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Home My WebLink AboutMinutes 110805 Approved 12/13/05 g' 1 CITY OF ATASCADERO CITY COUNCIL MINUTES Tuesday, November 8, 2005 700PM CLOSED SESSION 6 34 p.m (Immediately Following Redevelopment Agency Meeting) 1 PUBLIC COMMENT — CLOSED SESSION — None 2. CALL TO ORDER a) Conference with Legal Counsel —Anticipated Litigation — Two Cases Significant exposure to litigation pursuant to Govt. Code Sec 54956 9 Subdivision b 3.a 3 ADJOURN 7 05 p m 4 CLOSED SESSION REPORT City Attorney Patrick Enright announced that the prior direction to the City Manager by the City Council to seek the resignation of Mr Tracey has been rescinded REGULAR SESSION 7 00 P M Mayor Scalise called the meeting to order at 7 10 p m and Council Member Clay led the Pledge of Allegiance There was a moment of silence for Bob Nimmo CC Minutes 11/08/05 Page 1 of 11 Approved 12/13/05 ROLL CALL `4r Present: Council Members Clay, Luna, Pacas, O'Malley and Mayor Scalise Absent: None Others Present: City Clerk / Assistant to City Manager Marcia McClure Torgerson, Deputy City Clerk Grace Pucci Staff Present: City Manager Wade McKinney, Assistant City Manager Jim Lewis, Administrative Services Director Rachelle Rickard, Public Works Director Steve Kahn, Community Development Director Warren Frace, Community Services Director Brady Cherry, Police Chief John Couch, Fire Chief Kurt Stone, Deputy Public Works Director Geoff English, Associate Planner Kerry Margason and City Attorney Patrick Enright COMMUNITY FORUM Bob Kelley congratulated the City for the beautiful new City Hall Janice Felde stated she owns and operates Atascadero Children's Center and spoke VAW about the impacts to her Center from projects under development near the Center and how they are affecting the children under her care Mary Chastain, Chairperson of the Chamber of Commerce Board, welcomed Council to the new City Hall and thanked them for the improvements to the Sunken Gardens Tom Dorsey, owner of Ralph's Custom Meats, spoke about his disappointment that the doors of his business will be locked by the City on Monday He asked Council to intervene on his behalf as he would like to stay open until his new shop is completed City Attorney Patrick Enright explained the history of this issue and its current status There was Council consensus to have the City Attorney talk to Mr Dorsey's attorney in the next two weeks, and not proceed with the 24 hour notice at this time. John C Sarlucci expressed his concerns regarding Mr Dorsey's predicament. Dave Rogers explained how Tom Dorsey has helped to make the Mid-State Fair 4-H program successful He spoke in favor of giving him some extra time to shut down his business Ann Ketcherside spoke in support of Mr Dorsey and his business CC Minutes 11108/05 Page 2 of 11 Approved 12/13/05 Mayor Scalise closed the Community Forum period. APPROVAL OF AGENDA. MOTION By Council Member Clay and seconded by Mayor Pro Tem O'Malley to approve the agenda. Motion passed 5.0 by a roll-call vote. COUNCIL ANNOUNCEMENTS AND REPORTS Council Member Luna asked the City Manager if eminent domain has ever been used in Atascadero City Manager McKinney stated he was not aware that it has PRESENTATION 1 Certificate of Appreciation presentation to the California Conservation Corps (CCC). Council Member Pacas read from the Certificate of Appreciation and presented plaques to Bruce Boniface, Doug Holloway and Skip Cleverly of the CCC Mr Boniface thanked 1%W Council and spoke about the program A. CONSENT CALENDAR. 1 City Council Meeting Minutes — October 11, 2005 ■ City Clerk Recommendation. Council approve the City Council meeting minutes of October 11, 2005 [City Clerk] 2. August 2005 Accounts Payable and Payroll ■ Fiscal Impact: $2,600,423 39 ■ Recommendation Council approve certified City accounts payable, payroll and payroll vendor checks for August 2005 [Administrative Services] V%W CC Minutes 11/08/05 Page 3 of 11 Approved 12/13/05 3. State CDBG Grant Application ■ Fiscal Impact: Possibility of up to $1,000,000 in grant funding for the Youth/Community Center Complex project. ■ Recommendations. Council 1 Adopt Draft Resolution approving the grant application for CDBG Disaster Recovery funds for the Youth / Community Center Complex; and, 2 Authorize the City Manager to execute a contract with