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07/31/2018ANAHEIM CIN COUNCIL REGULAR MEETING OF JULY 31, 2018 The regular meeting of July 31, 2018 was called to order at 3:10 P.M. in the Chamber of Anaheim City Hall, located at 200 S. Anaheim Boulevard. The meeting notice, agenda, and related materials were duly posted on July 27, 2018. PRESENT: Mayor Tom Tait and Council Members Jose F. Moreno, Kris Murray, James Vanderbilt, Denise Barnes, Lucille Kring, and Stephen Faessel. STAFF PRESENT: Interim City Manager Linda Andal, City Attorney Robert Fabela, and Acting City Clerk Theresa Bass ADDITIONS\DELETIONS TO CLOSED SESSION: None PUBLIC COMMENTS ON CLOSED SESSION ITEMS: None CLOSED SESSION: At 3:10 P.M., Mayor Tait recessed to Closed Session for consideration of the following items: 1. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION Initiation of litigation pursuant to paragraph (4) of subdivision (d) of California Government Code Section 54956.9: One potential case. 2. CONFERENCE WITH LABOR NEGOTIATORS (Subdivision (a) of Section 54957.6 of the California Government Code) Agency Designated Representative: Jason Motsick, Acting Human Resources Director Name of Employee Organization: Service Employees International Union 3. CONFERENCE WITH REAL PROPERTY NEGOTIATORS (Section 54956.8 of the Government Code) Property: Assessor Parcel Number: 232-072-06: 2626 E. Katella Ave, Anaheim, CA 92806; Assessor Parcel Number: 253-601-02: 1621 S. Douglass Rd, Anaheim, CA 92806; Assessor Parcel Number: 253-521-16: 2695 E. Katella Ave, Anaheim, CA 92806 Agency Negotiator: Linda Andal, Interim City Manager Negotiating Parties: Anaheim Arena Management and City of Anaheim Under Negotiation: Price and Terms of Payment 4. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Subdivision (d)(1) of Section 54956.9 of the California Government Code) Name of Case: Jarret Young v. City of Anaheim, et al., Orange County Superior Court Case No. 30-2018-00966666-CU-OE-CXC 5. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION (Subdivision (d)(1) of Section 54956.9 of the California Government Code) Name of Case: People's Homeless Task Force, et al., v. City of Anaheim, USDC Court Case No. 8:18-cv-00642 DOC (KESx) At 5:19 P.M., Mayor Tait reconvened the Anaheim City Council. INVOCATION: Father Bill Cao, St. Anthony Mary Claret Catholic Church FLAG SALUTE: Council Member Denise Barnes City Council Minutes of July 31, 2018 Page 2 of 33 PRESENTATIONS: Recognizing Bottled Water Label Art Contest Winners Anaheim Public Utilities Business & Community Programs Manager Phil Hayes spoke about the art contest program and introduced the winners: Elizabeth Calvillo, First Grade Student, Lincoln Elementary School, and Zoe Lee, Fourth Grade Student, Acaciawood School. ADDITIONS/DELETIONS TO THE AGENDA: Acting City Clerk Theresa Bass announced the appellant for Public Hearing Item No. 30 requested the public hearing be continued to August 14, 2018. PUBLIC COMMENTS (all agenda items, except public hearings): Prior to receipt of public comments, a brief decorum statement was provided by Acting City Clerk Theresa Bass. Cecil Jordan Corkern, Outreach Homeless Ministries, commented on sex trafficking in the Google search of the names of the girls on Disney Channel, pornography, and the publishing of his Bible magazine, "One Law, Holy Law". R. Joshua Collins, Homeless Advocates for Christ, reported he has been evicted from one of the rooms in his church where he had living and ministering due to Code Enforcement rules and opined that infringed on personal liberties. He requested a letter from Council and Code Enforcement indicating the case against the church would be closed and for the City to show grace. William Fitzgerald, Home Owners Maintaining Our Environment, alleged Disneyland and City Council were attempting to stop free speech by making false, criminal charges against those who speak against Disneyland at Council meetings. He referenced comments made at a previous Council meeting and an alleged interaction that occurred afterwards in the parking lot. Mayor Tait commented on false statements made by Mr. Fitzgerald and noted the importance of free speech and decorum, even if disregarded by speakers. Council Member Murray reported the statements were false and inflammatory. Mayor Pro Tem Moreno noted the articles referenced by Mr. Fitzgerald do not address the claims he made. Dr. Cynthia Smith, Creative Identity, spoke in support of the Community Service Board's recommendation for funding for the CDBG grant and reported there has been a rate freeze since 2003 by the State of California in terms of funding for programs for adults with developmental disabilities. She distributed copies of a letter by Assemblyperson Chris Holden trying to get emergency funding for day programs such as Creative Identity. The emergency funding bill passed, but it will take a number of years before providers get the money. She thanked the City and Council for its past support. Mike Hadley referenced an article from June 29, 2018 discussing his daughter who was arrested by the Anaheim Police Department twice but was exonerated. He reported handing reports to the Anaheim Police Department where he was recorded and told the report was not going to be submitted to Internal Affairs. He distributed copies of the reports for Council to review and demanded return of his daughter's phone, iPad, and laptop. He noted reporting the issue to Council at a previous meeting and stated he has not received a response. City Council Minutes of July 31, 2018 Page 3 of 33 Kandee Beas, Community Services Board Chair, offered to respond to questions from Council on the process used to choose non -profits recommended for CDBG funding (Item No. 18). Benita Gagne referenced Item No. 24 and asked Council to vote "no" and keep Brookhurst Park as large as it currently is, without modification. She asked Council to be consistent with the City's General Plan Parks Plan and not set a precedent that would allow any non-profit to request park land in the future. She expressed concerns with diminished views and the elimination of trees and suggested other sites in the general area available for rent or sale. Jerry Amante, Executive Director, Anaheim/Orange County Hotel and Lodging Association, referenced the living -wage initiative, noting it would have a substantial impact on the entire economy and on the members of his organization. He stated, as this item goes to the ballot, the City must provide as much information to voters so that the electorate can make a meaningful decision. He opined the measure was vague and does not provide the information needed, including the level of the proposed wage. Gloria Ma'ae felt Brookhurst Park should remain as it currently existed, agreed with Mr. Amante's comments regarding the living -wage initiative, and commented on the importance of maintaining civility. She added those who speak at the podium should do so with respect and honor and think about how others in the room are being impacted. Jill Kanzler, SOAR, reported she was not a Vice President at Disneyland and stated SOAR was opposed to the minimum wage initiative as they believed it would hurt businesses, stop development of future hotels, and negatively impact funding and services supporting the citizens and neighborhoods of Anaheim. The organization believes negotiations over wages should occur at the bargaining table and not at the ballot box. Ms. Kanzler urged Council to revise the ballot language and clarify what the initiative will entail and how much the minimum wage will increase. Dale Vornholt spoke about negative impacts from the homeless at Maxwell Park; noting her home and yard have been vandalized, she has had items stolen from her yard and mailbox, and reported the situation has not improved. She addressed the homeless population in the park, trash, and people sleeping on benches and urged Council to help. Mehmet Murat Merac spoke in support of Item No. 24 and commented on the great services provided by Access California Services. Sama Wareh, Environmental Studies Professor, Cal State Fullerton, spoke in support of Item No. 24, noting the proposed site was a perfect location for Access California Services. She noted trees were important but reported having a family resource center that promotes environmental education was also important. She commented on the importance of transportation and opined the site will facilitate access by clients who have none. Ms. Wareh addressed the importance of looking at all sides of an issue and reported locations lacking a family resource center had a higher crime rate and disengagement from the community. June Hamze urged Council not to give City parks away, stating Anaheim will spend $830,000 for improved parks but wondered where the money went. She spoke against Item No. 24 and asked Council to save the parks for the children. Ms. Hamze further expressed concerns with people sleeping in the streets and other behaviors by homeless people in her neighborhood. Jodie Mosley spoke in opposition to Item No. 24 and commented on the lack of park space in west Anaheim. She expressed concerns about the decline of the area. Jack expressed concerns with the increasing number of homeless in west Anaheim. He reported his coaches have been threatened at Maxwell Park and one was physically assaulted. He stated City Council Minutes of July 31, 2018 Page 4 of 33 he is afraid to ride his bike for fear it will be stolen and reported two years ago West Anaheim Little League terminated practices at Maxwell because of public safety concerns. Heather Porretta spoke in opposition to Item No. 24 and commented on deteriorating conditions at Maxwell Park. She commented on the lack of park space and on parks being for recreation services. Ms. Porretta reported researching Access California Services, noting they to good work, but do not offer recreation services and would not be appropriate at Brookhurst Park. She addressed the growing blight in west Anaheim and urged Council to do something to address homelessness. Lamar Hanger, Southwest Regional Council of Carpenters, offered his thoughts on the language in the living wage initiative and felt it was important that voters know the facts about the initiative through a clear ballot question and the amount of wages. Erica Lizarde spoke about the declining conditions of parks in west Anaheim. She reported neighborhood frustration and urged Council to invest in parks and divert resources into cleaning, updating, and maintaining parks to increase safety and deter criminal activities. In addition, she asked Council to allow soccer leagues to play in west Anaheim parks and voiced opposition to Item No. 24. Holly Hagler, CEO, Seniorserv, thanked Council for supporting seniors in Anaheim through CDBG funds and for being the first city in Orange County to join AARP Livable Communities. She listed services provided by her organization and read a letter of thanks from one of their service recipients. Additionally, she reported they operate two adult daycare centers providing medical daycare to at -risk seniors and thanked Council on behalf of her friend, for supporting the Acacia Daycare program. Ernesto Medrano, Los Angeles and Orange County Building and Construction Trades Council, referenced Item No. 26, opined the ballot measure was vague and ambiguous, and urged Council to clarify the ballot question for increased transparency so voters can make an informed decision. Bill Samp opposed Item No. 24, noting the City lacks sufficient park space and parks should be used for recreation. He feared giving away park land would set a bad precedent where other non -profits will ask for similar benefits and noted there were existing structures that could be used by Access California Services. Patrick Pepper, SOAR Executive Advisory Group, spoke in support of Item No. 26, noting the existing was is ambiguous and should be modified for increased transparency and to allow voters to make an informed decision. Mr. Pepper claimed minimum wages were never meant to support a family, opined the measure would make the City Manager an administrative law judge and would hurt businesses in the City, and claimed UNITE HERE has cost the City millions of dollars. Natalie Meeks referenced Item No. 26 and asked Council to provide enough information on the ballot so voters can make an informed decision. She voiced support for residents of west Anaheim and noted it was sad to see the area continue to deteriorate. Burt Winer spoke in support of Access California Services (Item No. 24) and noted they can help seniors and youth in establishing a positive track for their lives, which will help combat the homeless situation in the City. Tracy Urueta spoke in opposition to Item No. 24 and submitted a petition against giving away park land. She noted the majority of people participating in the surveys felt more parks were needed in the City. She listed services provided by Access California and noted none related to recreation. City Council Minutes of July 31, 2018 Page 5 of 33 Rafea Alhattab spoke in support of Item No. 24 and the services provided by Access California. Nahla Kayali, Executive Director, Access California Services, thanked the City and Council for their support and help in finding a new home. She urged Council to reconsider their expansion at Brookhurst Park and noted Access California was committed to promoting the well-being and healthy development of the community as the proposed project will unite families and offer programs and recreational activities for the community. Ms. Kayali addressed a petition of 425 signatures in support of the project. Karen Stoyanoff, Unitarian Universalist Church, spoke about the minimum wage initiative