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1986/05/27City Na!lt An-heimt California - COUNCIL MINUTES -May 27~ 1986, 10:00 A.M. The City Council of the City of Anaheim met in regular session. PRESENT ABSENT: PRESENT COUNCIL MEMBERS: Kaywood, Overholt, Bay, Pickler and Roth COUNCIL MEMBERS: None ClTY MANAGER: William 0. Talley CITY ATTORNEY: Jack White CITY CLERK: Leonora N. Sohl ASSISTANT DIRECTOR FOR ZONING: Annika Santalahti INTERGOVERNMENTAL RELATIONS OFFICER: William Sell Mayor Roth called the meeting to order and welcomed those in attendance to the Council meeting. INVOCATION: Reverend Don Dexter, 1st Presbyterian Church, gave the Invocation. FLAG SALUTE: Council Member Ben Bay led the assembly in the Pledge of Allegiance to the Flag. 119: RESOLUTION OF CONGRATULATIONS: A Resolution of Congratulations was unanimously adopted by the City Council to be presented to Samuel Nissan, Temple Beth Emet, upon the occasion of his retirement after giving 20 years of dedicated service to the citizens of Anaheim. MINUTES: Councilman Roth moved to approve the minutes of the regular meeting held May 13, 1986. Councilwoman Kaywood seconded the motion. Councilman Bay abstained since he was not present at that meeting. MOTION CARRIED. WAIVER OF READING - ORDINANCES AND RESOLUTIONS: Councilwoman Ka~wood moved to waive the reading in full of all ordinances and resolutions of the Agenda, after reading of the title thereof by the City Clerk, and that consent to waiver is hereby given by all Council Members, unless after reading of the title, specific request is made by a Council Member for the reading of such ordinances or resolutions in regular order. Councilman Bay seconded the motion. MOTION CARRIED. FINANCIAL DEMANDS AGAINST THE CITY in the amount of ~2,097,385.35, in accordance with the 1985-86 Budget, were approved. CITY MANAGER/DEPARTMENTAL CONSENT CALENDAR: On motion by Councilman Pickler, seconded by Councilwoman Kaywood, the following items were approved in accordance with the reports, certifications and recommendations furnished each Council Member and as listed on the Consent Calendar; Councilman Pickler offered Resolution Nos. 86R-214 through 86R-220, both inclusive, for adoption. Refer to Resolution Book. Councilman Pickler offered Ordinance No. 4719 for first reading. 1. 118: The following claims were filed against the City and action taken as recommended: 387 i94 City Hall~ An~beim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. Claims rejected and referred to Risk Management: a. Claim submitted by Pacific Bell (JF646-0088) for property damage purportedly due to actions of the City on or about January 28, 1986. b. Claim submitted by George A. Frias for property damage sustained purportedly due to actions of the City on or about March 3, 1986. c. Claim submitted by Jeffery C. Kane for bodily injury sustained purportedly due to actions of the City on or about March 16, 1986. a. Claim submitted by Robert P. Neff for property damage sustained purportedly to actions of the City on or about February 13, 1986. e. Claim submitted by Business Properties Management Company for property damage sustained purportedly due to actions of the City on or about January 18, 1986. 2. Receiving and filing the following correspondence: (on file) a. 178: The Metropolitan Water District of Southern California Annual Report, 1985. b. 105: Park and Recreation Commission, Minutes of April 2, 1986. 3. 108: Approving an application for a Public Dance Permit submitted by Thai Q. Nguyen to hold a Vietnamese Dance at the Anaheim Convention Center on June 7, 1986 from 8:00 p.m. to 1:00 a.m. in accordance with the recommendations of the Chief of Police. 4. 160: Waiving Council Policy 306 and authorizing the Purchasing Agent to issue a purchase order to Grosh Service Studios in the amount of ~11,918 for a stage track system in the Convention Center Arena. 5. 160: Waiving Council Policy 306 and authorizing the Purchasing Agent to issue a purchase order to Hampton Tedder Electric Co., Inc., in the amount of $30,126.41 for repair of high voltage circuit at the Convention Center North Exhibit Hall. 6. 160: Authorizing the Purchasing Agent to issue a purchase order to the Anaheim Public Improvement Corporation in the amount of $68,847 for 20 each, 75KVA transformers, single phase subsurface U.R.D. switched and 15 each, 75KVA transformers, single phase subsurface U.R.D. unswitched, in accordance with Bid No. A-4326. 7. 160: Accepting the bid and authorizing an agreement with Club Car, Inc., in the amount of ~434,952, for the lease/maintenance of 132 golf carts and up to 8 Ranger/Utility carts at two City-owned Golf Courses commencing July 1, 1986 to June 30, 1989, in accordance with Bid No. 4329. 388 City Hall~ Anaheim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. 8. 160: Accepting thebid of Specialty Installation in the amount of 536,539 for replacing and installing sixteen doors at the Convention Center, in accordance with Bid No. 4335. 9. 123: Authorizing the Third Amendment to the Agreement with Anaheim Disposal Inc., for the collection and disposal of commercial and industrial solid waste, to make certain rate adjustments effective April 1, 1986. 123: Authorizing the ThirdAmendment to the Agreement with Jaycox Disposal, Inc., for the collection and disposal of residential solid waste, to make certain rate adjustments effective April 1, 1986. 123: Authorizing the First Amendment to the Agreement with Consolidated Volume Transporters, Inc., for solid waste disposal to make certain rate adjustments effective April 1, 1986 through March 31, 1987. 000/132: RESOLUTION NO. 86R-214: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM ADOPTING A NEW FEE SCHEDULE OF SANITATION CHARGES AND REPEALING ILES0LUTION NO. 85R-263. (Adopting a new fee schedule of sanitation charges and repealing Resolution No. 85R-263, to be effective June 1, 1986) 10. 175: Approving an extension of time of 40 days for rehabilitation of Wells 106 and 128 and demolition of Well 108 and Well at Marshall Park, 52-619-6329-02375, -02384, -02398 and -02404, Pacific Machinery, contractor, and assessing liquidated damages in the amount of 514,400 for 144 days. 11. 139/127: RESOLUTION NO. 86R-215: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM ENDORSING PROPOSITION NO. 51: THE FAIR RESPONSIBILITY ACT OF 1986. (Supporting Proposition 51, Fair Responsibility Act of 1986, to relieve local governments from payment of non-economic damages except to the extent of local governments' fault in "deep pocket" lawsuits) 12. 123: RESOLUTION NO. 86R-216: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM APPROVlNG SUPPLEMENT NO. 31 TO THE AGREEMENT WITH THE' STATE OF CALIFORNIA. (Authorizing Supplement No. 31 to Local Agency-State Agreement No. 07-5055, at an estimated cost of $194,000 with City share of 519,400, to provide for the funding of replacement of warning devices at Atchison, Topeka and Santa Fe Railway Co. Railroad Crossing No. 2N-l.1 at La Palma Avenue) 13. 179: RESOLUTION NO. §6R-217: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM TERMINATING ALL PROCEEDINGS IN CONNECTION WITH VARIANCE NO. 2467 AND DECLARING RESOLUTION NO. 73R-63 NULL AND VOID. (Terminating Variance No. 2467s to permit a 40 sq. ft. directional billboard with certain Code waivers on property located at 100 South Magnolia Avenue, to comply with the conditions of approval of Conditional Use Permit No. 2717) 179: RESOLUTION NO. 86R-218: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM TERMINATING ALL PROCEEDINGS IN CONNECTION WITH CONDITIONAL USE PERMIT NO. 2557 AND DECLARING RESOLUTION NO. 84R-207 NULL AND VOID. (Terminating Conditional Use Permit No. 2557, to permit a convenience market with gasoline sales and off-sale beer and wine on property located at 100 South Magnolia Avenue, to comply with the conditions of approval of Conditional Use Permit No. 2717) 389 City Hall~ Anaheim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. 