCENT TO EIGHT PERCENT FOR CALENDAR. YEAR 1992 ORAL COMMUNICATIONS This is an opportunity for the general publk to addrus the City Coundl Oft any subject numer within the Coundl's jurisdiction thot is 1IOt an item 011 this agenda. (Stole low, however, fPIl'TaIly prohibits the City Coundl from taking action Oft any issues 1IOt i1u:luJU1d Oft the posted agenda.) lfyou wish to addrus the Coundl Oft such a subject, p/eJJse complete the yellow "Requut to Speak Under Oral Communications Form" available in the lobby and submit it to the City Clerk prior to the meeting. Those wlw wish to speak, p1ease give your 1IIl1tU! and address for record purposes and follow up action. Your time is limited to three minutes per speoker. ACTION ITEMS The items listed in this sectimz of the agenda QTf! "l"""''''' to eIidt substantUll dist:ussions and deliberations by the Council, staff, or members of the general publk.. The items will be considered individuDlIy by the Coundl and sIIlJT recommendations may in certain cases be presented in the aIJenuJtive.. Those wlw wish to speak, p/eJJse Jill out a "Requut to Speak" form available in the lobby and submit it to the City Clerk prior to the muting. Publk comments QTf! limited to five minutes. 22. REPORT POUCE INITIATED VEHICLE TOWS; REVIEW OF APPROPRIATE NUMBER OF TOW COMPANIES TO RETAIN UNDER CONTRACT AT CONCLUSION OF EXISTING TIiREE YEAR AGREEMENTS - The latest tow agreements were executed in October 1989. On 9/18/90, Council approved two staff recommendations: 1) that no additional tow companies be added to the list at that time; and 2) that the issue be reviewed again prior to expiration of the current operating agreements. This item is intended to provide Council with that review. Staff recommends that upon expiration of the current operating agreements, Council continue to retain five (5) tow companies. (Chief of Police) BOARD AND COMMISSION RECOMMENDATIONS This is the time the City Coundl will consider items which have been forwardeli to them for consideration by one of the City's Boards, Commissions and/or Committees. None submitted. ITEMS PULLED PROM THE CONSENT CALENDAR. This is the time the City Coundl will discuss items which have been remove4 from the Consent Calendar. Agenda items pul1ed at the request of the publk will be considered prior to those pul1ed by CouIu:ilmembers Publk comments QTf! limited to five minutes per individual November 5,1991 -7- Agenda OTIiER BUSINESS 23. CI1Y MANAGER.'S REPORTrSl a. Scheduling of meetings. 24. MAYOR'S REPORTrS}: a. City participation in the SANDAG Conflict Resolution Procedure b. Ratification of appointments and reappointments to Boards/Commissions/Committees c. Authorization for trip to Ciudad Victoria to attend the Bridges and Border Crossings Conference, November 13-14 25. COUNCIL COMMENTS Councilman Malcolm: City Fees - Developmental Councilman Rindone: Impact and potential effects of MTDB "Little Italy/Harborview" extension of the LRT. ADJOURNMENf The City Council will meet in a closed session immediately following the Council meeting to discuss: Potential acquisition of Bayfront property (103 acres), Chula Vista Investors - pursuant to Government Code Section 54956.8 Pending litigation pursuant to Government Code Section 54956.9 - Gomez vs. City of Chula Vista, et al. Instructions to negotiators regarding personnel pursuant to Government Code Section 54957.6. The meeting will adjourn to (a closed session and thence to) the Regular City Council Meeting on Tuesday, November 12, 1991 at 6:00 p.m. in the City Council Chambers. November 1, 1991 TO: FROM: SUBJECT: The Honorable Mayor and City Council George Krempl, Deputy City Manager 41\0 City Council Meeting of November 5, 1991 This will transmit the agenda and related materials for the regular City Council meeting scheduled for Tuesday, November 5, 1991. Comments regarding Written Communications are as follows: 5a. This is a letter from SANDAG offering to make a presentation on the Draft Shoreline Preservation Strategy at a future City Council meeting. In light of the lack of impact this has on the City of Chula Vista, IT IS RECOMMENDED THAT THIS INVITATION TO SCHEDULE A PRESENTATION BY SANDAG BE DECLINED. 5b. IT IS RECOMMENDED THAT THIS RESIGNATION OF JOHN RODGERS FROM THE YOUTH COMMISSION BE ACCEPTED WITH REGRET. 5c. This is a letter from Kaiser Permanente offering a tour of their medical center facilities in Riverside and Baldwin Park. IT IS RECOMMENDED THAT THIS LETTER BE ACKNOWLEDGED AND THAT THE MAYOR/COUNCIL SECRETARY CONTACT THE COUNCIL TO DETERMINE THEIR INTEREST IN SUCH A TOUR AND RESPOND TO KAISER ON THEIR BEHALF. GK:mab/51 COUNCIL AGENDA STATEMENT Item Meeting 411 Date 10/25/90 ITEM TITLE Report Regarding Business License Tax, presenting six ordinance options which would allow tax increases with and without annual abatement hearings. Ordinance 2408 A AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING TITLE 5 AND SECTION 8.20.020 OF THE CHULA VISTA MUNICIPAL CODE REGARDING BUSINESS LICENSE TAX RATES. Ordinance 2408 B AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING TITLE 5 AND SECTION 8.20.020 OF THE CHULA VISTA MUNICIPAL CODE REGARDING BUSINESS LICENSE TAX RATES. Ordinance 2408 C AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING TITLE 5 AND SECTION 8.20.020 OF THE CHULA VISTA MUNICIPAL CODE REGARDING BUSINESS LICENSE TAX RATES. Ordinance 2408 D AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING TITLE 5 AND SECTION 8.20.020 OF THE CHULA VISTA MUNICIPAL CODE REGARDING BUSINESS LICENSE TAX RATES. Ordinance 2408 E AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING TITLE 5 AND SECTION 8.20.020 OF THE CHULA VISTA MUNICIPAL CODE REGARDING BUSINESS LICENSE TAX RATES. AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING TITLE 5 AND SECTION 8.20.020 OF THE CHULA VISTA MUNICIPAL CODE REGARDING BUSINESS LICENSE TAX RATES. SUBMITTED BY: Director of Finance ~;t REVIEWED BY: city Ma?age~ (4/5ths Vote: Yes___No~) Ordinance 2408 F I Item 4- II Page 2 Meeting Date 10/25/90 At its meeting of October 16, 1990, Council placed all of the above Ordinances representing an array of options, on first reading with the intention of deferring public discussion of the proposed business license tax increase until October 25, 1990, at which time council would decide whether to place one of the Ordinances on second reading. Attached for council information is the staff report from the October 16 meeting (Attachment NO.1). The staff recommendation in that report is referred to as Ordinance 2408 A in this report, and the Chamber of Commerce's Executive Board has previously endorsed its major provisions. RECOMMENDATION: That Council place Ordinance 2408 A, providing for a two year phase in, on second reading. NOTE: This item is directly linked to Resolution 15898 in Item B, which provides several corresponding (principally administrative) changes in the city's Master Fee Schedule. Item B also addresses the Downtown Improvement District assessments. As such, this item should be considered in concert with the Resolution modifying the Master Fee Schedule. BOARDS/COMMISSION RECOMMENDATION: Not Applicable. DISCUSSION: On October 10, staff mailed letters to 6500 Chula vista business license holders. This letter described the proposed business license tax rate increases in Option A of Ordinance 2408, informed them that the issue would be discussed at the October 16 Council meeting, and provided a City phone number for licensees to call with any questions. As of 10:00 a.m. on October 19, only 36 calls were received by City staff, including the Mayor and Council office. sixteen of the callers were requesting information only and had no problems with the proposed increases. Five callers had complaints regarding services provided by the Downtown Improvement District, or the District assessment. Four callers had no problems with the current rates or proposed increases but requested some changes in the current business license tax structure: 2 electrologists requested they be classified as general business as cosmetologists are, and; 2 out-of-City-based companies making deliveries in Chula Vista believed a wheel tax would be easier to compute than an employee- based tax. These specific issues will be reviewed and appropriate recommendations made to the Council at a future date. 2. Item "A Page 3 Meeting Date 10/25/90 Only 11 of the 36 callers had complaints regarding the proposed business license tax increases: 4 licensees believed the rate increases were too large, and would accept smaller increases. 4 licensees believed there should be no tax increase at this time. 3 licensees would prefer a tax based on gross receipts, believing it to be more equitable. Chart 1 provides a summary matrix of the options. The following is a more detailed summary of the Ordinance Options: Ordinance No. 2408 A - provides for a 2 vear Dhase in of the increase, 50% of which increase will occur in 1991, 100% of which increase will occur in 1992. It provides for a ~ annual growth in rates in 1993 and thereafter. There is no provision for an annual abatement hearing. Ordinance No. 2408 B - provides for a 2 vear Dhase in of the increase, 50% of which increase will occur in 1991, 100% of which increase will occur in 1992. It provides for a 2l annual growth in rates in 1993 and thereafter. Annual abatement hearing procedures are provided, commencing for the 1992 rates, at which time Council may set lower tax rates, with the 1991 rates being a floor. Ordinance No. 2408 C - provides for a 2 vear Dhase in of the increase, 50% of which increase will occur in 1991, 100% of which increase will occur in 1992. It provides for a 2l annual growth in rates in 1993 and thereafter. Annual abatement hearing procedures are provided commencing for the 1993 rates, so that Council may choose to set a lower rate; however, Council's abatement authority is limited to the CPI floor for that calendar year. Ordinance No. 2408 D - provides for a 3 vear Dhase in of the increase, 50% of which increase will occur in 1991, 75% of which increase will occur in 1992, and 100% of which increase will occur in 1993. It provides for a ~ annual growth in rates in 1994 and thereafter. There is no provision for an annual abatement hearing. Ordinance No. 2408 E - provides for a 3 vear Dhase in of the increase, 50% of which increase will occur in 1991, 75% of which increase will occur in 1992, and 100% of which increase will occur in 1993. It provides for a 2l annual growth in rates in 1994 and thereafter. Annual abatement hearing procedures are provided, commencing for the 1992 rates at which time Council may set lower tax rates, with the 1991 rates being a floor. o Item~page 4 Meeting Date 10/25/90 Ordinance No. 2408 F - provides for a 3 vear phase in of the increase, 50% of which increase will occur in 1992, 75% of which increase will occur in 1992, and 100% of which increase will occur in 1993. It provides for a 21 annual growth in rates in 1994 and thereafter. Annual abatement hearing proceedings are provided, commencing for the 1994 rates, so that Council may choose to set lower rates; however, Council's abatement authority is limited to the CPI floor for that calendar year. There are also two terms that are common to all of the above options: 1. To assist new, smaller businesses, businesses with 5 or fewer employees will be charged a lower, flat rate during their first year, and 2. To facilitate the phase-in of the new rates on larger businesses wi thin the City, staff is proposing that the maximum, annual tax paid for any single business license not exceed $7,000 in 1991; $12,000 in 1992; $16,000 in 1993 and $20,000 in 1994. The maximum amount would be increased 5% per year, starting in 1995. Following is staff's previous reports regarding the proposed business license tax increases including Tables 1 and 2 indicating the actual business license tax rates for a two or three year phase-in. FISCAL IMPACT: If Council accepts staff recommendation for a two-year phase-in schedule, then $290,000 in additional business license revenues are projected for calendar year 1991, and $721,000 in additional business license revenues are projected for calendar year 1992. If a three-year phase-in schedule is preferred by council, then there will be $290,000 in additional business license revenues in 1991, $505,000 in 1992, and $721,000 in 1993. If ~ ~ .. ~ .. w u z .. !!; co l!l ~ :c z .. w ...... ... -' .. I- 0:: ..: ~ :r u .... w .. z w ~ -' .. .. w z in iil ... I z 0 i w -' z .. w z .. z ~ .. w .. ~ I ;;; w -' " .." ... .. .. .. .. .. )( ~ .. .. I .. w l 0 w .. .... .. z .. w .. z -' in} :! iil w I u " w 3'" .. .. .. .. .. .. .. ... w .. .. Z v .. .. ~ w ~ .. 0: v ... u Ii .. .. .. .. .. 0 Z ... "5 .. ~ ~ Z ... ~ j Z W .. Z -' .. .. w 0 >( .... ~ ... .. ... .. -' ~ I !i .. .. Z Z Z .. ~ . .. ~ ~ Q. w :; .. .. U .. .. .. .. .. .. !il w w 0: .. ... U U !!; !!; , L W W ... .. ~ .. ~ .. .. Z ~ .. ... ~ L .. .. -' !i .. 8- w ~ z ... " .. Z ~ .. .. .. on 8 " I L )( ;;; .. )( )( .. ~ .. ... !!; .. I , L W :: )( )( )( ~ .. ... N . ~ C ~ i ~ ~ .. Z ~ ~ ~ ~ 8 8 ... .... .... ... ... ... 2s 2s 2s 2s 2s 2s >( L ~ !' ~ :ii s: ~ L ! u $ l. ~ ( ( COUNCIL AGENDA STATEMENT Item II A Meeting Date: 10-16-90 do. t.fo9 ITEM TITLE: Ordinance: Amending Title 5 and Section 8.20.020 of the Municipal Code Regarding Business License Tax Rates. SUBMITTED BY: Director of Finance REVIEWED BY: City Manager (4/5ths Vote: Yes__ No-X ) On June 6, 1990 staff submitted a report to Council (attached) on the City's Business License Tax. That report indicated that the primary business license tax rates currently in effect had been modified only once (in 1978) since 1954. The report recommended changes to bring the City's tax rates more in line with those presently charged by other cities in San Diego County, including a recommendation to change the current tax structure, which is primarily based on a business' number of employees, to a tax structure based on a business' gross receipts. Since June, City staff have received input from various groups concerning the report's recommendations. Based on the feedback received from the business community, staff have revised their recommendations concerning the business license tax, and are presently recommending that the existing per-employee tax structure be retained and that the proposed rate increases be phased in over a two year period. RECOMMENDATION: That Council place the ordinance on its first reading. NOTE: This item is directly linked to the fOllowing resolution which provides for several corresponding (principally administrative) changes in the City's Master Fee Schedule. As such, this item should be adOPted in concert with the resolution modifvinq the Master Fee Schedule. BOARDS/COMMISSIONS RECOMMENDATION: Not Applicable 7 DISCUSSION: As highlighted in the City's Manager's 1990-91 bUd~et presentation, Chula Vista has had to rely on a serles of one-time "windfalls" to help balance its operating budget over the past several years. In order to reduce the City's reliance on such problematic, one-time occurrences, the City Manager suggested that steps to taken to look at ways of enhancing-CitY-rev.eiiaes as-~welFas-fleighteHing efforts to control costs. - - - - _ _ ( As detailed by the City Manager, Chula Vista had the second lowest per-capita staffing ratio among seven comparison cities in San Diego County (population over 50,000). While operating at a relatively efficient level, staff are always looking at new ways to enhance performance. Over the past several years these have included (1) developing new scheduling and operational procedures in the Public Works Operations Division to improve the productivity of the City's concrete repair crews; (2) redesigning Library operations to increase staff's productivity in processing books and (3) automating a vast array of City functions, including implementing a computer aided dispatch system (Police and Fire) and a computer aided design system (Engineering) to enhance day-to-day operations. Staff have also been actively pursuing ways to enhance City . revenue, including (1) the development of an auto-park; (2) expanding reimbursements from the Port of San Diego to more fully cover the costs of city services; and (3) reviewing City fees and tax rates including the need for any new fees to ensure that new development fully pays for impacts on City services. One area under review since January, 1990 was the City's business license tax. The report issued by the City's Policy Analysis and Program Evaluation (PAPE) Unit in June, 1990 showed that: c In FY1988 Chula Vista's business license revenue represented only 1.29% of the City's general revenues, compared to a statewide average of 5.8%. This was the 10th lowest rate among 78 charter cities in California. By FY 1989, Chula Vista's business license revenues declined even further, representing only 0.9% of the City's general revenue base. Only 11% of all California cities received less than 1% of their genera~ revenues from the business license tax. On a per-capita basis, Chula Vista generated the second lowest business license revenue among 18 comparison cities in California (populations of 100,000-150,000) and was also second lowest among comparison cities in San Diego County (population over 50,000). By holding sales tax revenues constant, the PAPE analysis showed that the major factor producing the low level of ~ / I f [ business license revenue was the City's relatively low business license tax rates themselves. ( The original staff report presented to Council in June, 1990 recommended that the City's tax rates be brought into line with rates charged by other cities in San Diego County. staff also recommended at that time that the tax structure be modified from the current tax based on number of employees to a tax rate based on gross receipts. A gross receipts tax is the prevailing tax method employed by the comparison cities within the County and within the State. The original proposed changes in the business license tax were published in local newspapers, including the Chamber of Commerces' newsletter. Since June, staff have made presentations to and received input from various business groups within the City. Based on the feedback received from the business community, the proposed change in the business license tax has been revised in several important areas: 1. The current rate structure, which is primarily based on the number of employees, will be retained. The only exception will be the recently enacted business license tax rate charged for offsite, multiuser hazardous waste facilities within the City which is based on a facility's gross receipts. This specific tax structure is in accordance with the tax structure permitted under the state of California's Health and Safety Code. 2. The increase in the business license rates for general business, manufacturers and professionals will be phased-in over a 2-year period: 3. Commencing in 1993, the-business license rates will be adjusted annually to help keep pace with inflation: and 4. To assist new, smaller businesses, businesses with 5 or fewer employees will be charged a lower, flat rate during their first year. The proposed 1991 and 1992 rates for the principal business classifications are shown below: . 1991 L General Business ManUfacturer PrOfessional $ 52.50 + $6.50 per employee $ 52.50 + $3.25 per employee $105.00 per professional New business (5 or fewer employees) $ 25.00 Cf ~ ( qenera1 Business Manufacturer ----. ProfesSional' $105.00 + $13.00 per employee --..~-$105..GO,+ $ 6.50 per employee $210.00 per professional New business (5 or fewer employees) $ 50.00 Rates for other "special" businesses currently not covered under one of the above categories are also being adjusted. The current and proposed rates for all businesses are shown in Table 1 on the following pages. The major changes to the City's business license tax rates have been detailed above or in Table 1. other, minor "clean-up" language is detailed in the proposed ordinance. It is important to note that the proposed changes in the business license tax will NOT affect the assessments paid by businesses within the Downtown Improvement District (DID). DID assessments will remain at their current level. The revised recommendations concerning changes to the business license tax have been endorsed by the Chamber of Commerce Executive Board. All businesses currently having a business license have been noticed of the proposed ordinance change. To "index" the tax rates to help keep pace with inflation, staff is recommending that commencing in January, 1993, the rates be annually adjusted by 5%. While the Chamber of Commerce Executive Board has endorsed the general concept of indexing, they have not taken a position on this specific proposal. Additionally, to facilitate the phase-in of the new rates on larger businesses within the City, staff is proposing that the maximum, annual tax paid for any single business license not exceed $7,000 in 1991: $12,000 in 1992: $16,000 in 1993 and $?O,OOO in 1994. Commencing in 1995, the maximum annual tax,would also be increased by ,5% each year. ( The amended sections of compiled version of the City Clerk's Office for the ordinance are attached. A' entire ordinance is available at the review. ( ~ I /D (, FISCAL IMPACT: Based on the proposed phase-in schedule, $290,000 in additional business license revenues are projected for calendar year 1991. For calendar year 1992, additional business license revenues are projected at $721,000. To put these increases in perspective, it is important to note that: since 1954, the cpr for the San Diego Region has increased by 386%, compared to only a 46% increase in the average tax collected; and since 1978-89 the City's expenditures for police services have risen by 314%, with only a corresponding 86% increase in business license revenues. c:\marty\blt-al13 ( l \ II \ fI ~ ~ Q} :ffi o ~ '" & ~ u '2 ~ ~ ~ U L . ~ M ~ ~ ~ K . ~ ~ M C ~ ~ ~ M M ~ C M , .. ..: ~ :;; ~ ~ Ii Ii ~ w 5 'B M '" u '" ~ M M ! M , .. - . ~ ~ I ~ . .. '" & ~ . .. ~ ~ w ~ ~ w C ~ L L , U f~ .. ::> w ~"2: ~ L C ~ c: ~ ~ - J U M ~ <> M ~ ~ L >< M . ... ~ E " ~ .... ~ u i' CD l(' ~ .. .. ~ ~ c: .. ~ "S . ~ u (,> .. K 8. ::> ~ '" .. - c ~ .. C Q. C> ;! Cl ~ C> C> L .; . ~ l: .. g~ ~ ~ ~ '" .. .. .. M c: .. ~ M M ~ c: M , .. L ~ ~ .. .. M ~ ~ '" 2 ....i~ g K M J ;: ~ C> ~.c >< W M U. "; :: - o a " M ~ .. ~.~ ~ ~.B ~ . ~ ifz '" ~ ~ ~ ~ - o 0.22 _ 0 W .. '" .. ~ i S !:1 ~ ... .. - ~ :2 8: II ~ c _ .Z _ :c .. 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O~ :g .. o . l! . Q ti o '" o '" ~ ~ x . ~ . i o~ 8: . . ~ ~ . ~ ~z o <> ... N " .. . x .. ~ . :0 .. u ~ ~ 'E .~ 8. 8. ~ !i :::, '" ;; ~ ~ ~ .~ .~ 8. 8. ~ . ... ~~ " ~ ;; ~ O~ ~ .., 00 ] i .. .. ~ ~:g ~ ~ l'i o 0- N .,; N ~ o '" o N "! '" ~ 'E ; 8. " 8. ~ . ... ~{'l . .... ~ .. " .. ~ . 00 _ .. ~ . " f: 5 i " a. '; ::: ~ ~ ! .g ~ '; ~ :-8Q ::::::. ~ ;; ~ . Gi : ;; ~ .. . ~ . 00_ o ~ .. ~ u q a. '; : 1 i ..-~ ~ ..- :.g~ . ;; ,,'" (II . " .. . ~ ~ a ~ .. ~ .. " ~ ~ ~] ~ Q. . :: 1 ~ . ~ ~ .. :.g~ !l Oe ~ .. g- Oo " " .. ;; .. . ... . ~ .. .. .; u -. i <> '" o '" <> '" " ~ ~ " .. il- , o ~ .. ~ a ... {'l ~ 8. <> ;; ~ . ~ ~ .. il- , '" N .. ~ a ... {'l " 8. ) '" .. ~ . ~ ! o '" N ;; l5 ] 0;: ~ o Q . j .. ~ a - ~ . z ) - - u wo Y04e se7 znJ Table 1. Business License Tax Rates For CT 1991 and CT 1992. Type of Business PART C. SPECIAL CATEGORIES (Continued) HOTEL (See Rental Busines) C12. Jewelry Sold At Public Auction C13. Loudspeaker or' Other Public Address System C14. Massage Parlor MOBILE NOME PARK (See Trailer Park) MOTEL (See Rental Business) C15. Pawnbrokers Junk, Secondhand Dealer C16. Peddler - Owning Taxable Property in City C17. Peddler -Not Owning Taxable Property in City C18. Pool 8 Billiard Hall C19. Pool 8 Billiard Tables (in businesses other than Pool /Billiard Hall) C20. Promotional Event (Sponsored by Non - Profit or Charitable Org; Not more than 3 consecutive days) Current Rate 5100 /sale S5 /day /per vehicle 225 . S3 /eoployee 5200 /year /location 5100 /year /location 310 /year /person 550 /year /person 320 /year /applicant 312 /year /table • various charges per machine Municipal Code 1991 Rate 1992 Rate Section 5100 /sale S10 /day /per vehicle 5250 /year /location 3200 /year /t ration 5200 /year /location S25 /year /person 375 /Year /person 3150 /year /applicant 325 /year /table;machinc 512 /year /table 330 1year /table 35/event 35 /event 5100 /sale 5.48.060 S10 /day /per vehicle 5.08.070 5250 /year /location 5.36.081 5200 /year /location 5.38.010 5200 /year /location 325 /year /person 5.40.010 375 /year /person 5.40.020 5200 /year /applicant • 5.18.020 325 /year /table;machine 330 /year /table 5.61.010 35/event 5.04.075 q ~ ~ 1 o \2 " :0 " ~ . .!.' u '5 ~ M % U u:l ~ .. u 'E G ~ .. u , L ::. o " ~ . '" K ~ " o C " u ~ o o " C o , '" o o .~ o , '" ,.: ~ o ~ ~ c o ~ , '" '" 8: ~ " '" ~ " ~ . '" ~ L L , U i , C ~ U .. ~ 8 ~ ~ .. u ~ .. u ~ 0. .. c o o L 8- o " 'i .. 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" N . ~ .r> . .... 8 . . ~ 8 . . ~ 8 . . ~ ~ . . ~ .3 . i! ! . ~ o ! ] S ~ M - i 3 u . u !: u ~ . ~ o <; :; .. o <; ci .. Ii ! i. ~ :: . N ~;"" i 8 ='5'- ~ t "5 ... I ~ I~- Ii ~ " i. a . N s;.., ~ I : '5 .. 5."5 "i~ j~* . ~;", Ii . ~ " i. , Ie - : i .- ~ 5 ~ '5 t l ~ 2 lil I;; + o II;; Ii ! I - .~ .= i j 5 . ~ .., 1'5 ~. . ;:, 0_ ~ . ] l! .; ;: i Ii . ~ = ;: M ~ ~ - : . .; i i . i! ! . ;: ii . ~ N N U o <; l:i .. j ! !iI j I !iI j I lC - ! 10 e i , ~ !I:::: ... . . . .. > '5 C;;CC? ! Ie - i" 1li ~ iu -.; ;: . H M _ IC U j l ~ j ! 5 j l ~ !iI > -8 i . . ;: > E . U ~ ; U lil o .. ~ .. . .. ~ ! !iI . o ~ ;; . .. ! i , Ie M . o :0 - . .. j , ! Ie M . . :0 - . .. j , i , !iI + ~ N ;; ~ . .. ~ .. N U l'i .; ~ .. ~ 'E "i !I i ~ ;; ~ 'E "i !I . I ~ ;; ~ 'E "i !I . l ~ ;; ~ 'E "i . ~ - . l , . "l ;; . ~ . . . ~ ~ ~ ~ N U o <; ~ ~ ! I I ::I ! I i ie - ! ! i. , ~ ;; 2'qj 1 ~ ;; j j .; ~ I! i. i I!i! Jj .e u ! ! ! ! 1~:C:fi! ....!!!~ .. .. .. .. .... "...N ~~~~- ................ ::t ~ ~:i f CII QI (II ; ~ ~ ~ ~ Ii. ! 1 . j II ! ! i ~ ::I ! 1 ! ! ! !l . . . j . - ! :c ~ . i i ! :c ! ! . ~ M 111 ~~b ... Ci~~ ;;..;; .... .. L I~ nh o <; !;i .. . .. ! i ~ . u j " i. i M . u ! i i M . u i ! 8 II l . u i > r 1 ,.: N U lil . .; N .; ~ , N " .. ~ ~ i. 8 II . u ! . ! 8 N - . u j " i. i - . u ~ ! 8 II l ! . u ~ r ~ > .; N U ~ REPORT ON CHULA VISTA'S BUSINESS LICENSE TAX June 11, 1990 Management Services Department Policy Analysis & Program Evaluation Unit Prepared by: Marty Chase Cheryl Fruchter I SUPPLEMENTAL BUDGET REPORT # 10 June -5, 1990 TO: The Honorable Mayor and City Council VIA: John D. Goss, City Managet9' ~ FROM: Deputy City Manager Thomson JI Director of Finance rI!p RE: Report on the City's Business License Tax The attached report provides a detailed review of the City's business license taxes and revenues. The report recommends changing the basis by which business license rates are calculated and increasing the City's business license taxes to levels comparable to those charged by other cities within San Diego County. Additionally, as previously suggested by the Downtown Business Association, the report recommends adoption of a new fee schedule to increase assessments within the Downtown Improvement District. RECOMMENDATION: It is recommended that Council direct staff to seek comments on the report recommenda- tions from the Chamber of Commerce and other interested groups and report back to Council no later than August 28, 1990. BOARDS/COMMISSIONS RECOMMENDATION: Not Applicable DISCUSSION: The report on the City'S business license tax was prepared by Management Services' Policy Analysis and Program Evaluation Unit (PAPE). The PAPE study shows that the City's business license rates are significantly lower than rates charged by similar sized cities in California (100,000-150,000 population) and by other cities in San Diego County (over 50,000 population). The report documents the substantial degree to which the City's business license rates have lagged behind increases in the Consumer Price Index and the declining support provided by business license, revenues for general City services, particularly public safety services. Among the report's major recommendations are (1) the adoption of a rate structure based on gross business receipts, which staff believe is a more equitable basis for setting rates and (2) increasing the City's business license rates to levels comparable to other cities in San Diego County. J 2 Any change in the City's business license rate structure would become effective January 1, 1991, the City's annual renewal data for business licenses. The City Attorney has concluded that the business license tax may be increased by ordinance enacted by the City Council, in so far as the proceeds go into the General Fund and are made available for any City use. To achieve the January 1, 1991 implementation date, a minimum 3 month lead time is required to permit staff to develop new ordinances and/or amend existing ordinances, revise business license forms and modify the City's a.utomated financial systems and reports. If the January 1, 1991 date is not met, major changes to the business license tax structure would likely need to be postponed a full 12 months, until January 1, 1992. A mid-year tax change would impose extremely high costs on the City's Data Processing Division, Finance Department and City Attorney's Office, requiring repetitive efforts to modify ordinances, revise forms and systems and process payments. It is therefore strongly suggested that the Council make a decision on changes to the business license tax system no later than September 25, 1990. Upon Council's direction, it is staff's intent to solicit input on the report's recommendations from the Chamber of Commerce and other interested parties. Copies of the staff report are available from the City's Management Services Department (691-5296) and City staff will be available to meet with interested groups. In order to meet the aforementioned time lines, it is suggested that staff report back to Council by August 28, 1990. FISCAL IMPACT: As detailed in the report, staff can only provide general estimates of the fiscal impact of implementing the proposed tax rate schedules. It is projected that the recommended changes will increase business license revenues by approximately $700,000, from $372,000 to 1,072,000, representing a 188% increase. To put this increase in perspective, it is important to note that: Since 1954-55 when the present business license tax structure was adopted, the basic license rate has increased by only 46%, compared to a CPI increase of 386%. Since 1978-79 the City's expenditures for police services have risen by 314%, with only a corresponding 86% increase in business license revenues. or' If , (yo- " , I .') 3 As previously noted, the report also recommends adoption of a new fee schedule to increase assessments in the Downtown Improvement District. An increase in assessments, to support downtown promotions and events, was requested by the Downtown Business Association. The recommended fee schedule would increase annual revenues to the Downtown Business Association by approximately $23,600. s BUSXNESS LXCENSE TAX In his FY 1989-90 budget message, the City Manager highlighted potential fiscal problems facing Chula vista. In large part, these problems result from the City's low tax base relative to other comparable communities. As noted in the City Manager's budget message, the Policy Analysis and Program Evaluation (PAPE) unit was directed to review current pOlicies and procedures to enhance City revenues. PAPE's initial efforts focused on ensuring that applicable full cost recovery fees are being utilized and that appropriate reimbursements are being made to the General Fund. PAPE's current efforts are directed toward reviewing selective City taxes and fees. The following report on the business license tax, prepared in conjunction with the Finance Director, is the first of these reports. This report shows that the City's business license tax has lagged significantly behind inflation and details the declining support provided by business license revenues for general City services. Comparisons of business license tax rates presented in the report show that the City's current fees are dramatically lower than those charged in similar-sized California cities and cities in San Diego County. In light of these trends, the report recommends (1) changing the basis by which the City's business license tax is calculated and (2) increasing current business license rates to levels comparable to those charged by other cities within the County. A. CHULA VISTA GENERATES THE SECOND LOWEST BUSINESS LICENSE REVENUE (PER-CAPITAl AMONG 18 CALIFORNIA CITIES OF SIMILAR SIZE. In assessing the city's business license tax, PAPE looked at several comparison measures. One general measure is the percentage of general fund revenues generated by a city's business license tax. According to a statewide survey conducted by Ralph Anderson and Associates, business license revenues represented 5.8% of California cities' general revenues ;- 1 - 7 (FY 88). Table 1 on the following page provides comparison data for the 78 charter cities in California. Important points to note are: For FY 88, Chula Vista's business license revenue represented only 1.29% of general revenues, compared to the statewide average of 5.8%. This was the loth lowest rate among the 78 charter cities. By FY 89, Chula Vista's business license revenues declined further, representing only 0.9% of the City's general revenues. According to the Ralph Anderson survey, only 11% of all California cities received less than 1% of their general revenues from the business license tax. FIGURE 1 BUSINESS UC[NSE REVENUE AS ~ERCEHTAGE or GENERAL CITY REVENUE I ~ AU.. CA CIfD CNUU. ~IT" A second general measure involves a comparison of business license revenues generated in similar sized california cities. Table 2 on page 4 presents per-capita business license revenues for the 18 California cities with populations of 100,000 - 150,000 in FY 87. Important points to note about the table are: Chula vista's relatively low level of sales tax revenue is a factor in producing the City's low level of business license revenues. It is not, however, the primary factor. In the comparison cities, a dollar in sales tax generated an average of 14 cents in business licence revenues in FY 87. sales tax dollar ge.nerated only 4.2 On a per-capita basis, Chula Vista generated the second lowest business license revenue among the 18 comparison cities. Within the group, FY 87 per-capita busi- ness license revenues averaged $13.19, with a high of $39.09. Chula Vista's per-capita revenue was only $2.93. - 2- R FIGURE 2 PER CAPITA BUSINESS LICENSE REVENUE . . . " I. ! . r . . r . OTNEI CA ana; CltULA YIIr.A In Chula Vista, this same cents in business license TABLE 1. CALIFORNIA CHARTER CITIES: COMPARISON OF BUSINESS LICENSE TAX REVENUES AS A PERCENTAGE OF GENERAL FUND REVENUES' m .____._._ n__~..__ __ --------- -- --- _.~.- ... BLT or ... BLT or Q!I General Fund fJ1I General Fund Alameda 2.92 Pacific Grove 2.98 Albany 324 Pasadena . 4.06 Alhambra .2.25 . Petaluma 2.20 Anaheim . 1.86 Piedmont 1.02 Arcadia 1.49 Placentia 7.55 Bakersfield . 2.04 Pomona 3.89 Berkeley 8.33 Porterville 3.63 Burbank . 2.08 Redondo Beach 3.78 Cerritos 1.70 Redwood City 0.85 Chico. . 1.53 Richmond 2.65 ChuJa Vista 129 Riverside 2.37 Compton 3.42 Roseville 1.19 Culver City 11.01 Sacramento 2.36 Cypress 3.22 Salinas -- -- -". 3.44 Del Mar 4.21 San Bernardino 4.96 Downey 4.27 San Buenaventura 1.78 Eureka 1.94 San Diego 1.07 Fresno 7.06 San Francisco 2.49 Gilroy 2.68 San Jose 5.10 Glendale 0.49 San Leandro 2.10 Grass Valley 1.49 San Luis Obispo 2.65 Hayward 2.72 San Mateo 3.96 Huntington Beach 1.49 San Rafael 4.07 IngJewood 624 Santa Ana 5.22 Irvine 1.79 Santa Barbara 3.28 Irwindale 32.41 Santa Cara 0.67 Long Beach 5.38 Santa Cruz 2.73 . Los Alamitos 2.72 Santa Monica 10.01 Los Angeles 14.60 Santa Rosa 3.37 Marysville 2.48 Seal Beach 3.60 Merced 2.33 Stoclcton 5.88 Modesto 9.44 Sunnyvale 0.39 Monterey 5.37 Temple City 1.40 Mountain View 0.55 Torrance 5.16 Napa 5.60 Tulare 3.05 Needles 2.81 Vallejo 1.51 Newport Beach 1.74 Visalia 2.99 Oakland 13.67 Watsonville 1.85 Oroville 1.24 Whittier 2.47 I Source: Financial TranslU:tlons Concerning alies, 1987-88 - 3- Cj revenues (3.8 cents in FY 89), also second lowest among the comparison cities. FIGURE 3 BUSINESS LICENSE REVENUE PER SALES TAX DOLLAR 00 ~ ~ ~ @ ~ OTHER CA CITIES 100,000-150,000 POP CHULA VISTA TABLE 2. per-capita Business License Revenue (BLR) FY 87: California cities 100,000-150,000 Per- BLR Per Capita Sales Tax Sales Tax citv BLR Rank Per-Cat>ita Rank Dollar Rank Berkeley $39.09 1 $ 77.63 13 $.50 1 Torrance $24.88 2 $156.29 2 $.16 5 Modesto $23.18 3 $ 86.09 11 $.27 3 Inglewood $17.48 4 $ 61.23 17 $.28 2 San Bernadino $16.44 5 $117.08 8 $.14 6 Pasadena $13.77 6 $125.48 6 $.11 8 Orange $13.20 7 $151. 48 3 $.09 12 Concord $12.70 8 $124.38 7 $.10 9 Santa Rosa $12.07 9 $137.66 5 $.09 11 Pomona $10.55 10 $ 63.99 16 $.16 4 Oxnard $ 9.95 11 $ 71.80 14 $.14 7 Hayward $ 8.67 12 $149.91 4 $.06 14 ontario $ 5.97 13 $ 88.63 10 $.07 13 Fullerton $ 5.71 14 $102.66 9 $.06 15 Oceanside $ 4.94 15 $ 51. 07 18 $.10 10 Garden Grove $ 3.83 16 $ 85.75 12 $.04 16 CHULA VISTA $ 2.93 17 $ 69.57 15 $.04 17 Sunnyvale $ 1.72 18 $156.29 1 .i..Ql 18 AVERAGE $13.19 AVERAGE: $.14 As illustrated in Table 2, the maior factor in t>roducina the citv's low level of business license revenues is the citv's relativelv low business license tax rate itself. "; .11. - _ _ If) In Table-3 on the following page, the current business license tax for an average Chula vista business in each of 5 typical categories is compared to the rates which would be charged in each of the comparison cities. Important points to note are: Rate comparisons are-made-for five retail business categories, based on a range of-gross -- receipts.- Chula Vista data reflects actual taxes collected; rates for comparison cities are based on each city's business license tax schedule. 14 of the 18 comparison cities base their general business license tax rate on a business' gross receipts. The remaining 4 cities, including Chula Vista, base their business license tax on the number of employees. As discussed in a subsequent section, staff believe that a-tax based on gross receipts is more equitable. For a business with gross receipts of $100,000-$200,000 (actual average receipts in Chula Vista of $142,705), the cost of a business license ranged from $20 to $311 among the comparison cities. Chula Vista's average rate of $42 is roughly 33% of the average rate of $127 charged for businesses in this class. For a business with gross receipts of $1,000,000- $2,000,000, (actual average receipts of $1,400,306) the cost of a business license ranged from $50 to $1,731 among the comparison cities. Chula vista'S average rate of $98 is only 14% of the average rate of $713 charged for businesses in this class. At the upper end, the cost of a license for a retail busi- ness with gross receipts of over 20 million (a $22,625,108 average) ranged from $260 to $27,201. The average rate is $8,570; the median rate is $4,635. Chula vista's average charge for the 4 current retail businesses with receipts of 20-25 million is $408. FIGURE 4 AVER.'GE BUSINESS UCENSE CHARGE FOR BUSINESSES WITH 1-2 IofjWON IN RECBPTS 713 OIlER ('A aTIES DfJIA VISTA Chula Vista's business license rates are not only low in comparison to other similar sized California cities, they are also low in comparison to what is charged by otQer cities in San Diego County. . 5 - JI TABLE 3. Comparison of Current CV Business License Rates With Other California Cities' FEE CHARGED" Range of 0- $100,000- $1,000,000- $4,000,000- $20,000,000- Receipts: $25,000 $200,000 $2,000,000 $5,000,000 $25,000,000 Average E~loyees: 0 5.5 24.2 40.2 127.7 Population Average City Jan, 1987 Type of Fee Receipts: $25,000 $142,705 $1.400,306 $4,472,525 $22,625,108 Sunnyale 115,225 , of E~loyees $10 $20 $50 $80 $260 CHULA VISTA 120,2B5 , of E~loyees 25 42 9B 146 40B (Current) Garden Grove 134 ,141 , of E~loyees 30 47 103 151 413 Fu llerton 110,135 Gross Receipts 28 39 165 472 1,656 Oceanside 100,981 Gross Receipts 25 84 349 810 3,533 Santa Rosa 102,958 Gross Receipts 33 120 738 963 1,000 Pasadena 128,256 Gross Receipts 88 185 511 792 2,326 Pomona 117 ,827 Gross Receipts 64 101 476 1.017 3,377 Orange 103,264 Gross Receipts 72 162 432 1,032 4,672 Ontario 113,619 Gross Receipts 24 88 400 1,150 5,700 Hayward 101,146 Gross Receipts 27 64 377 1,206 6,107 Torrance 140218 , of E~loyees 117 311 963 1,524 4,588 Concord 108,009 Gross Receipts 25 128 l,Oll 2,910 9,014 Oxnard 123,990 Gross Receipts 49 172 947 2,791 13,682 San Bernad i no 140,851 Gross Receipts 48 136 1,079 3,383 16,998 I ng lewood 102,888 Gross Receipts 25 143 1,400 4,473 22,625 Modesto 138,524 Gross Receipts 50 168 1,425 4,498 22,650 Berkeley 106,542 Gross Receipts 81 222 1,731 5,41B 27,201 Average Fee: $45 $127 $713 $1,920 $8,570 Median Fee: $33 $125 $511 $1.150 $4,635 . Cities of 100,000-150,000 population. ,. Fees for other cities are based on 1988 average gross receipts or average I of ~loyees for CV businesses in each category. Fee projections used each city's fee schedule for general retail business. - 6 - /2. B. CHULA VISTA HAS THE SECOND LOWEST BUSINESS LICENSE REVENUE I PER-CAPITAl AMONG COMPARISON CITIES 'IN SAN DIEGO COUNTY. Table 4 bel'1w presents per-capita business license revenue f'1r FY 88 f'1r 10 cities within San Diegp_C::Q\!nty_w_i:t~_pqpu1a.t_iQnILQve~_n5Sl~OQQ_._ ___ Important P'1ints t'1 note about the table are: 5 of the 10 cities base their business license tax on gross receipts; 4 cities, including Chula Vista, base the tax '1n the number of emp1'1yeesand 1 city (Santee) uses a flat fee for all businesses, regardless '1f size. --Chula vista received the second lowest business license revenue (per-capita) among the comparison cities in the county. Wjthip_ . ----- tliIs-group;--per-capita -businessn-Ifcense --revenues - ranged from $1.10 inn-Santee t'1 $10.47 .in Carlsbad, averaging $5.75. Chula vista's rate was $2.93, representing 51% '1f the average. For the C'1unty comparison cities, a dollar of sales tax generated an average of 6.1 cents in business license revenues. In Chula Vista, this same sales tax dollar generated '1nly 3.8 cents in business license revenues (declining fr'1m 4.2 cents in FY 87). Once again, the major fact'1r in pr'1ducing the City's l'1W rate '1f business license revenues is the City'S relatively l'1W business license tax itself. TABLE 4. Per-Capita Business License Revenue (BLR) FY 88: San Diego county Cities OVer 50,000 Population BLR BLR Per Per Sales Tax Sales Tax City Capita Rank Per-Capita Rank Dollar Rank Carlsbad $10.47 1 $121. 05 5 $.09 3 Escondido $ 8.30 2 $158.18 1 $.05 4 Vista $ 7.10 3 $ 48.26 10 $.15 1 Nati'1nal City $ 6.61 4 $147.74 2 $.04 6 La Mesa $ 5.97 5 $128.08 4 $.05 5 Oceanside $ 5.07 6 $ 54.96 9 $.09 2 El Cajon $ 3.90 7 $135.91 3 $.03 9 San Dieg'1 $ 3.25* 8 $ 88.91 6 $.04 8 CHULA VISTA $ 2.93 9 $ 77.74 7 $.04 7 Santee $ 1.10 10 $ 68.60 8 ~ 10 AVERAGE $ 5.75 AVERAGE: $.06 * Does not reflect 1989 increase in San Dieg'1 per-empl'1yee rate. - 7 - /,j In Table 5 on the following page, the current business license tax for an average Chula Vista business in each of 5 typical categories is compared to the rates which would be charged in the comparison cities within the County. Important points to note are: Chula Vista data reflects actual taxes collected, rates for comparison cities are based on each city's business license tax schedule. For a business with gross receipts of $142,705, charges ranged from $25 in Santee to $111 in Vista. Chula Vista's charge of $42 represented 63% of the average rate of $67. For a business with annual gross receipts of $1,400,306, charges ranged from $25 in Santee to $681 in vista. Chula vista's charge of $98 was only 36% of the $270 average rate. At the high end, businesses averaging $22,625,108 in gross receipts were charged $408 in Chula vista. Among the comparison cities rates ranged from $25 (Santee) to $7,944 (Carlsbad) . Chu1a Vista's charge represented only 16% of the average of $2,538. FIGURE 5 AVERAGE BUSINESS UCENSE CHARGE FOR BUSINESSES WITH 20-25 MIWON RECEIPTS ... 25:l8 s.D. co anES CHlIA VISTA In summary, Chula vista currently has one of the lowest business license tax rates, both within San Diego County and within the state for comparably sized cities. C. CHULA VISTA HAS NOT RAISED ITS BUSINESS LICENSE TAX RATE SINCE 1978. Chula Vista's business license tax was established in January, 1912, when the City imposed a $15 per annum charge on pool tables. New business license taxes were added over the next 30 years for specific items (such as billboards) or specialized occupations (such as peddlers). In 1941, the City extended the business license tax to "professionals", charging them $5 per year. - 8 - /1 TABLE 5. _ COmparison of Current CV Business llcense Rates With Other San Diego. County Cities* . FEE CHARGED**- Range of 0- $100,000- $1.000,000- $4,000,000- $20,000,000- Receipts: _ $25,000 . $200,000 $2,000,000 $5,000,000 $25,000,000 . Average . E""lo~es: 0 5.5 24.2 40.2 127.7 Population. Average City Jan, 1988 Type of Fee Receipts: $25,000 $142,705 $1,400,306 . $4,472,525 $22,625,108 Santee 51,834 Flat $ 25 25 25 25 25 EI Cajon 84,623 , of E""loyees 20 37 93 141 403 CHULA VISTA 124,253 , of E""loyees 25 42 Q8 146 408 La Mesa 52,295 , of E""loyees 35 52 108 156 418 San Diego 1.0SS,702 , of E""loyees 30 52 126 191 540 National City 52,274 Gross Receipts 44 58 232 783 1,490 Escondido 93,304 Gross Receipts 25 109 305 766 3,489 Oceanside 107,884 Gross Receipts 25 84 349 810 3,533 Vista 56,402 Gross Receipts 25 111 681 1,366 4,996 Carlsbad SS,888 Gross Receipts 34 75 515 1,590 7,944 Average Fee: $29 $67 $270 $659 $2,538 * Cities over 50,000 population. ** Fees for other cities are based on 1988 average gross receipts or average' of """Ioyees for tv businesses in each category. Projections used each city's fee schedule for general retail business. - 9 - 15 In 1954, the forerunner of the city's current business license tax was enacted, establishing a charge of $12.50 per year and $3 per employee for most fixed location businesses within Chu1a vista. The rate for manufacturers was established at $12.50 plus $1 per employee. A maximum annual fee of $162.50 was set for both groups of businesses. At the same time, the rate for professionals was increased to $25 per year. Twenty-four years later, in 1978, the current business license fee was adopted. The basic rate for fixed location businesses within the City was increased from $12.50 per year to $25. The per employee charge was kept at $3. For manufacturers, the basic rate was similarly increased from $12.50 to $25 per year. The per employee charge for manufacturers was changed from a flat $1 to a declining fee based on the total number of employees (i.e. $ 2 per employee for the first 50 employees: $1 for 51 to 100 employees, etc). In 1978, the maximum cap of $162.50 for fixed location businesses and manufacturers was removed. The city's basic business license rates have not been increased since 1978. Changes in the cost of a City business license have not kept pace with the declining purchasing power of a dollar, as measured by the Consumer Price Index. Moreover, business license revenues have lagged well behind increases in the cost of city services such as police, and have consistently decreased over time as a percentage of the City's general fund expenditures. Important points to note are: since November, 1954 when the first fee was established for fixed location businesses, the Consumer Price Index increased by 386% percent. Comparative- ly, between 1954 and 1989 the cost of a license increased by 46% for the average Chula Vista business. From 1978 through 1989, the CPI has increased by 121%: since 1978 the cost of a business license has increased by 0%. FIGURE 6 INCREASIl IN CPI " BUSINESS LICENSB RATES 1864. - lesg .... In FY 55 business license revenues supported 6.3% of the on ......- City'S general operating budget. In FY 79 the support for general City functions provided by business license revenues had dropped to 1.8%. - 10 - It, "By FY90, business license revenues supported less, than 1% of the 'C- city's general operatinqcbudqet. _ . FIGURE 7 PROPORTION OF GENERAL. OPERATIONS. .SUPPORTED BY CHULA. VISTA BUSINESS LICENSE REVENUE . - , . I. --- I- i. - - 1964 1078 ...... - 1980 Between FY _ 55 __and FY.. 90 City expenditures for pOlice services have risen sharply, reflected in a 7,871% increase in the Police Department's budget. During this period, business license revenues increased by only 817%. Similarly, between FY 79 and FY 90 police expenditures rose by 314%. The corresponding increase in business license revenues was only 86%. FIGURE 8 INCREASE IN CHULA VISTA POLICE EXPENDITURES, AND BUSINESS LICENSE REVENUES 1978-1989 FOR THE CITY OF CHULA VISTA - - - uo ~ iil- .. ..0 .