06/19/2018ANAHEIM CIN COUNCIL SPECIAL AND
REGULAR MEETING OF JUNE 19, 2018
The special meeting of June 19, 2018 was called to order at 2:06 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 June 15, 2018.
PRESENT: Mayor Tom Tait and Council Members Jose F. Moreno, James Vanderbilt,
Denise Barnes, and Stephen Faessel. Council Members Kris Murray and
Lucille Kring joined the special meeting during the workshop.
STAFF PRESENT: Interim City Manager Linda Andal, City Attorney Robert Fabela, and Acting
City Clerk Theresa Bass
WORKSHOP:
Fiscal Year 2018/19 Proposed Budget (Convention, Sports & Entertainment, Community &
Economic Development, and Planning & Building)
Convention, Sports & Entertainment
Executive Director of Convention, Sports & Entertainment Tom Morton, presented the Fiscal Year
2018/19 Convention, Sports & Entertainment operating budget and capital improvement plan. He
stated that the Convention, Sports & Entertainment department is an enterprise fund that is
responsible for managing the day-to-day operations of the Anaheim Convention Center.
Additionally, the Department administers the agreements for Angel Stadium of Anaheim, the
Honda Center, the City National Grove of Anaheim, ARTIC, and Visit Anaheim. The departmental
operating budget totals almost $128 million; of this total amount, $3.5 million will be used to fund
Capital Projects. The department's budget is 20% of the City's General Fund, with this year the
Convention Center debt service of $16 million, ARTIC annual operating loss of $2.4 million, and
the entire Anaheim Resort LPMR transfer of $64 million. In regards to expenditures by
classification, with the inclusion of LPMR debt and ACC debt, these two items make up almost
50%. While labor is at 19.5%, when ACC debt service and capital is removed, the percentage is
actually 63%. Most of the expenses in the department are associated with the Convention Center,
as this year included the convention center debt service and the Anaheim Resort LPMR debt
service. Visit Anaheim is next as it receives almost $15 million in restricted Anaheim Tourism
Improvement District (ATID) marketing funds. ARTIC follows with expenditures totaling $7.4
million, which is a combination of debt service and annual operating expense.
Mr. Morton reported that for fiscal year 18/19, the department is budgeted at 85 full time
employees and 252 full time equivalents. The 252 full-time equivalents equate to a part-time pool
of 515 employees, which consists mainly of facility services, security, crowd control, and parking.
Mr. Morton highlighted some notable changes for this year, with the largest being the opening of
Betterment VII or ACC North. The 900,000 square foot expansion cut its ribbon on September 26,
2017 and had its first event move in on October 1St. This new addition to the Anaheim
Convention Center campus added 200,000 square feet of leasable, flex space; replaced the
previously existing 1,350 parking spaces; added a climate controlled bridge connection to the
existing facility; and added a 12,000 square foot kitchen and a 10,000 square foot terrace that
has fireworks viewing opportunities every night of the year.
Mr. Morton stated that with the opening of ACC North, they have had an exceptional opportunity
to market and sell the facility, retain large annual events, attract new meeting -intensive groups
City Council Minutes of June 19, 2018
Page 2 of 38
they could not previously accommodate, and secure concurrent events, which maximized exhibit
hall space in conjunction with the existing and new flex space. Additionally, next June, Anaheim
will host the U.S. Travel Association's IPW event. This event is the leading international inbound
travel trade show driving $4.7 billion in future travel to the United States and these 7,000
travel/tour operators will get to see Anaheim as that potential destination. Both of the mega,
annual conventions, NAMM and Natural Products, expanded into ACC North, experienced record
attendance, and both have signed long-term agreements. Visit Anaheim has already re -booked
events such as Keller Williams, Gamestop, and the Association of Health System Pharmacists,
groups that would have outgrown the facility without ACC North. In addition, Visit Anaheim has
booked over 115 future events that will use ACC North along with ACC; including Best Buy, their
very first event to utilize the new expansion, as well as Oncology Nursing, the American Rental
Association, Nutanix, and Society of Critical Care Medicine.
Mr. Morton reported that in the 2017 season, Angels baseball celebrated their 15th consecutive
year with over 3 million tickets sold. Additionally, Mike Trout was selected as the ESPY award
winner for the best major league baseball player, Albert Pujols became the 32nd player to reach
the 3,000 hit club, and the Angels signed one of the most sought after free agents in recent
history, Shohei Ohtani. The Honda Center is celebrating its 25th anniversary this year as it
debuted the new South Entrance expansion, which added close to 10,000 square feet to the
Arena's concourse. He highlighted that on this date in 1993, the Honda Center opened to a sold
out Barry Manilow concert. The Arena will host over 185 events with an attendance of 1.2 million.
The Ducks rallied to make the playoffs this year, but unfortunately were not able to make it out of
the first round. Finally, the City National Grove of Anaheim hosted 210 events in calendar year
2017 with over 116,000 attendees. He concluded with highlighting that the venue hosted notables
such as David Crosby, Ann Wilson, and STYX. In 2017 the Grove was ranked 14th in the country
for venues under 2,000 seats by Venues Today magazine.
DISCUSSION: Mayor Tait addressed debt service for the Convention Center for Capital
Improvements and Mr. Morton clarified what was included in the budget. Mayor Tait asked
regarding City costs and revenues related to the Convention Center and Mr. Morton stated the
most recent debt service was $16 million and have revenue sources attached.
Finance Director/City Treasurer Debbie Moreno stated debt service was still outstanding in terms
of the Convention Center expansion and the expansion is approximately a third -and -a -half of the
actual debt. Staff will need to review the LPMR piece and Ms. Moreno reported it was between
$11 and $13 million. Mayor Tait asked for a breakdown of the Convention Center itself, including
operations and debt service. Ms. Moreno stated the LPMR has more revenue than just fees they
get from hoteliers because it contributes towards transient occupancy tax (TOT) and offered to
prepare something separately for Council.
Mayor Pro Tem Moreno asked regarding revenues from the Convention Center and Mr. Morton
listed the sources of revenue from the Convention Center and reported the only reason the
expansion was able to happen was the creation of the Anaheim Tourism Improvement District
(ATID) because it freed up the dollars that allowed the City to expand. The money used to go to
Visit Anaheim through the General Fund. The debt service does not consider any of the TOT
from people attending conventions.
In response to an inquiry from Mayor Pro Tem Moreno regarding the additional revenue the
expansion is generating, Mr. Morton noted that would flow through Finance Director/City
Treasurer Moreno on the TOT projections, which show increasing year -over -year. He added Visit
Anaheim tracks that information, but he does not have the current report available now. Staff is
projecting revenues from the expansion from $33 million to $39 million.
City Council Minutes of June 19, 2018
Page 3 of 38
Mayor Pro Tem Moreno referenced the budget for ARTIC and asked whether there was still an
operating deficit. Mr. Morton stated $3.5 million is debt, which is paid through Measure M2, $3.9
million is the annual operation ($1.5 million of which is associated with revenue), and the annual
operating loss is at $2.4 or $2.5 million.
Mayor Tait stated he would like the same type of analysis done for the Convention Center.
Council Member Faessel asked regarding the total LPMR transfer and Mr. Morton stated it was
$63.9 million. Additionally, $39.1 million of that is the actual debt amount. He stated an
opportunity to clarify would present itself in the additional information requested by Mayor Tait.
Mayor Tait commended staff on their report and Mayor Pro Tem Moreno recognized staff for
including the information on ARTIC in the report.
Community & Economic Development
Community & Economic Development Director John Woodhead presented the Community and
Economic Development budget for Fiscal Year 2018/19, stating their core services consisted of
preserving, improving, and expanding the supply of affordable housing in the City; providing a
wide range of job training services and employment opportunities to residents; promoting
business growth and developing marketing resources for the business community; and leveraging
non -discretionary funding for investment in the community. The Department has a Fiscal Year
2018/19 proposed use of $194.8 million, making up 15% of the citywide budget and receives less
than 1 % of the city's general fund, with the vast majority of funding coming from non -discretionary
funding sources such as restricted grants from the federal government under the Section 8 Rental
Assistance Program, the HOME Investment Partnership Program, the Emergency Solutions
Grant Program, the Community Development Block Grant Program, and the Housing
Opportunities for Persons with AIDS Program, as well as funding from the State via the federal
Workforce Innovation and Opportunity Act, the former Redevelopment Agency's affordable
housing assets, and funding from the Redevelopment Property Tax Trust Fund for the unwinding
of the former Redevelopment Agency's affairs.
Mr. Woodhead reported the Department's operating budget is $163.4 million, 6.8% of which is
allocated to personnel costs with the remainder allocated to other operating costs, capital outlay,
and debt service. The operating budget is allocated among the Department's divisions, which
include $112 million to Housing, with $84.7 million for the Section 8 Rental Assistance Program
and $27.3 million for Affordable Housing Development; $31.8 million for Community Investment;
$12.3 million for Grants; $3.7 million for Administration; and $3.6 million for the Workforce
Division. The Department's budget accounts for 73 full time staff and 17 part time staff or 9.3 full
time equivalents.