14. 153: RESOLUTION NO. 86R-219: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM WHICH ESTABLISHES RATES OF COMPENSATION FOR CLASSES ASSIGNED TO THE GENERAL CITY EMPLOYEES UNIT REPRESENTED BY THE ANAHEIM MUNICIPAL EMPLOYEES ASSOCIATION. (Establishing rates of compensation for classes assigned to the General City Employees Unit Represented by the Anaheim Municipal Employees Association, creating the classification of Hazardous Materials Specialist, effective May 30, 1986) 15. 158: RESOLUTION NO. 86R-220: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM ACCEPTING CERTAIN DEEDS AND ORDERING THEIR RECORDATION. 16. 129/142: ORDINANCE NO. 4719: AN ORDINANCE OF THE CITY OF ANAHEIM REPEALING SECTION 16.08.050 OF CHAPTER 16.08 OF TITLE 16 OF THE ANAHEIM MUNICIPAL CODE PERTAINING TO STORAGE OF FLAMMABLE LIQUIDS. Roll Call Vote on Resolution Nos. 86R-214 through 86R-220, both inclusive: AYES: COUNCIL MEMBERS: Kaywood, 0verholt, NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None Bay, Pickler and Roth The Mayor declared Resolution Nos. 86R-214 through 86R-220, both inclusive, duly passed and adopted. End of Consent Calendar. MOTION CARRIED. 108: RATIFICATION - PUBLIC DANCE PERMIT - ANAHEIM CRUZ AZUL SOCCER CLUB: Councilwoman Kaywood bored that the application submitted was not clear whether the proposed dance was from 6:00 p.m. to 1:00 a.m. or 1:00 p.m.. 1:00 p.m. she would not approve. If Councilman Pickler moved to ratify the approval of the City Manager of a public dance permit submitted by Manuel Gomez, for the Anaheim Cruz Azul Soccer Club, to hold a dance at the Anaheim Convention Center ohM ay 24, 1986, from 6:00 p.m. to 1:00 a.m., in accordance with the recommendations of the Chief of Police. Councilwoman Kaywood seconded the motion. MOTION CARRIED. 123: LOCAL AGENCY - STATE AGREEMENT NO. 07-5055 - SUPPLEMENT NO. 30: Councilwoman Kaywo0d moved to authorize Local Agency - State Agreement No. 07-5055, Supplement No. 30, at an estimated cost of $94,700 with City share of $15,654, for construction of handicapped access ramps at various off-system streets, as recommended in memorandum dated May 19, 1986 from the City Engineer. Councilman Roth seconded the motion. MOTION CARRIED. 123: USE AGREEMENT - ANAHEIM CITY SCHOOL DISTRICT - FRANCIS SCOTT KEY SCHOOL: Councilwoman Kaywood noted that the proposed agreement stated Anaheim Elementary School District instead of Anaheim City School District which she asked be corrected. Councilwoman Kaywood moved to approve and authorize an agreement with Anaheim City School District for City to have priority use of City owned outdoor facilities at Francis Scott Key School/Modjeska Park during hours of 39O City Hall, Anaheim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. non-utilization by Melodyland Schools and Colleges, for a term of 25 years, as recommended in memorandum dated May 12, 1986 from the Director of Parks, Recreation and Community Services. 129: ANAHEIM AUTO CENTER FIRE LINE CONSTRUCTION: Excepting the project from the bidding requirements of Section 1211 of the City Charter and awarding the contract to General Underground Fire Protection in the amount of 320,150.00 as recommended in memorandum dated May 16, 1986 from the City Engineer. Councilman Bay expressed his concern over the wording indicating that Charter requirements were being waived. City Attorney Jack White explained that technically the Council was not being requested to waive the Charter Section but merely to waive the advertising procedure otherwise required. MOTION: Councilman Bay moved to waive the advertising requirements of Section 1211 of the City Charter in connection with the award of a contract for the Anaheim Auto Center Fire Line Construction, Account No. 01-933-6325, as recommended in memorandum dated May 16, 1986 from the City Engineer. Councilman Pickler seconded the motion. MOTION CARRIED. Councilman Bay offered Resolution No. 86R-221 for adoption, awarding a contract to General Underground Fire Protection, in the amount of 320,150, for Anaheim Auto Center Fire Line Construction, south of Ball Road and east of the 57 Freeway, Account No. 01-933-6325. Refer to Resolution Book. RESOLUTION NO. 86R-221: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM AWARDING A CONTRACT FOR THE ANAHEIM AUTO CENTER FIRE LINE. Roll Call Vote: AYES NOES ABSENT COUNCIL MEMBERS: COUNCIL MEMBERS: COUNCIL MEMBERS: Kaywood, 0verholt, Bay, Pickler and Roth None None The Mayor declared Resolution No. 86R-221 duly passed and adopted. 139/127: PROPOSITION NO. 46 -RESTORATION OF GENERAL OBLIGATION BOND AUTHORITY TO THE VOTERS: Councilwoman Kaywood emphasized that Proposition 46 would restore local control to the voters relative to General Obligation Bonds noting that even with over a 2/3's vote on the storm drain bond issue in 1980 it was not able to be implemented under the language of Proposition 13. Mr. Bill Sell, Intergovernmental Relations Office, clarified Proposition 46 would simply clarify what was originally intended under Proposition 13 allowing voters by a 2/3's vote to finance capital projects and improvements by General Obligation Bonds. Councilwoman Kaywood offered Resolution No. 86R-222 for adoption, as recommended in memorandum dated May 8, 1986 from the Intergovernmental Relations Officer. Refer to Resolution Book. 391 190 City. Hall~ Anaheim~ California - COUNCIL MINUTES -Ma~ 27~ 1986; 10:00 A.M. RESOLUTION NO. 86R-222: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM SUPPORTING PROPOSITION NO. 46: RESTORATION OF GENERAL OBLIGATION BOND AUTHORITY TO THE VOTERS. Roll Call Vote: AYES: COUNCIL MEMBERS: Kaywood, Overholt, Bay, Pickler and Roth NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None The Mayor declared Resolution No. 86R-222 duly passed and adopted. 175/123: INTEGRATION OF INTERMOUNTAIN POWER PROJECT UNIT 1 UNDER THE EDISON/ANAHEIM INTEGRATED OPERATIONS AGREEMENT: City Manager William Talley briefed report dated May 23, 1986 from the Public Utilities General Manager, approving of and authorizing the Public Utilities General Manager to execute three agreements relating to the subject. MOTION: Councilman Pickler moved to approve and authorize execution thereof by the Public Utilities General Manager three agreements permitting the integration of Intermountain Power Project Unit 1 under the Edison-Anaheim Integrated Operations Agreement, and which will provide for equivalent financial benefits for Anaheim during the few weeks required for FERC acceptance of the agreements - the three agreements being (1) Intermountain Power Project Firm Transmission Service Agreement with Southern California Edison Company, (b) Supplemental Agreement for the Integration of Anaheim's Entitlement in the Intermountain Power Project with Southern California Edison Company, (c) Interim Agreement for Edison to purchase from Anaheim its Capacity and Associated Energy Generated by Intermountain Power Project Unit No. 1. Councilwoman Kaywood seconded the motion. MOTION CARRIED. 