- - 0 POUCE EXPENDITURES sus. LICENSE REVENUES - 11 - /7 Based on the relatively low level of business license revenue generated in Chula vista as compared to other cities in San Diego County and similar-sized California cities, and based on the absence of any increase in the basic business license charge since 1978, staff recommend that the City's business license tax be raised. Specific recommendations concerning the most equitable method for calculating the tax rate and the specific rates proposed for various classes of business are detailed in the following sections of the report. D. TO ENHANCE EOUITY. IT'S RECOMMENDED THAT-THE BUSINESS LICENSE TAX BE PRINCIPALLY BASED ON GROSS RECEIPTS. There are three predominant methods for computing business license charges: (1) a flat rate charged to all businesses or types of businesses, regardless of size; (2) a variable rate based on non- dollar units, such as the number of employees or business square footage; and (3) a variable rate based on dollar units such as gross receipts. A city's business license tax schedule will likely use at least two types of rate structures and often all three methods are employed. Chula Vista predominantly uses a variable rate based on the number of employees to assess business license charges. Other examples of non-dollar variable rates employed by the City are the charges for bowling alleys ($25 per year plus $16 per lane) or the charges for poolrooms ($20 per year plus $12 per table). Flat rates are also employed by the city for selected groups, such as $50 per year for "professionals" or $100 per year for second-hand dealers. As illustrated below, A TAX BASED ON GROSS RECEIPTS IS MORE EQUITABLE THAN A TAX BASED ON NUMBER OF EMPLOYEES: In 1988 there were 50 retail businesses in Chula vista with only one employee. The gross receipts of these businesses ranged from $100,000 to $858,000. Under the per-employee tax structure currently used by the City, each of these businesses were charged an identical license fee of $28. In 1988, 19 of the retail businesses in Chula Vista with 12 employees had average receipts of roughly $683,000. Each business paid a license fee of $61. Another business, also employing 12 persons, had gross receipts totalling $8,678,553, over 12 times the receipts averaged by the first group of 19 businesses. However, under the per employee tax structure currently used by the City, this business was charged an identical license fee of $61. - 12 - II FIGURE 9 INEQUITY OF "PER-EMPLOYEE" CHARGE GROSS RECEIPTS or BUSINESSES CH6RGED UCENSE TAX orm . ._. . _. 858000 FIGURE 10 INEQUITY OF "PER. EMPLOYEE" CHARGE . ~SS RECEIPTS OF BUSINESSES . CH6RGED UCENSE TAX or $61 . S678000 -' A business license tax based on a per-employee charge is replete with the types of inequities illustrated above. Under Chula vista's current tax structure, businesses having substantially different incomes are charged like amounts for licenses. A TAX BASED ON GROSS RECEIPTS IS ALSO A MORE EQUITABLE WAY TO ADJUST FOR INFLATIONARY IMPACTS. Since 1978, the Consumer Price Index has increased by 121%. Over that period, the City's business license tax rate increased by 0%. A license fee based on gross receipts will automatically adjust business license revenues to keep pace with inflation. While it is true that a rate structure based on a per- employee charge could also be constructed to account for inflationary changes, it would be less equitable in practice. Under a tax schedule based on gross receipts, the tax rate itself remains constant from year to year unless explicitly changed by Council action. If, for example, business receipts increase due to inflation, city revenue also increases without any corresponding change in the tax rate itself. Using a gross receipts-based tax, any change in the license charge is directly related to an individual business' well-being.. Conversely, if a per-employee charge is "indexed" to account for inflation, the tax rate itself is continually .1.., - /1' changing. As such, all businesses are taxed at the higher rate, regardless of how their particular business fared in the preceding year. As previously noted in the comparisons with other jurisdictions, a business license tax based on gross receipts is the most common basis used for establishing charges. Of the 17 other California comparison cities of 100,000-150,000 population, 14 base their business license charges on gross receipts. Of the 9 other cities within San Diego County having populations over 50,000, 5 base their business license charges on gross receipts. Based on the enhanced equity afforded by basing business license charges on gross receipts, it is recommended that: . .c_'...'.....-.._._..-,-,...."..,-,..,. .........__.....,... ......_._,. :"">'-:':':-'.'.'-'-":"-.':-:-.':'::::::::::::--':-::::'::.: RECOMMENDATION 1;. . The City adopt a business 1icense tax which. is . principally based on gross receipts. New City businesses would be charged at the minimum base rate of $25 during their first year's operation. Recommendations on specific tax rates for different types of businesses are detailed in the following sections of the report. E. THE PROPOSED TAX RATE FOR GENERAL BUSINESS WOULD PLACE CHULA VISTA AT THE MID-RANGE OF COMPARISON CITIES IN SAN bIEGO COUNTY AND STILL AT THE LOW END OF COMPARISON CITIES STATEWIDE. The proposed tax rate for most general businesses with fixed locations within the City is shown in Table 6 below: Tab1e 6. proposed Tax Rate For Most Retai1/service Businesses GROSS RECEIPTS TAX RATE $ 25.00 (base charge) $ 25.00 plus $.75 per each $1,000 over $ 25,000 $ 81.25 plus .60 per each $1,000 over $100,000 $141.25 plus .50 per each $1,000 over $200,000 $191.25 plus .25 per each $1,000 over $300,000 $241.25 plus .15 per each $1,000 over $500,000 Up to $25,000 $ 25,001 - $100,000 $ 100,001 - $200,000 $ 200,001 - $300,000 $ 300,001 - $500,000 Over $500,000 The proposed tax rate was designed to place Chula Vista within the mid-range of the rates charged for business licenses in San Diego . - 14 -. ~ County cities over 50,000 population. Table 7 on the following page provides a comparison of current and proposed license fees for selected businesses. Important points to'note are: ' -..... For. businesses with, gross receipts up, to',$25, 000. there. would ~be no change in rates paid. For businesses with receipts up to . , $50,000, the maximum. annual rateincreasewould.be.$18.75i'from" $25. (with no employees) to:$43.75;. ....-Forbusinesseswith gross receipts of $1,000,000- $2,000,000 the -average. license charge would be $336. The average rate presently charged by the comparison cities within the County is $270; excluding Santee, .which charges a flat'rate of.$25.to all businesses regardless of size, the current average is $301. The ,uP.rQP.c>sed_rCiJ;_~_wQ.~ld 1:lE!. slightly above Escondido's present rate ". ($305). and below the riEes charged'by oceinside- C$349f; carlsoaa- "($515) "and Vista ($681). . " At' the top -end ~ the- 'average -feepaiii-bybus"inesses -with gross'---- .receiptsof $20,000,000-$25,000,000 would. increase from $408'to $3,520. Amongthe County cities of more than 50,000 population, this would place Chula Vista's fees as fourth highest, slightly higher than Escondido ($3,489) and below Oceanside ($3,5~3), vista ($4,996) and Carlsbad. ($7,944). It is imoortant to emohasize that even with the orooosed increase in business license fees. the City's oer-caoita business license revenues will still remain relativelv low in comoarison to other cities. This will remain true until Chula vista is able to attract more businesses which generate large annual sales (e.g. automobile sales). Table 8 on page 17 provides a comparison of Chula Vista's current and proposed license rates with the 17 other California cities of similar size. As shown in the table, the proposed rate increase would only move Chu1a Vista from second lowest to fourth lowest in the actual rate charged for business licenses. Chula Vista'S rates would remain well below the average for the statewide comparison cities. Based upon for foregoing analysis, it is recommended that: ."......, "'.............-.."."'.. ..-.......... '..'-','-'-',--'-',-,'.;,-,-.'.-,'.'.'.'-'.'.".'-',','-'_....'-'...-...-.;.;_.,:.;<.;,-......,-.._'_..".'.-.._....'._...,-.;.,.,-.'-'.....'_'..--'_..-.-_._.,-,-...'...-..........,. 'RECOMMENDA'1'IONh'1'l1eCityadoptthebusinesslicense tax rates . .. "./i.i< .... ..'. ..... ................:::tU:d ~~nai?~:s:~es;::s:a;t~:sfi::~d ;~~~tions . u< ......,.....',.. ...... .,... .. ....'.. within the City, except for: (1)liianufacturers. .. "i< '.. 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C'l'1_N~";.n.D"; OC"'lN_NClID _I,QO'l_rt')."0 COO'l_CO'_N - -- ~~:::~~2 t""I_U'l""';;: :!:;~~~:i;S CU)(nIDIDN ~~"';NN_ __NNN .... C> N _ .... "" ....;''''''N S~~ ~.... .... NC'fl"; '" '" "" - .... .... .an ,... C'I")""'''''' ,.... \0 ..... .,. f")O\ocn - 0'10 Ion"'" ,.., CI IN,.., 0.,..,. '" .. .. .. .. -.......... - !~~s~~~::re~~~f8~ ____ f'I'l_____N ~~>>3 OIf"N'-__Il'1O'1 u::t_NN_N.. - ~~~co ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~1::~1::~+'~~""""''''''''''''''''''' _____D._ -S-S-.2-oS-.s--s- o;O;QiQia;O;Gi CP CD 41 G.I CP G.I III III III III III III III ~ III III III III III III c:a::a::a:: CZ::CCC::Ca:ia::cz::a::l:ll: a::: a:: ~ ~ ~ ~ ~ ~ ~ ~ ~ M ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ w w f f f f f f f 0 f f f f f f USCllc.DUlUlUl0....USUSUSUSUSCII -"'''' ~::g~ g~~ - -- ~...."" N "'_ CON~ ~.... .... _ "'- - -.... .. " .. :;~I c 'IS -,:, 5 :B ~ ~ ; ~~~a.. ~~gg~I.~~ _~OC71~ U'lU'l s:!;~~~~fi~ ..... ------ o ,,- "'L " .. .. ... 50S " ~ g ~~ = I- o " :;; .. ~~~ u .. " " " o >< .. .... C> '" )~ - " E~ I C> .... ~ .... .... '" fi:i IC> '" N .... "" - - - -- I'" - - - ~ .... -- I~ .... ... N - - -- I.... '" .... '" -- ~ ~ ... ... " "''' .. .. L .- !I ... ... " " t t " " .... .... ~ a; "" L " '" .. .. " -= on il :> .... L .. 0... - f IE - Iii i'" L _ 0 c_ ... " ~~ L.c ~ l;l .. !; al - .. .. ... - c.>, - ... ,,- f~ S Z !;'al on " " '" ; g ~~ 1I3-*. "" 0 _ L C. C .2 " ~ 0 al -al'" il... &.~ "b '" f 0 8 .. il' . ... '" .. .. ~.!u ~~"5 '" u .. C> " L C> " " '" .c _ - ... o on - " o 6 ~ on _ " ~CII.s ~ II .. .......il . . . F. THE TAX RATES RECOMMENDED FOR GENERAL BUSINESS SHOULD BE APPLIED TO PROFESSIONALS. currently, "professionals" are charged a flat fee of $50 per year. Staff believe that business license fees for "professionals" should be based on gross receipts and should be set at the same rate charged for general businesses: A flat fee produces inequities by imposing identical fees irrespective of the earning capacity of different "professional" occupations. Under. the City's current rate structure, attorneys and physicians are charged identical rates as physical therapists and accountants; A flat fee produces significant inequities between "professional" and "semi-professional" occupations. In general, under the City's current rate structure persons in lower earning occupations pay a higher percentage of their income in license taxes than persons in high earning occupations; The profit margins for most professionals are higher than most retail and service businesses; and "Professionals" generally benefit from city services 'on a level similar to other City businesses. Tables 9 and 10 compare Chula vista's current and proposed rates for 2 hypothetical "professional" businsses. Also shown are the comparable rates charged by other County cities over 50,000 population and by other California cities of 100,000-150,000 population. Important points to note about the tables are: 4 of the 9 comparison cities within the County base their business license tax for professionals on gross receipts; Of the 17 California cities with 100,000-150,000 population, 8 cities use gross receipts as the basis for setting the business license tax for professionals. In all 8 cities, the gross receipts tax rate used for professionals is higher than the gross receipt tax rate used for general retail business (in some cases more than double). The use of different tax rates generally reflects the higher profit margins of most professional businesses. For Chula Vista, it's proposed that professionals be charged at the same (lower) gross receipt tax rate used for general retail business. For a professional business with $125,000 in gross receipts (consisting of 1 professional staff and 1 support staff) 4 Chula Vista's rate would increase ~ 1 R._ J.~ TABLE 9, Comparison of Proposed Business License Rates For Professionals With Other SO County Cities (50,000 Population) " , -------- . --71verage " Professionals/ , Support Staff: City Population Jan, 1988 Type of Fee Average Receipts:' Santee El Cajon San Oiego La Hesa Carlsbad CHULA VISTA (Current) Oceanside Escondida CHULA VISTA (Proposed) National City Vista 51,834 Flat 84,623 " of Euployees 1,058,702 . 'of Euployees - 52,295 , of ,Employees 58,888 Flat, 124,253 Flat ,107,884 Flat/Gross Receipts 93,304 ,Gross Receipts 124,253 Gross Receipts " ,52,274", Gross Receipts 56,402 Gross Receipts TABLE 10. Couparison of Proposed 8usiness License Rates For Professionals With Other California Cities (100,000-150,000 Population) FEE CHARGEO Average , Professionals/ 1/ 2/ Support Staff: 1 3 Population Average City Jan, 1987 Type of Fee Receipts: $125,000 $400,000 Sunnyale 115,225 Flat $10 $10 Garden Grove 134,141 , of EJqlloyees 33 69 CHUlA VISTA (Current) 120,285 Flat 50 100 Ontario 113,619 , of EJqlloyees 55 90 Fullerton 110,135 Flat 60 130 Oceanside 100,981 Flat/Gross Receipts 50/75 100/196 CHULA VISTA (Proposed) 120,285 Gross Receipts 96 176 Orange 103,264 Flat/Gross Receipts 95 260 Oxnard 123,990 Flat 123 256 Concord 108,009 Flat 145 278 Torrance 140,218 Flat 152 257 P_na 117,827 Gross Receipts 145 352 Hayoard 101,146 Gross Receipts 133 499 Pasadena 128,256 Flat 251 403 1ng lewood 102,888 Gross Receipts 188 600 Santa Rosa 102,958 Gross Receipts 300 650 Modesto 138,524 Gross Receipts 275 825 San 8ernadino 140,851 Gross Receipts 350 1,038 Berkeley 106,542 Gross Receipts 501 1,491 ,-19 - 1.~ from $50 to $96. This would place Chula vista slightly higher than National City ($93) and slightly lower than vista ($99) and Escondido ($100). For a similar professional business, the tax rate among the 18 California cities of 100,000-150,000 population ranges from $10 to $501. Chula vista's rate of $96 would be the sixth lowest. " For a professional business with $400, 000 in gross receipts (consisting of 2 professional staff and 3 support staff), Chula vista's rate would increase from $100 to $176. This would place Chula vista slightly higher than Escondido ($155) and lower than National City ($194) and vista ($261).' For a similar professional business, the tax rate among the 18 California cities of 100,000-150,000 population ranges from $10 to $1,491. Chula Vista's rate of $176 would be the sixth lowest. Based on the foregoing discussion, it is recommended that: ...-...,..,.,.....,-,....-....-..-.-..-..-.-...-'-'.....'..'...'...,'_.".....-..,.,-,.,...,-,.,...,.,._._..-.._._..-.-.._._'..._'--.._'-'..._'-'_.'....,.'. RECOMMENDATION. 3 : ..Therates detailed in Table 6 be .. ..' .... . .... .... .. .."applied tot.professionalsllwitlLfixed .. .. .. .... iocations within the City. . G. LOWER TAX RATES. BASED ON GROSS RECEI:PTS. ARE RECOMMENDED FOR MANUFACTURERS AND WHOLESALERS. Under the City's current rate structure, the basic fee charged to both general business and manufacturers is $25. However, while the per-employee charge to general business is a flat $3, the per-employee charge for manufacturers is based on a sliding scale. The current fee schedule for manufacturers is shown in Table 11 below. Table 11. Current Per-Employee Fee Schedule for Manufacturers # EMPLOYEES TAX RATE 1 - 50 $ 25.00 plus $2.00 per employee 51- 100 $125.00 plus $1. 00 per employee 101-1000 $225.00 plus $ .50 per employee over 1,000 $675.00 plus $ .25 per employee Historically, manufacturers and wholesalers are often charged lower business license taxes than general retail and service businesses. Staff believe that the primary reasons .,. 20 - u for this difference are: Profit margins for.manufacturersandwholesalers tend to be:. .lower. than profit margins. for general' retail or service. businesses ;.and .c. Manufacturers, representing more labor intensive businesses, provide more job opportunities and secondary. economic activity.within a .community. .". ... within San Diego County, ,cities using a gross receipts tax structure for manufacturers generally establish a tax range from $.50 per. $1,000 gross receipts.down'to $~10 per $1,000. gross receipts. : The fee schedule recommended for Chula Vista manufacturers:and.wholesalers:follows.this pattern ;:Ind is shown in. Table 12 below. For comparison, the. proposed gross receipt tax rates for general business are also provided. Table 12. proposed Gross Receipts Tax Schedule For Manufacturers and Wholesalers I. Manufacturers/Wholesalers GROSS RECEIPTS. Up to $50,000 $ 50,001-$100,000 $100,001-$200,000 Over $200,000 TAX RATE $25.00 $25.00 $50.00 $75.00 (base charge) +.50 per each $1,000 +.25 per each $1,000 +.10 per each $1,000 over $50,000 over$lOO,oOO over $200,000 II. General Business (Comparison) GROSS RECEIPTS Up to $25,000 $ 25,001-$100,000 $ 100,001-$200,000 $ 200,001-$300,000 $ 300,001-$500,000 Ovel;" $500,000 . TAX RATE $ 25.00 $ 25.00 $ 81. 25 $141. 25 $191. 25 $241. 25 (base charge) +.75 per ea $1,000 +.60 per ea $1,000 +.50 per ea $1,000 +.25 per ea $1,000 +.15 per ea $1,000 over over over over over $25,000 $100,000 $200,000 $300,000 $500,000 - 21- ~7 Tables 13 and 14 on the following page compare Chula Vista's current and proposed rates for two hypothetical manufacturing businesses. Also shown are the comparable rates charged by other County cities over 50,000 population and by other California cities of 100,000-150,000 population. Important points to note about the tables are: 6 of the 9 comparison cities within San Diego County charge manufacturers at a lower tax rate than general retail business. Similarly, among the 17 comparison cities of ~ 100,000-150,000 population, 12 use a lower tax rate to set license rates for manufacturers. Under the proposed tax rate for Chula Vista, manufacturers would be charged at a lower rate than that applied to general retail business and professionals. For a manufacturer with 70 employees and gross receipts of 5,400,000, Chula vista's rate would increase from $145 to $595. within the County, this would place Chula vista slightly higher than National City ($545), equivalent with Escondido ($595) and lower than vista ($603) and Carlsbad ($1,105). For a similar manufacturing business, the tax rate among the California cities of 100,000-150,000 population ranges from $75 to $6,531. Chula Vista's rate of $595 would represent 51% of the average rate ($1,166). For a manufacturer with 700 employees and gross receipts of 54,000,000, Chula vista's rate would increase from $475 to $5,455. within the County, this would place Chula vista equivalent to Escondido ($5,455), slightly lower than vista ($5,463) and significantly lower than Carlsbad ($10,825). It is recommended that: -,-,...'-'.-.--',-.-:->:-:-:-:-:-:-.-:-:-:-:-:-:-:-:-:-:-:-:'.-:-:-:-:-:-:',-:'-'-::-:--:"---:-'::-:-:::-:,"" .-,-_.,..-...-,....,-_...,-,._.......,.,._..-,-.'..,-,-...-,-..,.,-,...,-...._..-,;.;.-,-,..-.-,-,',.,-.;.'.-,.,..',.,.,......-....,.,.-'-'-.,'-'-',.......,-,'.'...-,'-',-,'-'.',',-,'-',',-,',',-,'.',','.'. RECOMMENDATJ:ON4 =.... ..The. cUy adopt ~hetax rate structure .... .... .....<... .... ..........~ri~T~~:f~~:u:z::ers/whCi1esal.rsdetai1.d It should be noted that under the current tax structure only 7 firms define themselves as manufacturers, ranging in size from 14 to 7,000 employees. It's expected that under the proposed gross receipts tax structure more manufacturers and wholesalers will correctly define themselves as such to benefit from the lower rate structure. - 22 - ~8 TABLE 13. Comparison.of Proposed Business License Rates For Manufacturers. . With Other SO County.Cities (50,000 Population) FEEC"ARGED . Average # .E~loyees: . 70 700 Popu)at.ion . Average City Jan,. 1988. Typeof:Fee. . Rece.i pts: . . $5,400,000 $501,000,000 Santee 51,834 Flat $25 $25 ~ULA VISTA (Current) 124,253 # of E~loyees. 145 475 Oceanside 107,884 # of E~loyees 135 515 National City 52,274 . Gross Receipts 545 894 E I Cajon 84;623 # of E~ loyees 230 2,120 La Hesa 52,295 #of E~ IO>-ees 245 2,135 San Oiego 1,058,702 # ofE~loyees 310 2,830 CHULA VISTA (Proposed) 124,253 Gross Receipts . 595 5,455 Escondida . 93,304 Gross Receipts 595 5,455 Vista 56,402 Gross Receipts" 603 5,463 Car lsbad .58,888 Gross Receipts. .1,105 10,825 TABLE 14. C~arison of Proposed 8usiness License Rates For Manufacturers With Other California Cities (100,000-150,000 Popuiation) FEE CHARGED Average # E~loyees: 70 700 Population Average City Jan, 1987 Type of Fee Receipts: 5,400,000 $54,000,000 Modesto 138,524 Flat $75 $75 "ayward 101,146 # of E~ loyees 133 200 Sunnya Ie 115,225 # of E~ loyees 140 300 Ontario 113,619 # of E~ loyees 200 350 CHULA VISTA (Current) 120,285 # of E~loyees 145 475 Oceans ide 100,981 # of E~loyees 135 515 POIIXlna 117,827 Flat 465 465 Garden Grove 134,141 # of E~loyees 135 1,080 Santa Rosa 102,958 Gross Receipts 680 1,000 Orange 103,264 Gross Receipts 450 2,350 Concord 108,009 # of E~ loyees 516 2,929 Oxnard 123,990 # of E~loyees 523 3,103 Fullerton 110,135 Gross Receipts 565 3,225 C"ULA VISTA (Proposed) 120,285 Gross Receipts 595 5,455 Pasadena 128,256 # of E~loyees 1,314 12,352 San Bernad i no 140,851 Gross Rece i pts 1,350 13,500 Torrance 140,218 # of E~ loyees 2,567 24,617 I ng lewood 102,888 Gross Receipts 4,050 40,500 Berkeley 106,542 Gross Receipts 6,531 64,851 .-.23 ..., 1.'1 H. SPECIAL TAX RATES Some businesses, such as those without a fixed location within Chula Vista, are not appropriately charged by gross receipts. The proposed rates for these businessesj activities are shown in Table 15, on pages 25-27. In general, these rates were set in comparison to rates charged in other cities within the County. Important points to note about Table 15 are: Although special rates are set for a wide array of business typesjactivites, relatively few businesses fall within this category. For some special businesses, such as pawn shops, a separate regulatory fee is shown. This fee represents the cost of special regulatory activities performed by the city's Police Department (e.g. for pawn shops, the processing of weekly reports). As shown in Table 15, these regulatory fees are currently not broken out and simply represent an unspecified portion of the overall license tax. separating the regulatory fee from the business license tax will enable staff to (1) adjust fees as City regulatory costs change and (2) eliminate regulatory fees which are no longer appropriate. As noted in Table 15, the specific regulatory fees are currently being developed by the Police Department. Some businesses, such as motels and hotels, are charged a separate fee for special regulatory activities performed by the City's Building and Housing Department. It is proposed to increase these fees by the change in the San Diego region CPI since the last fee adjustment (20%). Furthermore, it's proposed that these fees be annually indexed to the CPl. Given that the current rates for card rooms have been recently reviewed by Council, no change is proposed. .--,....--,..........--.--..--...--. .-.'_._._-.-_..-.._._....._-,-..,...,-,..:,.,..-,-.._.,--:-:.-.....-,-.....--:.-,-,-..,-...'..,-.......-.'.'.-_.-',-.:.:.:.:.'.:.:.'.'-'''':-'-",-,'-','.-..-:,-,-,'.;.-,-.'.'.'_.,-.'.'...._',-.-...-.-,-,--:..,-.-.;.-.-.;....,-.'.,-..',-. ..~COMl(ENDATIO~ ...5 =.. .......f:....;~~;~a:~~~:::i:t~~s::~:~::t:~i~~........ ~~~,~~~~:'~~'~~!~~i~!~~i1:~~Fi 1992; . . .... . .... . . . - 24 - 3b >- c!!i ... 0- l!l:5 ... => 0... ... "'... ... ... "'... c ... ... l!llQ ... ... ~=:~ ... .... 0- 0- ... .. V> ... .. '" ... !5~~ ........ - V> ... 5 S ~ u ... ... V> '" - ... .... ! .0.0- ~Q -0 ........ .... ..... ~ ... ~- .... c e:. .N :: ~ c ,!! c B__-e CJ ~ ;::" 51 .....~c..Q ii 8- Ii-::: > - ... ...... ~8-8-.c 0.............. U ~~!;;;l .., 5'. %1.", ................... .-l 00 an..... - "'.... ......... 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N ! ., ., " = .... ., ... - - V CO ... - - - ... 8- '- '- '- 8- 8- " c. - - - - - .., - .., - .., - .., - - - '- - '- '- ~ i + ~ : ~ + " + '- '- i; '- 0 " .... .... .. .. .. ~~ oS z V> ~~ ~~ ~~ .... z ... '" ... _ c _ c _ c _ c 6 '" v S ., " ., " ., " ., " = ::: ., - - - - v v - - - - - ~ V> .... S .. S a; ... 0 .. '" ... :5 - .. .. .. .. c ~ .. ... ~ ... ~ a; c c " v ;: c c .... ... " " " " ~ 0.. ;: 0 V> :IE: N ... ., '" ~ - - - .. ..; ... 0 0 0 0 '- V> C ... ... ... ... 0 - V> f .... - .., ~ - ... .... :5 - - -' , , ! V> ~ , , = co 8 ~ - 27 , '" v ... .33 -----~-_..~ . X. FXSCAL XMPACT Given the absence of gross receipt data for many business types, staff can only provide general estimates of the fiscal impact of implementing the tax rate schedules proposed in this report. Based on 1988 retail sales data and projections for non-retail businesses, staff estimate that the proposed changes will increase annual city business license revenues by $700,000-$800,000, from $372,000 to $1,072,000-$1,172,000, representing an increase of 188-215%. As points of reference: The Consumer Price Index has increased by 386% since 1954 with only a 46% increase in business license rates~ since 1978, the CPI has increased by 121% without any increase in the license rates charged most city businesses~ The city's expenditures for pOlice services have risen by 314% since 1978 , with only a corresponding 86% increase in business license revenues~ Presently, business license revenues represent less than 1% of the City's general revenues. Under the proposed tax rate, business license revenue support for general operations would increase to 2.76%. comparatively, in 1954-55 when the current business license tax structure was first adopted, business license revenues represented 6.25% of the city's general revenues. Lastly, as previously noted, even with the proposed increase in business license rates, Chula vista's per-capita business license revenues are like to remain relatively low over the near future because of the City's relatively low per-capita sales tax revenue. J. THE NEW TAX RATE WOULD BE XMPLEMBNTED JANUARY 1, 1991. The new rate structure would become effective January 1, 1991, the City's annual renewal date for business licenses. To achieve that implementation date, a minimum 3 month lead time is required to permit staff to develop new ordinances and/or amend existing ordinances, revise business license forms and modify automated financial systems and reports. Xf the January 1, 1991 date is not met, major changes to the ~usiness license tax structure would likely need to be postponed a full 12 months, until January 1, 1992. A mid- year tax change would impose extremely high costs on the City'S Data Processing Division, Finance Department and City - 28 - . 3r "-_.Irr-_rll ...."P"'r'lo~r'loC!!_" . Attorney's Office, requiring replicative efforts to modify ordinances, revise forms and systems and process payments. It is therefore strongly suggested that the Council make a decision on changes to the business license tax rates no. later than September 25,.1990.. . K. DOWNTOWN IMPROVEMENT DISTRICT In March, 1990 staff presented Council with a request by the Downtown Business Association to increase the Downtown Improvement District assessments;. These special assessments are collected in conjunction with the business license tax and are used t9 support downtown promotions and events. The proposed increase. would reduceor:eliminate the need for the Redevelopment Agency to subsidize downtown promotions and events sponsored by the Downtown Business Association. Presently, the DoWntown Improvement District assessment is set at twice the business license rate, with a maximum assessment of $100. As detailed in the March, 1990 staff report (Attachment Al, current assessments range from $50~ $100 and raise approximately $23,000 for the Downtown Business Association. The proposal presented to Council in March was to increase current assessments by 100%, essentially setting them at 4 times the current business license rate. If business license rates are increased, as proposed in this report, a new methodology for establishing Downtown Improvement District assessments needs to be developed to insure that the assessments are not excessive. Based on the revenue goals detailed in staff's March 15, 1990 report, the fee schedule shown in Table 16 below is proposed: Table 16. Proposed Fee Schedule For Downtown Improvement District Assessments. j/ of Current Proposed Tvoe of Business Emplovees ~ ~ Non-professional 0 $50 $100 Non-professional 1-5 $56-$ 80 $120 Non-professional 6-9 $86-$104 $170 Non-professional 10 or more $100 $200 Professional $100 $200 29 - J5 . Based on an analysis of current business types within the Downtown Improvement District, the proposed fee schedule would generate an additional $23,620 in revenue for the Downtown Business Association. To insure that assessment revenues keep pace with inflation staff recommends that the fee be indexed to changes in the San Diego County Regional Consumer Price Index experienced during the preceeding fiscal year. ... . .......". .....--...."........--......, ,. ......"---_......."..,,.,. .--...."."...--.-......--... ."..........,--,.."'.,.---.---.-.""'.--....,.,... ..'...'.....,.-"."......-........""'. ......--..-".'.............--..-.."-.,,..,.......-....,....-..'. RECOMMENDATION 6: ... . The city adopt the proposed aSsessment .... ... ........ ... .... ... .... .......fee schedule detailed in>rableis for ..... .. ..... . ... ........ .... . .... ....businesses filthe Downtownzliip;rovement . .. . ....... ......... .. .... . .. . .... .. District, said fees to be assessed ... .. ... .... ....... .. ..... . ... commencinq January 1, 1991 and .< .. ... . .... . .. .. annually indexed to changes iilthe Ban . ....... .... .. ... .. . Diego County Reqional Consumer Price. . . .. .... ..Zndex commencinq. January, 1992. - 30.- ~ RESOLUTION NO. 16386 COMMENDING RICHARD A. REYNOLDS FOR HIS EXCELLENT SERVICE ON THE BOARD OF APPEALS AND ADVISORS The City Council of the City of Chula Vista does hereby resolve as follows: WHEREAS, Richard Reynolds was appointed to the Board of Appeals on September 73, 7983, and WHEREAS, Mr. Reynolds brought to the Board his degree in Civil Engineering from California Polytechnic University at Pomona and his vast experience as a consulting civil engineer with public and quasi-public agencies, and WHEREAS, Dick has been an active member of the Board providing conscientious service to the community by serving eight years. WHEREAS, Dick Reynolds was not only dedicated to the fulfillment of tasks and charges made to the Board of Appeals and Advisors upon which he served, but he was very innovative and sensitive to the needs of our community. NOW, THEREFORE, BE IT RESOL VED that the City Council of the City of Chula Vista does hereby recognize the outstanding service that has been rendered by Richard A. Reynolds as a member of the Board of Appeals. ftD..-1 RESOLUTION NO. 16387 COMMENDING RODOLFO DA VID FOR HIS EXCELLENT SERVICE ON THE BOARD OF ETHICS follows: The City Council of the City of Chula Vista does hereby resolve as WHEREAS. Rodolfo David was appointed on September 13. 1983 to the Board of Ethics, and WHEREAS. Rudy brought to the Board his degree from the University of the East as well as his prior experience for six years on the Human Relations Commission, and WHEREAS. his efforts on the Board for the past eight years have been greatly appreciated by the City of Chula Vista, and WHEREAS. his tenure on the Board was marked by a deep concern for the establishment of ethical standards of conduct. NOW, THEREFORE. BE IT RESOL VED that the City Council of the City of Chula Vista does hereby express its gratitude for the dedicated service performed by Rodolfo David on the extremely sensitive Board of Ethics. 4. ~ -2. RESOLUTION NO. 76390 COMMENDING BILL H. BERRY FOR HIS EXCELLENT SERVICE ON THE CIVIL SERVICE COMMISSION follows: The City Council of the City of Chula Vista does hereby resolve as WHEREAS, Bill Berry was appointed to the Civil Service Commission on September 27, 7983, and WHEREAS, Mr. Berry was an active member of the Commission in that he served as Chairman in 7984, and WHEREAS, Bill brought with him his many years of employment with the City of Chula Vista from 7959 through 7983 as Public Works Superintendent, and WHEREAS, Bill Berry always protected the right of employees under the Civil Service System and assisted the City in an unbiased view of all decisions and grievances coming before the Commission. NOW, THEREFORE, BE IT RESOL VED that the City Council of the City of Chula Vista does hereby commend Bill H. Berry and express its appreciation for his services to the City of Chula Vista as a dedicated member of the Civil Service Commission. L./ 0.. -3 RESOLUTION NO. 16384 COMMENDING MARY BRINING FOR HER EXCELLENT SERVICE ON THE INTERNA TlONAL FRIENDSHIP COMMISSION The City Council of the City of Chula Vista does hereby resolve as follows: WHEREAS, Mary Brining was appointed to the International Friendship Commission on September 13, 1983, and WHEREAS, Mary brought to the Commission her background in teaching elementary school coupled with teaching conversational English at the Chinese Naval Academy and to Japanese fishermen and shipbuilders, and WHEREAS, during her many years of service on the Commission, Mrs. Brining acted as Treasurer and was instrumental in raising funds through the sale of T-shirts, and WHEREAS, the work of the International Friendship Commission has resulted in strengthening the ties with our neighbors through our Sister Cities of General Roca, Irapuato and Odawara. NOW, THEREFORE, BE IT RESOL VED that the City Council of the City of Chula Vista does hereby express its appreciation to Mary Brining for her eight years of excellent service to the International Friendship Commission. 4o.~4 RESOLUTION NO. 16385 COMMENDING SUZANNE MILLER FOR HER EXCELLENT SERVICE ON THE UBRARY BOARD OF TRUSTEES The City Council of the City of Chula Vista does hereby resolve as follows: WHEREAS, Suzanne Miller was appointed to the Library Board of Trustees on October 14, 1981, and WHEREAS, Mrs. Miller has been an active member of the Board serving as Chairman during the years 1986 and 1990 and Vice-Chairman during the years 1985 and 1989; and WHEREAS, Suzanne brought to the Board her degree and teaching credential from Whittier College, her experience as Sweetwater Education Association Secretary, her membership on Congressman Hunter's Commission on Education and 1983-84 President of the Professional Educator's in Adult Continuing Education (PACE), and WHEREAS, her tenure on the Library Board was marked by a deep concern for the welfare of our community. NOW, THEREFORE, BE IT RESOL VED that the City Council of the City of Chula Vista does hereby express its gratitude for the outstanding services performed by Suzanne Miller as a member of the City's Library Board of Trustees. tfo., S" RESOLUTION NO. 16391 COMMENDING SHIRLEY GRASSER HORTON FOR HER EXCELLENT SERVICE ON THE PLANNING COMMISSION The City Council of the City of Chula Vista does hereby resolve as follows: WHEREAS, Shirley Grasser Horton was appointed to the Planning Commission on September 7, 1985, and WHEREAS, Ms. Grasser Horton so ably served as the Chairperson during 1990 and was a member of the Beautification A wards Committee, and WHEREAS, Shirley brought to the Commission her degree in Accounting from San Diego State University enhanced by her professional experience as a real estate broker, her membership on the Tax Appeals Board and Board of Realtors as well as being Director and Treasurer of the Chula Vista Chamber of Commerce Economic Development Committee, and WHEREAS, Shirley served on the Planning Commission during the approval of several major planned communities and the City's major General Plan update and while serving on the Commission, she challenged developers to provide a mixture of affordable as well as estate housing. NOW, THEREFORE, BE IT RESOL VED that the City Council of the City of Chula Vista does hereby offer its heartfelt thanks for the excellent work that Shirley Grasser Horton has undertaken on behalf of the people of Chula Vista in her efforts as a member and Chairperson of the Planning Commission. 4A'~ RESOLUTION NO. 16388 COMMENDING ERNEST -HAP- ARNOLD FOR HIS EXCELLENT SERVICE ON THE SAFETY COMMISSION The City Council of the City of Chula Vista does hereby resolve as follows: WHEREAS. Ernest Arnold was appointed to the Safety Commission on September 13, 1983, and WHEREAS. Mr. Arnold has been an active member of the Commission serving as Vice-Chairman during fiscal years 1986-88; and WHEREAS. "Hap" brought to the Commission has degree in Naval Science from the Naval Academy as well as his vast experience as a Commander in the U. S. Navy, and WHEREAS. his tenure with the Commission was marked by a deep concern for the welfare of our community especially as the watchdog for "L" Street in that he was instrumental in spearheading the campaign to have traffic signals installed on "L" and First Avenue and "L" and Second Avenue. NOW, THEREFORE. BE IT RESOL VED that the City Council of the City of Chula Vista does hereby commend Ernest "Hap" Arnold for his dedicated and conscientious service on the Safety Commission. 4-6. .'7 RESOLUTION NO. 16389 COMMENDING EUGENE MIUTSCHER FOR HIS EXCELLENT SERVICE ON THE SAFETY COMMISSION The City Council of the City of Chula Vista does hereby resolve as follows: WHEREAS, Eugene Militscher was appointed to the Safety Commission on September 13, 1983, and WHEREAS, Gene served as Vice-Chairman during fiscal year 1985-86; and WHEREAS, his services for the past eight years have been greatly appreciated by the community, and WHEREAS, Mr. Militscher has been especially zealous in his part-time work for the Police Department as a volunteer Parking Control Officer in his efforts to enforce handicapped parking regulations. NOW, THEREFORE, BE IT RESOL VED that the City Council of the City of Chula Vista does hereby recognize the fine service that has been rendered by Eugene Militscher for eight years on the Safety Commission. 4-..-8' RECEIVED ~ San Diego ASSOCIATION OF GOVERNMENTS October 15, 1991 '91 ocr 17 A9 :49 Suite 800, .First Interstate Plaza 401 B Street San Diego. California 92101 (619)595-5300 Fax (619)595-5305 CITY OF ',f A Mr. John Goss CITY 'TF City Manager, City of Chula Vista P.O. Box 1087 Chula Vista, CA 91912 Dear Mr. Goss: The Draft Shoreline Preservation Strategy was approved for distribution and review by the SANDAG Board of Directors on September 27, 1991. The Strategy has been sent to you under separate cover. A copy of the Executive Summary was mailed to all of the region's elected officials at the same time. The Draft Strategy was prepared under the guidance of the SANDAG Shoreline Erosion Committee. The Strategy contains comprehensive recommendations for a beach building program to address shoreline erosion at many of the region's beaches, implementation actions, and a financing program empl111~hing local sources. The review period for the Strategy extends through December 6, 1991. The SANDAG Board will be asked to adopt a Final Strategy after the review period is completed and the Strategy is revised based on the comments received. In addition, all local governments in the region will be asked to make the implementation and financing commitments recommended in the Strategy. Therefore, the City's review of the Draft Strategy is encouraged. Steve Sachs of our staff is available to make presentations to the City Council and city staff and advisory groups, including a 10 minute slide show. Please contact me or Steve at 595-5346 regarding scheduling presentations and any questions about the Draft Strategy. Sin E. SULZER Executive Director KES/ah cc: Beverly Authelet, City Clerk . ~l4) ~N' WRrl'~fEr~ COi\\MUNICAT~ONS ~K~. . .. DMEMBER AGENCIES: Cities of Carlsbad, Chula Vista, Coronado, Del Mar. EI Cajon. Encinitas, Escondida, Imperial Beach, La Mesa, Lemon Grove, National City, Oceanside, Poway, San Diego, San Marcos, Santee. Solana Beach, Vista and County of San Diego. ADVISORY/LIAISON MEMBERS: California Department of Transportation, U.S. Department of Defense and Tijuana/Baja California. 5A. - } \'\ ,"" ,'}, ' \.r_" \ ,'I - _ " ',Y0' o \"-~~"\~ October 25, 1991 To: Shauna Stokes, Principal Management Assistant Rosemary Brodbeck, Recreation Supervisor lI~ Youth Commissioner/Resignation From: Subject: This memorandum is to verify that Youth Commissioner, John Rodgers officially resigned at the June 10, 1991 meeting. VtJR~riE~~ COMMUNIC,""T!ONS 5b.-1 . . . ii;ri I<AlSER PERMANENTE Medical Care Program Southern California Region October 18, 1991 r:- t f'"'\ ....... - ---~-,- I r I Ii ':, :, n '" " - ," ~_~..::.. ""!l" I!:. ..........\ J~~f ---- I" 'j ~ I,..,: I f' I I' ' ULl' OCT I jC-" ! ; ;: ' L .:;ll ii .'j, 1-'" , . C/ih-:t; ~_._-- -.1 ' CHd ~.'/:: ..~~'~ ~::is I Mayor Tim Nader and Councilmembers City of Chula Vista 276 Fourth Avenue Chula Vista, CA 91910 ~.- Dear Mayor Nader and Council: , As you know, Kaiser Permanente is in escrow on a 34 acre parcel of land in the EastLake Village Center area, as the site for a second major medical center in San ,Diego County. This proposed new complex will be built in phases, the first of which will be a 215,000 square foot outpatient medical office building, scheduled to open in 1995. The second phase is the 200.bed hospital, expected to open in the late 1997, early 1998 timeframe. . Preliminary architectural design concepts for the medical center complex suggest it will be a fine addition to your community. The design will be unlike any other Kaiser Permanente facility in San Diego County. In fact, because it will be such a departure from our existing facilities, we would like to offer you and your designees a tour of a couple out-of-town Kaiser Permanente medical centers. We believe a visit to these other facilities would instill confidence in the capabilities of our architectural design team and expose you to the character of the new generation of KP medical facilities which you cannot glean from those here in San Diego County. We propose a visit to the two-year-old Kaiser Permanente Medical Center in . Riverside and perhaps one under construction in Baldwin Park. These facilities are not the design of the proposed Chula Vista medical center, however, they are representative of the quality and character of medical facilities we are now designing and building. We would like to mange far such a tour to -take place between now and November 18 for about five to ten people from the City of Chula Vista who would benefit from such a tour. If you agree that it would be valuable to . . ~\~ l0 preview the quality mOf the new generation of KP ~ci1i:es, ~lea::~pro~ide me with ~~,,~. W~ET1EN COMMU~JllCA1~,.or~~. Li Community . 4647zionAvenue~:.. ~Diego .. Califomia92120 . (619)589-3172 _ In.ILL IIIiiIIiIii6II the names of those individuals from the City who would be participating on the tour and I will coordinate the date and make the necessary llJTlUlgements. Please contact me at 589-3172. Sincerely, ~~~ Diane Strum Director Government & Community Affairs cc: John Goss City Manager , 5c. .. 1. . . .- OJUNCIL AGENDA STATEMENT Item lR ITEM TITLE: Meeting Date 11 / 5/ 91 Ordinance :2. 4~3 Amending Sections 19.60.020 and 19.08.030 of the Chula Vista Municipal Code tQ~a~nforcement Easier Assistant City Attorney Fritsch ~ I~ (4/Sths Vote: YeS_NO~) SUBMITl'ED BY: ~ATIOO: Place ordinance on first reading. BOARDS/COMMISSIONS RE<DMMENDATION: N/A DISCUSSIOO: Pursuant to Council direction, the planning Department, Building and Housing Department, and City Attorney's Office have initiated enforcement efforts to deal with the problem of illegal signs. As a result, we have discovered a need to clarify our ordinances. We propose two amendments to the Code as follows. Currently, Section 19.60.020 makes it illegal to erect an illegal sign. While this is fine, it does not go far enough. A potential enforcement problem exists because we generally don't see the sign until well after it has been in place for some time. We rarely see a sign in the process of being erected. Therefore, we would like to change the language so as to have enforcement power against those not only who we see erecting a sign, but also those who are plainly guilty of maintaining or permitting an illegal sign. To that end, we propose the addition of the words, "maintain or permit" into the ordinance as set forth on the following page. Section 19.08.030 requires us to prosecute sign violations as misdemeanors. We would like to have the flexibility of enforcing them as infractions instead. To that end, we suggest an amendment to Section 19.08.030 to give us the option of prosecuting these offenses as either infractions or misdemeanors. Only in a truly egregious case would we want to prosecute such a violation as a misdemeanor. FISCAL IMPACT: None 9249a &-1/6 -2. COUNCIL AGENDA STATEMENT Item 7 Meetinq Date 11/5/91 ITEM TITLE: Ordinance the Chula :l.Y8i.( Adding section 8.24.045 to vista Municipal Code Relating to Trash City Attorney Fritsch(~ COUNCIL REFERRAL NO. 2461 SUBMITTED BY: Assistant 4/5ths Vote: Yes NO---1!; DISCUSSION: In reviewing our ordinances that regulate garbage and litter in Chapter 8.24 of the Municipal Code, we came across a situation that demands attention. We have had some problems with people using City trash receptacles on a routine basis to unload their privately generated garbage. While we do have ordinances that prohibit the disposal of garbage on private property without the owner's consent and we similarly have an ordinance which prohibits littering on the right of way, we do not have an ordinance which specifically addresses this precise situation. Therefore, we ask that Council place the attached ordinance on first reading. RECOMMENDATION: Place on first reading. BOARDS/COMMISSIONS RECOMMENDATION: N/A FISCAL IMPACT: N/A 7~1 COUNCIL AGENDA STATEMENT Item \? Meeting Date 11/05/91 Resolution /I, ~q:t Making certain Findings and Authorizing Distribution of the Eastlake Reserve Fund SUBMITTED BY: Director of Finance ttf ITEM TITLE: REVIEWED BY: city Manageri~{(, (4/5THS Vote: Yes_No-.lL-) The Eastlake I sectional Planning Area (SPA) Plan was approved by the City council in 1985 and included provisions for a Reserve Fund as part of the adopted Public Facilities Financing Plan. The Agreement for the Reserve Fund contained certain conditions that, when satisfied, triggered distribution of the Fund. The purpose of today's action is to make a finding that certain conditions have been met and therefore authorize distribution of the balance of the Reserve Fund. RECOMMENDATION: That Council approve the Resolution. BOARDS/COMMISSIONS RECOMMENDATION: Not Applicable. DISCUSSION: The Eastlake Reserve Fund was established and held by the City to provide a funding source in the event that the development of the Eastlake I area had a negative fiscal impact on the city. Based on an annual fiscal impact analysis, if it was determined that the General Fund Operating Revenues generated from Eastlake were not sufficient to cover the costs of providing municipal services required by the Development, then monies would be transferred to the General Fund to cover the shortfall. Funding for the Reserve Fund has been entirely from annual deposits made by Eastlake Development Company pI us investment earnings. Since 1986, Eastlake has contributed $475,000 and the total currently in the Reserve Fund, including investment earnings, is approximately $550,000. The agreement for the Reserve Fund provided that it would "be established for a period of ten years or until there is a positive cash flow in four successive years, whichever comes first". On meeting this condition, the balance of the Fund will be distributed with "fifty percent to the City of Chula vista and fifty percent to Eastlake Development Company". ~~) Page 2, Item 1? Meeting Date 11/05/91 The annual fiscal impact analysis for Eastlake I has been performed by John McTighe & Associates with the following results: Fiscal Year Amount 1986/87 ($7,474) Amount transferred to General Fund 1987/88 $16,973 1988/89 $116,798 1989/90 $220,011 1990/91 $263,907 As indicated above, there have been four successive years of a positive fiscal impact. In accordance with the agreement, Eastlake has requested that the balance in the Reserve Fund now be distributed with fifty percent to Eastlake and fifty percent to the city. FISCAL IMPACT: The Reserve Fund has a balance of approximately $550,000 and, under the terms of the agreement, the city and Eastlake will each receive $275,000. The $275,000 to the City was included as anticipated General Fund revenue in the city Manager's Fiscal Year 1991-92 Budget as adopted by the City Council. Attachment One - Reserve Fund for Eastlake Development~ Attachment Two - Chapter One of City of Chula Vista, Analysis of Fiscal Year 1990-91, Operating Fiscal Impact of Eastlake I /ltJr ~~"'~~ ~ . ::t. RESOLUTION NO. 