and shared a case of a family of four who cannot afford for the adults to eat everyday otherwise they would not have the money to buy food for the children. She opined this was a problem of morality and not a financial issue and urged Council to be generous in making a choice about the measure. Valentina Purtell, Provost, North Orange Continuing Education, spoke in support of Access California Services, noting they provide comprehensive social services, education, and socio- emotional support for immigrants, refugees, and people of all backgrounds and accelerates their integration into the community. She reported her organization has been a proud partner of Access California for over a decade. Tyler commended Access California for the services they provide but spoke in opposition to Item No. 24, noting there was a lack of park space in west Anaheim. He reported Brookhurst Park was heavily used by children and families on weekends and they need the open green space. With respect to Item No. 25, he reported he was heavily affected by the homeless situation at Maxwell Park, noted people sleeping in cars and debris, and urged Council to help the residents of west Anaheim. Lou Noble commented on the backlash of the riverbed community that was evicted, noting the City still does not have the resources needed to address the problem. He referenced Al Fresco Gardens as a solution that could be quickly implemented. Nancy Davis stated many living in their RVs have nowhere to go and she was worried that she has no place to park her RV. She referenced comments made by a member of the public complaining about people living in RVs during a prior Council meeting and stated she was not truthful in her statement. Mark Whisenant reported many people who live in RVs are disabled, are having a tough time making ends meet, and have no other place to go. Nancy VanValkenburgh reported receiving two citations in two days, others have also been ticketed, and felt there was not enough warning and no signs posted. She noted that no large trucks were ticketed and only RVs belonging to the homeless were. She believed this was an attack on the homeless and stressed that something needed to change. Shawndra Schmitz reported receiving various citations, was suffering from a terminal illness, and stated she has no other place to go with her RV. Alma Marquez, Director of Programs, The Multi -Ethnic Collaborative of Community Agencies (MECCA), addressed the organization's mission and expressed support for Access California Services and Item No. 24. She noted it would be an asset for the City, providing resources and recreational opportunities for a healthy community in one of Anaheim's most -impacted neighborhoods. She listed services they will provide and noted having the family resource center City Council Minutes of July 31, 2018 Page 6 of 33 at Brookhurst Park will help with transportation costs and savings can go towards helping more members of the community. Duane J. Roberts spoke in support of Access California Services' proposal to build a family resource center at Brookhurst Park (Item No. 24). He referenced several surveys conducted which showed the majority of residents welcome Access California's presence as residents want after-school programs and outdoor activities, English classes and employment services that will help them get better -paying jobs, and citizenship classes. In terms of the green space where the center was proposed, Mr. Roberts reported it was not used, was unsafe for children, and the traffic noise can be unbearable. Mr. Roberts added the Anaheim Parks Plan made it clear that a family resource center was badly needed in west Anaheim and he urged Council to unanimously approve the proposal. Annie Park, Public Relations Director, International Youth Fellowship, invited Council to participate in their 2018 World Camp Mayors' Forum on August 15, 2018 in Long Beach, at the Terrace Theater. Prior to that, The World Camp will be held at the Anaheim Hilton from August 11th — 15th. She listed the organization's work and accomplishments in preparing the next generation of leaders and distributed invitations to Council. Trevor O'Neil referenced Item No. 26 and urged Council to support the alternative ballot statement language as proposed by Council Member Murray. He opined the existing ballot statement was vague and lacked specificity. In terms of Item No. 26, he believed it was a good governance measure that promoted transparency and accountability for taxpayer dollars and was necessary so voters can make an informed decision. "The Cameraman" referenced comments made by Mr. Fitzgerald and addressed possible repercussions from false accusations. He addressed comments regarding safe and sane and illegal fireworks by Council Member Kring at a West Anaheim Neighborhood Development (WAND) Council meeting. He congratulated the new Police Chief and wished his own mother a happy birthday. Council Member Kring stated requested to speak briefly at the WAND meeting and then left because she had already heard the presentations given. Judi Gollette, West Anaheim Neighborhood Development Council, shared the work and accomplishments of the Council and spoke about the lack of park space in the area. She stated the community needed to use the parks and children needed space to play. She urged Council not to give away any more park land and asked Council to deny Item No. 24 and work to increase the number of parks on the west side. She referenced petitions and letters sent to Council about this issue. David Klawe requested a report on the status of permit parking applications, spoke in support of Item No. 26, and urged Council to approve the proposed alternative language to the ballot statement. In regards to Item No. 24, he believed there were other options for Access California Services to consider besides the open space at Brookhurst Park. He referenced Item No. 25 and noted increased criminal active on sidewalks by the homeless. Wes Jones, Anaheim People's Homeless Taskforce, addressed Council Member Faessel's comments regarding public comments and alleged actions at a previous meeting. Additionally, he spoke of a lawsuit regarding the enforcement of anti -camping ordinances and suggested any modification of the ballot statement under Item No. 26 be done by a more -impartial source and urged Council to deny the item as the living -wage initiative was much needed. City Council Minutes of July 31, 2018 Page 7 of 33 Elizabeth Gonzalez noted there were many homeless Disneyland Cast Members and opined if Council wanted to resolve the issue of homelessness, it needed to support a living wage. Vern Nelson spoke in favor of Item No. 24, noting the small amount of unused space Access California will take up would be more than made up for by the conversion of Dad Miller Golf Course to a public park. He congratulated Artemis Bell and her team of union negotiators for the raise she got for Disney workers but noted it will affect less than 30% of resort workers and urged everyone to vote "yes" for the measure in November. He addressed opposition to the living wage initiative and led the assembly in a parody of "It's a Small World". Danielle Wilson, UNITE HERE Local 11, believed bringing proposed changes to the ballot statement language at a late date was irresponsible and added the City should require decisions over corporations that are given millions in taxpayer dollars to be voted on as well. She urged Council to vote "no" on the proposal to change the ballot statement (Item No. 26). Kathy Tran distributed copies of a document for Council's review and spoke about the lack of park space in west Anaheim, noting it was 50% of what it should be. She spoke in opposition to giving park land to Access California Services (Item No. 24). Jeanine Robbins commented on intimidation of speakers, speakers from outside Anaheim, large groups attending Council meetings, and suggested Council Members learn the whole story before making allegations. In terms of homelessness, she spoke positively regarding Bill Taormina's plan for rebuilding lives by treating people holistically and hoped Council would support it. Regarding RVs, she believed they should not be ticketed on a daily basis, as they have no money to pay the tickets. She opined it was discriminatory as there was a history of Code Enforcement refusing to ticket short -term -rentals on a daily basis. She stressed the problem needed to be solved and there are plenty of vacant lots where they can be allowed to park. In terms of Item No. 24, she stated people supersede trees and made a comparison between giving land to Access California and giving millions of dollars to Disney. Mike Robbins distributed copies of a document for Council review and commented on an area from State College to Beach Boulevard where crime has remained the same related to the rest of the City and there was no crime center along park areas. He noted the homeless have become a target and highlighted sex offenders who live close to Twila Reid and Maxwell Parks. Shakeel Syed, Executive Director, OCCORD, urged Council to reject proposed changes to the ballot statement as recommended under Item No. 26. He indicated Council has already approved the ballot statement as written by the City Attorney and hoped Council would honor the will of 21,000 workers of the City. He quoted Dr. Martin Luther King and felt that the people of Anaheim were demanding what was right and just for themselves and their families and promised to continue to fight. Council Member Murray commented on Mr. Syed's alleged behavior toward members of the public who spoke against the measure and reported his organization went door-to-door and misinformed residents. E. Isaac Garza, Disneyland Resort employee, addressed Item No. 26 and noted most Cast Members do not live near Disneyland because they cannot afford to because they do not make enough money. He urged Council to not change the language in the ballot statement as it was clear enough. Karen Romero Estrada referenced Item No. 26 and reported community members and the coalition of unions have worked hard for the progress that has been made and reported they have received endorsements from over 300 small businesses in the City. Ms. Romero Estrada City Council Minutes of July 31, 2018 Page 8 of 33 reported the language for the ballot statement was already adopted by Council, as drafted by the City Attorney. She urged Council to reject any changes and felt a change, at this late date, could be used to confuse voters and could constitute an unwarranted rejection or bias; no Council Member should interfere with the process. Additionally, she asked Council to respect the process and distributed copies of letters for Council to review. Kenneth Batiste asked Council to deny any attempt to change the ballot statement regarding the living -wage initiative. He noted Disneyland is not the same Disneyland that was started by Walt Disney and opined when a company makes almost $5 billion in one quarter, it should be able to pay its employees a living wage. He alleged that, historically, Council is known for giving away money to Disney while the City is in debt. With respect to RVs, he stated those who have houses should never forget about the people who lost their houses. Josh Stern, Disneyland employee, asked Council to keep the living -wage ballot statement as written. He noted the importance of the initiative and stated he does not make enough money to live in Anaheim. He added developers will never stop building around the Disneyland Resort because of profits. Rami Mekdache, west Anaheim resident, reported when he drives by parks, they are empty. He spoke in support of the proposal by Access California Services to build a family resource center at Brookhurst Park, noting the time children would use the park would be after operating hours. He added the services provided by Access California will go a lot further than a child not attending a park. Dina Cahla, Volunteer, Access California Services, spoke in support of the organization and noted they currently have summer programs and summer recreational activities indoors because the parking lot is not big enough to host them. They provide services for youth and seniors and offer programs that promote wellness and fitness. She reported when she was younger, Access California had after-school programs to help students with their homework and urged Council to approve the proposal. Jorge Iniestra, Disney employee, spoke against changing the ballot statement on the living -wage initiative. He reported he was one of the people who collected signatures and stated people understood what they were signing. He suggested there has been a lot of fear -mongering and lies told relative to this item. Council Member Murray indicated receiving calls from people who stated they were asked if Disney should pay a fair wage and now many employees were getting an immediate raise, due to negotiations rather than the initiative. John Dunton spoke in support of Access California Services building a family resource center at Brookhurst Park. He shared how a young girl was killed near Brookhurst Park and felt she would be alive today if she had had a place to play such as a family resource center. He added Access California helps the community and asked Council to approve the proposal. Additionally, he spoke in favor of the new Anaheim Police Chief and believed he will be good for the City. Bruce Johnstone, RV owner, reported being cited and noted he and his wife are on fixed incomes. He added this has been a stressful situation and they were once homeless but bought an RV in which to live. Linda Harding, RV owner, reported having health problems and noted she does not bother anyone. She asked