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HomeMy WebLinkAboutcc min 2000/12/19 MINUTES OF A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA December 19, 2000 6:00 P.M. A Regular Meeting of the City Council of the City of Chula Vista was called to order at 6:10 p.m. in the Council Chambers located in the Public Services Building, 276 Fourth Avenue, Chula Vista, California. ROLL CALL: PRESENT: Cotmcilmembers Davis, Padilla, Rindone, and Salas ABSENT: Mayor Horton ALSO PRESENT: City Manager Rowlands, City Attorney Kaheny, City Clerk Bigelow PLEDGE OF ALLEGIANCE TO THE FLAG, MOMENT OF SILENCE Deputy Mayor Davis declared a moment of silence in memory of Bill Russell, former Mayor of Imperial Beach. SPECIAL ORDERS OF THE DAY · PRESENTATION BY BOB MCALISTER AND DAN HOM FROM CITIZENS FOR 125 Messrs. McAlister and Hom, who have formed a coalition of 6,000 residents to clarify the issues surrounding the SR-125 project and to try to stop the construction delays, made the presentation and urged other concerned citizens to join their efforts. CONSENT CALENDAR (Items 1 through 13) 1. APPROVAL OF MINUTES of October 17 and December 5, 2000. Staff recommendation: Council approve the minutes. 2. WRITTEN COMMUNICATIONS A. Letter from the City Attorney stating that to the best of his knowledge from observance of actions taken in Closed Session on December 12, 2000, there were no actions taken which are required under the Brown Act to be reported Staff recommendation: The letter be received and filed. CONSENT CALENDAR (Continued) 3. RESOLUTION NO. 2000-466, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE FISCAL YEAR 2000/2001 BUDGET BY APPROPRIATING $107,209.34 FROM THE UNAPPROPRIATED BALANCE OF THE EQUIPMENT REPLACEMENT FUND AND AWARDING A PURCHASE AGREEMENT TO DION INTERNATIONAL TRUCKS, INC. IN THE AMOUNT OF $107,209.34 FOR A STREET PATCH TRUCK, THROUGH A COOPERATIVE PURCHASE WITH THE CITY OF SAN DIEGO (4/5THS VOTE REQUIRED) During Fiscal Year 1999/2000, purchase of a patch track was approved for its normal replacement cycle for the Street Maintenance Section of the Public Works Department. The track, however, was not purchased in Fiscal Year 1999/2000. Municipal Code Section 2.56.140 and Resolution No. 6132 authorize the Purchasing Agent to participate in cooperative bids with other govemment agencies for the purchase of materials of common usage. The City, therefore, is participating in a current City of San Diego bid from Dion International Trucks, Inc. (Directorof Public Works) Staff recommendation: Council adopt the resolution. 4. RESOLUTION NO. 2000-467, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AMENDING THE FISCAL YEAR 2000/2001 BUDGET BY APPROPRIATING $71,872.91 FROM THE UNAPPROPRIATED BALANCE OF THE SEWER FUND AND AWARDING A PURCHASE AGREEMENT TO DION INTERNATIONAL TRUCKS, INC., IN THE AMOUNT OF $419,472.91 FOR TWO VACTOR COMBINATION SEWER FLUSHER TRUCKS THROUGH A COOPERATIVE PURCHASE WITH THE CITY OF SAN DIEGO (4/5THS VOTE REQUIRED) The City is participating in a current City of San Diego bid from Dion Intemational Trucks, Inc., for the purchase of two vactor sewer combination trucks. Municipal Code Section 2.56.140 and Resolution No. 6132 authorize the Purchasing Agent to participate in cooperative bids with other government agencies for the purchase of materials of common usage. There are no vendors in Chula Vista that normally furnish this type of heavy equipment. (Directorof Public Works) Staff recommendation: Council adopt the resolution. 5. RESOLUTION NO. 2000-468, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING BIDS AND AWARDING CONTRACT FOR SIDEWALK REPLACEMENT AT VARIOUS LOCATIONS (PROJECT JY-065-G), AND AUTHORIZING STAFF TO INCREASE VALUE OF CONTRACT TO EXPEND ALL AVAILABLE FUNDS FOR THIS PROJECT On October 25, 2000, the Director of Public Works received sealed bids for the sidewalk replacement project (JY-065-G) at various locations in the City. The work consists of the removal and replacement of displaced curbs, gutters, sidewalks and driveways. It includes Page 2 - Council Minutes 12/19/00 CONSENT CALENDAR (Continued) excavation and grading, PCC sidewalks, driveways, curbs and gutters, asphalt concrete pavement, removal and disposal of existing improvements, traffic control, protection and restoration of existing improvements, other miscellaneous work, and all labor, material, equipment and transportation necessary for the project. Staff recommends that the contract be awarded to Jimenez, Inc., dba MJC Construction of Chula Vista, for $79,706.45. (Director of Public Works) Staff recommendation: Council adopt the resolution. 