the State of California if the City is awarded said grant. [Administrative Services] 4. Final Map 2005-0114 (Tract 2664) 6205 Tecorida (TTM 2004- 0057)(Gearhart) ■ Fiscal Impact: None ■ Recommendations Council 1 Accept Final Tract Map 2005-0114 (Tract 2664), and, 2 Reject offer of dedication for Street Purposes without prejudice to future acceptance [Public Works] 5. Final Map 2005-0120 (Tract 2714 Phase 1) 2555 and 2605 EI Camino Real (TTM 2004-0064)(Central Coast Assets / Laughlin Development) ■ Fiscal Impact: None ■ Recommendations Council 1 Accept Final Tract Map 2005-0120 (Tract 2714 Phase 1), and, *r+ 2 Reject offer of dedication for Public Utility Easement without prejudice to future acceptance [Public Works] 6 Temporary Road Closure — Santa Barbara Road and Vieio Camino ■ Fiscal Impact: None ■ Recommendation. Council approve the request from Burke Construction for the temporary closure of Santa Barbara Road from El Camino Real to Viejo Camino and the closure of Viejo Camino from Santa Barbara Road to Halcon Road [Public Works] Items pulled Mayor Pro Tem O'Malley pulled Item #A-3 MOTION By Council Member Luna and seconded by Council Member Clay to approve Items #A-1, 2, 4, 5 and 6 Motion passed 5.0 by a roll-call vote. (Pacas opposed Items #A-4 and 5) Item #A-3 Mayor Pro Tem O'Malley stated he must step down from consideration of this item as he owns a piece of property close to this project. CC Minutes 11/08/05 Page 4 of 11 Approved 12/13/05 MOTION By Council Member Luna and seconded by Council Member Clay to approve Item #A-3 Motion passed 4:0 by a roll-call vote. (O'Malley abstained) (Resolution No. 2005-091 Contact No. 2005-040) Mayor Pro Tem O'Malley rejoined the meeting B MANAGEMENT 1 County Library Discussion ■ Fiscal Impact: None ■ Recommendation. Council discuss request from County Library and provide direction to staff [City Manager] Brian Reynolds, County Librarian, gave the staff report and answered questions of Council Council Member Luna stated he favored directing staff to hold a public forum on this topic; he would like to see the library built soon and located in the downtown Mayor Pro Tem O'Malley indicated that now is the time to start on this project and he would also like to see it located in the downtown He spoke in favor of a partnership between the city, county, and schools regarding the handling of associated costs Council Member Clay spoke in favor of public forums and stated that the Armory property would be a good potential location for the library Mayor Scalise spoke about the effectiveness of utilizing planning charrettes and of including county and city staff as well as library staff and the community Mr Reynolds stated he would be willing to take the lead in this project, consult with staff then come before Council again in January or February with a plan and then proceed with public forums or as Council directs PUBLIC COMMENT— None 2. Wells Fargo Bank's Offer of Dedication of Public Rights-of-Way (Colony Roads ■ Recommendation Council approve a Draft Resolution accepting Wells Fargo Bank's Offer of Dedication of any interest they have in the Colony Roads located inside the boundaries of the City of Atascadero [City Attorney] City Attorney Patrick Enright gave the staff report and answered questions of Council CC Minutes 11/08/05 Page 5 of 11 Approved 12/13/05 PUBLIC COMMENT— None MOTION By Mayor Pro Tem O'Malley and seconded by Council Member Luna to approve a Draft Resolution accepting Wells Fargo Bank's Offer of Dedication of any interest they have in the Colony Roads located inside the boundaries of the City of Atascadero. Motion passed 5:0 by a roll-call vote. (Resolution No. 2005-092) 3 Inclusionary Housing Policy ■ Fiscal Impact: Fiscal impact will vary depending upon the options implemented and the methods of implementation ■ Recommendation Council review the attached report and accompanying documentation and direct staff in the policy direction for implementation of the City's Interim Inclusionary Housing Program [Community Development] Community Development Director Warren Frace gave the staff report and answered questions of Council Barbara Kautz, Goldfarb and Lipman LLP, spoke about the issues and options of inclusionary housing and answered questions of Council r PUBLIC COMMENT Roberta Fonzi, Planning Commissioner, reminded