Mr. Woodhead highlighted several notable changes, reporting that the Department completed the
consolidation of the housing subsidy (Section 8) program and the workforce program,. Anaheim
Jobs, in May 2018. The center includes a spacious computer resource center and an improved
interview area. Additionally, several community partners including the Employment Development
Department, State Department of Rehabilitation, Senior Employment Resources, and the North
Orange County Community College District will be co -located in the remodeled space, thus
making the offices on the second floor at Anaheim West Tower a true "one-stop" shop for housing
and employment resources. Through their partnership with the Anaheim Union High School
District, the Housing Assistance Pilot Program (HAPP) for homeless families has assisted over
500 individuals, consisting of 198 adults and 327 children, with over 90 households obtaining
permanent housing. In July 2017, the Department launched another unique, Anaheim -specific,
pilot program to assist chronically homeless individuals experiencing homelessness. The target
City Council Minutes of June 19, 2018
Page 4 of 38
population to be served by CHIPP, and the related supportive services, were all informed by the
results of an Anaheim specific homeless census that took place in November of 2016. The
homeless count revealed that a large portion of the homeless in Anaheim are single, adult males
who have been living on the street for an extended period of time. The CHIPP program is
administered in partnership with Mercy Housing and the Illumination Foundation, two agencies
with extensive experience serving the homeless. Currently, there are 20 chronically homeless
individuals participating in the program, with 10 individuals already housed and the remainder
enrolled in case management and engaged in preliminary housing search services.
Mr. Woodhead further highlighted the Residential Rehabilitation Program providing income -
eligible homeowners with home improvement grants and/or loans at a zero percent interest rate
with repayment deferred until sale, transfer of title, owner occupancy cessation, or cash -out
refinancing. The goal of the program is to improve the quality of life for Anaheim residents by
assisting with property repairs and improvements necessary to make their homes decent, safe,
and attractive. The city partners with Habitat for Humanity of Orange County to administer the
program. Currently, the program has a budget of approximately $2 million and is funded by the
Community Development Block Grant Program. Habitat just recently completed the first extensive
rehabilitation project and has another three actively under construction. An additional nine
projects are in the pipeline. Finally, the City's new Business Attraction, Development, and
Retention Program includes business assistance meetings to facilitate business expansions,
relocations, and commercial site selection with features in the monthly Anaheim Business
Connection eNewsletter.
Mr. Woodhead shared the Department has a number of exciting opportunities for Fiscal Year
2018/19. The department will continue to leverage affordable housing assets to develop a 54 -unit
affordable housing development for seniors at the site of the Sandman Motel and a shipping
container project for Anaheim's homeless veterans. In addition, they received proposals for the
development of over 100 units of workforce housing for Anaheim residents at the southeast
corner of Manchester and Orangewood and will be bringing forward that project for Council
consideration soon. In West Anaheim, the city entered into an agreement to acquire the
Americana Motel and hopes to bring forward an agreement to purchase adjacent properties at the
southeast corner of Lincoln Avenue and Beach Blvd. Staff will continue to position Anaheim as a
premier business destination with upcoming efforts that include the creation of a dedicated
economic development website, a video marketing series, and collateral materials. They will also
continue to brand the Beach Boulevard corridor in collaboration with neighboring cities.
Mr. Woodhead reported the department will be introducing an agreement with local schools and
taxing entities to leverage the assets of the former Redevelopment Agency to provide a funding
source to pursue continued community investment opportunities including partnerships with local
public schools and youth programs. They will also endeavor to develop a plan for a partnership
with the Anaheim Union High School District and other local partners to create a Learning and
Resource Center at the site of the original Northgate Market.
Mr. Woodhead highlighted that the department served over 12,000 job seekers at the Anaheim
Jobs Center and 390 youth at the Youth Summer Job Fair. They launched a new business
attraction, development, and retention program that includes an Economic Development Team
with inter -departmental representation, a business seminar series, Commercial Broker and
Property Management workshops, and a Youth Entrepreneurship Forum. He further highlighted
the City Council recently approved the Disposition and Development Agreement for the 326 -room
Radisson BLU hotel on a former Redevelopment Agency parcel on Anaheim Blvd. with expected
construction to begin in the fall.
City Council Minutes of June 19, 2018
Page 5 of 38
DISCUSSION: Council Member Faessel referenced a community investment of $31.8 million and
asked what that consisted of. Mr. Woodhead reported much of it pertains to former
Redevelopment Agency (RDA) contracts and the City is receiving significant money from the
State to make good on those contractual obligations, accounting for $25 million; for business
retention and expansions, the City is funding at approximately $1 million, and the City has a
number of physical investments it may make in the community, including required projected
public improvements. He added much of it pertains to preparing sites for future development and
much investment is done on the affordable housing side as well.
Council Member Kring asked how people can get involved in Habitat for the Homeless. Mr.
Woodhead reported people can visit haps://www.habitatoc.org or the City's webpage for more
information. The City has allocated significant dollars for that program and it is still in its infancy,
funded through the CDBG program. Council Member Kring asked about the status of the
Orangewood and Manchester property and Mr. Woodhead reported there were a number of
proposals received in response to the RFP and staff has evaluated them and chosen a winner
which will be presented for Council's consideration in the future. Council Member Kring
congratulated Mr. Woodhead and his staff for their work.
Mayor Pro Tem Moreno asked about the income level associated with the project on
Orangewood and Manchester, to which Mr. Woodhead responded it will be for those with
extremely -low and very -low income and 100% of the units will be classified as such. The land is
from former RDA housing assets and the City contributed it into the deal and housing vouchers
will be provided for a number of units in the project. He added the winning applicant will go after
9% tax credits which will contribute more cash into the deal. Mayor Pro Tem Moreno commented
on the City being dependent on Federal housing vouchers to provide affordable housing and
asked about projections for Federal funds. Mr. Woodhead reported the City's housing assets
come from many different sources and Federal funding from the last year was stable. It is hard to
deduce where the Federal Government was going, particularly with the Section 8 program, and
reported staff has heard there will be drastic cuts to the program. Staff anticipates there will be a
stringent work component eventually adopted for the program, which is why the City moved
forward with combining the workforce and housing programs. Mayor Pro Tem Moreno suggested
the City develop its own funding stream to address potential cuts in Federal funding. Mr.
Woodhead reported there was no recommendation, at this time, to do so.
Council Member Vanderbilt referenced the Successor Agency Networking program and asked
about when buy -in was expected from the school districts. Mr. Woodhead stated it was difficult to
say but he has had successful conversations with all school districts and felt confident they will go
along with the program. He commented on negotiations with the County and hoped to bring a
report to Council in September. Council Member Vanderbilt added there are times when property
is used for short-term rentals and asked regarding its inclusion in the list of priorities. Mr.
Woodhead reported it was passive income and noted the City knows that vacant properties tend
to be vandalized. If the City has an asset, it protects it by having it occupied, but it does not
actively pursue renting it.
Council Member Murray reported meeting with a representative of Housing and Urban
Development in Washington D.C. and reported the Federal budget for this year included an $800
million increase for deferred rehabilitation needs to preserve apartments that could be used for
extremely -low and low-income individuals. There was also an increase of $400 million in the
Home Investment Partnerships program for additional housing and CDBG funding was increased
by $300 million and a 12.5% increase in Low -Income Housing tax credits. Additionally, there is a
proposal for additional Section 8 funding to help the disabled homeless. She confirmed the
County is applying that funding and asked the City reach out to ensure its share, wherever
possible.
City Council Minutes of June 19, 2018
Page 6 of 38
Planning & Building
Acting Deputy City Manager/Planning & Building Director David Belmer presented the Fiscal Year
2018/19 budget for the Planning and Building Department, stating the Department's Mission is to
enhance the City of Anaheim by developing and implementing land use policies that reflect the
goals of the community; ensuring safe and code compliant development and properties; attracting
and retaining business that contribute towards a healthy economy; and providing exceptional
services. The Department's core services include the administration of the City's business license
functions and the City's Planning efforts and community preservation, which include animal
control services and graffiti abatement services. The proposed overall Planning and Building
budget for Fiscal Year 2018/19 is roughly $24.8 million, which makes up 1 % of the total City
budget. With regard to General Fund, the department's budget is $22.5 million, which is 5% of the
General Fund budget. Labor is 55.8% of the budget and other operating at 41 %, which include
the administered contracts such as animal control and graffiti services. Operating budget by
division shows Community Preservation and Licensing has the largest due to animal control and
graffiti abatement contracts. He reported the Department's budget accounts for 76 full time staff
and 39 part time staff, or 27.9 full time equivalents.