6. RESOLUTION NO. 2000-469, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING BIDS AND AWARDING CONTRACT FOR SIDEWALK REHABILITATION AT VARIOUS LOCATIONS IN THE CITY (STL-266) AND AUTHORIZING STAFF TO INCREASE VALUE OF CONTRACT TO EXPEND ALL AVAILABLE FUNDS FOR THIS PROJECT On November 1, 2000, the Director of Public Works received sealed bids for the project, which consists of the removal and replacement of displaced curbs, gutters, sidewalks, and driveways. The work includes excavation and grading, PCC sidewalks, driveways, curbs and gutters, asphalt concrete pavement, removal and disposal of existing improvements, traffic control, protection and restoration of existing improvements, other miscellaneous work, and all labor, material, equipment and transportation necessary for the project. Staff recommends that the contract be awarded to Portillo Concrete, Incorporated of Chula Vista for $175,627.50. (Director of Public Works) Staff recommendation: Council adopt the resolution. 7. RESOLUTION NO. 2000-470, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING BIDS AND AWARDING CONTRACT FOR THE INSTALLATION OF CURB, GUTTER AND SIDEWALK IMPROVEMENTS ALONG THE NORTH SIDE OF ORANGE AVENUE, BETWEEN FOURTH AVENUE AND FIFTH AVENUE (STL-228) On November 15, 2000, the Director of Public Works received sealed bids for the installation of curb, gutter and sidewalk improvements along the noah side of Orange Avenue, between Fourth and Fifth Avenues (Project STL-228). The work to be done involves the installation of curb, gutter and sidewalk improvements, bus pads, pedestrian ramps, driveways, cross- gutters, and new mailboxes. The work also includes all labor, material, equipment, transportation, protection ofexisting improvements, and traffic control. Staffrecommends that the contract be awarded to Pullman Engineering, Inc. of San Diego in the amount of $151,117.46. (Director of Public Works) Staff recommendation: Council adopt the resolution. Page 3 - Council Minutes 12/19/00 CONSENT CALENDAR (Continued) -- 8. RESOLUTION NO. 2000-471, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AWARDiNG A THREE-YEAR AGREEMENT FOR ASSESSMENT DISTRICT DELINQUENCY MONITORING TO MUNIFiNANCIAL, INC., AND AUTHORIZiNG THE MAYOR TO EXECUTE SAID AGREEMENT The proposed agreement will retain the services of MuniFinancial, Inc. to perform delinquency monitoring services on existing City assessment districts and coordinate the collection of all delinquent installment payments on the districts, as requested by the City, for the period of January 1, 2001 to December 31, 2003, plus services for delinquencies occurring in prior years. Approval of the agreement will ensure that the City's fiduciary responsibility to the bondholders is ful~lled by providing these required services. All costs associated with the collection of delinquent assessments are recovered from the delinquent property owners at no expense to the City. (Director of Public Works) Staff recommendation: Coanci] adopt the resolution. 9. RESOLUTION NO. 2000-472, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROV1NG A DETENTION BASIN MAINTENANCE, GRADING MITIGATION AND EROSION, SEDIMENTATION AND STORM WATER POLLLrHON CONTROL AGREEMENT BETWEEN THE CITY AND NNP-TRIMARK SAN MIGUEL LLC, AND AUTHORIZiNG THE MAYOR TO EXECUTE SAID AGREEMENT The resolution approves an agreement with NNP-Trimark San Miguel, LLC, the developer of San Miguel Ranch, setting forth the obligations of the developer for implementing grading mitigation measures, constructing and maintaining de-silting basins and other erosion and storm water pollution control measures required by the proj ect's tentative map conditions of approval. (Director of Public Works) Staff recommendation: Council adopt the resolution. 