HomeMy WebLinkAboutcc min 1998/06/23MINLFEES OF A REGULAR MEETING OF THE CITY CObT~CIL
OF THE CITY OF CHULA VISTA
Tuesday, June 23, 1998
6:02 p.m.
Council Chambers
Public Services Building
CALL TO ORDER
ROLL CALL:
PRESENT:
Councilmembers:
ABSENT: Councilmembers: None
Moot (arrived at 6:03 p.m.), Padilla,
Rindone, Salas, and Mayor Horton
(arrived at 6:03 p.m.).
ALSO PRESENT:
City Manager, David D. Rowlands; City Attorney, John M.
Kaheny; and City Clerk, Beverly A. Authelet
2. PLEDGE OF ALLEGIANCE TO THE FLAG, MOMENT OF SILENCE
3. APPROVAL OF MINUTES: June 9, 1998.
MSUC (Rindone/Padilla) to approve the June 9, 1998 minutes.
4. SPECIAL ORDERS OF THE DAY
s Proclamation was presented to John Hardesty, Permits Engineer, who was
retiring from the Engineering Division after twenty-nine years of service to the
City.
CONSENT CALENDAR
(Items pulled: 14)
BALANCE OF TME CONSENT CALENDAR OFFERED BY MAYOR MORTON, headings read, texts
waived, passed and approved unanimously 5-0 with Moot abstaining on Item 9 and
Rindone voting no on Item 8.
5. 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 6/16/98, that there were
no reportable actions which are required under the Brown Act to be reported. Per
staff's recommendation, the letter was received and filed.
6. ORDINANCE 2736 AMENDING SECTION 13.14.150 OF THE MUNICIPAL CODE TO ALLOW
DELINQUENT SEWER SERVICE CHARGES TO BE PLACED ON THE PROPERTY TAX BILL FOR
COLLECTION (second reading and adoption) The City is currently billing
approximately 15,000 accounts for sewer service. Two percent of these accounts
become seriously delinquent. If, after extensive collection efforts, payment is
not made the City obtains a judgement through Small Claims Court. A lien is then
placed against the property, but the City receives no payment until the property
is sold or refinanced. Adoption of this ordinance will modify this process
allowing these delinquent charges to be placed on the property tax bill so
payment can be received within a year, as opposed to waiting indefinitely. This
will increase annual revenues to the Sewer Fund, as well as greatly enhance the
efficiency of the collection process. Per staff's recommendation, the ordinance
was placed on second reading and adopted unanimously 5-0. (Director of Finance)
7. ORDINANCE 2737 AMENDING CHAPTER 9.50 OF TME MUNICIPAL CODE RELATING TO
MOBILEHOME PARK SPACE RENT REVIEW (second reading and adoption) - Last year the
city's Mobilehome Rent Review Commission conducted two public hearings to solicit
public input on how to clarify and streamline the Mobilehome Park Space Rent
Review Ordinance Number 2251. The proposed changes are the result of this input
and hereby recommended to be approved by council. A second general reading of
the proposed changes will be required before any changes to the ordinance are
adopted. Per staff's recommendation, the ordinance was placed on second reading
and adopted unanimously 5-0. (DLrector of Community Development)
Minutes
June 23, 1998
Page 2
8. ORDINANCE 2738 AMENDING CHAPTER 2.16 OF THE MUNICIPAL CODE ESTABLISHING
THE LIBRARY AND RECREATION DEPARTMENT (second readinq and adoption) The
resignation of the Parks and Recreation Director provided the City with a unique
opportunity to review its organizational structure with an eye toward creative
cost savings, staff utilization and program implementation as well as making good
community services better. A city ordinance established the Parks and Recreation
Department which combined the services and facilities of a park department and
a department of recreation. This ordinance abolishes the Parks and Recreation
Department and creates a new Library and Recreation Department. Per staff's
recommendation, the ordinance was placed on second reading and adopted 4-1-0
(Rindone voting no). (Library Director)
9. RESOLUTION 19050 APPROVING THE FIRE STATION NUMBER 4 SECOND DEFERRAL
AGREEMENT - The City's current agreement with Rancho Del Rey Investors, L.P. (the
McMillin Companies) to extend the deferral for the advancement of funds for
relocating Fire Station Number 4 was predicated upon the City adopting an updated
Public Facilities Development Impact Fee (PFDIF) Program by July 1, 1998. As the
PFDIF will not be adopted and implemented until after July 1, 1998, an extended
deferral agreement is necessary. Per staff's recommendation, the resolution was
approved 4-0-0-1 (Moot abstaining because it involved McMillin). (Fire Chief and
Deputy City Manager)
10. RESOLUTION 19051 AMENDING FISCAL YEAR 1997/98 BUDGET TO TRANSFER FUNDS
BETWEEN DEPARTMENTS IN ACCORDANCE WITH THE BUDGET TRANSFER POLICY - The Council
Policy on Financial Reporting and Transfer Authority requires that all
departments complete the fiscal year with a positive balance in each summary
category account (Employees Services, Supplies and Services, and Capital Outlay).
In order for all departments to comply with the intent of this policy, the
transfers are recommended to be approved. All recommended transfers can be
accomplished within existing appropriations. Per staff's recommendation, the
resolution was approved unanimously 5-0. (Budget Manager)
11. RESOLUTION 19052 ESTABLISHING THE APPROPRIATIONS LIMIT FOR THE CITY FOR
FISCAL YEAR 1998/99 PURSUANT TO ARTICLE XIIIB OF THE CALIFORNIA CONSTITUTION -
Article XIIIB of the California Constitution approved by the voters in 1979 and
commonly referred to as the Gann Initiative, requires each local government to
establish an Appropriations Limit by resolution each year at a regularly
scheduled meeting or noticed special meeting. The purpose of the limit is to
restrict spending of certain types of revenues to a level predicated on a base
year amount increased annually by an inflation factor. Per staff's
recommendation, the resolution was approved unanimously which established an
appropriations limit of $237,973,072 for the 1998/99 fiscal year. (Director of
Finance)
12. RESOLUTION 19053 CALLING AND GIVING NOTICE OF THE HOLDING OF A SPECIAL
MUNICIPAL RUNOFF ELECTION TO BE RELD ON TUESDAY, NOVEMBER 3, 1998 FOR COUNCIL
SEAT 1 AND REQUESTING THE BOARD OF SUPERVISORS OF THE COUNTy OF SAN DIEGO TO
CONSOLIDATE THE SPECIAL MUNICIPAL RUNOFF ELECTION WITH THE STATEWIDE GENERAL
ELECTION TO BE HELD ON THE DATE PURSUANT TO SECTION 10403 OF THE ELECTIONS CODE
-At the General Municipal Election held on June 2, 1998, no candidate for Council
Seat Number 1 won by a majority. Therefore, it is necessary to call a Special
Municipal Runoff Election to be consolidated with the Statewide General Election
on November 3, 1998. Per staff's recommendation, the resolution was approved
unanimously 5-0. (City Clerk)
Councilmember Moot requested that the City Attorney give Council an update
regarding the status of our ordinance and its enforceability and what, if
anything, we intend to do about our campaign ordinance and our ability to enforce
it.