'l.!l12... RESOLUTION OF THE CITY COUNCIL CHULA VISTA MAKING CERTAIN AUTHORIZING DISTRIBUTION OF RESERVE FUND OF THE CITY OF FINDINGS AND THE EASTLAKE The City Council of the City of Chula vista does hereby resolve as follows: WHEREAS, the Eastlake I sectional Planning Area (SPA) Plan was approved by the City council in 1985 and included provisions for a Reserve Fund as part of the adopted Public Facilities Financing Plan; and WHEREAS, the Agreement for the Reserve Fund provided that it would "be established for a period of ten years or until there is a positive cash flow in four successive years, whichever comes first"; and WHEREAS, on meeting this condition, the balance of the Fund will be distributed with "fifty percent to the City of Chula vista and fifty percent to Eastlake Development Company; and WHEREAS, there have four successive years of a fiscal impact in accordance with the fiscal impact performed by John McTighe & Associates; and WHEREAS, in accordance with the Agreement for the Reserve Fund, Eastlake has requested that the balance in the Reserve Fund of approximately $550,000 now be distributed with fifty percent to Eastlake and fifty percent to the City. positive analysis NOW, THEREFORE, BE IT RESOLVED that the city Council of the City of Chula vista does hereby make a finding that certain conditions have been met in the Agreement for the Reserve Fund and authorizes the distribution of the balance of approximately $550,000 of the Reserve Fund with fifty percent to the city of Chula vista and fifty percent to Eastlake Development Company. ( Approved as to form by ~~~ eff- Attorney Presented by Lyman Christopher, Director of Finance C:\RS\EL Reserve Fund ~~3 ~ . - 'i. .'::",!' .,-,,' . - I a1 'RE'SERVE FUND FOR EASTLAKE DEVELOPMENT "- - The Fi sea I Impact Ana lys is for Eastlake I, dated July 6, 1 9l:l4 , and prepared by Public Affairs Consultants demonstrates a positive cash flow to the City of Chula Vista resulting from the development of East Like I. Thlt 1s, the operlting revenues flowing to the City IS I result of the ElstLake Develop- -.nt are substantially higher than the costs to the City of providing munici- pal services to the EastLake area. The City is establishing a Reserve Fund for EastLake Develotment to be used in the event that the City operating revenues generated from astLake are not sufficient to cover the costs of providing MUnicipal services required by the development, Funding sources for the Reserve Fund are: 1. Revenues from Purchasing Agency concept. City is to contribute to the Fund 80~ of sales tax revenue generated from the Purchasing Agency. 2. Interest savings realized by the Developer as a result of USing tax exempt financing. Developer to contribute to the fund l:lO~ of f~1 annual interest savings realized from using tax exempt financing. This applies to all tax exempt financing with the exception of the High School (Phase 1) and Elementary School listed on Table B of the Public Facili- ties Financing Plan. Interest earnings resulting from the investment of Reserve Fund monies will be credited to the Reserve Fund. Coinciding with the annual review, the City is to have a fiscal impact analysis prepared using similar methodology as contained in the analysis prepared by Public Affairs Consultants. Cost of the preparation of the analysis is to be paid for from the Reserve Fund. If the fiscal impact analysis indicates a pOSitive cash flow, the balance will carry forward on a cumulative basis from year to year. , If the fiscal impact analysis indicates a negative cash flow, then the C Hy will draw from the Reserve Fund to cover the short fa 11. 1 f there are i nsuffi c i ent funds in the Reserve fund, then EastLake Development Company will either 1) halt development or 2) contribute an amount neces- sary to cover the shortfall so that development _ay proceed. The Reserve fund is to be funded to a maximum of $1.5 million. When the Fund reaches $1. 5 mi 11 ion, contri but ions by the City and Developer will be suspended. If the Fund balance subsequently falls below $1.5 million contributions will be reinstated. ' ,~ ~ -'I . i l ~ . ~~ I - 1- '11 .~ - I .~- 4 .'':~ - .~ - ll- J. - - - 1: .- ", i' 'j,- ,- . ',- l ;I. 1- '.1:- "~- " ~ 'l~-- -- (1) If tax exempt financing js. used for additional pUblic facilities other than on Table B of the Public Facilities Financing Plan, then the City (Purchasing Agency) and Developer (interest savings) contributions will be reduced from 8D~ to 5D~. l- - .~ ATTACHMENT ONE ",-.. A-1 " <(~5" ,;:~,' I , , .{ 1 1 The Reserve Fund is to be established for a period of ten years or until there is a posltive cash flow in four successive years. whichever comes flrst. At the tlme of the flnal distrlbutlon. the Developer w111 first be reimbursed from the Reserve Fund for any IIIOnies that the Developer contri- buted in prlor years to cover a shortfall ln order that development could proceed. Followlng thls reilllbursement. the balance of the Fund will be distributed as follows: 1) Cash distribution df flfty percent to the City of Chula Vi~ta and flfty percent to EastLake Oevelo~nt COIPany. 2) In lieu of fifty percent cash dlstributlon to EastLake. the Clty may. at EastLake's request a) Waive fees up to an amount equaling EastLake's fifty percent share. or ~ ~ " '~ i.l 1 j l "'4 ~- b) Contribute to onsite or public i~rovements up to an amount equaling EastLake's fifty percent share. 1 I ':~~ ~ ! . ; :, I' ~'si f I I , 'I' 1 1 1 ~ j j I , ~ 1 'J 1 / ,', , ~ :Or ~ '. ,~ ',t'lO ~ i A-2 ~-lD . . , ,. "'<ki,~ r- Uf' CITY OF CHULA VISTA ANALYSIS OF FISCAL YEAR 1990-91 OPERATING FISCAL IMPACT OF EASTLAKE I October 14, 1991 ,i' l " i I I , , Prepared for: CITY OF CHULA VISTA Department of Finance 276 Fourth Avenue Chula Vista. California 91910 J 'j . ,.. Prepared by: JOHN McTIGHE & ASSOCIATES 3160 Camino Del Rio South, Suite 205 San Diego. California 92108 (619) 281-7724 . I i I i , ; ~, ,. 'J ATTACHMENT TWO ~.1 L ] ';j .~ ,jj I ~ J ~ , '! .~ ..~ ] ~ \ "1 1 ! 1 J , 1 l ~ 'k , l 1 'i 1 '"'! . >:., CHAPTER I . INTRODUCTION AND SUMMARY SCOPE OF REPORT This Is the fifth consecutive year an analysis has been prepared to show the actual fiscal impact on the City of Chula Vista's operating budget as a result of the development of EastLake I. This report covers the operating expenditures and revenues of the City during fiscal year 1990.91. It has been prepared by John McTighe & Associates (JMA). JMA prepared the original fiscal impact analysis that was part of the Environmental Impact Report for the EastLake I sectional planning area prepared in 1984. Since that time JMA has prepared the impact reports for the first four fiscal years (1986.87. 1987-88. 1988-89 & 1989-90) of EastLake I's development. As part of the requirements contained in the Public Facilities Financing Plan and the development agreement for EastLake I between the City and EastLake Development Company, an annual fiscal analysis is to be prepared for the purpose of determining what the actual fiscal impact on the City has been in the previous year. If the impact is found to be positive. no additional actions are required and the positive balance is to be carried forward on a cumulative basis from year to year. If the impact is found to be negative. however, a reimbursement of funds to the City is required. The reimbursement was to take place from a special "Reserve Fund for EastLake Development" established for this purpose. The section of the EastLake I Public Facilities Financing Plan which explains the reserve fund is included in this report as Appendix A. This fifth full year's (1990-91) analysis has considered all known operating costs and revenues that might be attributable to the EastLake I area. City operating costs were projected based on input received from various City departments and a computer model that u1ilized the fiscal year 1990-91 actual expenditures of the City as the basis for quantifying the impact. The model includes an allocation of indirect and overhead costs to direct service activities of the City. In this manner the estimates of added costs attributed to EastLake I reflect the full costs to the City of providing services to this area of the City. City revenue estimates were based on the actual revenue sources of the City in fiscal year 1990.91. The previously developed computer model of the relationship of individual revenue accounts to population, land use and other factors was updated by John McTighe & Associates to reflect the changes in revenue Ihat were most likely related to the EastLake I development. HISTORY OF ANALYSES First Fiscal Year (1986-87) The first residential occupancies occurred In EastLake I during fiscal year 1986-87. By the end of that first year there were a total of 575 occupied dwelling units and approximately 5.5 acres of developed Industrial park within EastLake. The analysis of that first year concluded an estimated $7,474 negative impact on operating costs and revenues of the City of Chula Vista. Total costs attributable to EastLake I for fiscal year 1986-87 equaled $180,081. Police and animal control services were the largest expense. totaling $84,203 - 46.7% of the total cost. For fiscal year 1986-87 total revenues from EastLake I equaled $172,607. Property taxes were EastLake's largest revenue source, totaling $45,509, or 26.4% of total revenues for fiscal year 1986-87. 1 C(-i . ,i i , fi , t j > ~ . -'5 1 ~ 1 ~ 1 , ;1: j '! ~ 1 .ill "l 1 .. .;i 1 '~~ 1 i~. ,., " .~ ,I, '~l , , , ..,.,."....."'":'" Second Fiscal Vear (1987-88) By the end of the second fiscal year (1987-88) of EastLake I's development. the number of occupied dwelling units had increased to 1.226, more than double the number at the end of the first year. Industrial development also increased with a total of 11.1 acres of industrial property having been developed. The net operating fiscal impact on the City of Chula Vista during 1987-88 was a positive $16,973. with revenues of $544,667 exceeding the costs of $527,694. Once again, police and animal control services accounted for the single largest expenditure category of $301.029, more than 57% of the total expenditures. The allocation of city-wide fire expenditures to EastLake accounted for the second largest category at $101,343. On the revenue side, property taxes accounted for the largest single source during 1987-88, with $173,719 being received by the City from property within EastLake I. An estimated $115,566 of sales tax revenue was attributed to EastLake based on the number of residents who were living there during the year. Third Fiscal Vear (1988-89) The analysis for the third year,1988.89, for EastLake I concluded with a posifive impact on the City of Chula Vista of $116,798, Operating costs attributed to EastLake I totaled $820,956 for fiscal year 1988-89, while revenues totaled $937,755. Again, property taxes in EastLake I amounted to the largest revenue source, being $250.809, or approximately 26.7% of total revenue. Sales tax revenue received by the City from EastLake residents increased to $224,293 for fiscal year 1988.89. Of the expenditures attributed to EastLake I, during 1988-89, the largest category was again, police and animal control services which totaled $483,901, or 58.9% of total expenditures. The next largest expenditure was from fire services attributed to EastLake, which totaled $145,303, or 17.7% of total operating costs for the fiscal year 1988-89. In terms of EastLake I's development, the number of occupied dwelling units by the end of fiscal year 1988-89 increased to 1,674. The total number of acres of Industrial property was 42.52 by the end of 1988.89. Fourth Fiscal Vear (1989-90) For the fiscal year, 1989-90 total expenditures attributable to EastLake I for the City were $975,568, while revenues were $1,195,579. This resulted in a positive impact for EastLake I, amounting to $220,011. Expenditures in the category of police and animal control were the largest, totaling $614,536 or 62.9% of the total costs attributable to EastLake I. The next largest expenditure was fire services which amounted to $122,068 or 12.5% of total operating costs. Revenues from EastLake I in the category of property taxes were $360,369 or 30.1 % of total revenue. Sales tax revenues were $274,856 or 22.9% of total revenue. There were no new acres of industrial development in the fourth year. The number of occupied dwelling units increased by the end 1989-90 to 1,808. Fifth Fiscal Vear (1,990-91) For this fifth year (1990-91), there were 11.52 newly occupied acres of industrial development. The number of occupied dwelling units increased to 1,812 by the end of 1990- 91. EastLake I had a positive net impact on the City's operating budget of $263,907. Revenues continue to grow at a faster rate than expenditures as the assessed value from new construction 2 ~~~ ..~ ! I ~ continues to be reflected In each year's analysis. During 1990.91, revenue from property the City share of the property taxes collected on property at EastLake I increased by $101,285. Much of this was a result of the full year's assessed value of structures within the EastLake Business Park being shown for the first time. This was followed in significance by sales tax revenue, which amounted to $307,788 in 1990-91. Expenditures Increased In 1990-91 to a total of $1,206,596. The largest expenditures continue to be for pollee and animal control, which accounted for $708,219, or nearly 59% of the total In 1990-91. Figure 1-1 shows a comparison of revenues and expenditures from EastLake I for fiscal years 1986-87, 1987-88, 1988-89, and 1989-90 as estimated by the previous analyses, and fiscal year 1990-91, as estimated by the current fiscal impact analysis. J i ~ .'l i ~ ~ -j ..( (. 1J Figure 1.1 EastLake I Comparison of Annual Revenues and Expenditures 1 '. $1,600,000 $1,400,000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 $1,195,579 06,598 l!~~!,i 75,568 ~ ii! ~ ,,~ .... -..~ 4 ~ "I II 1986-87 1987-88 1988.89 1989.90 1990-91 III Revenue 0 Expenditure I - .,j '",' ,~ . ~1: ~ i , ~1 ~ ., 1 . .' :<i 3 '8- I 0 ""'~ , , ..~ ,~ . . , '~ J . ~ "f 'j ~ . J 1 1 \l oj J .~ , ''f ~ :..J , ,4 1 4 .l< . ',i- I 1 "......... Figure 1.2 East Lake I Comparison of Surpluses and Deficits $700,000 $610,21 $600,000 $500.000 $400.000 $300.000 $200,000 $100,000 $0 ($100,000) 4) ,_ Annual o Cumulative I CHARACTERISTICS OF THE DEVELOPMENT TO DATE It has been assumed that people moved into their new Eastlake homes upon the close of escrow, All production housing was sold and occupied by end of the previous fiscal year (1989-90), In the case of the estate lots, four were known to be built on and occupied during the fiscal year, In this case four units on estate lots were used for the purpose of projecting cost and revenue impacts during the fiscal year, The closings were grouped by quarter to provide for ease of data handling and understanding, Figure 1-3 shows the number of actually occupied dwelling units as of the end of each of the four previous fiscal years and at the end of each quarter during fiscal year 1990-91. 4 <(-I' I I Figure 1.3 ElltLake I Occupied Dwelling Unltl at End of Fllcal Vearl and Quarterl , ~ ~ '\ 2,000 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 CD ,... <Xl 0> 0 ~ C\l C'l '<t <Xl <Xl <Xl <Xl 0> 0 0 0 0 0> 0> 0> 0> 0> ~ ~ ~ ~ ~ ~ ~ ~ ~ 0> 0> 0> 0> 0> 0> 0> 0> ~ ~ ~ ~ I 1 ~ ) I J There were 11,52 acres of new indusfrlal development occupied during fiscal year 1990-91, bringing the total non.residential development in EastLake I to 70,86 by the end of the fiscal year. Of this total, 60.86 wfls in industrial development, while the remainder was for a school site. 1 1 Since many of the cost and revenue elements are dependent on the population residing in EastLake I, Figure 1-4 shows the population estimates for EastLake I based on the population per household factors shown on the table and the residential closings from Table 1.1. The population per household factors were provided by the Chula Vista Planning Department from information originally supplied by the State Department of Finance's Population Projection Unit, These factors represent the average coefficient of persons per household for the City of Chula Vista used by the state in its annual estimate of population, The state currently uses 3.213 persons per single family detached unit, 2.794 persons per single family attached unit, 2.452 persons per unit in complexes with two to four units, 2.192 persons per unit in multi.famlly complexes of five or more, and 1.652 persons per mobile home. 1 4 I 1 ., ~ ~ ~ t .~ ;j .& . ~ ., 5 <(- '1- -:~ , ~ . < ., i , I . t J J 1 l .'~ < .,~ ~ ~ ~ i 1 1 ~ 11 ~ 5,~ ~ A J ~ '1 '~ ,~ ~:'."":tl\,~ 6,000 5.000 4.000 3.000 2,000 1 ,000 o Figure 1.4 Ealtlake I Eltlmated Relldent Population at End of Fllca' Vearl and Quartera ".. '" '" 0 ~ N C') ... '" '" '" '" 0 0 0 0 '" 0> '" 0> ~ ~ ~ ~ ~ ~ ~ ~ 0> 0> 0> 0> 0> 0> 0> 0> ~ ~ ~ ~ Fiscal Years/Quarters SUMMARV OF ANAL VSIS The development of EastLake I is estimated to have had a $263,907 positive impact on the operating costs and revenues of the City of Chula Vista during fiscal year 1990-91, In other words, operating revenues exceeded operating expenditures as shown on the following table, Table 1.1 Eastlake I Estimated Actual Operating Revenues and Expenditures Fiscal Vear 1990-91 REVENJE $1,470,503 $1,206.596 a::srs --------- NET IMPACT $263,907 Chapter 1/ discusses the expenditure impacts of EastLake I, while the effect on City operating revenue Is discussed in Chapter III. 6 ~-I~ COUNCIL AGENDA STATEMENT ITEM~ MEETING DATE 11/5/91 Resolution I~~ accepting federal Library Services and Construction Act (LSCA) funds for the purchase of books and materials to serve Spanish-speaking immigrants, appropriating funds and amending the FY 1991-92 budget SUBMITTED BY: Library Director~ G}~" -< b REVIEWED BY: City Manager 1--"IJ ITEM TITLE: (4/5ths Vote: Yes-K-No__) The California State Library has approved two grant applications from the Chula vista Public Library for the purchase of books and other materials. Two grants of $4,000 each were awarded, one for the library at 365 F Street, and one for the Castle Park Library, at 1592 Third Avenue, for a total of $8,000. RECOMMENDATION: That Council adopt the resolution BOARD/COMMISSION RECOMMENDATION: On August 7, 1991, the Library Board of Trustees voted to support the Library's application for grants to serve Spanish-speaking immigrant populations. DISCUSSION The State Librarian has made available federal Library Services and Construction Act (LSCA) funds to develop a program to improve service to immigrant populations. Grant funds are to be used for the purchase of approximately 600 books and other materials for Spanish-speaking immigrants which provide assistance in the process of their adaptation to the United States, e.g., learn English, find employment or housing, respond to medical, legal or household repair concerns. FISCAL IMPACT Accepting these two grants will provide $8,000 to the City Library and this amount will be appropriated for the purchase of these books and materials. q.., RESOLUTION NO. J/-. !>t1. 3 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING FEDERAL LIBRARY SERVICES AND CONSTRUCTION ACT (LSCA) FUNDS FOR THE PURCHASE OF MATERIALS TO SERVE SPANISH SPEAKING IMMIGRANTS, APPROPRIATING FUNDS AND AMENDING THE FY 1991-92 BUDGET The City Council of the City of Chula vista does hereby resolve as follows: WHEREAS, the State Librarian has made available federal Library Services and Construction Act (LSCA) funds to develop a program to improve service to immigrant populations; and WHEREAS, in fiscal year 1991-92 grants will be earmarked to serve Spanish speaking immigrant populations by purchasing books and other library materials which assist the process of immigrant adaptation to life in the United States; and WHEREAS, on August 7, 1991, the Library Board of Trustees voted to support the Library'S application for a grant to serve Spanish speaking immigrant populations; and WHEREAS, the State of California has approved the Chula vista Public Library'S application for grant funds in the amount of $8,000, $4,000 each for the Library at 365 F Street, and the Castle Park Library, at 1592 Third Avenue. NOW, THEREFORE, BE IT RESOLVED that the city Council of the City of Chula vista does hereby accept Federal Library Services and Construction Act (LSCA) funds for the purchase of materials to serve Spanish speaking immigrants. BE IT FURTHER RESOLVED that the FY 1991-92 budget is hereby amended to appropriate $8,000 to the Federal Grant/Library Account 260-2608-5331 as reimbursement for the purchase of these materials. Presented by Approved as to form by Director~~L Attorney Rosemary Lane, Library q-l.. COUNCIL AGENDA STATEMENT Item Meeting Date /0 11/05/91 ITEM TITLE: Resolution t!,:I,)t\q directing the formation of an Underground Utility District along "F" street from Third Avenue to Second Avenue; and approve a change order to the Norman Park Center renovation project for construction of a bus turnout/drop-off zone SUBMITTED BY: Director of Parks and Rec~~a}io~ Director of Public Works yrv REVIEWED BY: City Manager ~(L 119 (4/5ths Vote: YeS_No-L) ~.,l In December, 1989, the City Council directed staff to proceed with a re-design for the renovation of Norman Park Center. The approved re-design plans also involved the construction of a bus turnout/drop-off zone, and Underground Utility District, along "F" street, in front of Norman Park Center. The construction of the turnout/drop-off zone, and any necessary undergrounding requirements has not been accomplished. However, staff is now bringing forward to the Council the recommendation for the Underground Utility District and turnout/drop-off zone, plus alternatives for Council consideration. RECOMMENDATION: That the City Council: 1. Approve a change order to authorize the contractor for the Norman Park Center renovation proj ect to construct a bus turnout/drop-off zone (completed by November 30, 1991), as depicted in the attached schematic; and 2. Direct staff to form an Undergounding District on "F" street between Third Avenue and Second Avenue. BOARDS/COMMISSIONS RECOMMENDATION: Both the Parks and Recreation Commission (January 21, 1988) and the Commission on Aging (April 21, 1988) had previously considered this issue when the design plans for the Norman Park Center renovation project were brought before them. Both commissions approved the project with the plans calling for a bus turnout/drop-off zone and the necessary design for the undergrounding of utilities. [turnout] 1 )0 - I Item 10 Meeting Date 11/05/91 DISCUSSION: Backqround: The originally proposed turnout/drop-off zone would accommodate bus tours, and the Off-loading of passengers, materials and supplies. There were renderings presented to the Council, during the decision process in November and December, 1989, which depicted a turnout in front of the building. There was discussion to move the present transit stop, which is located in front of Congregational Towers, 100 feet east to the front of Norman Park Center. The Parks and Recreation Department Landscape Architect had advised that in order to accommodate a full-scale bus turnout/drop-off zone, substantial undergrounding of utilities would be required in front of the center. Further investigation by the Public Works Department revealed an undergrounding district would be necessary from Third Avenue to Second Avenue, including both sides of "F" street, in order to secure funding from SDG&E. The time line for an Underground District was a minimum of two years. Therefore, the ability to implement the turnout and the undergrounding along with the construction of the new Norman Park Center was not feasible, at that time. Although Council directed staff to construct a turnout and form an underground district, the plans and specifications for the Norman Park Center project were not drawn to depict the turnout, because the undergrounding project had a two year time line. In the FY 90/91 Capital Improvement Project budget, $151,800 of San Diego Gas & Electric Funds was identified to accomplish the undergrounding district. This amount was not identified in the FY 91/92 CIP budget. In order to rectify this error, staff is presenting the following for Council consideration. Components of Recommendation: "F" Street is approximately 227 feet in length in front of Norman Park Center. The western portion of the curb will be utilized as an entrance driveway to the Center, accessing a parking lot. "F" street is a collector street and is 24 feet wide between the curb and the center line; far wider than the normal collector street. The normal parking lane is only 8 feet wide; the one in front of the Center is 12 feet. There are two traffic lanes and two parking lanes on F street. There were approximately 7 parking meters which have recently been removed along the frontage of the Center. There [turnout] 2 /0 -2 Item / D Meeting Date 11/05/91 are 3 utility poles located between the curb and the sidewalk along the frontage. A bus turnout/drop-off zone would be constructed between two of the existing utility poles (approximately 56' in length). The project would be designed to construct a full 8 foot wide turnout, inset from the 12 foot parking lane. Replace all curb and gutter along the entire frontage of the Center; construct a pedestrian ramp, and install two benches. The City will form an Underground utilities District; however, it would be two years to completion. Costs are estimated to be $400,000 for undergrounding (these funds are supplied by SDG&E through their 20A underground program). When the undergrounding goes in, the only interruption would be the trenching in the street; therefore, there would be little disruption to the sidewalk and bus turnout. The advantage is to gain a bus turnout/drop-off zone now, without waiting for the completion of an Underground utilities District. Estimated costs have been provided by the Norman Park Center contractor of $13,242 for construction, and $3,000 would be required for benches, for a total of $16,242. Funds are appropriated and available in the Norman Park Center construction project budget. There is an existing transit stop in front of Congregational Towers. Although the transit stop could be relocated 100 feet to the east, adjustments would be required in the transit schedule to accommodate transfers to and from the routes along Third Avenue and "F" street to adjust for the additional walking/travel time. A schematic depicting the recommendation is attached, and labeled "Recommendation". The Public Works staff advises full bus-turnouts have been used in the past only when there is a traffic lane against the curb. This is to allow a bus to stop and pickup passengers without blocking the through lane of traffic. The City utilized a full turnout on Broadway at "E" street and at "H" street. However, bus turnouts have disadvantages. They take up parkway area which could be used for pedestrians, benches or landscaping. It is more difficult to handle drainage and they are costly to construct. [turnout] 3 )O-.J Item J t) Meeting Date 11/05/91 If Council wishes to re-consider previous direction, the following alternatives are provided for Council consideration. Alternative 11: Paint the curb for a drop-off zone along side the current parking lane. Design the area between the curb and the property line to be pedestrian friendly, with landscaping, paved area and benches. Replace the old curbing with new 6" curb and gutter. The utility poles in front of Norman Park Center would remain until the Undergrounding District is formed. The recommended improvements include new curbing and concrete work, and a pedestrian ramp cut into the curb to accommodate such services as Meals-on-Wheels. staff also recommends the installation of two benches for seniors to wait for transportation. The 7 parking meters have been removed. Funds expended should not exceed $12,500 and are available in the Norman Park Center construction account. The advantages of this alternative include: the cost savings in not constructing the bus turnout; undergrounding of utilities will not be needed until the Underground District is completed at a future date; a wider space between the building and the curb to allow for better pedestrian circulation; and the ability to install benches for people waiting for cars and touring busses. The parking lane drop-off zone construction can be completed with the present building construction. The future undergrounding will be funded by SDG&E all the way to Second Avenue, further beautifying the downtown area. A schematic depicting Alternative #1 is attached. In addition, Alternative #1 would allow the consideration of a study to determine if, after the Center is opened and the Underground District is completed, a real need exists for the Center's users for a turnout. There is concern that a full bus turnout will conflict with the design aesthetics of the building. It will leave a narrower sidewalk and the pedestrian area would appear out of scale and cramped if a full bus turnout were to be constructed into the parkway area. Alternative 12: Construct a full bus turnout/drop-off zone with the transfer of the transit stop from in front of Congregational Towers. In this alternative, the Underground District would be formed with a proj ect completion date of 1994. The cost for Alternative #2 is estimated to be $400,000 for the undergrounding and $40,000 for the construction of the turnout for a total of [turnout] 4 /D-f Item I/) Meeting Date 11/05/91 $440,000. Funds for one-half of the street improvements ($20,000), where the bus transit stop has exclusive use, could be obtained from the Transit Development Account (TDA). The undergrounding costs of $400,000 would be funded by SDG&E. $20,000 would be needed from other funding sources. On the issue of utilizing Transit Development Accounts funds, the Public Works Transit Coordinator advises that moving a transit stop 100 feet from the west to east is not a high enough cost/benefit opportunity to rationalize the use of these funds for street improvements. The relocation of the transit stop would affect scheduling with transfers from routes along Third Avenue. The current stop in front of Congregational Towers is well located to serve the transit riders in that facility. Only one bus route travels "F" street and goes east to Hilltop, wherein the route turns south and goes to Main. A schematic depicting Alternative #2 is attached. SUMMARY OF TIMING Item Recommendation: Construct turn-out Install benches Form Underground District Underground 3rd - 2nd Ave. Alternative #1: Paint curb Install pedestrian ramps Install benches Alternative '2: Form Underground District Design turnout Underground 3rd - 2nd Ave. Construct turn-out [turnout] /tJ.S Timina Within I month within 3 months within 2 months within 24 months within 3 months within 3 months within 3 months Within 2 months within 5 months within 24 months within 26 months 5 Item Meeting Date /0 11/05/91 FISCAL IMPACT: Recommendation: Funds are required now, in the amount of $16,242, for street improvements which would construct a full turn-outjdrop- off zone and two benches. Funds are available in unencumbered appropriated funds in the Norman Park Center project budget. Funds for the undergrounding are available from SDG&E (20A Funds). Alternative #1: Funds are required now, in the approximate amount of $12,500, for a curb-painted drop-off zone and two benches. Unencumbered appropriated funds are available in the Norman Park Center project budget. The Public Works Department will bring to Council a report on the prioritization of city-wide undergrounding projects. Alternative #2: Funds are required to be appropriated in a future Capital Improvement Project, in the amount of $440,000, for extensive street improvements which would construct a full transit stop turn-outjdrop-off zone, and the undergrounding of utilities. Funds are available in the amount of $400,000 from SDG&E for the undergrounding, and $20,000 could be available from the Transit Development Account (TDA) for one-half of the street improvements. $20,000 would need to be funded from other street improvement resources. Attachments [turnout] 6 I ()- (, . t ~ --~ a; ,.. ... ..... .. t f~ . a ; :II ~~ I i { 'C i N .... I:l-I:l - - -- THIRD ~ AVENUEAL TERNATIVE l' N 0.. ALLEY .II " , I IIII . 000000. I 000 ,.w. I , Ii . I It ; I I I I I I( I 0' J ,; I I n III 0' '( I . . . . . . .,. ~ I 0 I .... -' i.. ~ 4 ~ ALTERNATIVE 2 10-1 RESOLUTION NO. 114 ?Jq~ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA DIRECTING THE FORMATION OF AN UNDERGROUND UTILITY DISTRICT ALONG "F" STREET FROM THIRD AVENUE TO SECOND AVENUE; AND APPROVING A CHANGE ORDER TO THE NORMAN PARK CENTER RENOVATION PROJECT FOR CONSTRUCTION OF A BUS TURNOUT/DROP-OFF ZONE The City Council of the City of Chula vista does hereby resolve as follows: WHEREAS, in December, 1989, the City Council directed staff to proceed with a re-design for the renovation of Norman Park Center; and WHEREAS, the approved re-design plans also involved the construction of a bus turnout/drop-off zone, and Underground Utility District, along "F" Street, in front of Norman Park Center; and WHEREAS, staff is now bringing forward to the Council the recommendation for the Underground Utility District and turnout/drop-off zone, and WHEREAS, both the Parks and Recreation Commission and the Commission on Aging have previously approved the project with the plans calling for a bus turnout/drop-off zone and the necessary design for the undergrounding of utilities. NOW, THEREFORE, BE IT RESOLVED that the city Council of the City of Chula vista does hereby direct the formation of an Underground Utility District along "F" Street from Third Avenue to Second Avenue. BE IT FURTHER RESOLVED that the city Council does hereby approve a change order to authorize the contractor for the Norman Park renovation project to construct a bus turnout/drop-off zone (completed by November 30, 1991), as depicted in the schematic entitled "Recommendation". Presented by Approved as to form by ,.--,1 /'/4;1i t ~ L It.' / I! t . ,fiL. (. Bruce M. Boogaard, City Attorney Jess Valenzuela, Director of Parks and Recreation II) - II COUNCIL AGENDA STATEMENT Item Meeting Date II 11/05/91 ITEM TITLE: Resolution waive the (PAD) fees 1425 Third II.?lqS approving request to new Park Acquisition and Development for Progress Construction Co., Inc. at Avenue SUBMITTED BY: Director of Parks jt"- city Manager ,J)b and Recreatio~ (4/5ths Vote: Yes_NO..JL) REVIEWED BY: On April 23, 1991, Council approved an increase in Park Acquisition and Development (PAD) fees. The PAD fees increased substantially, reflecting the actual current costs of acquiring land and installing park improvements. The ordinance implementing the PAD fee schedule became effective on June 22, 1991. PAD fees are paid by a developer before Final Map approval. The PAD fee ordinance, Municipal Code section 17.10, does not have a provision for waiver of fees, except as a reason to stimulate low and moderate income housing. In July 1990, Council adopted a waiver policy under Municipal Code Master Fee Schedule section 3.45.010. On August 22, 1991, Progress Construction Co., Inc., developer of a 45-unit condominium complex at 1424 Third Ave., delivered a letter to the Office of the City Manager, requesting a waiver of the PAD fee increase for their development. Progress Construction believes they were not properly notified of an impending fee increase, and had they so been notified, would have paid the required PAD fees in advance of the increase date in June. RECOMMENDATION: waiving the new Construction co., That the city Council approve the resolution, PAD fees at 1424 Third Avenue, for Progress Inc. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: In their letter of August 22 (attached as Exhibit A), Progress Construction states they were not properly notified of an impending increase as they moved through the approval process for their Final Map in the development and construction of condominiums at 1424 Third Avenue. A proper legal notification process for public hearings was followed for the PAD fee increase by the publishing of the notice [padfeesl 1 I \-1 It_ Meeting Date /I 11/05/91 of pUblic hearing in the newspaper. In addition, staff in the Parks and Recreation Department notified all developers who had Tentative Maps proceeding to the city council for approval and were in the "pipeline" in their various stages of the approval process. The size composition of the developer list was mixed; with small, medium and large developers sharing the approval process in the pipeline. Approximately 26 Tentative Map developers were sent a notice, and in addition, staff sent a notice to the Construction Industry Federation, the Building Industry Association, the Chamber of Commerce and the Board of Realtors. The notice invited the developers to a PAD Fee Workshop, presented by staff on April 15, 1991 and advised the recipient of the notice that a public hearing regarding the proposed PAD fee increase would be held on April 23, 1991. Progress Construction was in a unique situation which occurs when a developer plans a project for a single parcel; with no parcel split (s) . A single parcel project only proceeds through the Planning Commission for approval of a Tentative Map and such Tentative Map approval does not proceed to the City Council. Thus, Progress Construction did not receive the staff-originated notice of the proposed PAD fee increase. On September 27, 1991, Parks and Recreation Department staff met wi th the proj ect Manager for Progress Construction. Progress Construction advised staff they were aware of the old PAD fee as a requirement for the development; having been notified of an estimated PAD fee of $73,125 in a letter from the Engineering Department on March 14, 1991. Progress Construction has also stated they are able to pay the original PAD fee of $73,125, but are not able to pay the increased amount differential of $61,425, for a new fee of $134,550. Progress Construction is asking for a waiver of the $61,425 differential amount. Progress Construction states their financing arrangement with their bank did not include fee increases; any such additional PAD fee payment would come directly from the developer's personal financial means. In staff's opinion, waiving the increase in PAD fees for Progress Construction will set no adverse precedence, because there is only one other developer whose Tentative Map did not proceed to the City Council. A second condominium development, called "Villa del Rey", also was not notified. Preliminary estimates for PAD fees denote an increase of $14,750. Staff will notify Villa del Rey, and should they pursue an appeal of their fee increase, staff will return to Council with a report and recommendation at that time. [padfees] 2 \ \ ~2. Item Meetinq Date II 11/05/91 The waiver policy under Municipal Code Master Fee Schedule Section 3.45.010 permits the Council to waive fees on finding of: 1. Peculiar economic hardship or other injustice. 2. Need for revenue 3. Need for a uniform system of collecting revenue. In July 1990, Council approved a sewer fee increase waiver to a single family residence property owner based on non-notification of the impending Sewer Facilities Participation Fee increase. It is staff's belief that Progress Construction Co., Inc. has suffered a certain degree of injustice by not receiving the full notification provided to other developers/contractors in the pipeline at the time of the PAD fee increase. While staff is aware of the Council particular interest in increasing parks and recreation facilities west of 1-805, it is important to be fair and equitable to all developers and take due diligence in the notification of impending fee increases. FISCAL IMPACT: Loss of $61,425 in Park Acquisition and Development fund revenue. [padfeesJ 3 \\.~ l'I'''f' RESOLUTION NO. 1k,~5 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING REQUEST TO WAIVE THE NEW PARK ACQUISITION AND DEVELOPMENT (PAD) FEES FOR PROGRESS CONSTRUCTION CO., INC. AT 1425 THIRD AVENUE The City Council of the city of Chula vista does hereby resolve as follows: WHEREAS, on April 23, 1991, Council approved an increase in Park Acquisition and Development (PAD) fees, which fees increased substantially, reflecting the actual current costs of acquiring land and installing park improvements; and WHEREAS, the ordinance implementing the PAD fee schedule became effective on June 22, 1991; and WHEREAS, PAD fees are paid by a developer before Final Map approval and the ordinance does not have a provision for waiver of fees, except as a reason to stimulate low and moderate income housing; and WHEREAS, on August 22, 1991, Progress Construction Co., Inc., developer of a 45-unit condominium complex at 1425 Third Avenue, delivered a written request to the office of the city Manger, requesting a waiver of the PAD fee increase for their development; and WHEREAS, Progress Construction believes they were not properly notified of an impending fee increase, and had they been so notified, wold have paid the required PAD fees in advance of the increase date in June; and WHEREAS, the waiver policy under Chula vista Municipal Code Master Fee Schedule section 3.45.010 permits the waiver of fees on finding of: 1. Peculiar economic hardship or other injustice. 2. Need for revenue 3. Need for a uniform system of collecting revenue WHEREAS, it is staff's belief that Progress Construction co., Inc. has suffered an injustice by not receiving the full notification provided to other developers/contractors in the pipeline at the time of the PAD fee increase and recommends approving Progress Construction's request for a waiver. NOW, THEREFORE, BE IT RESOLVED that the city Council of the City of Chula vista does hereby approve the request to waive the new Park Acquisition and Development fees for Progress Construction co., Inc. at 1425 Third Avenue. \\~5 Presented by Jess Valenzuela, Director of Parks and Recreation C:\RS\Progress PAD fees \\-11 COUNCIL AGENDA STATEMENT It_ Meetinq Date Il. 11/5/91 ITEM TITLE: Resolution 11.3qt.- authorizinq temporary closure of Third Avenue on December 1, 1991 for the Chula vista Downtown Business Association to conduct the annual starlight Yule Parade; and waiver of fees therefor SUBMITTED BY: Director of Parks and Recreatio~ REVIEWED BY: City Managerf.~')(. (4j5ths Vote: Yes_No_I...J The Chula vista Downtown Business Association is requesting permission to conduct the annual Starlight Yule Parade on Third Avenue on December 1, 1991. RECOMMENDATION: That the city Council approve the resolution, subject to staff conditions. BOARDS/COMMISSIONS RECOMMENDATION: Not applicab1e. DISCUSSION: The Chula vista Downtown Business Association (DBA) is requesting permission to conduct the 29th annual Starlight Yule Parade on Sunday, December 1, 1991. The parade route wi11 be a10ng Third Avenue, between "R" Street and "0" Street. "E" Street will be closed between Second and Fourth Avenue during the event. The closure of "E" Street allows for a safer and more efficient parade .participant dispersal at the end of the event, while exposing more downtown merchants to parade spectators. "E" Street has been closed for this event since the 1987 parade. The parade is scheduled to begin at 5:00' p.m. The sponsor is expecting approximately 90 participating units in the parade. staging for the parade wi11 take place in the County Regional Center parking lots on Third Avenue between "I" and "R" Street, and on "R" Street between Second and Fourth Avenue. Second and Fourth Avenues will remain open at all times during the event. The sponsor is requesting the following (this request for services is similar to prior requests from the DBA): 1. Waiver of all fees for city services provided for the parade. 2. permission to close Third Avenue from "I" Street to "0" Street, and to close (the Police Department will determine the route of closure) all east-west streets intersecting Third between "I" and "0". "E" and "R" Streets will be closed between Second and Fourth to allow for parade dispersal and staging respectively. Closures would take place on some [yuLepar] 1 /1. I xt_ Meetinq Date I~ 11/5/91 streets at 2:30 p.m., with all streets closed at 4:45 p.m. streets will re-open following the parade. 3. permission to post "No Parking" signs on Third Avenue along the parade route. 4. Use of police services for crowd and traffic control, from 2:30 p.m. to approximately 9:00 p.m. (police Department hourly wage costs = $1,260.00) 5. Use of the city's portable stage, PA system, 150 folding chairs, and delivery, set-up, and removal of this equipment. (Parks and Recreation costs = $30.00) 6. Use of Parks Division personnel to clean-up trash along the parade route. (Parks and Recreation hourly wage costs = $175.00) 7. provision of street sweeping services immediately following the event. (Public Works costs = $230.00 [paid to Laidlaw]) 8. provision and placement of barricades and other traffic- control equipment. (Rental of barricades/cones costs = $250.00; Public Works hourly wage costs = $615.00) Staff has made a determination that the basic costs (Total = $2,560.00) to the city to provide for the above services can be absorbed into present budgets. However, the costs reported above do not include the full cost recovery provision to collect the true cost of providing city services. Approval should be subject to the following conditions: 1. provision (prior to the event) by the DBA of evidence of general liability insurance in the amount of $1 million, in the form of a certificate of insurance and policy endorsement which names the city as additional insured. 2. Execution (prior to the event) of a Hold Harmless Agreement by the sponsor. 3. provision of adequate crowd and traffic control as prescribed by the Police Department. 4. Notification by the sponsor to all residents and businesses along the parade route of the date and time of street [yulepor] 2 "....2. It_ xeetinq Date 14- 11/5/91 closures. The sponsor has assured staff that this notification has already been completed. The Police Department, Traffic Engineer, Risk Manager, and Public Works Department concur with the staff conditions. The Transit Department will arrange the re-routing of buses, as necessary, due to the street closures. This detouring will be extensive, since "E" street will be closed and Transit expects a loss of revenue due to lower ridership of on the evening of the event. The event is exempt from CEQA requirements with a Class 23 exemption. F:ISCAL :IXPACT: Loss of $2,560 in direct costs; plus collection of full cost recovery which would be realized. [yulepor] 3 l7..-3t ll~.~ "DP.-,c ~ C)~\"o~E~ t;lS'\ \~ot. \ To'. C.~\,A.LA. "\.~TA ~AR\<...~ I\~'D 'R~~~~A.,\O~ A'\T~ ~ ~o 'c\ ~ '(;~ \\3~ ~ "1/0 t=o u.1C."-1'-\ A.-J t.;: . C\.\\..A.Ltc>-. '\It';)''''''', C.1A\...,~tlA.~\~ .soh,.,J'. TIfIS"' c.......~'-~ -.l'~,A, \;::,~"""""'<.:>'->N ~...~,..........::!> A~~o ~,-~,.,.,..:) W~LL ~<T l-4-oLt:)'....<'O \1";,' L..ctTH- ~NrJv.,I".'- ,c."'"".......~ "'.... LG; 'T' Q 13 P""'fL.....~ Iir' .I:I<IS 1'.ht'<>'~"\ 0 1= '\V..:r~T,,^^- ~ \ ~"'t"";' />IrS ~..J\.........~\..'{ S~~"""LLt l5"r.) "t= 't"'~.rL. a-f" -F\~ ,\>T<r f'tr><(2...,f'>.=~ L.L>'("'L ~.......<<-, p..:\ 'S"P.<^-<.. ,'-"> L"~ ~","'r--f> ~t:!u.t ..,,..>,,,,,=- ArT :3 P......., 'Tt-\:cr- p~<2.f>c>SLi' ,,\-,....,";0 LlS"r\l3".e.-\:::. \0 K~~~EL".::.\ F~......... 'Te+G" c....<-\ ......\..-.. 1'.0 S~'-',c-..s';:, F......e... f'oLcC.tJ"' ?",-.e.,--.~ \ ) (.,..>.,a....:..'::> (,Jo.Ab\...'<:.... A-=l7>.a.<<..,,<:::, ~L~<-~ "5>!r'"""''-P ~r:::> ~ ~ ' :>"\VZ-~ ~......-~f>.-..J<'=. T~<T' \b-~I..... c..,..';:,T ",t=" \",~o;,.~ ~,-e-..,."5 'l~ Q,~ ~~'T.~.-.~ AY A-'?("<L.e)C '~V'-~'-l 3\"''''0 C::><:>l,l'-'If?-';:,. Wl? I>-..(>.p~~,,-<....~.. ..~<:> C<>""'LoN~'_lc, ~-('>f'o-e-\ r-Q.~",,-", Te-E-o- c. ~'( ,*"",0 T*.s- GB""'~~_\';:, ~e;"'-\Ylu ~ 1\3 '\ ~ c.~~u....",,-...,y ~~~~~~ III ~c>...:J ~---.J~-s~~--::::' C-.<.J - L ~ ""'-..tLv-A..A.~ \ a., co, I.. '{ ~ '- ~ P"".R..Ar!':> l? de- v-..~ c Il ~ \~-4 RESOLUTION NO. 'v~'lt, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING TEMPORARY CLOSURE OF THIRD AVENUE ON DECEMBER 1, 1991 FOR THE CHULA VISTA DOWNTOWN BUSINESS ASSOCIATION TO CONDUCT THE ANNUAL STARLIGHT YULE PARADE, AND WAIVER OF FEES THEREFOR The City Council of the city of Chula vista does hereby resolve as follows: WHEREAS, the Chula vista Downtown Business Association is requesting permission to conduct the annual Starlight Yule Parade on Third Avenue on December 1, 1991, and WHEREAS, the parade route will be along Third Avenue, between "H" Street and "D" Street and "E" Street will be closed between Second and Fourth Avenues during the event; and WHEREAS, staff has made a determination that the basic costs of $2,560 to the City to provide services for Police and Parks and Recreation personnel, signage, street sweeping and barricades, etc. can be absorbed into present budgets. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula vista does hereby waive the fees and authorize the temporary closure of Third Avenue on December 1, 1991 for the Chula vista Downtown Business Association to conduct the annual Starlight Yule Parade subject to the following conditions: 1. provision (prior to the event) by the DBA of evidence of general liability insurance in the amount of $1 million, in the form of a certificate of insurance and policy endorsement which names the city as additional insured. 2. Execution (prior to the event) of a Hold Harmless Agreement by the sponsor. 3. provision of adequate crowd and traffic control as prescribed by the Police Department. 4. Notification by the sponsor to all residents and businesses along the parade route of the date and time of street closures. The sponsor has assured staff that the notification has already been completed. Presented by Jess Valenzuela, Director of Parks and Recreation \;2.