10. RESOLUTION NO. 2000-473, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING WAIVER OF THE LIEN PLUS INDEBTEDNESS TO VALUATION RATIO PORTION OF COUNCIL POLICY 505-03, APPROVING THE DEFERRAL AND LIEN AGREEMENT, AND AUTHORIZING THE CITY ENGiNEER TO EXECUTE THE LIEN AND DEFERRAL AGREEMENT FOR 48 WALNUT DRIVE Property owners Mario and Socorro Zugasti have requested a deferral for the installation of public improvements along their property at 48 Walnut Drive, Chula Vista, in the form of a lien deferral agreement. Council Policy 505-03 requires property owners to meet a certain limit of indebtedness to property value ratio in order to obtain referrals in the form of lien deferral agreements. Mr. and Mrs. Zugasti do not meet these limits and have requested Council to approve a deviation to said policy to enable them to obtain a lien deferral agreement. (Director of Public Works) Staff recommendation: Council adopt the resolution. Page 4 - Council Minutes 12/19/00 CONSENT CALENDAR (Continued) 11 A. RESOLUTION NO. 2000-474, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING FINAL MAP OF CHULA VISTA TRACT NO. 99-03, EASTLAKE TRAILS NORTH, NEIGHBORHOODS TN-1 AND TN-2, ACCEPTING ON BEHALF OF THE CITY OF CHULA VISTA THE VARIOUS PUBLIC STREETS AND EASEMENTS, ALL AS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION, APPROVING THE SUBDWISION IMPROVEMENT AGREEMENT FOR THE COMPLETION OF IMPROVEMENTS REQUIRED BY SAID SUBDIVISION, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT B. RESOLUTION NO. 2000-475, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT FOR CHULA VISTA TRACT NO. 99-03, EASTLAKE TRAILS NORTH, NEIGHBORHOODS TN-1 AND TN-2, REQUIRING THE EASTLAKE COMPANY TO COMPLY WITH CERTAIN UNFULFILLED CONDITIONS OF RESOLUTION NO. 19447, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT On May 4, 1999, by Resolution No. 19447, Council conditionally approved the Tentative Subdivision Map for Chula Vista Tract No. 99-03, EastLake Trails. The Final Map, Subdivision Improvement Agreement and Supplemental Subdivision Improvement Agreement for EastLake Trails North Neighborhoods TN-1 and TN-2 (total of 73 single- family residences) are before Council for consideration and approval. (Director of Public Works) Staff recommendation: Council adopt the resolutions. 12. RESOLUTION NO. 2000-476, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING DISADVANTAGED BUSINESS ENTERPRISE PROGRAM FOR THE PERIOD OF OCTOBER 1, 2000 THROUGH SEPTEMBER 30, 2001, FOR CITY OF CHULA VISTA PROJECTS, UTILIZING FEDERAL HIGHWAY ADMINISTRATION FUNDING All local agencies receiving federal-aid highway funds for the Federal Highway Administration are required to submit Disadvantaged Business Enterprise (DBE) Programs. (Director of Public Works) Staff recommendation: Council adopt the resolution. 13. RESOLUTION NO. 2000-477, RESOLUTION OF THE CITY COLrNCIL OF THE CITY OF CHULA VISTA APPROVING THE PARK AGREEMENT BETWEEN THE CITY OF CHULA VISTA, THE EASTLAKE COMPANY, AND PACIFIC BAY HOMES, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT This park agreement will allow The EastLake Company to purchase land from Pacific Bay Properties to satisfy EastLake Woods park acquisition obligation. (Director of Parks and Recreation) Staff recommendation: Council adopt the resolution. Page 5 - Council Minutes 12/19/00 CONSENT CALENDAR (Continued) With regard to Consent Calendar Item//5, Cotmcilmember Salas requested a report from staff in January on how sidewalk projects are prioritized. Councilmember Rindone noted that approval of Items//5, #6 and #7 will allocate in excess of a quarter of a million dollars for in/~astructure repairs and that he was happy to see a larger park being constructed in conjunction with Item #13. ACTION: Councilmember Rindone moved to approve staff recommendations and offered the Consent Calendar, headings read, texts waived. The motion carried 4-0. ORAL COMMUNICATIONS There were none. PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES 14. CONSIDERATION OF THE DECLARATION BY THE CITY COUNCIL OF ITS INTENTION TO: (A) MAKE CERTAIN DETERMINATIONS AND AUTHORIZE THE SUBMITTAL OF THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF CERTAIN TERRITORIES PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 98-1 (INTERIM OPEN SPACE DISTRICT [OTAY PROJECT, LLC-OVP-SPA ONE, VILLAGES 1 WEST & 2]), AND (B) MAKE CERTAIN DETERMINATIONS AND AUTHORIZE THE SUBMITTAL OF THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF CERTAIN TERRITORY PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 98-2 (INTERIM OPEN SPACE DISTRICT [OTAY PROJECT, LLC-OVP-SPA ONE, VILLAGES 6 & 7]) On November 7, 2000, Council approved resolutions adopting two annexation maps showing the boundaries of the territories proposed to be annexed to CFD No. 98-1 and CFD No. 98-2, as applicable, and declaring its