105: RESIGNATION FROM THE COMMUNITY REDEVELOPMENT COMMISSION: Councilwoman Kaywood moved to accept with regret the resignation of Jane H. Oseid from the Community Redevelopment Commission as tendered in her letter dated May 15, 1986 and authorizing the City Clerk to post an unscheduled vacancy on the Community Redevelopment Commission. Councilman Bay seconded the motion. MOTION CARRIED. Councilwoman Kaywood asked that a letter or resolution be prepared thanking Mrs. Oseid for her 11 years of service on the Commission and rather than mailing it, that it be presented to her at a Council meeting. Councilman Bay felt that a presentation at the Council meeting would be starting a new procedure and setting a precedent for future resignations from every board and commission; Councilwoman Kaywood clarified that her intent was not to make a presentation to everyone who resigns but specifically for Mrs. Oseid recognizing her long service to the City as had been done in the past under the same circumstances, with which Councilman Bay agreed. 181: FULL~RTON COLLEGE PATRONS OF THE ARTS REAPPOINTMENTANDAPPOINTMENT: Councilwoman Kaywood moved to reappoint Vivian Engelbrecht to the Board of Trustees of the Fullerton College Patrons of the Arts for a two-year term upon 392 City Hall~ Anaheim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. expiration of her present term ending June, 1986, as recommended by president Sally Clausen in her letter dated March 4, 1986 and appointing Dee Noble to the Board to fill the vacancy left by the resignation of Victoria Thompson the latter being recommended in letter dated April 26, 1986 from Evelyn Foucher, Secretary of the Anaheim Arts Council. Councilman Pickler seconded the motion. MOTION CARRIED. 179: REQUEST FOR EXTENSION OF PERIOD OF COMPLIANCE TO ORDINANCE NO. 4668: EXTENSION OF PERIOD OF COMPLIANCE: Daniel S. Cretti, requesting exemption of Section 18.87.023 of the Code, concerning sale of alcoholic beverages on service station sites by any person under 21 years of age, in connection with an Arco Service Station and Mini-market located at 700 South State College Boulevard. Submitted was report dated May 20, 1986 from the City Attorney's Office and report dated May 19, 1986 from the Community Development and Planning Department, Zoning Division both recommending denial of the subject request. Mr. Daniel S. Crettt, 700 South State College Blvd., Anaheim. He was present to persuade the Council to exempt his business from one section of the subject Code, specifically item J. stating that no person under 21 years of age shall sell or be permitted to sell any beer or wine. He could live with all the remaining provisions except that one. His daughter was going to be 19 years of age in a couple of months. She worked for him in the family-owned business (Arco service station and mini-market) and was part owner of the business. In e~sence, the City was asking that he put her out of a Job which was her only means of support. She was learning how to run the business and hopefully it would eventually be hers. It would be an undue hardship on both of them. (See Mr. Cretti's letter of May 2, 1986 previously made a part of the record). City Attorney Jack Whtte then clarified the provisions of the ordinance as outlined in his report of May 20, 1986. There was nothing in the Code allo~4ng the Council to grant the waiver of that particular Code Section. It was a part of the Zoning Code. It was possible through the normal variance process and application that the Planning Commission could consider granting a variance from that particular provision. The difficulty would be in providing evidence that would support the findings necessary for either the Planning Commission or Council to approve such a variance. The Code provided that all existing businesses be brought into compliance, including the 21 years of age for sellers, on or before June 18, 1986. If the applicant could demonstrate that the investment in the beer and wine portion of the business required an extension of time prior to complying with the 21 year old provision, the Council could grant an extension of time. Mayor Roth clarified for Mr. Cretti that as explained, the Council did not have the discretion to grant his request at this time. He had the right to make application for a variance but that would not necessarily give him any assurance that the variance would be approved. Due to the complexity of the matter, he suggested that Mr. Cretti meet with the City Attorney's Office to be apprised of the procedure. MOTION: Councilman Pickler moved to deny the subject request. Overholt seconded the motion. MOTION CARRIED. 393 Councilman Ctt7 Ha11~ Anahe/m~ California - COUNCIL MINUTES - Ma~ 27~ 1986~ 10:00 A.M. 173: Y~I.I~W CAB COMPANY - REQUEST TO PERMIT INDEPENDENT CONTRACTOR TAXICAB DRIVER OPERATIONS: Diane L. Slagle, Vice-President, Yellow Cab Company of Northern Orange County, Incorporated, requesting amendments to Chapter 4.72 of the Code, to permit independent contractor taxicab driver operations. Submitted was report dated May 16, 1986 from the Community Development and Planning Department, recommending continuance of the request until July 29, 1986, allowing an opportunity for staff to prepare a comprehensive report regarding the matter. Also submitted was report dated May 19, 1986 from the City Attorney's Office, recommending that the Council either reject the proposal or authorize a feasibilty study in accordance with the recommendation of the Planning Department staff. Diane Slagle, Yellow Cab Company of North Orange County, 1619 East Lincoln Avenue. She referred to her letter dated April 25, 1986 with attachments stating their case. She would be happy to answer any questions. Their proposal would provide better service to the City. They would like to work with City Staff to make whatever Code changes were appropriate in order to accomplish their goal which would be mutually beneficial to Yellow Cab and the City. She had no problem with the recommendation of staff to continue the matter. Councilman Overholt expressed his concern over how, with independent contractors, Yellow Cab could exert the kind of control that the Council as elected officials desire to have. That was going to be a major question he was going to ask; Councilwoman Kaywood expressed her concern relative to items (b), (c) and (d) on Page 7 of the proposed Taxicab Lease Agreement submitted by Yellow Cab. It appeared that all independents would be operating only in the Disneyland/Convention Center/Hotel area. Ms. Slagle should be prepared to answer those concerns at the July 29, 1986 meeting. MOTION: Councilman Pickler moved to continue the subject request to Tuesday, July 29, 1986 as requested by staff. Councilman Roth seconded the motion. MOTION CARRIED. 170: FINAL MAP - TRACT NO. 12642--FINAL MAP: DEVELOPER: Mohammad Rezazahed Seilabi, TRACT LOCATION: 1262 East La Palma Avenue. PROPOSED SUBDIVISION: A 1-lot 7-unlt RM-3000 zoned property. STAFF INPUT: Report dated May 19, 1986 from the City Engineer. On motion by Councilman Roth, seconded by Councilman Pickler, the proposed subdivision, together with its design and improvement, was found to be consistent with the City's General Plan, and the City Council approved Final Map Tract No. 12642, as recommended by the City Engineer in his memorandum dated May 19, 1986. MOTION CARRIED. 149/142: ORDINANCE NO. 4716: Councilman Pickler offered Ordinance No. 4716 for adoption. Refer to Ordinance Book. 394 Ctt7 Hall, Anaheim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. ORDINANCE NO. 4716: AN ORDINANCE OF THE CITY OF ANAHEIM ADDING CHAPTER 14.32.010 TO CHAPTER 14.32 OF TITLE 14 OF THE ANAHEIM MUNICIPAL CODE RRT.ATING TO PARKING RESTRICTIONS UNDER TITLE 14 OF THE ANAHEIM MUNICIPAL CODE. (temporary parking variances) Roll Call Vote: AYES: NOES: ABSENT: COUNCIL MEMBERS COUNCIL MEMBERS COUNCIL MEMBERS Eaywood, Overholt, Bay, Pickler and Roth None None The Mayor declared Ordinance No. 4716 duly passed and adopted. 