Mr. Belmer highlighted notable changes, stating the City receives Community Development Block
Grant, which is used for code enforcement services throughout the city in targeted areas. He
stated that HUD is getting more restrictive on how funds are used which resulted in a $73,000
reduction in code enforcement personnel. Staff will be looking on how to offset with other
sources. Graffiti removal is a priority for the community and administered by the department via
contract. A year ago, a one year contract was award to the current vendor to provide those
services; at that time staff informed Council that primarily due to prevailing wage issues as a
result from a ruling from the State of California those costs increased significantly. As result, staff
was looking at creative ways to provide this service including a possibility of bringing those
services in house and concluded that the best option was to continue to contract the services.
Similarly, animal control services are contracted with the County and staff is also looking at
creative ways to reduce costs and improve services.
Mr. Belmer highlighted Andy's Map, an online access tool furthering the Council's goal of
transparency. The public can log -on to the map and see the projects under consideration
including the addition of displaying projects being processed by the Public Works Department.
The City's GIS team helped in creating this on-line tool and they are looking into enhancing this
tool in the coming year. He highlighted the Building Express Lane, which cut customer wait time
by half, and the Rapid Revision Review Process.
Mr. Belmer also highlighted the first Minor Conditional Use Permit applicant for the EI Pollo
Norterio. He spoke of the Mills Act Program, which is the 3rd largest in the State of California, the
Anaheim Urban Design Studio, which is a is a partnership between the Planning & Building and
Community & Economic Development Departments working with young interns from various
colleges and universities to assist in their designs and projects, and the new specific plan for the
CTR City Corridor, which is along Anaheim Boulevard and Harbor Boulevard between 5 Freeway
and the 91 Freeway.
Mr. Belmer spoke of the Code Streamlining Program, which has received two awards, stemming
from the Mayor's Regulatory Relief Task Force. Staff will continue to evaluate codes and
streamline development processes. He highlighted the projects in the Platinum Triangle, which
included A -Town, JPI project on Gene Autry and State College, The George, and the Trumark
project, which is bringing 153 for -sale townhomes to the Platinum Triangle. As for the Resort, he
highlighted the recently completed hotels and the Disneyland Star Wars Land, the new parking
structure, and Paradise Pier revitalization. The department is working with the various
City Council Minutes of June 19, 2018
Page 7 of 38
departments on the Beach Boulevard Specific Plan and anticipates holding the public hearing to
adopt the plan mid -summer. The City of Anaheim has 15 open breweries and he highlighted the
recently opened Golden Road Brewery on Orangewood Avenue.
DISCUSSION: Council Member Murray asked regarding the graffiti abatement program and
asked regarding the amount needed to maintain the same level of service, to which Mr. Belmer
reported the contract is $1.6 million. Council Member Murray stated she would like to see park
maintenance brought back in-house and asked regarding the number of units involved in the
Quality Rental Housing program and the Motel program. Mr. Belmer stated the City is well into
Phase 4 of the program and thousands of units are involved. The City will eventually work its way
back to Phase 1. Council Member Murray asked for another update in the future.
Council Member Kring stated residents love the graffiti abatement program as it adds to their
quality of life as well as businesses. She asked regarding animal control, noting the shelter is
quite far from Anaheim and asked what the City's intentions were. Additionally, she referenced
animal abuse and asked who was in charge of those violations. Mr. Belmer reported the animal
cruelty component was administered through the County. Additionally, he stated many people
who previously required visiting the animal shelter are having to do so much less, because of
improvements in technology. He added staff is considering working with local clinics for people
who cannot travel long distances to the shelter. Council Member Kring requested including
instructions on the City's website relative to animal care and control.
Council Member Barnes asked about educational programs in local schools and incentivizing to
discourage graffiti by promoting artist creativity in other parts of the City and generating a "wall of
shame" for violators. Mr. Belmer reported Sandra Sagert administers the program and staff goes
out into the community and includes that information as part of a continuing dialogue. The Police
Department is also part of that process as part of continuing education. In terms of a "wall of
shame," the contract includes that offenders contribute to community services.
Council Member Vanderbilt believed the Anaheim Police Department has a program dealing with
penalties for people participating in graffiti. He commented on part of education being providing
information to individuals/property owners in terms of addressing graffiti themselves. He
suggested staff consider existing programs that might need minor adjustments versus developing
new programs.
Mayor Pro Tem Moreno expressed concern and frustration regarding the growing graffiti problem
in the City. Mr. Belmer stated he does not know, for sure, if the City has a bigger graffiti problem
than other surrounding cities. He believed others in the City would have a better perspective
about how neighboring cities are faring in that regard.
Mayor Tait believed the issue is much better than in previous years and reported the City's
challenge is how to do more with less hours. He asked staff to keep a close eye on the subject.
Council Member Murray acknowledged staff and commended them for their excellent work.
Mayor Tait thanked staff for their presentations and their work and commented on the City's
business -friendly environment. He suggested generating a list of all the extraordinary things the
City does to promote a business -friendly environment.
PUBLIC COMMENTS ON WORKSHOP: None
Mayor Tait adjourned the special meeting of the Anaheim City Council and called to order the
regular meeting of the Anaheim City Council at 3:29 P.M.
City Council Minutes of June 19, 2018
Page 8 of 38
ADDITIONS\DELETIONS TO CLOSED SESSION: None
PUBLIC COMMENTS ON CLOSED SESSION ITEMS: None
CLOSED SESSION: At 3:29 P.M., Mayor Tait recessed to Closed Session for consideration of
the following items:
CONFERENCE WITH LABOR NEGOTIATORS
(Subdivision (a) of Section 54957.6 of the California Government Code)
Agency Designated Representatives: Jason Motsick, Acting Human Resources
Director and Representative of Avery Associates
Position: City Manager
2. PUBLIC EMPLOYEE APPOINTMENT
(Section 54957 (b)(1) of the California Government Code)
Position: City Manager
3. 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
4. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION
(Subdivision (d)(1) of Section 54956.9 of the California Government Code)
Name of Case: Orange County Catholic Worker, et al., v. Orange County, et al., USDC
Court Case No. 18 CV -00155 -DOC (KESx)
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)
6. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Section 54956.8 of the Government Code)
Property: Assessor Parcel Numbers: 253-473-01: 1200 S. Phoenix Drive, Anaheim, CA
92806; 253-631-32: 1200 S. Phoenix Club Drive, Anaheim, CA 92806; 253-631-39: 1200
S. Phoenix Club Drive, Anaheim, CA 92806
Agency Negotiator: Greg Garcia, Acting Assistant City Manager
Negotiating Parties: Orange County Water District and City of Anaheim
Under Negotiation: Price and Terms of Payment
7. 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.
At 5:29 P.M., Mayor Tait reconvened the Anaheim City Council meeting.
INVOCATION: Pastor Darrin Sheek, Prince of Peace Lutheran Church
FLAG SALUTE: Council Member James Vanderbilt
City Council Minutes of June 19, 2018
Page 9 of 38
PRESENTATIONS:
Recognizing Mills Act Recipients
Acting Deputy City Manager and Planning & Building Director David Belmer explained the Mills
Act program to encourage historic preservation and addressed the application process. He
thanked Mayor Tait and Council for their support of the program, thanked participating property
owners and staff, and presented recipients with commendations. Recipients included Shaheen
Sadeghi, Gaspar Medina, Camilo Velazquez, Joaquin and Josefina Bastida, Evelyn Kay
Williams -Burr, Mauricio and Jaylene Ventresca, Luis and Lauren Lopez, Giovanni and Elizabeth
Recinos, Seaver Sizemore and Kelly Ostrand, and Ricardo Llajaruna and Giovanna
Murillo-Llajaruna.
Recognizing Detective Bruce Linn and local businesses on their Acts of
Kindness
Mayor Tait invited former Anaheim Police Department and OCDA Investigator Bruce Linn to the
podium. Mayor Tait related the story of Augustin Villegas who was shot as he rode as a
passenger in a vehicle. Bruce Linn was assigned to the case and was inspired to give back to
the Villegas Family by restoring the family's vehicle to its original condition and working with
various vendors to complete the job. Vendors who contributed their services included Mark
Herron with Frazier Auto Upholstery, Craig Haller and Josh Mussche with Exclusive Truck &
Automotive, Rady Beckett with Boss Paint and Body, Anthony Giusiana with Linex Orange
County, Darren Priest with Auto Fetish Inc., Chris Bohenski with Auto Hub, Roman Escheveste
with Farmers Insurance, and Javier Garcia with JC Auto Repair.
Recognizing Westgate Community Canvas Competition Winners
Mayor Tait reported the Community and Economic Development partnered with Zelman
Development to sponsor a digital art project for Anaheim Union High School District students.
Fifty-eight digital art submissions were received, and Mayor Tait addressed the theme, judges,
and process of evaluation and invited Paul Casey of Zelman Development to the podium.
Mr. Casey announced the winners as 1 st Place, Rhea Dimaandal, from John F. Kennedy HS;
2nd Place, Juyeon Kim, from Cypress HS and 3rd Place, Lizbeth Esquivel of Western HS.
ACCEPTANCE OF OTHER RECOGNITIONS (To be presented at a later date):
Proclaiming June 10 — 16, 2018, as National Flag Week
Proclaiming June 2018, as Muslim Heritage Month
Adele Achmed introduced her colleagues and thanked the Mayor and City for the proclamation.