Council to have a heart and help them. City Council Minutes of July 31, 2018 Page 9 of 33 Tarik Takkesh referenced the City's Parks Plan, listed the seven categories of parks, and noted there are not enough recreational resource parks in that category. He spoke in favor of allowing Access California Services to build a family resource center at Brookhurst Park and urged Council to approve it. Dave K. urged Council to focus on what was important and commended the Anaheim Police Department for a job well done. In terms of homelessness, he believed the homeless are a public health risk to the City and listed potential diseases that could be spread. Additionally, he commented on banning the use of marijuana, noting landlords can do so and the City can ban all related commercial activities. He asked Council to make residents aware and opined the real problems in California are caused by the State's Democratic legislature. Christopher Duarte, President, Workers United, Local 15, stated the contract settled between Disney and Master Service Council affects around 35% of Disney employees. He noted City Council has approved the ballot question at prior meetings and to change anything now was misleading. He urged Council to make no changes to the ballot statement regarding the minimum wage initiative. Rabbi Jonathan Klein, Executive Director, Clergy and Laity United for Economic Justice, referenced Item No. 24 and noted the area proposed for Access California Services is 0.7 acres out of 27 acres at Brookhurst Park and would be a great investment for the community. He commented on ensuring that government works well and empowering non -profits to be partners with government to make the world a better place. Relative to Item No. 26, he believed that putting language on the ballot statement will ensure strong reactions from some. He added that Disney has not made Anaheim great, but rather the workers themselves, and urged Council to deny changing the ballot statement. Ada Briceno, Co -president, UNITE HERE, Local 11, spoke in opposition to changing the ballot statement under Item No. 26 and noted, by law, the ballot statement must be impartial and unbiased. She stated the City Attorney drafted it, it has already been approved twice by Council, and it is unclear whether Council has the authority to make such a change, once the language has been approved. She detailed examples of why the City Council should reject the proposal to change the ballot statement. She indicated if Council chooses to change the language, they will have no other choice but to take legal action. Relative to Item No. 24, she spoke in support of allowing Access California Services to build a family resource center at Brookhurst Park. Joese Hernandez referenced a prior comments regarding the homeless and related them to racism. He spoke in support of Access California Services building a family resource center at Brookhurst Park and urged Council not to change the ballot statement on the living -wage initiative. He shared his experience living in Anaheim, working for Disney, and sleeping in his car. He stated, along with a living wage, Anaheim residents need real, compassionate solutions to the homeless issue and the substandard housing issue. Martin Lopez, UNITE HERE, Local 11, noted one job should be enough for people to pay rent and support their families. He commented on negative ads opposing the living wage initiative and listed hotels in the Disney Resort area that already pay above $15 per hour. He urged Council to reject the proposal to change the ballot statement on the initiative. Additionally, in terms of Item No. 27, he opined the public should have more time to review the matter before Council acting. Relative to Item No. 24, he spoke in support of having Access California Services building a family resource center at Brookhurst Park. Amir Basmachi (spelling?) spoke in support of Access California Services expanding a family resource center at Brookhurst Park. She reported they are not taking away places for children to City Council Minutes of July 31, 2018 Page 10 of 33 play, BBQ, or play soccer; but are proposing a family resource center on a small, under-utilized piece of land. They want to build a family resource center to offer services and programs that will rebuild the lives of members of the community and help them to become healthy, vibrant, and self-sufficient. She referenced a survey of families in the area, noting many have five -to -fifteen people living under one roof and noted the need for a safe place for families to use and enjoy. Musa Cahla, Citizenship Instructor, Access California Services, spoke in support of Item No. 24 to allow Access California Services to build a family resource center at Brookhurst Park. He listed the services and benefits provided by the organization. Mirvette Judeh spoke in support of Item No. 24 to allow Access California Services to build a family resource center at Brookhurst Park and referenced a survey of area residents who indicated they would use the services of the organization at Brookhurst Park and a petition that was circulated claiming the agency was taking away park land. She added Access California Services would be using a very small portion of the park and noted recommendations from the Parks Commission. She urged Council to approve the proposal. In terms of Item No. 26, she asked Council to let the people vote and not change the ballot statement. Jeremy Arnold asked Council to reject the proposed revision to the ballot statement under Item No. 26, noting it does not improve or clarify it and provided specific examples of the proposed language. He opined the changes represent an attempt by the opposition of the living wage to express their rebuttals and arguments early. He alleged changing the ballot statement would open the City to potential litigation as the changes were poorly written, irresponsible, and unnecessary. Art Castillo delivered a resolution drafted by the Social Concern Committee of the Unitarian Church of Anaheim in support of Access California Services' proposal to build a family resource center at Brookhurst Park. He stated the parcel they are proposing to use is unused and dangerous for children to play on because of the proximity to busy streets. He distributed copies of petitions in support of Access California Services. David Duran spoke in support of Access California Services' proposal to build a family resource center at Brookhurst Park. In addition, he asked Council to amend the RV parking ordinance to help those living in their RVs. He noted the existing ordinance has gapping holes in it and is not applicable to everyone. In terms of the homeless situation, he asked for Council's support for Bill Taormina's proposal. A male speaker spoke in support of Access California Services' proposal to build a family resource center at Brookhurst Park and commented on the importance of green space in therapy and specific programs provided by the agency. Bill O'Connell opined many of the City's problems are caused by the State and County and believed the living -wage initiative will cause a lot of confusion as it is vague and noted it will affect more companies than just Disney. He added the people should understand what they are voting for and asked for Council's support of Item No. 26 to ensure residents understand both sides of the debate. Mayor Tait noted he is a mayor, first, and he will do what he thinks is right for the people of Anaheim, adding he and that Mayor Pro Tem Moreno have been consistent in terms of not being in favor of hotel subsidies. Mayor Pro Tem Moreno thanked Mr. O'Connell for his comments and stated and provided options regarding the living -wage initiative and hotel subsidies. City Council Minutes of July 31, 2018 Page 11 of 33 Pat Davis stated the need for impartiality under Item No. 26 and that Disney found money for one-third of their workers and she suggested they can find it for the rest. In terms of Item No. 24, she stated she often visits Brookhurst Park and spoke in support of Access California Services' proposal to build a family resource center there. She believed they could make a huge impact on the neighborhood. Ms. Davis addressed homelessness and reported attending a recent WAND meeting where Bill Taormina spoke about the ideas that will change lives with dignity, respect, and honor. Donna Acevedo -Nelson reported her son was killed by the Anaheim Police Department on July 22, 2012. She stated she sometimes feels Council does not care and commented on a lack of compassion by some Council Members. She stressed the City needs to invest in youth and in communities and spoke in support of the living -wage initiative. Suzanne reported visiting Brookhurst Park often, noted the proposed parcel for Access California Services is underutilized, and urged Council to vote in favor of their proposal. A male volunteer for Access California Services spoke in support of their proposal to build a family resource center at Brookhurst Park. He noted the residents who will be most -affected but noted the same people will benefit from the services the agency provides. Todd Ament, President/CEO, Anaheim Chamber of Commerce, referenced arguments as to why they think the living -wage initiative is bad, and felt Anaheim voters will be disenfranchised if the do not have all the facts surrounding the measure. He spoke in support of the proposal to change the ballot statement so that voters can have all the facts and make an informed decision. He added every other California city considering similar measures listed the dollar per hour wage mandated by such measures. Additionally, he referenced recent negotiations and Disney's acceptance of a wage increase for some of their workers, noting it affects about half of Disney's union workers. Cynthia Ward addressed Council and the public battling over the City's public dollars and claimed a hemorrhaging of the City's General Fund to private entities. She referenced the living -wage initiative, noting none of the proposed solutions return money to the City's General Fund, and indicated the need for more common sense. She explained there was a lack of long-range planning and suggested the need for a strategic plan. In terms of homelessness, she reported the issue was not limited to Anaheim and blamed the Federal government for cutting funds. Bryan Kaye showed a check he received for purchasing materials when he volunteered for the Anaheim White House, noting it is an example of open communication. He discussed police body cameras and alleged beatings. He alleged Council was causing crisis and trauma and medicating people may increase their likelihood of committing suicide. A female speaker spoke in support of Access California Services' proposal to build a family resource center at Brookhurst Park. She addressed benefits they offer to the community and noted the lack of resource centers in west Anaheim. COUNCIL COMMUNICATIONS/AGENDA REQUESTS: Council Member Vanderbilt acknowledged recent community meetings regarding homelessness and requested a presentation at a future meeting from a representative from the homeless court/Orange County Public Defenders' Office to talk about their programs to help individuals and see if there is a way to tie in the Better Way Anaheim program. Council Member Barnes thanked District 1 residents for uniting in their comments. She requested a resolution for Council consideration on August 14th recognizing the city's relationship City Council Minutes of July 31, 2018 Page 12 of 33 with the County of Orange on homeless issues and requesting resources to fund five additional clinicians and ten additional police officers to manage the clinicians and assist with the homeless and a plan for the exodus of the Baymont Motel. Additionally, she asked the City Manager to create a School Safety Working Group, including the City Manager's office, Police and Community Services Departments, Lyon Security, and school districts, to establish safety protocols regarding criminal complaints around schools and adjacent parks, and requested a report/update at the second Council meeting in August. Council Member Kring requested the meeting be adjourned in honor of four firefighters, Brian Hughes, Braden Varney, Jeremy Stoke, and Don Smith, who recently lost their lives in the line of duty. Council Member Murray requested the meeting be adjourned in memory of Leo Zlaket and include a moment of silence for all lost. Mayor Pro Tem Moreno thanked the public for speaking and engaging with Council and offered an apology to Bill O'Connell for his previous comments. Mayor Tait thanked staff for the tours and sharing of best practices with the Mayor, Public Works Director, and Transportation Director from Guaynabo, Puerto Rico during their visit to Anaheim. CITY MANAGER'S UPDATE: Interim City Manager Linda Andal announced there were approximately 70 permit parking applications in the queue, with the Public Works Department working through the first phase of 18 applications. Following completion of the first phase, staff would continue with 15-20 applications per phase over the next 18 months. She reported staff was reaching out directly to applicants regarding where they are in the process and posting all information online at www,anaheim.net/Dermitoarkina. CONSENT CALENDAR: At 9:47 P.M., the Consent Calendar was considered with Council Member Barnes pulling Item No. 08, Mayor Pro Tem Moreno pulling Items No. 13 and 18, and Mayor Tait pulling Item No. 14 for separate discussion and consideration and Mayor Tait declaring a potential conflict on Item No. 06. MOTION: Council Member Kring moved to waive reading in full of all ordinances and resolutions and to adopt the balance of the consent calendar as presented in accordance with reports, certifications and recommendations furnished each City Council Member and as listed on the consent calendar, seconded by Council Member Faessel. ROLL CALL VOTE: AYES — 7: (Mayor Tait and Council Members Moreno, Murray, Vanderbilt, Barnes, Kring, and Faessel). NOES — 0. Motion carried. 