-5 COUNCIL AGENDA STATEMENT Item 13 ITEM TITLE: Resolution II,Ml of an arts consultant Meeting Date 11/5/91 Appropriating $1,000 to defray the cost Recreatio~ (4/5ths Vote: Yes-!-No___> SUBMITTED BY: REVIEWED BY: Director of Parks and City Manager~;S~ The Cultural Arts Commission is requesting funds for a professional consultant to assist them in establishing a cultural arts plan. RECOMMENDATION: That Council adopt the resol ut ion appropri at i ng $1,000 from the unappropriated balance of the General Fund. BOARDS/COMMISSIONS RECOMMENDATION: The Cultural Arts Commission has recommended that Council support thei r request for funds to assi st them in developing a cultural arts plan. DISCUSSION: At their meeting on February 12, 1991, City Council adopted Resolution No. 16067 appropriating $1,000 from the General Fund to defray the cost of an arts consultant to assi st the Cultural Arts Commi ss i on in formulating goal sand objectives, and to fund a Cultural Arts Directory (Attachment A). Although the money was appropriated, funds were inadvertently not encumbered for the consultant's servi ces duri ng 1 ast fi sca 1 year. The consultant commenced her work in March 1991 and recently completed her contract. She is now requesting payment for those servi ces. The work on the Arts Di rectory was compl eted during last fiscal year. A copy of the original Council report is also attached (Attachment B). FISCAL IMPACT: Staff is recommending the appropriation of $1,000 from the unappropriated balance of the General Fund. Of this amount, $500 was funded through a one-time "pass through" grant from the California Arts Council and the Public Arts Advisory Council of San Diego County. The appropriation approved last fiscal year was not used, and funds were returned to the General Fund at the close of the fiscal year. WPC 1719R \ ~ ., RESOLUTION NO. /L,,?li( RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING $1,000 TO DEFRAY THE COST OF AN ARTS CONSULTANT The City Council of the City of Chu1a vista does hereby resolve as follows: WHEREAS, at its meeting of February 12, 1991, the city Council adopted Resolution No. 16067 appropriating $1,000 to defray the costs of an arts consultant to assist the Cultural Arts commission in formulating goals and objectives, and to fund a Cultural Arts Directory, and WHEREAS, although the money was appropriated, funds were inadvertently not encumbered for the consultant's services during last fiscal year, and WHEREAS, the consultant recently completed her contract and is now requesting payment for those services. NOW, THEREFORE, BE IT RESOLVED that the city Council of the city of Chula vista does hereby appropriate $1,000 from the unappropriated balance of the General Fund to be transferred into Account 100-0150-5202 to defray the cost of an arts consultant. Jess Valenzuela, Director of Parks and Recreation by Presented by t \~'4. 1 "..f, ( Minutes of the Regular Meeting of the CULTURAL ARTS COMMISSION Tuesday 5:00 p.m. Janumy 8, 1991 Parks and Recreation Conference Room ******************* ROLL CALL MEMBERS PRESENT: Chair Souval, Vice Chair Hendricks, Commissioners Dumlao, Gerber, McGovern and Scott MEMBERS LATE: Commissioner Torres (5:15 p.m.) MEMBERS ABSENT: Commissioners Ables and McAllister < 1. APPROVAL OF MINUTES Motion made to approve the minutes of the December 11, 1990 meeting. MSC McGovern/Hendricks 6-0 (3 commissioners not present) 2 . UNFINISHED BUSINESS a. Consultant's Prooosal & Workshoo Date Director Valenzuela explained that a report needs to be submitted to the City Council requesting that they accept a donation of $500 from the California Arts Couincil. The Council would then need to allocate an additional $500 for a total of $1,000 to fund this program. This process would take at least two weeks to accomplish and the February 2 date that has already be set for the workshop may be too soon. Chair Souval would like the report to go to the City Council. Discussion followed concerning setting a new date for the workshop and it was decided that Saturday, March 2 or a Wednesday evening would be the best times. Director Valenzuela will contact Mary Powers to confirm a date. He suggested that Chair Souval attend the Council meeting when the report will be on the Agenda. b. Chula vista Arts Directorv Cheryl Coates, Graphic Artist, presented a sample of the Chula vista Arts Directory she has been working on. commissioner Dumlao suggested that money to help pay for \3'~ the printing of this directory be requested from COMBO or some other organization that could benefit from this directory. He volunteered to contact a couple of these organizations. Chair Souval contacted Larry Baza from the County of San Diego and learned that there are no funds available at this time, however, he suggested that next year the Commission can apply for a grant for up to $3,000 through the Volunteer Funds for the Arts. The deadline is in June and Chair Souval has put the Commission on their mailing list. Director Valenzuela suggested that Fieldstone Development Corporation could be contacted for funds. ' Discussion followed concerning estimates for the cost of printing the directory, the binding, and format. The artwork will be coming from the Chula vista city School District in about 3 weeks. Discussion followed concerning the updating and future issues of the directory. It was agreed that the Commission is committed to completing this year's directory and that the subcommittee to find funds will not be ongoing after this directory. Sample copies of the directory will go to Chair Souval and Commissioners Dumlao and Torres for preview. The funding needed is $2,000 for 500 copies. Director Valenzuela suggested that once all of Cheryl Coates work is done on the directory that the Commission requisition the City to pay her along with the request to hire a consultant for the workshop as well as a Cultural Arts Coordinator all in one package to the City Council. Motion made that Chair Souval and Commissioner Dumlao and Commissioner Torres will be the Budget Subcommittee to seek funding for the directory. MSC Souval/Torres 7-0 (2 commissioners absent) c. Cultural Arts Festival Subcommittee Recort Commissioner Torres will contact Victoria Hamilton.. Chair Souval received a resume from Doug Perkins (copies of the resume are to be included in next month's Commissioners packets). Director Valenzuela requested that Department staff be included in the planning. The Commission will wait until another time to set the date. d. Chula Vista 2000 Recort \~ ,~ Tabled until after a consultant is hired. 3. NEW BUSINESS ( a. Commission Budaet Director Valenzuela reported that the justifications have been written for a CUltural Arts Coordinator and recommends that this position be funded the first year and then as grants become available the amount needed in subsequent years would be less. Chair Souval would like the Commission to be present at the Council meeting where this will be discussed. Director Valenzuela will share the Department I s justifications and the' position's description at next month's meeting. commissioner Torres requested that the Commission's Budget Subcommittee look at the budget for next year. Director Valenzuela requested that they look at the Budget soon, possibly this week. The only change would be for the funding of the Cultural Arts Coordinator position. Director Valenzuela said he would give to each Budget Subcommittee member a copy of the Commission's Budget and the justifications of the Cultural Arts Coordinator position. Discussion continued concerning different avenues for funding for the Coordinator position and for the Commission Budget. Senior Recreation Supervisor John Gates let the Commission know that the City Manager has requested that there be a 1% to 2% cut in all the budgets. There is funding in the Budget for all commissioners to be individual members of CALAA, but for NALAA the commission will be joined as a whole and not individually. This would be taken care of by the Department. 4. COMMUNICATIONS a. Oral Communications none b. Written Communications Commissioner Gerber shared newspaper clippings. ( Chair Souval passed Productions fundraiser January 26th. out invitations to On Stage at the Chula vista Womens Club on \~-5 c. Commissioners Remarks ( commissioner McGovern remarked that the Commissioners need name tags to be worn. 5. STAFF REPORT none Meeting adjourned at 6:20 p.m. until next regularly scheduled meeting on February 12, 1991. Respectfully Submitted Lfd~ d Julia G. Lindsey ( \O"{, @ RESOLUTION NO. 16067 RESOLfTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING $1000 TO DEFRAY THE COST OF AN ARTS CONSULTANT AND TO FUND A CULTURAL ARTS DIRECTORY The Cfty Councfl of the Cfty of Chula Vista does hereby resolve as follows: WHEREAS, the Cultural Arts Commfssfon fs requestfng funds for a professfonal consul tant to assist them fn establ f shfng a cul tural arts pl an and to complete the Chula Vfsta Arts Directory; and WHEREAS, to effectively accompl ish this pl an, the Commf ssf on believes that an objective facfl itator woul d be of great benefft to them fn the planning process and an arts consultant could work wfth the commissfon fn creatfng a mission statement, a workplan, goals, objectives, and strategies; and WHEREAS, the Commission has reviewed a proposal from Mary Powers, a consultant that specializes in strategic planning for organizations who in 1989 and 1990 worked extensively with the City of San Diego's Commission for Arts and Culture in formulating their cultural arts strategic plan; and WHEREAS, the State of Calffornfa Arts Council has' advfsed staff about the importance of utilizing the expertise of a trained professional while formulating an arts plan, particularly when you have diverse interests on a Commission; and WHEREAS, since Ms. Powers' fees amount to $1,000, an additional $500 is needed from the City; and WHEREAS, the Commission is requesting that $1000 be appropriated from the unappropriated balance of the General Fund. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby appropriate $1000 from the unappropriated balance of the General Fund and transferred to Account 100-1511-5201 to defray the cost of an arts consultant and to fund a cultural arts directory. Presented by d as to form by ~.?;~. e Yalenz a . Director of Parks & Recreation ~ \~'"1 r--. ~'CID , I -.-', COUNCIL AGENDA STATEMENT Item Meeting Date 2/12/91 ITEM TITLE: / Resolution "066 Accept and appropriate $500 from the Public Arts Advisory touncil of San Diego County Resolution !G067 Appropriating $1,000 to defray the cost of an arts consultant and to fund a cultural arts directory Director of Parks and Recreatio~' City Manager (4/5ths Vote: Yes-X-No___) SUBMITTED BY: REVIEWED BY: The Cultural Arts Commission is requesting funds for a professional consultant to assist them in establishing a cultural arts plan and to complete the Chula Vista Arts Directory. RECOMMENDATION: That Council adopt the resolution accepting, and appropriating $500 from the Public Arts Advisory Council of San Diego County and appropriating $1000 from the unappropriated balance of General Fund. BOARDS/COMMISSIONS RECOMMENDATION: The Cultural Arts Commission has recommended that Council support their request for funds to assist them in developing a cultural arts plan and completing the Chula Vista Cultural Arts Di rectory. DISCUSSION: This request for funds will pay for a consultant to assist the Cultural Arts Commission is formulating the Commission's goals and objectives and the completion of the Cultural Arts directory. The newly formed Cultural Arts Commission is in the process of establishing a cultural arts plan for the City. The first step in the process is to identify short, mid-term and long-range goals and objectives. To effectively accomplish this plan, the Commission believes that an objective facilitator would be of great benefit to them in the planning process. An arts consultant could. work with the Commission in creating a mission statement, goals, objectives, and strategies. The Commission has reviewed a proposal from Mary Powers, a consultant that specializes in strategic planning for organizations. In 1989 and 1990, this consultant worked extensively with the City of San Diego's Commission for Arts and Culture in formulating their cultural arts strate9ic plan (see attachment). Ms. Powers also worked with the City 01 Chula Vista and the County to present a workshop on Cultural Arts at Southwestern College. The State of California Arts Council has advised staff about the importance of utiHzing thp. exptrtise of a trained professional while formulating an arts plan, particularly when you have diverse interests on a Commission. The State has SUP90rted Chula Vista's planning efforts by allocating $500 as .pass through" funds to the County of San Diego and earmarked for the City of Chula Vish. I ~ -'l Page 2, Item Meeting Date 2/12/91 This money is specifically allocated to pay for a facilitator to assist the new Commission with goal.,-setting. ,-Since Ms. Powers' is requesting $1,000, for her services, an additional $500 is needed from the City. The consultant fee reflects a 20% reduction from hernormal.-fee. Staff supports the Commission's request for funding and believes that it is important for the Commission to establish a cultural arts plan with guidance and assistance from a professional facilitator. The Commission has also requested an additional $500 be allocated to provide support for the compilation of the Chula Vista Arts Directory. The directory will identify performing, visual, and literary artists in the community. It is envisioned that the directory will be a valuable information resource in developing and enhancing cultural opportunities in the City. During the Chula Vista 2000 process, the Cultural Arts Subcommittee identified the need for an arts directory and secured $500 from the Friends of the library. These funds were used to design, print, and distribute application forms and to rent a post office box where applications were mailed. There has been a tremendous response to the Arts directory. Over 375 artists and organizations have requested that they be included in this material. The requested funds will partially complete this project by defraying the costs of compiling the data and graphically presenting it in a directory format. These funds will not cover for the expenses associated with printing and distributing the directory to the community. The Cultural Arts Commission has taken this task upon themselves to secure money from a variety of private funding sources. Staff acknowledges the need to complete the collation and design of the cultural arts directory and supports the Commission's request of $500 to fund this project. FISCAL IMPACT: The Commission is requesting that $1,500 be appropriated from the unappropriated balance of the General Fund. Funding will be allocated to Account 100-1511-5201. WPC 1602R \~-IO COUNCIL AGENDA STATEMENT Item JY Meeting Date 11/5/91 ITEM TITLE: Resolution II.~~ of Intention to vacate a portion of North Fifth Avenue and setting the date of the public hearing therefor. SUBMITTED BY: Director of Public wor~ REVIEWED BY: City Manager io~ {Io (4/5 Vote: Yes_No..xJ Dixie1ine Lumber Company, owner of the property at 40 North Fourth Avenue, has requested that a portion of North Fifth Avenue be vacated by the City. Dixieline claims that realignment of the street will reduce the impact on the developable area of its properties. By vacating the subject portion and dedicating new right-of-way, the properties in the area will be better served. In accordance with Section 8320 of the California Streets and Highways Code, the Council may initiate the vacation proceeding by adopting a resolution of intention and setting November 26, 1991, at 6:00 p.m. as the date and time for the associated public hearing. RECOMMENDATION: That Council adopt the subject resolution, direct staff to return with the appropriate resolution at the public hearing and direct the City Clerk to set the public hearing in accordance with Section 8322 of the Streets and Highways Code for November 26, 1991. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The owners of the properties adjacent to the current alignment of North Fifth Avenue are in the preliminary processes of developing their land. In order to better serve the parcels with public access, they propose to realign the street. With reference to Exhibit "A" , the owner of Parcels 1, 2 and 3 is Dixieline Lumber Company, also being one of the applicants in this vacation request. Parcel 4 is owned by Metropolitan Shopping Square, Ltd., which is in concurrence with this realignment. The new configuration will serve that parcel better than the current alignment. The new configuration of North Fifth Avenue requires dedication of right-of-way by Dixieline. The old right-of-way extension, which continued northerly in a straight line, will no longer be needed once the new street is dedicated. Staff intends to have the City Clerk accept the dedication of the new right-of-way prior to Council acting on the subject vacation. After investigation of the subj ect matter, staff s fmding are that: 1. North Fifth Avenue is a "paper street" north of the Hodge Bros. Industrial Park (see Exhibit "A") and, as such, does not have street improvements. 14- , Page 2, Item~ Meeting Date-1!.dL.2L 2. Parcel 1 and Parcel 2 must be combined as a condition of approval of the vacation, so Parcell will not become land-locked by the vacation. 3. The current alignment is no longer necessary, since the freeway prohibits the northerly extension of the street and there are no plans to provide an overpass for that purpose. 4. There are existing gas and overhead electric facilities owned by San Diego Gas and Electric Company located in an existing easement granted to SDG&E prior to the area being annexed to Chula Vista. (This means we need not reserve an easement for them.) We will reserve an easement for Sweetwater Authority, however, for its facilities. 5. The Planning Department was contacted for its comments on this request and responded with the requirement to consolidate Parcel 1 and Parcel 2 (see Item 2 above). The land which is proposed to be vacated totals 47,500 square feet, while the land to be dedicated is 34,000 square feet. Previous Council actions have indicated that the applicant would be required to pay for the excess right-of-way being vacated. In the attached letter, Project Design Consultants requests that compensation not be imposed. Staff believes the reasoning is valid, and expounding on Item 3 in that letter, the right-of-way being dedicated is 73.7% of the land being vacated. However the latter is so heavily encumbered with utilities that its value is 30 % to 50 % lower in value. Therefore staff is recommending that no compensation be required. If Council opts to charge a fee, staff will have an appraisal done and return with the appropriate figure. In accordance with the Streets and Highways Code, staff feels that Council may adopt the resolution of intention and direct staff to return in three weeks with the appropriate recommendation. The resolution of intention must include the following: 1) A declaration of the intention of the legislative body to vacate. 2) A statement that the vacation proceeding is being conducted under this chapter. 3) A description of the general location and a reference to a map or plat that shows the portion of the area to be vacated, on me with the office of the local agency. 4) The date, time and place for the public hearing, the date being no less than 15 days from the date of the adoption of the resolution of intention. Engineering staff will be posting notices in the field in accordance with the requirements set forth in the Streets and Highways Code, Section 8323, once the resolution of intention is adopted. (l\ -2.. Page 3, Item--1i-- Meeting Date 11/5/91 Staff recommends that Council adopt the subject resolution, not require any type of payment for the difference in area being vacated, and direct staff to return with an appropriate resolution for Council's consideration at the public hearing. The City Clerk should be directed to notice the public hearing by publishing the notice in a local newspaper for at least two successive weeks prior to the hearing. FISCAL IMPACT: None. JWH/PV-049 (pV049N01.A13) 14 .31'" ..If RESOLUTION NO. It.. :.'if( RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA OF INTENTION TO VACATE A PORTION OF NORTH FIFTH AVENUE AND SETTING THE DATE OF THE PUBLIC HEARING THEREFOR The city council of the City of Chula vista does hereby resolve as follows: WHEREAS, Dixieline Lumber Company, owner of the property at 40 North Fourth Avenue, has requested that a portion of North Fifth Avenue be vacated by the City; and WHEREAS, Dixieline claims that realignment of the street will reduce the impact on the developable area of its properties and by vacating the subject portion and dedicating new right-of- way, the properties in the area will be better served; and WHEREAS, after investigation of the subject matter, staff's finding are that: 1. North Fifth Avenue is a "paper street" north of the Hodge Bros. Industrial Park (see Exhibit "A") and, as such, does not have street improvements. 2 . Parcel 1 and Parcel 2 must be combined as a condition of approval of the vacation, so Parcel 1 will not become land-locked by the vacation. 3. The current alignment is no longer necessary, since the freeway prohibits the northerly extension of the street and there are no plans to provide an overpass for that purpose. 4. There are existing gas and overhead electric facilities owned by San Diego Gas and Electric Company located in an existing easement granted to SDG&E prior to the area being annexed to Chula vista. (This means we need not reserve an easement for them.) We will reserve an easement for Sweetwater Authority, however, for its facilities. 5. The Planning Department was contacted comments on this request and responded requirement to consolidate Parcel 1 and (see Item 2 above). for its with the Parcel 2 WHEREAS, in accordance with Chapter 3, General Vacation Procedure, section 8320, of the California Streets and Highways Code, the Council may initiate the vacation proceedings by adopting a resolution of intention. lq -5 NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula vista does hereby set 6:00 p.m. on the 26th day of November, 1991 in the Council Chambers, 276 Fourth Avenue, Chula Vista, California as the time and place for hearing all persons interested in or objecting to the proposed vacation of North Fifth more particularly shown on Exhibit "A", attached hereto and incorporated herein by reference as if set forth in full. BE IT FURTHER RESOLVED that the City Clerk of the city of Chula vista is hereby directed to cause a copy of this resolution to be published once in the Chula Vista Star News, a newspaper of general circulation published within the City of Chula Vista, and to cause notices of the passage of this resolution to be posted in the manner and form required by law. Presented by John P. Lippitt, Director of Public Works C:\RS\5th Ave. 14 ~'" I I ').. ~.... \i~ IfOt./ ~ STA 16 64 " PORTIOW TO & VACATEP 0 0 / ). /' #EJY ALIGNMENT ~ -l ~ /' "It ~ ~ ~ I "It @ l:\ Ii\ ~ "{ ~ -inJ "t ~ ~ \'t \'t ~ ,,,04n: ~ I I ~ Hoo 6 81l4$. PA~I( ~ "c" 57'12667' r ;S(/~cCT SITE 1 I 1 r i ~!f. NO(jj)~ 1:)(II1111lr "1\" OWN BY: JII. DATE: /Q/9. 'N ,. FILE NO. PV-tJ49 VACATION'; REALIGNMENT' tJF A PORT/ON OF NORTI-I F/FTI-I AVENUE ILt -1 . ') '/}C' ~ {}:. ' U--';..}....... PLANNING ENGINEERING SURVEYING :m :t1~ - -. ~ . \.--, ..... ~ ;zo....\ -:< ft, ~ m N mOO Co) :D:I: ,,, ::; c: :.2 ii ~r l;') ~.n 0.... t? W f'Il:!:: "l/(Jl U1 -i - U1 .,. ~ Project Design Consultants File: 342.40 October 22, 1991 , John Lippitt Director of Public Services city ofChu1a vista 276 Fourth Avenue Chu1a Vista, CA 92010 SUBJECT: Extension and Partial vacation of 5th Avenue North of "e" Street Dear Mr. Lippitt, Our firm represents R.E. Hazard Contracting company, who is processing the Tentative Parcel Map at the northeast corner of 5th Avenue and "C" street. We also represent National Avenue Associates and Dixie1ine Lumber, Inc., along with Hazard in their joint effort to improve and extend 5th Avenue northerly of "c" Street. PURPOSE OF REALIGNMENT Part of the street extension process includes realigning 5th Avenue to a new configuration which would provide improved access to the oddly shaped parcels in this area. The current straight alignment of 5th Avenue is no longer appropriate since the SR 54 freeway has cut off any potential for extension to National City. The street extension involves the dedication of additional right-of-way along the new alignment and vacation of a portion of 5th Avenue through the Dixie1ine property. A 4 foot strip of land on is also proposed to be vacated on both sides of the remaining portion 5th Avenue to provide the ultimate 72 foot City standard width. ISSUE OF COMPENSATION We are advised by the Engineering Department that the city has a policy to obtain compensation for vacation right-of-way. We are requesting that the City waive any compensation as part of this action for the following reasons: 1. The area of new right-of-way to be dedicated by the property owners is approximately 35,000 square feet, while the area of right-of-way to be vacated by the city is approximately 47,500 square feet. However, even after vacation, the remaining land will be severely encumbered 14~~ San Dit(to '701 BStreel Suile ~oo SanDIC'go Clllifomia 9:!101 619.235-64"'1 fAX23...03~9 T<nxcuJ. 41661 Temecl,lla Enterprise' Circle N California Suile121 92390 714-69.Hi200 FAX 694-1203 Dt. Recycled \:I Paper . John Lippitt October 22, 1991 Page 2 by existing utilities and the resultant utility easements. These encumbrances include a 69 KV overhead powerline, an 8 inch sanitary sewer and 10 inch and 20 inch high- pressured gas mains. The land being dedicated is virtually unencumbered and, therefore, has a considerably higher value per square foot. Viewed from an industrial use standpoint, the new dedication area has a considerably higher total value than the right-of-way being vacated by the city. 2. The principal action which is occurring is the 'development of 'the National Avenue Associates property to the northwest, necessitating a resolution of the 5th Avenue alignment at this time. The vacation of a portion of 5th Avenue and dedication of other sections is a resultant. necessity of the realignment. The fact that the new street is slightly shorter than the existing right-of-way is purely coincidental; it serves the logical needs of the properties as currently configured. Further, Oixieline Lumber, Inc., which receives the majority of the vacated right-of-way, will be severely iimited in its use of the land due to the easement and utility encumbrances. 3. While the dedications and vacations do not effect each of the three property owners in a "pro-rata" or equal fashion, the property owners have entered into a private agreement approving the alignment, the disposition of the vacated right-of-way, and sharing in the cost of improvements. 4. presently, 5th Avenue is only partiallY improved for a short length and encumbered by a transmission powerline down the middle of the right-of-way. It is also severely effected by floodplain. Under the new proposal, the powerlines will be relocated, the. street improved to current city standards, and an alignment pro".riaed meeting the access needs of the three property owners. . We would appreciate your review of this request in light of the pending action of the City Council on November 5, 1991. We also request that this letter be included in the information package to the City Council for their information. Yours very truly, ~~.~ ~h~s~~ c: Chris Salamone, Community Development John Hardesty, Engineering Department l~'~ SR 54 FRECI'yA r -- Ib ),1'1:.". I;,; ff ~ /;' ;' ;' NA1'JONAL AVENUE ASSOCIATES ;' /;' ;' DIXIELlNE . DIXIELlNE STREET VACA 770NS: ~ UNENCUMBERED ~Y EASEMENTS ~ ENCUMBERED BY'EASE~ENTS STREET DEDICA 770NS: I. :::::::::::/:/::/,::<:1 UNENCUMBERED BY EASEMENTS ~ ENCUMBERED BY EASEMENTS p Project Design Consulta.nts ~ PLANNINC AND INClta~R1NC . C 101 "Boo 5',"', Suit. BOO, Sun DWI/O. Cc:L 92101 6'..2$5.6'" FAX ....0... 14 . I 0 I ~ ~ ~I ~I DIXIELlNE ~. ~ HAZARD STREET ,- U.. ., .. I. 90 PM tPATRICK DEVELOPMENT ) - 1 .-, . I. (14 . .:. .:. . -- . . . . P.02 1..KiD, Of tic I. (:f.[[~()() . 'IltJo COmpany . . 2)01 laird Aft. ... I., CaUIInla .2101 C'UIUa-.ou 4HAalMt:IIT TO A-I/3 IAnoMA1. AVEIftIZ ASSOC. 1441 'ilth A.IDYI 'IC Dil,o, C&lLforft11 12101 AnN I JDlY ALP011l ~~ lIPOll't, bud II of Jul, 11. 11'0 rlZ. (.11)IIS.717, YOlU' I,t. Ordn let. Orin ao. to'OU -04 at 7.S0 ....H. 1u rl'poD.. to the above rlf.r.Dcld applLcat10n for a polic, of t1tl.iftlvrancl, CHICAGO ~ITI.E COMPANY hlr.b, rlport. that it i. pr,par.d to.i..YI,'or caY.I to" i..v.d, I. of the date her.of, a Pol1c, 01' to11et.. of fitll In.vranee d..cribtDa the IlDd and th. Ittat. or intlr..t thlrlin b.r.1atttlr .et forth, ia.vriDa l.a1Dtt 10.. which ..y bl .v.tainI4 b1 r.a.on of an, dlflct, ltln or .ncu&brancI Dot Ibown or rtferrld to a. aft I&cept10Q in 8ehadvle ) or not ezelv41d from covlr.c. pvrluant to th. print.d Ich'4~ltl. Condition. Ind ItipulatiODI of .aid Polie, lorm.. tht printed ~etption. and I&clvlion. from the c~lralt of .aid '011c, 01' '011Cit. II'I lit fortb 1ft z.hib!t A attached. Copie. ot the POlic, forma Ibould be rlad. The, are a.a11ablt from the offie. which i.aued thi. rlport. '1'JUS kEPOIt'1' (AND ANY SUPPLEKZN'l'S OR AHENDMEN'l'S HE:R~'1'O) IS ISSUED SOLELY FOR THE PURPOSE OF FACILITATING ~E ISSUANCE OF A POLICY OF TITLE INSURANCE AND NO LIABILITY IS ASSUMED HERESY. IF IT IS DESIRED THAT LIASIL%~Y BE ASSUM%O PRIOR TO THE ISSUANCE OF A POLICY OF ~ITLE INSURANCE, A BINDER OR COMMITMENT SHOULD BE REQUESTED. The ferm of pelie7 of t{tl. inJurance eonttmplated by &bi. rlport i" California Land title A..ociation Standard Coyera.e 'oHer "'~!ean Land Titl. A..ociation OvDlr'. 'olier A.L.T.A. 1..idl=tial Titl. I~.uranCIPelier Americau Land Titll A"OeiatioD LoaD Pol1c1 Other. ..... -::::> ,j ~-- Titll Officer, v- ~?f. l' Atl1.A O' BP.YANT Stlndard Iztencl.d O~erale C~lrale 0 0 0 0 0 0 0 ill 0 0 14-1\ "'\.) V 'I( Ct "(. . 1.7. 9 0 04:22 _. -. PM .PATRICK DEVELOPMENT P03 " . . . Ol'der 10' .olon .04 . SCHBDULB A 1. fII, Utat, or !at....n ta &be land laerlluh.1' ....ri... .1' ..ofern. to cover.d b1 t!ai. ..oport, .iI I , ~ru . ( , , J. titl. to .ai. O.t.ata 01' tacero.& ot. t.b. <<at.. !loroof t. ...tod tD. sa AftAClrD IUIIU .. ftSTID 1M S. !he laed referred to in th1, repol't t. .1tuat.e. in tb. ,cato of O.ltfo~.. COUftt' of aan Dieso led t. d"Cl'i~.. It 'o11ov., AS DESe~IIrD %t! IXIIIU' AUACDI) IlEU!O l~"/2.. .,^;!'''' ":-.~ ~.:Y - ~ 1 ~ '. U {., !. 90 04:22 F'M ~PATRICK DEVELOPMENT,_YOJ . Order No. .01011 '.... 1 -0' . ISXImIrr ('YZSTISD ~) NITlotot.xtAJ( .IO'UIIO 1QV4U, t.TD., , a lJ.ll!ud partD.nhip, al to aD tmdl,,1d.d .11t!Q--.lIQ iIl\l"'UJ', CllAlJ.tl G. XIlCJI lUId IWlCY V, aaOl, ' " ~v.~e' aad w11., al C~it7 ,,"op.rt,, al to aD Uft41.1..d .....1X'h tat'~"t, GAYLE .ttAJe UDIltNSOIl, al ell'tod.hll for J111 K. 'tephlftUn WlU,l 11f' t"'ftt7~ft" (2.5) _der tlI. California UaUOrtll fUlllhrl to tul\llrt ACt, all 1IIldbid.d _e.",1fth iat.r.n: aDd ' >GAYLE 3IAM 'TEPKtllSOll, I. ell.to'LIII for Villi*- C. 'tepheQ.OD Wltl1 II' cw.llt7~t1.e (2') UDder the Californil VQiform Trlll.f.r. to KLnor. Act, aD undivid.d on.-twelfth tnt.r"t \ \.\ . '3 . !.. 7. 1 7. 9 0 '" H _I... - . . ..... Oriu 101 aO.051 1 L-14 . .:..;. . 1.._ ( -04 . PM *PATRICK DEVELOPMENT ) F'05 . DBSCR1PTION loll of 10 ACre 1.0\ 4 a1\ll Ukoa. pon1o.a of 10 Ioora LeU i, . &ad , Joe quarur ,.c::c1011 151 of IAlfCJIO DE LA II.\C%O., ill &h. Ch7 of Chula Vina, C_&, of 'all ~ilIO, 'taU of CaU.to.ftl1a, ueor41ft1 to Hap II, Ilordll Ifo. 11', 'U.d 11\ &h. Otfic. of the Ce~t, alcorder of ..1d tall D1el. CoaDe7, 17illl 'ort~lr1, .f I lille ..,cr&"d al followl' IICt~1NO at ~. tlltorloctioll of ~h' Veetlrl, 1.... of ~I louch.aet' qu.rtor of .&i4 Quarter J'Ctioll 1'1, 'eill& a po1l\e dilUllt 'ou&h 1.. 04' "It, ".00 "0' Irom &h. .ort~et coraor o~ oai4 t.utho.et quareer, &hellco .outbwelc.r17 11\ . .trai,ht 11111 to the tD,or.lction With thl W,iterl7 liBo of .aid QuartoI' '.ctiOll 151 diltallt ther.on Horth 17- .4' 07. Vo.t, 407.50 f.tt 'rom th. 'outbw.et.r1, corner of .&id Quart.r ,.c~iOll. IXCIPU!lO that pel'Uon of 10 Acre .1.eu. 4. lD quarur 'ootiOll 1S1 of l.A!lCJIO DI LA II.\CZOK, ill ~. Cit7 ot Chul. Yi.ta, LII tL. CO~t, of .-. Di'IO, 'toee of Californl., .ccor411\1 to Hap ~ Horrill N.. 166. filod ill the Of Ii co of the Count, aecorder of .aid San >>le,o count" de.cribed a. follow., IEGIWNING at the Southwolterl, cornel' of oaid Lot '; thonee la.tar17 alO111 tbe Souther17 line theraof 40 feet to the laeterl, line of !Iational A.any. (100 faet wide); th.net continyinl Eoete:ly alOftI .aid Soyth.rly line 260 tle~l tbence N~rther17 parallol with the Weeterl, lint of .aid 14t to tbt Nortb.rly 1ina of .oid 1.o~1 thance V'lterl, aloDI aa1d Northlrly line SOD fee~ to .aid v..et.rl, line; thence Soytb.rl, along .aid Vo.terl, lille to the potDt of lalinn1aS. ALSO EXCEPTINC fB~EllQH tbe V.lt.rl, 40.00 fa.t of '1f~b A.enut (former17 Firlt Avenue). a. de.cribad in l..olution No. 2550. fl1ed January 27. 1961 a. Pile No. lSt26 of Offic~l lacorde. . . A1.S0 EXCEPTING 'J'BEIlEnOM all that portion as ducrib,d in l>ed to tho ltato of california. filed January 14,1972 a. P11..No. 10)01 of Offic1al lacordl and'beinl "1" particularl, d..crlbad a. fotlowa. lEOIIOlINO at tbe Nortba..ul'1, oorner of ..1,d Lot 4. thence along tbe Eoetedy line of .a1d Lot " South 17. 40' 16' Zalt, 329.20 fa.t; thenca le,villa ,e.id Eaetedy line, South 72- 28' 44. Wut, 462.22 f.lt; tb.nce South 71. OS' U' West. soo.oe fa.t; thence South 68. 15' 46' W'lt, 52'.01 faat to tho Nortbwaet,rl, comaI' of 1.ot s in Quarter SactioD 151 of Ian Dialo Lalld and t.-n Cempan,'. Hap of Cbula Yilto, Hap No. 505, fil.d Harch lS. le88 in 1&11 Diego Count7 1.oor4er'o Office, &bOllCt alocl the Northarl, prolOllI&tiOll of the Ve.terl, l111e of 10.t .aid ~ot s, North 11. 44' 48' We.t. 40.00 feet to the .outh.rl, ltD. of Lot 4 accordinl to .aid ~p No. 166, thence along .aid Southarly line, 'orth72- 1S' 14. la.t, 260.01 faet to tho Jouthea.terl, corner of thlt lalld d..cribed in 4eed to tho 8t&t. of Califorll!a recorded 'epttmbor 11. 1.70 &s rile No. 164245 of Official aacord. of '&11 Dillo COlmty. thlnce &l0ll1 the Entady 11ne of aaid SUt. lud. Monb 17- '"~ ... W..t, S29.S9 faet to tbl Northerl, lin' of aaid Lot 4; thaftel .1OftI .a1d Northarl, line, North 72. 13' s2' Eaet, 1025.38 fa.t to thl 'oiat of .eI11111111&. \ l\- l~ '. c' ! " 1 '7. 9 CI L'14' ,:>.) . -.. f'M -+PATRICK DEVELOPti.ENT , POt. . OC"T 10. '0'0'1 .... 1 -04 'CHEDtJLE B At tb. 'aet b.c.of eaelpttoel to eovlrl,e AD Idd1t!OD to tbt ,riftte' laC.ptl0DI aDd laclullonl tll thl pol1~y form d.ltlDAted on ~~I fa'l 1'1'1 of ~I lIport would ~I a. follow.l . A ~. 'r.,..rey "'..... 1IIe1u4111, III)" ........DU eolllct.ld 'Wlth Use., to lit S lev1ed for thl f!leel ,..r 1"0-'1 Yblcb Ie. a lien aot 'It Plya~l.. : " . 2. !hI ~lell of Ivppleaellt.l t..... 1f 1117. "I..lld purlvlnt to the prov111oll1 o',I~tt a111 Jo. I1S (l'.S) of thl It&tl of C&l!fornla. C J. Art a.._nt oc dabe of _., for the eOllltrveUCIft alld _lIlUuIIC. of flumu, .all.h or aqulducu. cOD".,ed to the ~ '''OUtR.I VATtR. COMPANY. ~ deed 4&t.d JUlIe 't 1"', aDd cloorded tn look 7. 'e.t 124 of Del'e. . 4. AI> '''_lIt foe tilt pu,o.. ahown belllV and rl..tltl 1IIddlltlt&1 tberno .. I.t fort.h tn a'doC-'IIt. CcanUd t.OI Pllr,... : COUIIn' Of IAJf flU~O Conltruet.lon. recOllltrvCtl.on and ..tnt,unc. of bi.bva)". l,clvatLoD aDd .mba~IDt alop'l Aprl1 I. 1.5. in look 6048. ...e t... Offl.cl..l llcord. 'be route th.reo! affec~e I port.ton of .e1.4 lend and 1. more fully de.cr1bed 1n .e14 doc_ent. tuorded I "'flects , t S. Rightl of the publ1c In end to Iny port1on of propert)" berein de.er1bed lying w1thin ro.ds. .tr.tts or bilhwa1', . , I. An e..ment. for t.b. purpo.. chOWll below eDd r1Shu illel.dental t.herete II .et forth in . document Grant.ed to. 'urpose. Recorded. STA!! or CAl.tI'Oll.NIA Slope and 1l1c1d.Dt.l purpo.e. 3anuery 14, 1'72 a. '11e No. 10301. Offlclal "coreh The rOQte ther.of effects I portion of ..i4 lelld and i. mere fUlly de.cri~4 1ft .eld decument. Affecu. Ii 7. ,..... lmrecord.4 1.... ~th ceruin tlm,. connlnU. conditiOD' and provl.s1oll' .et forth ~er.1n LII.or: 1.:::::'d b1' ".coreleel. K!TlOPOLUAJf nO.EtTIES. INC.. e Cel1fornl.. corporet1oD lOlnT PEII!l!ll., M.ll. and j PAVlI) MALCOLM Maaorlndu= of Lta.. Aprl1 4. 19.5 es 1'11. No. 15-1161'0, Off1c1al 1\\ - IS l_i (.. ,.., J. I. ~o "L-14' :' .:. . -- \ -04 ' PM ~PATRICK DEVELOPMENT PO? ord.: '01 .01011 'a.. 2 . SCHB1)'tJ'L2' B ( ClOIltiDuecl) a"ori. , N !!h. ,r...nt OWft.r.bip of ~. l'a"~ol' c~.ae.d ~ aai. 1.... ... Oth.r I ..te.r. aff..tift, the iat.r..t ot the 1..... aCI .Ot .bowu b.c.LD. , '. z 1111z1 ldlrleol'ded .ubl.... 'ated Ma, U, 1''', .'011 .... \In.. Ill' .8IlcU.Uora. tblc'~ provid.d Lauor. ;....OIElf 'IMHD., M.D, IIld itkV1J) NALCoLK La....: 1IA'n0KA1. A'YINUI ASSOCIAtES, I I.aeral pareD.r.hip Di.c10..' b71 ~rln'um of '~bl.a" a.eor4.41 Jul, 12; 18.5 a. 'il. 10. IS-aIOO", Official ..cor', I Th. ie.ur..t of til. z....or in .dd luble... WI' ...ipt' eo HlnOPOI.%!AN .Ko"rRo SQUAI%, L~" a lta1t.d partaerlhi" II ~o aa uadivid.. ".-b.lf inttrll. and CIlAl1ZS G. OleS aad JlAHCY W. tEaCIl, bUlbud alld yU., at c-==~tt, prop.rt,. a. to an andivi..d ODe..tzth tatlCI.tl .nd MAltAN Il!.Of!!EUOH ULLIn' and GAYLEY JEAN S'lEPIIEIlSOK, Co-!rllltee. lIDder a Truet dated 'Ibruar, 1, 1980, a. to ~e r...indlr'b, 4.at'~lIe. clcord.d Jul, 28, 1.86 .. 'ill' No.. 1'-3136?0 and 1'-S13"l, bo~ of Otticial alcocda. 1 9, The int.re.t of wtLLIAH StEPHENSON ae di.clo..d b7 dIed rleordl' April 18. 1989 ae rile Ho. 19-201381. Official alcord.. K 10, The int.r.et of JILL SfEP!IlNSON a. dieclo..d by d..' recorded April 18, 1989 a. File No. 89-201379, Official ltcord.. L 11. HatUrt which lI&y b. dbelOlld b, an ~.p.cUon or 'by . .un'I, of eaid land that is .atLetactor, to thie Compan" or b, inqui~, ot thl part1.. in pO'.I'lion th.r.of, 1/ 1m> OP a;IIEDt71.! I 1/ MOTE NO.1. W. rill r.quire . ltat_IZlt ot intorudon fl'om the puU.. named below in ol'd.r to compl.t. ~is r'port. ba..d on the aff.ct of documente, procel.inae. lilna, deer..e, or other lIItt.r. which do not .peeifieal1y de.crib. ..id land, byt whieh.:if any do Ixi.t. lII' attlct tb. title or impo.. lien. or .ncumbranc.. th.r.on. 'artit II JILL ItEPIIEIISON 1m.LtAM S'fIP!ltIlSON (Notl: :be .tlt~nt of info~tion i. a.e....r, to compl.t. th. ...rch .nd examination of title under thi. ord.r. ADy title ..arch ~clud.. \ ~ -1'- .~~ ~,\,'t~~ [14 : . . ~ . I_I ~... J f. 9 (.1 - - . -C>du .0. '01031 'a'l . -04 t'M ~PATRICK DEVELOPMENT ) PO- ~- o g a1 , S~tn.B B (COlltmued) ..t.un t~u are i114enlS i7 A8M 0111,'. 'aa4 badla, a coepln., .Ut.neat. .1 talonllt.f.DIl ...tau Ue c-p&ft7 ill tile .U.taat.illll ., "rub _uere _hit a"eu u 1l1yol" ~Ile parti.. Illlt. I.a bet. aff.ct. ..e~tr part.7 rit.h ek. .... or ....atlar a.... .. ...und t.hat. the ,tat._t. of hfonaaUOft ... ....aUal aM wUl be Icopt. et.dct.1, eOClfideaUal t.o Uie fill.) .OU tfO. J. 'roport., ua.. for t.h. final ,.ar .hOWll below an ,.i4. 'or proration purpoe.e tha ~t.' art. 'i.cal J.ar 1'.'-'0 : . . t 1,t. 1a't.a11M.at.. ld lrl,u.l1MIlt.. 10000WIl.r', bempdon I 1.&1Id I IlIpr_'rlU: 'a rt ad 'ropert.,. Coda As'1&. l'uce1 .0. U,120.U ",110.U '!lOKl SUI,7l4.00 'HOft. 'NOIl! 01U' 512-114-02 . - 14 '/1 . CHECKLIST FOR COUNCIL AGENOA STATEMENT ABBREVIATED ITEM TITLE: . RestJ. 0/ ,~/~;'f,O"" iD vrlCI:1Ie.. A.0rth Fif'flr A.".e. SUBMITTED BY: EN'GIN'~61i!1A/t; (f:!4n:lury) PLEASE CIRCLE APPROPRIATE ANSWERS 1. EXTRAORDINARY VOTE REQUIREMENT - Does this item require a 4/5th vote? Yes ~ o ABSTENTIONS - Are you aware of any Council Members who previously <9 /on< ~ abstained from voting on item due to conflict of interest? es >e2I L"' MAl(;OL#/ __ /. ) If so, who? .JEE ATTAc..llcD Itrus RePO~T (SCJJcD 8 As. / (2 . . Nor S(!RN~~4 3. INPUT FROM AND NOTIFICATION OF OTHER GROUPS/INDIVIDUALS - Please supply names of all relevant groups/i ndivi dual s, not 1 i sted below. in the spaces provided. For each group listed please circle your answers to relevant questions. Meeting Date /~;l2ZI'91 , , d ,P.:JrIlDn tJf A. Is item of interest to group? BOARDS/C~ISSIONS: a. Commission on Aging b. Y@ c. d. e. f. RELEVANT CITY DEPTS: a. Pl'anm"n.J b. c. d. e. OTHERS: a. Chamber of Commerce b. School District c. ..~~ d. e. f. 4. For any "N*" circled above, please describe why not: /jj ') . A-Il2 (continued on other side) 14~lg /'6 9. EXHIBITS AND ATTACHMENTS - Please indicate the number of each type of exhibit/attachment to the A-IIJ 1n the box provided (write "F" if Forthcoming rather than attached initially): . (continued from other side) 5. CONTRACTS - If this item involves approving a contract; " 'Has it been reviewed and ~pproved by the City -Attorl!ey' s office? , ,",.' '," ,." ". . '. . " .. . Has the other party already signed the contract? . .. ,.. 6. DISCLOSURE - If this action would be of .financialbenefit to specific individuals (e.g., involves purchase of goods/ services), is the Disclosure Statement attached? 7. LIABILITY - If this item involves a potential liability exposure to the City, has it been reviewed and approved by the Risk Manager? . . 8. ENVIRONMENTAL REVIEW - If this item requ:fress'ome level of. environmental review, has the Environmental Review Coordinator been'consulted? \". ".._ '. N RI .< ~n ~~ n Council Resolution n Ordinance n Agreement n Map/Plat/Locater/Elevation n Report(s): Environmental Document @ Yes @ Yes . , , @ Yes @ Yes No No No No N/A Yes " No .-- . Disclosure Statement n Attorney's Opinion Previous A-113(s): n Board/Commission ReSOlution/Minutes: n Letters: a Other: ~,v ~) .fila "'<,PeJrt ~n "Jv~;~d propltriy WPC 09441 ,~-\~ III/-~' THE CITY OF CHULA VISTA PAR7Y DISCLOSURE STATEMENT Statement of disclosure of certain ownership interests, payments, or campaign contributions, on all matters which will require discretionary action on the part of the City Council, Planning Commission, and all other official bodies. The following information must be disclosed: 1. List the names of all persons having a financial interest in the contract or application, i.e., contractor, subcontractor, material sUJ>l)lier. NATIONAL AVENUE AssocIATES, A CALIFORNIA GENERAL PARTNERSHIP METKUl'UL1'IAN ::HiUl'l" lNl:1 ::;\lUAKl:!;, LIU. CHARLES G. and Nancy W. Kerch Gavle Jean Stephenson in Trust for Jill M. and William G Stephenson 2. Robert Penner, M.D. If any person identified pursuant to (1) above is a corporation or partnership, list the names of all individuals owning more than 10% of the shares in the corporation or owning any partnership interest in the partnership. See attached for MetoDoitan Shoppin~ Sguare, Ltd. National Avenue Associates as follows: lJ-i 1 1 Q ~nn l>~ t-r;,..1c llYll"""- P~,...t-npr i Mathew R. T non; n P,qrtnpr George T. Kruer, Partner; Jerald A. Alford, Partner 3. If any person identified pursuant to (1) above is non-profit organization or a trust, list the names of any person serving as director of the non-profit organization or as trustee or beneficiary or trustor of the trust. none 4. Have you had more than $250 worth of business transacted with any member of the City staff, Boards, Commissions, Committees and Council within the past twelve months? Yes Ndl!.- If yes, please indicate person(s): 5. Please identify each and every person, including any agents, employees, consultants or independent contractors who you have assigned to represent you before the City in this matter. Partners of National Avenu~ Associates as listed above in #2. Project Design Consultants 6. Have you and/or your officers or agents, in the aggregate, contributed more than $1,000 to a Councilmember in the current or preceding election period? Yes _ No~ If yes, state which Councilmember(s): bD!m is defined as: "Any IndividllDl, firm, co-pannership, joint _IIn, asSociotiOll, social chIb, fratemol organizatioll, corporaliOll, estale, trust, receiver, syndicale, this and flIr)I other county, city and country, city,l1IIIIIicipality, distrlct or other political subdivisioll, or flIr)I other group or combi1ltUiOll aaillg as a IUlit. " (NOTE: Attach additional pages as necessary) Date: and Agent for (C:\A-113S\DlSCLOSB. TXT] ...... Print or type name of contractor/applicant Gayle Jean Stephenson, Trustee \ 1.\ . t.-O ATTACHMENT TO DISCLOSURE STATEMENT FOR METROPOLITAN SHOPPING SQUARE, LTD. FOR REQUEST FOR RIGHT OF WAY VACATION INDIVIDUALS OWNING PARTNERSHIP INTEREST IN METROPOLITAN SHOPPING SQUARE, LTn** General Partner Charles G. Kerch Limited Partners Tom Hurlbert Gilbert Jacobs Jer,y Stadtmiller Patricia Stadtmiller Joe Hayward Charles Borderdine Paul Borderdine Trust Trust Services of America in Trust for Jerry Stadtmiller Catherine Kerch Smith Margaret Brydegaard Al Stadtmiller Trust \,,\.;t\ I FIRST AMENDMENT TO GROUND LSASE This First Amendment to Ground Lease (First l\J1lendment) is SHOPPING made as of June 3 ' 1987, between METROPO~ITAN ~~~~i SQUARE, LTD. , CHARLES C. KERCH, NANCY W. KERCH, PRISCILLA STADTMILLER, and MARY BROTHERTON KELLEY and GAYLE JEAN STEPHENSON, as Co-Trustees (all as successors in interest to METROPO~ITAN PROPERTIES, INC.), and ROBERT PENNER, M.D., for the purpose of amending that certain Ground Lease made as of March 26, 1985, between METROPOLITAN PROpeRTIES, INC., as Lessor, and ROEERT PENNER, M.D., and DAVID MALCOLM, as Lessee, as follows: 1. David Malcolm is released from all liability and obl igat ion under the Ground Lease, and from and after the date hereof he shall have no responsibility with respect thereto; all references in the lease to Lessee shall hereafter be deemed to refer only to Robert Penner, M.D. 2. William patrick Kruer, a general partner of National Avenue Associates (which general partnership has subleased the property which is the subject of the Ground Lease from said Lessee) shall concurrently herewi th execute a Guaranty in favor of Metropolitan Properties Square, Ltd., Charles C. Kerch, . Nancy W. Kerch, Priscilla Stadtmiller, and Mary Brotherton Kelley and Gayle Jean Stephenson, as Co-Trustees, in form and content as set forth on Exhibit "An attached hereto and by this reference made a part hereof. (K4. 131 ) -1- / ) 4 ~ 22. 3. Except as amended or m~dified hereby, said Ground Lease shall and does remain in full force and effect. LEsson: ~NG METROPOLITAN KRmS SQUARE, LTD. By: , .' ) (j/1.NJ IJ;{);/ fiAtR- ARLES C. KERCH ?(~, Vi .. t./ /Co" c.L, NANCY W. ~'\RCH ",; .'1 LESSEE: ~~ 4V" ROBERT PEN , M. D. AGREED AND APPROVED: ..:: (K4.13l) -2- 1\\ -j...3 APPROVED: NATIONAL AvENUE ASSOCIATES (Sublesse By: 1 General lUcXtC~*l.9-<O ~ By: Mathew R. Loonln, General Partner I. (K4.131l -3- I L\ .l..~ GUAMNTY WILLIAM PATRICK KRUER (Guarantor) unconditionally guarantees and promises to and for the benefit of METROPOLITAN PROPERTIES SQUARE, LTD. ; CHARLES C. KERCH ; NANCY W. KERCH; PRISCILLA STADTMILLER; and MARY BROTHERTON KELLEY and GAYLE JEAN STEPHENSON, as Co-trustees (all as successors in interest to Metropolitan Properties, Inc.), that ROBERT PENNER, M.D., shall perform the provisions of that certain Ground Lease made as of March 26, 1985, between Metropolitan properties, Inc., as Lessor, and Robert Penner, M.D., and David Malcolm, as Lessee, as amended, that Lessee is to perform. Guarantor waives the benefit of any statute of limitations affecting Guarantor's'liability under this guaranty. The provisions of the Ground Lease may be changed by agree- ment between Lessor and Lessee at any time, or by course of con- duct, without the consent of or without notice to Guarantor. This Guaranty shall not be affected by Lessor I s failure or delay to enforce any of its rights. If Lessee defaults under the Ground Lease, Lessor can pro- ceed immediately against Guarantor or Lessee, or both, or Lessor can enforce against Guarantor or Lessee, or both, any rights that it has under the Ground Lease, or pursuant to applicable laws. If the Ground Lease terminates and Lessor has any rights it can enforce against Lessee after termination, Lessor can enforce those rights against Guarantor without giving previous notice to EXHIBIT A (K6.124/S) -1- I~~]..S Lessee or Guarantor or without making any demand on either of them. Guarantor waives the right to require Lessor to (1) proceed against Lessee; (2) proceed against or exhaust any security that Lessor holds f rom Lessee; or (3) pursue any other remedy in Lessor's power. Guarantor waives any defense by reason of any di sabi li ty of Lessee and wa i ves any other defense based on the termination of Lessee's liability from any cause. Unt il all Lessee's obligations to Lessor have been discharged in full, Guarantor has no right of subrogation against Lessee. Guarantor waives any right to participate in any security now or later held by Lessor. Guarantor waives all presentments, demands for per- formance, not ices of nonperformance, protests, not ices of pro- test, notices of dishonor, and notices of acceptance of this Guaranty and waives all notices of the existence, creation, or incurring of new or additional obligations. If Guarantor should be called upon to perform the obliga- tions of Lessee under the Ground Lease, LeSsor will, at Guaran- tor's request, terminate the Ground Lease with Lessee and subse- quently lease the Premises to Guarantor on the same terms and conditions as the Ground Lease. If Lessor disposes of its interest in the Ground Lease, "Lessor", as used in this Guaranty, shall mean Lessor 's succes- SOl'S. If Lessor is required to enforce Guarantor's obligations by legal proceedings, Guarantor shall pay to Lessor all costs in- (K6.124/5) -2- \~,)J. curred, including, without limitation, reasonable attorneys' , fees. Guarantor's obligations under this Guaranty shall be binding on Guarantor's successors. Da t ed: ~hl/rgl , 1987 ~ WI . lAM A ~ --- (K6.124/5) 14.11 -3-" . ? '81 16: 35 THE CI1Y . CIJULA J.7STA l'A.RTY DISCLOSl. ; STATEMENT PAGE.D02 St:ltlel11ent of disclosure of certllin ownership interests, payments, or campaign Contributions, on all matters which will require discretionary action on the part of the City Council, Planning Commission, and all other official bodies. The following information must be disclosed: L Li.