Loading...
2003/01/07 ANAHEIM, CALIFORNIA - CITY COUNCIL MEETING JANUARY 7,2003 The City Council of the City of Anaheim met in regular session. PRESENT: Mayor Curt Pringle, Council Members: Tom Tait, Shirley McCracken, Bob Hernandez and Richard Chavez. STAFF PRESENT: City Manager David Morgan, City Attorney Jack White, Assistant City Clerk Cynthia Daniel-Garcia, Director of Public Works/ City Engineer Gary Johnson and Executive Director of Planning and Community Development Joel Fick. A copy of the agenda for the meeting of the Anaheim City Council was posted on January 4, 2003 at the City Hall outside bulletin board. Mayor Curt Pringle called the regular meeting to order at 3:09 P.M. in the Council Chambers of the Anaheim City Hall, 200 South Anaheim Boulevard. WORKSHOP: 3:10 - 3:54 P.M.: Transportation Corridor Agency Consolidation Program: Director of Public Works, Gary Johnson, reviewed the June 12, 2002 letter sent to Transportation Corridor Agency by City Manager Morgan stating concerns regarding the merger and consolidation. He read that the four areas of concern identified that would need additional discussion were assurance of funding and construction of the SR-91/241 direct connectors and the impact of recent open space dedications on future fees and revenues, fairness and equity on possible use of fees collected for one corridor used on another and fairness of the merger/merge board voting arrangements. Wally Kreutzen, Chief Executive Officer of Transportation Corridor Agency, was present and discussed concerns and provided additional information regarding the consolidation of the Foothill Eastern Transportation and San Joaquin Hills agencies. He introduced staff members: Colleen Clark, Chief Financial Officer: Lisa Payez, Director of Communication and Public Affairs; Donna Brady, Agency General Counsel; David Lowe, Deputy Director of Engineering; Michael Leahy, Director of Toll Operations; Mary Lou Woods, Director of Finance and Jennifer Johnson, Agency Public Affairs and Communication staff. He said that the Agencies were interested in monitoring the impacts of the toll roads on both patrons and non-patrons and while the benefits of ridership were numerous, even non-riders benefited from the substantial amount of traffic diverted from the freeway system by the toll roads every day. He referred to a power point presentation, hard copy of which is available in the City Clerk's Office. Mr. Kreutzen stated that upon completion of the roads, they were deeded to the State and all 51 miles belonged to the State and maintenance of the roads, including slopes, shoulders and medians was the responsibility of CalTrans and traffic violations fell under California Highway Patrol. The Foothill Eastern and Joaquin Hills Transportation Corridor Agencies received no direct or indirect tax benefits and the Agencies were designed to be self-supporting. The majority of the revenue had come from tolls and the remainder was interest earnings and development impact fees, he noted. Toll dollars were used first to cover the cost of toll collection and operation, he explained, and the balance was used to pay debt service and any money left over would be used to fund system improvements. The current status of the Agencies revenues were that the Foothill Eastern revenues were at 108% of the 1999 ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7, 2003 PAGE 2 projections and the San Joaquin Hills revenues were at 78% of 1997 projections. While the San Joaquin Hills corridor had double digit revenue growth over the last three years, he said he believed it was not likely that such growth could be sustained over the next 40-years or that it could catch up with the amounts projected in 1997. Since 2000, the Agency's Board had taken aggressive action to minimize expenses and maximize revenue, he said, and this had prevented further erosion of the required debt service coverage under the Agency's financing documents. Concerned about the financial health of the San Joaquin Hills Corridor Agency, the bonds were downgraded to below investment grade and a Finance Adhoc Committee was created to work towards a financial solution in the months ahead and they hired consultants to assist staff in looking for solutions. Staff and consultants working group provided to the Finance Adhoc Committee a presentation, and in giving analysis on current toll revenue trends, a viable stand- alone, long-term financial solution did not exist for the San Joaquin Hills Corridor and it was not realistic to assume significant financial support of approximately $680 million from an outside agency. He said that as a result, the unanimous conclusion of staff and consultants was that consolidation was the only viable, long-term financial solution at this time. Mr. Kreutzen stated that the new consolidated agency would help by issuing $4 billion in bonds to purchase the existing agencies and the new financing would restructure the current debt to fit within new revenue projections based on an actual traffic baseline. Under the proposed combined joint powers authorities, he explained, the new board structure allowed each member agency that currently had a seat on one or both boards, to retain a seat on the new board and the issue of continued representation was critical to the Board's Adhoc Committee who recommended the 21-member structure over numerous other alternatives that they analyzed. The new joint powers authority government structure gave each member a voice in the entire system and not just the corridor specifiC to their area, he said. The joint powers authority amendment that would be before Council for action on January 28, 2003, provided the existing agencies the authority to create a new consolidated joint powers transportation corridor agency that identified a new board structure of 21 members and defined a new voting requirement that would require 77% of those present and voting and provided for the transfer of the development impact fee program and the indemnity arbitration and third party beneficiary provisions to the new agency. The amendment of the joint powers authority did not guarantee consolidation or create the new agency at this point in time, he noted, and would allow the agencies to start over. A capital structure could be developed under a new and more realistic revenue projection and there would be five years of revenue history to project the future and there were none before, he said. It strengthened the finances because it was a system approach and it offered the best chance of keeping future toll rates down for the entire system, he noted. Both the Foothill Eastern and San Joaquin took their fiduciary responsibilities very seriously, he explained, and their preference was to pursue a viable option within the existing toll road system and consolidation did not require taxpayer dollars and was good government, and as consolidated agencies, costs would be reduced by strengthening and streamlining operations. It allowed patrons of both agencies to continue to receive the same level of service on the entire system, he added. Mr. Kreutzen mentioned the letter sent to the Agency regarding the four issues that the City had requested be addressed within the context of consolidation. The issues dealt with recent open space and land use changes announced by the Irvine Company; usage of the Foothill Eastern Transportation Corridor development impact fees on the San Joaquin Hills Corridor board member representation and the State Route 241 to State Route 91 direct connectors, he said. The traffic and revenue study will include an analysis of the Irvine Company's development plan changes, as well as a host of other sensitivity scenarios. The development impact fees from Anaheim and the other current Foothill Eastern member agencies, by law, must stay with the Foothill Eastern area of benefit and would not be used on the San Joaquin Hills corridor, he informed. The board representation would provide that every agency had one vote and the ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 3 super majority voting structure of the new board gave each City's vote more weight than it currently had on the split system and the new board structure provided the City the ability to vote on system-wide issues. The Transportation Corridor Agency had an obligation to construct single-lane direct connectors and should high occupancy vehicle lanes ever be built on the corridor, he said, and prior to the announcement of the recent OCT A purchase of the CPTC express lanes, the Foothill Eastern Transportation Corridor Agency board agreed to preliminary design on the connectors and this would more accurately assess the construction cost and have plans available to OCT A, CalTrans or the Riverside County Transportation Commission in the event they wanted to construct the improvements. The direct connectors were exempt from the CPTC non-compete clauses and design work was stopped when the purchase was announced because without the non-compete clause, he explained, other project improvements may be more viable or cost effective, which would be determined in the future. The current Foothill Eastern Transportation Corridor Agency Board policy for improvements to the system was to first complete the system, which was the Foothill-South corridor and to make sure that there were free-flowing traffic conditions that were maintained on the entire system. He noted that the joint power authority amendments were to be brought before Council on January 28, 2003, conferred the authority on the Foothill Eastern and San Joaquin boards, including the City's representative, to continue to manage the toll road system with the same enthusiasm and innovation that brought the vision of the transportation solutions, the toll roads, to reality. He said