intent to authorize the annexation of certain parcels to such CFDs. Council also set a public heating for December 19, 2000 to hear any protest to the proposed annexations. Notice of the heating was given in accordance with legal requirements, and the hearing was held on the date and at the time specified in the notice. Deputy Mayor Davis opened the public heating and asked if anyone from the audience wished to speak; there was no response. Deputy Mayor Davis then closed the public hearing. ACTION: Councilmember Salas offered Resolution Nos. 2000-478 and 2000-479, headings read, texts waived: A. RESOLUTION NO. 2000-478, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICI NO. 98-1 (INTERIM OPEN SPACE DISTRICT [OTAY PROJECT, LLC-OVP-SPA ONE, VILLAGES 1 WEST & 2]), MAKING CERTAIN DETERMINATIONS AND AUTHORIZING THE SUBMITTAL OF THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF CERTAIN TERRITORY PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 98-1 (INTERIM OPEN SPACE DISTRICT [OTAY PROJECT, LLC-OVP-SPA ONE, VILLAGES 1 WEST & 2]) Page 6 - Council Minutes 12/19/00 PUBLIC HEARINGS (Continued) B. RESOLUTION NO. 2000-479, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 98-2 (INTERIM OPEN SPACE DISTRICT [OTAY PROJECT, LLC-OVP-SPA ONE, VILLAGES 6 & 7]), MAKING CERTAIN DETERMINATIONS AND AUTHORIZING THE SUBMITTAL OF THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF CERTAIN TERRITORY PROPOSED TO BE ANNEXED TO COMMUNITY FACILITIES DISTRICT NO. 98-2 (INTERIM OPEN SPACE DISTRICT [OTAY PROJECT, LLC-OVP-SPA ONE, VILLAGES 6 & 7]) The motion carded 4-0. 15. CONSIDERATION OF THE CITY OF CHULA VISTA HOUSING ELEMENT OF THE GENERAL PLAN FOR THE 1999-2004 PLANNING PERIOD The State of California requires that all cities and counties prepare a Housing Element of their General Plan every five years. Furthermore, Government Code Section 65585.1 allows local govemments within the San Diego Region to self-certify their Housing Element of their General Plan through a pilot program rather than submit the Element for review by the State Department of Housing and Community Development for determination of substantial compliance with the requirements of State Housing Element law. In accordance with State law, the City of Chula Vista has prepared the Housing Element update for the 1999-2004 planning period and intends to self-certify its 1999-2004 Housing Element of the General Plan under the provisions ofGovemment Code Section 65585.1. (Directorof Community Development) Notice of the hearing was given in accordance with legal requirements, and the hearing was held on the date and at the time specified in the notice. Deputy Mayor Davis opened the public hearing and asked if anyone from the audience wished to speak. Jerry Livingston, representing the Building Industry Association (BIA), stated that the BIA supports the majority of the Housing Element. One exception concerns inclusionary zoning, which the BIA opposes, because it generally spreads the cost of low-income housing to other home buyers in the community, some of whom may be taken out of the market by the increase in costs for their homes. The BIA originally opposed the Housing Element moving forward without the guidelines being included for the inclusionary part of the program; the BIA has now agreed to support the Element but would like a date certain when the guidelines would be presented for Council review. He also suggested that the City be proactive in trying to reduce costs, such as waiving certain fees, and stated that the BIA is prepared to work with staff on programs or plans to reduce the costs of housing. Housing Coordinator Arroyo indicated that the guidelines should be finalized within the next two months. Community Development Director Salomone commented that while fees are a constraint to the development of affordable housing, staff believes that reviewing projects on a case-by-base basis has proven to be equitable because each project brings different components or elements which require consideration. Page 7 - Council Minutes 12/19/00 PUBLIC HEAR1NGS (Continued) Kim Kilkenny, representing the Otay Ranch Company, distributed a summary of the nature of impact fees, exactions and assessments paid in Otay Ranch, SPA One, and suggested that the Housing Element be amended to accurately depict fees charged, which amount to about $45,000 rather than $23,000, a figure which was based on a BIA