~t the names of all persons having a financial interest in the contract, i.e" COntractor, subcontractor, material supplier. DTXTFT.TNF TllMRER m, TNC, A DEIAivARE CORPORATION 2. If any person identified pursuant to (1) above is a corporation or partnership, list the names of 1111 individuals owning more than 10% of the shares in 'the corporation or o\"'1ling any partnership interest in the partnership. NONE ., ~ 3. If any person identified pursuant to (1) above Is non-profit organization or a trust, list the names of any person serving as director of the non-profit organization or as trustee or beneficiary or trust'or of the trust. _, NONE 4. Have YOll had more than $250 worth oC business transacted With any member of the City staff, Boards, Commissions, Committecs and Council within the past twelve months'! Yes_ No ---X- If yes, please indicate person(s): 5. "Plcll$e identify each and every person, including any agents, employees, consultants or independent contractors wilo you have assigned to represent you before the City in this matter. JACK DUNCAN. CONSULTANT' . JERRY mum. CONSULTANT 6. Have YOu and/or your officers or agents, in the aggregQte, contributed more than $1,000 to Il Councllmember in the current or preceding election period? Yes _ No L If yes, stllte which Councllmember(s): Per.'ll" Is denncd ~s: 'Any i/ldividual, jimr, ,0-parl1le,r!tip. iO/1lI "MI/lrf!:,.flnoclm/on, scch,/ cluh, ji.tII~l7tal organization. '07'0,(1(1011, "((110, 111m. ree.,,,,,,., r/"df,,,tc, this "lid all." Q/lrcr 'OIIlfT)!yclty.t1l1d 'Ollll~.cil)" nrlllllcipah'ry, dfS"icr or arller pol/lienl IUCd/drlulI, or nil)' olil.r !pvrrp Qr 'omblll(//fOn aClillK as tI lI/1il.' (\ \ iNOTE: A~Ch slldittonaJ pages a, necessary) \\. \, \ .\\\ \ , t _ Dnle: -.l1;~ b,. /'71/ . -'-J[llt,( ',-.,J \AA.AA;~ANr SiSijlure of contrllCtor/appJicant DIXIELINE WMBER CD."lPA.'iY, INC. Print or type name ofl!~fllppjic<lnt !.\-lll_\O:SCLOS!!.T:'n: . iR.,.,,,..~, 111)0..'0, 14-:2.8 THE CITY OF CIlULA VISTA PARTY DISCLOSURE STATEMENT State',nent of disclosure of certain ownership interests, payments, or campaign contributions, on all mallers which will require discretionary action on the part of the City Council, Planning Commission, and all other official bodies. The following information must be c1isclnsed: 1. List the names of all persons having a financial interest in the contract, i.e., contractor, subcontractor, material supplier. R.E. Hazard Contracting Company 2. If any person identified pursuant to (1) above is a corporation or partnership, list the names of all individuals owning more than 10% of the shares in 'the corporation or owning any partnership interest in the partnership. Bruce R. Hazard Mabel Haza~state Muriel Hazard Trust 3. If any person Identified pursuant to (1) above is non-profit organization or a trust, list the names of any person serving as director of the non-profit organization or as trustee or beneficiary or trustor of the trust. Not Applicable ' - 4. Have you had more than $250 'worth of bu'silless tnmsacted with any member of the City staff, Boards, Commissions, Committees and Council within the, past twelve months? Yes_ No ~ If yes, please indicate person(s): s. Please Identify each and every pen;on, including any agents, employees, consultants or independent contractors who you have assigned to represent you before the City in this malter. McDonald, Hecht & Solberg (Paul Robinson) Prolect Desiqn Consultants 6. Have you and/or your officers or agents, in the aggregate, contributed more than $1,000 to II Councilmember In the current o~ preceding election period? Yes _ No -2l If yes, stllte which Councllmember(s): fl:.nilln Is dcnned as: .Any individual. firm. co.parll1.rship. )01/11 \'.nlllr.. assoc/nl/''''. locinl club. !rm.rnnl orgnn/l(l/jon, corpotrlllon, ~sttllt!1 Inut, receJv~,., syltdlcat~, tills and any otht!r COUlIf)1, cill lI,nd COLIIII'7)~ el/)', mUlIlcipaliry, di~f7iC:1 or olfu:r politit:nl suodl.,,'s;CJH, or IIIlY olh~r grOllp or comO/llllllon acllng as n lIn/t.. . . (NOTE: Attach addllfonal pages as necessary) Dnte: Auqust 7, 1991 1,\.11.1. \:DISCLOSIl TX'tJ Signature of ntractor/applicant R.D. Randal, Executive Vice President R.E. Hazard Contracting Company Print or type name of contrllctor/applicant . II\<vi.cd: II f.lO~)O) Rn..r 14~~~ : .'.~~w~n~~^~n ~~TWIW~. TAT _1 T C : ? n T>:' "" 're" COUNCIL AGENDA STATEMENT Item IS ITEM TITLE: Meeting Date 11/5/91 Resolution Il..::''i~ Releasing Bonita Long Canyon Partnership from the requirement to improve the intersection of Bonita Road and Central Avenue as identified on the Interim Financing Agreement dated October 27, 1987 and authorizing the release of a bond guaranteeing said improvements Director of PUb~C Work~~ City Manager ~/f~ (4j5ths Vote: Yes___No~) SUBMITTED BY: REVIEWED BY: In October 1987, the City entered into an "Interim Financing Agreement" with Bonita Long Canyon Partnership. The purpose of the agreement was to mitigate potential traffic impacts related to development of Bonita Long Canyon Units 4, 5, 6, and 7 through the payment of fees and the construction of certain street improvements on Central Avenue which is located in the unincorporated territory of the County. Bonita Long Canyon guaranteed performance of the improvements with a bond in the amount of $287,000. All of the required improvements have been constructed except for enl argi ng the intersection of Central Avenue and Bonita Road. RECOMMENDATION: Approve the resolution. DISCUSSION: The City approved the Tentative Map for Bonita Long Canyon, Units 2 through 7 on December 17, 1985. Among the conditions of approval of the Tentative Map were the requirements to construct the following improvements in Central Avenue: a. Signal ization of the intersection of Corral Canyon Road and Central Avenue. b. Widening Central Avenue from 28 to 36 feet (curb to curb). c. Widening the intersection of Bonita Road and Central Avenue to provide dual 1 eft-turn 1 anes for westbound Central Avenue traffi c and to provide right turn 1 anes at the other three 1 egs of the intersection. On October 27, 1987, the developer entered into an agreement titled an "Interim Financing Agreement" with the City to guarantee construction of the required improvements. The interim financing agreement itself, was the forerunner of the Eastern Territories Development Fee (DIF), which was subsequently adopted in 1989. When this agreement was presented to Council, Central Avenue was included in the list of projects to be constructed util izing impact fees. When the DIF was adopted, it did not include Central Avenue, since Central Avenue was not considered to be a "regional transportation facil ity." )5../ Page 2, Item IS Meeting Date 11/5/91 The improvements 1 isted in items a and b above have been completed to the satisfaction of the City Engineer. On October 9, 1990, Bonita Long Canyon Partnership requested that the Interim Financing Agreement be modified to eliminate the provision requiring construction of the intersection improvements in item c. Staff supports the request to eliminate the requirement based on the following reasons: 1. With the extension of Corral Canyon Road northerly to East H Street, Bonita Long Canyon has less of an impact on the subject intersection than had been previ ously predi cted. The intersect i on appears to be working adequately at this time, with almost all of the homes in Bonita Long Canyon occupied. 2. The County is currently redesigning the alignments of Central Avenue and Bonita Road, including the subject intersection, to bring Central Avenue more directly to Briarwood Road. Thus, improvements that Bonita Long Canyon would be required to install would likely be temporary in nature. 3. The interim financing agreement provides for the developer to receive credits against DIF Fees for costs associated with design and construction of the improvements required by the agreement. Central Avenue improvements are completed and the developer has been given credit for his work. The intersection may be redesigned in a later project for Bonita Road. Our D.I.F. program has two projects on Bonita Road totalling $1,371,400. Since Long Canyon has paid all their fees, it does not seem appropriate to have them construct the temporary improvements. Staff, therefore, concludes that the benefit of constructing the subject intersection improvements would be marginal. Since the subject intersection improvements are the last item of the interim financing agreement to be guaranteed by the $287,000 bond, if Council approves releasing the developer from this requirement, it would be appropriate to release the bond. FISCAL IMPACT: None to the City. CST/EY-268 WPC 5775E /5-.<.. RESOLUTION NO. /1.,311 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RELEASING BONITA LONG CANYON PARTNERSHIP FROM THE REQUIREMENT TO IMPROVE THE INTERSECTION OF BONITA ROAD AND CENTRAL AVENUE AS IDENTIFIED ON THE INTERIM FINANCING AGREEMENT DATED OCTOBER 27, 1987 AND AUTHORIZING THE RELEASE OF A BOND GUARANTEEING SAID IMPROVEMENTS The city Council of the City of Chula vista does hereby resolve as follows: WHEREAS, in October, 1987, the city entered into an "Interim Financing Agreement" with Bonita Long Canyon Partnership to mitigate potential traffic impacts related to development of Bonita Long Canyon Units 4, 5, 6 and 7 through the payment of fees and the construction of certain street improvements on Central Avenue; and WHEREAS, Bonita Long Canyon guaranteed performance of the improvements with a bond in the amount of $287,000 and all of the required improvements have been constructed except for enlarging the intersection of Central Avenue and Bonita Road; and WHEREAS, on October 9, 1990, Bonita Long canyon Partnership requested that the Interim Financing Agreement be modified to eliminate the provision of requiring construction of the intersection improvements; and WHEREAS, staff supports the request to eliminate the requirement based on the following reasons: 1. with the extension of Corral Canyon Road northerly to East H street, Bonita Long Canyon has less of an impact on the subject intersection than had been previously predicted. The intersection appears to be working adequately at this time, with almost all of the homes in Bonita Long Canyon occupied. 2. The County is currently redesigning the alignments of Central Avenue and Bonita Road, including the subject intersection, to bring Central Avenue more directly to Briarwood Road. Thus, improvements that Bonita Long Canyon would be required to install would likely be temporary in nature. 3. The interim financing agreement provides for the developer to receive credits against DIF Fees for 1 IS..,!} costs associated with design and construction of the improvements required by the agreement. Central Avenue improvements are completed and the developer has been given credit for his work. The intersection may be redesigned in a later project for Bonita Road. Our D.I.F. program has two projects on Bonita Road totalling $1,371,400. Since Long Canyon has paid all their fees, it does not seem appropriate to have them construct the temporary improvements. WHEREAS, staff concludes that the benefit of constructing the subject intersection improvements would be marginal since the subject intersection improvements are the last item of the interim financing agreement to be guaranteed by the $287,000 bond. NOW, THEREFORE, BE IT RESOLVED that the city Council of the city of Chula vista does hereby release Bonita Long Canyon Partnership from the requirement to improve the intersection of Bonita Road and Central Avenue as identified on the Interim Financing Agreement dated October 27, 1987 and authorizing the release of a bond quaranteeing said improvements. John P. Lippitt, Director of Public Works Approved as to form by (~~'i Attorney Presented by C:\RS\BLC release 2 IS-,/ ( . , , ( ,- '. \. ,. .' J:NTElUH FINANCING AGREEKENT THIS J:NTERIM FINANCING AGREEMENT ('Agreement') is entered into as of fctoby 27 , 19.81. between BONITA LONG CANYON PARTNER- SHIP, a Cal forn a general partnership ('Developer'), and the CITY OF CHULA VISTA, a municipal corporation ('City'), with reference to the following facts: A. city and Eastlake Development Company (a developer not associated with Developer) have previously entered into the Eastlake 1 Public Facilities Financing Plan ('Financing Plan') dated February 19, 1985. The Financing Plan has been tiled with the City Clerk of the City as Document No. 0-2102. B. City and Eastlake Development Company have also entered into an Interim Facilities Financing Agreement dated December 19, 1985 ('Eastlake Interim Agreement') and the City and Eastlake Development Company have each agreed, pursuant to Paragraph 2 of the Eastlake Interim Agreement, to the provisions of Exhibit A to the Eastlake Interim Agreement, entitled 'Eastlake Development Impact Fees' ('Exhibit A'). Copies of the Eastlake Interim Agreement and Exhibit A have been filed with the City Clerk of the City as Document Nos. R-12307 and R-12409, respectively. I , , , " C. The Financing Plan and Exhibit A set forth a descrip- tion of certain public facilities needed to aerve the eastern areas of the City as a result ot the cumulative effect ot development within the Eastlake Sectional Planning Area and other adjacent developments. . D. Developer is developing land covered by CHOLA VISTA TRA~ 86-3, UNITS 2 through 7, inclusive, which land is adjacent to the Eastlake Sectional Planning Area. The City has approved a tentative map for CHOLA VISTA TRACT 86-3, UNITS 2 through 7, inClusive, by its Council'. Resolution No. 12285 (the 'CVT 86-3 Hap Resolution'). . E. The City and Developer have previously entered into an Interim Financing Agreement covering UNITS 2 and 3 of CHOLA VISTA TRACT 86-3 and Tentative Parcel Map 8.6-11. . -1- 1t5' ~S .' ( ( <. t... .' . . . F. Condition No. 24 of the CVT 86-3 Map Resolution .requiresDeveloper to enter into a Development Aqreement with the city. The parties intend this Aqreement to satisfy Condition No. 24 with respect to UNITS 4, 5, 6 and 7 of the CVT 86-3 Map Resolution; this Agre.ment shall be deemed a -development agreement- within the meaninq of Condition No. 24 of the CVT 86-3 Map Resolution. G. The city is presently considering various financing programs and alternatives to implement the methods of financinq capital improvement projects for the construction of public infrastructure contemplated by the Financinq Plan and Exhibit A. One such method of financing is the imposition of an impact fee as a condition to the issuance by the City of buildinq permits for the construction of residential units within the qeographic areas of the City generally east of Interstate 805, south of Bonita Road and north of the ridgeline generally midway between the proposed extensions of Telegraph Canyon Road and Orange Avenue (the -Impact AreaW). H. It is intended that this Agreement impose an impact fee requirement on lots within UNITS 4, 5, 6 and 7 of CHULA VISTA TRACT 86-3 and that such ~ee be considered -interim. and subject to modification by the City (subject to the limitations stated in Paragraph 3 below) at such time as the Chula Vista City Council adopts a permanent impact fee schedule applicable to the Impact Area. I. It is intended that this Agreement satiSfy the require- ments of Condition No. 24 of the CVT 86-3 Map Resolution with respect to UNITS 4, 5, 6 and 7 of CHULA VISTA TRACT 86-3. NOW, THEREFO~, the parti.s agree as follows: .J... Payment ~i Fee. Subject to the paragraph below entitled -credit Against Impact F...., Developer shall pay to the City an interim impact fee of $1,188.70 for each sinqle-family resident!al lot within CHt1LA VISTA TRAe'l' 86-3, UNITS 4, 5, 6 and 7 at such time as Developer applies for a building permit for construction on such lot. Should application be made for any building other than a single-family residence, the interim impact tee shall be based upon the number of equivalent dwelling units (-EDOs.) which would result from such building times $1,188.70 (subject to the paragraph below entitled -Credit Against Impact Fees.). The number of EDOs attributable to a building other than a single-family residence shall be determined by the number of average daily trips (-AD'l's.) which would result trom such other building. -EDO- shall be determined by the Eastlake Interim Development Impact Fee Report trip generation fiqures; provided, however, subject to the limitation stated in Paragraph 3 below, this Paragraph 1 shall be superseded bya facility benefit assessment district ~hould the same be subsequently enacted by -2- IS-/' .' ( ( I~ , I, C. \ . ' the City and made applicable to Units 4, 5, 6 and 7 of CHULA 'VXSTA TRACT 86-3. Developer hereby waives protest to the ~ormation of a facility benefit assessment district. 2. Purpose of the Fee. The impact fees paid by Developer or others in the Impact Area shall be placed in an interest bearing account and may be expended only for the purposes of providing the public facilities for which the fees were collected. The impact ~ees collected under this Agreement are ~or the construction of projects covered by It_ I and Items II 1, 2, 3, 4, 5, 6, 7 and 8 on Page 13 of Exhibit A and as referred ~o in the Financing Plan (the 'Covered Projects'). 3. Change i.n Fee Amount. The City shall have the right to change the impact fee (either interim or permanent) from time to ~ime applicable to properties within the~mpact Area ~or ~he Covered Projects. The Developer shall be obligated to pay any increase in impact fee amounts for lots for which a building permit has not yet issued or interim or permanent fees paid; provided, however, the ~otal impact fee (interim or permanent) shall not exceed $3,000.00 per lot. .. Xmpact Fees on Other Projects. The City will use its best reasonable efforts to collect like or similar impact ~ees pro rata (based on benefit) from other property owners of. undeveloped property within ~he Impact Area so that Developer. will not be placed in an unfair or noncompetitive situation. 5. withhold of Penda. Developer agrees that the City shall have ~he right ~o withhold issuance of the building permit ~or any lot within UNITS 4, 5, 6 and 7 of CHtrLA VISTA TRACT 86-3 unless and until either (i) ~he impact fee required hereunder is paid for such lot, or (ii) sufficient credits exist pursuant ~o the paragraph below entitled 'Credit Against Impact Fees' to . cover 'Such lot. . 6. Xmprov_ents ~o be Xnstalled by Developer. ~action of Condition 20 of CVT 86-3, Developer shall ~ollowing improvements ~o be installed: (a) The widening of the south side of Central Avenue ~rom its present width of approximately twenty-eight (2a) feet to a Width of thirty-six (36) feet, and the improvement of a five (5) ~oot sidewalk on the south side of Central Avenue. These improvements shall be made on that portion of Central Avenue which lies between Bonita Road and Corral Canyon and are further described on Exhibit 'lr attached hereto. In satis- cause the (b) The widening of the intersection of Bonita Road and Central Avenue to provide dual left-turn lanes for west-bound Central Avenue traffic and the improvement of right-turn lanes -3- 1S--7 .' ." '. ( " - " " f., , /. ( ~or each o~ the other three approaches to the intersection, as '~urther shown on Exhibit .2. attached hereto. (c) The signalization of the intersection of Central Avenue and Corral Canyon Ro~d, as described on Exhibit .3. attached hereto. III( Ii Developer shall immediately commence preparation of improvement plans ~or the improvements described in Subparagraphs (a), (b) and (c) above (.Centra1 Avenue Improvements.) and shall expedi- tiously process the same with the San Diego County Department of Public Works. Subject to delays beyond Developer's control, Developer shall (i) commence the Central Avenue Improvements within one year following the date of recordation of CHULA VISTA ~CT 86-3, UNIT NO.4, and (ii) cause the Central Avenue Improvements to be completed within twenty-four (24) months after recordation of CHULA VISTA TRACT 86-3, UNIT NO.4. Developer shall, prior to the recordation of CHULA VISTA TRACT 86-3, UNIT NO.4, obtain and deliver to the City a performance bond in form and from an issuer reasonably acceptable to the City, in the amount of $287,000.00, covering Developer's performance under this Paragraph 6. . 7. Credit Against :Impact Fees. The impact fees payable by Developer pursuant to this Agreement shall be reduced by the sums expended by Deve1ope~ for the City-approved costs of the Central Avenue Improvements, inclUding (i) engineering costs, (ii) costs ~or material, labor and other direct construction costs, and (iii) such other costs as may be approved by the City Engineer. Developer shall present invoices and evidence of payment of such costs to the City Engineer from time to time after the same are incurred and thereafter be entitled to such credit. Should these costs exceed all the impact fees which would otherwise be payable . hereunder, the City will credit the impact fees payable and ,refund impact fees paid. Notwithstanding anything herein stated to,the contrary, City shall have no obligation to reduce impact tees payable hereunder tor any Central Avenue Improvements which are temporary and therefore would not contribute to ultimate improvements. For example, construction of an asphalt sidewalk and berm would be deemed temporary, but partial widening of Central Avenue would not be deemed tempora2:Y. 8. Traffic Threshold. The City shall have the right to withhold the issuance of building permits for lots within CHULA VISTA TRACT 86-3, UNITS 4, 5, 6 and 7 any time after it is reasonably determined by the City that traffic on Central AVenue between Corral Canyon Road and Belle Brae Road has reached 8,000 Average Daily Trips, unless or until Developer commences Widening Central Avenue to four (4) traffic lanes between Frisbie Street and Corral Canyon Road to the satisfaction of the City'S Director of Public Works and the County of San Diego Department of Public Works. In the event.bui1ding permits are issued during such -4- Is-.j ." ( , t \.. "" street widening construction, the City shall have the right to 'withhold issuing certificates of occupancy for homes commenced after the street widening commenced until such widening is completed. The City shall not, however, withhold any such building permits or occupancy permits if the city has not, within 120 days of making such 8,000 Average Daily Trips traffic determination, either acquired by negotiation an interest in the land which would permit such widening of Central Avenue or commenced proceedings to acquire such interest in land pursuant ~o Title 7 (commencing with Section 1230.010) of Part 3 of the Code of Civil Procedure. 9. Termination. This Agreement shall remain in effect unless and until it is superseded by one or more of the financing programs authorized by the Financing Plan. Should any such alternative financing plans be utilized, ~he impact fees required hereunder shall either be eliminated or be reduced pro rata (as is appropriate) based upon such other sources of financing as may become available. 10. Increases to Xnterim or Permanent Xmpact Fees. Anything herein stated to the contrary notwithstanding, the impact fees (interim or permanent) payable hereunder shall be adjusted at the time such fees are paid to the City, prorata with increases or decreases set forth in the Engineering Ne",. Record Index of Construction Costs from 4356.10 (being such Index as ,of Karch 19, 1987). No such increase or decrease shall apply to any interim or permanent impact fees already paid for any lot. 11. Satisfaction of Hap Condition. Condition No. 24 of the CVT 86-3 Map Resolution shall be deemed satisfied by the parties entering into this Agreement. The parties also acknowledqe the satisfaction of Condition 20 of the CVT 86-3 Map Resolution. i 12. No Protest. Developer agrees ~o not protest the formation of a facilities benefit assessment district which may be proposed by the City to finance capital improvement projects for the construction of public infrastructure contemplated by the FinanCing Plan. 13 . Invalidity. Xf any material provision of this Agree- ment is held invalid, this Agreement will be automatically terminated unless, within fifteen (15) days after such provision is held invalid, the party hOlding rights under the invalidated .provision affirms the balance of this Agreement in writing. This provision will not affect the right of the parties to modify or supersede this Agreement. by mutual consent. 14. Assiqrunent. Developer may assign its rights and transfer its obliqations under this Agreement if such assignment and transfer is made as a part of the transfer, assignment, sale or lease of all or a portion of the lots within UNITS 4, 5, 6 -5- ~-1 , .' ( and/or 7 of CHULA VISTA TRACT 86-3 and if the City consents to . such transfer. Such consent shall not be unreasonably withheld and shall be 'given if the transferee assumes the obligations of Developer hereunder in a manner reasonably satisfactory to the City. Upon such transfer, assignment and assumption the original Developer shall be deemed released from the obligation to pay any impact tees or adjustment to impact fees for lots so transferred. 15. Applicable Law - Attorney'. Fees. This Agreement shall be construed and enforced in accordance with the laws of the ' State of California. Xn the event of litigation between the parties arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to recover all attorney'. fees, court costs and necessary disbursements made in connection with the litigation. 16. Notices. All notices, demands or other communications given pursuant to this Agreement shall be in writing and shall be deemed to have been delivered upon (i) personal delivery to any officer of Developer or to the Office of the City Attorney of the City, or (ii) as of the third business day after mailing by United States Hail, postage prepaid, addressed as follows: Xf to Developer: Bonita Long Canyon Partnership 2727 Hoover Avenue National City, California 92050 Attention: Hr. Xen Baumgartner ( ( , Xf to City: Office of the City Attorney City of Chula Vista 276 Fourth Avenue Chula Vista, California 92010 Attention: Mr. Thomas J. Barron i , I~is Agreement has been executed at San Diego County, California as of the date first written above. . BONITA LONG CANYON PARTNERSHIP, a California general partnership By: HcMILLIN DEVELOPMENT, mc., a California corporation, General Partner . By >?~cr:'- U!J/.1; / By fe6- 9- ~ ~ " -6- IS-,/D .' ( ::: . :~':; :f .:.. :':. " " .... ..' . :;, :; ( ( \. . . APPROVED AS TO FORM BY: I i. City Attorney IS"-I/ By: HOME CAPITAL CORPORATION, a California corporation, General Partner By ~// /~ ]g~ By ;' Jt. J7 'B . L:-" c...... CITY OF CHt1LA VISTA By -7- 4.n I!.~ Autho zed Agent !. .' ( EXHl:BXT -1- Description of Y1D"rovemen~s t:a Cent:ra1 Avenue Widen eXisting pavement to accommodate two 12-foot travel lanes and one 12-foot left turn lane. Install A.C. berm, A.C. driveway approaches, sidewalk, drainage pipe and headwall per plans approved by County of San Diego ~lic Works (~ C. . I I. i I. i . (, . ~.. /~,12 ~ ( ( ~ (~ ( ~ \ , . EXHIBIT -2- Description of Improvements to Bonita Road and Central Avenue Widen Bonita Road S/O Central Avenue and widen Central Avenue W/O Bonita Road to provide for dual left turn lanes westbound Central Avenue to Bonita Road and the improvement of right-turn lanes for each of the other three approaches to the intersection. Modify and relocate signals as required in accordance with plans approved by the County of San Diego Public Works. .~ i I. i I ' ~~ " ( ~# :: ..... ( c \ , " ,'. BJUI..LlsL'r -3- Description of Signalization of Central Avenue and Carra1 eanvon Road %nstall .ignalization at Central Avenu. on Corral Canyon Road t.o provide a t.wo-phas. inter.ect.ion per" plans approved by San Diego County Public Works. i ii, ! . . Is ./1./ COUNCIL AGENDA STATEMENT Item 'I" ITEM TITLE: Meeting Date 11/5/91 Resolution 11,4DO Accepting contract work, Phase XIX thru XXII street improvements at various locations in the City of Chul a Vi sta and appropri at i ng funds from the Unappropri ated Gas Tax Fund balance ...~ Director of Public Work~~ City Manager ~~ ~ ~ (4/5ths Vote: Yes..lLNo_) SUBMITTED BY: REVIEWED BY: On February 19, 1991, the City Council by Resolution No. 16071, awarded a contract in the amount of $207,000.00 (including contingencies) for the Phase XIX thru XXII street improvements at various locations to Caves Construction. The work is now completed. RECOMMENDATION: That Council adopt a resolution: 1) accepting the contract work, and 2) appropriating $44,000 from the unappropriated Gas Tax Fund balance to cover staff costs expenses incurred to construct the project. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: Caves Construction completed the construction of Phase XIX thru XXII street improvements (at 41 separate locations) on September 10, 1991. A final inspection was made on September 11, 1991, and all work was found to be completed in accordance with the contract plans and specifications and to the satisfaction of the City Engineer. Staff has now received and paid all the contractual invoices for this project and completed our accounting of the expenditures. It should be noted that the cost of administering and designing Block Act projects is high because parcels are located at various (41) locations throughout the entire City and additional administrative procedures are required by law. In addition, the City will be reimbursed about $153,000 of the construction cost by the various property owners over a 10-year period. A publ ic hearing will be set in the near future to set the actual assessments to be levied to the various parcels. FINANCIAL STATEMENT: I. Appropriated Funds TOTAL I $264,475.00 112.000.00 $376,475.00 a. Construction b. Staff I~ ,1 Page 2, Item //tJ Meeting Date 11/5/91 II. Contract Amount as Awarded a. Construction (Caves Construction, Contractors) $188,019.00 original contract plus contingencies b. Relocation of water facilities (Sweetwater Authority) c. Staff $207,000.00 TOTAL II 25,740.00 112.000.00 $344,740.00 III. Actual Expenditures Construction a. Caves Construction, Contractors b. Material Testing Services (USTE, Inc.) c. Relocation of Water Facilities (Sweetwater Authority) d. Miscellaneous Supplies & Expenses Subtotal $179,400.75 890.90 12,805.76 720.00 $193,817.41 Staff $217,657.59 Estimate includes 2.558 full cost recovery factor inception to November 1991 (estimated public hearing date) TOTAL II I $411,475.00 IV. Deficit a. Actual Expenditures b. Appropriated Funds TOTAL IV $411,475.00 367.475.00 $ 44,000.00 FISCAL IMPACT: In addition to the construction cost summarized above, the City will maintain the public improvements. The $44,000 appropriated from the unappropriated Gas Tax Fund balance is to be placed in Account No. 250~2501-ST517 (Block Act FY 90-91). WPC 5786E Ii? ,L RESOLUTION NO. I~~O() RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING CONTRACT WORK, PHASE XIX THRU XXII STREET IMPROVEMENTS AT VARIOUS LOCATIONS IN THE CITY OF CHULA VISTA AND APPROPRIATING FUNDS FROM THE UNAPPROPRIATED GAS TAX FUND BALANCE The city council of the city of Chula vista does hereby resolve as follows: WHEREAS, on February 19, 1991, the City Council by Resolution No. 16071, awarded a contract in the amount of $207,000 (including contingencies) for the Phase XIX thru XXII street improvements at various locations to Caves construction; and WHEREAS, Caves Construction completed the construction of Phase XIX thru XXII street improvements at 41 separate locations on September 10, 1991; and WHEREAS, a final inspection was made on September 11, 1991, and all work was found to be completed in accordance with the contract plans and specifications and to the satisfaction of the city Engineer. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula vista does hereby accept the contract work for Phase XIX thru XXII street improvements at various locations in the city of Chula vista. BE IT FURTHER RESOLVED that the sum of $44,000 is hereby appropriated from the unappropriated Gas Tax Fund balance and transferred into Account No 250-2501-ST517 (Block Act FY 90-91). BE IT FURTHER RESOLVED that the city Clerk is hereby directed to forward a certified copy of this resolution to Caves Construction. John P. Lippitt, Director of Public Works ?ifli I.y Attorney Presented by C:\RS\Phase XIX //,,-.3 COUNCIL AGENDA STATEMENT ITEM TITLE: Item } 7 Meeting Date 11/5/91 Ordinance .:2482.. Amending Ordinance #1966 relating to through truck routes Resolution 11,41>\ Appropriating $1,000 from General Fund for truck route signs Director of P~blic works~ City Manager&~1b (4j5ths Vote: Yes-x-No___> SUBMITTED BY: REVIEWED BY: There have been several changes to the Ci ty' s ci rcul at i on system si nce the existing truck routes were established in 1975 and amended in 1982. Review of existing truck routes by staff show a revision of the present routes is necessary to complement the changes and expansion of the City of Chula Vista. Revisions to Chula Vista Municipal Code sections 10.64.010 and 10.64.040 are also needed. RECOMMENDATION: Place this ordinance on first reading adopting additional truck routes within the City limits and amend the Chula Vista Municipal Code Sections 10.64.010 and 10.64.040. Approve the Resolution appropriating $1,000 from the General Fund for Truck Route signs. DISCUSSION: Sect ions 35700, 35701 and 35703 of the Ca 1 Horni a Vehi cl e Code do all ow any city to prohibit the use of a street by any commercial vehicle or any vehicle exceeding a maximum gross weight limit, such as 10,000 pounds, except with respect to vehicles used for the collection and transportation of garbage, rubbish or refuse. However, the truck route provisions cannot prohibit commerci a 1 vehi cl es from us i ng a restri cted street when 'necessary for the purpose of serving buildings or structures located on the re~tricted street. Truck routes are used to designate which streets commercial vehicles can use when transporting goods within the City. The movement of all goods on vehicles exceeding 10,000 pounds shall be confined to designated truck routes. Staff has put together a plat which illustrates the types of vehicles which fall into the following three categories: 1. Vehicles less than 6,000 lbs. gross vehicle weight. These vehicles are passenger cars, vans, pickups and motorcycles. 2. Vehicles greater than 6,000 lbs. and less than 10,000 lbs gross vehicle weight. These vehicles are 1 ight duty trucks, vans and trucks towing ut il ity trailers. Most of these vehicl es are based on pi ckup truck or van chassis and would not be of the tractor trailer type. The overall vehicle length is comparable to a large passenger car. p- \ Page 2, Item 11 Meeting Date 11/5/91 3. Vehicles greater than 10,000 lbs. gross vehicle weight. Vehicles in this category are tractor trailer trucks with one or two (tandem) trailers and large single-unit (no trailer) trucks, such as a two axle moving/delivery truck. These types of commercial vehicles require a class I drivers license. It is these vehicles which will be restricted to the truck routes, due to their weight and overall length. The Circulation Element and Chula Vista Street Network have changed since the exi st i ng truck routes were 1 ast amended on January 12, 1982. These changes include the addition of more ramps to and from 1-5 freeway, I-80S freeway, SR-54, the annexation of Montgomery area from the County of San Diego and the construction of various streets and avenues throughout the City. The purpose of this report is to make additions to the existing truck route system in view of the changes in the street network. Chapter 10.64 of the Chula Vista Municipal Code pertains to truck routes within the City limits. Changes to the Municipal Code are also needed to clarify sections 10.64.010 and 10.64.040. Revisions to section 10.64.010 will be to establish truck routes by ordinance as required by the Vehicle Code instead of by resolution. The revision to 10.64.040 will be to delete the reference to resolution while retaining the reference to establishing by ordinance. There is also a discrepancy with the gross weight. Section 10.64.040 will be changed from 6,000 to 10,000 pounds (see attached). The proposed increase in weight to 10,000 pounds will not have a detrimental effect on the pavement and on noise. Since light duty trucks are based on heavy duty pickup or van chassis, the noi se generated by these vehi cl es wi 11 be the same as a pi ckup or van. This change is necessary to prohibit only heavy duty trucks from using a lternate routes throughout the Ci ty. In addition, the truck routes wi 11 provide guidance to the operators of these large vehicles as they travel through the Montgomery area and eastern portion of the City where most of the proposed truck routes are needed. The following are existing truck routes. TRUCK ROUTES CHULA VISTA MUNICIPAL CODE 10.64 NAME OF STREET BEGINNING AT BAY BOULEVARD NORTH CITY LIMIT BON IT A ROAD IIEII STREET ~ILLO~ STREET BROAD~AY NORTH CITY LIMIT "pi STREET BAY BOULEVARD FOURTH AVENUE NORTH CITY LIMIT IIHI! STREET BAY BOULEVARD INDUSTRIAL BLVD. IILI' STREET IIJ' STREET TIDELANDS AVENUE 'ILII STREET BAY BOULEVARD OTAY LAKES ROAD ~ITHIN CITY LIMITS TELEGRAPH CANYON ROAO "LIl STREET THIRO AVENUE "Hu STREET ENDING AT SOUTH CITY LIMIT INTERSTATE 805 OTAY LAKES ROAD SOUTH CITY LIMIT BON IT A ROAD SOUTH CITY LIMIT INTERSTATE 805 SOUTH CITY LIMIT BROAD~AY TELEGRAPH CANYON ROAD OTAY LAKES ROAO ilL" STREET \1'~ The revised schedule is: 10.64.040 N-S W-E NAME OF STREET BAY BOULEVARD BEYER WAY BROADWAY EAST LAKE PARKWAY FOURTH AVENUE INDUSTRIAL BOULEVARD MARINA PARKWAY MAXWELL ROAD OTAY LAKES ROAD THIRD AVENUE ANITA STREET BONITA ROAD C STREET E STREET F STREET H STREET EAST H STREET J STREET L STREET EAST L STREET MAIN STREET OTAY VALLEY ROAD PALOMAR STREET TELEGRAPH CANYON ROAD Page 3, Item Meeting Date 17 11/5/91 TRUCK ROUTES (REVISED) Schedule VII BEGINNING AT ENDING AT E STREET MAIN STREET NORTH CITY LIMIT OTAY LAKES ROAD NORTH CITY LIMIT L STREET G STREET OTAY VALLEY ROAD WITHIN CITY LIMITS H STREET SOUTH CITY LIMITS FOURTH AVENUE SOUTH CITY LIMIT MILLER DRIVE SOUTH CITY LIMIT MAIN STREET BAY BOULEVARD I-NORTH ENDu MAIN STREET EAST FRONTAGE ROAD E STREET/E. FLOWER ST. BROADWAY BAY BOULEVARD BAY BOULEVARD BAY BOULEVARD HILLTOP DRIVE BAY BOULEVARD BAY BOULEVARD HILLTOP DRIVE BROADWAY EAST CITY LIMIT FOURTH AVENUE BON IT A ROAD BROADWAY HILLTOP DRIVE OTAY LAKES ROAD BROADWAY HILLTOP DRIVE TELEGRAPH CANYON ROAD/NACION AVENUE OTAY VALLEY ROAD EAST CITY LIMITS THIRD AVENUE OTAY LAKES ROAD INTERSTATE 5 MAIN STREET BAY BOULEVARD EAST L STREET/NACION AVENUE Consideration was given in establishing the truck routes to the impact/effect of truck noise and attendant air pOllution on the above streets. The truck routes were chosen so that there is minimal impact on residential areas. Most of the routes serve the industrial area of Chula Vista and are logical choices for truck use (see attached). Establishing these streets as truck routes may reduce truck use in the central area of Chula Vista, especially on residential streets. East H Street has been extended east of 1-805 to serve the easterly part of the City. In addition, truck routes will be established on Main Street, Palomar Street, Beyer Way, and Anita Street to serve the commercial activities in the Montgomery area. These are also good connectors for trucks to and from 1-5 freeway and I-80S freeway. Chapter 10.64 (formerly Article 13 of Chapter 19) of the City Code prohibits vehicles in excess of 6,000 pounds (to be changed to 10,000 pounds) from being operated on other than truck routes. Per the Cal ifornia Vehicle Code, the n- ~ Page 4, Item )1 Meeting Date 11/5/91 10,000 pound restriction will apply to all commercial vehicles except those exempted such as buses, governmental fi re servi ce vehi cl es, publ i c util ity vehicles and trash trucks. However, this section also permits truck use of any City street if it is necessary to use such a street to deliver or pick up merchandise or engage in any construction activities on private property, buildings, etc. Therefore, the recommended truck routes are intended only to guide trucks through the City streets and do not automatically prohibit trucks from using any other City street not included on the list. As the City continues to develop, the street network will change. Periodic review of the truck routes could result in further changes. The use of 1-5, I-80S and Route 54 freeways could reduce truck use on parallel City streets. Further changes will be recommended if and when necessary. Funds for the Truck Route signs need to be appropriated from the General Fund to account 100-1432-5346. The cost for 30 signs is $1,000. FISCAL IMPACT: $1,000 for 30 signs. WPC 5731E MA/FR:CY-002 Attachments: Existing/Proposed truck routes GVW for various vehicles Schedule VII Existing Truck Routes Ordinance No. 1966 Code Sections 10.64.010 & 10.64.040 (existing & proposed) (1~ ~ /11,. Ii) ORDINANCE NO. ~ '1'i' J.. AN ORDINANCE OF THE CITY OF CHULA VISTA AMENDING SECTIONS 10.64.010 AND 10.64.040 OF THE CHULA VISTA MUNICIPAL CODE. RELATING TO THROUGH TRUCK ROUTES WHEREAS, there have been several changes to the city's circulation system since the existing truck routes were established in 1975 and amended in 1982; and WHEREAS, review of existing truck routes by staff show a revision of the present routes is necessary to complement the changes and expansion of the City of Chula vista. The City Council of the City of Chula vista does hereby ordain as follows: SECTION I: That Sections 10.64.010 and 10.64.040 are hereby amended to read as follows: Sec. 10.64.010 Compliance required when. Whenever the city council establishes by l!'eselll~ie!\ ordinance, and when signs have been erected giving notice thereof, no person shall operate any vehicle with a gross weight in excess of ten thousand pounds at any time, except upon the streets or parts of streets described in section 10.64.040 and Schedule VII attached to and made a part of this chapter. Sec. 10.64.040 Load restrictions upon vehicles using certain streets-Schedule VII. In accordance with Sections 10.64.010 through 10.64.030, pursuant to l!'eSelll~ieB er ordinance of the city council, and when appropriate "Truck Route" signs are erected giving notice thereof, the movement of all motor vehicles having a maximum gross .weight in excess of eHE ~ thousand pounds will be confined to the following streets: !Tame of Street Beginning at Bnding at (See attached Truck lloutes(llevised) Schedule VII) [Editor's Note: The substantive acts of the council pertaining to Schedule VII and truck routes, undertaken by ordinance, as required by the Vehicle Code of the State of California, are maintained in the Office of the 11-5 ~-.~ city Clerk, the Director of Public Works and the Police Department. ] SECTION II: This ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. Presented by by .cJ2 John P. Lippitt, Director of Public Works C.\OR\Truck route. 11-'-' ~~16- ------.-~.-_."-~ , ~1( .l,,..<:;,;~ :~:,:,' i..:! _a_I!:' DF ITIEET lAY lOULEVAlO IDIIIT A lDAD llDADI/AY "I" IT lilT FOUITI AVIIUI "I" ITIIIT IIOUSTIIAL ILVD. "~, STlIIT "L" STlIIT OTA Y LAlli lOAD TILIGIAPH CAITDII lDAD THlID AVIIUI The revised schedule is: 10.64.040 _DE Of ITIEET I-I IAT lOULEVAlD IITU I/AT IRDAOI/AT IASTLAII PAIlIlAT FOUITI AVIIUI. IIOUSTIIAL lOULIVAID -IAIIIA PAIII/AT HAXI/ELL lOAD OT A Y LAlli lOAD TIUO AVEIUE II-I AI IT A STIlET 101ITA lDAD C STlEIT I STIEET F STilET I STIEIT lAST I ITlEET ~ STIEIT L STIEET lAST L STIIIT I HAil STIEIT OTAT VALLIT lDAD PALOIAI ITlEIT TELEGIAPI CAIYOI lDAD 11-' 'lUCK IOUTII CIULA VIlTA _ICIPAL CIIII to.64: all.II.11 AT 10lTI CITY LIIIT "I" STIEIT III LLOI/ STlEIT IOITI CITT LIIIT IAT IOULIVAlD IOITI CITY LIIIT lAY IOULIVAlD "L" STIEIT TIDILAIDS AVEIUE IAT lOULEVAlO I/ITIII CITY LIIITI "L" STilET "." STlEIT TIUCI IOUTIS CIEVIIED) ScII....I. VII all'II'IC AT E STlEIT HAil STIEIT 10lTI CITY LIIIT OTAY LAlli IDAD 10lTH CITY LIIIT L STlEIT . STlEET OTAY VALLIT lDAD IIITIII CITT LIIITS I STlEET EAIT FIOITAGE IDAD I STIEET/E. FLOlIII IT. llDADI/AT lAY lOULEVAID lAY IOULEVAlO lAY IOULEVAlO IILLTOP OliVE lAY IOULEVAIO lAY IOULIVAIO IILLYOP OliVE IITUITATE 5 IAII STlEIT lAY IOULEVAIO IAIT L STIIET/IACIOI AVEIUI ~/'} . IEn... AT SOUTI CITY LIIIT IITUITATE 105 OTAY LAlli lDAD IOUTI CITT LIIIT IDIIITA IDAD lOUT I CITT LIIIT IITEISTATI .05 lOUT. CITT LIIIT llDADI/AT TELEGIAPI CAITOI lOAD OTAY LAlli IDAD "L" STIIIT IIDIII AT lOUT I CITT LIIITS FOUITI AVEIUE SOUTI CITT LIIIT IILLEI OliVE IOUTI CITT LIIIT HA II STlEET lAY lOULEVAlD "IOITI liD" HAil STIIIT . llDADI/AY lAST CITT LlIIT FOUITI AVEIUE 101ITA lDAD 'IDADI/AT IILLYOP OliVE OTAY LAOI lDAD llDADI/AY IILL TOP OliVE TELIGIAPI CAITOI lDAD/lACIDII AVEIUE OTAT VALLIT lDAD lAST CITT LIIITI . TUID AVIIUI OTA T LAlli IDAD . "JM.- 'Jitll... III 'VHe. ~ , ~ :< '. . - 5 axle traclor ,.,_ semitrailer ~ 45 ~ trailer 3 axle IractOlo g_ semitrailer ~ 27 f1 trailer veta.E EXCEBltNG 10.000 U. B.tralndouble .c __ 27fttraile.. ~ -. ... .. .. i VEHlClE WEIGHINl3 MeR: lHAN 6,000 Lba. AND LESS THAN 10.000 Lba. .. 6fii. . ~ ... ..... \IelICLES NOT EXCEEDING 6,000 Lba. .a. ~ l>t'..",H BY: M.A. DA-n:; 10/25/91 TITLE: GVW FOR VARIOUS VEHICLES 11 "It r \ "COUIIClL AGENDA STATEIIENT " Itea *,"15" ',~-''''' , 12 lIeetlD9 Date ITEM TITLE: Ordinance """ Amending Ordinance No. 1605 relating to through truck UWUa.... . nJ11 l:lt.WNU READING AND ADOPTION SUBMITTED BY: City Engineer'ffv. (4/sths Vote: Yes_No..!..) There have been several changes to .the City's circulation system since the existing truck routes were established in 1975. The purpose of this ordinance is to update the truck route system. It is my RECOIIMENDATION: . Place this ordinance on first reading designating -8- Street between I-80S and Third Avenue, and Third Avenue between -8- Street and -L- Street as truck routes. BOARD/COMMISSION RECOMMENDATION: Not applicable. DISCUSSION: The purpose of truck routes is to restrict the flow of truck traffic within the City on designated streets that due to width and structural section can better handle truck traffic. The truck routes as listed below were established in 1975. Name of Street Beg inning at ".. s.... North City limit North City limit Bay Boulevard -E- Street Willow Street Bay Boulevard Tidelands - L- Street Bay Boulevard - L- Street Within City l~mits ~ Broadway Fourth Avenue "E" Street Boni ta Road Boni ta Road "R- Street "J- Street Industrial Blvd. "L- Street Telegraph Canyon Rd. Otay Lakes ~ad . , Ending at South City limit South Ci ty limi t Boni ta Road I-80S Otay Lakes Road Third Avenue Broadway South City Limi t Telegraph Canyon Otay oLakes Road Road Two important segments - -8- Street between Third Avenue and I-80S, and Third Avenue were not included at that time because I-80S was not. open to traffic at -a- Street and the travel lanes on Third Avenue were of substandard width. to safely accommodate truck traffic. I . I I I-80S has since been completed and Third Avenue has recently been widened to prov ide for standard (12 ft. wide) travel lanes. The designation of these two streets will allow for truck access from I-80S to the commercial establishments along Third Avehue. The estimated cost for installing -Truck Route- PlSCAL IMPACT: ligns is $900. GRR: fpw/CY008 )"'11. ~ Revised 4/6/82 ORDINANCE NO. 1966 AN ORDINANCE OF THE CITY OF CHUU VISTA AMENDING CHAPTER 10.64 OF THE CHUU VISTA MUNICIPAL CODE RELATING TO THROUGH TRUCK ROUTES The City Council of the City of Chula Vista does ordain as follows: SECTION I: That Schedule VII of Chapter 10.64 of the Chula Vista Municipal Code be, and the same is hereby amended to , read as follows by adding the following through truck routes: Name of Street Beginning at Ending at , Broadway North City Limit South City Limit ; Fourth Avenue North city Limit South City Limit : Third Avenue -Hw Street -Lw Street : "Ew Street Bay Boulevard Bonita 'Road I Bonita Road wEw Street I-80S Bonita Road Willow Street Otay Lakes Road "Bw Street Bay Boulevard I-80S "JW Street Tidelands Broadway Industrial Blvd. wLw Street South City Limit "Lw Street Bay Boulevard Telegraph Canyon Road Telegraph Canyon Road wLw Street Otay Lakes Road Otay Lakes Road Within City Limits j '. I Presented by Approved as to form by I ; i, I , ; I: , I I ! SECTION II: full force and effect adoption. This ordinance shall take effect and be in on the thirty-first day fram and after its J ., U i! i(,//~" {Ohn P. Lippitt, City ..