13.A. RESOLUTION 19054 APPROVING FINAL MAP OF TRACT NUMBER 98-01, SALT CREEK
RANCH, NEIGHBORHOOD 5A, ACCEPTING ON BEHALF OF THE CITY PUBLIC STREETS AND
EASEMENTS GRANTED ON SAID MAP WITHIN SAID SUBDIVISION, AND APPROVING THE
SUBDIVISION IMPROVEMENT AGREEMENT FOR THE COMPLETION OF IMPROVEMENTS REQUIRED BY
SAID SUBDIVISION, AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT - On
Minutes
June 23, 1998
Page 3
January 20, 1998, Council approved the Tentative Subdivision Map for Tract 98-01,
Salt Creek Ranch, Neighborhood 5A. On that tentative map, neighborhood
boundaries were delineated. The Final Map, Subdivision Improvement Agreement and
Supplemental Subdivision Improvement Agreement for Salt Creek Ranch, Neighborhood
5A, is now before Council for approval. Per staff's recommendation, the
resolutions were approved unanimously 5-0. (Director of Public Works)
8. RESOLUTION 19055 APPROVING SUPPLEMENTAL SUBDIVISION IMPROVEMENT AGREEMENT
FOR TRACT NUMBER 98-01, SALT CREEK RANCH, NEIGHBORHOOD 5A, REQUIRING DEVELOPER
TO COMPLY WITH CERTAIN UNFULFILLED CONDITIONS OF RESOLUTION NUMBER 18878 AND
RESOLUTION NUMBER 16834 AND AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT
14. RESOLUTION 19056 ESTABLISHING A COUNCIL POLICY FOR A REDUCED SEWER
CAPACITY CHARGE TO RESIDENCES USING APPROVED GREYWATER SYSTEMS AND AMENDING THE
MASTER FEE SCHEDULE TO REFLECT SAME - Last December Council authorized staff to
pursue determinations from other agencies of our eligibility to receive funding
or assistance for greywater systems. It was mentioned in that report that staff
would be considering an incentive system to encourage the installation of the
greywater systems. As a first step, staff is recommending a reduction in the
sewer capacity charge of 25%. Item was pulled by Councilmember Moot and
Councilmember Salas had a question. (Director of Public Works)
Councilmember Salas asked how is staff going to monitor this? How can staff keep
track whether or not a residence is hooked up to it?
John Lippitt, Public Works Director, responded that this is a demonstration
program. The reduction is an incentive issue to help lower the cost so the
developers will try this; it isn't a mandatory requirement. At this point we
don't even have a program to go forward. When we do, we are proposing to set up
and try to get grants to monitor the program by installing special meters so we
can see how much is being used. We can check the amount of use also by looking
at the water bills. During the demonstration, we will be looking at this very
closely and studying the actual day-to-day use of the system and how much it
actually reduces the sewer and water flows. After the two year study, and if we
do find it valid to continue with the program, we would probably eliminate the
$600 reduction and go forward. An agreement will be signed to indicate if they
stop using it, we would increase their sewer rate until we get the 25 percent
back. We know how much water they are using every month. We would get an
indication if they are not getting the savings that they should be.
Councilmember Salas stated the staff report talks about this could cost between
$1400 and $1800 per house to install. She felt that although the cost may seem
expensive, when you are faced with the alternative of not having water in the
future, the cost is really minimal. She stated that she believed with all the
new development that is going forward in the City, it is imperative for us to
explore any means of water conservation possible.
Councilmember Moot stated he understands that details can be worked out since
this is a pilot program. He further stated that these kinds of economic
incentives are what is going to drive us to where we want to go. The City is
giving up $222,000 to do this which is not a minor policy statement as to our
commitment to do things like this. It makes economic sense. He appreciated that
staff brought this back; it is one that philosophically he could buy into.
· Steve Glain, 477 Marina Parkway, chula Vista, representing Steve Billson,
CEO of ReWater Systems, Inc, the only manufacturer of grey water recycling
systems that meets the California Code, read Mr. Billson's statement into the
record: "As we know by now, there is a lot of documentation available which
supports your decision to create a significant grey water incentive program: 36%
to 40% fresh water conservation, 50% waste water reduction, and 10% biosolid
removal. Rewater has shown to the satisfaction of many at the City of Chula
Vista, the State of California, and the U.S. government that grey water
irrigation systems are an economically sound method of accomplishing what every
city already spends a fortune on which is water conservation, waste water
reduction, and biosolid removal. I firmly believe that your resolution to reduce
sewer connection fees by 25% for people who install grey water irrigation systems
will start the wide-scale use of grey water in the West. Locally we will save
money and our environment will be nicer. Thank you for your vision.
Minutes
June 23, 1998
Page 4
RESOLUTION 19056 OFFERED BY MAYOR HORTON, heading read, text waived, passed and
approved unanimously 5-0.
ORAL COMMUNICATIONS
There were none.
PUBLIC HEARINGS ~3~D RELATED RESOLUTIONS AND ORDINANCES
15. PUBLIC HEARING DECLARING VACATION OF A PORTION OF AN ALLEY NORTH OF THE
PROPERTIES LOCATED AT 3080, 3082 AND 3084 MAIN STREET - A request has been
received to vacate a portion of an alley north ef the properties located at 3080,
3082 and 3084 Main Street. Per staff's recommendation, the resolution was
approved unanimously 5-0. (Director of Public Works)
RESOLUTION 19057 VACATING A PORTION OF AN ALLEY NORTH OF THE PROPERTIES
LOCATED AT 3080, 3082 AND 3084 MAIN STREET
No staff report was presented.
This being the time and place as advertised, the public hearing was opened.
Since no one indicated a desire to address the Council, the public hearing was
closed.
Mayor Horton stated that in order for Council to make a determination as to
whether or not we have a conflict of interest, we need to know who owns the
property; there was no mention of a property owner, just an attorney representing
the property owner. In the future, Council should know who the parties are. She
was willing to proceed on this one.
RESOLUTION 19057 OFFERED BY MAYOR HORTON, heading read, text waived, passed and
approved unanimously 5-0.
16. PUBLIC HEARING TO CONSIDER TESTIMONY OF THE FISCAL YEAR 1998/99 LEVY OF
ASSESSMENTS FOR CITY OPEN SPACE DISTRICTS 1-9, 11, 14, 15, 17, 18, 20, 23,
26, 31, 33, BAY BOULEVARD, AND TOWN CENTRE - The City administers 25 open space
districts established over the last 25 years. The districts provide the
mechanism to finance the maintenance of common open space areas (canyons, trails,
medians, etc.) associated with and benefitting that particular development. As
part of this process, a levy of an annual assessment is necessary to enable the
City to collect funds for the proposed open space maintenance. On May 26, 1998,
Council approved the open space reports on assessments for all existing open
space districts and set tonight for a public hearing to take testimony on the
proposed assessments. A second public hearing is scheduled for July 14, 1998.