that the benefits of consolidation were the avoidance of the negative impacting under the no-financial restructuring scenario. He asked Council to vote for consolidation on January 28, 2003. Mayor Pringle asked how many total votes were needed to move forward with the JPA consolidation and Mr. Kreutzen responded that he needed ten votes for consolidation on each of the boards. Council Member Hernandez asked how this occurred and Mr. Kreutzen stated that there were a couple of major things that happened relative to the San Joaquin Agency, which had done the first financing and design build contract. When the Foothill Eastern Agency followed, it benefited from the lessons of the San Joaquin Agency, he noted. The major issue was that the EI Toro Y was widened and built wider than had been assumed and instead of being 16 lanes, it was current 22 total lanes and when the capacity was increased on freeways, it was not good for toll roads since they benefited from congestion on the free alternatives. The total traffic in south Orange County was less than projected by both Southern California Association of Governments and Orange County Traffic Analysis Model and less ended up on the corridor than projected, he explained. Council Member Hernandez noted that the planning on the EI Toro Y was not done in secret and he asked where the disconnection was between the planning for the EI Toro Y and planning for the toll road. Mr. Kreutzen stated that there had been change orders done by the agencies that were responsible for the project which were not to the knowledge of the toll roads at the time and the toll road projects had been financed in 1993 and they were not opened until the end of 1996. In response to Council Member Hernandez, Mr. Kreutzen said that the Irvine Company not developing was not relative to San Joaquin Hills and was an issue to the Foothill Eastern Agency and was being dealt with. Due to recent announcements by the Irvine Company to put an approximate 11,000 acres into permanent open space dedication, they had drastically eliminated the east Orange Development Plan for which there had been a development ANAHEIM CITY COUNCIL MEETING MINUTES JAN UARY 7, 2003 PAGE 4 agreement and a supporting general plan and could be a long term issue for the Foothill Eastern Corridor and not the San Joaquin Hills. Mr. Kreutzen mentioned Orange County Transit Authority's purchase of the 91 Corridor and he said he wasn't sure what would happen with the 91 Corridor and if there would be two additional lanes in each direction and would there be a tunnel or other east/west connection from Riverside County to Orange County. The impact of the Irvine Company's land use decisions and impact of the final use of the EI Toro Marine Base and the ultimate development of Rancho Mission Viejo would all impact the Foothill Eastern system and not the San Joaquin Hills. Mayor Pringle noted that consolidation would make San Joaquin Hills better and he asked how consolidation would make Foothill Eastern Corridor better. Mr. Kreutzen responded that Foothill would be looked at in the context of the traffic and revenue studies and they would attempt to address all of the issues. He said that the Agency would be able to assess what the Irvine Company's land use dedication impacts were and some assumptions could be made and scenarios run on what could happen on the 91 Freeway and what the impacts of a new east/west corridor would be and what might be the impacts at various levels on Rancho Mission Viejo and the most conservative approach would be taken before going forward with the development of a finance plan. Council Member Tait asked if there was a reason for using 1997 projections as opposed to original projections when it was financed and Mr. Kreutzen stated that the original financing was done in 1993 and a partial refunding was done in 1997 and with that, new revenue projections were prepared and were at the current baseline. The same thing had occurred for Foothill Eastern where the original financing was done in 1995 and was refinanced in 1999, he informed, and under federal tax law, only one advance refund was allowed. The one advance refunding was used for the creation of a new joint powers agency and allowed to effectively do another tax exempt financing and have one advance refunding left in the future, should it be necessary. Mayor Pringle said that in refunding, the debt was restructured and there were tax exempt bonds and there was a reduction in the debt cost and Mr. Kreutzen stated that it would be in today's market given that there was the best interest rate market in 40-years. Council Member Tait said that by combining the agencies, there could be two more refundings and it would be a benefit to the City. He asked what other benefits there would be for the City. Mr. Kreutzen said that there was an escalating debt service curve on both agencies and the debt went up over time and would be true under restructuring and refinancing and there were toll rate increases roughly every two years, tied to inflation. He said that the agency would be using lower inflation assumptions going forward which would mean less toll road increases and a lower, overall toll in the future for City residents or users. Mayor Pringle said that he saw the interrelationship between the two roads and he was concerned about having a diluted vote. He said that Mr. Kreutzen's response was that it may be a diluted vote, but it carried more weight in the sense that it was necessary to have a higher threshold to get things done and he saw that as a positive and a negative. He was less concerned about all of the direct connects on the high occupancy vehicle lanes and was concerned about one direct connect on the high occupancy vehicle lane, westbound traffic on the 91 Freeway, so that people could get in the carpool lane in Riverside and go directly onto the 241 Freeway without impacting traffic further along. If the Foothill south extension was the number one capital focus, he was concerned about being thrown in a pot for all the other road ANAHEIM CITY COUNCIL MEETING MINUTES JAN UARY 7, 2003 PAGE 5 improvement projects down the line and having to necessarily compete with them when there were a few that directly impacted the City. He was also concerned about the eastbound connector from the 241 Freeway to the 91 Freeway and he asked the Agency to participate more since he said he believed that there would be road enhancements on the 91-Freeway Corridor. He said that there were cars backed up on the 241 Freeway that caused people to not take the 241 Freeway, which was to the detriment of the Agency, if they could not transition back onto the 91 Freeway going eastbound. Those were the two capital projects that he asked to have placed at the top of the list since they were directly related to the Agency's bottom line to have more riders and keep them on the 241 Freeway and by doing that, it benefited City residents. He asked where the two projects would fit into the process and he hoped that they would be funded prior to waiting for everything else to be funded down the line. Mr. Kreutzen stated that, in his opinion, Anaheim, Yorba Linda and the County of Orange needed to start talking about the alternatives for the canyon and there was a host of different potential configurations and the probability was that there was not much land to do it. He said it would be what best met the overall needs of all of the various communities. He said he was not sure that the direct connectors, for the cost, would be the best project to be placed there for the maximum number of people. Mayor Pringle said that all of the connectors were less of a priority to him than making sure, as the traffic came off of the 241 Freeway into the 91 Freeway, going eastbound on the 91 Freeway, that the congestion caused further downstream on the 91 Freeway was mitigated and it would be part of discussion for all of the agencies. Council Member McCracken noted that she was a Member of Orange County Transit Authority and the possibilities of owning the toll road were opening up a whole myriad of solutions and she said she believed that the toll road system was adding to the congestion on the 91 Freeway. She said that maybe connectors were not the answer and maybe it would be additional toll roads, or carpool lanes, or additional lanes or any of the other suggestions and there needed to be positive as well as negative. Financially, this would be the way to go and if part of it failed, the rest of it would fail down the line, she said. The 91 Freeway toll road was bought out and now it was a government-owned toll road that would need to be worked on so that the same problem did not happen until the bonds were paid off and it could come into the regular system. She said that the Agency needed to be part of the solution with the City and it may be financially to the advantage of the toll road and attract ridership to the 241 Freeway. Council Member Tait said that three percent of City residents used the toll and the real interest was in the bottleneck that occurred once gridlock happened going west from the connector to the 55 Freeway or beyond. He said he saw some of the benefits of consolidation and generally some of the Foothill Eastern to the San Joaquin and wanted to know how that would affect the City's interest on the free lanes. He said he was concerned that it would pull money away from possible improvements to the bottleneck and send them to areas in south County. Mr. Kreutzen said that completion of the system was the number one priority and then once the system was completed, it needed to be sure it was free flowing. That was a bottleneck issue and it could well be that the 91 Freeway was the top priority after Foothill south to deal with the bottleneck but