~ Engineer ~ ./' City Attorney ! I I I I . . , I , ' ,\~ I~ FIRST READ AT A REGULAR MEETING OF THE CITY COUNCIL OF THE . :ITY OF CHULA VISTA1 CALlFORNIA1 HELD January 5 . 198!-1 AND . !NALLY PASSED AND ADOPTED AT A REGULAR MEETING THEREOF HELD January 12 J "l 82 . BY THE FOLLOWING VOTE1 TO-WIT: YES: CCUlCill'nen: Mc:Candlfss, Scott, Cox. Gi11ow. Campberll :t'ES: Ccudmen : None CcuIciImen : None Councimen: None ~~~~::Jt~ (" City Clerk ~ tATE OF CALIFORNIA ) tuN'TY OF SAN DIEGO ) SS. m OF CHULA VISTA ) J. JENNIE M. FULASZ. CMC, aTY CLERK of the City of ChuIa Vista. California. ; HEREBY CERTIFY that the above and foregoing Is a full, true and cor,.ct copy of 1966 'JlINANCE NO. . and that the some has not been amended or repealed. (seal) City Clerk .11-/4 Ii It . /1 , i , I i I I . _ _~___ _.__.~____._. _._____-4 . c . 19.3001 SCHEDULE VII. CHULA VISTA CITY CODE - ... .. . . 19.3001 "", LOAD RESTRICTIONS UPON VEHICLES USING CERTAIN . STREETS. In accordance with Article 13 of Chapter 19, pursuant to resolution or ordinance of the City Council, and when.appropriate .Truck Route" signs are erected giving notice thereof, the movement of all motor vehicles having a maximum gross weight in excess of six thousand (6,000) pounds will be confined to the following streets: ' . Name of Street Beginning At Bay Boulevard North City Limit North City Limit '-"'" .E" Street .....-Fourth Avenue '0 _.Broadway .......L. Street Bay Boulevard Bay Boulevard Tidelands Avenue North city Limit .... .H. Street (( '" .J. Street ..-'" Bay Boulevard _ Bonita Road .E" Street v Industrial Blvd. "" Otay Lakes Road "L" Street Within City Limit vTelegraph Canyon Rd. .L. Street ( a \i- IS Ending At Bonita Road South City Limit South City Limit Telegraph Canyon Road -.. Interstate 805 Broadway South City Limit Central Avenue (within City limit) South City Limit Otay Lakes Road I; b O,j 1J \ PROOFOFPUBUCATION .. (2015.5 C.C.P.) '. Thi'IpCICI is far the County Clerk', Filing Stamp 'An: OF CALIFORNIA. :ounty of San Dje;a, CV16406 I am 0 cItlnn of the United States oncI a ...Ident of the County ~Iald; I om - the age of eighteen years, oncI not 0 party IOOr......Mc1 In the obll\l8 entltled matter. I am the principal clerk of the printer of the CHU1A VISTA STAII.NEWS. a _pll~r of .....rat dl'CUlatlan. printed oncI publllhecl 1W1a WEEKLY In the City of Chula VIsta, ancI the South lay Judicial Dlltrict, County of !an DIego, State of Callfam1a. under the cIate 01 Aug. 8. 1932, Can Number 71752; that the natlce. of which the annexed II a printed topy (..t In type not lmall.r than nonpareil), .. been publllheclln each NgUlar and entire au. of laid newlF DJ'eI' oncI not In orry eupple. _t thereof On the fallowing dat... ta-wlt: Proof of Publication of Ordinance -.........-.......-...--.--.-...---...-.--.................-......... 11 966 :mily (or declare) under penally of perjury that foregoing is tNe and correct. ~.~ ~ -::~. .. !. ..!; Jan 17 82 . "the year 19........... I Il-I~ 10.64.010 Compliance required when. Whenever the city council establishes by t~~pl~%lp~ ordinance, and when signs have been erected giving notice thereof, no person shall operate any vehicle with a gross weight in excess of ten thousand pounds at any time, except upon the streets or parts of streets described in Section 10.64.040 and Schedule VII attached to and made a part of this chapter. (Ord. 2024 ~ 1 (part). 1983: Ord. 973.~ 1 (part), 1966: prior code ~ 19.13.1(A).) 10.64.040 Load restrictions upon vehicles using certain streets-Schedule VII. In accordance with Sections 10.64.010 through 10.64.030, pursuant to t~~plA%lp~//;t ordinance of the city council, and when appropriate "Truck Route" signs are erected giving notice thereof, the movement of all motor vehicles having a maximum gross weight in excess of ~It 1ia thousand pounds will be confined to the follow streets: Name of Street Beginning at Ending at Editor's Note: The substantive acts of the council pertaining to Schedule VII and truck routes, undertaken by resolution or ordinance, as required by the Vehicle Code of the state of California, are maintained in the office of the city clerk, the director of public works and ~he police department. (Ord. 973 ~ 1 (part), 1966: prior code ~ 19.22.1 (part).) WPC 5776E / II -~ 1 10.64.010 Compliance required when. Whenever the city councl1 establishes by resolution, and when signs have been erected giving notice thereof, no person shall operate any vehicle with a gross wei ght in excess of ten thousand pounds at any time, except upon the streets or parts of streets described in Section 10.64.040 and Schedule VII attached to and made. part of this chapter. (Ord. 2024 S 1 (p"art), 1983: Ord. 973 S 1 (part), 1966: prior code S 19.13.1(A).) 10.64.020 EXeMptions-Commercial delivery vehicles. The provisions of this chapter shall not prohibit any cOlll1lercial vehicle comi ng from an unrestri cted street, or porti on thereof, as enumerated or described in Section 10.64.040 and Schedule VII, having ingress and egress by direct route to and from a restricted street when necessary for the purpose of making pickups or deliveries of goods, wares and merchandise from or to any building or structures located on the restricted street or for the purpose of delivering materials to be used in the actual and bona fide repair, alteration, remodeling or construction of any building or structure upon the restricted street for which a building pennit has previously been obtained. (Ord. 973 S 1 (part), 1966: prior code S 19.13.1(8).) .' . 10.64.030 Exemptions-Public utility and contractors' vehicles. The prOVisions of this chapter shall not be applicable to any vehicle owned by a publiC utility or a licensed contractor while necessarily in use in the construction, installation or repair of any public utl1ity, or to any vehicle SUbject to the provisions of Sections 1031 through 1036, inclusive, of the California Public Utilities Code. (Ord. 973 S 1 (part), 1966: prior code S 19.13.1CC).) 10.64.040 Load restrictions upon vehicles using certain streets-Schedule VII. In accordance with Sections 10.64.010 through 10.64.030, pursuant to resolution or ordinance of the city council', and when appropriate "Truck Route" signs are erected giving notice thereof, the movement of all motor vehicles having a maximum gross weight in excess of six thousand pounds will be confined to the following streets: NUIe of Street Beginning at Ending at Editor's Note: The substantive acts of the council p~rtaining to Schedule VII and truck routes, undertaken by resolution or ordinance, as required by the Vehicle Code of the state of California, are maintained in the office of the city clerk, the director of pUblic works and the police department. (Ord. 973 S 1 (part), 1966: prior code S 19.22.1 (part).) . . \l-\&' city Clerk, the Director of Public Works and the Police Department.] SECTION II: This ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. Presented by John P. Lippitt, Director of Public Works C:\OR\Truck routes J7a ~ 2- by c~ ( '...; r . \ ,r.: l ~I t~ ' i "l--" " '-, . , RESOLUTION NO.~ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROPRIATING $1,000 FROM GENERAL FUND FOR TRUCK ROUTE SIGNS The City Council of the City of Chula vista does hereby resolve as follows: WHEREAS, funds for 30 Truck Route signs need to be appropriated. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula vista does hereby appropriate $1,000 from the unappropriated balance of the General Fund to Account 100-1432- 5346. /'/Ud ~ , Bruce M. Boogaard, city Attorney Presented by John P. Lippitt, Director of Public Works . I'!D ., COUNCIL AGENDA STATEMENT Item-1L Meeting Date 11/5/91 ITEM TITLE: Publ ic Hearing: PCA-91-06; Consideration of an amendment to the Municipal Code to delete certain procedural requirements for churches that provide temporary shelter for the homeless - City initiated Ordinance 7JH/'S Enacting PCA-91-06 SUBMITTED BY: Director of Planning ;/11 REVIEWED BY: City Manager~'~:Jb (4/5ths Vote: Yes_No.-I.J --rrl The Interfaith Shelter Network, which sponsors and coordinates a temporary, rotational homeless shelter program involving churches throughout the County, has requested that the City consider streaml ining certain local procedural requirements which now apply to churches that wish to participate in the program. The proposed amendment would allow churches to provide shelter for the home 1 ess for two weeks per year without the necess ity to secure a zon i ng permit or to notice surrounding residents each year prior to providing the shelter services. This project is exempt from environmental review as a categorical exemption, Class 23 Section 15323. RECOMMENDATION: That Council approve the ordinance enacting PCA-91-06. BOARDS/COMMISSIONS RECOMMENDATION: Conservation Commission voted 4-3 amendments. On September 23, 1991, to recommend against the Resource approvi ng the On September 25,1991, the Planning Commission voted 4-0 to recommend that Council approve the amendments in accordance with Resolution PCA-91-06. DISCUSSION: The City has recognized that the prOV1Slon of shelter for the homeless is an appropriate function of community churches where permanent facilities are adequate to support such act i vit i es. The current standards requi re churches to secure a zoning permit, notice surrounding residents, and prepare other supporting information on an annual basis in order to participate in the shelter program. Although staff has attempted to assist in the process in any way possible, including the preparation of mailing labels to meet the noticing requirement, the process has been perceived as an unnecessary burden by some of the churches participating in the program. After three years experience with the program, the Planning Department has not recei ved any responses or objections resulting from the not ifi cat i on sent to t~ -I Page 2, Item ) ~ Meeting Date 11/5/91 adjacent property owners regarding the church shelter operations. neither the Planning or Police Departments, nor the Code Enforcement have any record of complaints regarding the temporary shelters. Because the use of churches as shelters is deemed appropriate and necessary by the City, and since no concerns or complaints have been voiced by neighboring residents regarding the use, it would appear appropriate to amend the requirements in order to simplify the process, while maintaining the time limitations and the substantive standards regarding size, supervision and adherence to health and safety regulations. For example, a church could still not serve as a shelter for more than two weeks per year without the express approval of the Zoning Administrator. Further, Officer, The proposed amendments are attached hereto as Exhibit A. FISCAL IMPACT: Not applicable. WPC 9807P 1t(~:L iSBliaRee af a eeftiREI BCnRit comnliance with the followina standards: 1. A shelter may accommodate a maximum of 12 guests for no more than two weeks per year. An additional one hundred eighty (180) days may be authorized by the Zoning Administrator provided no opposition has been expressed by surrounding property owners or residents. 2. The guests shall be pre screened by a recognized social service agency to determine resident suitability. Active alcohol or drug abusers as well as those with criminal convictions of a felony or any crime of violence or significant mental illness shall be excluded from the program. Supervision shall be provided at all times both on-site and during arrivals and departures from the shelter. 3. A floor plan and set-up of the space to be occupied shall be submitted a~a a alona with a description of the shelter proposal to include the prescreenina aaencv and criteria. provisions for supervision. and schedule of hours and activities. h ll. post set-up, pre-shelter inspection shall be conducted by the City in order to determine compliance with applicable building, health, safety and fire regulations. h 50- The applicant shall provide the citv with certification that written notice of the proposal has been aiven to properties within 300 ft. of the shelter site. The host congregation is encouraged to hold a neighborhood meeting to inform residents of the proposal and answer questions well before the commencement date. h The aaalieatiaft fer eeRiREI Bcrmit:.. se~ liB BlaR. DUBBlemeatal iRfenRa~ieR ana eertifieatiaR of Ratiec ahall se elismi~~ea a~ leas~ 19 aa7B Brier ta the eammeReemeRt date. lh :;.. The ile~i~Ef Berlllit shelter may be subject to iMllleaiate reveeatie~ closure for the violation of the standards or substantiated report of neighborhood disturbance. ~ " 2 t i- ,'I' ",t / \C(s-~ 'I. .,f>t" Ie :t Shelter proposals beyond the limits noted in item #1 above are considered conditional uses subject to the approval of a conditional use permit. SECTION II: This ordinance shall take effect and be in full force on the thirtieth day from and after its adoption. B...... s-.- Presented by ~ Robert A. Leiter, Director of Planning , City C:\OR\19.58.110 3 \~-51 18.." EXHIBIT A 19.58.110 Church, hospital, convalescent hospital, religious or eleemosynary institution. Any church, hospital, convalescent hospital or other religious or eleemosynary institution in any R zone shall be located on collector street or thoroughfare with a minimum parcel of one acre, shall maintain a ten-foot wide minimum landscaped strip or solid six-foot fence or masonry wall on all property lines abutting said R zone, except that said fence or wall may be reduced to three and one-half feet in a landscaped front setback area not containing parking facilities, and shall have side yard and rear yard setbacks of at least twenty feet and a front yard setback of at least twenty feet. These shall be considered guidel ines rather than standards in the case of churches. The provision of temporary shelter for the homeless in accordance with the following standards and requirements is considered accessory to church use subject to Y.~~I /WiINrIrN I #1 I~I ~ /i#~1- comD 1 i ance wi th the fo 11 owi na standards: 1. A shelter may accommodate a maximum of 12 guests for no more than two weeks per year. An additional one hundred eighty (180) days may be authorized by the Zoning Administrator provided no opposition has been expressed by surrounding property owners or residents. 2. The guests shall be prescreened by a recognized social service agency to determi ne resident suitabil ity. Act ive al cohol or drug abusers as well as those with criminal convictions of a felony or any crime of violence or significant mental illness shall be excluded from the program. Supervision shall be provided at all times both on-site and during arrivals and departures from the shelter. 3. A floor pl an and set-up of the space to be occupied shall be submitted and a ~;r_~911 #1m It. I ##t/opU/Jf1! /rtf IY.~~I ~I IprpPP'I'fl I 1.61 l'frjrl'MIV I I-M ~f~~~f~~~!~91II~II~II~r'Y.~r'~'llpt/Jp/o~/o/J~II~~II'I~pv;yY'lY~III~~~ ~~~~~p;r~/pf/~ppf~/~~~/~~Y.!1!Y.!~~1 "1 "post set-up, pre-shelter inspection shall be conducted by the City in order to determine compl iance with appl icable building, health, safety and fire regulations. !... 'PI 1~~1 #p)#MI-/ NIM~I tt/JIINW N'# fIWI /vIYW I<IrI;ry,yrt~rY9r11y.'P~Y./~f!Y.Y.~~ ~pY.#~1 #1 Mtt IprpPP'It'I I~~N J#AI /riWVrI /'f._I pt/J#tMMI M1;fyW nw IfU pflN'#NWrrv;/~/o1-14 The host congregation is encouraged to hold a neighborhood meeting to inform residents of the proposal and answer questions well before the commencement date. _I l~~III~~~)!~~Y.!p~lllfpfllltp~!~91III~~f~!Y.'III~~Y.lp~111~l~~'III~p~~l~~~~Y.~l !#pf~#!p~1 ~ I<Irlrr-yyy#r'lprll #1 /rI9VWrt I~~~nl m Nt/.Wo'l't'trl~1 m tW~W n_ ~~/~/~f!pflY.plY.~~/~p~~~~~~~~Y./~~Y.~1 ~ 71 The tp~!~91III~~f~!Y. shelter may be subject to !~~~~!~Y.~ f~1#~Y.!P~ closure for the violation of the standards or substantiated report of neighborhood disturbance. 2... ~I Shelter propos a 1 s beyond the 1 imits noted in item 111 above are considered conditional uses subject to the approval of a conditional use permit. (Ord. 2290 ~ 1 1989: Ord. 2287 ~ 2 1988: Ord. 2285 ~ I, 1988: Ord. 1356 ~ 1 (part), 1971: Ord. 1212 ~ 1 (part), 1969: prior code ~ 33.901{B){10).) IIIII - Deletions _____ - Additions WPC 9801P \~-1 /18 "8 RESOLUTION NO. PCA-91-06 RESOLUTION OF THE CITY OF CHULA VISTA PLANNING COMMISSION RECOMMENOING TO THE CITY COUNCIL THE ADOPTION OF AN AMENDMENT TO SECTION 19.58.110 OF THE MUNICIPAL CODE RELATING TO THE USE OF CHURCHES AS TEMPORARY SHELTERS FOR THE HOMELESS WHEREAS, the Interfaith Shelter Network, which sponsors and coordinates a temporary, rotational homeless shelter program involving churches throughout the County, has requested that the City consider relaxing certain local procedural requirements whiCh now apply to churches that wish to participate in the program. WHEREAS, the Planning Commission set the time and place for a hearing on said amendment and notice of said hearing, together with its purpose, was given by its publication in a newspaper of general circulation in the city at least ten days prior to the hearing, and WHEREAS, the hearing was held at the time and place as advertised, namely 7:00 p.m., September 25, 1991, in the Council Chambers, 276 Fourth Avenue, before the Planning Commission and said hearing was thereafter closed, and WHEREAS, the proposal is categorically exempt from environmental review (Class 23, Section 15323). NOW, THEREFORE, BE IT RESOLVED THAT FROM THE FACTS PRESENTED AT THE HEARING, THE PLANNING COMMISSION. recommends the adoption of amendments to Title 19 of the Municipal Code as shown on Exhibit A attached hereto and made a part hereof. That a copy of this resolution be transmitted to the City Council. PASSED AND APPROVED BY THE PLANNING COMMISSION OF CHULA VISTA, CALIFORNIA, this 25th day of September, 1991, by the following vote, to-wit: AYES: Commissioners Casillas, Fuller, Decker, and Martin NOES: None ABSENT: Commissioners Tugenberg and Carson (excused) ~. "{If Susa Fuller, .:;;tjj .e~ Chairperson ATTEST: '-- U~~,~~ WPC 9808P/1595P \t( - '( ~ -.-., ,.,. --..'-. -,.,.-- I., , ,._;~ ,_., -- EXCERPT FROM PLANNING COMMISSION MINUTES OF 9/25/91 ITEM 4: PUBLIC HEARING; PCA-91-06: CONSIDERATION OF AN AMENDMENT TO THE MUNICIPAL CODE TO DELETE CERTAIN PROCEDURAL REQUIREMENTS FOR CHURCHES THAT PROVIDE TEMPORARY SHELTER FOR THE HOMELESS - City Initiated Senior Planner Griffin designated the areas being considered, and stated that several of the churches had seen the procedural requirements in terms of the zoning permit and noticing as a burden. During the time of the churches' participation, the City had not received any objections or complaints regarding the operation of the shelters. Staff supported an amendment which would delete the requirement for a zoning permit, the detailed program and scheduling information which is generally the same every year and closely controlled by the Interfaith Shelter Network, as well as the noticing requirements to the surrounding residents. One of the provisions to be left in the procedural requirements is the provision that if there are any violations of standards or any complaints received, the shelter could be immediately closed. The Resource Conservation Commission voted 4-3 to recommend that the ordinance not be amended, because they thought the noticing should continue. Mr. Griffin noted that Planning Intern Georgia Rubin had prepared the report and was assisting him, if there were any questions. Chair Fuller asked how complicated it was for a church to notice the surrounding residents. Mr. Griffm said it was a 300' notice around the perimeter of the church property itself. The Planning Department provides the churches with the mailing labels. The notice would be prepared, copied, stuffed, and mailed by the churches. Chair Fuller felt it might be a good public relations thing to do. Mr. Griffin concurred; however, he said the churches felt the area residents had been noticed, that they know the churches have the shelter every year, and the churches felt it was unnecessary to do it again. Mr. Griffin also commented that the churches felt this was part of their function as a church and their service to the community. Staff thought this was a reasonable request based on the lack of any problems with the facilities over the last three years. Commissioner Decker questioned the 180-day extension of time. Senior Planner Griffm agreed that "up to 180 days" would be a better way of phrasing item 1, and suggested that the Planning Commission might add it to the recommendation. Commissioner Decker asked why the churches needed to request an inspection. Mr. Griffm answered that previously when the zoning permit was requested, the Fire and Building Departments would be notified and would arrange for inspections. Without an application for a permit, the churches would have to let the City know when they would be setting up for the shelter. The churches are under the umbrella of the Interfaith Shelter Network who makes sure the shelters are up to Code. l~ -I \ PC Minutes -8- September 25, 1991 Commissioner Decker was concerned that it was optional on the part of the church. Assistant Planning Director Lee suggested it be changed to read "The church shall request an inspection to be conducted by the City. " Commissioner Decker noted they would only be required to meet Code standards as a church and not as a dwelling establishment. Assistant City Attorney Rudolf said he understood as soon as someone was there sleeping overnight, it became a dwelling and then those Code requirements kick in and are enforced. Commissioner Casillas commented on the exclusion of alcohol drug abusers, the mentally ill, those convicted with any crime, etc. and wanted to know if the shelters had been able to exclude them 100%. Senior Planner Griffin asked that Mary Niez of the Interfaith Shelter Network respond. This being the time and the place as advertised, the public hearing was opened. Mary Niez, 3435 Camino del Rio South, #108, San Diego 92108, representing Interfaith Shelter Network, said the Network was a 5-year-old project currently under the San Diego County Ecumenical Conference. There are no permanent shelters for the homeless in the South Bay or in the City of Chula Vista, and the congregations provide a service to the community. Ms. Niez said the screening happens by Lutheran Special Services Project Hand. She went on to explain how the "guests" were screened and what they were required to do in order to use a shelter. She distributed the "Temporary Health and Safety Guidelines," to the Commissioners. She said the requirements were very stringent for congregations, case managers, and guests. Any guests who violate the rules are asked to leave and are referred back to their case managers, who are available during the evening. Ms. Niez noted the Fire Department would be given a schedule as to when and where the shelters would be held. Assistant City Attorney Rudolf asked if Ms. Niez concurred that Item 3 read "A post set-up pre- shelter inspection shall be conducted by the City in order to determine compliance with applicable building, health, safety and fire regulations." Ms. Niez replied that it was acceptable. No one else wishing to speak, the public hearing was closed. MSUC (Decker/Casillas) 4-0 to recommend that the City Council amend the Municipal Code in accordance with Exhibit A, as amended. \<c -1 ~ . . Resource Conservation Commission Page 2 EXCERPT FROM MEETING OF SEPTEMBER 23, 1991 C. Discussions were held on PCA-91-06: Consideration of an amendment to the Municipal Code. It was expressed by John Ray that because there had not been any complaints, why change it? Discussion followed with a motion being passed 4 to 3 to not consider it amended to the Municipal Code. . \~ ~13 ( ( File No. PUBLIC HEARING CHECK LIST CITY COUNCIL PUBLIC HEARING DATE~" .l..... So I t CV~ \ SUBJECT Ck.'. ..A.:. ~ ~ .J... ~ ~ ~~'-t....... C\ C\.<,.~"..., ~-k.-o. \...e- .0"" Ls.l!..Qj;,.... LOCATION ~ ..u.r~~ SENT TO STAR NEWS FOR PUBLICATION.. BY FAX ~.; BY HAND_; BY MAIL PUBLICATION DATE 0 ~ I ~. 1'1"11 MAILED NOTICES TO PROPERTY OWNERS NO. MAILED ~ PER GC 54992 Legislative Staff, Construction Industry Fed, 6336 Greenwich Dr Suite F. San Diego, 92122 LOGGED IN AGENDA BOOK O~ \ t>, Iq,,\ \ COPIES TO: Administration (4) ,./ Planning / Originating Department Engineering / Others City Clerk's Office (2) ,/ POST ON BULLETIN BOARDS ()rto\w...- 1I, I qC\ I SPECIAL INSTRUCTIONS: .58- I~ ~ 1<C DATE: October 2, 1991 SUBJECT: Beverly Authelet, City Clerk _~ Nancy Ripley, Planning Department Referral from Planning Commission meeting of September 25, 19~1 TO: FROM: Please schedule the following for Council consideration at the meeting of November 5, 1991 Forwarded herewith: Public Hearing Notice(s) 1<<<<~I~J~<<~XK*~t~~J~x Forthcoming: Resolution(s) Public Hearing: PCA-91-06; for the purpose of considering an amendment to the Municipal Code to delete certain procedural requirements for churches that serve as temporary shelters for the homeless )~-17 o NOTICE OF PUBLIC HEARING BY THE CITY COUNCIL OF CHULA VISTA, CALIFORNIA NOTICE IS HEREBY GNEN THAT A PUBLIC HEARING WILL BE HELD BY THE CITY COUNCIL of Chula Vista, California, for the purpose of considering an amendment to the Municipal Code to delete certain procedural requirements for churches that serve as temporary shelters for the homeless. Copies of the proposed amendment are on file in the office of the Planning Department. Any petitions to be submitted to the City Council must be received in the City Clerk's office no later than noon of the hearing date. If you wish to challenge the City's action on this amendment in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or in written correspondence delivered to the City Council at or prior to the public hearing. SAID PUBLIC HEARING WILL BE HELD BY THE CITY COUNCIL on Tuesday, November 5, 1991, at 4:00 p.m. in the Council Chambers, Public Services Building, 276 Fourth Avenue, at which time any person desiring to be heard may appear. DATED: October 23, 1991 CASE NO. PCA-9l-06 Beverly Authelet City Clerk lY-IY COUNCIL AGENDA STATEMENT ITEM TITLE: Item \ ~ Meeting Date 11/5/91 Public Hearing: PCM-92-08, City-initiated proposal to amend the Growth Management Implementation Ordinance (No. 2448); the Growth Management Program; and the Threshold Standards Policy a) Ordinance ;(~(, Amending Section 19.09.040 I and K of Chapter 19.09 of the Chula Vista Zoning Code b) Resolution 1lt.4l:l'l.. Amending Sections 3.12 and 3.2 of the City's Growth Management Program Resolution 11.1./~ Amending the Traffic Threshold Standard and the Economics Threshold Standard of the City's Threshold Standards Policy Director of Planning~~ City Managert;.l~ 51, (4/5ths Vote: Yes_No...!..J ,,(-,1 c) SUBMITTED BY: REVIEWED BY: This item includes amendments to the Ordinance, the Growth Management Program, as recommended by the Growth Management report. These amendments would change the Traffic Threshold Standard from the Intersect i on Capacity Utili zat ion (ICU) method to the 1985 Highway Capacity Manual (HCM) method and change the focus of the Economics Threshold Standard to fiscal matters, including an annual review of the development impact fee programs. Growth Management Implementation and the Threshold Standards Pol icy Oversight. Commission in its 1990 The amendments were reviewed by the Planning Commission and Montgomery Planning Committee at a joint workshop with the GMOC on July 10, 1991. The City Council held a joi nt workshop wi th the GMOC to di scuss the proposed amendments on July 25, 1991 and August 22, 1991. The Planning Commission held a public hearing on the amendments on October 9, 1991. RECOMMENDATION: That Council: 1. Find that the proposed amendments are categorically exempt from environmental review under Class 5 of the CEQA Guidelines. 2. Adopt the proposed amendment to the Growth Management Implementation Ordinance contained in Exhibit "A". 3. Adopt the proposed amendment to the Growth Management Program contai ned in Exhibit "B". 4. Adopt the proposed amendment to the Threshold Standards Policy contained in Exhibit "C". \q-\ Page 2, Item 11 Meeting Date 11/5/91 BOARDS/COMMISSIONS RECOMMENDATION: The Pl ann i ng Commi ss i on, Montgomery Planning Committee, and Growth Management Oversight Commission recommended approval of the proposed amendments as part of their review of the 1990 GMOC report on July 10, 1991. In addition, the Planning Commission held a public hearing on the proposed amendments on October 9, 1991, and voted 5-0 to recommend approval of the amendments. DISCUSSION: A. Traffic Threshold Standard Amendment During the review of the 1989 Traffic Monitoring Program prepared for the GMOC, the City Council requested that the GMOC further examine the advantages and disadvantages of the Intersection Capacity Utilization (ICU) method as compared to the 1985 Highway Capacity Manual (HCM) method of measuring traffic congestion. The GMOC review of these different methods revealed that the 1985 Highway Capacity Manual (HCM) method of measuring traffic congestion is less theoretical and more empirically based than the Intersection Capacity Utilization (ICU) method. It was also noted that SANDAG will be using the 1985 HCM method for regional transportation planning studies in conjunction with the Regional Growth Management Quality of Life Standards and the Congestion Management Program. The 1985 HCM method completely redefi nes Level of Serv i ce (LOS) as a function of vehicle "Stopped Time Delay". In addition, the new method provides for the direct calculation of delays based upon volume, saturation flow rate, lost time, cycle length, phase time, progression, and vol ume/capacity ratio. Through the use of personal computers, the equation is a very easy and efficient way to analyze intersections. It must be noted, however, that the two methods (ICU and HCM) are fundamentally different and levels of service cannot be compared, despite the fact that both methods use the same nomenclature, i.e., A, 8, C, D, E, and F to illustrate levels of service. A LOS "C" using ICU is not the same as LOS "C" using HCM. However, the new method is better because: Stopped Time Delay methodology provides the best available tool for analyzing signal ized intersections and can be easily used for both planning and operational analysis. Other methodologies define Level of Service by inconsistent criteria which cannot be correlated with the delay definition. Software is presently available to allow quick and easy application of the delay methodology. All future GMOC Traffic Monitoring Studies and Traffic Impact Study Reports will utilize the HCM delay methodology for calculating intersection levels of service and circulation system performance. The GMOC will continue to monitor the use of this new technique during the annual Threshold Standard review. \q .l. Page 3, Item /1 Meeting Date 11/5/91 B. Fiscal/Economic Threshold Standard Amendment The 1990 GMOC Report noted that the economic threshold standard needed to be clarified with respect to the Council /s expectation. The GMOC has been uncomfortable with its role in reviewing the economic threshold for the last three years due to the 1 ack of focus in its revi ew. Economi cs is such a broad subject that it is diffi cul t for the GMOC to devote the required time and energy to reviewing the state of the City' s economic health. The other difficulty is that a large part of economic change is not related to new development which is the primary focus of the GMOC. Economic change is largely affected by factors such as monetary pol icy, corporate decisions, market conditions and so on. The Council recognized the need to make a change in GMOC's assignment and di rected the Fi sea l/Economi c Threshold Standard be revi sed to transfer economics from the GMOC review to the newly created Economic Development Commi ss i on. GMOC wi 11 continue to revi ew the fi sea 1 impacts of growth and monitor the development impact fee program. C. Conclusion Several factors support the proposed amendment to the Traffic Threshold Standard described above: The Department of Public Works has studied the change in the Traffic Threshold Standard and recommended approval to the GMOC. The HCM method is a more up-to-date technique for measuring traffic congestion as evidenced by the endorsement of the Transportation Research Board, National Research Council. SANDAG is using the HCM method for regional transportation planning studies. With respect to the change to the Fi sea l/Economi c Threshol d Standard, the following factors support the proposed amendment: The economic condition of the City is not so much rel ated to new development as to broader regional, state and national factors; therefore, the Growth Management Oversight Commission has had difficulty assessing the economic component of the threshold standard based solely on new growth. The creation of the Economic Development Commission provides a ideal forum for addressing the economic condition of the City. The recommended changes to the Traffic and Economics Threshold Standards involve amendments to the three separate policy documents as described in the recommendation and attached to this report as Exhibits "A" (Growth Management Implementation Ordinance), Exhibit "B" (Growth Management Program) and Exhibit "c" (Threshold Standards Pol icy). FISCAL IMPACT: None. WPC 9920P \t\ /.3 /,4-'1 _ _ _'- --C!l " COUNCIL AGENDA STATEMENT Item 19a, b Meeting Date 3/28/89 ITEM TITLE: a) Ordinance !mending Section 5.58 of the Municipal Code relating to regulation of tow companies b) Resol uti on Appro vi ng distribution on an RFP to select tow companies for Police requested towing service and autho ri zi ng the Of rector of Pub 1 i c Safety to evaluate the proposals Di rector of Publ Wt.~ety Ci ty Manager V".., L-- (4/5ths Vote: Yes No xx) -- SUSMImD BY: REVIEWED BY: As a result of an increasing number of tow companies wanting to be added to the Police Department's tow list, the department is recommending a two-fold revision to the existing selection process. First, we are recommending :a change from the minimum qualifications stated in the current tow agreement to requiring higher qualification standards. Second, we are recommending 'a Request for Proposal (RFP), see Attachment A, process to select t~e three (3) most qualified tow companies, and to enter into a long-term agreement with these companies for referral service. RECOfoIIIENDA TI ON : 1. Place on first reading. 2. Adopt the resolution. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The existing policy for Police-initiated tows allows any tow company meeting the minimum qualifications to be placed on the active list at any time. Each company is then granted their equal share of emergency referrals for a specific number of days each month. The resulting effect on the tow companies when a new cOlllpany is added is a reducti on in the number of days per month that the tow company gets referral s. For tow companies that rely to a great extent on police business, each additional tow company added to the list means a reduction in their business and profits. The Police Department's main concern is that the tow companies provide quality service for our officers and citizens. If a tow company consistently has long response times, thi s affects the Pol ice Offi cer' s abfl i ty to return to acti ve patrol, si nee they must wait for the tow truck to arrive to cl ean up i1n a rea after an accident. In addition, a driver with limited understanding of their equipment can mean additional damage to a citizen's vehicle. / ./: Page 2. Item 19a. b Meeting Date 3/28/89 Proposed High Qualifications Requirements By imp1 ementing the foll owing hi gher standards and ho1 ding the tow campani es accountable for maintaining those standards, the department bel ieves that the service provided will also improve. The tow companies recommended Jmp1 ementi ng the hi gher standards and have agr I to the proposed changes 1 isted below. The higher qualifications proposed for the new agreement are basically an enhancement of the existing minillllm qual i fi cati ons found in the existing agreement. The following are the major proposed revisions to the current agreement: J 1 . Res ponse T1 me Current Agreement 20 minute response time Proposed Agreement 20 minute average response time not to exceed 40 minutes. TQw companies to immediately noti fy polf ce dispatch if they will not arrive within the' 20 minute response. tow companies will give a revised E. T.A. or recommend calling another company if response will be delayed beyond 40 minutes. 2. Equipment Requirement Current Agreement Two twin boom trucks. 10.000 gross vehicle weight CGVW) with dual rear wheels. Proposed Agreement All trucks to be at 1 eas tone ton capacity dual rear wheels. Each company shall have a minimum of the following capabilities: wheel lift truck hydraul1 c boom roll-back truck twin boom truck 3. Winch Current Agreement To be power driven by power take-off from transmission equipment power-up and power-down. Proposed Agreement To be power-driven in either direction and equipped with an adequate braking system. H..."..,,,'.' -----....... Page 3, Item 19a, b Meeting Date j/~~/~9 4. Positive Citizen/Police Relations Current Agreement None Proposed Agreement Good reputation for dealing with the public. Tow company may be removed from the acti ve 1 i st as a resu1 t of excessi ve ci ti zen and/or police complaints. 5. Abandoned Vehicles CUrrent Agreement The on-duty tow company will tow at least five abandoned vehicles each day (Monday through Friday 8:00 a.m. to 5:00 p.m.) at no cost to the City. Request For Proposal The Police Department believes this RFP is the most effective way to improve the Quality of service from tow companies. By selecting the top three companies for an exclusive contract, we believe the companies have a greater incentive to provide and maintain Quality service and will be much more willing to work with us to alleviate the abandoned vehicle problem. Proposed Agreement The on-duty tow company will tow up to ten abandoned vehi c1 es each day (Monday through Friday 8:00 a.m. to 5:00 p.m.) at no cost to the City. . The process itself shall consist of several steps. First, the RFP will be distributed to all licensed tow companies in San Diego County and also available at the Chula Vista Police Department. There will be an optional pre-bid conference where any interested companies may ask questions about the RFP. The companies will be given a minimum of 30 days in which to prepare their proposals. The due date will be listed on the RFP and rei terated at the prebid conference. Any proposal returned after the due date will be time stamped and returned unopened to the proposer. The proposal will provi de general information on the tow company, i ncl udi ng ownership, 1QC~tion, company history, employees, vehicles, communication equipment, proof of insurance and business 1 icenses. It will be used to screen qualified from unqualified candidates. Those proposers who are deemed qualified will then be evaluated based on: 1. proposal (weight 40') - Review of service proposed. 2. Site visit (weight 4~) - inspection of vehicles, equipment and storage facilities. 3. Reference Review (weight 20') - review of references. . . .' Page 4, Item 19a, b Meeting Date 3/28/89 The RFPs will be evaluated by a panel selected by the Director of Public Safety. Panel members shall include persons outside the City of Chula Vista with expertise in police towing. .J The three, tow companies to score the highest after .interview, site visit and inspection and review of recol1l1lended for an excl usi ve three-year contract. have a two-year option to renew for a possible total Ordinance Amendments review of their proposal, their references shall be This contract shall also of fi ve years. Chapter 5.58 of the Municipal Code related to tow trucks is proposed to be amended. The changes include: Section 5.58.030 Regulations Generally. Addition of requirement for an RFP process to select the tow companies to receive emergency police referrals. . Section 5.58.070 Insurance Requi red. Section 5.58.080 Bond Required. . , . , Both sections are recommended to be deleted from the Code; Since the requirement levels for bonds and insurance fluctuate, it is more appropriate to refer to these requirements in the contract and/or RFP so that they may be easily revised as necessary. Section 5.58.075 Indemnification and Hold Harmless, Insurance, and Bond Requirements Any agreement to provide tow service shall include a hold harmless cl ause and bond and insurance requi rements as requi red by Ci ty Risk Manager and City Attorney. Recol1l1lendati on The Department is recommending that an RFP process be instituted to select tow compani es to receive police emergency tow referral s. The number of tow companies is proposed to be limited to three, and long term exclusive contract established with the three companies. The Companies selected will be SUbject to stricter qaanfications and will be closely monitored to ensure that they continue to meet the terms of their contract. The Municipal Code is also recommended for revision in accordance with the other proposed changes. The Department believes that by implementing the proposed changes in this program, the result will be more efficient and effective tow service for the police officers and the citizens. FISCAL IMPACT: No change is recommended for the current tow rate fee schedule. In the past, changes in the rates have been made only after staff has analyzed requests from the tow companies and presented a recol1l1lendation to the Council. /"-' WPC 0137N ;1i;'~",;~:'~u:"":::' ' ;f"" EXHIBIT "B" Amendments to the Growth Management Program Sections 3.12 and 3.2 \G.,13 3.2 TRAFFIC 10-25-91 3-3 \0..-14 City of Chula VISta Growth Management Program TRAFFIC 3.2 Traffic 3.2.1 Existing Threshold Policy Goal ~;; To provide and maintain a safe and efficient street system within the City of Chula Vista. ~jm;I'(~I~'ltl~ili~_1I1111111~111119~g';~t~!g ~:;11illl_lrjB1I11I9~;R~B~;~~~~~Rt~l,m~;~$~. Obiective 1. Ensure timely provision of adequate local circulation system capacity in response to planned growth, maintaining acceptable levels of service (LOS). 2. Plan new roadway segments and signalized intersections to maintain acceptable standards at buildout of the General Plan - Circulation Element. Threshold Standard 1. ~ I~ two hours pet' g~tti~ day. City wiEle: Ns iflterseetiefl5ilalr6~effiie'at LOS "E" sr "P" 113 lIlelWl:IrOO fer the Il'Ierage weekElIIY peed<. hOlly. 2. West of Interstate 805: Those signalized intersections which do not meet StaflElIlfll,t'l m~,~1j,91l'l above may continue to operate at their current (1987) {.l~~} LOS, but shall not worsen. 10-25-91 3-4 City of Chula Vista Growth Management Program \C\.. IS TRAFFIC Notes to Standards: 1. 2. ,,,,,.,,.,,. IN@t I_;_~~ LOS measurements shall be for the average weekday peak hour~, excluding seasonal and special circumstance variations. The meaSllfeffieflt of LOS sllallbe by tile ICU (Ifllerseetiofl Clil'll.eity Utilim tieR) eelelilatioR litiliziRg tile City's !lli13lished eesigRs staneares (see !lage 20 of the De3igR Ste.flell.res)~7 1~~rtj~q~~m~~gp~!~~~!!~9~~!P:AA~!gn~; R~~~~IOO*;g~t%!,q~y*w!i~t~ftffi~RWa9,~.~ 11111111~i~I'i~r~~llllli_il~'III~li IltIllP~i.~jj,A...t9~t~......~...~~l!i;!\lli)lH.......~~~....~~~H!~!I - ~ 3. Th~ mea3lirelll~,~t,,?f,~8S !n~!!ti}Jm.1jl, at iRterseetioRs of City lIfteflals IInEl R!~M~!n~n~~~t freeway ramps shall be a growth management consideration in situations where proposed developments have a significant impact at interchanges. 4. Circulation improvements should be implemented prior to anticipated deterioration of LOS below established standards. -!--QR....YplltJQ, 1990, the Ci\~ {:'eliRilil e1iniltHI slaffte fiFe 'ill~ a ffl8ri! if! llafltf aRIII}&i~ erW-a t e Fu\l:leBll,lCU Bad II~H, kiah UR '81 Iud \8 sahN'st! iflt~fElHti[lR aaflll.ilit~. 10-25-91 3-5 City of Chula Vista Growth Management Program \G..l~ TRAFFIC ~,~ij ~ --- [lj:lll~~t~~IJ~)jiMH~!9~.!'lI~~ili~~~~IlP~P~~2~)Di9UgYi'g ~~g~j-~~~ l.1>V~Vbf ~till C1aiiS1 ()1~2 iniisil~ ~ a c o ~ F i ~l? iilU !t?9 !iff!! liit~ >14 Il~~ *~ ?!l9 ;%I!~ ?!t9 ,,,,.,.,,,, Iii rii~lf.ljlllilllli'lIill~ltlltifIB" Imolementation Measure Should the GMOC determine that the Threshold Standard is not being satisfied, then the City Council shall, within 60 days of the GMOC's report, schedule and hold a public hearing for the purpose of adopting a moratorium on the acceptance of new tentative map applications, based on all of the following criteria: l. That the moratorium is limited to an area wherein a causal relationship to the problem has been established; and, 2. That the moratorium provides a mitigation measure to a specifically identified impact. Should a moratorium be established, the time shall be used to expeditiously prepare specific mitigation measures for adoption which are intended to bring the condition into conformance. lG-25-91 3-6 City of Chu/a Vista Growth Management Program lQ.-11 TRAFFIC 3.2.2 Facility Master Plan The Circulation Element of the General Plan serves as the overall facility master plan. Additionally, the City prepared an "East Chula Vista Transportation Phasing Plan" last year which provides additional information relevant to the phasing of development and necessary improvements required in the area east of Interstate 805. This detailed Transportation Phasing Plan is currently being updated and provides additional information to determine compliance with the threshold standard. 3.2.3 Project Processing Requirements Applicants shall meet the following requirements at each stage in the development process. General Develooment Plan 1. Identify total traffic demand by land use. 2. Test traffic demand on buildout circulation network. 3. Provide project traffic distribution splits. 4. Determine compliance with General Plan. Sectional PlanniDl! Area Plan/Public Facilities Finance Plans 1. Identify phased traffic demand and demonstrate compliance with the "East Chula Vista Transportation Phasing Plan". 2. Identify on-site and off-site impacts and improvements by phase of develop- ment. 3. Provide cost estimates for all improvements. 4. Identify whether improvements are interim or full buildout. 5. Propose finance methods for each improvement. Tentative Mao 1. Conditions to dedicate the ultimate right-of-way for on-site and off-site improvements. 2. Conditions for required improvements by phase of development. Final Mao 1. Implement conditions. 2. Provide funding. 1ll-25-91 3-7 City of Chula Vista Growth Management Program lQ, I~ TRAFFIC Buildinl! Permits 1. Pay traffic signal fees. 2. Pay Street Development Impact Fees (DIF) or construct roadways and receive credit for DIF circulation streets in accordance with appropriate finance policies. (On site roads constructed with appropriate phase of development). 3. The construction of sewer and water lines must be coordinated with the timing of street construction. 3.2.4 Service Analysis The City of Chula Vista through the Public Works Department is responsible for ensuring that traffic improvements are provided to maintain a safe and efficient street system within the City. Through project review City staff ensures the timely provision of adequate local circulation system capacity in response to planned development while maintaining acceptable levels of service. Planned new roadway segments and signalized intersections will maintain acceptable standards at the buildout of the City's general plan and circulation element. The traffic threshold standard will be analyzed by the following: 1. LOS measures shall be for the average weekday peak hour, excluding seasonal and special circumstance variations. 2. The measurement of L()S shall.1:>~bYthe IHterseea6H Capacity Utili~6H ~~:g~~Rlg9\Y~Y~P~ty:~\il~- method of calculation, using the City'spubllsheil Circuiationeiemenidesign standards. 3. Intersection of City arterials with freeway ramps shall be ell.Cl1l6eE1frilffitllis :i?!.i;.II~'ltlll~lill~FI}Y~r9I~r~~#~~Pm:~m:l11iY;~I~ ...,.J;m.......................................R......................................................................~........... 4. Circulation improvements shall be implemented prior to anticipated deterioration of LOS below established standards. 10-25-91 3-8 City of ChUUl VISta Growth Management Program \ ~ -1C\ TRAFFIC Figure ti City of Chura Vista 8tliRdftrds far ICU aRa LOS (August 25, 1987) laterseetiea CElJlseity Utiliretiea (lCU) This preee6l1re will Be 1I3e6 to evalllste tfle iffiflaet ef IlI1Y prefleSe6 aevelepffieflt witllia tile City ef ClIlIIs Vista. 