Staff recommends the public hearing be opened, testimony taken, and the public
hearing be closed. (Director of Public Works)
John Lippitt, Public Works Director, stated that an assessment is set which is
based on last years plus the CPI in most cases, but the collectible is either
equal to or lower than that. Based on the bids, we have been able to keep within
that for this next year. None of the Districts will exceed the provisions
allowed by Proposition 218.
This being the time and place as advertised, the public hearing was declared
open. There being no one indicating a desire to address the Council, the public
hearing was closed. A second public hearing is scheduled for July 14, 1998.
17. PUBLIC HEARING TO CONSIDER TESTIMONY ON THE FISCAL YEAR 1998/99 LEVY OF
ASSESSMENTS FOR CITY OPEN SPACE DISTRICT NUMBER 10 - Based upon the advice of the
City Attorney, this item has been separated due to conflict of interest concerns
since two Councilmembers own property subject to the proposed assessment in this
district. A second public hearing is scheduled for July 14, 1998. Staff
reconunends the public hearing be opened, testimony taken, and the public hearing
be closed. (Director Of Public Works)
No staff report was presented.
Minutes
June 23, 1998
Page 5
This being the time and place as advertised, the public hearing was opened.
There being no one indicating a desire to address the Council, the public hearing
was closed. A second public hearing is scheduled for July 14, 1998.
18. PUBLIC HEARING TO CONSIDER TESTIMONY ON THE FISCAL YEAR 1998/99 LEVY OF
ASSESSMENTS FOR EASTLAKE MAINTENANCE DISTRICT NUMBER 1 - Based upon the advice
of the City Attorney, this item has been separated due to conflict of interest
concerns since one Councilmember owns property subject to the proposed assessment
in this district. A second public hearing is scheduled for July 14, 1998. Staff
recommends the public hearing be opened, testimony taken, and the public hearing
be closed. (Director of Public Works)
No staff report was presented.
This being the time and place as advertised, the public hearing was declared
open. There being no one indicating a desire to address the Council, the public
hearing was closed. A second public hearing is scheduled for July 14, 1998.
19. PUBLIC HEARING DECLARING INTENTION TO ORDER CERTAIN CHANGES AND
MODIFICATIONS TO THE ENGINEER'S REPORT IN ASSESSMENT DISTRICTS NUMBER 90-3, 91-1,
AND 94-1 - On August 6, 1996, Council approved the changes and modifications in
proceedings and assessments in Assessment District Number 94-1; approved the
Fourth Amendment to the Acquisition/Financing Agreement; and ordered changes and
modifications in proceedings and assessments in Assessment District Number 91-1.
Due to the density in two subdivisions of EastLake Greens, Units 10 and 16, The
EastLake Company has requested that a change and modification in the assessment
districts be ordered. Since the assessment for every parcel will be reduced, no
parcel will be above the 2% annual limit. These changes will affect undeveloped
and unsold properties. No assessment on existing home Owners will be modified
by these actions. Staff recommends approval of the resolution. (Director of
Public Works)
RESOLUTION 19058 ORDERING CERTAIN CHANGES AND MODIFICATIONS IN
ASSESSMENTS LEVIED WITHIN ASSESSMENT DISTRICTS NUMBER 90-3, 91-1, AND 94-1
John Lippitt, Public Works Director, stated that there will be no increases and
there is only one property owner involved. However, this did require a vote.
Beverly A. Authelet, City Clerk, opened the ballot and stated that the ballot
read, "Do you approve the increase in the assessment to the above identified
property as proposed. The ballot was voted yes."
This being the time and place as advertised, the public hearing was opened.
There being no One indicating a desire to address the Council, the public hearing
was closed.
RESOLUTION 19058 OFFERED BY COUNCILMEMBER PADILLA, heading read, text waived,
passed and approved unanimously 5-0.
BOARD AND COMMISSION RECObU4ENDATIONS
None submitted.
ACTION ITEMS
20. RESOLUTION 19018 APPROVING THE INDUSTRIAL LAND TASK FORCE RECOMMENDATIONS
AND DIRECTING STAFF TO IMPLEMENT - On October 9, 1997, staff presented a report
regarding the lack of adequate industrially zoned land in Chula Vista at a joint
Planning Commission/City Council Workshop. The report addressed the decreasing
supply of "deliverable" industrial acreage and the increasing industrial demand
both in the City and County-wide. Public testimony was received. The Planning
Commission and Council requested that the Economic Development Commission (EDC)
establish a Task Force to review the issues discussed at the workshop and that
staff and the EDC return to Council with specific recommendations. An Industrial
Land Task Force was formed, composed of the EDC Chair, the Planning Commission
Chair, the Mayor, and five EDC Commissioners. Staff recommends approval of the
Minutes
June 23, 1998
Page 6
resolution. (Director of Community Development) Continued from the meeting of
5/26/98.
Cheryl Dye, Economic Development Manager, presented the staff report.
Addressing Council were:
· William Tuchscher, 3130 Bonita Road, EDC Chair, stated that Chula Vista is
a leader in addressing issues of the time. San Diego EDC has recently engaged
a similar task force; we are done and they are just getting started. The task
force addressed three issues: inventory of industrial land, development impact
fees, and customer service. In doing so, they decided to take affirmative, quick
action in the area of land inventory. The reason they did that was that
development impact fees become less important if you don't have any inventory,
and customer service becomes less relevant since we are not attracting any new
companies. They took a lot of input from developers, commercial real estate
brokers. He introduced Linda Greenberg from Grubb and Ellis who gave the task
force a summary of County-wide industrial land availability.
· Linda Greenberg, Grubb and Ellis, presented the industrial land
availability from Oceanside to Otay. This reflected properties which were
currently available or in some level of processing. Those properties were:
Oceanside: Has a total of 587 acres. There are requests to rezone from
industrial to residential so it is uncertain how many total acres will
ultimately be deliverable.
San Marcos: Has less than 20 acres.
Fallbrook: Has a 400 acre site. There is very limited infrastructure; it
would be a minimum of four years to brlng that property to the market.
Because of its remote location, it will not be highly popular location for
a lot of industries.
South Vista: Has 45 acres, but they are for build to suit. There are also
65 net acres which is raw land at this time.
Carlsbad: Has 155 acres which are not currently available. There are also
another 50 acres, but the pricing will be higher than the typical
industrial pricing.
Rancho Bernardo: Is completely sold out.
Poway: There are 150 acres available but based upon absorption, the
schedule is that they will be sold out in two years.
Carmel Mountain Ranch: Is completely sold out.
Sabre Springs: Has 12 remaining acres at a minimum price of $15 square
foot which is not industrially priced land.
Sorrento Mesa: Is completely sold out.
Scripps Ranch: Will have 50 acres at approximately $17 square foot and up.
Miramar: There are currently no available sites for sale. Fenton is
preparing to bring 60 acres on line. There will be substantial on-site
development costs which will result in relatively high prices. That is a
year to eighteen months away.