he could not say because the board was in the process of working on all of the capital needs. Council Member Hernandez asked about the costs being reduced by streamlining operations as a result of the consolidation and the two Agencies were already sharing one staff and in what ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7, 2003 PAGE 6 way would there be streamlining. Colleen Clark stated there were two separate financial statements for the two separate legal entities and there was staff that had to separate costs between two agencies and cash flows for separate agencies were maintained. She said that much of it was accounting related issues and even though there was one staff serving, that staff was doing double the work and staff could be used in a better capacity. San Joaquin was not a failing agency and had grown at 10% to 11 % in revenue over the past three years and there was a capital structure problem that could not be fixed without a consolidation, she informed, and there was debt service that was higher than the revenue stream and the capital structure needed to be aligned with the revenue. Council Member Hernandez asked how high the tolls could be raised and Ms. Clark said that it had not been pushed to the maximum yet and the investors and bond insurers had indicated that should the consolidation not go through, the Agency would be testing those limits. She said the Board had taken some strong actions in moving forward with increased tolls, fees and fines and those had not been enough to catch up with the previous projections that were done in 1997. Council Member Hernandez asked mile for mile, what was the differential in toll rates between the Foothill Eastern and San Joaquin Hills and Ms. Clark said it depended on where the person was going and the maximum rate on the Foothill Eastern Corridor was $4.25 and on San Joaquin Hills, it was $3.00 during the peak period and $2.50 in the off period. Council Member Tait asked how much that was per mile and Ms. Clark said it was approximately 16 to 17 cents per mile. Council Member Hernandez asked what the chances were of going into default in the event there was no consolidation. Ms. Clark said based on staff revenue projections, if the Agency grew at four percent per year, by 2012 the Agency would not be able to make 100% of the debt service payments and some of them may be made, probably a majority of them, and then whatever was leftover would roll to the next year with interest. 3:55 - 4:18 P.M.: General Plan/Zoning Code Update Program Executive Director of Planning and Community Development, Joel Fick, provided information related to the General Plan and Zoning Code Update Program and said that in addition to incorporating vision plans previously established for the City, the concept of Anaheim's General Plan capitalized on creating new opportunities and reinventing new land use options within the community. He said that some of the concepts raised were mixed use for the PacBell site; full mixed use at the Stadium and expansion of the Resort area south on Harbor Boulevard had already been incorporated into the alternative map. Other concepts raised were transitional housing, addressing a fire hazard area, reconsidering an additional housing opportunity and designations for private schools were things being further documented and examined for feasibility. He mentioned that new designations remained opportunities and no mandates for property owners and a marketing strategy to inform the development community upon ultimate adoption of the plan were important tenants of the project and good ideas that were planned on being incorporated. He noted that at the last workshop, staff discussed the work plan objectives for all of the study areas throughout the City and the concept of three growth alternatives that were part of the review process underway. The alternatives were tested by the consultant and reviewed with each department regarding the provision of service and infrastructure, he informed, and the testing phase resulted in the preparation of a draft recommended alternative that incorporated the best of all three scenarios. He said he wished to reacquaint Council with the objectives that staff was proceeding with and he said staff felt that it was important to check ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 7 in with Council prior to an upcoming community workshop that Planning had intended on hosting in the upcoming weeks and prior to sharing the draft alternative with the General Plan Advisory Committee and the Planning Commission. He said that staff was not seeking a decision from Council today and the draft recommended alternative would be brought back to the Council at another workshop in late February or in March and staff would then seek Council concurrence on a final draft alternative that the Planning Center could proceed with for preparing a written documentation necessary for a general plan, recognizing that there would be further meetings and full public hearings before Planning Commission and Council prior to adoption, which was to take place later in the calendar year. He reiterated that the draft alternative was considered to be a working draft and subject to further refinement based upon input received over the upcoming weeks. He asked for Council input and noted that it would be incorporated into the study efforts. Brian Judd, Project Manager for the Planning Center, highlighted some of the major planning objectives that his company was working on accomplishing through the land use map and he said that he would be speaking about objectives that related specifically to the Land Use Plan. He said that the message heard most clearly during the outreach program of Phase I of the General Plan update, was to preserve single-family neighborhoods throughout the City. He pointed out single-family, low density, residential neighborhoods that had been preserved and were identified on a map posted in the Council Chamber. In the northwest quadroon of the Colony area, he said, there had been encroachment of multifamily development in the historic single-family neighborhoods and the Planning Center was proposing, through the land use designations, preserving the single-family, low density uses. He spoke about revitalization of neighborhood edges, said it was another planning objective that could be accomplished through concentrating commercial uses in key locations at key intersections and provide opportunities for mid-block conversion of some of the aging commercial strip corridors to residential opportunities and this had been done through west Anaheim, which had started through the West Anaheim Vision Plan, and corridors had been identified in east Anaheim, along State College Boulevard and Lincoln Avenue. Another major objective was to enhance land uses, he informed, at key entryways into the City such as the north Euclid Street area, from the 91 Freeway. The Community College was located there and higher intensity office uses had been identified for around the location, clustering commercial uses at Euclid Street and La Palma and mid-block conversions of retail uses and residential opportunities. He said that the 1-5/Lincoln Avenue interchange area represented an entryway into west Anaheim and into the downtown area and in the downtown side/five points area, they were looking at mixed-use residential opportunities and the Planning Center recognized the commercial area between Euclid Avenue on the west and 1-5 on the east. There was opportunity around Ross Park as an entryway into west Anaheim, he said, and converting some of the industrial use to residential uses. A critical entryway into the City was South Anaheim Boulevard, which linked the downtown area and the Stadium and Resort areas, and he was looking at hotel development and mixed use and the Western Medical Center was a major nucleus for development in that area. Another major planning objective, he noted, was to make downtown the cultural/historic/artistic center of the City and reflected in the plans for the area, was some of the ongoing work of Community Development, mixed-use offices, mixed-use residential and mixed-use commercial opportunities and a transition of the older industrial areas to residential opportunities, such as around the Kwikset site and to convert Santa Ana Street into a pedestrian-friendly neighborhood. The Stadium area development had endless opportunities presented by the location of the freeways, Metrolink access, there was a potential for an intermobile transit center, the Resort area and two major sports franchises, he said, and the Planning Center would be introducing residential and mixed-use development into the Stadium area. In the Canyon Business Center, where there would be a specific plan for the area, he said the Planning Center looked at lifting up the ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 8 employment opportunities from industrial uses along La Palma Avenue and north of the 91 Freeway, taking advantage of the freeway visibility and access, and office uses in addition to industrial uses. He reported that the City was discussing a potential new land use plan for the Mountain Park specific plan area and it would require a new revised plan. In the hill and canyon area, the Planning Center did not anticipate any land use changes and the idea was to protect the existing neighborhoods and scenic corridors. Planning Director Fick stated that during the next several weeks, a community meeting would be scheduled at the Downtown Community Center and they would review the plan with the General Plan Advisory Committee and the Planning Commission and then report back in late February or March with the findings. Council Member Chavez asked if it was possible to have more than one community