survey. He felt that the $45,000 was far more indicative of new development in San Diego Cmmty, and it is important that residents understand that such fees, exactions and assessments are one reason why it is difficult to provide affordable housing. The Housing Element also indicates that certain fees may be waived for certain affordable housing projects, and he believed it would be appropriate in certain instances to waive fees, such as transportation fees for senior developments, since it is unlikely that seniors contribute appreciably to the need for new road systems. He also felt that Council should establish a policy to waive certain fees charged against low-income housing units, and he cited park fees, public facility development impact fees (DIF), the residential tax, and the reserve fund fee as examples. The reduction of such fees would make the development of low-cost housing less difficult. Councilmember Salas pointed out that the fees charged represent the actual cost to provide services and asked if the building industry would be willing to spread the waived fees for low-income units over the other types of housing being constructed. Mr. Kilkenny responded that he was suggesting the waiver of certain types of fees which he did not believe would affect the community overall. He gave an example of waiving the park fee for a limited number of units in a 1,000-unit development, stating that the result would be the provision of a park that would be only 8.6 rather than 8.9 acres. Another example mentioned was the public facilities DIF fee, where he felt there was enough flexibility that such fees could be waived for low-income housing and the City would still continue to generate enough revenue to meet its needs. Councilmember Salas pointed out that low and moderate income housing units generally have a higher density and, therefore, morn of a need for public parks, and the City does not have enough park space currently, so she disagreed that park funds could be waived for such developments. She then asked staff how many times the City had been requested to waive fees and, in fact, did so. Mr. Arroyo raplied that the actual waiver of fees has been very minimal; but, in some cases, fees have been deferred over time. Mr. Salomone stated that the City has also paid fees out of its own resources, representing a direct subsidy to a project. Dave Gatzke, representing Pacific Bay Homes, announced that the company pulled building permits this week for 166 units of low-income senior housing. Site work has begun, and new residents should be able to occupy the units during 2001. He asked the City, in developing the guidelines, to make a commitment to creatively reduce the costs of affordable housing, since it is difficult for the development community to make even a market-rate project work in today's inflationary environment of land values and construction costs. Craig Fukuyama, representing McMillin Land Development Company, commented on the large subsidies contributed by developers to affordable housing. He asked that in-lieu fees, which are included in the Housing Element, be discussed and included in the implementation program. He also suggested that off-site acquisition of affordable units, or dilapidated units in need of repair, be considered, since many more units could be rehabilitated or repaired than could be built new, making a greater number of low-income units available to the community. Further, he stated that there are a number of fees, such as building permit and plan check fees, that could be waived, but new home buyers should not be expected to pay increased costs to subsidize low-income units. He asked that staff be directed to come back at a date certain with an implementation program that addresses realistic fee reductions, realistic in-lieu fees, and opportunities perhaps to address the issues in other ways. Page 8 - Council Minutes 12/19/00 PUBLIC HEARINGS (Continued) Rueben Islas, representing Avalon Communities, spoke in support of inclusionary housing and cautioned against cutting some types of fees, since fees are calculated into a financial package for a project. Cindy Schaefer, representing Brook~eld-Shea-Otay, owners of Village 11 and Otay Ranch, stated in some cases, the amount of recreational open space that is being provided in new communities is actually larger than the amount of parks credit or creditable park space that is