Kearney Mesa: There are a total of 34 acres that will be for build to suit
only; and 63 acres zoned C-A which will allow it to go either retail,
office, or hospitality; and 150 acres zoned M1-B. Based on current land
sales in the area ($16 square foot range), land will be significantly more
expensive than typical industrial land.
Central San Diego: There are limited infill sites in the 4-7 acre range;
probably a total of 50-75 acres spread out.
Minutes
June 23, 1998
Page 7
National City: There are a couple of limited infill sites; not more than
two acres each.
Otay Mesa: There are currently 400 acres of finished, deliverable land.
There will be another 120 acres coming on. In the future, there are about
2,000 gross acres including the unincorporated area.
Ms. Greenberg stated this is the inventory for the foreseeable future. If we
kept the 1997-98 year-to-date pace of industrial land sales, that absorption
scenario would probably be approximately three years.
Mr. Tuchscher requested that Council adopt the policies recommended by the
Industrial Land Task Force.
· Jim Moxham, 2801 Albatross Street, San Diego, 92103, representing the
EastLake Company, stated that they were currently experiencing a strong demand.
Most of the demand was developer driven; not user driven. When they look at the
depth of the market and look at the next phase of their business center, they
have to access what is the user demand. They are not clear on it. When they
consider the recommendations for Phase II of the business center, they are
required to assess the cost in delivering that, the demand, and the economics of
the market. Then, based upon that decision, make the best decision they are
capable of. They felt they needed more flexibility than what is prescribed in
the Industrial Land Task Force recommendations. They are prepared to support the
recommendations subject to several modifications: (1) EastLake should be allowed
to apply for and receive City support for alternative industrial land locations
within the EastLake community. There are approximately 80 acres that they are
asking to be able to locate some portion of that elsewhere in EastLake. (2) That
the City support them having a residential overlay on half of that industrial
land. They are willing to let it go forward as industrial, but they would like
the overlay in the event the demand is not there. (3) Staff has been working
with them to try to get them grants from the Federal Economic Development Agency
Grant to offset some of the infrastructure costs. The cost of developing Phase
II of their business center, because its topography is disproportionately high.
He requested Council's support on these items, then the EastLake Company will
commit to immediately processing and planning the most immediately adjacent 40
acres of their business center.
Councilmember Salas stated all the indications are that the economy is revving
up and the serious demand is there. She did not understand why there is a
hesitation that it is developer driven, not user driven. It seemed to her that
the developers would not commit their resources and funds into developing
something that would sit idle; there has to be some kind of indication that there
ultimately is a demand for users and jobs out there.
Mr. Moxham responded that developers are entrepreneurial driven; they assess the
risks of the market. The ones moving forward in EastLake are believing that they
will find the users. We are talking about 500,000 square feet of new products.
When you do have a 90,000 square foot building, a quality building that hasn't
absorbed, then that is a concern to them. Another thing is that all Of the
activity has occurred in north and central San Diego County. Developers look for
opportunities to get back into the market; the South Bay has been the last
portion of that market to receive that demand.
Councilmember Salas asked if Council were to consider the land swap to site 40
acres outside the original site, what kind of time line and delay are you looking
at in terms of making those swaps?
Mr. Moxham replied that it would probably take them 12 to 18 months to complete
the entitlement and mapping process of the most immediate 40 acres. They were
prepared to move forward with that process if they could gain some Of the
flexibility from the Council. Once that process is complete and they have the
final map, then it would probably not take much more than 120 to 150 days to
deliver the finished sites to a user.
Councilmember Moot asked what was the rationale for having the residential
overlay.
Mr. Moxham responded that its to protect themselves in the event the market is
not there. They sat with 30 to 35 acres for five years, selling only one lot to
Minutes
June 23, 1998
Page 8
the INS. They were in a different position today, but they still have concerns
about the strength of the market as it relates to companies versus developers.
When they looked at the second 40 acres, they were weighing if the demand was
strong enough for the first phase at land prices that will support the second
phase. If it is not, then they would like to go forward on that property with
residential and move the other 40 acres to a site that doesn't have such extreme
development costs. The topography of the land further south at the SR-
125/Olympic Avenue is much flatter and the improvement costs would be
significantly less. If they move the 40 acres ("land swap") to Olympic Avenue
and SR-125 and then find that the 40 acres that they have in the first part of
Phase II took a long time to develop or that when they get to the land swapped
parcel, the market isn't there; then they would like to have the residential
overlay there.
Ann Moore, Assistant City Attorney, stated that essential those proposals would
be acting either as a zoning decision or at least a precommitment by City
Council. She suggested that those items be referred back to staff.
· Russ Hall, Economic Development Commissioner, 235 "K" Street, Chula Vista,
91910, stated that at one of the hearings they invited commercial real estate
brokers to explain why does some properties do well in parts of the City and
others do not. One of the areas that came up was property in EastLake. A
commercial real estate representative relayed to the task force an example when
she was taking a client down Telegraph Canyon Road. She got half way when the
client said stop the car and turn around. He said there was no freeway access
for his particular purposes. This underscores part of the problem we are seeing
in the eastern territory is that we do not have SR-125 developed yet. He felt
that would change drastically as soon as SR-125 goes through. He urged caution
in whatever we do and whatever we plan in sum total with EastLake and Otay Ranch
keeping in mind that the overall mission that we are trying to accomplish is to
insure a well balanced tax base that will in the future buffer us against the
terrible recession that we went through.
Chris Salomone, Community Development Director, expressed that staff could come
back with a report on this with the various issues such as the CEQA issues,
planning issues, and the time frames within thirty days. Coming back with an
action, would be problematico If we come back with a report, then Council would
have more information on the proposal. Staff would recommend that Council act
on the task force's recommendation now.
Councilmember Moot stated he would be in favor of acting now on the
recommendation, but would be more than willing to look at EastLake's proposal.
He felt that the possibility of the 40 acres locating near an SR-125 interchange
may be better. He was not "wild" about a residential overlay if it meant that
we would potentially lose industrial acres. A request like this needs to be in
writing and looked at by staff before Council can analyze it. There is a
potential site for a large user if we really wanted to stay open to another
Raytheon or company like that by moving quickly on the Kaiser site which is 30
acres. That would be an ideal site to fast track because if we had an
opportunity to have a large industrial developer, we might have the only readily
available 20 acre site. The task force said six months which included EastLake
Village Center. He would like to look at that site separately and see if there
might be some wisdom in bringing that site potentially on line and available even
quicker than that.
Mayor Horton agreed. Conceptually she could support this, but Council needs to
have the item analyzed fully before we take formal action.
· William Tuchscher stated that the task force dealt with industrial land
city-wide. They talked about various sites, but this wasn't a site specific
policy. They were asking Council to set a policy relative to this particular
land use and lay out a strategy to preserve the integrity of the inventory that
we have. That does not preclude anyone from filing an application for a zone
change and he encouraged anybody owning industrial land to do that if it makes
sense and/or if it brings some portion of that land on sooner. It is important
that Council take an affirmative action now which preserves the predictability
and deliverability of the industrial land that we have in our inventory. We do
not want to be planning our future based upon the last seven years of history.