1. Receive and file minutes of the Library Board meeting of June 11, 2018 and Public B105 Utilities Board meeting of June 27, 2018. D117 2. Approve the Investment Portfolio Report for June 2018. City Council Minutes of July 31, 2018 Page 13 of 33 D180 3. Accept the bids from Airbus Helicopter, Inc., and Heli -Mart, Inc., in the combined not to exceed amount of $478,000, for as needed Airbus helicopter parts, components and labor for the Police Air Support Division for a one year period with up to four one-year optional renewals and authorize the Purchasing Agent to exercise the renewal options, in accordance with Bid #9113; accept the bid from Vector Aerospace Services, Inc., in the amount of $306,637.74 plus applicable tax, for as needed Safran Turbomeca Engine parts, components and labor for the Police Air Support Division for a one year period with up to four one-year optional renewals and authorize the Purchasing Agent to exercise the renewal options, in accordance with Bid #9114. 4. Accept the lowest responsive bid from Weck Analytical Environmental Services, Inc., in an D180 amount not to exceed $43,463.50 plus a 20% contingency, to provide as -needed water quality testing, analyzing, and reporting services for the Public Utilities Department for a one-year period with up to four one-year optional renewals and authorize the Purchasing Agent to exercise the renewal options, in accordance with Bid #9161. 5. Accept the bid from Abbot Industrial Supplies Intl., Inc., in the amount of $100,950 plus D180 applicable tax, for the as needed purchase of Dissolve Tech paper towels for the Anaheim Convention Center for a one-year period with four one-year optional renewals and authorize the Purchasing Agent to exercise the renewal options, in accordance with Bid #9156. 6. Award the construction contract to the lowest responsible bidder, R.J. Noble Company, AGR- Inc. in the amount of $7,024,436.03, for the construction of Residential Street 11158 Improvement Project Group 9, authorize the Finance Director to execute the Escrow Agreement, and determine the project is categorically exempt under the California Environmental Quality Act. Due to a potential conflict of interest, Mayor Tait abstained on this item. ROLL CALL VOTE: AYES — 6: (Mayor Pro Tem Moreno and Council Members Murray, Vanderbilt, Barnes, Kring, and Faessel). NOES— 0. ABSTENTION— 1: (Mayor Tait). Motion carried. 7. Waive Council Policy 4.1 and approve an agreement with Waymakers, in an amount not AGR- to exceed $300,000, for consulting services related to the Gang Reduction and 5809.13 Intervention Partnership Program through June 30, 2019 with two one-year optional extensions. 9. Approve the proposed Five -Year Underground Conversion Plan for Fiscal Years 2018/19 D182 to 2022/23. AGR- 10. Approve a Wireline Agreement with the Union Pacific Railroad Company, with a one-time 4256.1 license fee of $15,000 and cost reimbursement, for power and communication lines crossing underneath the railroad tracks within Underground District No. 50 - Euclid; and authorize the Public Utilities General Manager to execute the agreement and related documents, including a consent document, and take the necessary actions to implement the agreement. City Council Minutes of July 31, 2018 Page 14 of 33 11. Approve an agreement with Reporting Systems, Inc. in an amount not to exceed AGR- $92,700.90 for the first year and $67,512.60 for each term thereafter, for the purchase, 11159 implementation, and maintenance of a Fire Records Management System for a three year period with up to two one-year optional extensions, and authorize the Fire Chief, or designee, to execute the agreement and any related documents and take the necessary actions to implement and administer the agreement. 12. Determine that the construction and operation of a direct current fast charging electric vehicle charging plaza at Brookhurst Community Center (Project) is categorically exempt AGR- from the California Environmental Quality Act pursuant to Sections 15301(b), 15303(e), 11160 15304(f) and 15311(b) of Title 14 of the California Code of Regulations; approve a License Agreement with EVgo Services LLC, to construct and operate the Project and for the City to receive a license fee, in the amount of $10,000 as an initial one-time payment and $4,200 as an annual license payment, for a term of ten years with one five-year optional extension; and authorize the Community Services Director to execute the License Agreement, and any other related documents, and take the necessary actions to implement and administer the License Agreement. 15. Determine that the Blue Gum Street, Miraloma Avenue, and La Cresta Avenue AGR- Improvement Project (Project) is categorically exempt from the California Environmental 11162 Quality Act pursuant to Sections 15301, Class 1, and 15302, Class 2, of Title 14 of the California Code of Regulations; award the construction contract to the lowest responsible bidder, Sialic Contractors Corporation dba Shawnan, in the amount of $3,283,003, for the construction of the Project; and authorize the Finance Director to execute the Escrow Agreement. 16. Approve Workforce Innovation and Opportunity Act Training Program Vendor Agreements AGR- 10374.A with Brem Industries, Inc., dba California Career Schools, Coast Community College District, and The Regents of the University of California, in an amount not to exceed AGR- $100,000 per agreement, for the provision of occupational skills training effective July 1, 11163 2018 through June 30, 2020 and authorize the City Manager to execute and the AGR- Workforce Development Manager, or designee, to administer the agreements. 10304.A 17. Approve the Workforce Innovation and Opportunity Act Agreement with Foster AGR- Assessment Center & Testing Services, Inc., in the amount of $50,000, for the provision of 9225.0 skills assessment services through June 30, 2019, and authorize the City Manager to execute and the Workforce Development Manager, or designee, to administer the agreement. 19. RESOLUTION NO. 2018-094 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM declaring its intention to vacate certain public streets, highways and Pilo easements (Abandonment No. ABA 2018-00371; street segment of southbound Anaheim Blvd. adjacent to 1601 South Anaheim Blvd.) (Public hearing scheduled for August 28, 2018). City Council Minutes of July 31, 2018 Page 15 of 33 20. RESOLUTION NO. 2018-095 A RESOLUTION OF THE CITY COUNCIL OF THE E127 CITY OF ANAHEIM, CALIFORNIA calling and giving notice of the holding of a General Municipal Election to be held on Tuesday, November 6, 2018 and ordering the submission to the qualified electors of the City of Anaheim a referendum measure, and rescinding Resolution No. 2016-201 (Referendum measure adopting Ordinance 6376 approving a development agreement providing vested rights for construction of a hotel at 1700 S. Harbor Blvd.). RESOLUTION NO. 2018-096 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, requesting the Board of Supervisors of the County of Orange to consolidate a General Municipal Election to be held on Tuesday, November 6, 2018, with the statewide general election to be held on that date pursuant to Sections 10403 and 10418 of the Elections Code and rescinding Resolution No. 2016-202 (Referendum measure adopting Ordinance 6376 approving a development agreement providing vested rights for construction of a hotel at 1700 S. Harbor Blvd.). RESOLUTION NO. 2018-097 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA setting priorities for filing written arguments regarding a referendum measure to be submitted to the qualified electors of the City of Anaheim at the General Municipal Election to be held in the city on Tuesday, November 6, 2018, and directing the City Attorney to prepare an impartial analysis of such measure (Referendum measure adopting Ordinance 6376 approving a development agreement providing vested rights for construction of a hotel at 1700 S. Harbor Blvd.). RESOLUTION NO. 2018-098 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA providing for the filing of rebuttal arguments for a referendum measure to be submitted to the qualified electors of the City of Anaheim at the General Municipal Election to be held in said city on Tuesday, November 6, 2018 (Referendum measure adopting Ordinance 6376 approving a development agreement providing vested rights for construction of a hotel at 1700 S. Harbor Blvd.). 21. RESOLUTION NO. 2018-099 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA calling and giving notice of the holding of a General E127 Municipal Election to be held on Tuesday, November 6, 2018 and ordering the submission to the qualified electors of the City of Anaheim a referendum measure, and rescinding Resolution No. 2016-203 (Referendum measure adopting Ordinance 6377 approving a development agreement providing vested rights for construction of a hotel at 1030 W. Katella Ave.). RESOLUTION NO. 2018-100 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA requesting the Board of Supervisors of the County of Orange to consolidate a General Municipal Election to be held on Tuesday, November 6, 2018, with the statewide general election to be held on that date pursuant to Sections 10403 and 10418 of the Elections Code and rescinding Resolution No. 2016-204 (Referendum measure adopting Ordinance 6377 approving a development agreement providing vested rights for construction of a hotel at 1030 W. Katella Ave.). City Council Minutes of July 31, 2018 Page 16 of 33 RESOLUTION NO. 2018-101 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA setting priorities for filing written arguments regarding a referendum measure to be submitted to the qualified electors of the City of Anaheim at the General Municipal Election to be held in the city on Tuesday, November 6, 2018, and directing the City Attorney to prepare an impartial analysis of such measure (Referendum measure adopting Ordinance 6377 approving a development agreement providing vested rights for construction of a hotel at 1030 W. Katella Ave). RESOLUTION NO. 2018-102 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA providing for the filing of rebuttal arguments for a referendum measure to be submitted to the qualified electors of the City of Anaheim at the General Municipal Election to be held in said city on Tuesday, November 6, 2018 (Referendum measure adopting Ordinance 6377 approving a development agreement providing vested rights for construction of a hotel at 1030 W. Katella Ave.). 22. ORDINANCE NO. 6442 (INTRODUCTION) AN ORDINANCE OF THE CITY OF M142 ANAHEIM adding Chapter 6.43 to Title 6 (Public Health and Safety) of the Anaheim Municipal Code relating to Unmanned Aircraft Systems (Drones) and finding and determining that this ordinance is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060 (c)(3) of the State CEQA guidelines because it will not result in a direct or reasonably foreseeable indirect physical change in the environment and is not a "Project", as defined in Section 15378 of the State CEQA guidelines [Regulate operations of unmanned aircraft systems (Drones)]. D114 23. Approve minutes of Council meetings of February 6, 2018 and February 27, 2018. END OF CONSENT CALENDAR 8. Waive Council Policy 4.1 and approve an agreement with Cornerstone Communications & AGR- Public Relations, Inc., in an amount not to exceed $425,000, to provide public relations 8247.A and public information services to the Anaheim Police and Anaheim Fire & Rescue Departments for a term of two years with two one-year optional extensions. DISCUSSION: Council Member Barnes expressed concern that staff was not asking for an RFP on this item. Acting Police Chief Julian Harvey reported Cornerstone Communications is the only media company that engages in this type of contracting work. He reported the initial contract was written nine years ago and the City has a long-standing work history with the company. Fire Chief Randy Bruegman provided a brief background on how Cornerstone became the City's provider and noted, initially, they were solely focused on the Anaheim Police Department (APD). Later, they asked about the Fire Department and staff felt it was a good idea to add services to the contract to include the department. He acknowledged the City could issue an RFP, but he was unsure another vendor could provide the same depth of service as Cornerstone. Council Member Barnes suggested going out with an RFP for this service since it has been so long since one was issued and technology has changed over the years. Mayor Pro Tem Moreno commented on how Council is being pressed by the public to use every dollar efficiently and effectively as possible towards the mission and noted the importance of good City Council Minutes of July 31, 2018 Page 17 of 33 public relations. He expressed concerns with the size of the contract and felt the money could be put to better use staffing parks or funding other resources. Acting Chief Harvey reported the public's trust and partnership are essential to the APD's ability to police the City and Cornerstone provides the vehicle to present information about what officers do on a daily basis that the mainstream media does not provide. Mayor Pro Tem Moreno indicted the need for increased police presence to create a sense of public safety. Acting Chief Harvey explained they not only provide information about the Police and Fire Departments, but also provide crisis counseling