allocated or acknowledged of the developer, and it would be worth analyzing on a case-by-case basis the extent to which perhaps the parks requirements is being satisfied in other ways at a point in time when affordable housing agreements are being considered. It also might be prudent for the Council to have an understanding on a case-by-case basis of the actual fees that are being applied to affordable housing projects and perhaps an analysis of the fees that will be charged on each of those projects as the affordable housing agreements come forward in order to understand the impact the fees have. She also felt that the implementation guidelines should be available for the inclusionary ordinances so that developers can fully understand what they are agreeing to provide. There being no further comments from the public, Deputy Mayor Davis closed the public heating. Deputy Mayor Davis expressed concern that if an in-lieu fee were implemented, the housing would not be built. She agreed that the guidelines should include the possibility of off-site housing, because there are often properties which are in need of rehabilitation, and it would be a way to create needed infrastructure, parks and recreation on the west side of the City. She also supported the suggestion to review the fees closely on a proj ect-by-proj ect basis for ways to waive or reduce them and stated that the Housing Element needs to be state-certified, as well as self-certified, to be able to tap into state ~mding opportunities. Councilmember Rindone commented on the fact that only 10 of the 19 agencies in the County had complied with their fair-share objectives and he asked the penalty for non-compliance. Community Development Specialist Hines responded that while there is no penalty for non-compliance with fair- share goals,, there are incentives, such as participating in a self-certification process. The Housing Element and goals are just that, a plan and goals. There are no requirements to actually produce the housing, but Chula Vista places a high value on meeting its goals. Councilmember Rindone stated that affordable housing is a regional issue, and all communities have a responsibility to provide their fair share so that low-cost housing is not centered in any one city. He suggested that perhaps staff should approach SANDAG about addressing the issue of fairness and equitability countywide. He also questioned a letter received that cited a court opinion and allegation that the Housing Element did not contain a quantitative analysis. Deputy City Attorney Hull responded that the City Attorney's office had reviewed the letter and case and is of the opinion that at this time, the City has satisfied the requirements of state law as it pertains to the Housing Element. Community Development Director Salomone mentioned the various programs the City has been involved in over the past years to address the homeless situation. With regard to the concept of off-site rehabilitation, Councilmember Rindone cautioned staff to ensure that there would be a balance throughout the City so as to not concentrate all of the low-cost housing in one particular area. Page 9 - Council Minutes 12/19/00 PUBLIC HEARINGS (Continued) Councilmember Padilla asked for clarification of information relating to the number of housing units provided through the inclusionary program for the last planning period, which covered from 1991 through mid-June 1999. Community Development Specialist Hines stated that of the 1,796 affordable housing opportunities created during the last planning period, 53 were created through the affordable housing inclusionary program, and the remaining opportunities were created through the use of other resources and programs, such as preservation of at-risk housing, rental assistance and rehabilitation, primarily provided in the westem portion of the City. Councilmember Padilla asked if the number of units to be created under the inclusionary program would be significantly higher during the next planning period, and, therefore, a higher pementage of the overall program. Ms. Hines responded affirmatively. Councilmember Padilla stated that since it is the objective to find an appropriate way to provide housing oppommities, the Council should review some of the incentives to encourage such development. Housing Coordinator Arroyo pointed out that while the inclusionary housing numbers will increase during