Minutes
June 23, 1998
Page 9
RESOLUTION 19018 OFFERED BY MAYOR HORTON, heading read, text waived, passed and
approved unanimously 5-0.
21.A. RESOLUTION 19066 DIRECTING STAFF TO DEVELOP AN EDUCATIONAL PROGRAM FOR
CHULA VISTA RESIDENTS ON UTILITY DEREGULATION, CONSUMER CHOICE, AND CARBON
DIOXIDE EMISSIONS; AND DIRECT STAFF TO ACT AS A CONDUIT TO RESIDENTS, OFFERING
VALUED-ADDED SERVICE REGARDING ELECTRICITY CHOICES AVAILABLE TO CONSUMERS
SPECIFICALLY RELATING TO GREEN POWER - SANDAG has conducted a Request for
Proposal process and identified a vendor to provide electrical power to a pool
of participating public agencies. Staff reconmaends approval of the resolutions.
(Principal Management Assistant Young and Environmental Resource Manager
Bamberger)
B. RESOLUTION 19059 APPROVING A MEMORANDUM OF UNDERSTANDING WITH THE SAN
DIEGO ASSOCIATION OF GOVERNMENTS (SANDAG) FOR PARTICIPATION IN THE SAN DIEGO
REGIONAL POWER POOL AND APPROVING AN AGREEMENT WITH COMMONWEALTH ENERGY TO
FUNCTION AS AN ELECTRIC SERVICE PROVIDER
C. RESOLUTION 19060 DIRECTING STAFF TO CONTINUE EVALUATING OTHER ELECTRICITY
PURCHASING OPTIONS, INCLUDING CONSIDERATION OF PRICE, POWER GENERATION SOURCE AND
CO2 EMISSION IMPACT; AND TO CONSIDER IN FUTURE ELECTRICITY PURCHASING CONTRACTS
THAT A SIGNIFICANT AMOUNT OF "GREEN POWER" BE PROPOSED AS AN OPTION
Barbara Bamberger, Environmental Resource Manager, presented the education
portion of the staff report.
Addressing Council were:
· Kathryn Lockhart, representing Foresight Electric Company and Friendly
Power Company, 455 Euclid Avenue No. 107, San Francisco, 94118, stated that
Foresight Electric Company was a northern California company specializing in the
procurement and eventual sale of renewable energy to customers in California.
They function on the wholesale level providing a bridge between generators and
energy service provlders. As such, they are in business with Friendly Power
Company to help them with renewable power to customers for whom they have sold
that. They were here to introduce an opportunity for Chula Vista to obtain a
portion or all of its energy that the City uses from renewable resources. She
understood that the City has received the opportunity through SANDAG and
Commonwealth to have a value priced proposal for energy services. It was in the
context of responding to that proposal that they put forth their own proposal.
She went over and compared both proposals.
Mr. Young stated that regarding parts B and C, what is before Council is a
contract that has been negotiated through SANDAG as a result of an RFP process
which was conducted by SANDAG to select an energy service provider for all of the
public agencies throughout San Diego County which were interested in
participating in a power purchasing pool. This pool would give those agencies
the opportunity to combine their electrical loads and achieve some bulk savings.
As a result of that RFP process, SANDAG selected Commonwealth Energy who is
proposed in the contract before Council. That contract would offer 1.5 to 3.5
percent savings over the total amount that any of the agencies that is currently
paying for electricity. The cost to the City for joining this pool is limited
to the monthly charge that the City would incur on a select number of meters that
the City has. The term of the proposed contract is one year and is renewable
beyond that time. It would be overseen by SANDAG staff and by City staff who
would be tracking the savings that we would be achieving on those meters. The
city can join with any number of meters that we would like to put into this pool.
What is proposed is that the City join with a very limited implementation with
the SANDAG pool, because the other terms that apply to this contract state that
although we can add meters at any time, we cannot take meters out of that pool
once they are in the pool until we get to the expiration of the contract. One
of the other considerations which is causing staff to bring the contract forward
at this time and recommending the phased implementation is that SANDAG has a July
1st date by which they would like all agencies to respond to this proposal. It
is the date by which Commonwealth is guaranteeing the savings that they have
proposed. There are some other opportunities out there that Council may want to
investigate further. Those opportunities may involve dollar savings to the City,
and they may involve environmental benefits. One of the options out there that
has recently developed is the State Department of General services which
Minutes
June 23, 1998
Page 10
developed a similar RFP process and came up with three vendors that they are
working on to develop contracts with. One of them is Commonwealth. That would
have some very similar types of percentage savings but the terms of that have not
been fully decided yet and is not ready for a Council decision. They are looking
at August 31 as the date for people to contract with them.
· Mike McLaughlin, Director of Planning for SANDAG, 401B Street, San Diego,
stated that SANDAG was asked to evaluate the potential for saving money as a
result of the restructuring and partial deregulation of the California electric
industry. SANDAG has been working with a policy committee of elected officials
and a working group made up of staff representatives of over a hundred different
agencies. The result of that work is the proposal before Council to create a
power pool to provide discounts on electric purchases for public agencies. He
briefly highlighted the power pool proposal through the use of overheads.
Councilmember Moot stated that one of the things that stands out in the SANDAG
proposal is that 80% of the proposed energy is coming from coal. He asked what
did SANDAG analyze with respect to the environmental impacts of coal generated
power production that might affect cities and counties and other potential costs
that may arise because of the environmental impacts of coal generated
electricity.
Mr. McLaughlin replied that the percentage is fairly close to the current mix of
electric provisions in the region, so in terms of environmental impacts, it would
come out even. They want to go back and look at some potential green energy and
some of the issues that were brought up tonight in terms of evaluating that
proposal. Part of their conversations with Commonwealth, they guaranteed the
investigation and opportunity to look at a greener mix and see what that does in
terms of the savings, because you will be balancing the savings versus the cost
of green energy. That will be a policy decision that Council will have to make.
This was a cost savings drive, but they did examine the possibilities and look
at the green energy provisions. As part of their proposal, they solicited from
the proposers any green energy sources that they could provide as part of their
proposal. They went through an evaluation in looking at that as a combination
of packages in terms of cost savings and what the mix of the energy was. The
committee that went through that evaluation recommended Commonwealth in those
proposals.
Councilmember Salas stated that the contract was to get a foothold to join with
SANDAG at the July 1st opening date. What Council is considering is eight meters
out of 431, so it is a very small portion of what we are considering. Of
importance to her is weighing the cost and the cost of the green power. One of
the things that we have to consider when you are talking about the reductions of
tons of carbon dioxide into the atmosphere is that green power may cost a little
bit more. In reading the staff report, it states that green power is about the
same or in some cases lower than the cost of less green mixes. Just because
there is so much dependence upon coal type of energy in the Commonwealth mix, she
would like to see the environmental savings explored when we are using the green
power.