Proclaiming July 2018, as National Parks and Recreation Month
Brian Harper, Supervisor, Recreation, Human and Neighborhood Services Division, Community
Services Department, accepted a proclamation declaring July 2018, as National Parks and
Recreation Month.
At 6:02 P.M., Mayor Tait called to order the Successor Agency to the Redevelopment Agency
and Anaheim Housing Authority (in joint session with the City Council).
City Council Minutes of June 19, 2018
Page 10 of 38
ADDITIONS/DELETIONS TO THE AGENDAS:
Acting City Clerk Theresa Bass announced that staff requested to withdraw Item No. 03 from the
Housing Authority agenda. Additionally, she reported the appellant in Public Hearing Item No. 32
submitted a letter withdrawing their appeal and noted the removal of that item from the agenda.
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.
Prior to the receipt of public comments, Mayor Tait announced the speaker time limt would be two
(2) minutes.
Cecil Jordan Corkern, Outreach Homeless Ministries, read a passage from the Bible and
commented on Disney's use of sexual themes in their animation.
R. Joshua Collins, Homeless Advocates for Christ, addressed homelessness and expressed
concerns regarding the seizure of the property and criminalizing poverty.
Todd Ament, President/CEO, Anaheim Chamber of Commerce and Chairman of the "No on the
Job Killer Initiative Coalition", urged Council to select Option C on Item No. 30, opining the
initiative was not good for Anaheim and urged Council to do an economic study to show what the
impacts of the initiative will be to the community.
Trevor O'Neil urged Council to select Option C on Item No. 30 and request a robust, in-depth
economic analysis of the impacts of the minimum -wage initiative. He listed flaws in a previously
referenced study and opined this was not just about Disney but would negatively affect other
employers in the Resort District. He listed some suggestions and distributed a list for Council's
review. Additionally, he opined the initiative will have a direct impact on the low tax and utility
rates and high-quality services people receive as Anaheim residents, and will have budgetary
impacts on projects currently in development.
Mark Richard Daniels noted the minimum -wage initiative qualified within three weeks and opined
if it makes it to the ballot, it will pass, overwhelmingly. He played the song, "When you wish upon
a star" and thanked Council for its consideration.
Ernesto Medrano, Los Angeles and Orange County Union and Building Trades Council, stressed
the importance of doing an economic analysis of the impacts of the minimum -wage initiative. He
stated the current language in the initiative was flawed and set back current and future hotel
projects and labor agreements. He invited Council Members to visit one of their training centers
and felt if the initiative succeeds, 3,000 jobs were as risk. He urged Council to support the
economic analysis study.
John Dunton commented on the Anaheim Fire Department saving his life after he collapsed
several years ago. He addressed on the loss of many Military personnel, Police Officers, and a
sixteen -year-old girl who recently lost her battle with colon cancer. He addressed comments
between himself and the mayor and staff, opined that people have lost confidence in the City, and
urged Council to approve the minimum -wage initiative.
Jeanine Robbins urged Council to approve the minimum -wage initiative so that Anaheim
residents will no longer experience food insecurity and can afford to rent in Orange County. She
alleged Disney has abused its employees, the City, and its residents.
City Council Minutes of June 19, 2018
Page 11 of 38
Mike Robbins referenced Item No. 32, noting the proposal is for a hotel and there are no City
subsidies attached to the project. He requested an investigation of political action committees
(PACs) and their effect on Anaheim politics and construction projects.
Duane Roberts applauded Mayor Tait for embracing diversity instead of fear and welcomed the
thousands of Trade Union Members, noting most of them do not live in Anaheim. He stated the
Anaheim Chamber of Commerce and the Disney Company have done an excellent job in getting
people out, tonight, to oppose the minimum -wage ordinance and addressed the working class
opposing its own members.
Tamara Jimenez, Anaheim Lighthouse and the Orange County Recovery Collaboration,
referenced Item No. 28 and noted the services provided by Access California were vital to the
community and desperately needed. She addressed services they provide and urged Council to
do the most good for the residents of Anaheim and approve the expansion plan.
Jerry Amante, Executive Director, Anaheim and Orange County Hotel and Lodging Association,
referenced Item No. 30 and urged Council to select Option C on Item No. 30 and request a
robust, in-depth economic analysis of the impacts of the minimum -wage initiative so citizens can
be informed about the impacts associated with the initiative.
Ron Miller, Executive Secretary, L.A. and Orange County Building Trades, spoke in opposition to
Item No. 30 and urged Council to approve a robust, in-depth economic analysis of the impacts of
the minimum -wage initiative. He opined the initiative will put an end to hotel projects and kill
many jobs.
Jerry Alder, General Manager, Anaheim Garden Walk, commented on the long commute of many
employees and the lack of affordable housing in the City. He opined Anaheim can be part of the
solution including a climate conducive to the construction of additional affordable housing and a
serious effort towards reliable and economical transportation alternatives to and from areas
having affordable housing. He spoke in opposition to Item No. 30 and feared it will worsen the
problem, making fewer jobs available.
"The Cameraman" referenced previous comments regarding Daron Wyatt. He thanked APD
personnel for providing traffic safety during the recent March to Disneyland event. He
commented on Disney and believed they could do better in terms of paying their employees a
livable wage. Finally, he spoke about fireworks and the lack of resources to enforce the
prohibition of illegal fireworks, and addressed the costs of Disneyland fireworks.
Guy Setian, Local Iron Workers 433, shared his career experience and referenced Item No. 30,
urging Council to conduct an economic analysis of the potential impacts of the initiative.
Shannon Johnson, Disney employee, noted she cannot routinely eat three meals a day and had
to move outside the City because he could not afford the rent. She added people will spend
money in the community but cannot do so if they do not make it.
Martin Lopez, UNITE HERE Local 11, noted hotels and development were thriving in Los Angeles
and Long Beach, even after they implemented a living -wage initiative. He believed ordering an
economic impact study was a waste of time and urged Council, if it will not vote to adopt the
measure, to place it on the ballot for residents to choose.
Marysol Flores, Operating Engineers Union Local 12, shared her career experience and urged
Council to request a robust, in-depth economic analysis of the impacts of the minimum -wage
initiative under Item No. 30.
City Council Minutes of June 19, 2018
Page 12 of 38
William Fitzgerald, Home Owners Maintaining Our Environment, alleged City Council Members
were corrupt and self-serving and commented on their attack on free speech at Council meetings.
He addressed Council Member Vanderbilt's military service and voting record.
Anthony W. Novello, United Association Plumbers and Pipefitters, Local 182, commented on the
negative impacts of the minimum -wage initiative and asked Council to conduct an economic
analysis of the potential impacts of the initiative.
Dawn Zrinski, RV owner, expressed concerns regarding the recent RV parking ordinance and
asked what the City has decided to do as tomorrow is the deadline for RVs to be off City streets.
She reported she was recently cited for no registration tags, that she had paid for them, and was
expecting them in the mail. She opined the City was targeting RV owners and claimed Council
was violating her civil rights.
Nancy Davis reported many people were selling their homes and purchasing RVs; that it was
becoming a lifestyle. She was unsure if the deadline to remove RVs from the street is tomorrow
but noted they have nowhere to go and most are good people.
Mark Whisenant, RV owner, expressed the same concerns as the previous two speakers and
urged the City to help them find an adequate place to park their RVs.
Mayor Pro Tem Moreno reported that prior to approval of the ordinance, at least
three Council Members asked staff to identify how the City might be helpful in
other ways in relation to RV owners.
Nancy VanValkenburgh, RV owner, expressed concerns with the RV parking ordinance and
asked Council to help them with a solution or allow them more time to find a place to move to.
She stated the deadline to move is tomorrow and they have no other place to go.
Jennifer Ayres reported some people choose RV lifestyles and the ordinance will negatively
impact them as well. She felt the ordinance was un-American and violated civil rights. She noted
many people have medical conditions and have no way to help themselves and asked Council to
help.
Lorenzo noted many in the homeless population are veterans with mental illness. Many
experiencing homelessness were professional and hard workers and expressed concerns with
the recent RV parking ordinance.
Jill Kanzler, Executive Director, SOAR, referenced Item No. 30 and felt that the people of
Anaheim deserve a robust, in-depth economic analysis of the impacts of the minimum -wage
initiative and that it would expose the truth about this job -killing initiative including loss in revenue
and 3,000 good jobs.
Armando Gonzalez, Disney employee, stated workers were not asking Disney to buy them
homes or pay their car bills, but rather for a decent wage for decent work. He referenced the
petition and noted the people of Anaheim have spoken. He urged Council to approve the matter,
make it retroactive, and not wait for the November ballot.
Dara Maleki, The Pizza Press, spoke in opposition to the living -wage initiative and expressed
concerns with the collateral damage to small business owners in the Resort District. He urged
Council to request a robust, in-depth economic analysis of the impacts of the minimum -wage
initiative under Item No. 30.