the next reporting period, the majority of the units provided will be outside the inclusionary housing program. Councilmember Salas pointed out that rehabilitating existing residential units does not necessarily assist the City in meeting its mandate to increase the number of affordable housing units, and she asked if developers were working together to land swap when, for instance, certain master planned communities were in an area of low densities, premium land costs, little infrastructure for transportation, and, therefore, not conducive to low-cost housing. Community Development Director Salomone responded that there will be more such opportunities in the future ACTION: Deputy Mayor Davis offered Resolution No. 2000-480, heading read, text waived: RESOLUTION NO. 2000-480, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ADOPTING THE CITY OF CHULA VISTA HOUSING ELEMENT OF THE GENERAL PLAN, IN COMPLIANCE WITH GOVERNMENT CODE SECTION 65585.1, FOR THE 1999-2004 HOUSING ELEMENT CYCLE, AND ADOPTING A REVISED NEGAT1VE DECLARATION (IS-00-08) The motion carried 4-0. ACTION ITEMS 16. CONSIDERATION OF A REPORT REGARDING ANNEXATION OF THE APPROXIMATELY 743-ACRE SAN MIGUEL RANCH SECTIONAL PLANNING AREA (SPA) PLAN AND TENTATIVE SUBDIVISION MAP PROJECT AREA TO THE CITY OF CHULA VISTA, AND SATISFACTION OF THE SAN DIEGO LOCAL AGENCY FORMATION COMMISSION'S ELATED CONDITIONS OF ANNEXATION APPROVAL The San Miguel Ranch project area is currently within the unincorporated County of San Diego and requires annexation to the City prior to the approval of any Final Subdivision Page 10 - Council Minutes 12/19/00 ACTION ITEMS (Continued) Maps or the issuance of any grading or other permits for the project. Council previously approved the project's Sectional Planning Area (SPA) Plan and Public Facilities Financing PlanJFiscal Impact Analysis (PFFP/FIA), and the Tentative Subdivision Map, on October 19, 1999 and February 29, 2000, respectively. The project is also located within the boundaries of the adopted County of San Diego Multiple Species Conservation Program (MSCP) Subarea Plan, South County Segment. Council's prior project approvals contained conditions to be satisfied prior to completion of the annexation of the project area. Those conditions concern MSCP requirements for an annexation agreement to be completed between the City, County, United States Fish and Wildlife Service (USFWS), California Department of Fish and Game (CDFG) and the project applicant, NNP-Trimark San Miguel, LLC; and the need for the applicant to establish a mechanism satisfactory to the City to ensure mitigation of the project' s foreeasted annual fiscal deficit as identified in the PFFP/FIA. On April 3, 2000, the San Diego Local Agency Formation Commission (LAFCO) considered Trimark's annexation application and approved the San Miguel Ranch Reorganization (Ref. No. RO99-42) subject to two conditions; one regarding completion of the above-noted MSCP Annexation Agreement, the other regarding the property owner establishing and funding a mitigating mechanism to the City's satisfaction regarding the above-noted foretasted annual fiscal deficit. Staff has since been working with the County, USFWS, CDFG and the applicant to prepare the required MSCP Annexation Agreement, and under consideration are all items related to completing the project's annexation. (Director of Planning & Building) Senior Planner Batcheider and consultant Laurie McKinley with MNA provided an overview of the San Miguel Ranch prior approvals, and the conditions to those approvals, and explained the proposed actions to be taken at this time. Ms. McKinley also explained the MSCP annexation agreement and the developer' s and U.S. Fish and Wildlife obligations to be met under the agreement. Stephen Hester, representing Trimark Pacific Homes, thanked City and U.S. Fish and Wildlife Service staff and stated that he was available to answer questions. Councilmember Rindone complimented staff on making great progress with the agreement in light of the very complex issues involved. Councilmember Padilia congratulated all the parties involved, and particularly Assistant City Attorney Moore and City staff, for all their work on the various and interrelated issues that impact the parties to the agreement from differera perspectives. He stated that with plans such as the MSCP, where various levels of government with different roles and