Councilmember Moot stated that with energy deregulation, there are a lot of
competitive market-driven forces that are now going to come into play. Those
forces will be determined by the first of the contracts that get entered into by
the energy providers. When people have realized that there are savings when you
adopt environmentally responsible activities, that will be the driving force
which ultimately will produce the kind of environmental changes we are looking
for. we have a chance to be a major player in the competitive market forces as
to what energy will be and where it will be produced. We have an opportunity,
along with others who agree with Chula Vista's philosophy on environmental issues
to have a seat at the table at the market place because we are the ones creating
the demand in this new environment. We are the ones to tell the producers of
energy what we want and why we want it. The savings that we want will probably
see will be two, three, four years down the line when the market begins to react
to the demand. If energy continues to be provided by the traditional sources,
people will go back to those traditional sources; there won't be any motive to
change. In this area, there is a growing recognition that governments need to
change their thinking about energy consumption and use in its environmental
impacts.
Minutes
June 23, 1998
Page 11
Councilmember Padilla stated that the issue of deregulation statewide with this
particular utility is very complex. True conversion to market driven competition
that allows for a long-term conversion to clean, more efficient energy production
and uses in technologies which ultimately reach the consumer are something which
takes place in the long-term. If they are truly market-driven, they take place
without the involvement of government or the least amount of involvement of
government along the way. With the change in the state legislation, the
participation in pools such as SANDAGS is not going to be universal or is going
to have a universal impact on the ability of consumers to ultimately have a
choice of where the energy that is being provided to them is being produced or
how it is being produced. In the short term, he was not certain that the
conversion to more green energy production and new technologies is necessarily
cheaper. But we do know that in the long term the likelihood is that it will be.
If this was analyzed from strictly a short-term economics stand point, he would
have to argue against what Mr. Moot said. But if you look at the larger policy
questions and at the direction and issues of sending a message about trying to
signal that we have to make it clear that we have some faith that ultimately in
the long-term moving to greener production and at the supply end is going to
affect the cost of the individual consumer in the long term, that makes sense.
He was not sure how we were going to achieve that in local government in terms
of participating in pools who select producers who don't use the most green
technology. He felt we can send a signal and perhaps have a further exchange of
information through SANDAG with the particular pool provider that has been
selected and find out if there are ways to address the issue of the technology
employed on the supply side.
Mayor Horton stated green power is an issue of concern with all the agencies
involved in the process. This contract is flexible, it doesn't hold the City to
be a participant if there are alternative actions that the Council migh~ want to
take in the future. She felt it was an important start and if our voxce is to
be heard, we should be a participant and go with staff's recommendation.
Councilmember Moot felt that we send a wrong message by entering into a contract
like the one that is proposed, because once that contract is signed and entered
into, the message is we will accept this mix of energy use. He felt that was the
wrong message to Send. We ought to send the message that this energy mix is not
acceptable to us, and we won't sign contracts and commit to this kind of energy
mix. We have a perfectly good default provider, SDG&E, who has already provided
this mix. We don't necessarily have to sign a contract that is going to save us
$14,000 while we are looking at other alternatives. He wanted to know from staff
what efforts have been made to join forces with San Jose, Irvine, Santa Monica,
and Santa Barbara to see if they could put together a pool that may be more in
fitting with the direction we want to go.
Ms. Bamberger clarified the issue of the resource mix between the generic power
and the power exchange. It has been mentioned a few times that they are the
same. To clarify that, the largest percentage of fuel in that fuel mix on the
power exchange is actually about 34% natural gas and 17% coal. The rest being
a Split between nuclear renewables at 11% and hydro at 24%. In addition, on the
com/nent regarding the coalition of cities, the cities are looking into the
possibility of aggregation, however, they are not at the point where there is
anything that is solid. The other proposals coming to the City from the
Department of General Services, Foresight Energy, and potentially Commonwealth
may be stronger in the short run. While we are working with those proposals and
reviewing them, we will continue to work very closely with the other ICLEI
cities. San Jose has recently hired a staff person specifically for the purpose
of developing an aggregation effort for green power and ABAG is also going to be
rebidding for green power. So there are options coming up very shortly, but it
isn't as short term as those that are coming up between now and August 31.
® Fred Blum, CEO Of Commonwealth Energy, based in Tustin, stated he did not
know where the statistics for green energy came from. They did not come from
them. It is a falsehood for the Council to be making a decision based on saying
that 80 or 87% of their power comes from coal. That is not true. One of their
suppliers is Pacific Corp. Their generation capacity is about 80% coal and 20%
hydroelectric; they are one of a hundred different energy suppliers that they are
currently procuring from. To make a decision for or against Commonwealth on the
basis of the coal analysis is erroneous. They go to the wholesale market on a
daily and weekly basis to buy from the most cost-effective producers. Sometimes
its hydroelectric; sometimes its coal; sometimes its natural gas which makes up
Minutes
June 23, 1998
Page 12
the majority of the power that their customers are using and the mix is virtually
identical to that of the power exchange, because most of the suppliers that are
ultimately generating their power are the same ones that are selling into the
power exchange. They agree with the long-term outlet of this industry. The
pushing of the green renewable power is one of the reasons why they pay three
times as much for power as people in the Pacific northwest; it has driven up the
costs. These are not economically efficient measures to produce electricity.
Over time, with new technology, they will get better. New technology isn't going
to enter the market place unless new companies with free thinking ideas are
allowed to get a foothold in the market. The reality is that unless you offer
a discount, most customers are not going to switch. In order to get a customer
base that allows you to stay in business and proceed along the lines of
revolutionizing the industry, Commonwealth has made a decision to offer discounts
instead of green power in the early stages. At the behest of organizations such
as the City and the State Department of General Services, they were putting
together a green power program that will be very similar to what Foresight was
talking about which will be a combination of discount power and green power will
ultimately result in a revenue neutral program. If in fact, the City chose to
come on board with the power pool and sign on with Commonwealth and you had a
green power alternative that Commonwealth could not match or beat, the City would
be free to go and pursue that green power alternative. By getting in with
Commonwealth, you would be guaranteed savings, and you would have the flexibility
to switch to either a green power mix or a different green power supplier if at
such time you believe that was in your best interest.
Mr. Young added that if Council has any desire to make a decision on the basis
of the source of the power, Commonwealth is looking into a green power option,
specifically for agencies like Chula Vista or Department of General Services that
are interested in that. If there are issues with the mix of power sources that
was quoted in the staff report, that is something that staff can discuss further
with Mr. Blume. The intent in bringing forth the report in the part B and C was
to present not only the foothold to allow the City to participate in the SANDAG
pool at this time, but also the ability to respond on the more principled issue
of green power and bring those issues back when staff has had an opportunity to
look at actual contracts from both Commonwealth and other providers who might be
able to provide something along that line.
Ms. Bamberger added that the source of information regarding coal came from
SANDAG minutes that were provided to us when we were reviewing the proposal in
March. Those minutes are available.