and communications. Mayor Tait suggested reconsidering the item after two years and the possibility of issuing an RFQ for the service. Mayor Pro Tem Moreno asked staff to return with a lower -valued contract while focusing on crisis management and communications as well as the possibility of working with journalism students and partnering with universities in terms of informative or human -interest stories. In response to Council Member Faessel's question regarding how long the RFQ and selection process would take, Acting Chief Harvey stated it would take approximately two -to -three months. Once the current contract expires, the City would have to engage Cornerstone which would have to complete the RFQ process. He added there is one Public Information Officer (PIO) for both the Police and Fire Departments. Absent a contract, the majority of the work would fall to the PIO but there would be a drop in Police presence for the various events held by the APD and AFD. There would be no crisis communication resource under contract. Chief Bruegman added the departments do not have the staff to handle existing obligations throughout the City and he did not think Fire Department staff could pick up the workload. Council Member Faessel stated in a sole -source, there was usually additional scrutiny and concurred with Mayor Pro Tem Moreno regarding the need to consider a lower -valued contract with the possibility of hiring one or two additional staff members. Council Member Kring reported the company has been doing business with the City for nine years and voiced her support for the matter as presented. In reply to Mayor Tait's question, Acting Chief Harvey noted the contract has standard language allowing termination by either party with fifteen -days' notice. MOTION: Council Member Kring moved to waive Council Policy 4.1 and approve an agreement with Cornerstone Communications & Public Relations, Inc., in an amount not to exceed $425,000, to provide public relations and public information services to the Anaheim Police and Anaheim Fire & Rescue Departments for a term of two years with two one-year optional extensions, seconded by Council Member Murray. ROLL CALL VOTE: AYES — 5: (Mayor Tait and Council Members Murray, Kring, Vanderbilt, and Faessel). NOES — 2: (Mayor Pro Tem Moreno and Council Member Barnes). Motion carried. City Council Minutes of July 31, 2018 Page 18 of 33 13. Determine that the projects to be performed under the Master Agreement shall be AGR -6127.0 categorically exempt under the California Environmental Quality Act, Sections 15301, AGR -4776.D 15302, 15303, and/or 15304 of Title 14 of the California Code of Regulations; approve the Master Agreement for electric high voltage utility construction, maintenance, repair, and AGR -2737.E immediate response projects for a period of three years with contractors pre -qualified by AGR -7311.8 the City of Anaheim (E.E. Electric, Inc.; Hampton Tedder Electric Co.; Henkels & McCoy; Herman Weissker Inc.; Hot Line Construction; International Line Builders, Inc.; Michels AGR -7312.6 Power; Miron Electric Construction Corp; Outsource Utility Contractor Corp; PAR AGR -2735.E Electrical Contractors Inc.; Parkia, Inc.); approve a not -to -exceed award amount of $500,000 per work order package, plus change order authorization in an amount not to AGR -7313.6 exceed 10% per change order and $100,000 in total per work order package; approve an AGR -5786.0 incentive payment equal to 1 % of the bid award amount for contractors that meet a 25% local hire and/or veteran hiring goal during the course of a project; authorize the Public AGR -10732.A Utilities General Manager, or designee, to execute the Master Agreement with the AGR -2736.E prequalified contractors and such other contractors pre -qualified by the City in the future AGR -9500.A during the term of the Master Agreement; authorize the Public Utilities General Manager, or designee, to take the necessary actions to implement and administer the Master Agreement; and authorize de minimis changes that do not substantially change the terms and conditions of the Master Agreement, as determined by the City Attorney. DISCUSSION: Mayor Pro Tem Moreno commented on the contract and the inclusion of policy work to try to assure a goal of local hiring of local residents and thanked staff for the excellent work. MOTION: Mayor Pro Tem Moreno moved to determine that the projects to be performed under the Master Agreement shall be categorically exempt under the California Environmental Quality Act, Sections 15301, 15302, 15303, and/or 15304 of Title 14 of the California Code of Regulations; approve the Master Agreement for electric high voltage utility construction, maintenance, repair, and immediate response projects for a period of three years with contractors pre -qualified by the City of Anaheim (E.E. Electric, Inc.; Hampton Tedder Electric Co.; Henkels & McCoy; Herman Weissker Inc.; Hot Line Construction; International Line Builders, Inc.; Michels Power; Miron Electric Construction Corp; Outsource Utility Contractor Corp; PAR Electrical Contractors Inc.; Parkia, Inc.); approve a not -to -exceed award amount of $500,000 per work order package, plus change order authorization in an amount not to exceed 10% per change order and $100,000 in total per work order package; approve an incentive payment equal to 1 % of the bid award amount for contractors that meet a 25% local hire and/or veteran hiring goal during the course of a project; authorize the Public Utilities General Manager, or designee, to execute the Master Agreement with the prequalified contractors and such other contractors pre- qualified by the City in the future during the term of the Master Agreement; authorize the Public Utilities General Manager, or designee, to take the necessary actions to implement and administer the Master Agreement; and authorize de minimis changes that do not substantially change the terms and conditions of the Master Agreement, as determined by the City Attorney, seconded by Council Member Kring. ROLL CALL VOTE: AYES — 7: (Mayor Tait and Council Members Moreno, Murray, Vanderbilt, Barnes, Kring, and Faessel). NOES — 0. Motion carried. City Council Minutes of July 31, 2018 Page 19 of 33 14. Determine the Wagner House Voluntary Accessibility Improvements Project (Project) is AGR- categorically exempt from the California Environmental Quality Act pursuant to Title 14 of 11161 the California Code of Regulations, Chapter 3, Guidelines for Implementation of the California Environmental Quality Act, Article 19, Categorical Exemptions Section 15302; award the construction contract to the lowest responsible bidder, Golden Gate Steel, Inc., in the amount of $1,257,191.86 for the Project; and authorize the Finance Director to execute the Escrow Agreement pertaining to contract retentions. DISCUSSION: Mayor Tait commended staff for their work on this item. MOTION: Mayor Tait moved to determine the Wagner House Voluntary Accessibility Improvements Project (Project) is categorically exempt from the California Environmental Quality Act pursuant to Title 14 of the California Code of Regulations, Chapter 3, Guidelines for Implementation of the California Environmental Quality Act, Article 19, Categorical Exemptions Section 15302; award the construction contract to the lowest responsible bidder, Golden Gate Steel, Inc., in the amount of $1,257,191.86 for the Project; and authorize the Finance Director to execute the Escrow Agreement pertaining to contract retentions, seconded by Council Member Kring. ROLL CALL VOTE: AYES — 7: (Mayor Tait and Council Members Moreno, Murray, Vanderbilt, Barnes, Kring, and Faessel). NOES — 0. Motion carried. 18. Approve the FY 2018-2019 Annual Action Plan funds, in the total amount of $ 8,705,719, for federal Community Development Block Grant (CDBG), HOME Investment D155 Partnerships (HOME), Emergency Solutions Grant (ESG), and Housing Opportunities for Persons With AIDS (HOPWA); and designate the Director of the Community & Economic Development Department as the Certifying Official authorized to execute all documents related to the administration, management, and implementation of the CDBG, HOME, ESG, and HOPWA programs. DISCUSSION: Mayor Pro Tem Moreno congratulated Community & Economic Development Director John Woodhead and staff for their work on this item and asked for a brief report. He noted the importance of the public understanding that many of the City's great programs were not funded by the General Fund but rather by Federal dollars. Mr. Woodhead reported the programs were mostly funded by Federal dollars and noted, over the course of several years, CDBG funds have been cut fairly significantly but this year slightly increased. HOME funds were threatened earlier this year and he reported the City has remained relatively unscathed. He presented the 2018-19 HUD Annual Action Plan and offered to respond to questions from Council. Mayor Pro Tem Moreno stated this was one of the areas used to prevent homelessness and address sheltering of families and asked when pilot programs became actual programs. Mr. Woodhead reported successful pilot programs become actual programs. In response to Council Member Barnes's question, Mr. Woodhead reported the City has been funding Access California Services since at least 2010, and the amount this year was bumped up according to the increase seen across the board on CDBG funding and that money was capped. Additionally, he reported four agencies that applied were not funded. He reported staff has a difficult job in that every year, the requests exceed the available funds. Council Member Barnes thanked the Community Services Board in charge of evaluating and allocating the requests. City Council Minutes of July 31, 2018 Page 20 of 33 Council Member Faessel and Mayor Tait thanked the Community Services Board and staff for their work on this matter. MOTION: Mayor Pro Tem Moreno moved to approve the FY 2018-2019 Annual Action Plan funds, in the total amount of $ 8,705,719, for federal Community Development Block Grant (CDBG), HOME Investment Partnerships (HOME), Emergency Solutions Grant (ESG), and Housing Opportunities for Persons With AIDS (HOPWA); and designate the Director of the Community & Economic Development Department as the Certifying Official authorized to execute all documents related to the administration, management, and implementation of the CDBG, HOME, ESG, and HOPWA programs, seconded by Council Member Kring. ROLL CALL VOTE: AYES — 7: (Mayor Tait and Council Members Moreno, Murray, Vanderbilt, Barnes, Kring, and Faessel). NOES — 0. Motion carried. 24. Consider the research performed by city staff pertaining to potential sites within the City D150 for the relocation of Access California Services, and if appropriate, direct staff to work with Access California Services to develop a lease agreement. Community Services Director Larry Pasco provided a staff report and addressed the proposed site, Access California Services' proposal, Council consideration and direction, and discussion of other options for a family resource center. With respects to existing building space, there were no available City -owned buildings that were large enough or suitable for use by Access California. He reported staff identified three different land sites under the control of the City as possible locations for a building to be constructed. He provided details of each land site including capabilities and constraints, the land sites being: A) approximately 3.8 acre parcel on the northwest intersection of Serrano Avenue and Nohl Ranch Road; B) approximately 1.7 acre property on Sequoia Street, just south of the intersection of La Palma Avenue and the 1-5 Freeway; and C) approximately 1.3 acre property at 2123 West Katella Avenue. DISCUSSION: Council Member Faessel noted one of the sites was OCTA property and would have to be sold and asked for clarification. Mr. Pasco reported the land is under control of the City, but because the widening was done with OCTA funds, if the land is developed, it must be sold at fair -market value with the proceeds to go back to OCTA before the land can be developed. He added he does not know the value of the land and an appraisal would need to be conducted. Council Member Vanderbilt reported visiting the neighborhood around one of the properties and speaking with residents where one resident told him he was offered the property for $10,000 and asked for clarification. Public Works Director Rudy Emami reported it involved a smaller, separate, narrow parcel and in an effort to reimburse OCTA, offered those parcels to adjacent residents. The larger parcel could support up to five homes. The City owns those properties and would sell the land at market value and reimburse back to OCTA. Council Member Vanderbilt noted there was only one entrance and no street access from Katella and asked whether it was a viable residential development. Mr. Emami reported the photo does not show the specific area but noted a similar, smaller lot to the west of the picture, where a developer built two homes. The homes that used to be on the property used to all face Katella. When the road was widened, it hit the structures and the City City Council Minutes of July 31, 2018 Page 21 of 33 had to acquire the property, but now new homes could be developed and reconfigured similar to the property on the west. Mayor Tait thought that Access California would do well in a mixed-use zone with residential and retail. He asked whether that was considered as an option. Mr. Pasco reported discussing the matter with Mr. Woodhead and relative to another similar property, there is discussion to have a family resource center in the development. Because of the timeline relative to Access