responsibilities have authority, a level of cooperation must be achieved so that private landholders will know how and to what extent they can develop their land, the interests of the regulatory agencies in protecting and maintaining resources on the land are addressed, and local land use authorities, such as City Councils, have a clear understanding of what their responsibilities are so that the process is clear and consistent. He said he was pleased that the agreement contains specific language that states that the federal regulatory agencies will use their best efforts with regard to the incidental take authority and to the implementing agreement for the Subarea plan, and he asked for the same type of cooperation in ensuring that the critical habitat designation would be removed at the time that the City gets ultimate take authority. Page 11 - Council Minutes 12/19/00 ACTION ITEMS (Continued) _ ACTION: Councilmember Salas moved to place Ordinance No. 2829 on first reading and offered Resolution Nos. 2000-481, 2000-482 and 2000-483, headings read texts waived: A. RESOLUTION NO. 2000-481, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A MULTIPLE SPECIES CONSERVATION PROGRAM (MSCP) ANNEXATION AGREEMENT FOR THE SAN MIGUEL RANCH PROJECT AMONG THE CITY, COUNTY OF SAN DIEGO, UNITED STATES FISH AND WILDLIFE SERVICE, CALIFORNIA DEPARTMENT OF FISH AND GAME, AND NNP-TRIMARK SAN MIGUEL, LLC, CONCERNING THE CONSERVATION AND BIOLOGICAL MITIGATION PROGRAM FOR IMPLEMENTATION OF THE PROJECT, AND ADOPTING ADDENDUM IS-01-032 TO THE FINAL SUBSEQUENT ENVIRONMENTAL IMPACT REPORT FOR THE SAN MIGUEL RANCH SECTIONAL PLANNING AREA PLAN AND TENTATIVE MAPS (FSEIR 97-02) B. ORDINANCE NO. 2829, AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ESTABLISHING THE SAN MIGUEL RANCH FISCAL DEFICIT ACCOUNT, REQUIRING NNP-TRIMARK SAN MIGUEL, LLC, TO DEPOSIT AN iNITIAL $10,000.00 INTO SAID ACCOUNT PRIOR TO ANNEXATION, AND REQUIRING NNP-TRIMARK SAN MIGUEL, LLC, PRIOR TO APPROVAL OF ANY FINAL SUBDIVISION MAP FOR THE PROJECT, TO ESTABLISH AND FUND A PERMANENT MECHANISM TO -- PAY THE CITY FOR FINANCING THE PREPARATION OF 15 ANNUAL FISCAL REVIEWS AND DEFICIT ANALYSES FOR THE SAN MIGUEL RANCH PROJECT, AND FOR ANY FISCAL DEFICITS IDENTIFIED BY THE ANNUAL REVIEWS AND ANALYSES C. RESOLUTION NO. 2000-482, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE SAN MIGUEL RANCH REORGANIZATION (REF. NO. RO99-42) INVOLVING THE ANNEXATION OF 742.94 ACRES TO THE CITY, THE DETATCHMENT OF 742.94 ACRES FROM COUNTY SERVICE AREA NO. 135 (SAN DIEGO REGIONAL COMMUNICATIONS), AND THE DETATCHMENT OF 1.03 ACRES FROM THE BONITA-SUNNYSIDE FIRE PROTECTION DISTRICT, SUBJECT TO EXECUTION OF THE PROJECT'S REQUIRED MSCP ANNEXATION AGREEMENT D. RESOLUTION NO. 2000-483, RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN INDEMNIFICATION AGREEMENT BETWEEN THE CITY AND NNP-TRIMARK SAN MIGUEL, LLC, REGARDING THE ANNEXATION AGREEMENT CONCERNING THE CONSERVATION AND BIOLOGICAL MITIGATION PROGRAM FOR THE iMPLEMENTATION OF THE SAN MIGUEL RANCH SECTIONAL PLANNING AREA PLAN AND TENTATIVE TRACT MAP The motion carried 4-0. Page I2 - Council Minutes 12/19/00 OTHER BUSINESS 17. CITY MANAGER' S REPORTS There were none. 18. MAYOR'S REPORTS There were none. 19. COUNCIL COMMENTS Deputy Mayor Davis wished the Mayor a speedy recovery and the community a happy and safe holiday season. Councilmember Rindone announced that he would be establishing an Otay Ranch Light Rail Task Force, and he complimented the Union Tribune for its accurate account of the issue in a recent editorial. He also wished the community the happiest and safest holiday season and encouraged people to spend time with their families. Councilmember Salas wished the community a happy holiday. Councilmember Padilla stated that he was honored for the opportunity to serve the City, and he wished citizens a happy holiday season. CLOSED SESSION 20. CONFERENCE WITH LEGAL COUNSEL REGARDING ANTICIPATED LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(b)(1) · California Native Plant Society, et al v. Bruce Babbitt, et al Closed Session was cancelled, and the above item was not discussed. ADJOURNMENT At 7:55 p.m., Deputy Mayor Davis adj ourned the meeting to an Adjourned Regular Meeting with the Redevelopment Agency and thence to the Regular Meeting of January 9, 2001, at 6:00 p.m. Respectfully submitted Susan Bigelow, CMC/AAE, City Clerk Page 13 - Council Minutes 12/19/00