City Council Minutes of June 19, 2018
Page 13 of 38
Cathy Dutton referenced Item No. 30 and asked Council to approve a robust, in-depth economic
analysis of the impacts of the minimum -wage initiative. She expressed concerns the initiative will
negatively affect entry-level jobs for young people. She worried about a lost opportunity if the
measure is enacted and urged Council to protect the people's interests and not blindly approve
the initiative.
Natalie Meeks referenced Item No. 30 and spoke in support of a thorough, economic review that
studies all of the impacts of the minimum -wage initiative and the broader impact it will have on
Anaheim residents and businesses.
Paul Vicknair, Senior Commissioner, District 3, spoke regarding Anaheim's housing shortage and
resulting homelessness. He reported Judge Carter's attempts will not resolve the entire problem
and other options must be considered including building more mobile home parks. He addressed
differences in costs and noted Anaheim has the land but is only building market -rate housing. He
urged Council to address this matter in the City budget.
Ross McCune, Anaheim Chamber of Commerce, referenced Item No. 30 and urged Council to
order a fiscal impact report, expressing concerns with the possible elimination of jobs. He
reported this was not an emotional decision, but rather a business decision based on calculated
macro, statistical data and business information. He used an example of a Long Beach
restaurant that closed its doors because of increased labor costs.
Mirvette Judeh referenced Item No. 30 and noted it was time Anaheim supported a fair wage for
employees in the City, as Anaheim is home to a big, profitable corporation and it was time they
pay their employees a living wage. She hoped Council would make history and pass it as an
ordinance or let the people vote. She spoke positively about the services provided by Access
California, reported they need space in which to operate, and felt Anaheim should lead the way.
Hazem Allsustani spoke in support of Access California (Item No. 28) and urged Council to help
them expand their operation and continue their important and needed services.
Patricia Cota spoke in support of Item No. 28 and the services provided by Access California.
She shared her personal experience with the agency which has helped many people in the
community.
Vidal Arce shared his story growing up in EI Salvador and coming to this country to escape a civil
war. He referenced Item No. 30 and urged Council to order an independent economic study
regarding the minimum -wage initiative.
Grant Henninger commented on the Statue of Liberty and the generations of immigrants who
have come into our country. He quoted the poem at Liberty's feet and urged Council to talk with
representatives in Congress to stop the current practice of separating children from their parents
at the southern border.
Mery Wangundo thanked Council for its support and urged its continued support of the expansion
of Access California.
Adam Wood, BIA/OC, expressed concerns over the continued conversation of inclusionary
zoning, noting that it will not work. He reported the City needs to focus on resolutions that
remove barriers to development and work in cooperation with the City. He referenced comments
made at the past Council meeting and noted inclusionary zoning will harm the City and its people.
City Council Minutes of June 19, 2018
Page 14 of 38
A male speaker spoke on behalf of Safatuallah Safat who had to leave the meeting. He read a
letter from Mr. Safat commenting positively on the services provided by Access California and
urging Council to approve their expansion under Item No. 28.
Wes Jones distributed documents to staff, referenced the Homeless Policy Taskforce, its
opposition by certain members of the public, and a subsequent petition that was circulated. He
asserted UNITE HERE collected 120,000 signatures in support of a living wage and noted the
need to pass the initiative. He expressed disappointment the Construction and Plumbers Unions
were not standing with their brothers and sisters.
Asmaa Ahmed, Council on American/Islamic Relations, referenced Item No. 28 and commented
positively on the services provided by Access California and urged Council to support them in the
work they do. Regarding item No. 30, she reported Disney employees were some of the hardest
working individuals she has ever met and Disney should pay them a living wage.
Nehad Mibar shared her testimony in relation to the great services provided by Access California
and urged Council to approve their expansion.
Michael Morgan, Union Gardner, referenced Item No. 30, reported he was the product of an
apprenticeship program, and urged Council to take action that would strengthen good
construction jobs.
Bob Donelson reported more than 16,000 verified signatures were collected in support of the
living -wage initiative and urged Council to place the initiative on the November ballot. He stated
he will vote for the initiative in November and felt the City will waste a lot of money having an
economic feasibility study commissioned. He hoped everyone will support the initiative and
commented positively regarding the services provided by Access California.
Kenneth Batiste commented on the "No Tolerance" law that was recently implemented and
addressed impacts to poor people. He mentioned Disney employees and those living in
motorhomes and noted the latter have nowhere to go if they cannot park on City streets. In terms
of Disney, they made $4.4 million in one quarter. He reported one in six children in Anaheim are
at risk of hunger, half of children in public schools receive free lunches, and 129,000 kids may go
hungry on weekends and summer vacations. Additionally, he reported Chef Bruno feeds 30,000
motel and homeless children per week. He stressed people need to be paid a sufficient wage to
feed their children and urged Council to adopt the living -wage initiative.
Jorge Iniestra, Disney employee and member of UNITE HERE, thanked Mayor Tait for standing
up against a proposal giving millions of dollars to Disney. He stated Disney does not need
millions in tax subsidies but those who do need it are those who are working yet struggling to pay
their rent and buy food. He urged Council to put the initiative on the November ballot.
Dave K. commended the Anaheim Police Department for their great work and expressed
concerns with the living -wage initiative because of unintended consequences. He believed
people will visit hotels that have not received City subsidies because they would pay less wages
and therefore, the rooms would be cheaper. He feared a loss of good jobs and felt the initiative is
unconstitutional. Furthermore, he commented on the use of illegal fireworks in Anaheim and
suggested allocating more resources to the issue, implementing a Neighborhood Watch Program,
and providing a hotline for residents to report the use of illegal fireworks.
Ynas Eldah spoke on behalf of Access California and commented on the value of their services to
the community. She spoke in support of expanding their operation for continued efforts helping
the residents of Anaheim.
City Council Minutes of June 19, 2018
Page 15 of 38
Cesar Covarrubias addressed Item No. 29 and commented on the increasing crisis of housing
throughout the State and homelessness. He urged Council to do whatever it can to provide
affordable housing in the City.
June Mekken spoke in support of the living -wage initiative and stated she believes that it will have
a positive effect in that people will be able to eat and grow and stimulate the local community with
the additional dollars earned.
Nahla Kayali, Access California, expressed her gratitude for the continued support and
consideration from the Mayor, Council, and staff. She asked Council to lease a defined site and
construct a new building at Brookhurst Park and direct staff to negotiate terms of a lease
agreement with Access California Services to expand their services.
Karen Romero Estrada, OCCORD, referenced Item No. 29 and stated support for the City
addressing its housing needs through an affordable housing ordinance., as without it, the City will
encounter the same problems of building housing without any protection for the people most
impacted. She urged Council to think outside the box and develop options to help Anaheim
residents.
Karen Rodriguez reported she canvased for the living -wage initiative, noting people are eager to
give people what they deserve. She promised the group will not stop its efforts in fighting for
people who deserve a living -wage and a decent place to live.
Glynndana Shevlin, Disney employee, reported she has been homeless three times in the last
two years. She directed comments to other building, trade, and construction unions present and
noted they are all in the same boat. She wants them to build with union labor, but inside that
hotel, there needs to be living -wage, union workers as well. She reported having many
conversations with residents as she canvased, that the people spoke and supported the initiative,
and urged Council to move forward in approving it.
Nora Whittington reported she canvassed for the living -wage initiative and had many
conversations from residents who also feel Disney should pay their employees a living wage.
She believed when the initiative passes, these employees will bring money back into the
community where they live.
Shakeel Syed stated he does not have data in terms of businesses in the City, but, he has data
on families without enough to eat. He felt shame for those who value money more than people
and urged Council to support the living -wage ballot initiative and let the people decide for
themselves and he addressed a clear intersectionality between affordable housing and a living
wage. The living wage will help, but the policies of the City must include affordable housing
development to help those working in Anaheim to live in Anaheim.
Jeff LeTourneau, Northern Vice Chair of the Democratic Party of Orange County, addressed Item
No. 28, Access California Services, noting it is an incredible program offering needed services to
many and spoke in support of expanding their operation. Regarding Item No. 29, he stated
based on the wages paid in Anaheim, people have a difficult time finding an affordable place to
live. He urged Council to work on getting real affordable housing for Anaheim. He commented
on the Pride Flag being posted in City Hall and thanked Council, noting it means a lot to many
people. Regarding Item No. 30, he asked Council to place the matter on the ballot and let the
people decide what is good for them.
David Duran spoke in support of the expansion of Access California Services, noting the good it
does for the community. He spoke in support of the living -wage initiative and asked Council to
either adopt it as an ordinance or place it on the November ballot. Additionally, he asked the City
City Council Minutes of June 19, 2018
Page 16 of 38
to stop ticketing RVs and reconsider the Mercy House report that the La Palma Check-in Center
should be closed as many people depend on that service and there is no reason why it should be
closed.
Ada Tamayo, Union Organizer and Housing Commissioner, referenced Item Nos. 29 and 30 and
spoke in support of an affordable housing ordinance. She added that a living -wage is necessary
and noted Hilton and Sheraton pay their employees a living wage and if they can do it, so can
Disney.