meeting in different parts of the City for better access to people and Director Fick responded that there had previously been meetings throughout all segments in the community. In addition, there was a General Plan rally at the Stadium area, which was well attended, Cinco de Mayo Festival, and the west Anaheim barbeque and extensive community input had been received as well as brochures and flyers being sent out and posted on the website, he informed. Through all of those efforts, information had been collected on people that expressed interest in reviewing the information. Director Fick suggested and recommended, since receiving area wide input, was to come back with one community meeting and contacting all of the people that had contacted Planning. Mayor Pringle asked if all of the people who had expressed interest would be notified and Director Fick stated that they would and that Planning would be posting the notice of the meeting on the City's website. Council Member Tait commented that he was originally concerned that the zoning would become more restrictive and noted that the General Plan was an opportunity for capital to flow and for a revitalization in the City. Director Fick stated that this was to create an incentive-based plan and for instance, mixed- used was not permitted in the City and there were numerous areas where housing was not permitted, such as within the Stadium Business Center. He said that new opportunities would be created for new land uses to occur in the City and they would not be mandates and would afford additional opportunities for landowners or developers. Council Member Tait said he believed it was important once the plan was finished, to get the word out to the brokerage and development community since this could be a tremendous economic and job engine if people knew about it. Mayor Pringle noted that the General Plan would have a whole set of zoning overlays to it, which created a set of standards on certain types of development. He said he believed that there were different areas in the community, such as the Resort District, where the City had set a certain type of standard and look. He said he believed that there were certain elements that the City would want to maintain and certain things that the City would want to drive in the key, special areas in the community. He asked to see the Stadium district allow for a more urban look and an aggressive style and elements that were part of the zoning and there needed to be greater sensitivity with setbacks and greater landscape densities which could be part of the zoning overlays for west Anaheim development. For the downtown Colony District there could be a set of commercial and residential and other types of zoning overlays that gave specific ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7, 2003 PAGE 9 guidelines as to what Council wanted those areas to look like. He said that this was the opportunity to not be so restrictive and there was a lot to be done to create specialty areas of town like the Resort area and people knew what was expected of them. Director Fick noted that as the Zoning Code update was developed, which would be a companion piece to the General Plan update when it returned to Council, there was a variety of different community feels throughout the City and it would be important to incorporate that feel into the Zoning Code so that the development community and landowners knew the rules and as all of the additional opportunity was created, all the good things of what the City wanted the area to look and feel like would be captured. He said that Planning would be looking for the consultants to provide their best recommendations and the recommendations would be reviewed with Planning Commission and Council. Council Member McCracken spoke about the Stadium area and said when Summit built its office building they had noted that they usually built a high-rise residential facility and the City had height restrictions on residential facilities Citywide. She asked if some of those types of things would come back to Council as modifications. In particular areas, there may developers who would like to have high-rise apartments or condominiums along State College or Katella Avenue, which was not a historic district and did not have residential, but could be mixed-use residential/commercial/office. Director Fick said that once a preferred alternative had landed for draft purposes, was when the consultants would start preparing all of the work during this calendar year. It was Planning's intention, especially in the Stadium area, to have as much opportunity as can be made. Council Member Hernandez said that this would establish the face of the community for quite a long time and he asked what type of plan there was to modify or integrate some sort of public transportation. Mr. Judd responded that as part of the General Plan update, there was a Circulation Element that would address public transit issues. Director Fick said that Orange County Transit Authority was examining the bus rapid transit routes. Council Member Hernandez asked about considering rail and Director Fick said that the only enhanced rail access or rail portion of the plan had been focused within the Stadium area and the intention was to provide an equal mixed-use alternative. He added that the intent was to remain flexible in terms of the ultimate land uses. Council Member Hernandez asked to have public transportation explored and not impact the existing roadways. Mayor Pringle noted that after the Land Use Element of the General Plan and all of the other elements were done, the Transportation Circulation Element would be presented to Council and would provide information on all types of transportation systems in the City and if other systems could be contemplated. Director Fick added that the Land Use Element served as the springboard for all of the other elements. ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 10 Council Member McCracken included that over the years the Resort community, with a proposal for another park for Disneyland, had talked about extending monorail around the Resort and as far down as the Stadium and Pond. She wondered if those kinds of ideas would at least be at the table. Director Fick responded that he could not say if the ideas would be incorporated into the plan but they would be explored. ADDITIONS/DELETIONS TO CLOSED SESSION: City Attorney, Jack White, recommended that the City Council, by motion, add the following item to the Closed Session agenda upon a determination that there was a need to take immediate action and that the need to take action came to the attention of the City subsequent to the posting of the agenda for this meeting: CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION (Significant exposure to litigation pursuant to subdivision (b) of Section 54956.9 of the Government Code) Number of potential cases: One. Existing facts and circumstances: Complaints by Economy Rentals, Inc., concerning impairment of access to property at 1771 West Lincoln Avenue due to installation of street median island. Council Member McCracken moved, seconded by Council Member Chavez, to add the item to the Closes Session agenda. Motion carried unanimously. PUBLIC COMMENTS - CLOSED SESSION ITEMS: None. Mayor Pringle moved to recess to Closed Session, seconded by Council Member McCracken. Motion carried. The Council recessed to Closed Session at 4:20 P.M. 1. CONFERENCE WITH LABOR NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54957.6: Agency designated representative: David Hill Employee organization: Anaheim Fire Fighters Association, Anaheim Municipal Employees Association, International Brotherhood of Electrical Workers, Local Union No. 47 2. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Subdivision (a) of Section 54956.9 of the Government Code) Name of case: Kord Group v. The Fieldstone Company, et aI., Orange County Superior Court Case No. 76-32-58 (and related cases). 3. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Subdivision (a) of Section 54956.9 of the Government Code) Name of case: City of Yorba Linda v. City of Anaheim, Orange County Superior Court Case No. 01 CC09320. 4. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Subdivision (a) of Section 54956.9 of the Government Code) ANAHEIM CITY COUNCIL MEETING MINUTES JAN UARY 7, 2003 PAGE 11 Name of case: Nilsson v. City of Anaheim, et ai, United States District Court Case No. CV-01-2972 WJR (Mcx). 5. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION (Significant exposure to litigation pursuant to subdivision (b) of Section 54956.9 of the Government Code) Number of potential cases: One. Existing facts and circumstances: Complaints by Economy Rentals, Inc., concerning impairment of access to property at 1771 West Lincoln Avenue due to installation of street median island. AFTER RECESS: STAFF PRESENT: City Manager David Morgan, City Attorney Jack White, City Clerk Sheryll Schroeder, Community Services Director Chris Jarvi, Deputy Fire Marshall Janet Ortiz, Executive Director of Planning and Community Development Joel Fick and Zoning Division Manager Greg Hastings. Mayor Pringle called the regular Council meeting of January 7,2003 to order at 5:15 P.M. and welcomed those in attendance. INVOCATION: Reverend Bryan Crow, Anaheim Garden Church FLAG SALUTE: Council Member Hernandez PROCLAMATIONS AND DECLARATIONS: A declaration was presented by Mayor Pringle recognizing Supervisor Cynthia Coad for her service on the Orange County Board of Supervisors. A declaration recognizing the Republic of Panama would be presented at a later date. At 5:29 P.M., Mayor Pringle recessed the City Council meeting until after the Redevelopment Agency and Anaheim Housing Authority meetings. 