'lallles will be as follev;s: 1. ThRllIgllltlfle 1700 ",'flllgl (velliele3 per lIellr greea per 188e) 2. Left rem 188e 1500 vphgl Iflterseetiea Levels ef Ser...iee (LOS) IBterseetisB 1.8' 'als ef Say'iae ~ 'EEfui~..ltlBllt_Y8N1=B_eJ bGS ~lljJ~,~~t1'F.ll~i~_ A 9.00 9.a9 B 9.al 9.79 G 9.71 9,gg j} 9.g! 9.99 I> 9.91 1.00 .. ~ 1ll-25-91 3-9 City of Chuu. VISta Growth Management Program tC\..",,-> TRAFFIC Circulation Street Inventory The current circulation system is depicted on Figure 8 and the buildout circulation system is depicted on Figure 9. Figure 7, numbers 1 through 22, lists the proposed four lane major streets and larger which are included in the 1990 Development Impact Fee. Figure 7 Circulation Street Inventory Prooosed Streets Location Estimated Cost I. State Route 125 San Miguel to Telegraph Canyon Road $ 8,858,700 North 2. State Route 125 Telegraph Canyon Road to Orange Ave 2,363,800 South 3. Telegraph Canyon Rd Paseo Del Rey to east of Paseo Ladera 1,723,000 4. Telegraph Canyon Rd Interstate 805 Interchange/Phase II 967,500 5. Telegraph Canyon Rd Phase I Rutgers Rd to EastLake boundary 4,174,800 6. Telegraph Canyon Rd Phase III Apache Dr to Rutgers Rd 4,258,600 7. East "H" Street Interstate 805 Interchange Modifications 2,638,000 8. East "H" Street EastLake Dr to State Route 125 1,052,700 9. Otay Lakes Road Telegraph Canyon Rd south to 1,096,500 DlF Boundary 10. Bonita Road Otay Lakes Road to Central Avenue 645,000 II. Bonita Road Central to San Miguel 704,400 12. San Miguel Road Bonita to State Route 125 2,516,600 13. East "H" Street State Route 125 to San Miguel 1,251,300 14. East "W Street San Miguel to Hunte Parkway 6,192,000 IS. Orange Avenue Oleander to eastern DlF Boundary 2,709,000 16. Palomar Street Oleander to eastern DIF Boundary 5,934,000 17. Telegraph Canyon Rd Eastern boundary of EastLake I 5,160,000 to Hunte Parkway 18. EastLake Parkway Telegraph Canyon Rd to southern 5,005,200 boundary 19. Hunte Parkway East "W Street to Telegraph Canyon 3,378,600 Road 20. Hunte Parkway Telegraph Canyon Road to Orange 4,211,900 21. Orange Avenue EastLake to Hunte Parkway 3,096,000 22. Paseo Ranchero Rd Telegraph Canyon Rd to southern 3,405,600 boundary There are additional circulation element streets that will be added in future updates. 10-25-91 3-10 City of Chuw Vista Growth Management Program \~..11 TRAFFIC Figure 8 Existing Circulation 10-25-91 3-11 Ciry of Chu/a VISta Growth Managemen! Program Ie.. ^2.. TRAFFIC Figure 9 Future Circulation System 10-25-91 3-12 City of Chula VISta Growth Management Program ll:\.. ~3 TRAFFIC 3.2.5 Adequacy Analysis The City of Chula Vista monitors and controls traffic improvements through a number of mechanisms. In 1989, the City authorized preparation of a comprehen- sive Transportation Phasing Plan for eastern Chula Vista (ECVTPP). The City also recently completed a comprehensive traffic monitoring report. At the present time, the ECVTPP is being updated. The fellewiRg paragFllfllls previae aR Elvervie',v Elf tile aaeEjliae)' of trame faeilities ia twe areas; tFame IfIEllliteRllg aIld tile ECYTPP. Tl-le ECVTPP lises a eelflpllter lfIeae1 te forecast traffie volulfles as aevelepffieRt aRa tffiffie iffipre'ieffieRts are pha.300 in the eastem paRiSH of the City. It is liSed ill prejeet -.vHeR new Sf lipgreae6 tffiffie ilflpreYelfleRts are 1lee6e6. Tl-le tffiffie lfIeRitaflllg pregrem e'/wlIales speeilie traffic data eBtailled BY eOl:lfltiRg traffic at 108 illtersectiolls ia tile ~ BaSed............. ...................m.......I990....GMOC.....I!l,..............i;j;:j.....Ui.......clii......C...................ir........a.....telly...............................tlafti...... - .lll;tqtl~mj~p~)KH11]~IJP~'lil;!~ri;!!~1}i!!';I~llll~! - pr~~~; Tl'lIffie MeHiterifll!: ReBert Tile City receRtly receiYe6 a eelflpleted Crawtll MaIlagelflellt PlllR Traffie MeaiteflRg report prepareS BY JIIK & f.ssEleiates. This Teper! llflalYlJeS tffiffie iRforlflalieR far 108 illterseetiEllls ill tile City. Tile repert pTe.,iaes tile fleeeSSllrj aata ta eyaluate wllet-fier tllese iRlersectiolls apeFate at a level af seF\'iee '",'llieR eomplies witll t-fie tllresHold slfIaaara. Tile fellElwiRg is a slilflmary af tile Baaillg3 frolfl tllat report: 10-25.91 3-13 City of Chuw Vista Growth Management Program \C\..~~ TRAFFIC Thl'esheld 8tftRdftFll CeRf-eFfflftRee ~ 8TANDf.RD NO.1 !City ',vide: Mai!ltftiR LOS C er better Il:t all iarer:n:tieRS; '.vita t:he eJteepaoR that LOS D may eoctlr at sigaalizett iRterseelieRs fer a periad Rat ta el!eeetl a telal af two hallTS per day. ~ 8TI'.."lDt.RD NO.2 'Nest ef lRterslllte 805: Thase sig!laliretl iRtersee liaRS whieh da Ret flleet Slllfida:r-6 NlIflleer 1 fIIay eORtifllle te aIleTate at their ellFfeflt (1987) LOS, ellt shall !let ',yerSefl. ~ 8T.\ND.\RD NO.3 City v,-ide: Na iRterseetiaR shall eIlefllte LOS F as flleaslIFetl for the avefllge ',\'eekday peak hellr. 8tatemeRt ef CeRfeFfflaRee ~ Al\'l Peak All 108 illterseeliells aflefllte ill t-he LOS .\ C rilfige iR the .\M peak-; ~ Mid Day Peal. 107 i!lterseetialls eIlefllte ill tfte LOS A C fIlIlge iR tfte Mid Day Peftk, while I iflterseetiall, Third IIHd "II" Street, epeflltes aeeefltably ill the LOS D range. ~ PM Peal. 95 illtemeetiells aflefllte ill the LOS t. C ffiIlge iR tlie PM Peftk, while tfte 8 listed illterseetieRs aIlerate at LOS D ar E for a Ileried af ar exeeetliRg t'",-a hellrs per day. The 1989 Trame MeRiteriRg Pregffifll Repert iRclieatetl thll:t 8 iRterseetiaRs 'NhiBh are '.vest af 1 805 are afleflltillg Il:t levels ef serviee lewer thllH tftase speeiBed iR the eity wide thresheld slftflda:rds. Six af the iRterseeaeRs fIIay remain at eUTfeflt levels af serviee l:Hit may flet aeter.iorate. TONS iBtersee tieRS apefllte at tfte eity wide 6erderliRe threshelcl af twa hallrs per day Il:t LOS "D". These 8 iRtwleetieRs a:re listed iR the fellewiRg Stlfllfllary. _! 11Ms staBaara 8J:1pliss ait~. ",'ide 6J\eept n 'here aR existisg iatsfSeetisB v:est sf IBterstate ggj is 6l'ef8.tiag at a le~ aT stsBasnl. 1(}.25,91 3-14 City of Chu/a Vista Growth Management Program \&t.'-S TRAFFIC 8liftlftHU'Y sf lftterseetis8.s Ol3eftltiBg at Bsrdefline 1nRresRsla g~dafa ~rs. 1 8tul at Tlwesfteld SWiae.nt Na. 2 ./ .. . ... i/ ............. / i TIireali81il:. ......./ lBtefseetisB Pefie6T CeRfe~ee bQSi i" .......... Third ;\.. eBl:ie &. "II" Street Misaay -I- p ~ Thil's .A"Vefl1l8 &. "II" Street PM ;; P i!dG Thinl ;\\'eB1l8 &. "II" Street PM ;; P ~ Petu=tfi t~\'effile &. "J" Street PM ;; P i!dG BfS8W.V&) &. "I" Street PM ;; P ~ Bf8SS:;:ay &. ilL" Street PM -I- P ~ Hilllel' DR','. & "II" Stfeet PM ;; E ~ IIilltel' Df;,'. & "II" Strset PM ;; P i!dG Industrial BSldsvara &. OIL" 8t1'6et PM ;; E ~ MmtiteriRl!: ReBert 8IlmmOF"; 8totemeRt The Iatersootiaa Cilflaeity Utiliretiaa (lCU) IlRwysis revealed that the 8 iaterseetieas liste6, ...!lieh life lecate6 ia the eeRtffil peTtiea af Clmla Vista (west ef lllterstate 805), HitlSt be meaiterea elesely te aetermiae if ellrreRt (Yellf 1989) levels ef service aeterierate ia the futllTe, Meaitenag is required at these ifltefSeetteas beealise they eurreatly efJerflte at LOS D er E fer a periea ef twe helirs ar greeter. Sillee iliese iaterseetiells ae aet ooaferm te threshala sl'Bndaffi Nlimber 1, FuRber IlRwysis is relj:liired. Basee uvaa ilireskela stanElllfa Nlimber 2, these iaterseetieas may eeatialie te aperete at these seriiee levels, blit shall aet ?lerseR. The etlPlleity IlRwysis eeflEllietee by JIIK revealed that ae iaterseetiaa eve1'lltes at LOS P allrillg the averege '.'Ieek-day peak kellr. It skelilEl be aete6 that the ifltemeetiea ef Hilltep Drive llfIa H Street is efleretiag at the LOS ElF. ThliS, elese meniteriag of this illterseetiea is WlI1'ffiflte6 ll!Ia as t1'llffie aetivity iaereases at this leeatiea ia the future, goometrie meaifieat:ieas may be reEi\:liree. Tke 1990 Triiffie MORitoriRg Pregram flrepar-ed by JHK llfIa .\ssoeiates aated Marek 28, 1991, allwyzed 109 iaterseetieas. The IRterseetisa Cilflaeity Utiliretiea (ICU) methea ',vas usee fer the 1990 Traffie MeRitefiag Preg1'llm. The Ilerfermance ef tile sigaalizecl iaterseetieRs improvecl frem Yellf 1989 te Yellf 1990. The iaterseetieR etlflaeity at peak kellrs far 1990 re-,'eals tke fallowiag serviee levels: to-25.9t 3-15 City of Chula Vista Growth Management Program lq..~ TRAFFle I WlI4l I Levels Bf ~eFViee I ~ ~ I ~~ ~~~ lililli 199 (Mia Day Peal,) 192 (PM Peek) 1R 1989, tRere were 13 iRterseetioRs oI'e1'lltiRg at LOS D or E, 1I0';;ever, b)' 1990 tRis Rl:lmber lIaEl beeR r.eEhleeEI to 7. ;\11 7 iaterseetioRs ar-e laeateEI west of 1Rterslate 895 Me are iR eomI'liMee witR StlIflelftrtl No.2 of tile TNlffic Thres,'fflld S<<Huiartl. ".11 iRterseetioRs east of IRterslate &05 eORfermeEI ta SlaRElarEl Na. 1. The p",'a iRterseetiaRs wlliell were af eOReeffi last year were HilltoI' lIRe "II" IIREI Ilil1te~ Me "L". Botll of tllese iRterseetioll3 eie show sigllifieallt yolllme re8l:1etioll t-his year. Tile olle remaiRillg illterseetioll ill tile City tilat is oI'eratillg at LOS B ill tile a:ftemeoll I'eaIc I'eriod, !lilltoI' anel "II" Street, aemally imI'roYeEI froft! 1989, blit still feft!aiRs at LOS E EIlirillg tile aftereooll I'eak I'erioEl, villiefi is tfie Sftffie le...el af sef"/iee as last )'eftf. Eastern Chula Vista Transportation Phasin2 Plan - Summary As indicated, the City analyzes traffic with both the monitoring program and the Eastern Chula Vista Transportation Phasing Plan (ECVTPP) information. The first ECVTPP, which was prepared in June 1989, serves as the City's master plan for phasing street improvements in the eastern portion of the City. This plan projects the allowable levels of development which can occur in the eastern territo- ries of the City prior to making specific street improvements. It also identifies the various improvements necessary to maintain an acceptable level of service on the circulation system. The key facility need identified in the first ECVTPP is the future construction of SR 125. Cumulative development, approximately 9,100 EDUs, will necessitate the construction of this critical north-south roadway before additional development of the eastern portion of the planning area can occur. The ECVTPP identifies future needs for facilities based upon development projections and identifies thresholds that will require new or improved facilities to be constructed in response to development. This phasing plan enables the city and property owners to plan for financing of needed facilities and provides an "early warning" system for future improvements. It provides notification to other public agencies when development is expected to occur that will create additional demands 10-25-91 3-16 City of Chu/a VISta Growth Management Program VI '1..1 TRAFFIC for other public facilities and services. The ECVTPP is currently being updated to reassess and evaluate projected traffic from new development. The initial findings of this updated study are discussed under ECVTPP update. ECVTPP Update In order to prepare an updated ECVTPP, it was necessary to validate the travel forecast model. This calibration was accomplished by beginning with the City of Chula Vista's 1987 Travel Forecast Model which was used for the Circulation Element of the General Plan. Then, the City's existing land use information from 1987 to 1990 was updated by Traffic Analysis Zone (TAZ). The roadway network and all intersections within the Eastern Territories were surveyed to document 1990 conditions. The 1987 SANDAG roadway data file was then updated to correspond to observed 1990 roadway characteristics. A series of 1990 travel forecasts was prepared until the travel forecast projected daily traffic volumes which were consis- tent with 1990 observed ground counts in the Eastern Territories. The preliminary phasing of development for purposes of testing the ability of the roadway system to operate within the limits established by the threshold standard was conducted initially using two approaches. The first, combined all projects with approved final and tentative subdivision maps into an "approved" category of development. The second, used the projected phasing of development based upon input received from the development community regardless of the entitlement status. Roadwav System Performance Testinl! Following the travel forecast model validation, the roadway system was tested based upon the land use phasing information and approaches described above. The first test of the roadway system used the "approved" projects, those with approved final and tentative subdivision maps. The existing roadway conditions and programmed improvements contained in the conditions of approval for these projects as well as the Capital Improvement Budget improvements were incorporated to the roadway network. The SANDAG 1995 Series 7 land use forecast and street network assumptions were used for areas outside of the City of Chula Vista. At least one intersection is projected to fail in maintaining compliance with the City's adopted threshold standard. This intersection is Telegraph Canyon Road I Crest Drive I Oleander Avenue. A second intersection, East "H" Street I Hidden Vista I Terra Nova Shopping Center main entrance, is projected to be at or near the level of service which fails to meet the adopted threshold standard. These intersections will need close monitoring to ensure conformance with the threshold standard is maintained. 10-25-91 3-17 City of ChUM Vista Growth Management Program \'t,~ TRAFFIC It should be noted that the projected daily traffic volumes in the ECVTPP update may exceed those shown in the Circulation Element of the General Plan. This is due to enhanced geometries at intersections which reflect the functional capacity of roads as opposed to the planning level of analysis performed in the General Plan. The Circulation Element Level of Service C volumes are generalized in nature and do not incorporate the special enhancements(such as additional turning lanes) at key intersections throughout the City. The second test of the roadway system used the phasing projections provided by the development community regardless of the level of entitlement received. The existing roadway conditions and programmed improvements contained in the conditions of approval for these projects as well as the Capital Improvement Budget improvements were incorporated in the roadway network. The SANDAG 1995 Series 7 land use forecast and street network assumptions were used for areas outside of the City of Chula Vista. Travel forecasts were performed for the years 1994 and 1995 based on developer supplied phasing assumptions. Both of these forecasts assumed Otay Ranch development of the western parcel which is south of Telegraph Canyon Road based upon their submitted development application. The 1994 forecast projects a potential failure at East H Street I Hidden Vista I Terra Nova Shopping Center main entrance. The forecast identifies this intersection to be at or near the threshold standard. Close monitoring is needed to ensure conformance with the threshold standard. The 1995 forecast again projected the same potential problem at East H Street I Hidden Vista I Terra Nova Shopping Center main entrance as well as projecting that Telegraph Canyon Road I Crest Drive I Oleander Avenue and East Orange Avenue I Oleander Avenue will both fail to meet the adopted performance standard. Additional Network Testinl! Additionally, an interim four lane at grade expressway facility for State Route 125 from East Orange Avenue north to State Route 54 was tested to determine if it would relieve the traffic congestion identified in both earlier roadway tests. This improvement included signalized intersections with standard configurations at East Orange Avenue, Telegraph Canyon Road, East H Street, San Miguel Road and an interchange at State Route 54. In summary, an interim facility along State Route 125, as described above, would not provide mitigation in either case for the overall roadway network. In this configuration, State Route 125 does relieve some traffic congestion near Interstate 805, however, due to the attractiveness of this facility a large volume of traffic is 10-25-91 3-18 City of ChuIa Vista Growth Management Program lq../.~ TRAFFIC shifted away from other roadway facilities. The shifting of this traffic volume creates a failure to maintain compliance with the threshold standard at the at-grade intersections along State Route 125. 3.2.6 Summary and Recommendations Presently, the circulation system is working in conformance with the threshold standard. Those initial improvements identified in the original ECVTPP are being planned and constructed. The original ECVTPP projected that by increment 5 , (or 9,100 dwelling units, 172 acres of industrial and 85 acres of commercial development), it would be necessary to construct State Route 125 as a 4 lane freeway from Telegraph Canyon Road, north, to State Route 54. The update to the ECVTPP is projecting that, based upon demands generated from projects with approved final and tentative subdivision maps, the total traffic generation is approaching the threshold requirement for State Route 125. The threshold for the construction of SR 125 which was first presented in the original ECVTPP has been validated as part of the update to the original study. A review of the proposed development which will take place prior to the need for State Route 125 and the fees which are to be collected for circulation improvements from these projects indicates that insufficient funds will be available to make the necessary State Route 125 improvements. It is recommended that the City Council direct staff to undertake a specific study to determine the appropriate improvements required to be made in the State Route 125 corridor and to present to the City Council for adoption a guaranteed funding program for these improvements which also resolves the construction timing issues. The study will focus on identifying whether an interim facility could be constructed which would meet the threshold standard and be financially feasible prior to the construction of the ultimate State Route 125 facility. An interim facility may include enhanced geometrics at various at-grade intersections, such as additional through lanes, free right turn lanes, dual left turn lanes or some combination of these types of enhancements. The study will also consider the effects of providing connections to various roadway segments such as East Orange Avenue. A consideration for financing of this improvement will include the toll road privat- ization concept. 10-25-91 3-19 City of Chu/a Vista Growth Management Program ~~, 3D 3 12 Ur<rl>....Trl>lt.KTr"C! 'l'i';'(QQ"a;tlt! . ~ p~~tsD ,.:.:.;.:.:.;.:.:::,:,:::::::::,::::,::,,:,:,'-:,:'z"'":.:.:< 10-25-91 3-98 City of Chu/a VISta Growth Management Program \".;1 ECONOMICS W~~tll~ 3.12 Eeollamies I. 3.12.1 Existin2 Threshold Policy Goal To provide land uses and activities which respond to the economic needs of the residents and the City of Chula Vista. Obiective il;lii_lt.iI~~~~lrili~llfl._'ltllllll fm~;gn9cRHl'!UgIiUgy.l!t~fli I. Monitor the impacts of growth in the community on the City of Chula Vista's fiscal well being, considering both operating and capital improve- ment costs and revenues; and 2. I\1onito~the eesftsfflie health sf the eSfflffll:lftity .i!Rnllj~l;!I.;lt~ ptQg!"lli~; considering the appropriate syerall eallHlee sf hStlsiftg M6 jabs, as"\\:cif"as' tfle mbt of vari61:lS tyf>0S ef e0ffiffieTeial, effiee, and ia6l:lSmal de-,elsj3ffleftt i~41~*MlfiB~i;j~lnl. Threshold I. The GMOC shall be provided with an annual fiscal impact report which provides an evaluation of the impacts of growth on the City, both in terms of operations and capital improvements" This report should evaluate actual growth over the previous 12-month period, as well as projected growth over the next 12-18 month period, and H P-t9~ year period. 2. The GMOC shall be provided with an annual "eesftsfflie ffisftit-eFiag ~~!~~~~!~e~t~r!l~e~6~~~itmlii~;;!;;~g:~i;;;; over the fleltt previous 12-month period, ItS well as prejeeteEI grsVith sver the ftext 12 18 fflSftth flerieEl, !lfta 3 5 )"e&f flerieEl. Imolementation Measure Should the GMOC determine that a potentially serious problem exists with respect to eesfteffiiesili~p;~SW!AT~M\B!~*~.j:!, it may adopt a formal "Statement of 10-25-91 3-99 City oj Chaw Vista Growth Management Program l~-32. ECONOl\flCSiltmm Concern" within its annual report. Such a "Statement" requires the City Council to consider the adoption of a resolution reflecting that concern during the public hearing on the GMOC's report. 3.12.2 Facility Master Plan There is no existing Master Plan for the issue ofI3eoaElmies~. However,!Ift eeeaemie ease stlldy ami a long range fiscal impact study was prepared by P&D Technologies as part of the Chula Vista General Plan. 3.12.3 Project Processinl: Requirements Applicants shall meet the following requirements at each stage in the development process. General DeveloDment Plan I. Prepare a fiscal/eeeaemie report dealing with the buildout revenue-v- expenditures analysis. Sectional Planninl! Area Plan/Public Facilities Finance Plans 1. Prepare a phased fiscal/eeeaemie report dealing with revenue-v-expendi- tures including maintenance and operations. Tentative MaD 1. Conditions to implement fiscal/eeoa6mie plan. No tentative map shall be approved unless a fiscal Me/or ee61l6mie impact analysis has been prepared for the project which is consistent with City require- ments that are in effect when the project is considered for approval. Final MaD 1. Implement conditions 3.12.4 Discussion The eeoaomies !'!!lIl threshold has a goal of providing land uses and activities which respond to the economic needs of the community. As part of the :lee61le !#W9 annual review by the Growth Management Oversight Commission, City staff 10-25-91 3-100 City of ChUM VISta Growth Management Program llt - ~3 ECONOMICS ~m_ provided information and statistics covering sales tax per capita, number of business outlets with retail sales permits, median household income, assessed property valuation, etc. City slflff illeiestetllhese faeters siffiply illdieate keIlds willeR may be eeetlfflRg in the City eet fie aot l'fe~lide eSfleltlsiye e-,iseaoo regllfllillg the eesReffiie well lleiRg sf the City. As a result, the GMOC eetlld R6t ffiake B. deterffiillatiell ef ooffipliftIlee RIId recommended a revised threshold standard for eeell6ffiies ~_ll~l[I~. The recommended changes to the objective and threshold were approved 'by the City Council and have been incorporated in this section. . 10-25-91 3-101 City of Chula VISta Growth Management Program IG- 34 ~ !"'....., "" .----., ,....-.- --, ~ L.... .- ..., -.' ---. '--"'--.- ..... ..... - EXCERPT FROM MINUTES OF PLANNING COMMISSION MEETING OF 10/9/91 ITEM 1: PCM-92-08: AMEND GROWTH MANAGEMENT IMPLEMENTATION ORDINANCE NO. 2448 - City Initiated Contract Planner Bud Gray stated the proposal before the Commission was an amendment to the City's adopted Growth Management Implementation Ordinance which contains 11 threshold standards that Council adopted in 1987. During last year's review of the threshold standards, the Growth Management Oversight Commission received a study from the Engineering Department relating to a better technique of measuring traffic congestion at intersections. Presently, the City uses the Intersection Capacity Utilization method, and the proposal was to substitute the Highway Capacity Manual method which is a more modem technique of measuring traffic congestion from the perspective of the motorists rather than from a theoretical perspective. Mr. Gray stated that the proposal also transferred to the Economic Development Commission the economic portion of the economic threshold standard and renamed the threshold standard to "fiscal" threshold standard. The new standard would contain an annual fiscal report and an annual development impact fee report. He stated the above changes would be made to the two threshold standards in three documents: the Growth Management Ordinance, the Growth Management Program, and the Council's threshold standards policy document. Commissioner Martin asked if there were any fiscal impacts to the City, any grants or money awarded to the City on studies previously done regarding traffic. Mr. Gray answered that any new studies the City may do would be done by using the HCM method. It would not impact any studies already done. To his knowledge, there was no financial loss incurred by this change. Traffic Engineer Rosenberg noted that from $60,000 to $80,000 is budgeted annually to perform a traffic monitoring program study where all the intersections throughout the City are analyzed. It is believed that the new process will provide a cost savings to the City because of the different methodology to be employed. In answer to Commissioner Martin's query, regarding the economic threshold standard, Mr. Gray said the economic component was being transferred from the Growth Management Oversight Commission purview to the Economic Development Commission. The City would not be losing an overview function of the economic health of the City; it would just be carried out by a different Commission. Commissioner Decker noted that anything would be an improvement over the old traffic methodology. \q..tt~- PC Minutes -3- October 9, 1991 This being the time and the place as advertised, the public hearing was opened. No one wishing to speak, the public hearing was closed. MSUC (Carson/Casillas) 5-0 (Commissioner Tugenberg absent) to find that the proposed amendment is categorically exempt from environmental review under Class 5 of the CEQA Guidelines; that the Planning Commission adopt the proposed ordinance amendment as described in Exhibit "A"; that. the Planning Commission adopt the proposed changes to the Growth Management Program as described in Exhibit "B"; that the Planning Commission accept the proposed changes in the Threshold Standards Policy as described in Exhibit "C". lCt..'f(.., 4. Other relevant information the District(s) desire(s) to communicate to the City and GMOC. The growth forecast and school district response letters shall be provided to the GMOC for inclusion in its review. D. Libraries. Population ratio: 500 square feet (gross) of adequately equipped and staffed library facility per 1,000 population. E. Parks and Recreation Areas. Population ratio: Three (3) acres of neighborhood and community park land with appropriate facilities per 1,000 residents east of 1-805. F. ,Water. 1. Developer will request and del iver to the City a service availability letter from the Water District for each project. 2. The City shall annually provide the San Diego County Water Authority, the Sweetwater Authority, and the Otay Municipal Water district with a 12 to 18 month development forecast and request an evaluation of their abil ity to accommodate the forecast and continuing growth. The Districts' replies should address the following: a. Water availability to the City and Planning Area, considering both short and long term perspectives. , b. Amount of current capacity, including storage capacity, used or committed. now c. Ability of affected facilities to absorb forecast growth. , d. Evaluation of funding and site availability for projected new facilities. e. Other relevant information the District(s) desire(s) to communicate the ,City and GMOC. G. Sewer. 1. Sewage flows and volumes shall not exceed City Engineering Standards as set forth in the Subdivision Manual adopted by City Council Resolution Number 11175 on 2/12/83 as may be amended from time to time. 2. The City shall annually provide the San Diego Metropolitan Sewer Authority with a 12-18 month development forecast and request confirmation that the projection is within the City's purchased capacity rights and an evaluation of their ability to accommodate the forecast and continuing growth, or the City Engineering Department staff shall gather the necessary data. -2- \<~...z,.. '.V ..<! \CJ ' The information provided to the GMOC shall include the following: a. Amount of current capacity now used or committed. b. Ability of affected facilities to absorb forecast growth. c. Evaluation of funding and site availability for projected new facil ities. d. Other relevant information. The growth forecase and Authority response letters shall be provided to the GMOC for inclusion in its review. H. Drainage. 1. Storm water flows and volumes shall not exceed City Engineering Standards as set forth in the Subdivision Manual adopted by City Council Resolution Number 11175 on 2/23/83 as may be amended from time to time. 2. The GMOC shall annually review the performance of the City's storm drain system to determine its ability to meet tbe goals and objectives above. 1. Traffic. 1. City-wide: l~~II~~Y(yII~f/~IAI~I.VI~/~flll!~tpf~ptt!p~~j 'l-n.'II""~~jl ~fll tW I'!f/'! I Pf/ WMf'/./ NWrt IY.~~I ##NNW tWW NW IYWI ~j:JI /#IJt1 /iN Nr"p'IYrt#/!~t###!p~~1 IN-I It Ip~t'lrlr)IMt.1 Nt N#rlrlrll" '/.p'/.j.1/ Irlf I IWrll /rIrfWil /VrtrI I 11#1 I I !/WJfMVW./ 1M! 1!~t.###"pN 1f,'fi.j.rJ p~~fj.t~1 #I M$' !'NY Ipfl 'NI /iN MrI~iWrlrllfpfl#W ~ NrlrI'(.rI~Y I~~j.y.. ~p)ffj Maintain LOS "C" or better as measured bv observed averaae travel soeed on all sianalized arterial seaments exceDt that durina Deak hours a LOS of "0" can occur for no more then two hours of the .lW... 2. West of I-80S: Those signal ized intersections which do not meet 'IWrN~;rll I/> the standard above, may continue to operate at thei r "'WIIY.##llpfll'l~'Iyrrj.~ current (vear 1991\ LOS, but shall not worsen. 3. Notes to lfj.fflt Standards: ~ Arterial seament LOS measurements shall be for the average weekday peak hour, excl udi ng seasonal and speci al ci rcumstance variations. ~j l~~II~~~i~'I~~~~Y.llrlfINWII~/tWlA&II#WI,.t~llllfi.'/.~f~~t'/.!pfi. 'l-j.~j.tltllll~tllltj.tlpfi.lllltj.lt)flj.tlpfi.III)f'/.llltlfi.glll'/.~~111'l-ltl'~ ~)f~l/~~~~II~~~!gfi.ll$tj.fi.~j.f~~IIPpl!tlllj.~p~t~~II~III'l-I'/.III,/-p)ffi.tll '##l#lp(l1 tWr/rtrtrl I /!MW Ip;.//WIM'/Iifl I M/ 1~j.l1 /rIrll MWWJI Iffp~ 't!~~/tplt!~pj -3- ,q..., lL. Urban and suburban arteri a 1 s are defined as surface hiahwavs havina siana1 sDacina Df less than 2 miles with averaae weekday traffic volumes areater than 10.000 vehicles Der day. ~ Arterial seaments are stratified into three classifications: Class I arterials are road ways where free flow traffic sDeeds ranae between 35 mDh and 45 mDh and the number of siana1ized intersections Der mile is less than four. There is no Darkina and there is aenerallv no access to abuttina DrODertv. Class II arterials are roadways where free flow traffic sDeeds ranae between 30 mDh and 35 mDh. the number of s i ana 1i zed intersect ions Der mil e ranae between four and eiaht. there is some Darkina and access to abuttina DroDerties is limited. ill Class III arterials are roadways where free flow traffic sDeeds ranae between 25 mDh to 35 mDh and the number of sianalized intersections Der mile are c10selv sDaced. There is substantial Darkina and access to abuttina DroDertv is unrestricted. ill ill . ~ ;./ The 1M measurement of 1/W//IW//!;.'#t#;.'tIP;.f.//frIf//IN/J arterial seaments and freeway ramps shall be a growth management consideration in situations where proposed develDpments have a significant impact at interchanges. L. ~/ Circulation improvements should be implemented prior to anticipated deterioration of LOS below established standards. 1.. Q.... h... " The criteria for ca1cu1atina arterial LOS and definina arterial lenaths and classifications shall follow the Drocedures detailed in ChaDter 11 of the 1985 Hiahwav CaDacitv Manual (HCM) and shall be confirmed bv the City Traffic Enaineer. Curina the conduct of future Traffic Monitorina Proaram field surveys. intersections eXDeriencina sianificant delays will be identified. The information aenerated bv the field surveys will be used to determine Dossible sianal timina chanaes. aeometric and/or traffic oDerationa1 imDrovements for the DurDose of reducina intersection delay. Level of Service values for arterial seaments shall be based on the followina table: )" .,t.( -4- Table 1 level of Service Averaae Travel Soeed (mohl Class 1 Class 2 Class 3 A Jl k Q .E E L.ll ~ ~ UI Lll ~ ~ U! ~ L.ll ~ Ll.Q ~ ~ U1 LJl L..l LJ. Source: Hiahwav Caoacitv Manual. SDecial Reoort 209. Transoortation Research Board. National Research Council. Washinaton. D.C.. 1985. J. Air Quality. The City shall annually provide the San Diego Air Pollution Control District with a 12 to 18 month development forecast and request an evaluation of its impact on current and future air quality management programs, along with recent air qual i ty data. The growth forecast and APCD response letters shall be provided to the GMOC for inclusion in its review. K. ~tp~p~!t~ Fiscal 1. The GMOC shall be provided with an annual fiscal impact report which provides an evaluation of the impacts of growth on the City, both in terms of operations an capital improvements. This report should evaluate actual growth over the previous 12-month period, as well as projected growth over the next 12 - 18 month period, and 7>1'P H year period. 2. The GMOC shall be provided with an annual "#PI##//VippfY.ptfprJ develooment imoact fee report," which provides an analysis of ~tp~p~!t//P~1~JpP~~~t//~tt!1!tl//~~p//!~p!t~tpf~ develooment imoact fees coll ected and exoended over the ~#t previous 12-month period.(j//IWMWVNi/Pfp#tt~p/I:JtMWit#f/W~/~~#/W/-//W//~p~t~ p~f!pp'/~~p/~/I/'P/I~~f/P~f!ppl l. Amendments and Supplemental Thresholds. The standards may be amended from time to time on approval by the City CounciL The Growth Management Commi ssion ,foll owi ng its annual review of the program, may make suggestions on proposed recommendations to the City Council. Further, City Council may supplement each Threshold Standard and adopt procedures for its implementation through its Growth Management Program and Facility Master Plans. ,q,.f -5- SECTION II. This ordinance shall be in full force and effect on the 30th day after the final adoption hereof by the City Council on the affirmative vote of three of its members. Presented by Robert Leiter Director of Planning PASSED, APPROVED and ADOPTED by Vista, California, this _ day of vote: the City Council of the City of Chula , 1991, by the foll owi ng ," AYES: NOES: ABSENT: ABSTAIN: Council members: Council members: Council members: Council members: Tim Nader Mayor ATTEST: Beverly A. Authelet, City Clerk WPC 9900P At. ~ -6- RESOLUTION NO. 1(" Y 0 ~ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING SECTIONS 3.12 AND 3.2 OF THE CITY'S GROWTH MANAGEMENT PROGRAM The City Council of the City of Chula vista does hereby resolve as follows: WHEREAS, this item includes an amendment Management Program as recommended by the Growth oversight Commission in its 1990 report; and WHEREAS, the Planning Commission, Montgomery Planning Committee, and Growth Management oversight Commission recommended approval of the proposed amendments as part of their review of the 1990 GMOC report on July 10, 1991; and to Growth Management WHEREAS, in addition, the Planning commission held a public hearing on the proposed amendments on October 9, 1991, and voted 5-0 to recommend approval of the amendments; and WHEREAS, the Council finds that the proposed amendments are categorically exempt from environmental review under Class 5 of the CEQA Guidelines. NOW, THEREFORE, BE IT RESOLVED that the city Council of the City of Chula vista does hereby adopt the proposed amendment to Sections 3.12 and 3.2 of the Growth Management Program contained in Exhibit "B", a copy of which is attached hereto and incorporated herein by reference as if set forth in full. Presented by Approved as to form by ~1lN 4!Jf city Attorney Robert A. Leiter, Director of Planning C:\RS\3.12 GMP lq..,. RESOLUTION NO. '''403 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE TRAFFIC THRESHOLD STANDARD AND THE ECONOMICS THRESHOLD STANDARD OF THE CITY'S THRESHOLD STANDARDS POLICY The City Council of the City of Chula vista does hereby resolve as follows: WHEREAS, this item includes an amendment to the Threshold Standards Policy as recommended by the Growth Management oversight commission in its 1990 report; and WHEREAS, these amendments would change the Traffic Threshold Standard from the Intersection Capacity utilization (ICU) method to the 1985 Highway Capacity Manual (HCM) method and change the focus of the Economics Threshold Standard to fiscal matters, including an annual review of the development impact fee programs; and WHEREAS, the Planning Commission, Montgomery Planning committee, and Growth Management Oversight commission, recommended approval of the proposed amendments as pat of their review of the 1990 GMOC report on July 10, 1991; and WHEREAS, the Planning commission held a public hearing on the proposed amendments on October 9 , 1991, and voted 5 - 0 to recommend approval of the amendments; and WHEREAS, the Council finds that the proposed amendments are categorically exempt from environmental review under Class 5 of the CEQA Guidelines. NOW, THEREFORE, BE IT RESOLVED that the City Council of the city of Chula vista does hereby amend the Traffic Threshold Standard and the Economics Threshold Standard of the city's Threshold Standards Policy as contained in Exhibit "C", a copy of which is attached hereto and incorporated herein by reference as if set forth in full. Presented by Approved as to form by :21ucl;6;6; Attorney Robert A. Leiter, Director of Planning C:\RS\threshold o \~4..1 TRAFFIC (Revised by City Council on November p."tnn'!>! 1991) GOAL: To provide and maintain a safe and efficient street system within the City of Chula Vista. OBJECTIVE: 1. Ensure timely prOV1Slon of adequate local circulation system capacity in response to planned growth, maintaining acceptable levels of service (LOS). 2. Plan new roadway segments and signalized intersections to maintain acceptable standards at build-out of the General Plan - Circulation Element. THRESHOLD STANDARD 1. City-wide: Maintain LOS "C" or better ~'t//j.n///INHM#/I,6M/' as measured bv observed averaqe travel saeed on all siqnal ized arterial seqments ~J~~//~~~//~~t~,,~Jp~//~~j.~//~~%//Y~Y//~j.I//ptt~t//j.~//~J~~j.JJt~~ J~~~t~~t~Jp~~//tt//t/,,~tJp~/~/'t~/~~t~~~/fiVIVVV(y/pf exceat that durinq aeak hours a LOS of "0" can occur for no more than anv two hours ,,~t of the day. [P] ~p/MVfrf.l#/1lW/$~~rY//J#.tMNN't/!.IJf>/!'NY/pt/I/fI'//# ~~j.~~t~~/fpt/~~~/j.~~tj.~~/~~~~~j.I/,,~j.~/~p~t~1 2. West of 1-805: Those signalized J~~~t#t~Jp~~ arterial seqments which do not meet the i't~rirf.~trf./# standard above, may continue to operate at their current ~J~~71 (vear 19911 LOS, but shall not worsen. [P] Notes to Standards 1. Arterial Seqment LOS measurements shall be for the average weekday peak houri, excluding seasonal and special circumstance variations. -1- WPC 9903P ~ \q~-2- 2. l~~II~~~~~r~~~p~ll~f/~ll~tvV/~/A&II~/ftt~lllJ~t~f~~tt~p~11~~p~t~tl ~t~l!t~t!p~llllt~lt~l~t!p~lll~t!l!t!~glllt~~III~!tl'~1Ilp~~l!~~~plllp~~!g~ ~t~~p~fp~/l~~~/p~g~/~~lj Urban and suburban arterials are defined as surface hiQhwavs havinQ siQnal soacinQ of less than 2 miles with averaQe weekdav traffic volumes areater than 10.000 vehicles oer dav. 3. Arterial seQments are stratified into three classifications: ~ Class I arterials are roadwavs where free flow traffic soeeds ranae between 35 moh and 45 moh and the number of sianalized intersections oer mile is less than four. There is no oarkina and there is aenerallv no access to abuttina orooerty. ~ Class II arterials are roadways where free flow traffic soeeds ranae between 30 moh and 35 moho the number of siana1 ized intersections oer mile ranae between four and eiaht. there is some oarkina and access to abuttina orooerties is limited. ~ Class III arterials are roadwavs where free flow traffic soeeds ranae between 25 moh to 35 moh and the number of siana1ized intersections oer mile are closely soaced. There is substantial oarkina and access to abuttina orooerty is unrestricted. ~j4. The LOS measurementi of ~~$ arterial seaments at !~t~f~~tt!p~~ pfll~!tlll~ft~f!~l~II~~p freeway ramps shall be a growth management consideration in situations where proposed developments have a significant impact at interchanges. ~j~ Circulation improvements should be implemented prior to anticipated deterioration of LOS below established standards. Q... The criteria for calcu1atina arterial lenaths and classifications shall follow the orocedures detailed in Chaoter 11 of the 1985 Hiahway Caoacity Manual {HCMl and shall be confirmed by the Citv Traffic Enaineer. L. Durina the conduct of future Traffic Monitorina Proaram field survevs. intersect ions exoeri enci na si ani fi cant del avs wi 11 be ident ifi ed. The i nformat ion aenerated by the fi e 1 d surveys wi 11 be used to determi ne oossib1e sianal timina chanaes. aeometric and/or traffic ooerationa1 imorovements for the ouroose of reducina intersection delay. !l.... Level of service values for arterial seaments shall be based on the followina table: Level of Service Averaae Travel Soeed {mohl Class 1 Class 2 (1 ass 3 A- I! ~ D. E. E > 35 > 28 > 22 >17 > 13 < 13 > 30 > 24 > 18 > 14 > 10 < 10 > 25 > 19 > 13 L..9. 'L-l. LJ. WPC 9903P t4e.3 WPC 9903P Source: Hiahwav Caoacitv Manual. Soecial Reoort 209. Transoortat i on Research Board. National Research Council. Washinaton. D.C.. 1985. Iqt...~ IMPLEMENTATION MEASURES: Should the GMOC determine that the Threshold Standard is not being satisfied, then the City Council shall, within 60 days of the GMOC's report, schedule and hold a public hearing for the purpose of adopting a moratorium on the acceptance of new tentative map appl ications, based on all of the following criteria: 1. That the moratorium is 1 imited to an area wherein a causal relationship to the problem has been established; and, 2. That the moratorium provides a mitigation measure to a specifically identified impact. Should a moratorium be established, prepare specific mitigation measures the condition into conformance. the time shall be used to exped it i ous 1 y for adoption which are intended to bring WPC 9903P ,qt- 5 ~J1Y/~P/~~~~~/~J$1~ $l~~~~~~$/P~~/J~~/~~~/~~$ J~~~~tt/~~'/I~~71 J~t~ft~tt!p~/~~P~t!tl/~t!l!t~t!p~/JJ~~l 1~!t//ptpt~AAt~//~~~//~/A/ivif//1~//~'~l~~t~//~/~//9f//~pf//pfpppt~~ ~~'~lpp~~~t/~!t~!~/t~~/~!tl/pf/~~~l~/~!tt~J//~~l~~t/~!ll/~~/~t/fpllp~tJ IJ 1~fp~~~/l~~~/I/J7~~/,p~~l/J'~~!tl~t/p~f/~p~f/~f~~~/p~f/l~~~l JJ ~~ft/tpf~/l~~~/I/J~~~/,p~sl J~t~ft~tt!p~/~~'~lt/pf/$~f'!t~/J~~$l ~~$ Y.p.~"~l~~t ~pl~~~/~~P~t!tl/~~t!P ~ .B ~ ~ Y. P ~J~~/I/~J~~ ~J~J/I/~J7~ ~J7J/I/~J.B~ ~J~J/I/~J!J~ ~J!JJ/I/JJ~~ JJ~Jf WPC 9903P ,'It' .1- FISCAL ~~~t1~~J~$ (Revised by City Council on ~pt!l/~~' November 1991) GOAL: To provide land uses and activities which respond to the economic needs of the residents and the City of Chula Vista. OBJECTIVE: Use Fiscal Impact Reports (FIRs) and Public Facility Financing Plans (PFFPs) to evaluate and plan for healthy ~~p~;r;# fiscal attributes in balance with environmental, social, and public policy criteria. Ob.iective 1. Monitor the impacts of growth in the community on the City of Chula Vista's fiscal well being, considering both operating and capital improvement cost and revenues; and 2. Mon i tor the rlrNr/r/rf,Yr/ / / ,.f>WlW / / /Jf/ / /'t'(l~/ / Nr/rf,r;4r/YW I / / ~ / / IN ~pptppt!~'t~/AW~/cYVV~tY~r/~rI/p!/Af~i~/~~p/~I/~~/~~//~i/t~ft/~/pf ~~t!p~~//~i//pf///~~rlv~YtYl///Jf!fi~)v//r/~//~//p~~~lpp~~~'tj deve 1 ooment i moact fee orOQrams. cons i deri nQ the aooroori ate and time 1 v use of such funds. Threshold 1. The GMOC shall be provided with an annual fiscal impact report which provides an evaluation of the impacts of growth on the City, both in terms of operations and capital improvements. This report should evaluate actual growth over the previous 12-month period, as well as projected growth over the next 12-18 month period, and ~/~ 5 to 7 year period. 2. The GMOC shall be provided with an annual "development impact fee report," which provides an analysis of ~~p~p~# development imoact fees collected and exoended ~~t!p!ti///~~p///'r/~'~~'t~t~ over the ~~~'t previous 12-month period. #/Nffl/MI/ptpM##//rJtrNW/#+W/tM//t#'t J~/J~/~p~'t'(l/p~tlpp'/~~p/~/~/I~~t/p~tlppj Imolementation Measure Should the GMOC determine that a potentially serious problem exists with respect to the fiscal threshold standard. #p~p~!#' it may adopt a formal "Statement of Concern" within its annual report. Such a "Statement" requires the City Council to consider the adoption of a resolution reflecting that concern during the public hearing on the GMOC's report. WPC 9903P ,qe -, COUNCIL AGENDA STATEMENT Item 20 Meeting Date 11/5/91 ITEM TITLE: Public Hearing: Regarding Business License Tax Rates SUBMITTED BY: Director of Finan~tf Revenue Manager~. City Manage~ (4/5ths Vote Yes__ No-X) REVIEWED BY: On October 25, 1990, the City Council approved a business license tax increase to be phased in over a three year period starting with 1991. Table 1 shows the current business license tax rates and scheduled increases as approved by the Council in Ordinance No. 2408. The Council also approved a procedure for annual public hearings commencing with the 1992 rates. Today's public hearing offers Council the opportunity to review and discuss the second year of the scheduled three year increase in business license taxes and to receive comments from representatives of the business community. As noted in the City Manager's budget message, the FY 1991- 92 adopted City budget assumed implementation of the scheduled second year business license tax adjustment with a resulting $146,750 in additional revenue. RECOMMENDATION: That Council conduct the public hearing but take no action to abate (see option below) implementation of the scheduled (reference Table 1) business license tax rate increase to be effective January 1, 1992. option - In accordance with Ordinance 2408, Council is authorized, for no more than one calendar year, to lower or abate the scheduled business license tax rate, but to no less than the tax rate in the 1991 calendar year. BOARDS/COMMISSIONS RECOMMENDATION: Not Applicable DISCUSSION: Current Economv Although the current national economy would seem to argue against a business license tax increase, there is some evidence that the local business environment has weathered the recession much better than other cities across the State and in San Diego county. using sales tax revenue as one barometer, Chula vista's sales tax revenues have increased 'J.D -I PAGE 2, ITEM J.1J MEETING DATE 11/5/91 in spite of the national recession. In FY 1990-91 the City's sales tax revenues were $11,808,279 an increase of 8.2% over FY 1989-90. In terms of number of businesses, the City currently has 6,697 businesses on record versus 6,661 a year ago in October 1990. It is recognized that some parts of the economy have not fared as well, such as tourism and the city's Transient Occupancy Tax 1 revenue, but Chula vista's overall sales tax base seems relatively strong when compared with other cities and the problems they are facing because of the recession and decreasing sales tax revenues. So, in light of Council's policy decision last year to phase in the business license tax increase, staff's recommendation is consistent with that policy direction. On the other hand, if Council's evaluation of the impact of the economy on business is not as optimistic as the above description, and the following discussion, there is an option built into Ordinance 2408 for Council to set the rate at or in between the current rate and the second year increase. Summarv of 1990 Staff Reoort and Recommendations In June 1990 staff submitted a supplemental budget memo and report to Council (Attachment 1) providing a detailed review of the city's business license tax rates and revenues. This review was one of a number of steps being undertaken by staff to review and enhance the City's revenue base, especially with regards to funding to be used for general city services. The report showed that city business license tax revenues have lagged significantly behind inflation and have provided a declining level of support for general city services. It also found that the city of Chula vista's business license rates and revenues were substantially lower than other comparable cities state-wide and within San Diego county. After presenting the original report staff received input and feedback from various groups in the business community. The business community indicated a preference to retain the current rate structure rather than the alternate rate structure (gross receipts) proposed in the staff report. Based on these discussions, staff modified its recommendation to retain the current rate structure and phase in the rate increase over a two year period. The recommended rate was set at a level which would result in roughly equivalent revenue to that estimated under the proposed alternate rate structure. This recommendation was 1 As you will see in the following public hearing, an increase in the Transient Occupancy Tax is not being recommended. 7fJ . 