179/142: ORDINANCE NO. 4718 - SALE OF PREPARED FOODS IN SERVICE STATIONS: Amending Subsection .060 of Section 18.87.022 of the Code, pertaining to sale of prepared foods at service stations. The issue of selling hot food at mini-markets also selling gasoline and beer and wine was introduced at the Council meeting of May 13, 1986 by Councilman Overholt and discussed at the meeting of May 20, 1986 where the proposed ordinance was offered for first reading (see minutes those dates). Mayor Roth asked to hear from those who wished to speak to the issue and the proposed ordinance. The following people spoke in opposition: Mr. Mike Austin, 9562 Katella Avenue, District Manager, Southland Corporation (7-11 Food Stores). He read a prepared statement dated May 27, 1986 which he submitted (made a part of the record). Southland Corporation did not believe that banning prepared foods at locations also selling gasoline would accomplish the objective of stopping drunk driving. He urged the City Council to seek more appropriate approaches to the problem. Marge Herman, Franchisee for 7-11Markets, 2403 West Ball Road (corner of Ball Road and Gilbert Street for 14 years). There is no correlation between drunk driving and the sale of prepared 'foods at gasoline stations/mini-markets. Larry L. Berg, Ph.D., 1545 Ashland, Santa Monica, Director, Institute of Politics and Government, University of Southern California, Los Angeles. He did a study for the food and fuel retailers for economic equality/convenience food stores and petroleum companies. There is no hard data that equates alcohol consumption either with a type of retail establishment or availability in general. Mr. Berg submitted a paper he presented in Sacramento on the issue which covered the major points of his presentation to the Council. (See report - statement of Larry L. Berg, Ph.D., California Senate Bill 2522 (Maddy), Tuesday, April 8, 1986 - made a part of the record). 395 1'86 City Hall~ Anaheim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. Extensive discussion and questioning of Mr. Berg by Council Members followed his presentation. A1 Johnson, Construction Coordinator, Thrifty Oil Company, 1000 Lakewood Blvd., Downey, Ca. 90240. It is Thrifty Oil's view that the proposed ban on the sale of prepared foods at locations that sell beer and wine is an unsound and ineffectual action to control drunk driving. He asked that the Council not use this industry as a symbolic scapegoat for the serious problems of drinking and driving and that they not enact the ordinance. Alan Wagner, 622 North Philadelphia Apt. #B. The ordinance restricts the liberty of the seller and the buyer to transact business. It denies Justice in that it limits its effect to a small minority of those involved with the sale of food. As a customer, it is a great convenience to him and others in the City of Anaheim to be able to purchase food items at the subject facilities. Mayor Roth asked if anyone else wished to speak or if anyone was present speak in favor of the proposed ordinance. There was no response. City Clerk Sohl clarified for Councilwoman Kaywood that other organizations such as MADD and the National Council on Alcoholism had been notified of the meeting today relative to the subject issue. Mayor Roth felt that additional time was needed to evaluate the material presented today before making a decision. MOTION: Councilman Pickler moved to continue action on Ordinance No. 4718 for one week. Councilman Roth seconded the motion. MOTION CARRIED. Councilman Overholt asked the City Attorney to submit reasons why he included prepared foods in the proposed ordinance. As expressed by Mr. Wagner, prepared foods is a broad term. His (Overholt's) initial concern was the availability of hot foods encouraging immediate consumption. He did not know where prepared foods came from. Councilwoman Kaywo0d suggested that if there was going to be a change that it be made now so that the ordinance could be offered as an amended first reading; Councilman Overholt preferred that such action be deferred until next week. RECESS - CLOSED SESSION: Mayor Roth announced that a Closed Session would be held for the Council to confer with the City Attorney regarding: a. Pending litigation pursuant to Government Code Section 54956.9(a), to wit: Golden West Baseball Co. vs. City of Anaheim, O.C. Superior Court Case No. 40 92 46; Eberle vs. City of Anaheim Case No. CV84-6181AHS. b. Personnel matters pursuant to Government Code Section 54957. 396 City Hall~ An-beim; California - COUNCIL MINUTES - May 27~ 1986, 10:00 A.M. Councilman Roth moved to recess into Closed Session and a lunch break. Councilwoman Kaywood seconded the motion. MOTION CARRIED. (11:54 a.m.) AFTER RECESS: The Mayor Pro Tem called the meeting to order, all Council Members being present with the exception of Councilman Roth. (1:37 p.m) 179: CONTINUED PUBLIC HEARING - CONDITIONAL USE PERMIT NO. 2747 AND NEGATIVE DECLARATION: APPLI CANT: McDonald's Corp., (McDonald's Restaurant), 8840 Complex Drive San Diego, Ca. 92123 (Skip Sterling, owner) ZONING/LOCATION/REQUEST: To permit expansion of an existing drive-through restaurant on CL zoned property located at 3210 West Lincoln Avenue, with Code waiver of minimum number of parking spaces. PLANNING COMMISSION ACTION: Resolution No. PC86-8 granted Conditional Use Permit No. 2747. Approved EIR - negative declaration. HEARING SET ON: Appealed by Mr. J. Kent Bewley and Mr. James W. Schmidt, Bewley Maintenance (owners of the adjacent car wash). This matter was continued from the meeting of February 25, 1986, March 25, 1986, April 8, 1986 and May 13, 1986, to this date. PUBLIC NOTICE REQULREMENTS MET BY: Publication in Anaheim Bulletin February 13, 1986. Posting of property February 14, 1986. Mailing to property owners within 300 feet - February 13, 1986. PLANNING STAFF INPUT: See Staff Report to the Planning Commission dated January 6, 1986. APPET.TANT'S STATEMENT: Kent Bewley, 6217 Hill Avenue, Whittier, owner of the property to the rear of McDonald's. As a result of a meeting with Mr. Lowry (Farano & Kieviet) who had previously met with McDonald's, he reported a tentative agreement had been reached relative to his concerns. McDonald's is going to install speed bumps. It was not clear at that time whether they would put a sewer hook up in the dumpster area and a curbing in that area to prevent water and grease from escaping. He (Bewley) had explained that the car wash already had a sewer line which he believed McDonald's was hooked to and he would give McDonald's permission to hook into that line if needed for the drain. Mr. Lowry was subsequently going to meet with the Sanitation Department to determine what would be installed. The biggest concern now was to prevent any traffic co.ming in from his property to buck into the line to the drive-up window. He wanted curbing installed to prevent this from occurring. Mr. Dunkleman does not want that curbing installed and it was the only point of contention left to resolve. 