5:00 P.M. Joint Public Hearina with the Redevelopment Aaency and Anaheim City Council: 123 4. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM approving an amended and restated Disposition and Development Agreement by and between the Anaheim Redevelopment Agency and Brookfield Southland Holdings LLC., regarding certain property at 2300 to 2340 West Lincoln and making certain environmental and other finds in connection therewith Director Stipkovich stated that the item was an amendment to a previously approved disposition and development agreement with Brookfield Southland Holdings. On October 15, 2002, the Redevelopment Agency and Council approved the sale of property located at 2340 West Lincoln Avenue, at a price of $2.5 million, she reported. Subsequent to that, she explained she was able to reach an agreement with the adjacent property owner, Daniel's Furniture, and she said that Community Development was requesting that the amendment add that to the site and then have a nine-acre site on which 81 units could be built. She said that the price was ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 12 renegotiated based on the change in the project and the sale price would be $7 million to the Agency. The total cost of acquisition and demolition was about $12.4 million and in addition to the $7 million the Agency would receive in sales proceeds, $9.3 million of tax increment would be received over the life of the redevelopment project, she informed. The other main objective was to provide affordable housing, she noted. Out of the 82 units, 41 units would be affordable and they would range in price from $279,000, which would be affordable, and $309,000 and $375,000. She stated that the other half would be market rate and those would range in the $400,000 category. She said that Community Development believed that the project provided affordable housing, improved the neighborhood and implemented the west Anaheim Redevelopment Plan and approval of the project was recommended. Mayor Pringle asked if the Agency had already purchased the property from Daniel's or if it was part of this action. Director Stipkovich stated that this was based on an oral agreement she had to purchase the property from Daniel's. She said that Community Development had given him a purchase and sale agreement and it would be contingent upon him signing and selling the property to the Agency, even though he had agreed to the purchase. Mayor Pringle opened the public hearing. John O'Brien, Brookfield Homes, said he and Agency staff had worked together to move forward to combine both of the project sites and fulfill the west Anaheim vision for redevelopment along the Lincoln Avenue corridor and he said he looked forward to a successful project. Mayor Pringle closed the public hearing. Mayor Pringle asked what was the time on the project. Director Stipkovich stated that Community Development was asking for the amendment now so that Brookfield could start their entitlement process to keep the project moving and not loose any time. She said that Brookfield had already lost some time since they had started work on the plan that was just for the one site and the property would be compatible. Mayor Pringle asked to continue the public hearing to the next Council meeting so that he could have some issues clarified. Council Member Tait moved, seconded by Council Member Chavez, to continue Agency/Councilltems 3 and 4 to January 14, 2003. Motion carried unanimously. Mayor Pringle reconvened the City Council meeting at 6:05 P.M. ADDITIONS/DELETIONS TO THE AGENDA: None PUBLIC COMMENTS: James Robert Reade spoke in Spanish and spoke regarding situations with the Police Department. Roger Ditman spoke regarding the opening on the Public Utilities Commission and stated he was a professor of physics at Cal State Fullerton. He was trained in nuclear physics and had been teaching energy policy courses involving nuclear power as well as other sources of power. He said that what was needed was a reliable, reasonably priced, ecologically complex and ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 13 decentralized source of energy for the economy and security purposes. He offered to contribute his services to the Public Utilities Commission. Mark Johnson addressed some of the issues at Brookhurst Skate Park. He said that the park rangers at Brookhurst were not treating the skaters right and he asked why water could not be brought in to drink. Adults could not film their children skating, he said, since cameras were denied. Mayor Pringle directed staff to look into the skate park issues. Brian McDaniel spoke regarding the Brookhurst Skate Park issues. He noted that there was no place for his daughter to sit and no place to video her. He noted that the benches were across the park and that there was a 10-foot high barrier around the park. He said he loved the park and that there were problems with park rangers. Rodney Casso said he was a professional skateboarder and would like to have a program at Brookhurst Park to teach them safety and awareness. He said he tried to speak with the park rangers to let them know that the skaters wore pads but that they were worn underneath. The park rangers would not let anyone in to the park without checking their pads and they actually go up and touch the kids and that was beyond the boundaries, he said. He said that another issue was that the park closed before dark and that he worked until 5:00 P.M. He said at Downey Skate Park there were lights and he asked Council to look into the issues. Casey Cote' said he had experienced problems regarding the skate park and spoke about the security provided there and that once it was dark, the park closed and he said that did not prevent people from skating there. He said that a lot of times the park was closed and it was hard to count on it being opened. He said he was willing to help. A young man named Anthony said that the skate park closed too early and that children had school and that parents made the children do their homework first and then when they were finished with their homework, the park was already closed. The property got destroyed because the park closed too early and the skaters had nowhere to skate. Mayor Pringle pointed out Director Chris Jarvi to the individuals who spoke regarding the skate park. He stated that Mr. Jarvi was the person who was the overseer of the park and recreation program in the City and he asked the interested individuals to speak to Mr. Jarvi who would prepare information to bring back to the Council Members. Council Member McCracken said she believed that Council needed to take the next step and that this was the City's first skate park. The young men were there to assist in the planning of the skate park and the next step would be to ask them to assist Council in preparing rules and regulations. City Manager Morgan said that staff would return to Council with a report on the skate park. Alma Ramirez spoke highly of former Council Member Kring. MOTION: Council Member McCracken moved to waive reading in full of all ordinances and resolutions, seconded by Council Member Chavez. Motion carried unanimously. 128 156 105 173 160 123 165 167 113 ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 14 CITY MANAGER/DEPARTMENTAL CONSENT CALENDAR A1 - A19: On motion by Council Member McCracken, seconded by Council Member Chavez, the following items were approved in accordance with the reports, certifications and recommendations furnished each Council Member and as listed on the Consent Calendar. Consent Calendar Item A7, A8 and A11 acted upon separately. Council Member McCracken offered Resolutions Nos. 2003R-1 through 2003R-3 and Ordinance No. 5846 for adoption. Motion carried unanimously. A1. Receive and file the Monthly Financial Analysis Report presented by the Finance Director for four months ended October 31, 2002; the Crime and Analysis Report of November 2002; minutes of the Park and Recreation Commission meeting held August 25, 2002 and October 23, 2002; minutes of the Anaheim Public Library Board meeting held November 4, 2002; minutes of the Redevelopment and Housing Commission meeting held December 4, 2002; minutes of the Public Utilities Board meeting of November 7,2002; Southern California Gas Company Notice of Proposed Increase In Gas Rates Application No. 02-12-027. A2. Waive the sealed bid required of Council Policy 306 and authorize the Purchasing Agent to issue a purchase order to Air New Zealand Limited, in an amount not-to-exceed $204,204.53 (including tax) for the replacement of blades in stages 3 through 6 of the high pressure compressor stage of the combustion turbine, in accordance with Bid #6354. 160 A3. Accept the low bid of Netlink, Ltd., in the not to exceed amount of $221,475.68 (excluding tax) for Schlumberger radios and equipment for the period January 15, 2003 through January 14, 2004 in accordance with Bid #6341. A4. Approve and authorize the Mayor to execute the Second Amendment to the agreement between the City and Affiliated Computer Services (ACS) to continue the existing information technology services until February 28, 2003. A5. Award the contract to the lowest responsible bidder, C L S Landscape Management, Inc., in the amount of $83,375.72, for the Katella Avenue Parkway Tree Replacement located at Katella Avenue eastbound between Ninth Street and Walnut Street and approve and authorize the Finance Director to execute the Escrow Agreement pertaining to contract retentions. A6. Award the contract to the lowest responsible bidder, Pro - Tech Engineering in the amount of $79,727.00 for the Ball Road Intelligent Transportation System/Signal Coordination Project from Loara Street to Anaheim Boulevard and approve and authorize the Finance Director to execute the Escrow Agreement pertaining to contract retentions. A7. RESOLUTION NO. 2003R-1 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM authorizing the destruction of certain City records more than two years old (Traffic Engineering). Council Member Hernandez asked if there had been archiving of records prior to destruction and City Attorney White stated that this was the authority to destroy that record without archiving copies. ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 15 Council Member Hernandez asked about pending litigation regarding the destruction. Attorney White stated that when each department brought forth a resolution of destruction, that department was obligated to be sure that there were no records on the list that were the subject of existing claims or litigation. He said that he asked the question about existing claims or litigation when signing off on the resolution, and that was not to say that someday in the future there might not be something happening for which the City would no longer have records. The law required the City to keep records so long as they were needed for current purposes or a minimum of two years, whichever was greater, he said. He explained that each department had a records retention schedule that established the time frames in which the department was obligated to keep the records even if they were not subject to any claims or litigation. There were many different classes of records, he said, and there was a retention schedule for every department since they differed in the types of records each department had, he said. With contracts, he said, that there was some uniformity and records were kept past the statute of limitations plus another year in order to assure that no one could later come back and file a suit and then the contract or record that suite related to would not be there. Council Member Hernandez moved, seconded by Council Member McCracken, to approve Item A7. Roll call vote: Ayes - 5; Mayor Pringle, Council Members Tait, McCracken, Hernandez and Chavez. Noes - O. Motion carried. 105 A8. Ratify the appointment of Susan Preus and Barbara Gonzalez as the alternate as Anaheim City School District's representatives to the City's Park and Recreation Committee. Mayor Pringle said he understood that the composition of the Parks and Recreation Commission included voting members who served on school boards and he noted that Anaheim hills was served by the Orange Unified School District and there was no representative of the Orange Unified School District serving on the Park and Recreation Commission in a voting capacity. Community Services Director Chris Jarvi said that there had been numerous talks about a representative being on the Parks and Recreation Commission from the Orange Unified School District. He said that the potential existed for all of the members of the school board being elected from outside the City. One of the requirements to be on a commission, he explained, was to be a citizen of the City. Mayor Pringle pointed out that there was only one member on the Anaheim Union High School District that lived in the City and Director Jarvi agreed, and said that was the difficulty that he had. Mayor Pringle asked for further discussion on the composition of a few City commissions. He said he was concerned about who they served and asked if they were serving the residents of the City or a population of the school district. He said he would like to have a discussion at a future meeting by the Council. He noted that the Anaheim hills area was under represented. Director Jarvi said that he was concerned about Anaheim hills being under represented and noted that the rules were set by City ordinance. City Manager Morgan said that the ordinance would be looked into. ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7, 2003 PAGE 16 Mayor Pringle moved to ratify the selections of Ms. Preus and Gonzalez, under the present composition of the City Park and Recreation Commission, seconded by Council Member McCracken. Roll call vote: Ayes - 5; Mayor Pringle, Council Members Tait, McCracken, Hernandez and Chavez. Noes - O. Motion carried. Council Member McCracken noted that this was one of the Commissions listed in the Charter and she believed that there were other issues that needed to be addressed and that the Council needed to look into Charter changes to present to the voters. Mayor Pringle noted that he had met with the Superintendent of the Anaheim Union High School District and she said that there was presently one member of their board that was a resident voter in the City. 158 A9. RESOLUTION NO. 2003R-2 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM accepting certain deeds conveying to the City of Anaheim certain real properties or interests therein (City Deed NO.1 0578). 158 A10. Approve the license agreement for the use of Disney-copyrighted logotypes within the public right-of-way. 174 A11. To consider a resolution approving the application for grant funds for the Maxwell Park Expansion Project (continued from the Council meeting of December 17, 2002, Item A34). Mayor Pringle said that he had been told that the application did not have attached to it a site plan designation as to how the funds would be used as the City received them. Director Jarvi said that was correct. Mayor Pringle noted that there could be a different discussion down the line as to what should take place at Maxwell. He said that under the current plan, there were no additional sports fields that were being provided at the site, which included Maxwell Park, the Haskett Library site and the Edison right of way easement. The only baseball field was a relocation of one and if the City was going to spend those taxpayer resources, there needed to be space where children and adults could engage in sports activities. Director Jarvi said if that was the desire of the Council, the master plan would be finished and that would be brought back to the Park and Recreation Commission and the Council, if Council desired to see it, and it could be done independently of the resolution process. He added that the purpose of going through the master planning process was to come up with a plan that could be followed as part of the design. Mayor Pringle asked to see the master plan brought back and he said he hoped it was the desire of the Council. He said he understood Community Services sensitivity in advancing and moving forward the application to the State. Mayor Pringle said he had concerns about how the money was being spent and he had been assured by Community Services that the dollars were not locked in. 139 179 179 134 142 ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7, 2003 PAGE 17 Mayor Pringle moved to adopt Resolution No. 2003R-3, seconded by Council Member Hernandez. RESOLUTION NO. 2003R-3 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM approving the application for grant funds for the Maxwell Park Expansion Project (continued from the Council meeting of December 17, 2002, Item A34). Roll call vote: Ayes - 5; Mayor Pringle, Council Members Tait, McCracken, Hernandez and Chavez. Noes - O. Motion carried. A12. Adopt the City's 2003 Government Relations Program (continued from the Council meeting of December 17, 2002, Item A38). A 13. ORDINANCE NO. 5848 (INTRODUCTION) AN ORDINANCE OF THE CITY OF ANAHEIM amending the zoning map referred to in Title 18 of the Anaheim Municipal Code relating to zoning (Reclassification No. 2002-00080, located at 226-230 North Rio Vista Street). A14. ORDINANCE NO. 5847 (ADOPTION) AN ORDINANCE OF THE CITY OF ANAHEIM amending the zoning map referred to in Title 18 of the Anaheim Municipal Code relating to zoning (Reclassification No. 2001-00063, located at 2330 -2340 West Lincoln Avenue) (Introduced at the Council meeting of December 17,2002, Item A44). A 15. Determine County of Orange Public Facility and Resources Department's request to acquire 30-foot wide pipeline easement in portion of the Santa Ana River Channel and Carbon Creek Diversion Channel for construction of a groundwater replenishment system is in conformance with the Anaheim General Plan. A16. ORDINANCE NO. 5846 (ADOPTION) AN ORDINANCE OF THE CITY OF ANAHEIM adding new Section 1.12.099 to Chapter 1.12 of Title 1 of the Anaheim Municipal Code relating to procedural matters (Introduced at the Council meeting of December 17, 2002, Item A29). 179 A 17. Adopt a Negative Declaration for construction of a replacement water production well (Well 53) at 1211 South Magnolia Avenue in West Anaheim. 000 A 18. Approve a partial fee waiver for the Buttons and Bows Square Dance Club for a benefit event to be held at the Brookhurst Community Center March 2, 2003. 114 A 19. Approve minutes of the adjourned Council meeting held December 10, 2002 and December 17, 2002. MOTION: Mc RESOLUTIONS SECOND C Mc END OF CONSENT CALENDAR ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 18 105 A20. Consider appointing a citizen to serve on the Public Utilities Board for a term to expire June 30, 2005 (Thomas J. Kirker's term) (Continued from the Council meeting of December 17, 2002, Item A51). Mayor Pringle nominated Patricia Velazquez. Council Member McCracken nominated Professor Roger Ditman. Council Member Hernandez nominated William Taormina. Mayor Pringle moved to close nominations. Vote for Patricia Velazquez: Roll call vote: Ayes - 3; Mayor Pringle, Council Members Tait and Chavez. Noes - 1, Council Member Hernandez. Abstain - 1, Council Member McCracken. Motion carried. Vote for Professor Ditman: Roll call vote: Ayes - 1, Council Member McCracken. Noes - 2, Council Members Chavez and Hernandez. Abstain - 2, Council Members Tait and Pringle. Motion failed to carry. Vote for William Taormina: Roll call vote: Ayes - 2, Council Members Chavez and Hernandez. Noes - O. Abstain - 3, Mayor Pringle and Council Members McCracken and Tail. Motion failed to carry. 