Council that the city has always encouraged a mix of housing, and spoke about the need for developer incentives in the areas designated as blighted Bob Kelley, Planning Commissioner, stated that deed restricted houses could pose a problem as the affordable index goes down, and spoke about the staff time that would be needed to administer fees and enforce requirements. Jerry Rioux, Executive Director SLO County Housing Trust Fund, discussed the need to balance the choices that are being looking at for inclusionary housing Greg Ravat made the point that low income units will not be built unless there are incentives for developers, and that long term restrictive pricing will trap homeowners Reed Harris, Midland Pacific Homes, asked for clarification regarding the formula for calculating the affordable price Ellen Beraud, Planning Commissioner, asked about compliance issues, restructuring in- lieu fees, and the City's commitment to the Housing Trust Fund CC Minutes 11/08/05 Page 6 of 11 Approved 12/13/05 Ben Lerner, mortgage banker, asked if there are any provisions allowing for a lender to realize market value if the borrower does not perform on their note Mayor Scalise closed the Public Comment period. There was Council discussion regarding how to meet the Redevelopment requirements There was Council agreement on 45 year deed restrictions in the Redevelopment area for owner-occupied units and with 55 years for rentals, with 6% on very low income housing, and bringing the total down to 15% affordable There was disagreement on how to handle moderate housing in the Redevelopment area Community Development Director Frace suggested staff will consider Council's comments and come back with more information on how to deal with the 45 year issue, and then go through the deed-restricted issues Mayor Scalise recessed the hearing at 9 13 p.m. Mayor Scalise called the meeting back to order at 9 26 p.m. Barbara Kautz reviewed the Master Development Agreement Issues and Options and answered questions of Council The following is a summary of Council's response to the Issues and Options sheet: • Al Agreement ■ A2 Agreement ■ A3 Agreement ■ A4 Prefer this fee to be an in lieu fee, staff will do further research on actual construction costs versus the affordable price Staff will also look at an inflation factor and will consult with the housing agency ■ A5 This is something that the city can eventually participate in, but until a qualified staff person is in place they will not ask staff to take this on Staff will bring back cost figures for this option ■ A6 Agreement to continue as is PUBLIC COMMENT— A6 Reed Harris indicated his company is currently accepting affordable housing applications for their Colony Homes and explained how they are working with the Housing Authority to handle the applications ■ A7 Agreement that prices should be set at time of sale and not annually and to specifically explain in the ordinance how the prices would be set. CC Minutes 11/08/05 Page 7 of 11 Approved 12/13/05 ■ A8 Agreement ,%W PUBLIC COMMENT — A8 Jerry Rioux suggested adjusting the city's policy to be equivalent based on the new density bonus law ■ A9 Any standards created should yield the same nurnber of units that would have been created on site and have equivalent public benefit. ■ A10 Agreement ■ B1, 2 and 3 Already dealt with ■ B4 City will forgive the initial subsidy after 30 years ■ B5 Barbara Kautz reviewed the five options for Equity Sharing (Moderate income units only) PUBLIC COMMENT — B5 Roberta Fonzi asked for clarification on whether these are deed restricted units and how it benefits the home buyer Jerry Rioux strongly encouraged Council to pick Option 1 as anything else is a gift of public funds Bob Kelley urged caution on how this is handled and recommended a public workshop once the program is put together to get a sense of the numbers involved Reed Harris stated he supports Option 1 as his company has already begun working with California Housing Finance Agency on his project. ■ B5 Agreement on Option 1 ■ B6 Agreement ■ B7 Option selected earlier conforms with CalHFA and Fannie Mae ■ C1 & C2 Discussed previously ■ C3 Agreement on Option 1 ■ C4 Previously discussed ■ C5 Previously discussed ■ C6 Administrative issue to be reviewed at a future date ■ D1 Agreement on Option 4, staff will bring