397 1'.84 City ~,11, Ammheim, California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. Floyd Farano, attorney, Farano &Kieviet, representing McDonald's Corporation and the lessee Mr. Donald Dunkleman. He first submitted photographs taken when he visited the site from approximately 9:30 a.m. (later changed to 8:30 a.m.) to 11:00 a.m. on May 16, 1986. He then confirmed that McDonald's and Dunkleman agreed to the following: To build up the present onsite speed bumps in the location so that they will be more effective and add two more speed bumps so that the traffic is more adaquately controlled; these to be installed at the property line between the McDonald's property and the easement and another one out in the easement itself. The applicant will build a new grease sump in the trash area with a containing lip; place a dry sump to either connect with Mr. Dunkleman's sewer line or Mr. Bewley's as he offered. It will have to have a cover on it so that rain water will not be able to enter into the sump as indicated by the Engineering Department. They will build curbs from the property line on McDonald's to the easement area to the extent that it is necessary and proper in the opinion of the Traffic Department. Drainage on the property at present is in accordance with the City's drainage plans as evidenced by the drainage flow plan posted on the Chamber wall and further confirmed by running water over the property for 1 and 1/2 hours. Photograph No. 5 shows leaves all along the fence line blocking the grate and the block wall that goes through the apartment complex resulting in water puddling into the car wash area. There will be cooperation amongst the principals to pick up the leaves to ensure that the water flows freely. They will also cooperate on the parking insofar as customers and employees are parking on Mr. Bewley's property and anticipate that Mr. Bewley will reciprocate. They will rebuild the wall on the west side of the property toward the front. The one remaining area where there is a lack of agreement concerns the curbing requested around the drive-upwindow. In observing the traffic flow on the property (8:30 - 11:00 a.m. May 16, 1986) there were no more than three cars waiting to get into the lineup to the window. They cannot agree to that curbing because, if installed, traffic entering into the 'easement would have to go to the west side of the property against the traffic, turn around and get back into line. It would literally close off almost entirely the use of the driveway. Delivery trucks would also not be able to enter into that area at all. As a counter offer to the installation of the requested curbing, the applicant will share in the cost of maintenance and upkeep of the driveway. He emphasized that McDonald's was only proposing an enlargement of the facility for purposes of storage, work area and to modify the restrooms to accommodate the handicapped. There will be no seating capacity increase or increase of the business. Mayor Roth entered the Council Chamber. (1:58 p.m.) 398 City Hall~ An~heim~ California - COUNCIL MINUTES - May 27, 1986~ 10:00 A.M. The Mayor asked the City Attorney if there was any problem in participating in a decision on the matter since he was fully apprised of the situation having been involved in the previous hearings. City Attorney, Jack White. He saw no problem unless there was an objection since the Mayor had previously heard all the testimony presented. Floyd Farano. He briefed his presentation for the Mayor emphasizing that the only issue on which there was a lack of agreement was relative to the requested curb line around the drive-up window. Councilman Bay. The issue was a legal problem between McDonald's and the property owner. The Council was being asked to make that legal decision relative to the use of the easement for ingress and egress. The easement was obviously there for the restaurant to use and it was part of the ownership. The Council should not be defining how that easement should be used. Floyd Farano. There bas been a change in the Bewley property as opposed to the conditional use permit granted them in 1974. The vacuums on the property were never a part of the original plan. When they were installed, they were placed right at the turn which he pointed to from the plan posted on the Chamber wall. The original plan did not contemplate vacuums and he has not had his site plan amended in accordance with his CUP. That is what is really creating a problem. Perhaps if the vacuums were moved, that might be more appropriate. Kent Bewley. The vacuums were installed in 1976 for two reasons. There were many cars parking in that area using McDonald's facilities. Since they were paying taxes on the property they wanted to get some income from it. He believed they took out electrical permits at the time. Originally when the project went before the Planning Commission, they had requested a waiver of planters which was granted. He could move the vacuums or take them out if necessary. However, by installing the vacuums they were able to funnel the traffic down the easement. Before that the 20 feet of blacktop was being used exclusively by Dunkleman's employees for their exclusive parking lot. By installing the vaccums they were at least able to establish it was part of the car wash business. PUBLIC DISCUSSION- IN FAVOR: None. 399 i82 Cit7 Hall~ Anaheim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. PUBLIC DISCUSSION- IN OPPOSITION: None. COUNCIL ACTION: Mayor Roth closed the public hearing. COUNCIL CONCERNS: Councilwoman Kaywood. McDonald's is attempting to use the property adjacent to them (the Bewley property) and they are not concerned with the problem they are causing. They had a 75 percent waiver of parking in 1978 which apparently is causing a problem since there is not enough parking on their side for their employees. Using the property next door is not going to solve the problem. Annika Santalahti, Assistant Director for Zoning. She clarified for the Mayor that the proposal before the Council is based on added square footage in the facility. It will not generate more traffic, employees or customers. Presumably it would not make any difference volume-wise relative to Mr. Bewley's problems. ENVIRONMENTAL IMPACT REPORT - NEGATIVE DECLARATION: On motion by Councilman Pickler, seconded by Councilman Overholt, the City Council approved the negative declaration upon finding that it has considered the negative declaration together with any comments received during the public review process, and further finding on the basis of the initial study and any comments received that there is no substantial evidence that the project will have a significant effect on the environment. MOTION CARRIED. Councilman Pickler offered Resolution No. 86R-223 for adoption, granting Conditional Use Permit No. 2747, subject to City Planning Commission conditions with the following additional stipulations by the applicant: That a sewer connection shall be installed between the public sewer and the grease drainage in the trash enclosure; that the damaged block wall along the property lines of the subject property shall be repaired; that the speed bumps shall be raised to effectively decrease the speed of onsite traffic as well as the addition of two more speed bumps, one to be installed at the property line between the McDonald's property and the easement and another out in the easement itself; that a new grease sump pump and drain shall be installed and a raised curb or lip shall surround that area to prevent any grease flowing away from the area and that the petitioner shall take every action possible to prevent McDonald's employees from parking off-site. Refer to Resolution Book. RESOLUTION NO. 86R-223: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM GRANTING CONDITIONAL USE PERMIT NO. 2747. Before a vote was taken, Councilman Pickler clarified that he was not adding the condition that McDonald's install the curbing leading to the drive-up window as requested by Mr. Bewley. 