105 A21. Consider appointing/re-appointing four citizens to serve on the Mother Colony House Advisory Board for terms to expire December 31,2006. Council Member Tait moved, seconded by Council Member Hernandez, to continue appointments to the Mother Colony House Advisory Board to January 28, 2003. Council Member McCracken asked for updates and backround history on the three current Members who wished to be reappointed. 156 A22. Consider appointment to the Orange County-City Hazardous Materials Emergency Response Authority. (Council Member Kring's replacement) Mayor Pringle recommended that Council Member Chavez serve on the Orange County-City Hazardous Materials Emergency Response Authority. Council Member Tait moved to close nominations. Deputy Fire Marshall Janet Ortiz stated that Fire Chief, Roger Smith, was the current designated alternate that the Council had approved and this was now to seek a replacement for the primary to the Board which was created when Lucille Kring vacated the position. Roll call vote: Ayes - 5; Mayor Pringle, Council Members Tait, McCracken, Hernandez and Chavez. Noes - O. Motion carried. ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 19 156 A23. Consider appointment to the North Net Fire Training Joint Powers Authority Board of Directors. (Council Member Kring's replacement) Mayor Pringle nominated Council Member Hernandez to serve on the North Net Fire Training Joint Powers Authority Board. Council Member Tait moved to close nominations. Roll call vote: Ayes - 5; Mayor Pringle, Council Members Tait, McCracken, Hernandez and Chavez. Noes - O. Motion carried. Items B1 throuQh B7 From PlanninQ Commission MeetinQ of December 16. 2002: (No action by City Council required unless expressly indicated. Council may consider and act upon such matters at its discretion. Items requiring a public hearing may be set for hearing at a later date upon the request of any two Council members.) APPEAL PERIOD ENDS JANUARY 7, 2003: 179 B1. VARIANCE NO. 2002-04543 CATEGORICALLY EXEMPT - CLASS 11: OWNER: Bann-Shiang Liza Yu, 1842 Walnut Avenue Mountain View, CA 94040-4004 AGENT: Reza Azarpour, PO Box 9800, Anaheim, CA 92812 LOCATION: 1733 South Anaheim Boulevard. Property encompasses one (1) parcel totaling approximately 0.92-acre located 580 feet north of the centerline of Katella Avenue. Waiver of the hotel sign standards matrix to permit two wall signs identifying the Candlewood Suites hotel to be located on adjacent building elevations. ACTION TAKEN BY THE PLANNING COMMISSION: Variance No. 2002-04543 granted (PC2002-178) (7 yes votes). 179 B2. CONDITIONAL USE PERMIT NO. 4182 AND NEGATIVE DECLARATION: OWNER: James F. Lavezzoli, 3523 16th Street San Francisco, CA 94114 AGENT: Bert Steiner,Texan Truck Body, 1215 North Fee Ana Street Anaheim, CA 92807 LOCATION: 1215 North Fee Ana Street. Property is approximately 1 A1 acres with a frontage of 329 feet on the west side of Fee Ana Street located 199 feet north of the centerline of La Palma Avenue (Texan Truck Body). Reinstate permit by the modification or deletion of a condition of approval pertaining to a time limitation (approved on March 27, 2000 to expire March 27,2002) to retain a truck conversion facility and truck storage yard. ACTION TAKEN BY THE PLANNING COMMISSION: Approved reinstatement of Conditional Use Permit No. 4182 for eight years to expire on December 31,2010 (PC2002-179) (7 yes votes). Negative Declaration previously approved. 179 179 179 ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 20 B3. WAIVER OF CODE REQUIREMENT CONDITIONAL USE PERMIT NO. 2002-04633 AND NEGATIVE DECLARATION: OWNER: Jagjit Singh, 116 North Laurie Ann Lane Anaheim, CA 92807 AGENT: Kiyotaka Kurimoto, 24160 - C Avenida Ranchero Diamond Bar, CA 91765 LOCATION: 3901 East La Palma Avenue. Property is approximately 1.2 acres located at the northeast corner of La Palma Avenue and Hawk Circle (Ichiban Batting Cages). To permit an indoor batting cage business with waiver of minimum number of parking spaces (deleted). ACTION TAKEN BY THE PLANNING COMMISSION: Waiver of Code Requirement denied (7 yes votes). Conditional Use Permit granted, in part (PC2002-180). Negative Declaration approved. B4. 179 CONDITIONAL USE PERMIT NO. 3763 CATEGORICALLY EXEMPT - CLASS 1: OWNER: Bipin D. Gala, 24525 Paseo De Toronto Yorba Linda, CA 92887 LOCATION: 1330-1332 South Maanolia Avenue. Property is approximately 1.48 acres located at the northeast corner of Winston Road and Magnolia Avenue. To amend a condition of approval pertaining to the hours of operation for an existing convenience market with sales of alcoholic beverages for off premises consumption. ACTION TAKEN BY THE PLANNING COMMISSION: Approved amendment to Conditional Use Permit No. 3763 (PC2002-181) (7 yes votes). REPORTS AND RECOMMENDATIONS: B5. CONDITIONAL USE PERMIT NO. 2495 - REQUEST FOR TERMINATION: Chad Horning, Newport Federal, 4425 Jamboree, Suite 250, Newport Beach, CA 92660, requests termination of Conditional Use Permit No. 2495. Property is located at 1380 Sanderson Avenue. ACTION TAKEN BY THE PLANNING COMMISSION: Conditional Use Permit No. 2495 terminated (PC2002-177) (7 yes votes). B6. RECLASSIFICATION NO. 2002-00089: City of Anaheim, Planning Department, 200 South Anaheim Boulevard, Anaheim, CA 92805, requests that Planning Commission initiate reclassification of several properties within the County of Orange for annexation into the City of Anaheim. Properties are three County pockets throughout Anaheim. ACTION TAKEN BY THE PLANNING COMMISSION: Approved initiation of Reclassification No. 2002-00089 (7 yes votes). 179 179 ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 21 6:00 P.M. PUBLIC HEARINGS: C1. WAIVER OF CODE REQUIREMENT CONDITIONAL USE PERMIT NO. 2002-04618 CATEGORICALLY EXEMPT - CLASS 1: OWNER: Amaral Julia, P.O. Box 1450, Nevada City, CA 95959 AGENT: Maria Lopez, EI Vaquero Restaurant, 823 West Irving Place, Anaheim, CA 92805 LOCATION: 1168 South State Colleae Boulevard. Property is approximately 1.3 acres located at the southeast corner of Almont Avenue and State College Boulevard (EI Vaquero Family Restaurant). To permit and retain a public dance hall with a cover charge and on-premises sales and consumption of alcoholic beverages in conjunction with an existing restaurant with waiver of minimum number of parking spaces. ACTION TAKEN BY THE PLANNING COMMISSION: Waiver of Code Requirement denied (6 yes votes, Commission Romero absent). Conditional Use Permit No. 2002-04618 denied (PC2002-167). (Informational item at the Council meeting of November 19, 2002, Item B6. Planning Commission's decision appealed by agent). City Clerk, Sheryll Schroeder, announced that the owner and agent had requested a continuance to February 4, 2003. Mayor Pro Tern Tait opened the public hearing. Craig Hardwig, Attorney for the operators of the property, stated that the continuance to February 4, 2003, was acceptable to his client, but that he understood that the owner of the property may be unavailable until February 25, 2003. He asked to postpone the hearing until February 25, 2003. City Attorney White stated that Council could continue the hearing to February 4, 2003, and if the owner desired to be at the hearing to comment and could not be here, it could be continued again. Mayor Pro Tern Tait moved to continue public hearing Item C1 to February 25, 2003, seconded by Council Member McCracken. Mayor Pringle temporarily absent. Motion carried. C2. WAIVER OF CODE REQUIREMENT CONDITIONAL USE PERMIT NO. 2002-04615 CATEGORICALLY EXEMPT - CLASS 1: OWNER: MBS Holdings, Attn: Brian Grinde 1363 South State College Boulevard, Anaheim, CA 92806 LOCATION: 1363 South State Colleae Boulevard. Property is approximately 6.1 acres located at the southwest corner of Winston Road and State College Boulevard. To permit and retain an existing building materials storage yard in conjunction with a tile/flooring business with waiver of required landscape screening of outdoor storage. ACTION TAKEN BY THE PLANNING COMMISSION: Waiver of Code Requirement denied (5 yes votes, Commissioner Boydstun voted no and Commissioner Bostwick absent). Conditional Use Permit No. 2002-04615 denied (PC2002-161). _ __,.~,~_"_,_'__'_^H_.",_,,~,__,___,~__,___,__,,,,___..>.---..-.--..---.-.------ ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7, 2003 PAGE 22 (Informational item at the Council meeting of November 5, 2002, Item B5. Planning Commission's decision appealed by Granitex). Executive Director of Planning and Community Development, Joel Fick, presented a staff report and said that the proposal had been revised. The property was developed with a two-story building, he said, there were currently two tenants and there was an apparel manufacturer and the Granitex tile and flooring business that occupied approximately 18% of the building. The business had fenced approximately 17,000 square feet of the parking lot for an outdoor storage yard to store natural stone slabs and tile; enclosure which as visible from both State College Boulevard and Winston Road utilized a six-foot high chain link fence with polyvinyl chloride slats and was set back approximately 63-feet from State College and ten feet from Winston, he reported. The area was internationally recognized as a center for the industry, he said, and since sales and indoor storage was permitted by right, many of the businesses had invested in elaborate showrooms to display their products to construction trades as well as the public. The area was highly visible and the City had plans to install street and landscaping enhancements to implement the adopted State College Boulevard master plan, he noted. An outdoor storage facility required a conditional use permit and that was the reason for the hearing and that