Veronica Chavez, Disney employee, thanked residents and those who support a living -wage
initiative as employees make the magic for Disney and workers deserve a living wage.
Robert Williams referenced Item No. 14 and spoke in support of promoting Acting Chief Harvey
as Anaheim's Chief of Police. He asked Council to consider the fiscal impacts on the City of
someone already doing a good job and hiring someone else to replace him. He mentioned Item
No. 15 and suggested hiring private security partners, under contract, to watch the parks for the
City. He concluded by saying the City is spending a lot of money in the budget and suggested
not duplicating services that are already being provided.
Pam Donelson spoke in support of Item Nos. 28 and 30 and urged Council to approve the living -
wage ordinance or place it on the November ballot. She shared her experience at the opening of
the Ponderosa Water Park and thanked the City.
Greg Diamond reported the same people that want a study now on the living -wage initiative are
those who will use the study as campaign material in their efforts to defeat the initiative in
November and the same people prevented an assessment of the Anaheim Angel's Stadium. He
opined the study that was used to justify the subsidies of the hotels was terrible and offered to
debate the two people who presented it. He stressed that a study now is not needed and people
calling for one are hypocritical.
COUNCIL COMMUNICATIONS/AGENDA REQUESTS:
Council Member Faessel recognized Fire Chief Randy Bruegman on receiving the Howard Rayan
Distinguish Service Award 2017 for developing Anaheim's first Community Based Strategic Plan
and Standards of Cover. He requested that the meeting be adjourned in the memory of Mike
Tucker and Marie Lenain, two community leaders.
Mayor Pro Tem Moreno requested Interim City Manager Linda Andal to coordinate a meeting with
him and any interested Council Members to meet with Public Works Director and staff, leaders
from trades councils, the school district, and local businesses to discuss the promotion of local
hiring, local contracting, and exploring pipeline approaches through apprenticeship programs.
Council Member Faessel expressed interest in joining the proposed meeting.
Council Member Murray thanked the public for their respectful involvement during the meeting.
She addressed the minimum wage item, reminding residents to take the time to understand the
breadth and scope of what is proposed.
Council Member Kring reported her previous visit to the Iron Works Facility on La Palma and
highlighted benefits of the apprenticeship program.
Council Member Vanderbilt stated that he had the opportunity to visit two trade facilities and is
interested to see the outcome of Mayor Pro Tem Moreno's proposed meeting.
City Council Minutes of June 19, 2018
Page 17 of 38
CITY MANAGER'S UPDATE: None
At 8:32 P.M., Mayor Tait recessed the Anaheim City Council to address the Successor Agency to
the Anaheim Redevelopment Agency and Anaheim Housing Authority agendas, and reconvened
at 8:51 P.M.
CONSENT CALENDAR: At 8:51 P.M., the consent calendar was considered with Mayor Tait
pulling Item No. 14, Mayor Pro Tem Moreno pulling Item No. 05, Council Member Faessel pulling
Items Nos. 12 and 15, and, Council Member Murray pulling Item No. 22 for separate discussion
and consideration.
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 Barnes. ROLL CALL VOTE: AYES — 7: (Mayor
Tait and Council Members Moreno, Murray, Vanderbilt, Barnes, Kring, and Faessel). NOES — 0.
Motion carried.
6. Approve recognition recognizing Working Wardrobes' 28th Anniversary and Tony Lopez
D116 and Joshua Burciaga for their Act of Kindness.
D117 7. Approve the Investment Portfolio Report for May 2018.
8. Accept the bids from Pivot Interiors, Inc. and Goforth & Marti, Inc., in the amounts of
D180 $10,372.23 and $223,668.28 respectively plus applicable tax, to provide lobby and
outdoor furniture from two specified manufacturers for the Anaheim Convention Center, in
accordance with Bid #9138.
9. Accept the bids from Action Door Repair Corporation and All American Lock Corporation,
D180 in the combined not to exceed amount of $187,721, for as needed roll -up door
maintenance and repair for a one year period with up to four one-year optional renewals;
accept the bids from E -Z Automated Systems and Action Door Repair Corporation, in the
combined not to exceed amount of $54,363, for as needed automatic door maintenance
and repair 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 #9129.
D180 10. Accept the bids from Bound Tree Medical and McKesson Medical -Surgical, Inc., in a
combined amount of $146,821.04 plus applicable tax, for the purchase of pharmaceutical
supplies 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 #9136.
11. Waive the sealed bid requirement of Council Policy 4.0 and authorize the Purchasing
D180 Agent to issue a Master Agreement to Accela, Inc., in the amount of $50,137.20, for the
purchase of 50 additional software licenses for the License & Case Management module
of the Accela Civic Platform software program, which includes annual support for the new
licenses in conjunction with existing software license and support agreements.
City Council Minutes of June 19, 2018
Page 18 of 38
AGR- 13. Authorize the Finance Director to deliver a written notice to exercise the purchase option
1464.IV under the Lease -in, Lease -out Transaction of the Sublease with Facility to U.S. Bank
National Association for the Honda Center located at 2695 E. Katella Avenue, and take
the necessary actions in connection therewith.
16. Approve and authorize the City Manager to execute CalWORKs Training Vendor
AGR- Agreements with Brem Industries, Inc., DBA California Career Schools, in the amount of
7158.0 $100,000, and KD Education, LLC, DBA Healthstaff Training Institute, in the amount of
$200,000, for the provision of occupational skills training effective July 1, 2018 through
AGR- June 30, 2020; and authorize the Workforce Development Manager, or authorized
10231.A representatives, to administer the Agreements.
17. Approve the First Amendment to Agreement with Anaheim Transportation Network (ATN)
AGR- granting ATN the right to provide additional public transportation services along the
8758.1 current ATN public route system on an as -needed basis for attendees of events at the
Anaheim Convention Center (ACC); increasing the number of optional renewals at the
City's sole option by four, for a total of five optional one-year renewals bringing the overall
term of the Agreement to six years; increasing the hourly rate payable to ATN by $2.62
per hour for a total of $54.78 per hour for the first additional one-year renewal with a 3%
annual increase for each vehicle requested for ACC attendee shuttles; and increasing the
total compensation by $550,000, for a total not to exceed amount of $850,00; and
authorize the Executive Director of the Convention, Sports & Entertainment Department to
execute the agreement, any other related documents, and take the necessary actions to
implement and administer the agreement.
18. Approve an agreement with Western AV, in the total amount not to exceed $186,815.67
AGR- plus an additional 15% for as -needed extra services, for audio and visual upgrades of four
11140 conference rooms at Anaheim West Tower; and authorize the Public Utilities General
Manager, or designee, to execute the Agreement, and any related documents, and take
the necessary actions to implement and administer the agreement.
19. Approve an agreement with AKM Consulting Engineers, Inc., for a total amount not to
AGR- exceed $968,478 plus an additional 10% contingency for extra services, if needed, to
11141 provide design engineering services for the Linda Vista Complex Pump Station
Improvements Phase 2 Project; and authorize the Public Utilities General Manager, or
designee, to execute the Agreement, and any other related documents, and take the
necessary actions to implement and administer the agreement.
20. Approve a Direct Payment — Letter of Instruction Agreement No. 17Y-1406 (Agreement)
AGR- with the State of California, Department of Community Services and Development to
1865.F.0.1 receive Low -Income Home Energy Assistance Program (LIHEAP) federal grant funding to
be applied to the accounts of eligible Public Utilities Department electric customers; and
authorize the Public Utilities General Manager, or designees, to execute the agreement,
and any related documents, and take the necessary actions to implement and administer
the agreement, and any prior acceptance and disbursement of LIHEAP funds to eligible
electric utilities customers is hereby ratified.
City Council Minutes of June 19, 2018
Page 19 of 38
AGR- 21. Approve Amendment No. 1 to Agreement No. 7185 with PSOMAS, in an amount not to
7185.1 exceed $30,000 increasing the total not to exceed amount to $533,000, for the design and
engineering services for the Anaheim Boulevard and Ball Road Intersection Improvements
Project.
23. RESOLUTION NO. 2018-063 A RESOLUTION OF THE CITY COUNCIL OF THE
R100 CITY OF ANAHEIM authorizing the destruction of certain City records more than two
years old (Audit Division, City Administration, City Attorney, City Clerk, Community &
Economic Development, Community Services, Convention, Sports & Entertainment,
Finance, Fire & Rescue, Human Resources, Planning & Building, Police, Public Utilities,
and Public Works).
E127 24. RESOLUTION NO. 2018-064 A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ANAHEIM calling and giving notice of the holding of a General Municipal
Election to be held on Tuesday, November 6, 2018, for the election of certain officers
required by provisions of Article XIII, Section 1300 of the City Charter.
RESOLUTION NO. 2018-065 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.
RESOLUTION NO. 2018-066 A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ANAHEIM adopting regulations for candidates for elective office pertaining to
candidate statements submitted to the voters at an election to be held on Tuesday,
November 6, 2018.