California Services, it could not be done that quickly. Mayor Tait noted the Brookhurst Park site would not be ready in time for them to move when their existing lease expires. He noted he loves Access and the work they do but stated it did not make sense to take away the City's limited park space when there were other options available. He did not feel staff has exhausted all possibilities. Council Member Barnes noted differences in the size of the lots at Brookhurst and under Exhibit B of the staff report. Staff noted because of the grade of the property, there is from 0.7 to 1 acre of buildable space. In response to her question, Mr. Pasco reported staff looked at many private lots and provided an extensive list to Access California. In addition, they looked at parcels suggested by Council Member Kring during the previous Council meeting. He noted Brookhurst is south of the parcel in Exhibit B. Council Member Kring suggested the Manchester property and Mr. Woodhead reported it went through an extensive RFP process and an agreement will be presented to Council, shortly adding that the site is spoken for and addressed other sites considered. Council Member Faessel noted there is an existing retaining wall on the north side of La Palma and observed most of the parcel, on the south side of La Palma, is a slope. Mr. Emami confirmed the slope but noted with creative engineering and design, some of the sloped area could be developed, at the cost of Access California Services. Council Member Faessel believed Access California would prefer a flat parcel rather than go through the added costs of engineering to prepare the site. Mr. Emami reported that was discussed with Access California. Council Faessel noted that the site under Exhibit A also has embankment areas that would need to be addressed. Mayor Pro Tem Moreno asked for a brief history of this matter and Mr. Pasco reported the conversation related to Brookhurst Park began in the fall of 2016 and provided a brief background of the evolution of the project. Discussion followed regarding the item being on a prior agenda but being pulled from it. He did not recall which Council Member asked for that item to be placed on the agenda. Mayor Pro Tem Moreno understood that it was former Council Member Brandman and thought it was a good decision to pull it from the agenda, at that time. Additionally, there was discussion previously with Access California about partnering around a facility with the City and an agreement with another non-profit to be at the park. Mr. Pasco reported the Ability First organization was at the Maxwell Park Spencer House and there was a discussion about expanding their services and creating a larger therapeutic recreation center that Ability First would operate in the same area as the parcel considered by Access California at Brookhurst Park. Plans were conceptual and were never presented to Council; he added there were no related community meetings. Mayor Pro Tem Moreno noted Council agreed, under the Parks Plan, to expand the community center at Brookhurst Park and asked if buildings are considered part of the park space and Mr. Pasco responded affirmatively. Mayor Pro Tem Moreno noted efforts to create more presence at Brookhurst Park and he believed that presence creates public safety. He asked for details City Council Minutes of July 31, 2018 Page 22 of 33 relative to the expansion to which Mr. Pasco responded it would expand out because engineering and costs of building up would be cost -prohibitive. He added it has been stated that Brookhurst is one of the least -used parks but noted number 13 of the City's 57 parks that are used; it is one of the City's most well -used parks. He commented on expanding the community center and the possibility of accelerating the project and leasing that property to Access California. Mr. Pasco stated he would love to accelerate the Parks Plan, but it comes down to funding; the facility would be a shared resource. Mayor Pro Tem Moreno asked about land available at Westgate and Community & Economic Development Director John Woodhead reported Westgate was not considered. Mayor Pro Tem Moreno worried about parking relative to the site on Exhibit B and asked whether staff would consider selling acreage from Westgate for a family resource center. Mr. Woodhead reported the project has been difficult to put together and staff was considering adding a residential component to make it viable, not wishing to complicate the issue any further. Mayor Tait added the possibility of a family resource center at Westgate and suggested another site to consider would be the Dad Miller Golf Course. He believed there are other options that would be better for all. Council Member Barnes commented on ensuring the public understands the City is doing its best to accommodate everyone and thanked staff for doing its due diligence. She felt the site on Exhibit B still has potential and allows for increased growth opportunities. Mr. Pasco reported in discussions with Access California about the proposed sites, their interest was more on Exhibit C than Exhibit B. Brief discussion followed regarding parking for the site on Exhibit C. Council Member Faessel commented on the difficulty of the decisions to make and noted he supported Access California Services, addressed the Parks Plan, and reported being sensitive towards park land. He did not believe Brookhurst Park was underutilized, especially on the west side of town. He reiterated his support for Access California but not for giving up park space. Council Member Vanderbilt referenced the community garden on the site shown in Exhibit C and reported neighbors have complained of a vector issue from that site. He alleged if the community garden went away, it would not bother many surrounding residents. Council Member Kring reported neighbors having vector problems can call Orange County Mosquito and Vector Control. Discussion followed regarding how the City would move forward on the proposed sites, including conducting a feasibility study for each site, but Access California would have to undertake it on their own. Ensuing discussion pertained to previous discussions of this matter. MOTION: Mayor Tait moved to discontinue consideration of a lease of Brookhurst Park property to Access California Services and direct staff to continue investigation of other potential properties, seconded by Council Member Barnes. ROLL CALL VOTE: AYES — 4: (Mayor Tait and Council Members Barnes, Kring, and Faessel). NOES — 3: (Mayor Pro Tem Moreno and Council Members Murray and Vanderbilt). Motion carried. At 11:31 P.M., Mayor Tait took the agenda out of order and considered Public Hearing Item No. 29 prior to the remainder of the agenda. C350 C410 City Council Minutes of July 31, 2018 Page 23 of 33 29. MITIGATED NEGATIVE DECLARATION GENERAL PLAN AMENDMENT NO. 2017-00517 SPECIFIC PLAN AMENDMENT NO. 15 TO THE ANAHEIM RESORT SPECIFIC PLAN (SPN92-2X) MINOR CONDITIONAL USE PERMIT NO. 2017-05949 VARIANCE NO. 2017-05097 FINAL SITE PLAN NO. 2017-00003 ADMINISTRATIVE ADJUSTMENT NO. 2017-00413 (DEV2016-00114) LOCATION: 1441 South Manchester Avenue OWNERIAPPLICANT: Praful Patel, NARA Investments, LLC, 1441 S. Manchester Ave., Anaheim, CA 92802 REQUEST: The applicant requests the following: a General Plan Amendment and Specific Plan Amendment to create a new density category for the Anaheim Resort Specific Plan (SP92-2); Minor Conditional Use Permit to allow valet parking; Variance to allow a narrower landscaped street setback than required by the code and to allow two wall signs that are visible from the same vantage point; Final Site Plan to confirm the Project complies with the ARSP; and Administrative Adjustment for a reduction in the number of parking spaces required by the code. The proposed project includes a six - story, 223 -room dual -branded hotel with two levels of subterranean parking. The hotels would include a meeting room and retail shop on the ground floor and guest amenities on the ground level and second level, including a swimming pool, breakfast rooms, and fitness room. Environmental Determination: The City Council will consider whether a Mitigated Negative Declaration is the appropriate environmental documentation for this request under the California Environmental Quality Act. ACTION TAKEN BY THE PLANNING COMMISSION: Approved and recommended City Council approval of the following: Mitigated Negative Declaration (PC2018-034); General Plan Amendment No. 2017-00517 (PC2018-035); Specific Plan Amendment No. 15 to the Anaheim Resort Specific Plan (SPN92- 2X)(PC2018-036); Minor Conditional Use Permit No. 2017-05949, Variance No. 2017- 05097, Final Site Plan No. 2017-00003, and Administrative Adjustment No. 2017-00413 (PC2018-037) with modifications to the Minor Conditional Use Permit and Variance to add conditions of approval as recommended by the Planning and Public Works Departments' staff. Approved Vote: 7-0 (Chairperson Dalati and Commissioners Armstrong, Carbajal, Gillespie, Keys, Lieberman and White voted yes.) Motion Carried. (Planning Commission meeting of June 25, 2018). Principal Planner Susan Kim presented the staff report and addressed the requested entitlements, including a General Plan Amendment to create a new density category, "Medium Density (Modified)" for the Anaheim Resort Specific Plan (ARSP), Amendment No. 15 to the Anaheim Resort Specific Plan to create a new density category "Medium Density (Modified)"; Variance to allow a narrower street setback than required by the Code and to allow two wall signs that are visible from the same vantage point; Final Site Plan to confirm the project complies with the ARSP; Minor Conditional Use Permit to allow valet parking; and an Administrative Adjustment for a reduction in the number of parking spaces required by the Code. On June 25, 2018, the Planning Commission recommended City Council approval of the project and all associated entitlements. The project site is a 2.5 -acre property comprised of two parcels owned by the applicant, Holiday Inn Express on the northerly parcel, which opened in February 2016 and a 108 -room Quality Inn and Suites on the southerly parcel. The applicant proposes to demolish the existing Quality Inn and Suites hotel buildings on the south parcel and construct the six -story, 223 -room dual -branded Hilton Garden Inn / Home 2 Suites hotel. Vehicular circulation, including a covered drop-off and loading area, would be located at the front of the hotel building. City Council Minutes of July 31, 2018 Page 24 of 33 Ms. Kim stated the project requires City Council approval of an amendment to the General Plan to create a new density category that would be specific to the project site. General Plan Figure LU -5 designates this property as being within the low -medium density category of the ARSP, which limits the property's density to 75 rooms per acre or per parcel, whichever is greater. The applicant is requesting a new density category that would be called "Medium Density (Modified)," which would allow a density of up to 345 rooms on the project site. The City Council approved a similar amendment to the General Plan in 2009 to create the Low -Medium Density (Modified) to accommodate a proposed hotel development on the southeast corner of Katella Avenue and Harbor Boulevard that exceeded what was permitted by the General Plan and the ARSP. The proposed amendment maintains the internal consistency of the General Plan since there is no proposed change in land use. It is also consistent with the General Plan designations of the surrounding properties. The City established the density provisions for the ARSP largely in consideration of infrastructure capacity. The Initial Study and technical studies concluded that the infrastructure capacity is sufficient to accommodate the proposed density increase. The amendment to the ARSP would add a "Medium Density (Modified)" category to accommodate the proposed project. The proposed amendment would not change the boundaries of the existing ARSP or make any changes to the development standards that implement this designation. The code requires a 30 -foot wide landscaped setback for buildings that are taller than 75 feet, between the building and the ultimate public right-of-way. The applicant proposes a 13 -foot wide landscape setback. Staff believes that there are special circumstances applicable to this property due to its irregular shape. It would be consistent with the northerly portion of the property, where the Planning Commission previously granted a Variance for the same reasons. In addition, the impact to the setback is minimal since the narrowest portion of the building would encroach into the required setback. The applicant requests two wall signs, one for each hotel brand, that are visible from the same vantage point. The ARSP permits a hotel at a midblock location to have up to two signs, but must be located so that they are not visible at the same time. The applicant is not requesting an increase in the number of signs, or larger signs than permitted by Code. Staff believes that there are special circumstances applicable to this property due to the orientation of the building at an angle to both Manchester Avenue and the 1-5 freeway, curve of Manchester Avenue to the north, and the location of the existing Holiday Inn Express building; a sign placed on another elevation would lack visibility from vehicles travelling southbound. Additionally, the fact that two hotel brands will operate within the same building is also an unusual circumstance that the specific plan does not address. Staff has reviewed the proposal and has determined that, with the exception of the requested setback and sign variances and parking adjustment, the project complies with all