Councilmember Rindone stated the efforts to provide short term savings with the
strong indictment of trying to move towards the green power alternative and
looking at the bigger picture is the best course for us to take. It is practical
and means that we are a participant player, but we also have an advantage that
other cities don't have and that is the pool of ICLEI membership of which we are
one of the charter members. He liked the direction that is being suggested
because it is being progressive. Its not just looking at a short-term profit or
a simple solution of a very complex subject. The first part is on the education
and that is what needs to be done. The other two parts is to participate in a
MOU with Commonwealth, get some of the short-term benefits, but understand that
this City even if it has to take the leadership, but if not, provide with other
cities in ICLEI to look at the alternatives. He felt this was the best way to
go.
Councilmember Padilla asked if Mr. Moot was suggesting that the form of the
statement he wishes to make would take the form of not supporting the
recommendation on the "B" resolution to join the pool. He also asked staff if
some of the information would predicate our decision in that regard was possibly
incorrect. In other words, the mix from which Commonwealth draws is in fact
better than we had initially relied upon SANDAG staff or we had thought, and that
may provide another alterative way for the Council to make the same statement and
still be able to support the same agreement. How do we translate this into
action?
Mr. Rowlands responded that from staff's perspective, the debate the Council had
and the comments from Mr. Moot were echoed to him directly by staff. The same
issues of policy and why do this or don't do this is why the report recommends
a phase in of only eight meters and not the entire 431. He believed that Council
has much more influence as a player at the table than being outside the door.
Minutes
June 23, 1998
Page 13
Staff has been very involved with ICLEI, and they are trying to work together to
tackle the issue of green power. Staff is correct; don't go for the whole
package with the SANDAG contract, but phase it in and give Council options to
pull back. As indicated, we can pull out at any time if we had to. He felt that
staff had given Council the options to get out. The policy point, the commitment
and philosophy that Council has concerning green power is still in the package.
If Council does not adopt these actions, staff's hands will be tied as a player.
He believed we would be much more effective and more powerful having our staff
at the table at SANDAG to make our point.
Mayor Horton stated that is why she was in favor of staff's recommendation,
because if we are going to be a effective, we have the opportunity to share our
concern with the region. We can be more effective working with the other cities
and in trying to enlighten them as to what the impacts would be.
· Don Cultrain, Senior Vice President and Director of Commonwealth Energy,
stated that people have made some assumptions which need to be clarified. He
felt that the City joining with them, at least on a limited basis, gives you a
voice, and they are also promoting such things as green power for those who want
it. In order for the City to exercise a green power option, they have to create
green power projects because otherwise it is just a reallocation what you would
be scheduling for your account and would effectively be taken away from some
other city. The City's desires are no different from theirs. He felt that if
the City joined with the SANDAG pool, we can all work together to make this work.
Councilmember Salas felt that Councilmember Moot was right in insisting that we
set the policy here and that we have a very clear statement that we are going to
create the demand by insisting that we negotiate with people and companies that
are willing to use the clean energy sources. If we insist that to be part of the
SANDAG pool that we want the mix greener, then that is our responsibility to do
as a Council. It was her belief that what we are looking at is that even if we
pay a higher cost for energy, we are actually saving environmental costs. She
was in support of the staff recommendation because when she read it, it was very
clear to her that we were just joining in a very small area and only committing
eight of our 481 meters.
Mr. Cultrain stated that they were concerned with both the supply side and
developing projects in response to the demand. They were also trying to save
energy by developing such products which can be used to cut air conditioning
costs and consumption by up to 40%. These are the kinds of things that we are
aggressively pursuing. So they are not only looking at the demand side, they are
looking at conservation which doesn't seem to be in the interest of an energy
provider, but they believe that overall the world will be better off with these
types of things.
Councilmember Moot stated he will not be voting in favor of the Resolutions.
Specifically because Resolution 19066 he believed a far better choice is not
Option B, but Option C which is to help consumers make choices as opposed to
simply disseminate information with no endorsements. He felt we had a
responsibility to educate the consumers as to which energy from our analysis
appears to be the better mix. With respect to Resolution 19059, he will not vote
in favor of it because he did not feel it was a good contract. Sometimes you
lead from the inside, and sometimes you have to stand alone and lead from the
outside. This is an issue where if we just go along with what SANDAG has
negotiated and put together, our voice gets lost with a group Of other cities who
are headed in the wrong direction. He would prefer to lead on this issue from
the outside. He was fully in favor of Resolution 19060. He felt it went to the
heart of what we are trying to do. However, he would get there by opposing
Resolution 19059 and supporting Option C in Resolution 19066.
Councilmember Rindone suggested a counter proposal as follows: (1) He liked the
suggestion of Option C, and he would support that. (2) Having seen the fact on
how long it took to settle the landfill issue, he felt Council had to be a player
in the process. Therefore, he would support Resolution 19059. (3) He had no
disagreement with Resolution 19060.
COUNCILM~3q RINDONE OFFERED RESOLUTION 19066 AS AMENDED WITH OPTION C INSTEAD OF
OPTION B AND RESOLUTION 19059 AND RESOLUTION 19060, headings read, texts waived.
Minutes
June 23, 1998
Page 14
Councilmember Moot wanted to make it clear that what he supported was "option C"
which states, "Help consumers make choices - develop a non-exclusive franchise
based upon basic criteria standards for consumers."
Councilmember Padilla stated that the options on page 21A-3 indicate that staff,
while we are dealing in all cases with companies that provide green power, was
trying to avoid helping consumers pick one particular provider of green power
over another provider of green power. That is very different than being neutral
on that issue and not making a recommendation at all. He felt that is where the
confusion was coming from. He felt staff was trying to dodge having the
appearance of commercially endorsing one provider that may have access to equal
green power options than another. In looking at the sixth paragraph of the
resolution, it talks about providing educational efforts by coordinating to
disseminate materials which provide an objective list of companies offering green
power based upon the State of California's definition of renewable energy. He
asked Mr. Moot if that would approach the non-neutral on the issue of providers
that he was trying to achieve.
Councilmember Moot responded that the question was what do you mean by an
objective list of companies offering green power. Does that mean Option B or
Option C. His direction is that it meant Option C. The language itself is
neutral, and it doesn't really tell you among the different ways to provide
objective lists of companies offering green power, how do you do that? The staff
report states that you can do it either through Options B, C, or D.
Councilmember Rindone stated that this is not clearly written in the discussion
of Option C. Option C is to make endorsements for green power. Not necessarily
which companies for green power versus just having cheaper sources. That is the
difference between Options B and C.
Councilmember Moot felt we were arguing over the head of a needle, but provided
staff understands where the Council is going, you can take the resolution and
interpret it to mean what we are saying.
Mr. Rowlands stated that from a staff perspective, the written resolution echoes
the intent of the Council policy and the intent of Mr. Moot. All through the
resolution it speaks of the importance of green power and how we are going to
pursue it.
VOTE ON RESOLUTION 19066 AS AMENDED USING OPTION C: approved unanimously 5-0.
VOTE ON RESOLUTION 19059: approved 4-1-0, Moot voting no.
VOTE ON RESOLUTION 19060: approved unanimously 5-0.