25. ORDINANCE NO. 6438 (ADOPTION) AN ORDINANCE OF THE CITY OF
ANAHEIM amending Chapters 18.10 (Industrial Zones); 18.14 (Public and Special -
Purpose Zones); 18.36 (Types of Uses); 18.38 (Supplemental Use Regulations) 18.92
(Definitions) and 18.120 (Anaheim Canyon Specific Plan No. 2015-1 (SP 2015-1)) of Title
C280 18 (Zoning) of the Anaheim Municipal Code and finding and determining that this
ordinance is exempt from the requirements to prepare additional environmental
C420 documentation per California Environmental Quality Act (CEQA) Guidelines, Section
15060(c)(2) because it will not result in a direct or reasonably foreseeable indirect physical
change in the environment (Zoning Code Amendment No. 2018-00148; Specific Plan
Adjustment No. 2015-00001 F; DEV2018-00028) (to allow outdoor storage of oversized
and recreational vehicles within the Transition, Open Space, and Industrial Zones and
within Development Areas 1 and 2 of the Anaheim Canyon Specific Plan, subject to the
approval of a Conditional Use Permit) (Introduced at Council meeting of June 12, 2018,
Item No. 30).
ORDINANCE NO. 6439 (ADOPTION) AN ORDINANCE OF THE CITY OF
ANAHEIM amending the zoning map referred to in Title 18 of the Anaheim Municipal
Code relating to zoning (Reclassification No. 2018-00312; DEV2018-00028) (to reclassify
property located at 2720 West Lincoln Avenue from the Multiple Family Residential (RM -
4) to Open Space zone) (Introduced at Council meeting of June 12, 2018, Item No. 30).
City Council Minutes of June 19, 2018
Page 20 of 38
Determine that the proposed Zoning Code Amendment, Specific Plan Adjustment, and
Reclassification are exempt from the California Environmental Quality Act under Section
15060(c)(2) of Title 14 of the California Code of Regulations.
26. ORDINANCE NO. 6440 (ADOPTION) AN ORDINANCE OF THE CITY OF
C280 ANAHEIM amending the zoning map referred to in Title 18 of the Anaheim Municipal
Code relating to zoning and making findings in connection therewith (Reclassification No.
2018-00311; DEV2018-00020) (to reclassify specified park properties owned by the City
of Anaheim from the zones they are currently in to the Public Recreation (PR) Zone)
(Introduced at Council meeting of June 12, 2018, Public Hearing, Item No. 38).
Determine that the proposed ordinance is exempt from the California Environmental
Quality Act under Section 15060(c)(2) of Title 14 of the California Code of Regulations.
D114 27. Approve minutes of Council meetings of October 24, 2017.
END OF CONSENT CALENDAR: 9:39 P.M.
5. Receive and file the Budget, Investment and Technology Commission's recommendation
8105 letter dated June 13, 2018 regarding the fiscal year 2018/19 proposed budget.
Finance Director Debbie Moreno reported the item was an annual review and letter by the
Budget, Investment and Technology Commission. The commission supports the budget, but
expressed areas of concern in the long -run and was interested in looking at ways to cut costs or
raise revenues.
DISCUSSION: Mayor Pro Tem Moreno reported the Chair of the Commission addressed Council
last year and referenced his request to staff for a report on what Commissions and Boards do and
the role they play in advising Council. He noted the Commission's prior recommendations and
asked if there was anything in the budget that was changed as a result of their recommendations.
Finance Director Moreno reported this budget is the City Manager's recommended budget, so the
Commission would not necessarily be making changes to the City Manager's budget but may
make suggestions to Council; the items they listed in their letter are items they may wish to
explore next year.
Council Member Faessel thanked Mayor Pro Tem Moreno for bringing the item forward, noted
City finances are very complex, and felt it would take some time for the Commission to
understand it, but expected to see something more than the letter presented.
MOTION: Mayor Pro Tem Moreno moved to receive and file the Budget, Investment and
Technology Commission's recommendation letter dated June 13, 2018 regarding the fiscal year
2018/19 proposed budget, 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.
City Council Minutes of June 19, 2018
Page 21 of 38
AGR- 12. Waive the sealed bid requirement of Council Policy 4.0 and approve an agreement with
7240.A Superior Property Services, Inc., in an amount not to exceed $1,685,000 per year, for
graffiti removal services for a two-year period beginning in July 2018 with three one-year
optional renewals; and authorize the Purchasing Agent to implement and administer the
agreement and exercise the renewal options.
Deputy City Manager and Building & Planning Director David Belmer presented the report,
addressing the importance of curtailing and removing graffiti in the City and how the City went out
to bid in 2017 for those services. The City received two proposals, both of which exceeded the
City's budget capacity and caused the City to award a one-year extension to the current vendor,
while staff reviewed service models to better align with the City's budget capacity, while not
compromising the intensity of core services. After much discussion and negotiations, it was
decided to continue the contract, as it will provide the best possible service for the best possible
price and the best vendor for that is Superior Property Services.
DISCUSSION: Council Member Faessel noted increasing costs over the years and expressed
concerns with the amount of money it entailed. In response to his inquiry, Community
Preservation Manager Sandra Sagert noted two responses to the RFP were received, one of
which was the current vendor, Superior. Council Member Faessel asked if Clean City
participated in bidding and Ms. Sagert reported they were not qualified as they had to meet
specific/contract requirements, including paying prevailing wages. Superior provides a good
service to the City and participates in many community projects for seniors and veterans. Council
Member Faessel expressed concerns with the increasing contract costs for graffiti removal.
MOTION: Council Member Faessel moved to waive the sealed bid requirement of Council Policy
4.0 and approve an agreement with Superior Property Services, Inc., in an amount not to exceed
$1,685,000 per year, for graffiti removal services for a two-year period beginning in July 2018 with
three one-year optional renewals; and authorize the Purchasing Agent to implement and
administer the agreement and exercise the renewal options, 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.
14. Approve the appointment of Jorge Cisneros to the position of Chief of Police subject to
AGR- pre-employment processes and approve the associated employment agreement.
11139
Interim City Manager Linda Andal presented the appointment of Jorge Cisneros to the position of
Chief of Police and addressed his career experience.
DISCUSSION: Mayor Tait thanked Ms. Andal for running the evaluation and selection process,
thanked Acting Chief Julian Harvey for his service, and welcomed Chief Cisneros to the City.
Chief Cisneros thanked the City, the Mayor, Council, and staff for their consideration and looked
forward to working with the City of Anaheim fighting crime through prevention, intervention, and
enforcement and building confidence in the Department. He commented on his experience in law
enforcement and working in the community.
Council Member Faessel noted there have been residents, during the last several months, who
have been critical of the process and commended Ms. Andal for the fair and professional
evaluation and selection process and welcomed Chief Cisneros on board.
Council Member Murray wished Chief Cisneros the best and noted she was not supportive of
conducting a search for a new Chief while the City conducted a search for a City Manager,
City Council Minutes of June 19, 2018
Page 22 of 38
adding that person should have a role in the process. She added that was not a reflection on
Chief Cisneros as an applicant, but rather she believed a City Manager should have been hired
first, for the sake of the Department and the position. She reported she would vote no in
opposition to the process and not specifically in opposition to Chief Cisneros. She thanked Acting
Chief Julian Harvey, who has served honorably for decades and wished him well.
Mayor Pro Tem Moreno thanked Acting Chief Harvey and his staff for the excellent work including
his support in navigating the Civilian Oversight Board, and the Police Department for its patience.
He congratulated Chief Cisneros and reported he is excited to work with him in the future and
commented positively on his diverse experience.
Council Member Kring expressed her best wishes and agreed with Council Member Murray that
the City should have waited to choose a Police Chief until after the hiring of a City Manager and
reported there was a lot of community support for hiring Acting Chief Harvey.
Council Member Vanderbilt commented positively on the work of Chief Harvey and noted there
are many YouTube videos on Chief Cisneros.
Council Member Barnes welcomed Chief Cisneros to Anaheim and thanked Interim City Manager
Andal and Acting Chief Harvey for their help and service.
MOTION: Mayor Tait moved to approve the appointment of Jorge Cisneros to the position of
Chief of Police subject to pre-employment processes and approve the associated employment
agreement, seconded by Council Member Barnes. ROLL CALL VOTE: AYES — 6: (Mayor Tait
and Council Members Moreno, Vanderbilt, Barnes, Kring, and Faessel). NOES —1: (Council
Member Murray). Motion carried.
15. Approve an agreement with the Savanna Elementary School District to continue providing
AGR- Park Ranger patrols of school facilities for a two-year period, beginning July 1, 2018
5576.H through June 30, 2020.
DISCUSSION: Council Member Faessel asked to discuss this item with staff and asked whether
the City was not already providing the services. Community and Economic Development Director
John Woodhead addressed the scope of work in the agreement.