back parameters PUBLIC COMMENT — D1 CC Minutes 11/08/05 Page 8 of 11 Approved 12/13/05 Bob Kelley stated this must allow for flexibility in unusual circumstances, the homeowner should be able to break even on the house Jerry Rioux explained why in this situation problems usually occur after 10 years Reed Harris suggested writing into the restriction a clause stating that should a homeowner rent the property for market rate rather than the affordable rate the city's note would become due and payable ■ D2 Agreement ■ D3 & D4 Agreement to limit the burden on staff, but can consider a flat allowance, percentage, county assessors office records, or appraisals for improvements Staff will address PUBLIC COMMENT— D3 & D4 Jerry Rioux explained why appraisals can add complications to the process. Bob Kelley suggested using the IRS tax form/worksheet for improvements that is generated when a home is sold ■ D5 Agreement on Option 2 ■ D6 Agreement. ■ D7 Agreement to do a homeowner education program PUBLIC COMMENT— D7 Bob Kelley informed Council that the county has a notification program in place that the city might be able to utilize Jerry Rioux suggested looking at a different policy for homebuyers, and that there should be a performance deed of trust on deed restricted units MOTION By Council Member Clay and seconded by Mayor Pro Tem O'Malley to go past 11 00 p.m Motion passed 5:0 by a voice vote. ■ D8 Agreement ■ D9 Previously discussed ■ D10 Agreement to have staff comeback with a proposal There was Council agreement to defer consideration of the Rental Regulatory Agreements to another time *ftr CC Minutes 11/08/05 Page 9 of 11 Approved 12/13/05 4 Certification of Mitigated Negative Declaration for Traffic Way Park Expansion and Recreation Center Master Plan, Precise Plan 2005-0185 (City of Atascadero) ■ Fiscal Impact: Included in the Youth Recreation Center Project budget. ■ Recommendation Council adopt Draft Resolution A certifying proposed mitigated negative declaration 2005-0050 [Community Development] Mayor Pro Tem O'Malley stepped down from consideration of this item as he owns property near this project. Community Development Director Warren Frace gave the staff report and answered questions of Council PUBLIC COMMENT— None MOTION By Council Member Luna and seconded by Council Member Clay to adopt Draft Resolution A certifying proposed mitigated negative declaration 2005-0050, and the resolution should be revised to reflect that it's a M:ifigatffd Negative Declaration Motion passed by 4.0 by a roll-call vote. (O'Malley abstained) (Resolution No. 2005-093) Mayor Pro Tem O'Malley rejoined the hearing Maurice Macare, project architect, gave a report on the revised site plan and what has been changed as a result of the mitigation just approved by Council Assistant City Manager Jim Lewis reported on the timeline and current status of the project. C COMMITTEE & LIAISON REPORTS None D INDIVIDUAL DETERMINATION AND/OR ACTION City Manager Community Development Director Warren Frace reported on Caltrans' request to the City of Atascadero regarding dumping of fill from the Cuesta Grade to a location in town Council was asked to comment and state any concerns they may have CC Minutes 11/08/05 Page 10 of 11 Approved 12/13/05 Council Member Clay* ■ Time of day is concern especially on intersections ■ Road repair—what have they offered ■ Speed down Sycamore after they have unloaded ■ Type of material—is it appropriate for the BMX Park. Council Member Pacas ■ What are the benefits to the City? ■ Will levy be repaired as part of this project? Council Member Luna ■ Any CEQA review of this? ■ Timing issue is very important and this should not impact existing traffic ■ If roads are damaged, they must be fixed ■ Wants to see more detail Mayor Pro Tem O'Malley ■ Concerned with safety and community benefit. ■ Will damaged roads be repaired and/or improved? ■ School safety ■ Is there enough community benefit to justify this? Community Development Director Frace stated he will go back to Caltrans with time *,r restrictions and a request for additional information E. ADJOURNMENT Mayor Scalise adjourned the meeting at 11 32 to the next regularly scheduled meeting of the City Council on November 22, 2005 MEETING RECORDED AND MINUTES PREPARED BY Grace Pucci, Deputy City Clerk CC Minutes 11/08/05 Page 11 of 11