applicable standards of the ARSP. The applicant proposes to utilize valet parking within its parking structure as its sole parking option for hotel guests. To maximize parking spaces within the structure, the majority of the parking spaces will be in tandem, with spaces stacked two cars deep. The applicant proposes to provide fewer parking spaces than the Code requires. Together, the Holiday Inn Express and the proposed hotel project require 275 parking spaces; 227 spaces are proposed. This is a 17 percent deviation from the Code requirement, which staff typically reviews administratively. Staff required a parking study be prepared to analyze whether the proposed parking spaces would accommodate all visitors to the site. Based on the reduced parking ratios of 0.68 parking spaces per room, the study also applied a reduced parking ratio to the meeting room based on the minimal size and stipulation by the applicant that only hotel guests may reserve the room. Based on these reduced ratios, the project has adequate parking for the two hotels. An initial study has been prepared to evaluate the environmental impacts of the project and to identify necessary mitigation. The IS/MND identified mitigation measures that would reduce any potential impacts to less than significant levels. One person attended the Planning Commission meeting in opposition to the proposed project, citing concerns with the IS/MND, General Plan Amendment, and Specific Plan Amendment. The commenter also submitted a letter outlining their concerns, which was provided City Council Minutes of July 31, 2018 Page 25 of 33 to the Planning Commission. The response to comments document was updated to also respond to the items included in this letter and provided to Council. None of the comments resulted in the need to recirculate the IS/MND or to prepare an environmental impact report. Ms. Kim stated the proposed development was consistent with the goals and policies of the ARSP by providing additional accommodation options for visitors to the resort area. The proposed hotel project would improve an older hotel site with an attractive new hotel development and would represent a positive investment in the area. The applicant and city staff have thoroughly analyzed the additional density, which the City can accommodate through its existing infrastructure. Therefore, staff recommends approval of the requested increased density, hotel, and associated entitlements. Mayor Tait opened the public hearing. Praful Patel, applicant, spoke about his family and their experience in the City of Anaheim and noted he has been working with City staff on this project for a long time. He reported they put a lot of effort in designing something special and the project is being financed by his family and conventional financing. He offered to respond to Council questions. Mayor Tait closed the public hearing. DISCUSSION: Council Member Faessel announced he met with the applicant, more than a year ago, toured their property, and engaged in a slight discussion of this as a future project. Mayor Tait reported meeting with the applicant and Mr. Patel noted meeting with each Council Member. In response to Council Member Vanderbilt's question, Mr. Patel reported the concern was about the sidewalk and impacts of the adjacent university and reported the project includes the addition of sidewalks, not currently in existence. They wrote a letter to the university indicating a willingness to work with and support them. Mayor Pro Tem Moreno met with the applicants over a year ago and congratulated the Patel Family and their investment in projects benefiting the City. He stated wanting to include opportunities for local labor groups to engage in discussions about construction and housekeeping and asked if Mr. Patel met with them. Mr. Patel reported reaching out to the plumbing and electrical unions and related to construction trades interested in bidding for the project. They opened up the official bidding for the 50% construction drawings. He reported most of the electrical unions declined, and commented on the plumbing unions adding they are rebidding the final set of documents and will give contractors information to ensure local hiring to bring as many stakeholders to the table as possible. RESOLUTION NO. 2018-103 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM to adopt a Mitigated Negative Declaration for proposed General Plan Amendment No. 2017-00517, Specific Plan Amendment No. 15 to the Anaheim Resort Specific Plan (SPN92-2x), Variance No. 2017-05097, Final Site Plan No. 2017-00003, Minor Conditional Use Permit No. 2017-05949, and Administrative Adjustment No. 2017- 00413 (DEV2016-00114; 1441 South Manchester Avenue). RESOLUTION NO. 2018-104 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the General Plan of the City of Anaheim and making findings in connection therewith (General Plan Amendment No. 2017-00517) (DEV2016- 00114; 1441 South Manchester Avenue). City Council Minutes of July 31, 2018 Page 26 of 33 ORDINANCE NO. 6443 (INTRODUCTION) AN ORDINANCE OF THE CITY OF ANAHEIM amending portions of Chapter 18.116 (Anaheim Resort Specific Plan No. 92-2 (SP 92-2) zoning and development standards) of Title 18 of the Anaheim Municipal Code and the Anaheim Resort Specific Plan 92-2 (Amendment No. 15 to the Anaheim Resort Specific Plan). RESOLUTION NO. 2018-105 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM approving Variance No. 2017-05097, Final Site Plan No. 2017-00003, Minor Conditional Use Permit No. 2017-05949, and Administrative Adjustment No. 2017- 00413 and making certain findings in connection therewith (DEV2016-00114; 1441 South Manchester Avenue). MOTION: Mayor Tait moved to adopt RESOLUTION NO. 2018-103, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM to adopt a Mitigated Negative Declaration for proposed General Plan Amendment No. 2017-00517, Specific Plan Amendment No. 15 to the Anaheim Resort Specific Plan (SPN92-2x), Variance No. 2017-05097, Final Site Plan No. 2017- 00003, Minor Conditional Use Permit No. 2017-05949, and Administrative Adjustment No. 2017- 00413 (DEV2016-00114; 1441 South Manchester Avenue), RESOLUTION NO. 2018-104, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the General Plan of the City of Anaheim and making findings in connection therewith (General Plan Amendment No. 2017-00517) (DEV2016-00114; 1441 South Manchester Avenue), introduce ORDINANCE NO. 6443 (INTRODUCTION) AN ORDINANCE OF THE CITY OF ANAHEIM amending portions of Chapter 18.116 (Anaheim Resort Specific Plan No. 92-2 (SP 92-2) zoning and development standards) of Title 18 of the Anaheim Municipal Code and the Anaheim Resort Specific Plan 92-2 (Amendment No. 15 to the Anaheim Resort Specific Plan) and adopt RESOLUTION NO. 2018-105 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM approving Variance No. 2017-05097, Final Site Plan No. 2017-00003, Minor Conditional Use Permit No. 2017-05949, and Administrative Adjustment No. 2017-00413 and making certain findings in connection therewith (DEV2016-00114; 1441 South Manchester), seconded by Council Member Faessel. ROLL CALL VOTE: AYES — 7: (Mayor Tait and Council Members Moreno, Murray, Vanderbilt, Barnes, Kring, and Faessel). NOES — 0. Motion carried. 25. Receive and file an update regarding criminal activity in parks and enforcement data for D160 violations of the Anaheim Municipal Code. MOTION: Mayor Tait moved to continue this item to August 14, 2018, seconded by Council Member Kring. ROLL CALL VOTE: AYES — 6: (Mayor Tait and Council Members Moreno, Vanderbilt, Barnes, Kring, and Faessel). NOES —1: (Council Members Murray). Motion carried; item continued. 26. Consider a change to the ballot label/question approved on June 19 and July 17, 2018 for the minimum wage initiative measure increasing the minimum wage payable by hospitality E127 industry employers located in the Anaheim or Disneyland Resort Specific Plan Zones that have tax rebate agreements with the city and requiring that service charges imposed by such employers be paid entirely to employees and, should Council change the ballot label/question, adopt resolutions placing the measure on the ballot with the revised ballot question and take other actions related thereto. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA calling and giving notice of the holding of a General Municipal Election to be held on Tuesday, November 6, 2018 and ordering the submission City Council Minutes of July 31, 2018 Page 27 of 33 to the qualified electors of the City of Anaheim an initiative measure increasing the minimum wage payable by hospitality industry employers located in the Anaheim or Disneyland Resort Specific Plan Zones that have tax rebate agreements with the city and requiring that service charges imposed by such employers be paid entirely to employees, and rescinding Resolution No. 2018-068. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM requesting the Board of Supervisors of the County of Orange to consolidate a General Municipal Election to be held on November 6, 2018, with the Statewide General Election to be held on that date pursuant to Sections 10403 and 10418 of the Elections Code and rescinding Resolution No. 2018-069 (initiative measure increasing the minimum wage payable by hospitality industry employers located in the Anaheim or Disneyland Resort Specific Plan Zones that have tax rebate agreements with the city and requiring that service charges imposed by such employers be paid entirely to employees). RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA setting priorities for filing written arguments regarding an initiative measure to be submitted to the qualified electors of the City of Anaheim at the General Municipal Election to be held in the city on Tuesday, November 6, 2018, directing the City Attorney to prepare an impartial analysis of such measure, and rescinding Resolution No. 2018-088 (initiative measure to increase minimum wage payable by hospitality industry employers located in the Anaheim or Disneyland Resort Specific Plan Zones that have tax rebate agreements with the city and requiring that service charges imposed by such employers be paid entirely to employees). RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA providing for the filing of rebuttal arguments for an initiative measure to be submitted to the qualified electors of the City of Anaheim at the General Municipal Election to be held in said city on Tuesday, November 6, 2018 and rescinding Resolution No. 2018-089 (initiative measure to increase minimum wage payable by hospitality industry employers located in the Anaheim or Disneyland Resort Specific Plan Zones that have tax rebate agreements with the city and requiring that service charges imposed by such employers be paid entirely to employees). DISCUSSION: Council Member Murray presented a PowerPoint presentation regarding this item and reported the proposed wage increase would be the highest in the nation, was larger and broader in its definition and scope as it would affect many more businesses than just Disneyland, addressed City subsidies and the language being specific to a rebate, and addressed similar measures that have passed in other cities and their inclusion of the specific minimum wage amount. She addressed proposed changes for Council consideration, requested support for the proposed ballot question, added Council chose not to do an economic analysis so there was no independent data for residents to draw from, and claimed it was not the City's fault the item was brought forward so late in the election cycle. Additionally, she pointed out the proponents did not want to put this item to the voters but instead wanted a direct approval by Council. She indicated she wanted residents to have as much data as possible to make their own, informed decision. She feared if the measure passes, it will cost jobs and loss of revenue to the City and stated Council Members all have a right to express their opinions. She reported reviewing the matter with the City Attorney and it is within the Elections Code. City Council Minutes of July 31, 2018 Page 28 of 33 In response to Mayor Tait's inquiry, City Attorney Robert Fabela confirmed the ballot question was included on the action taken by Council on June 19th, as well as on July 17th. He added the original ballot question was drafted by his team and approved by him. He added it is unbiased and in response to Mayor Tait's question, Mr. Fabela reported staff followed the standard for the ballot question within the 75 -word limitation. He added he is not an advocate of the measure, either way and has been neutral. Mayor Tait reported this was voted on by Council twice; it is unbiased and shared the process in putting the item on the ballot. He stated he would hesitate in having a person who has strongly advocated against this item write the ballot question, as it would be biased and he did not support changing it. MOTION: Mayor Tait moved to retain the original ballot label/question as drafted by the City Attorney, seconded by Mayor Pro Tem Moreno. DISCUSSION: Council Member Faessel reported reviewing the proposed changes and opined with the exception of the statement "$3 more than the State minimum wage", every statement was taken from the initiative. He noted being consistent in terms of the ballot question needing to be clear, concise, accurate ,and informative and believed the proposed changes do just that. He added that voters can be trusted to do the right thing if they are given enough information and the current ballot question does not clearly define what the voters will vote for. He did not believe the proposed language was biased or prejudicial. Council Member Kring agreed with Council Members Murray and Faessel and noted several