the Zoning Code required the storage yards to be screened from public view, hiding both the actual fencing and the materials being stored behind the fence, he informed. The Code required that vines be planted and trees be installed, he said. The applicant had requested a waiver of the requirement for the trees and had a substitute proposal to offer, he noted. The applicant would like to, instead of the trees, maintain an existing photocarpus hedge along Winston Road and would like to maintain five mature jacaranda trees along the 130-foot long fence facing State College Boulevard and plant a hedge to match the Winston Road frontage. He said that in addition to the requirements, there were additional trees that would be required on any industrial property anywhere in the City and there were 29 that would be required along State College and nine along Winston Road and that there was only one tree that existed on site. He noted that staff had met with the applicant and the applicant had agreed to plant the additional trees in conformance with Code. He said it would be preferable if the outdoor storage yard could be tucked behind the building, out of public view, and the existing building placement did not make that possible and there were not any other alternatives on site. Based upon the unique figuration and the applicant's willingness to provide the additional trees, he said staff recommended approval of the revised request. If the request was approved by Council, he said that staff recommended the conditions originally contained in the staff report be modified to include the planting of five gallon photocarpus plants on 24-inch centers along State College Boulevard, and that these plants, along with the existing hedge on Winston Road, be allowed to grow into a hedge exceeding the height of the slatted chain link fence to block visibility in the storage yard. As represented and offered by the applicant, he suggested that a condition be included to address the planning of the 29 trees along State College and the nine trees along Winston Road, as proposed. The original recommendation had a one-year time limitation and based upon the applicant's revised request, he said that staff did not believe that would be necessary and that staff and the applicant recommended approval of the project. Mayor Pringle opened the public hearing. Firas Shaban said he was the owner of Granitex and he added that the storage yard was vital to his business. He had started the business two years ago and said that without the yard, he would go out of business. Mayor Pringle asked Mr. Shaban if he was willing to accept the additional conditions and modifications presented by staff and he said his company would. 179 ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 23 Mayor Pringle closed the public hearing. Council Member Tait moved, seconded by Council Member Chavez, to approve the CEQA Finding of Categorically Exempt, Class 1. Council Member Tait moved, seconded by Council Member Chavez, to approve Conditional Use Permit No. 2002-04615 with conditions set by staff and deleting the one-year time limitation. He offered Resolution No. 2003R-4 for adoption. RESOLUTION NO.: 2003R-4 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM GRANTING CONDITIONAL USE PERMIT NO. 2002-04615. Roll call vote: Ayes - 5; Mayor Pringle, Council Members Tait, McCracken, Hernandez and Chavez. Noes - O. Motion carried. C3. WAIVER OF CODE REQUIREMENT CONDITIONAL USE PERMIT NO. 3939 AND NEGATIVE DECLARATION: OWNER: ALL AMERICAL PETROLEUM Corp. 301 S. Anaheim Boulevard, Anaheim CA 92805 AGENT: Jerry Zomorodian, 25105 Mustang Drive Laguna Hills, CA 92653 LOCATION: 301 South Anaheim Boulevard. Property is approximately O.93-acre located at the southwest corner of Broadway and Anaheim Boulevard (ARCO Service Station) To amend previously-approved exhibits and conditions of approval pertaining to signage (to permit and retain 2 unpermitted wall signs, modify 1 existing wall sign, modify 6 existing informational signs and construct 2 directional signs), and to modify conditions of approval pertaining to hours of operation and operational conditions pertaining to the convenience market with fast food and the retail sales of beer and wine in connection with a previously-approved service station with a full-service car wash with fast food with waiver of permitted sign copy for freestanding entrance or exit signs. ACTION TAKEN BY THE PLANNING COMMISSION: Waiver of Code Requirement approved (4 yes votes, Commissioners Boydstun and Vanderbilt voted no and Commissioner Bostwick absent). Amendment to Conditional Use Permit No. 3939 approved, in part, approving the car wash sign on the north elevation of the car wash building and denying all other requested sign modifications, denying request to extend hours for sale of beer and wine and denying request for sale of single containers of beer and wine coolers (PC2002- 160). Negative Declaration previously approved. Informational item at the Council meeting of November 5,2002, Item B4. Planning Commission's decision appealed by agent, Jerry Zomorodian). (Continued from December 17, 2002 meeting) Council Member Tait declared a potential conflict of interest and left the Council dais. Executive Director of Planning and Community Development, Joel Fick, said that following the December 17, 2002 Council meeting, staff met with the applicant on site to discuss the signage ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7, 2003 PAGE 24 and the owner was willing to resolve the issues that staff had concerns about. He said that an updated staff report that identified the signage had been submitted to Council and it outlined conditions of approval that would permit the signage revisions. In reviewing the applicant's signage request, he said that staff considered the unique aspects of the site, which included that this was the only service station in the civic center area, eastbound visibility to the site was limited due to a building to the west that was situated on the front of the property line and the applicant had constructed and maintained upgraded enhancements and architectural elements on his property that reflected features found elsewhere in the Colony District. He noted that the originally approved signage program did not reflect a more recent expansion of the car wash and detailing services that had since been added. He said that both the applicant and staff felt that the modifications that had been voluntarily put in place by the applicant, had made a significant difference in improving the appearance of the service station site. He summarized and read the revised signage proposal, which resulted in changes or additions in the sign program previously approved for the property. He said that the three sided monument sign was modified by relocating the unpermitted sign addition from the brick pedestal up to the bottom portion of the sign, which resulted in a reduction of the sign square footage and restored the decorative brick to its original condition. The driveway directional signs were removed, he said, and the sign copy at the ends of the pump islands that faced Anaheim Boulevard and faced west closest to Broadway, which previously advertised car wash pricing, restored back to the original instructional wording. The two pump islands nearest the convenience market would continue to advertise products and services to onsite customers, he noted. The car wash signs on the sides of the pumps not adjacent to Broadway would remain since they were generally not visible to City streets and the carwash sign above the carwash exit facing Broadway would remain as approved by the Planning Commission, he informed. The two identical, 25 square- foot wall signs facing Broadway and Anaheim Boulevard would remain and continue to advertise the car wash, in addition to previously approved sign copy, he explained. At the last meeting, he noted, the applicant withdrew the request for sales of the individual containers of the beer and wine coolers and at that meeting, he said staff recommended approval of the request to allow beer and wine sales to commence at 6:00 A.M. He stated that the recommended conditions of approval in the report update reflect the staff and applicant's recommended proposal. Agent, Jerry Zomorodian, stated he was satisfied with the recommendation of staff. Mayor Pringle closed the public hearing. Council Member McCracken moved, seconded by Council Member Hernandez, to approve the CEQA Finding of Negative Declaration. Council Member McCracken offered Resolution No. 2003R-5 for adoption. RESOLUTION NO.: 2003R-5 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM APPROVING CERTAIN AMENDMENTS TO CONDITIONAL USE PERMIT NO. 3939 AND AMENDING RESOLUTION NO. 97R-137 AS THERETOFORE AMENDED BY RESOLUTION NUMBERS PC98-166, PC2000-27. Roll call vote: Ayes - 4; Mayor Pringle, Council Members McCracken, Hernandez and Chavez. Noes - O. Abstain - 1, Council Member Tait. Motion carried. Report on Closed Session Actions: None. ANAHEIM CITY COUNCIL MEETING MINUTES JANUARY 7,2003 PAGE 25 Council Communications: Council Member McCracken thanked the community for recent holiday events. She noted that an original member of the Public Utilities Board, Joe White, had passed away and she offered sympathy to the family. Council Member Chavez acknowledged Orange County Supervisor Cynthia Coad. He also spoke about the recent Santa Ana winds and complimented the Fire Department employees who assisted. Council Member Tait thanked all of the electrical utility workers who worked in dangerous conditions around the clock during the winds. Adjournment: There being no further business to come before the City Council, Mayor Pringle adjourned the meeting at 7:05 P.M. to January 14, 2003, at 11 :00 A.M. for a workshop.