400 179 City ~a~, An-hetm, California - COUNCIL KINUTES - May 27, 1986, 10:00 A.M. Floyd Farano. He confirmed he agrees with the foregoing stipulations. He further clarified that his client is not willing to agree to the curbing requested by the appellant. A vote was then taken on the foregoing resolution: Roll Call Vote: AYES: COUNCIL MEMBERS: Overholt, Bay, Pickler and Roth NOES: COUNCIL MEMBERS: None ABSTAINED: COUNCIL MEMBERS: Kaywood ABSENT: COUNCIL MEMBERS: None The Mayor declared Resolution No. 86R-223 duly passed and adopted. 179: CONTINUED PUBLIC HEARING - CONDITIONAL USE PERMIT NO. 2760AND NEGATIVE DECLARATION: APPLICANT: Havadjia Holdings, Inc., 4320 West 171 Street, Lawndale, Ca. 90260 ZONING/LOCATION/REQUEST: RS-A-43,000 zoned property located at 4150 East La Palma Avenue, with the following Code waivers: (a) maximum number of small car spaces (deleted), (b) minimum number of parking spaces, (c) minimum distance of a drive-thru lane (deleted), to permit a drive-thru restaurant. PLANNING COMMISSION ACTION: Resolution No. PC86-60, granted Conditional Use Permit No. 2760, in part. Approved ELR Negative Declaration. HEARING SET ON: Review requested by Councilman Pickler. This matter was continued from the meetings of April 29, 1986 and May 13, 1986, to this date. PUBLIC NOTICE REQUIREMENTS MET BY: Publication in Anaheim Bulletin April 17, 1986. Posting of property April 18, 1986. Mailing to prgperty owners within 300 feet - April 18, 1986. PLANNING STAFF INPUT: See Staff Report to the Planning Commission dated March 17, 1986. APPLICANT'S STATEMENT: Mike HavadJia, 4320 West 171 Street, Lawndale, Ca. 90260. Since the last meeting, he has thought of a compromise. If the Council will grant him a CUP for one year, he will come back at the end of that time and if his business is generating any problems he will come up with funds to expedite a traffic signal at the intersection. He would also talk to the other three neighbors at the corner and try to enduce them to help in funding the traffic signal. He did submit an alternative plan for 35 parking spaces which is to Code. 401 180 City Hall~ Anaheim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. Mayor Roth. The applicant has spoken with him and explained the proposal which he stated he had also discussed with the Traffic Engineer who was in agreement. He needed to have confirmation from the Traffic Engineer relative to his agreement. If so, he (Roth) would look favorably on the new proposal. It was determined that the Traffic Engineer was unavailable and would not be present in the Civic Center today. Councilman Pickler. He was not ready to come to a final decision on the matter today and suggested a one-week continuance giving an opportunity to clarify the matter with the Traffic Engineer. MOTION: Councilman Pickler moved to continue the public hearing on Conditional Use Permit No. 2760 for one week to Tuesday, June 3, 1986 at 1:30 p.m. Councilman Overholt seconded the motion. Before a vote was taken, Councilwoman Kaywood referred to the four letters of opposition received from the four industrial tenants immediately adjacent to the proposed restaurant. The matter needed to be discussed further. A vote was then taken on the motion of continuance. MOTION CAR1LIED. 176: PUBLIC HEARING -ABANDONMENT NO. 84-21A: In accordance with application filed by the Anaheim Fire Department public hearing was held on proposed abandonment of a portion of Manchester Avenue fronting Fire Station No. 3 between Clementine Street and Alto Way, pursuant to Resolution No. 86R-169, duly published in the Anaheim Bulletin and notices thereof posted in accordance with law. Report of the City Engineer dated April 17, 1986 was submitted, recommending approval of said abandonment. Mayor Roth asked if anyone wished to address the Council; there being no response, he closed the public hearing. ENVIRONMENTAL IMPACT REPORT - CATEGORICAL EXEMPTION: The City Engineer determined that the proposed activity falls within the definition of Section 3.01, Class 5, of the City of Anaheim guidelines to the requirements for an Environmental Impact Report and is, therefore, categorically exempt from the requirement to file an EIR. Councilman Pickler offered Resolution No. 86R-224 for adoption, approving Abandonment No. 84-21A. Refer to Resolution Book. RESOLUTION NO. 86R-224: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM VACATING A PORTION OF MANCHESTER AVENUE FRONTING FIRE STATION NO. BETWEEN CLEMENTINE STREET AND ALRO WAY. 402 177 Cit7 Hall; A~-heim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. Roll Call Vote: AYES: NOES: ABSENT: COUNCIL MEMBERS: 'Kaywood, 0verholt, Bay, Pickler and Roth COUNCIL MEMBERS: None COUNCIL MEMBERS: None The Mayor declared Resolution No. 86R-224 duly passed and adopted. 179: PUBLIC HEARING - CONDITIONAL USE PERMIT NO. 2777 (READV.) AND NEGATIVE DECLARATION (READV.): APPLICANT: Burnett-Ehline Properties, 2050 South Santa Cruz, #100 Anaheim, Ca. 92805 REQUEST/ZONING/LOCATION: To permit an industrially related office building on ML zoned property located at 2100 South State College, with the following Code waivers: (a) Required landscaped setback (in part), (b) dedication of right-of-way (deleted), (c) minimum dimensions of vehicle accessways, (d) minimum dimensions of parking spaces, (e) minimum number of parking spaces, (f) maximum compact parking spaces. PLANNING COMMISSION ACTION: Resolution No. PC86-80 granted the Conditional Use Permit in part, approved ELR - Negative Declaration. HEAR3NG SET ON: Review requested by Councilwoman Kaywood at the meeting of May 6, 1986. PUBLIC NOTICE REQUIREMENTS MET BY: Publication in Anaheim Bulletin May 15, 1986. Posting of property May 16, 1986. Mailing to property owners within 300 feet -May 16, 1986. PLANNING STAFF INPUT: See Staff Report to the Planning Commission dated April 14, 1986. COUNCIL CONCERNS: Councilwoman Kaywood. ~he is concerned with waivers a, d, e and ~ - required landscape setback (in part), minimum dimensions of parking spaces, minimum number of parking spaces and maximum compact parking spaces. The requested waivers will create a problem. APPLICANT'S STATEMENT AND ANSWERS TO QUESTIONS POSED: Jack Harry, agent for the applicant, 14 Mountain View, Irvine. The project is a 9600 square-foot 2-story office building. They have tried to come up with a use appropriate for the area. The proposed design of the building will make it attractive and an asset to the area. It is a "showcase" corner. The property is not appropriate for industrial. It is inconsistent with the zoning around it. Office use would be consistent with other projects being developed in the area. The Traffic Department is 403 178 City Hall~ Anaheim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. considering the critical intersection designation thereby requesting various dedications which further exacerbate the problem. Because the property is on a corner, it is being impacted from two sides - 0rangewood and State College Blvd. If the corner was not designated a critical intersection, then the street in its current configuration would be adequate without the need to dedicate additional land. The building itself is not going to be a high traffic generator. Based on the action of the Plannin~ Commission, they will suffer a 16 percent loss in land area. The plan before the Council was drawn and developed contemplating