1- PAGE 3, ITEM 1/) MEETING DATE 11/5/91 supported by the Chamber of Commerce and was presented to Council on October 16, 1990 for the first reading and October 25 for the second reading (Attachment 2). On October 25, 1990, Council passed the ordinance supported by the Chamber, with the modifications of extending the phase in period from two to three years and including a procedure for annual public hearings commencing with the 1992 rates. In 1990, when the report was written, general business license tax rates had not been increased since 1978. In 1954 the general business license tax rate was set at $12.50 plus $3 per employee. In 1978, 24 years later the basic rate was increased to $25 plus the same $3 per employee. During this same time period the Consumer Price Index (CPI) and the cost of providing general city services increased at a much higher rate. o Since November 1954 the CPI increased 386%, while the average cost for a Chula vista business license increased only 46%. From 1978 to 1989 the CPI increased by 121%, while the cost of an average business license did not increase at all. o In FY 1954-55 business license revenues supported 6.3% of the City's general operating budget. In FY 1978-79 support dropped to only 1.8%. By FY 1989-90 business license revenues supported less than 1% of general services. o Between FY 1954-55 and FY 1989-90 City expenditures for police services rose sharply, as seen by a 7,871% increase in the Police Department's budget. During this same period business license revenue rose only 817%. From FY 1978-79 to FY 1989-90 police expenditures rose 314%, with business license revenues increasing only 86%. The report also compared the City of Chula Vista's business license revenue and rates to that of other comparable size cities throughout the state (100,000-150,000 population in FY 1987-88) and larger cities (over 50,000 population in FY 1987-88) within San Diego County. The report looked at three comparison measures: 1) percentage of general fund revenues generated by business licenses, 2) business license revenue generated per capita, and 3) average cost of a business license for different size businesses. As detailed below, business license tax revenues in Chula vista were significantly lower than the comparison cities. These low revenues were primarily a result of the city's low business license rates. Ai> . '" PAGE 4, ITEM 2/) MEETING DATE 11/5/91 Percentaqe of General Fund Revenues A Ralph Anderson and Associates survey showed that business license revenues of California Charter cities averaged 5.8% of General Fund revenues in FY 1987-88. In FY 1987-88 Chula vistas business license revenues represented only 1.29% of general revenues, tenth lowest among the 78 charter cities. By FY 1988-89 Chula vista's business license revenues had declined further, representing only 0.9% of general revenues. According to the survey, only 11% of all California cities received less than 1% of their general revenue from business licenses. Per Capita Chula vista's business license revenues were also low when compared on a per capita basis. Among the 18 similar sized cities in California, Chula vista generated the second lowest business license revenue per capita. Chula vista's business license revenues were also low compared to other San Diego County cities. Among the ten cities within the County with populations of 50,000 or more (as of FY 1987-88) Chula vista received the second lowest business license revenue per capita. Averaqe Cost of a Business License The report also reviewed business license rate structures employed by comparison cities and compared the average cost of a license for various sized businesses. Since the majority of cities used gross receipts rather than the employee-based rate structure used by Chula Vista, an analysis was conducted to estimate the average number of employees for various levels of gross receipts. Rate comparisons were made for five retail business categories, based on a range of gross receipts or equivalent number of employees, based on each jurisdictions business license rate schedule. This comparison found that Chula vista's business license rates were among the lowest among similar-sized cities throughout California as well as cities within San Diego County. On the state wide level Chula vista's rates were second lowest among the 18 state-wide comparison cities, and third lowest among the ten San Diego County comparison cities. For example, for a business with gross receipts of $100,000- $200,000 (5.5 employees) the cost of a business license ranged for $20 to $311 among the state-wide comparison cities and from $25 to $111 among the County comparison cities. Chula vista's average rate of $42 was only 33% ~-i/ PAGE 5, ITEM ;U; MEETING DATE 11/5/91 of the average rate of $127 charged by state-wide comparison cities and 63% of the average rate of $67 charged by County comparison cities. As a business' gross receipts and number of employees increased, Chula vista's rates were progressively lower when compared to other cities. Rate structure The report also examined Chula vista's business license rate structure. For general businesses, Chula vista's rate schedule charges a basic flat rate for all businesses of a given type and an additional variable rate based on the number of employees. A review of comparison cities' business license rate structures indicated that 14 of 17 comparison cities in California and five of nine comparison cities in San Diego County had rate structures based solely or primarily on gross receipts. A review of various rate structure alternatives led staff to believe that a gross receipt-based rate structure was more preferable than an employee-based rate structure. Gross receipts based rates are self adjusting for inflation, and thus will generally result in revenues remaining proportional to city expenses over time. Gross receipts- based rate structures are also more sensitive to an individual business' economic condition, since each year's rate mirrors the individual business' annual performance. Based on the aforementioned analyses and comparisons, last year's staff report presented two major recommendations: 1) Business license rates in the City of Chula vista should be raised to be more comparable with past years support of general fund services and more comparable with rates of other San Diego County cities; and 2) Chula vista's rate structure should be altered to be gross receipts-based rather than employee-based. After presenting the initial report staff received input from various groups in the business community concerning the recommendations contained in the report, specifically a change to a gross receipts based tax. After meeting with the business community, although there were mixed opinions, the predominant opinion was to retain the per employee rate structure due to privacy concerns. In response to these concerns staff revised the recommendation in the initial report to: o Retain the existing employee-based rate structure, adjusting it to generate approximately equivalent revenue that would have been received under the initially proposed gross receipts rate structure. In conjunction with this change, rates for professionals and manufacturers were raised proportionally to the existing rate structure. f.D -s PAGE 6, ITEM ;2t1 MEETING DATE 11/5/91 o Phase in the increase over a two year period. o Delay any inflationary increases until the third year. o Provide a lower flat rate for new small (5 or fewer employees) businesses during their first year of operation. o Established a maximum annual business license tax to be paid by any single business. Adoption of Existinq Business License Ordinance On October 16 (first reading) and October 25, 1990 (second reading) Council was presented with six options for increasing the business license rates, with staff recommending the option outlined above which was endorsed by the Chamber of Commerce Executive Board (Attachment 2). On October 25, 1990 Council passed option E of Ordinance 2408. The rate increases provided for by this ordinance are shown in Table 1. Major ordinance provisions included: o A three year, rather than two year, phase in of the recommended increase, with 50% of the increase occurring in 1991, 75% of the increase occurring in 1992, and 100% of the increase occurring in 1993. o A lower, fixed first year rate for new small businesses (5 or fewer employees) . o A six percent annual growth rate in 1994 and thereafter. o Annual abatement hearing procedures are provided, commencing for the 1992 rates at which time Council may set lower rates, with the 1991 rates being the floor. o setting a maximum tax that any single business would have to pay in a calendar year. Maximum amount is $7,000 in 1991 and $12,000 in 1992. Current Status of Business License Revenues and Rates Allowing the business license rates to increase as shown on Table 1, would enable the City to meet the revenue estimates included in the current budget. The scheduled increase would also bring business license revenues more in line with what they were in previous years (as a percentage of total general fund revenues) and in comparison with other comparable cities. ~.~ PAGE 7, ITEM MEETING DATE ~ 11/5/91 Increasing the business license tax to the scheduled 1992 rates would bring business license revenue almost up to the level they were in 1979, in terms of support provided to general city services. As mentioned earlier business license revenues supported 6.3% of the City's general operating budget in FY 1954-55. By 1978-79 the level of support had dropped to 1.8%. By FY 1989-90 business license revenues supported less than 1% of the City's general operating budget. In FY 1987-88 the average level of support among California charter cities was 5.8%. The initial rate increase in FY 1990-91 brought the level of support up to 1.4%. If the scheduled increase is implemented the level of support will reach 1.7%, a bit lower than 1978 levels. During the time between June 1990 when the original staff report on the business license tax was submitted and now, other cities used for comparison in the report have also increased their rates further. Table 2 shows a comparison between Chula vista's current rates, scheduled rates, and other County cities' rates for general businesses as of January 1992. Since June of 1990 all of the comparison cities have maintained the same rate, with the exception of the city of San Diego which has increased their rate substantially. As seen in Table 2, the Chula vista's scheduled rate increase will place Chula vista's rates near the average in San Diego county. Table 3 shows Chula vista's current and scheduled business license rates in comparison to the rates charged by comparable-sized cities in California. Since the report was written in 1990, 8 of the 17 comparison cities have raised their business license rates. Both the current and scheduled 1992 rates for Chula Vista are substantially below the average rates in similar size cities in California. ~O.r PAGE 8, ITEM 2tJ MEETING DATE 11/5/91 ImDact of 1992 Rate Increase on Businesses Below are examples of different types of businesses and a demonstration of the impact of the scheduled 1992 business license tax rate increase: Business TVDe 1. Small retail business with fixed location and 5 employees 2. Department store with 150 employees 3. Professional (physician, attorney, etc.) 4. Manufacturing firm with 150 employees 5. Categories with no change in business license tax rate include: Business License Tax 1991 1992 $85.00 $127.75 $1027.50 $1541. 50 $105.00 $155.00 $540.00 $814.00 - Rental businesses - apartments, motels - Special events - circus, concert, carnival - Public dances - Pawn Brokers - Peddlers - Trailer Parks - Vending Machines FISCAL IMPACT: As pointed out in the city Manager's FY 1991-92 budget message, the scheduled rate increase is expected to generate additional business license revenues in the amount of $146,750. This revenue has been included in the current budget's revenue estimates. An action to abate the increase would result in an estimated revenue reduction of $146,750 in the current fiscal year. 'J..() ~ 2 PAGE 9, ITEM 1-0 MEETING DATE 11/5/91 Listinq of Tables and Attachments Table 1 - Master Tax Schedule indicating a 3 year phase in of rate increase Table 2 - Comparison of proposed Chula vista business license rates with other San Diego County cities as of November 1991 Table 3 - Comparison of proposed Chula vista business license rates with other California cities as of November 1991 Attachment 1 - Report of Chula vista's Business License Tax - June 11, 1990 Attachment 2 - October 25, 1990 Report to Council regarding business license tax and presenting six ordinance options for tax increase. , t~LJYV ~"j .lY~ "L~ ):Y t;) tf ,I' J f.1'/'/ i,'\ Y-fJ }J;,.t / l' ,. )./ ",' I f)..i '.'1 ,,( f ,LV l\ I" (}, C>('~ . "A !}' d , \ vT: i;::'" . '~i' , ?\ " iL t:' '- ~ . , " \'\ ,/-IJ-&J ~ "" .... o .... Cll "" .. '" ~ .... <<l ,.., '" ~ ~ ~ l .ll ! ~ ~ .. ~ l lil " :;i ..; ~ '" ~ . '" ;:: . ii. .. .l!Sl ... =.::: ..... .. e ~ > ~ ~ !. ~ - ~ . '" ... N . ii. .. U ... 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" , '(j Z 8 ; c c" '5 .... ~ o :: ~ .. .. 0 o .. ~ ! = i! ,- LA. ~ ~ . . . r------ I ..1 AN INVESTMENT IN THE FUTURE BOARD OF DIRECTORS President Jim Biddie President Elect Mike Green Vice Presidents: Truman Brooks Pat Cavanaugh Nanette Myers Chuck Peter Members: Russ Bullen Rod Davis Sarah Even Diane Flint Mike Maslak Scott McMillin Dave Michelson Tom Mlcheili Ben Richardson Norm Richins Jo Sanzone Linda Soucy Mary Anne Stro John Vugrin Past President Larry Cunningham Chief Executive Officer Donald R. Read CHULA VISTA CHAMBER OF COMMERCE November 4, 1991 Honorable Chula Vista Mayor Tim Nader City Council Members 276 Fourth Avenue Chula Vista, CA 91910 "'.' "'.'~ Ii! riU f~ n v." p..? ,--\ ~.I n ISJ l!J ~ u d t.::! ~ .. " I' r ..-.-....-, Ii "u I <. H , ',!i :. '[I ~ ! ;' , '" - 5 1991 'i lULll .... t.',. , ~ L~ , cr::, Dear City Council: The Chula Vista Chamber of Commerce is ~ concerned about your plans to implement phase two of your three-phase business license increase plan. We believe that now, due to the state of our economy, is not the time to increase fees. We support the quality of life in our city and we know there are high financial responsibilities in running the city, but we must be realistic about adding any new financial burdens on our businesses at this time. Join with the Chula Vista Chamber of Commerce and show your support for our businesses by deferring any increases for one year or until economic indicators show improvements. The Chula Vista Chamber of Commerce is always willing to work with the city to improve its financial well-being. Please feel free to contact us if we can be of assistance. Sincerely yours, /L~ t tS.t/!e df~es E. Biddle President, Chula Vista Chamber of Commerce JEB:ce 2 3 3 F 0 U A T H A V E N U E . C H II L A V 1ST A, C A L I FOR N I A 9 1 9 1 0 . TEL (6 1 9) 4 2 0 - 6 6 0 3 d-() ~ ) 7 File No. PUBLIC HEARING CHECK LIST CI1Y COUNCIL PUBLIC HEARING DATE_W~ SUBJECT ..k~..:.c.J ()~h "~ "t- LOCATION ~ .s l'1ctl J ~~ .:..- g,.....:..~, ,-I~ ~ SENT TO STAR NEWS FOR PUBLICATION.. BY FAX ~; BY HAND_; BY MAIL PUBLICATION DATE Oili\U^- ~~ '" 3D MAILED NOTICES TO PROPER1Y OWNERS - NO. MAILED PER GC 54992 legislative Staff, Construction Industry Fed, 6336 Greenwich Dr Suite F. San Diego, 92122 LOGGED IN AGENDA BOOK () cQ, llwL.. I '5 \ \ qq I COPIES TO: Administration (4) Planning / / Originating Department Engineering /~ Others City Clerk's Office (2) ./ POST ON BULLETIN BOARDS () itS /.o.L.- 2.. , I q <1 ( SPECIAL INSTRUCTIONS: ( .58. /J 0 - :;rlJ INTEROFFICE MEMORANDUM DATE: October 17, 1991 TO: Beverly Authe1et, City Clerk Lyman ChristoPhe;t~Director of Finance FROM: SUBJECT: NOTICE OF PUBLIC HEARING RE TRANSIENT OCCUPANCY TAX Please have the attached Notice of Public Hearing published in the star News on October 23, and October 30, 1991. Please call me if you have any questions. Thank you. LCleb Attachment ~o -~r NOTICE OF PUBLIC HEARING BY THE CITY COUNCIL OF CHULA VISTA, CALIFORNIA Notice is hereby given that a Public Hearing will be held by the City Council of Chula Vista, California, for the purpose of considering maintaining the Transient Occupancy Tax at a rate of 8%. SAID PUBLIC HEARING WILL BE HELD BY THE CITY COUNCIL on Tuesday, November 5, 1991 at 4:00 p.m. in the Council Chambers, Public Services Building, 276 Fourth Avenue, at which time any person desiring to be heard may appear. DATED: October 23, 1991 Lyman Christopher Director of Finance Chula vista dO-J)~ INTEROFFICE MEMORANDUM DATE: October 17, 1991 TO: Beverly Authelet, City Clerk Lyman ChristoPhe~Jbirector of Finance FROM: SUBJECT: NOTICE OF PUBLIC HEARING RE BUSINESS LICENSE TAX Please have the attached Notice of Public Hearing published in the star News on October 23, and October 30, 1991. Please call me if you have any questions. Thank you. LCjeb Attachment 620-;1.3 NOTICE OF PUBLIC HEARING BY THE CITY COUNCIL OF CHULA VISTA, CALIFORNIA Notice is hereby given that a Public Hearing will be held by the City Council of Chula vista, California, for the purpose of deliberating and discussing the scheduled increase in Business License Taxes to be effective January 1, 1992. This is the second year of a three year phase-in of an increase in business license taxes. SAID PUBLIC HEARING WILL BE HELD BY THE CITY COUNCIL on Tuesday, November 5, 1991 at 4:00 p.m. in the Council Chambers, Public Services Building, 276 Fourth Avenue, at which time any person desiring to be heard may appear. DATED: October 23, 1991 Lyman Christopher Director of Finance Chula vista /J, '11 I (\0 -r./T ITEM NUMBER: ~!10 RESOLUTION NUMBER: ORDINANCE NUMBER: OTHER:---RufJ it t. II JIlItI1I r;. ITEM NUMBER REFERENCED ABOVE WAS CONTINUED FROM DATE: (AGENDA PACKET SCANNED AT ABOVE DATE) ITEM NUMBER REFERENCED ABOVE HAS BEEN CONTINUED TO DATE: MISCELLANEOUS INFORMATION: RE.~ORT" O,.} eUIILA V,Srll'S BUSINGS S LltENSE- T~ CAN BE ~EAJ} IN MANftG,J;.~AJr S:E~"Ie.E"S bsPT. COUNCIL AGENDA STATEMENT Item ~} Meeting Date 11/05/91 Public Hearing for the Purpose of considering Abatement of the Transient Occupancy Tax Resolution II#~O~ Approving Abatement of the Transient Occupancy Tax From a Rate of Ten Percent to Eight Percent for Calendar Year 1992 SUBMITTED BY: Director of Finance "'I REVIEWED BY: City Manage~ (4/5THS Vote: Yes___No-X-) At its meeting of October 25, 1990, the city Council adopted Ordinance No. 2407, Option 1, amending the Municipal Code regarding Transient Occupancy Tax (TOT) by establishing a maximum TOT rate of ten percent and providing for annual abatement hearings at which time the maximum tax could be lowered. ITEM TITLE: At its meeting of November 20, 1990, the city Council held the first abatement hearing and set a TOT rate of eight percent for calendar year 1991, the same rate it has been since 1978. The purpose of tonight's action is to hold the second annual abatement hearing and to consider reduction of the TOT rate from ten percent to eight percent. RECOMMENDATION: That Council adopt the Resolution maintaining the TOT rate at eight percent. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: As highlighted in the City Manager's FY 1991-92 Budget presentation, the structure of municipal revenue is an increaslng problem for Chula vista and all other cities. While the property tax and sales tax revenues normally increase at a rate reflecting economic activity in the community, a number of other revenue sources are either "flat" or actually decrease. Accordingly, the City's overall revenue base does not keep up with the expenditures, resulting in a constant search for ways of providing services more efficiently and less costly, as well as ways to increase revenues. The City has come to rely to some extent on one time windfall revenues, or on going revenues from special funds to pay for general city operations. In order to address the structural insufficiency in the municipal revenue base, the City has made efforts in the past two years to identify additional revenue 2/'} Page 2, Item t.J Meeting Date 11/05/91 possibilities, as well as taking steps to make overall operations more efficient. One outgrowth of these efforts was to bring the business license tax rates more in line with other cities through a three year phase-in of rate increases. The City Council also agreed last year to increase the Transient Occupancy Tax from eight percent to ten percent, but held the increase in abeyance given the economic situation at the time, with the idea that an economic recovery might warrant an increase in TOT this year. Unfortunately, the current economic environment has even worsened from last year. There is some indication that the motel occupancy rate has declined over the past several months because of the recession and overbuilding in San Diego. In FY 1990-91, the City's actual TOT revenue declined (slightly) for the second year in a row. Many economists are now predicting California to begin pulling out of the recession in late 1992. During the FY 1991-92 budget process, staff indicated that consideration should be given to 1ncreasing the TOT rate to coincide with the America's Cup Event which is January through June 1992. In light of the above discussion of the current economy and because it appears that the America's Cup will not be the economic boon previously anticipated, staff is recommending that the TOT be maintained at its current rate of eight percent. FISCAL IMPACT: By keeping the current TOT rate, the ci ty' s TOT revenue is anticipated to be approximately $1.2 million which is about the same as last fiscal year. 2./ -2.. RESOLUTION NO. 1~'1()~ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING ABATEMENT OF THE TRANSIENT OCCUPANCY TAX FROM A RATE OF TEN PERCENT TO EIGHT PERCENT FOR CALENDAR YEAR 1992 The City Council of the city of Chula vista does hereby resolve as follows: WHEREAS, at its meeting of October 25, 1990, the City Council adopted ordinance No. 2407, Option 1, amending the Municipal code regarding Transient Occupancy Tax (TOT) by establishing a maximum TOT rate of ten percent and providing for annual abatement hearings at which time the maximum tax could be lowered; and WHEREAS, at its meeting of November 20, 1990, the City Council held the first abatement hearing and set a TOT rate of eight percent for calendar 1991, the same rate it has been since 1978; and WHEREAS, the City Council, at a public hearing held on November 5, 1991, considered the reduction of the TOT rate from ten percent to eight percent and voted to maintain the TOT rate as eight percent. NOW, THEREFORE, BE IT RESOLVED that the city Council of the City of Chula vista does hereby approve abatement of the Transient Occupancy Tax from a rate of ten percent to eight percent for calendar year 1991. Presented by Lyman Christopher, Director of Finance c: \RS\8% TOT 2/-3 St'tnDie 0 Ji Metro KOA' W1PBRDUIID Chula Vist a City Council November 5,1991 276 Fourth Ave. Chula Vista,CA 91910 Re: AI; ENDA ITEM 21 Abatement of the Transient Occupancy Tax Honorable Mayor and Council Members. I am writing this letter in support of staff recomendations to keep the T.O.Tax rate at 8 %. I would be speaking to you in person but prior family plans prevent me from being here. There arc 3 main reasons why we feel the T,O,Tax should remain at 8 %. First, the tax is a percentage of revenue. As room or campsite revenues increase. the tax revenue increases, While it is true that the tax rate hasn't increased in many years. revenue from the tax has increased substantially and will continue to keep pace as rates and the number of room or campsites increases, Second, I think that the council has a duty to treat a tax of this nature in a very conservative and responsible manner since those who are being taxed have no say in electing the decision makers, thus violating one of the principles our country was created on. Third, from a campground / RV park perspective we compete for business both locally and nationally. Campers are very price consious and simply vote with their feet when prices are percieved as being to high, Most people don't complain when the T,O,Tax rate is at or near the Sales Tax rates for other goods and services in the area. They would be justified in feeling they aro being forced to pay a disporportinate share of the load with a 10 % tax rate. A high rate coupled with generally higher campsite rates in the San Diego area will only discourage people from staying or returning. We belive that the City Staff's recomendation is prudent for the long term outlook and hope you will agree to leave the T,O.Tax at 8 %. Sincerely, ~el~es. San Diego KOA Campground \11 North Second Avenue' Chula Vista, CA 91910-1198 . 16191427-3601 . 1.800.762.K,IMP --rl~ j 7- .2/-;:- COUNCIL AGENDA STATEMENT Item ZZ Meeting Date 11105/91 ITEM TITLE Report -- Police Initiated Vehicle Tows; review of appropriate number of tow companies to retain under contract at conclusion of existing three year agreements. SUBMITTED BY Acting Chief of pOlicey City Manager j~(, (4/5ths Vote: Yes_NoX) Referral No. 2129 REVIEWED BY Currently the City contracts with five companies to provide Police initiated vehicle tows: Anthony's, Arnold's, Glenview, Paxton and South Bay. These towing services are provided under separate but identical three year agreements executed in October, 1989. At it's meeting of March 28, 1989, Council directed the Police Chief to hold these companies to improved response time, upgraded equipment, directed abandoned vehicle abatement and performance standards; and, to drop from this towing referral list any companies unable or unwilling to meet these new standards. The Chiefreturned to Council on June 13, 1989, with a report indicating that all five companies had, some at significant expense, agreed to meet the new standards, and, that the Department would ensure their compliance with the amended standards. Council last visited this issue in September, 1990, in response to a written communication requesting that the towing referral list be expanded. On September 18, 1990, Council approved two staff recommendations: one) that no additional tow companies be added to the list at that time; and, two) that the issue be reviewed again prior to expiration of the current operating agreements. This agenda item is intended to provide Council with such a review. RECOMMENDATION: Upon expiration of the current operating agreements, continue to retain five (5) tow companies. BOARDS/COMMISSIONS RECOMMENDATION: Not Applicable DISCUSSION: This review will focus primarily on three issues: the purpose of a such a program; issues inherent in expanding and (if necessary at a later date) reducing the number of companies on the referral list; and, general staff concerns. ~Z-J Page 2 Item 2 Z MPf'lillg Date 11/05/91 The purpose for having a towing referral list is to provide fast, efficient emergency and abandoned vehicle tow services on an as-needed basis. Long response times to emergency tow requests adversely impact Police Officer's ability to return to active duty. Emergency referrals include accidents, arrests and other calls for service where vehicles are involved and are, for any number of reasons, unable to be moved to the appropriate location without Police intervention. Each company on the referral list is granted an approximately equal share of the emergency referrals each month through a first called rotation. During a typical month, each company is at the top of the list for six days. Additionally, each company has agreed to provide up to ten abandoned vehicle abatements per day for each day they are first up on the referral list ( each company is first up appoximately six days per month). Abandoned vehicles can be identified by Police Officers, Code Enforcement Officers of the Building and Housing Department or citizens. In any case, these five companies abate abandoned vehicles at no cost to the City as part of the towing program. Expanding and reducing the referral list presents several issues. Initially, the number of companies which can provide the services and still make a reasonable profit must be estimated. If too few companies are employed, City initiated tow business is not appropriately distributed and profit is high. Should too many firms be retained, the City's business is not profitable to any of the firms and quality of service inevitably suffers. Staff must also identify the method to be used in evaluating a tow company's ability to provide the services required. In the present case, companies on the previous referral list were asked to meet enhanced minimum qualifications (most incurring significant costs to do so). A Request for Proposal methodology has also been used successfully by other jurisdictions in the County. Additionally, contingencies must be provided in case the number of Police initiated tows falls below that previously identified level where all firms can continue to profitably provide the required services. Determining the method to eliminate firms from the list is problematic. For example, what decrease in Police initiated tows triggers a list reduction (that previously identified level or something below it) and what technique is used to determine which, and in what order, companies are eliminated from the rotation (first in/first out, last in/first out or random)? While firms might drop out of their own volition, this strategy would benefit larger, or more established, operations better able to absorb business segment operating losses. As stated in previous communications on this subject, the Police Department's main concern is that tow companies provide quality service for our officers and citizens. Staff is not convinced that adding additional tow companies would enhance the quality of tow services. Response times have been, in the main, within contractual guidelines, and, while there have been occasional complaints regarding each of the companies, performance continues to be satisfactory. Staff is sensitive to businesses, especially those owned by Chula Vista residents, which would like to be included on the referral list, however, the number of Police initiated tows has been relatively constant over the past three years: tz - z. Page 3 Item ~2.. Meeting Date 11/05/91 ~ 1989 1990 1991 (estimated) Police Initiated Tows 3698 3573 3625 Companies currently under contract have averaged approximately 726 tows per year (or 60 per month) over the past three years. Adding a sixth company would reduce that average 17.4% to about 600 per year. Without a significant increase in the number of Police initiated tows, and in the absence of any other quality/performance issues, Staff does not believe that a recommendation to increase the number of companies on the towing referral list is indicated. FISCAL IMPACT: None 22 -..3 " ATTACHMENT . COUNCIL AGENDA STATEMENT Item Meeting Date 9/].8./90 ITEM TITLE: Report Police Pros and Cons of expanding the Emergency Referral Towing list. SUBMITTED BY: Chief of ~aw REVIEWED BY: City Manager (4/5ths Vote: Yes NoXX) Referral I 2106-- -- At the August 28,1990 Council meeting the Council received a written communication from Mr. Casey Jones requesting tha~ he be added to the existing Police Emergency Towing Referral list. Staff was directed by Council to research the issue and present the pros and cons of adding additional tow companies to th~ emergency tow referral list. RECOMMENDATION: Do not add any additional tow companies at this time, however recommend reviewing this issue when the existing agreements expire in October of 1992. / BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: In October of 1989 the entered into an operating tow companies who were on These companies include: Paxton's and SQut~ Bay. As part of this new contract each company was required to enhance the level of service provided in Chula Vista. This enhancement included the requirement to have four (4) tow trucks of varying kinds, increased levels of insurance, as well as specific types of equipment to be carried on each truck. City Council, by resolution, agreement with each of the five the referral list at that time. Anthony's, Arnold's, Glenview, In order to meet these qualifications each of the companies invested in new equipment and insurance personal cost averaging around $35,000 each. This was with the anticipation of receiving 20% of the referrals for lhe nex~.~ years. . The Police department assigned each of the five (5) traffic officers to a five at a done tow has tow \ ~'J. -5 company to monitor each company and conduct periodic inspections. To date the Department is satisfied with the quality of service provided by all five companies. While the Department recognizes the merit of helping a Chula Vista resident to start his own business, in this circumstance we do not believe that there is sufficient information indicating that a change in the current status of the tow list would be of benefit to the City. Council also requested clarification of the ownership and the primary business location of the existing 5 tow companies. As you will note in this chart the existing five companies all operate in Chula Vista and are owned and operated by Chula Vista or Bonita residents, except in one case. Yrs in CV Primary Owners Comments Business Residence . Location Location 25 Yes Bonita WBE (1) 54 Yes Bonita (2 ) 4 No El Cajon (3 ) 54 Yes Bonita 21 Yes Chula Vista (4 ) Company Anthony's Arnold's Glenview Paxton's South Bay 1) WBE stands for Woman owned Business Enterprise 2) Arnold's is legally owned by son-in-law of founder who is currently working out of state. The business is being operated by the daughter of the founder. 3) Primary location is in Spring Valley, with branches in El Cajon and Chula Vista 4) Owner started a second tow company (Rancho) in last few years which operates in poway and Miramar As a note, each of these companies tows for Chula Vista six. days per month, and picks up abandoned vehicles one days per week. PROS AND CONS OF ADDING ADDITIONAL TOW COMPANIES Pros * Additional tow companies will have an opportunity to participate in the emergency towing service. Cons * The City negotiated in good faith with the existing five companies and has indicated that they will be the providers of tow service until October of 1992. * Adding one or more additional tow companies will not \ JJ.-~ improve the quality of the emergency towing service in Chula Vista. * Adding any additional tow companies will reduce the amount of revenue each tow company receives. With the goal of providing the best service to Chula Vista we believe that further dividing of the "revenue pie" would tend to reduce the responsiveness of the tow companies to the requests of the City. * Additional staff time would monitor the additional tow complaints. be required to inspect and companies and investigate If Council elects to add any additional tow companies, this can be accomplished by Council Resolution. The five existing companies were selected by Council Resolution and the City Attorney has advised staff that there is no legal restriction to increasing the number of tow companies on the referral lis1:. If an I!!~islull is made to the referral list, staff recommends that), the selection be made through the RFP process. d~~ Currently staff has a waiting list of six (6) tow companies in addition to Mr. Jones, who are interested in the towing rotation. The list includes: Comoany Primary Business Location MBE/WBE Ecology Aloha Platt A to Z Towing Rhodeway J C Towing / Santa Fe Springs, CA Chula Vista Chula Vista Clairmont Mesa (2) Chula Vista Chula Vista NO MBE (1) NO NO NO WBE (3) 1) MBE stands for Minority owned Business Enterprise 2) Has a branch in Chula Vista 3) WBE stands for Woman owned Business Enterprise In summary, staff recommends five company rotation until terminate in October of 1992. that the City maintain the the current agreements Attached for information is from June 13, 1989 which company referral list. FISCAL IMPACT: None with this action the Council Agenda Statement established the current tow \ 22. -, COUNCIL AGENDA STATEMENT I tell Meeting Date 6/13/89 ITEM TITLE: a) Ordinance Amending Section 5.58 of the Municipal Code relating to regulation of tow companies SUBMImD BY: b) Resolution Authorizing the Director of Public Safety to enter into a 3-year agreement for Police requested towing service with the five existing companies on the tow referral list . 11W Director of PUbli~~~fety (4/Sths Yote: Yes_No...!J Council Referral #1476 At the March 28, 1989, City Council meeting, Council was presented with a report recommending the revision of the process with which tow companies are selected. That report recommended initiating an RFP process to select the three most qual ified. tow companies, in addition to making the qual ifications more stringent. Council directed staff to return with an amended ordinance requiring higher standards and to keep the existing five companies rather than going to a RFP process. REVIEWED BY: City Manager REClMENDATION: 1. Place on first reading. 2. Adopt the resolution. BOARDS/ClMlISSIQNS REClMlENDATION: Not applicable. DISCUSSION: The existing policy for Police-initiated tows allows any tow cOlIIDany meeting the minimum qualifications to be placed on the active list at any time. Each company is then granted thei r equal share of emergency referral s for a specific number of days each month. The resulting effect on the tow companies when a new company is added is a reduction in the "'Jaber of days per month that the tow company gets referral s. For tow companies that rely to a great extent on police business, each additional tow company added to the list means a reduction in their business and profits. The Police Department's main concern is that the tow companies provide quality service for our officers and citizens. If a tow company consistently has long response times, this affects the Ponce Officer's ability to return to active patrol, since they must wait for the tow truck to arrive to clean up an area after an accident. In addition, a driver with limited understanding of their equipment can mean additional damage to a citizen's vehicle. ~~-q , --- --~ Page 2. It.. Meeting Date &113/89 Proposed High Qualifications Requirements By implementing the fOllowing higher standards and hOlding the tow cOlllllanies accountable for maintaining those standards, the department believes that the service provided will also improve. The existing five tow companies recommended implementing the higher standards and have agreed to the proposed changes listed below. The higher qualifications proposed for the new agreement are basically an enhancement of the existing min111lU111 qualifications- found in the existing agreement. The following are the major proposed revisions to the current agreement: 1. Response Time Current Agreement 20 minute response time Proposed Agreement 20 minute average response time not to exceed 40 minutes. Tow companies to illlllediately notify police dispatch if they will not arrive within the 20 minute response, tow companies will give a revised E. T .A. or recommend calling another company if response will be delayed beyond 40 minutes. 2. Equipment Requirement Current Agreement Two twin boom trucks, 10.000 gross vehicle weight (GVW) with dual rear wheels. Proposed Agreement The following four (4) trucks are required as a minimum: 1 wheel lift - 14500 GYW 1 roll-back - 14500 GVII 1 twin cable/boOlll - 1 ton or above 1 ~draulic bOOM - 1 ton or above 3. Winch Current AgreeMent - - To be power driven by power take-off from transmission equipment power-up and power-down. Proposed Agreement To be power-driven in either direction and equipped with an adequate braking System. '-1.. -II) Page 3~ Iu. Meeting Date6'1l3/89 4. Positive Citizen/Police Relations Current Agreement None Proposed Agreement Good reputation for dealing with the public. Tow company may be removed from the active list IS a result of excessive citizen and/or police complaints. 5. Abandoned Vehicles Current Agreement The on-duty tow company will tow at least five abandoned vehicles each day (Monday through Friday 8:00 a.m. to 5:00 p.m.) at no cost to the City. Ordinance Amendments Chapter 5.58 of the Municipal Code rel ated to tow trucks is proposed to be amended. The changes include: Proposed Agreement The on-duty tow company will tow up to ten abandoned vehicles each day (Monday through Friday 8:00 a.m. to 5:00 p.m.) at no cost to the City. Section 5.58.030 Regulations Generally. Cl ar1fication of language and removing the liability for damages issue which will be addressed in new Section 5.58.075. Section 5.58.070 Insurance Required. Section 5.58.080 Bond Required. Both sections are recommended to be deleted from the Code. Since the requirement levels for bonds and insurance fluctuate, it is more appropn ate to refer to these requi rements in the contract that they may be easily revised as necessary. Section 5.58.075 Indemnification and Hold Harmless, Insurance, and Bond Requirements Any agreement to provide tow service shall include a hold harmless clause and bond and insurance requirements IS required by City Risk Manager and City Attorney. Recommendation The Department will evaluate the existing five companies to insure that they meet the proposed requirement. Should any of the five fail to meet these new standards we will not enter into an agreement with them. In order to select a 7Z' I' Page 4~ Iu. Meeting Date fl/13/119 replacement company we will notify all licensed tow companies in San Diego County. In fact. we currently have a list of cOlllpanies who have expressed interest in the contract who appear to meet the qualifications. The Police Department would evaluate any appl icants to determine the most qualified replacements. The final five companies selected will be subject to stricter qualifications and will be closely monitored to ensure that they continue to meet the terms of their contract. The Department believes that by impll!111enting the proposed chanqes in this program. the result w111 be more efficient and effective tow service for the police officers and the citizens. FISCAL III'ACT: No change is recommended for the current tow rate fee schedule. In the past. changes in the rates have been made only after staff has analyzed requests from the tow companies and presented a recommendation to the Council. WPC 0137N ~~ -/2.. - ~- ~--* 0" .' COUNCIL AGENDA STATEMENT Item 19a, b Meeting Date 3/28/89 ITEM TITLE: a) Ordinance ,Gmending Section 5.58 of the Municipal Code relating to regulation of tow companies b) Resolution Approving distribution on an RFP to select tow companies for Police requested towing service and authorizing the Director of Public Safety to evaluate the proposals Di rector of Pub 1 ~faV/ety Ci ty Manager 0 '" ~ (4/5ths Vote: Yes No xx) -- SUBMImD BY: REVIEWED BY: As a result of an increasing number of tow companies wanting to be added to the Police Department's tow list, the department is recommending a two-fold revision to the existing selection process. First, we are recommending ,a change from the minimum qualifications stated in the current tow agreement to requiring higher qualification standards. Second, we are recommending ~a Request for Proposal (RFP), see Attachment A, process to sel ect t~e three (3) most qualified tow companies, and to enter into a long-term agreement with these companies for referral service. RECOffIIENDATI ON : 1. Place on first reading. 2. Adopt the resolution. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: The existing policy for Police-initiated tows allows any tow company meeting the minimum qualifications to be placed on the active list at any time. Each company is then granted their equal share of emergency referrals for a specific number of days each month. The resulting effect on the tow companies when a new cOlllJlany is added is a reducti on in fhe number of days per month that the tow company gets referrals. For tow companies that rely to a great extent on police business, each additional tow company added to the list means a reduction in their business and profits. The Police Department's main concern is that the tow companies provide quality service for our officers and citizens. If a tow company consistently has long response times, this affects the Pol ice Offi cer' s abi1i ty to return to acti ve patrol, si nce they must wait for the tow truck to arri ve to cl ean up i1n a rea after an accident. In addition, a driver with limited understanding of their equipment can mean additional damage to a citizen's vehicle. / ~z- 13 Page 2, IteR 19a, b Meeting Date 3/28/89 ) Proposed Hi gh Qua1i fi cati ons Requi rements By implementing the following higher standards and holding the tow companies accountable for maintaining those standards, the department believes that the servi ce provi ded will a1 so improve. The tow compani es recommended impl ementing the higher standards and have agr 'to the proposed changes -1 isted below. . The higher qualifications proposed for the new agreement are basically an enhancement of the existing minimum qualifications found in the existing agreement. The following are the major proposed revisions to the current agreement: 1. Response Time Current Agreement 20 minute response time Proposed Agreement 20 minute average response tiqe not to exceed 40 minutes. TQW companies to immediately noti fy po11 ce dispatch if they will not arrive within the' 20 minute response, tow companies will give a revised E. T.A. or recommend calling another company if response will be delayed beyond 40 minutes. 2. Equipment Requirement Current Agreement Two twin boom trucks, 10,000 gross vehicle weight (GVW) with dual rear wheels. Proposed Agreement All trucks to be at 1 eas tone ton capacity dual rear wheels. Each company shall have a minimum of the following capabilities: wheel 11 ft truck hydraulic boom roll-back truck twi n boom truck 3. Winch Current Agreement To be power driven by power take-off from transmission equipment power-up and power-down. Proposed Agreement To be power-driven in either direction and equipped with an adequate braking system. '-;.. -/~ . ~,. }.' " ---'" Page 3, Item 19a. b Meeting Date J/ZB/B9 4. Positive Citizen/Police Relations Current Agreement None Proposed Agreement Good reputation for dealing with the public. Tow company may be removed from the acti ve 1 ist as a result of excessive citizen and/or police complaints. 5. Abandoned Vehicles Current Agreement The on-duty tow company will tow at least five abandoned vehicles each day (Monday through Friday 8:00 a.m. to 5:00 p.m.) at no cost to the City. Request For Proposal The Police Department belie~es this RFP is the most effective way to improve the quality of service from tow companies. By selecting the top three companies for an exclusive contract; we believe the companies have a greater incenti ve to provide and maintain quality service and will be much more willing to work with us to alleviate the abandoned vehicle problem. Proposed Agreement The on-duty tow company will tow up to ten abandoned vehicles each day (Monday through Friday 8:00 a.m. to 5:00 p.m.) at no cost to the Ci ty. The process itself shall consist of several steps. First, the RFP will be distributed to all licensed tow companies in San Diego County and also available at the Chu1a Vista Police Department. There will be an optional pre-bid conference where any interested companies may ask questions about the RFP. The companies will be given a minimum of 30 days in which to prepare their proposals. The due date will be listed on the RFP and rei terated at the prebid conference. Any proposal returned after the due date will be time stamped and returned unopened to the proposer. The proposal will provide general infonnation on the tow company, including ownership, location, company history, ,employees, vehicles, communication equipment, proof of insurance and business 1 icenses. It will be used to screen qualified from unqualified candidates. Those proposers who are deemed qualified will then be evaluated based on: 1. Proposal (wei ght 40',t;) - Revi ew of servi ce proposed. 2. Site visit (weight 40',t;) - inspection of vehicles, equipment and storage fac i1 i ti es. 3. Reference Review (weight 20',t;) - review of references. 2~ -/5 Page 4, Itetll 19a, b Meeting Date 3/28/89 The RFPs will be eval uated by a panel sel ected by the Di rector of Publ ic Safety. Panel members shall include persons outside the City of Chula Vista with expertise in pOlice towing. The three. tow companies to score the highest after review of their proposal, .interview, site visit and inspection and review of their references shall be recommended for an excl usi ve three-year contract. This contract shall also have a two-year option to renew for a possible total of five years. Ordinance Amendments Chapter 5.58 of the Municipal Code related to tow trucks is proposed to be amended. The changes include: Section 5.58.030 Regulations Generally. Addition of requirement for an RFP process to select the tow companies to receive emergency police referrals. Section 5.58.070 Insurance Required. Section 5.58.080 Bond Required. Both sections are recommended to be deleted from the Code: Since the requirement levels for bonds and insurance fluctuate, it is more appropriate to refer to these requirements in the contract and/or RFP so that they may be easily revised as necessary. Section 5.58.075 . Indemnification and Hold Harmless, Insurance, and Bond Requirements Any agreement to provide tow service shall include a hold harmless cl ause and bond and insurance requi rements as requi red by Ci ty Risk Manager and City Attorney. Recommendation The Department is recommending that an RFP process be instituted to select tow companies to receive police emergency tow referrals. The number of tow companies is proposed to be limited to three, and long term exclusive contract established with the three companies. The companies selected will be subject to stricter qUlnfications and will be closely monitored to ensure that they continue to meet the terms of their contract. The Municipal Code is also recommended for revision in accordance with the other proposed changes. The Department believes that by implementing the proposed changes in this program, the result will be more efficient and effective tow service for the police officers and the citizens. FISCAL IMPACT: No change is recommended for the current tow rate fee schedule. In the past, Changes in the rates have been made only after staff has analyzed requests from the tow companies and presented a recommendation to the Council. WPC 0137N 1-1. -II, Co'''!!'''' "",.,"_.:.; ., ... . J , .::;