of the cities Council Member Murray pulled from are very liberal. She noted information is power and, given enough information, people generally do the right thing. She added this measure will affect more than just Disney and stated as a small businessperson, she would not support the measure because labor cost is the number one cost for any business. She voiced support for Council Member Murray's proposed changes to the ballot question. Council Member Kring reported a minimum wage was not expected to raise a family, but rather should be the first, entry- level job a person gets. Council Member Vanderbilt stated he was interested in protecting the City legally, and asked whether the City would be vulnerable to legal challenge if the proposed changes were approved. Mr. Fabela reported he has never seen a case that looks at the author of a ballet question in determining whether or not it is a proper statement, but rather considers the statement itself. It should reflect, accurately, what the initiative says and should not use "loaded" terms or pre -tell voters how Council believes. Additionally, he addressed the process his team followed in drafting the original ballot question. Mayor Pro Tem Moreno quoted from the Fair Labor Standards Act of 1938, when the minimum wage was set, and noted the minimum wage was set up so that people could live a basic quality of life, not for entry-level jobs to hire teenagers. He addressed the timeline on this item and noted many commenters, including the Chamber of Commerce representative, claimed the Council majority voted to not do an economic impact report and therefore, not be transparent and not inform the voters. He noted discussions regarding the idea of wages in the City began on April 10, 2018, where two professors shared that if Disney had kept its wages simply at cost of living, it would have translated into $1.2 billion more into the local economy. Additionally, he asked to add to the agenda of May 8, 2018 for Council to considering doing a fiscal impact report, so that staff could have at least two months to retain a consultant. However, Council voted against it and the Chamber of Commerce advocated against it as well. Now, they are blaming Council for not having produced one for the voters. If the wage amount is included, he wondered why not City Council Minutes of July 31, 2018 Page 29 of 33 include the tax rebate, which amounts to $700 million over twenty years. He added the measure targets industries that have been receiving subsidies over the years to the tune of almost $700 million, if built out. He expressed support for the original language as drafted by the City Attorney. He added the initiative measure will be on the voter pamphlet and felt the proposal was biased. Council Member Kring commented on Fair Labor Standards Act of 1938, noting it was the company that did interstate commerce and the act also protected child labor. She stated that everyone on the dais has a bias. She commented on the $700 million and noted that is into the future. She noted many costs in development and construction and reported it takes a long time to recuperate costs. She expressed support for Council Member Murray's proposed changes. Council Member Murray referenced the similar measures passed in other cities and reiterated they included the amount of the minimum wage in the ballot question and asked whether the City Attorney considered those in drafting the ballot question. Mr. Fabela reported they were reviewed but does not look specifically at the ballot question. He added the ballot question is not the only thing voters will see and noted the amount is included in the comprehensive ballot packet as well as an impartial analysis of the measure. Council Member Murray suggested if the rebate was stated in the question, there should a side-by-side of the City's five-year growth forecast that is dependent on the construction of the four -diamond hotels as well as the money they will generate for the City. She stated she would be happy to delete the section in parenthesis. SUBSTITUTE MOTION: Council Member Murray moved to accept the proposed language with the removal of the information in parenthesis relative to it being $3 more than the State minimum wage, seconded by Council Member Kring. Discussion followed regarding the ability of Council Members to make amended motions. Mr. Fabela stated there is a procedure for an amended motion, but this would be a new question and could be declared out of order by the Chair. Mayor Tait declared the substitute motion to be out of order and restated his motion. MOTION: Mayor Tait moved to retain the original ballot label/question as drafted by the City Attorney, seconded by Mayor Pro Tem Moreno. ROLL CALL VOTE: AYES — 4: (Mayor Tait and Council Members Moreno, Vanderbilt, and Barnes). NOES — 3: (Council Members Murray, Kring, and Faessel). Motion carried. 27. Consider a proposed initiative measure for placement on the November 2018 ballot that E127 would add a chapter to the Anaheim Municipal Code imposing disclosure requirements for tax increases and creating a tax oversight committee, and by separate resolutions, order the submission of the measure to be placed on the ballot for the November 6, 2018 General Municipal Election, take other actions related thereto, and increase the Office of the City Clerk budget for fiscal year 2018/19 by $8,500. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA calling and giving notice of the holding of a General Municipal Election to be held on Tuesday, November 6, 2018 for the submission of a ballot measure proposing an amendment to the Anaheim Municipal Code pursuant to Sections 1300 — 1303 of the City Charter and California Elections Code 9222 (Measure _ - Anaheim Tax Fairness, Transparency and Accountability). City Council Minutes of July 31, 2018 Page 30 of 33 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA requesting the Board of Supervisors of the County of Orange to consolidate a Municipal Election to be held on November 6, 2018, with the Statewide General Election to be held on that date pursuant to Section 10403 of the California Elections Code (Measure _ - Anaheim Tax Fairness, Transparency and Accountability). RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA authorizing members of the City Council to author and file written arguments and setting priorities for filing written arguments regarding a measure proposing amendments to the Anaheim Municipal Code to be submitted to the qualified electors of the City at the Municipal Election to be held in the city on November 6, 2018, and directing the City Attorney to prepare an impartial analysis of such measure (Measure _ - Anaheim Tax Fairness, Transparency and Accountability). RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA providing for the filing of rebuttal arguments regarding a measure proposing amendments to the Anaheim Municipal Code to be submitted to the qualified electors of the City at a Municipal Election to be held in said city on November 6, 2018 (Measure - Anaheim Tax Fairness, Transparency and Accountability). DISCUSSION: Council Member Murray introduced the item and provided a PowerPoint presentation addressing the tax policy in California, fiscal landscape in Orange County, fiscal landscape in Anaheim, Anaheim Tax Fairness, Transparency and Accountability, and the purpose of expanding taxpayer protections. DISCUSSION: Council Member Kring stated California is a very highly -taxed state, commented on the City's prosperous areas, and noted the need to protect the City and residents by putting this on the ballot and indicated it would have to be approved by 2/3 of the electorate. She voiced her support. Council Member Faessel stated his support, noting that taxes need the involvement of the City's voters and liked the suggestion of having an oversight committee. Discussion followed regarding why the measure was pulled and it was noted a compromise was reached with the legislature. Council Member Murray opined this would provide greater accountability for any measure that would move forward and require taxpayer oversight and a committee with the ability to review expenditures as one, if it were adopted in the future. MOTION: Council Member Murray moved to approve the item, seconded by Council Member Kring. No vote was taken. Mayor Tait stated that this is was a complicated issue and proposal, and noting the lateness of the hour, felt this should be tabled with a committee formed of Council Members to study the matter in depth. MOTION: Mayor Tait moved to table the item, seconded by Council Member Barnes. ROLL CALL VOTE: AYES — 4: (Mayor Tait and Council Members Moreno, Vanderbilt, and Barnes). NOES — 3: (Council Members Murray, Kring, and Faessel). Motion carried. Item tabled. City Council Minutes of July 31, 2018 Page 31 of 33 28. Consider (re)appointments to the Youth Commission to serve a 10 -month term, ending B105 June 30, 2019. MOTION: Mayor Tait moved to continue this item to August 14, 2018, seconded by Council Member Kring. ROLL CALL VOTE: AYES — 7: (Mayor Tait and Council Members Moreno, Murray, Vanderbilt, Barnes, Kring, and Faessel). NOES — 0. Motion carried. Youth Commission (21 appointments): District 1 (re) appointments: (three (3) appointments) District 3 (re) appointments: (three (3) appointments) District 4 (re) appointments: (three (3) appointments) District 5 (re) appointments: (three (3) appointments) At large (re) appointments: (nine (9) appointments) C220 City Council Minutes of July 31, 2018 Page 32 of 33 PUBLIC HEARINGS: 30. Appellant requests continuance to August 14, 2018. CONDITIONAL USE PERMIT NO. 2010-05486H (DEV2009-00083H) LOCATION: 2232 South Harbor Boulevard APPLICANT: Musa Madain, 2232 S. Harbor Boulevard, Anaheim, CA 92804 PROPERTY OWNER: Daniel Untalan, P.A. Poon and Son, Inc., 18862 Beach Blvd., Suite 103, Huntington Beach, CA 92648 REQUEST: To amend the conditions of approval for an existing theater, restaurant, and banquet facility (M3Live Anaheim Event Center) to extend the permitted hours of operation. Environmental Determination: The City Council will consider whether the proposed action is categorically exempt from the requirements to prepare additional environmental documentation per California Environmental Quality Act (CEQA) Guidelines, Section 15301, Class 1 (Existing Facilities). ACTION TAKEN BY THE PLANNING COMMISSION: Approved staff recommendation to deny the request to amend the conditions of approval (Resolution No. PC2018-033). Vote: 6-1 (Commissioners Armstrong, Carbajal, Gillespie, Keys, Lieberman and White voted yes. Chairperson Dalati voted no). Motion Carried. (Planning Commission meeting of June 11, 2018) (Appealed by Musa Madain). Item was continued to August 14, 2018 at the request of the appellant. REPORT ON CLOSED SESSION ACTIONS: None COUNCIL COMMUNICATIONS/AGENDA REQUESTS: Council Member Faessel announced the ribbon -cutting ceremony for Fire Station No. 5, the first new fire station in Anaheim in over a decade; the opening of the Anaheim High School aquatic center on Monday, and the opening of the La Palma Water Complex, a complete rebuild of an over 60 -year-old water storage and pumping facility. Council Member Vanderbilt asked staff to explore the possibility of securing additional parks that have limited access with chains at night. He also asked to bring back Item No. 26 for discussion at a future meeting with a light agenda. Council Member Barnes reported her attendance at the Illumination Foundation carnival and thanked them for their good work. Mayor Pro Tem Moreno thanked the Tiger Woods Learning Center staff and city staff for a tour of the facility, with the intent of looking at it a model for the Northgate Gonzalez original market site as a community educational learning center. He thanked Anaheim Ballet for an amazing performance at Pearson Park and thanked the sponsors of the event. He congratulated Public Utilities on the opening of the La Palma Water Complex and asked to agendize through the City Manager's office ways to augment funding for the neighborhood services fund for Public Works to advance traffic speed mitigation efforts in neighborhoods. Council Member Kring thanked Public Utilities for supporting the MEU banner ceremony this afternoon and adding 18 new banners to the city. She announced National Night Out on August City Council Minutes of July 31, 2018 Page 33 of 33 7th 5:00-8:00 P.M. at Eucalyptus Park and thanked Linda Andal, Theresa Bass, and Jennifer Hall for serving the city in their interim/acting roles for the past year. Council Member Murray expressed her disappointment in the conduct and results of the meeting regarding the initiative and proposed tax -payer protection, stating meeting should start earlier in order to conduct the people's business. As Item No. 26 would no longer be valid for the November 2018 ballot, she asked Council Member Vanderbilt to re -phrase the item or consider a different approach when it returned to Council. She announced the State's health department approved the Orange County Mobile Needle Exchange Program, despite Council's opposition, and asked staff to look into legal aspects, as a charter city, to respond to the state's actions. Mayor Tait stated his belief that different perspectives, debates, and disagreements were healthy for the city and commended Green Bird Anaheim on their 4th anniversary. ADJOURNMENT: With no further business before the City Council and without objection, Mayor Tait adjourned the meeting of July 31, 2018 at 1:25 A.M. on August 1, 2018 in memory of four firefighters who died in the line of duty, Brian Hughes, Braden Varney, Jeremy Stoke, and Don Smith; OCWD member Phil Anthony; and Leo Zlaket. Respectfully sub Assistant City Clerk