satisfying the staff report specifying a 6 foot dedication. If the corner is ever designated as a critical intersection, the dedication is there. The Planning Commission, in its action, specified a 12 foot dedication which creates a substantial burden for the applicant. He thereupon requested that the Council reconsider the action of the Planning Commission. The plan is workable consistent with the original request of traffic and the staff report. Because of the size, with a 12 foot dedication, it is approaching the taking of property without compensation because their options are so limited. Extensive discussion and questioning of the applicant followed. STAFF INPUT: Annika Santalahti, Assistant Director for Zoning. The property with $0 foot setbacks would mean the applicant could have an approximate 50 X 50 square foot building at the southeast corner of the property. That would comply with the required setbacks. The variances are due to the amount of square footage being constructed on the property. The intersection is being retained as a critical intersection and in the Stadium/Industrial area it is an important issue. The setback waiver to 10 feet is a drastic deviance from Code and that is basically why there is such a big problem with the critical intersections since it is taking out more than the actual landscaped setback. It would be poor precedent to approve any plan that depended upon a deletion of the critical intersection on the particular location. Some waivers are going 'to be needed to develop the property with almost anything. The small car parking spaces are considered acceptable basically due to the fixed employee situation. PUBLIC DISCUSSION- IN FAVOR: None. PUBLIC DISCUSSION- IN OPPOSITION: None. COUNCIL ACTION: Mayor Roth closed the public hearing. 404 2:49' City Hall~ A-aheim~ California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. Councilwoman Kaywood. She cannot see starting off in that area with a showcase corner by granting waivers that will set a precedent for future developments. It will impact the area negatively. Councilman Pickler. He has a concern about what develops on that corner which is in a critical area. The proposed project is overbuilding on a small piece of property. Councilman Overholt. He agrees that the corner is a critical one and a gateway to the City. He has great concern relative to allowing the proposed project to develop on the property. ENVIRONMENTAL IMPACT REPORT - NEGATIVE DECLARATION: On motion by Councilwoman Kaywood, seconded by Councilman 0verholt, the City Council approved the negative declaration upon finding that it has considered the negative declaration together with any comments received during the public review process, and further finding on the basis of the initial study and any comments received that there is no substantial evidence that the project will have a significant effect on the environment. MOTION CARRIED. Councilwoman Kaywood offered Resolution No. 86R-225 for adoption, reversing the findings of the City Planning Commission and denying Conditional Use Permit No. 2777. Refer to Resolution Book. RESOLUTION NO. 86R-225: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM DENYING CONDITIONAL USE PERMIT NO. 2777. Before a vote was taken, Councilman Bay spoke against the proposed resolution of denial. The key problem was relative to the critical intersection designation. All the necessary dedication for the critical intersection has been made and agreed to. If the CUP is denied, he was not certain the City was not going to end up in better shape eventually or otherwise stop all development on that corner. A vote was then taken on the foregoing resolution: Roll Call Vote: AYES: NOES: ABSENT: COUNCIL MEMBERS: COUNCIL MEMBERS: COUNCIL MEMBERS: Kaywood, Overholt and Pickler Bay and Roth None The Mayor declared Resolution No. 86R-225 duly passed and adopted. 179: PUBLIC HEARING - VARIANCE NO. 3550: APPLICANT: James J. and Janice M. Everett 805 South Courson Drive, Anaheim, Ca. 92804 405 250 City Hall~ Anaheim~ California - COUNCIL MINUTES - May 27; 1986; 10:00 A.M. REQUEST/LOCATION/ZONING: To retain a patio cover on RS-7200 zoned property located at 805 South Courson Drive, with Code waiver of minimum structural setback and permitted encroachments into required yards. PLANNING COMMISSION ACTION: Resolution No. PC86-92 denied Variance No. 3550. HEARING SET ON: Appealed by the applicant. PUBLIC NOTICE REQUIREMENTS MET BY: Publication in Anaheim Bulletin May 15, 1986. Posting of property May 16, 1986. Mailing to property owners within 300 feet - May 16, 1986. PLANNING STAFF INPUT: See Staff Report to the Planning Commission dated April 14, 1986. APPLICANT'S STATEMENT: Jim Everett, 805 South Courson Drive, Anaheim, Ca. 92804. In July of 1985 he bad a lap pool, patio deck and subsequently a patio cover built on his property. He did not meet with his neighbors before the Planning Commission meeting. His neighbor to the rear appeared at the meeting and spoke in opposition expressing her concern relative to problems that might arise should she wish to sell her property. His property is lower than hers by approximately 2 1/2 feet and the top of his patio cover extends 33 inches above her fence. He had a meeting with City staff since that time. Also since the last Planning Commission meeting he met with his neighbor as late as last night. She told him she had submitted a letter dropping her objection. She was concerned at the beginning that it might be the start of high-rise buildings. She did not want him to change anything but was concerned about what was going on the property. In the beginning, he did not have a permit to do all the work. The pool and decking permits were secured by the pool company. He waited for the inspection but in the meantime he started construction and completed it believing everything was ok. If there were any additional fees or whatever was necessary he would take care of the matter at the time of inspection. However, inspection came 7 months later and that was the problem. He submitted a group of photographs showing the improvements of the property and the proximity of the improvements to the rear property line. PUBLIC DISCUSSION- IN FAVOR: None. PUBLIC DISCUSSION- IN OPPOSITION: None. 406 City Hall~ Anaheim~ California - COUNCIL MINUTES - May 27~ 1986; 10:00 A.M. COUNCIL ACTION: Mayor Roth closed the public hearing. Councilman Pickler offered Resolution No. 86R-226 for adoption, reversing the findings of the City Planning Commission and approving Variance No. 3550, but subject to all Interdepartmental Committee recommendations. Refer to Resolution Book. RESOLUTION NO. 86R-226: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM GRANTING VARIANCE NO. 3550. Roll Call Vote: AYES: NOES: ABSENT: COUNCIL MEMBERS: COUNCIL MEMBERS: COUNCIL MEMBERS: Kaywood, 0verholt, Bay, Pickler and Roth None None The Mayor declared Resolution No. 86R-226 duly passed and adopted. 114/175: POWER COST ADJUSTMENT BALANCING ACCOUNT: Councilman Bay referred to report dated May 13, 1986 from the Public Utilities General Manager on the status of the Power Cost Adjustment Balancing Account (PCABA) as of May 31, 1986. The new forecast schedule and the forecasted summary of that account from now through next December showed the account running up over $7 million to the positive side and coming back down to a projected low next December of 33.9 million. He is becoming concerned over the projected build up of the account and the forecast. He directed staff, within the next week or two, to report to the Council on the possibility of lowering electrical rates from July through December for some amount rather than letting the account run over and above the planned range. 