22.A. RESOLUTION 19061 MAKING APPOINTMENTS IN PROPOSED COMMUNITY FACILITIES
DISTRICT NUMBER 98-3 (OPEN SPACE MAINTENANCE DISTRICT NUMBER 35 [SUNBOW II]) -
The Ayres Land Company has requested the City conduct proceedings for the
formation of Community Facilities District Number 98-3. This district will fund
the perpetual operation and maintenance of open space slopes, drainage channels,
detention basins, medians and parkways of Sunbow II. The City has retained the
services of Dick Jacobs Associates as special tax consultant and Brown, Diven,
Hessel & Brewer as legal counsel to provide assistance during the proceedings.
Staff recommends approval of the resolutions. (Director of Public Works)
B. RESOLUTION 19062 ADOPTING A BOUNDARY MAP SHOWING THE BOUNDARIES OF THE
TERRITORY PROPOSED FOR INCLUSION IN PROPOSED COMMUNITY FACILITIES DISTRICT NUMBER
98-3 (OPEN SPACE MAINTENANCE DISTRICT NUMBER 35 [SUNBOW II])
C. RESOLUTION 19063 DECLARING ITS INTENTION TO ESTABLISH COMMUNITY
FACILITIES DISTRICT NUMBER 98-3 (OPEN SPACE MAINTENANCE DISTRICT NIIMBER 35
[SUNBOW II]) AND TO AUTHORIZE THE LEVY OF A SPECIAL TAX THEREIN TO FINANCE
CERTAIN SERVICES
D. RESOLUTION 19064 ORDERINGAND DIRECTING THE pREPARATION OF A "REPORT" FOR
PROPOSED COMMUNITY FACILITIES DISTRICT NUMBER 98-3 (OPEN SPACE MAINTENANCE
DISTRICT NIR4BER 35 [SUNBOW II])
Minutes
June 23, 1998
Page 15
John Lippitt, Public Works Director, stated that the resolution signifies that
the cost per EDU will have a maximum dollar amount of $350 per year. The actual
amount might be less but that is the maximum amount for the first year and then
it can increase by the CPI. This is not a public hearing; it is setting the
Council's intention to hold a public hearing on July 28.
Councilmember Rindone asked why would the Council appoint itself as the
legislative body of the proposed CFD?
Warren Diven, attorney, responded that the Act provides that the legislative body
of the local public agency forming a community facilities district should be
designated as the legislative body of the community facilities district itself.
What this means is that if Council should form this district, from that day
forward when you take action pertaining to the levy of the special tax within
this district, Council will be acting as the legislative body of that district.
A community facilities district is a separate governmental entity for certain
purposes, not for holding separate meetings. When you are acting on matters that
relate to the community facilities district, you would be acting as the
legislative body of that district itself.
RESOLUTIONS 19061, 19062, 19063, 19064 OFFERED BY MAYOR HORTON, headings read,
texts waived, passed and approved unanimously 5-0.
23. RESOLUTION 19065 AMENDING CITY SIGN POLICY 465-01 AND AUTHORIZING THE
INSTALLATION OF DIRECTIONAL SIGNS FOR THE COORS AMPHITHEATER IN THE PUBLIC RIGHT-
OF-WAY - AS part of the directional signage for the Coors Amphitheater, due to
open this July, the developer, Universal Concerts, Inc. is fabricating
directional street signs to be placed in the right-of-way of Otay Valley Road.
These signs will be similar in size and shape to the ARCO Olympic Training Center
signs. Universal wishes to include the logo on these signs. Staff recommends
approval of the resolution. (Director of Community Development and Director of
Public Works)
No staff report was presented.
Councilmember Rindone felt that because of the timeliness and impact on the City,
that if we fail to discuss this, he suggested that we have a vote of urgency to
discuss it tonight.
John Lippitt, Public Works Director, stated it was staff's intention to bring it
back on July 14 as a Council action. Staff receive this information after the
item was prepared, so we did not have time to do it. They will probably start
work on the sign soon. Basically it is a structure, and they can probably change
words on it.
John Keheny, City Attorney, informed Council that if they wanted to discuss this
item any further, he advised that they are going to have to make the necessary
findings that it is an urgency matter. However, he hasn't heard any facts yet
that would indicate it is an emergency matter that arose between the time of the
posting of the agenda and the time of the meeting. He understood Mr. Lippitt's
comment that is on the record that this will be brought back to Council on July
14.
Councilmember Rindone stated the emergency is based on a memo Council received
dated June 18, 1998 where in the last paragraph it states that unless Council
expresses a concern about the process by June 25, staff will proceed with a
temporary permit. If that temporary permit also includes the construction of the
monument signs as designed, then it is appropriate for the comments he would like
to make.
Mr. Kaheny stated that he still has not heard anything that would indicate that
this constitutes any sort of an emergency or necessity to take action at this
point.
Councilmember Rindone stated he would be discussing his concerns as requested on
this memo personally with staff. Regarding the directional signs, the staff
report states the signs include the Coors logo without script since the signs are
not part of the advertising purposes.
Minutes
June 23, 1998
Page 16
Chris Salomone, Community Development Director, stated the symbol which is a star
and some waves is the design that Universal came up with to identify this
particular facility. It is not a logo for Coors or for Universal; it is just the
thing they are using in their advertising that signifies this particular
facility. Calling it the Coors logo is a misnomer. It is the amphitheater logo
instead of a Coors logo.
RESOLUTION 19065 OFFERED BY MAYOR MORTON, heading read, text waived, passed and
approve unanimously 5-0.
ITEMS PULLED FROM THE CONSENT CALENDAR
(Item 14 was pulled. However, the minutes reflect the published agenda order)
OTHER BUSINESS
24. CITY MANAGER'S REPORT(S)
· Tour of San Diego Pump Station. Mr. Rowlands stated there was a memo from
Chris Salomone concerning a proposed San Diego Pump Station. If the Council
would like to have a special bus tour arranged to see this proposed site and also
look at other pump stations in the area, it can be arranged. It could be either
the entire Council or a Council subcommittee with staff to be part of the tour.
Council can get back to staff with some dates.
Councilmember Rindone stated that the last time they tried to schedule a tour to
visit amphitheaters, they were told that no more than two councilmembers could
attend at any one time.
John Kaheny, City Attorney, responded that as long as you stay in the City you
are okay. It would be like a meeting and would need to be noticed.
Mayor Horton directed the City Manager to coordinate this with their secretary.
25. MAYOR'S REPORT(S)
· Ratification Of appointments:
MSUC (Rorton/Padilla) to appoint Hector C. Molina to the Cultural Arts
Commission. This will fill the vacancy created by Commissioner Souval, whose
term expires June 30, 2000.
26. COUNCIL COMMENTS
Councilmember Salas stated she attended the America Cancer Society Relay for Life
last weekend at Southwestern Community College. It was a benefit for cancer
research. She congratulated those who put the event together. It was the first
time it was held in Chula Vista, and there are plans to continue it next year.
ADJOURNMENT
The meeting adjourned at 9:11 p.m.
Respectfully submitted,
City Clerk J~'~
~Authelet, CMC/AAE