179: ORDINANCE NO. 4720: Councilman Pickler offered Ordinance No. 4720 for first reading. ORDINANCE NO. 4720: AN ORDINANCE OF THE CITY OF ANAHEIM AMENDING THE ZONING MAP REFERRED TO IN TITLE 18 OF THE ANAHEIMMUNICIPAL CODE RELATING TO ZONING. (Amending Title 18, Reclass. 84-85-32, RM-1200, 3153, 3157 and 3166 W. Ball Road) 105: PRESENTATION - 1986/87 RESOURCE ALLOCATION PLAN (BUDCET): City Manager William Talley stated he was transmitting to the Council for their consideration the proposed Resource Allocation Plan (RAP) for the 1986/87 fiscal year noting that the Plan represented the second half of the fiscal 1985/87 biennial plan. The first document presented was the 1986/87 RAP containing the City Manager's transmittal letter and Resource Allocation Plan s-mmaries for each City Department. The second document to be presented with the 5-year Capital Improvement Plan (CIP) 1986/1991 covering capital projects to be undertaken by departments during the next 5 years, their estimated costs ($234,360,740) and proposed financing. Line item print outs were also available as a companion to the two documents. Policy issues were enumerated in the transmittal letter (see Page 3 of the 407 248 City Hall~ Anaheim, California - COUNCIL MINUTES - May 27; 1986, 10:00 A.M. RAP Executive Summary). Most of the issues were addressed for the 2-year period. A few required immediate action and the balance were for further review. Relative to the CIP, the 1986/87 year proposed expenditures would be followed and those projects would automatically be part of the budget (see Page 2 of the CIP summarizing the proposed expenditures). The Council could at anytime reprioritize any of those projects. The RAP was prepared in accordance with the management principles set forth by the Council when it adopted the 1985/86 Plan which he then recounted (see letter of transmittal). The RAP total was 3382.8 million reflecting only a one and one-half percent increase over the 1985/86 Plan. One of the reasons the budget has increased only one and one-half percent was due to the management reorganization plan whichwtll be highlighted in a document to be presented to the Council within the next two weeks showing a reduction overall of 53 management positions over the next 5-year period representing 15.2 percent of all management positions currently outlined. Mr. Talley then introduced the video presentation prepared by the Public Information Office capsulizing the many service efforts and projects embodied in the RAP. The video could later be used as an informational document. The under 30 minute, professionally narrated video was then presented which covered each City Department highlighting the major effort to be undertaken in the upcoming fiscal year as well as the major capital improvement projects to be undertaken during that period. At the conclusion of the video presentation, the budget documentation was submitted to the Council. Mr. Talley announced the next presentation would be the City's Management Compensation Consultant, Mr. Jerry Mulkey, Sibson & Company. Mr. Mulkey was going to address the merit increase pool and the management salary structure adjustments. No action was being requested by staff today. Mr. Jerry Mulkey, Sibson & Company, first submitted memorandum dated April 21, 1986 for Council consideration (see memo - subject: Recommended 1986/87 Merit Increase Fund and Salary Structure Adjustment) containing recommendations regarding the compensation program for managerial, professional, supervisorial and technical staff members. He briefed the information submitted elaborating upon the procedure undertaken resulting in the two following recommendations: (1) That the City adjust its salary structure by 5 percent and (2) that the Citywide Merit Increase Pool for 1986/87 be 6 percent (see Exhibit Nos. 1 and 2 of the subject report). He clarified for Councilman Bay that the 3-Page report only summarized the data and the documents that the spmmsry data was culled from were extensive. The data was available and he would be happy to share it with the Council. He would also provide current up-to-the-minute information to the Council to supplement the data so that it would be available when the Council made its decision relative to the RAP. 408 City Hall, Anaheim, California - COUNCIL MINUTES - May 27~ 1986~ 10:00 A.M. Mr. Talley then introduced the Chairman of the Blue Ribbon Committee, Mr. John Purcell, California Computer Products. In February, the Council had appointed a Blue Ribbon Committee to make recommendations relative to the Management Compensation Program. Mr. John Purcell, Chairman of the Blue Ribbon Committee, Manager of Compensation Benefits for California Computer Products, subm/tted the results of the Committee's study under letter dated May 5, 1986 - subject: Recommendations of the Blue Ribbon Committee for Management Compensation. The recommendations of the Committee confirmed the consultant's recommendation (1) that the management salary structure be adjusted by 5 percent effective the beginning of the fiscal year, June, 1986 and (2) that the Management Merit Pool be funded a 6.0 percent. Those in industry found this on average to be very acceptable data. It was what his company was doing along with several others. In addition on the second page of the document the Committee listed ? additional issues to be addressed to improve the City's Management Compensation Program. Mr. Purcell then briefed each of the ? issues. He also confirmed for Councilman Overholt that Mr. Mulkey worked with the Committee to tell them how he arrived at his figures. The Council then posed questions to Mr. Purcell at the conclusion of which Mayor Roth thanked him and his Committee for the time and effort given in assisting the City Council. Councilman Overholt asked when the Council would receive input from $ibson or Management relative to the issues raised by the Blue Ribbon Committee, for example, Item No. 3 of the Blue Ribbon Committee Report. Mr. Talley explained that staff would prepare for the Council at its June 17, 1986 meeting a report which would include $ibson's reaction to the issues raised so that the Council would have a week to evaluate the data before adoption of the budget. The information would also be submitted to the Blue Ribbon Committee. Councilman Overholt stated if there was going to be a change in philosophy to comply with Issue No. 3 - limitation on the number of employees whose performance can be evaluated in the highest category, "exceeds expectation" should be eliminated, it could have substantial impact on the City fiscally. It would undoubtedly put pressure on the amount of the merit pool in future years. That was the reason why he wanted early advice; Mr. Talley stated that would concern him as well and the issue would be addressed. Mr. Talley, in concluding the budget presentation, stated that the plan as presented was a progressive one which would enable Anaheim to remain a quality community. He looked forward to the Council's consideration of the proposed plan and policy issues outlined therein. The schedule of public hearings on the budget had already been approved by the Council. 409 246 City Hall~ Anaheim, California - COUNCIL MINUTES - May 27, 1986~ 10:00 A.M. ADJOURNMENT: Councilman Pickler moved to adjourn. Councilman Roth seconded the motion. MOTION CARRIED. (4:55 p.m.) LEONORA N. SOHL, CITY CLEP, K 410