MOTION: Council Member Faessel moved to approve an agreement with the Savanna
Elementary School District to continue providing Park Ranger patrols of school facilities for two-
year period, beginning July 1, 2018 through June 30, 2020, seconded by Mayor Pro Tem Moreno.
ROLL CALL VOTE: AYES — 7: (Mayor Tait and Council Members Moreno, Murray, Vanderbilt,
Barnes, Kring, and Faessel). NOES — 0. Motion carried.
22. Approve and authorize the City Manager, or designee, to execute a Memorandum of
Understanding and License Agreement, in substantial form, by and between the City of
AGR- Anaheim and the Successor Agency to the Redevelopment Agency, in the amount of
11138 $1.00 annually, for office and program space on the first floor of 290 S. Anaheim
Boulevard for the Chrysalis Employment Program for a two year term with an option to
renew for two additional one-year terms and provide back -stop funding, only as
necessary, in an amount not to exceed $100,000 annually.
City Council Minutes of June 19, 2018
Page 23 of 38
DISCUSSION: Council Member Murray reported she pulled this item because there has been
discussion about the City doing things for $1 per year with non -profits and stressed there are very
important programs where the City has a history and precedent of partnering with other
organizations. She expressed her support of Chrysalis and thanked staff for their excellent work
on this matter.
MOTION: Council Member Murray moved to approve and authorize the City Manager, or
designee, to execute a Memorandum of Understanding and License Agreement, in substantial
form, by and between the City of Anaheim and the Successor Agency to the Redevelopment
Agency, in the amount of $1.00 annually, for office and program space on the first floor of 290 S.
Anaheim Boulevard for the Chrysalis Employment Program for a two year term with an option to
renew for two additional one-year terms and provide back -stop funding, only as necessary, in an
amount not to exceed $100,000 annually, 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.
28. Consider the request by Access California Services to lease a defined site and construct a
D150 new building at Brookhurst Park and direct staff to negotiate terms of a lease agreement
with Access California Services.
Director of Community Services Larry Pasco presented the staff report, stating that Access
California Services (AssessCal) is a California non-profit corporation dedicated to help with
health, linguistic, economic, and community integration of underserved, low-income, immigrant,
and refugee populations. The organization has been based in Anaheim since it was formed in
1998. AccessCal has steadily increased the services it has provided to the community and they
currently lease building space in west Anaheim for their operation. However, they have outgrown
their current space and seek to construct a facility of their own. The Community Services
Department has been in discussions with AccessCal regarding the possibility of granting
AccessCal a lease agreement of city -owned land for the organization to construct a building
capable of housing its operation. Through the discussions, a portion of land located on city
property adjacent to the Brookhurst Community Center has been identified as a desirable site.
The site is approximately 0.7 acres in size and located on the northeast corner of Crescent
Avenue and Ventura Street at Brookhurst Park. AccessCal proposes to construct a two-story
building of approximately 25,000 square feet in size and feature such amenities as classrooms, a
computer lab, adult and child daycare rooms, a youth recreation room, a medical clinic room,
private case management rooms, and a cafeteria. In fall 2016, approximately 100 residents
attended a community meeting at the Brookhurst Community Center to provide interested
residents, particularly those who reside in the area immediately adjacent to the park, an
opportunity to provide their opinion of the proposed facility. During the meeting, several concerns
were raised from the community, including the negative effect of losing existing park space and
the increased traffic and parking requirements that could impact the park and adjacent
neighborhood. Since the meeting, AccessCal leaders have had discussions with city staff in
various departments regarding the concerns expressed by the community. Over the past
months, AccessCal has agreed to many of the recommendations of the community with regard to
design and functionality of the proposed space. On March 8, 2018, the Parks and Recreation
Commission was presented a report on Access California Services and was asked to consider
the request to lease a defined site and construct a new building at Brookhurst Park. The
Commissioners discussed the issue and asked questions of city staff and AccessCal. The
commission voted to not support the project with a vote of two in favor, four against, and one
abstention. Under the terms of a potential agreement between the City and AccessCal,
AccessCal will bear the responsibility for obtaining all permits and the costs for the design,
construction, maintenance, and operational expenses of the facility once constructed. In addition,
City Council Minutes of June 19, 2018
Page 24 of 38
under the terms of such an agreement, the City would have joint use of a portion of the new
facility, including the use of a multi-purpose room when scheduling allows, for community use at
no cost. The term of the potential agreement could be for 35 years with an option to extend the
lease for another 20 -year term. The annual rent for the property would be $1.00 per year, which is
an accepted standard rental rate charged by governmental agencies to partners who provide a
service to residents by use of the leased land. Additionally, under the terms of a potential
agreement, the improvements constructed would become the property of the City at the
termination of the lease
DISCUSSION: Council Member Murray commented positively on Access California and the
services they provide and mentioned major objections she has heard including limited park space
and that the City should not enter into agreements for $1 per year. She noted the City does this
with many other partners in the community to bring quality programs into the City. In terms of
park space, there was an opening today of the Ponderosa facility; Manzanita is using critical
green space for the Boys and Girls Club; and there are other nonprofits similarly partnering with
the City. She believed this warranted a full hearing and public discussion, and therefore, brought
this matter forward.
Mayor Tait commented positively on Access California and on the wonderful work they do. He
agreed with Council Member Murray's comments and expressed support for the item. He voiced
concerns about taking up existing park space.
Council Member Barnes commented on her agenda to improve City parks and have more and
improved park space for residents. In District 1, the need for park space and services has been
ignored by the City for too long. She reported she, along with Council Members Faessel and
Vanderbilt, worked for over a year on the Planning for Parks Subcommittee. The plan was
adopted recently, and she expressed appreciation for that as parks is not a budgeted priority for
the City. She commended the work Access California does and has been working to identify
properties that would be suitable. However, she opposed the plan to lease park space to them
for $1 per year, noting the need to provide more park space (2.5 to 3 acres of park space per
1,000 residents). She opined this plan would only set the City back. Access California provides
many needed services, but they cannot be used by all Anaheim residents. She reported the
Parks Commission voted 4 to 2 to deny the plan and Council has not heard any new information
to cause it to overturn the Commission's position. She stated she would like to move forward,
directing staff to look for other space like it did with Creative Identity and other non -profits making
similar requests.
Council Member Faessel referenced the Parks Plan and noted the number one item voted on by
community members was more park space. He commended Access California and their services
but stated he as not comfortable with leasing them park space. He reported he will continue to
support Access California and would be happy to work with colleagues and staff to find them a
suitable location for their expansion.
Mayor Tait stated AccessCal would dovetail well into an affordable housing development and
agreed with Council Members Barnes and Faessel about the need for more park space. He
stated he could not support the item at this time, but will continue to work to seek other feasible
options or sites for their operation in partnership with the Community & Economic Development
Department.
Council Member Faessel noted there is a significant time constraint on this item and wondered if
there is anything the City can do, immediately, until an adequate facility is found.
City Council Minutes of June 19, 2018
Page 25 of 38
Mayor Pro Tem Moreno noted he was torn between the need for more park space and the need
to provide more facilities for services to young people and their families. He agreed with Council
Member Murray that there should be no opposition to this based on the $1 per year lease
agreement. He mentioned other non -profits with similar agreements and asked whether the City
could terminate those agreements if the need for park space increased.
Mr. Pasco addressed differences in the terms of some of the agreements and reported the City
can make agreements what it wants them to be and can engage in negotiations as directed by
Council.
Mayor Pro Tem Moreno indicated he was opposed to this project from the beginning, as he would
not support taking away an acre of park land. He asked if it was usable space where the City
could create more active parks and asked about the long-term vision for the expansion.
Mr. Pasco reported staff has not discussed expanding upwards, but rather expanding out. There
was a proposal to expand back and discussed about potential for a teen center.
Mayor Pro Tem Moreno noted the City was looking to build family resource centers at Twila Reid
and Maxwell Parks, which will also take up park space, and commented about the need to protect
park space. He questioned whether the City has exhausted every opportunity to look at other
options/sites. He proposed to ask staff to seek other options and return to City Council with a
report. He would support Access California using the proposed space, only if no other option can
be found and it would mean losing their services.
Council Member Murray reported Access California has had other space, but they are not
conducive to the Day Care Center and the children's services they provide. She believed locating
them in a park was a good fit.
MOTION: Council Member Murray moved to approve the request by Access California Services
to lease a defined site and construct a new building at Brookhurst Park and direct staff to
negotiate terms of a lease agreement with Access California Services, seconded by Council
Member Vanderbilt.
Council Member Barnes reiterated her opposition to the item and noted she was trying to
represent her District and do the right thing.
Council Member Kring commented positively on the operation and services provided by Access
California and listed potential locations for consideration.
Mayor Pro Tem Moreno asked if Council Member Murray would consider withdrawing the motion
and instead directing staff to seek other sites and options.
Council Member Murray understood AccessCal has worked with City staff to look at other sites
and asked an AccessCal representative to the podium.
Nahla Kayali stated Access California was willing to work with the City to find a more -suitable
location in west Anaheim.
Council Member Murray withdrew the motion.
MOTION: Council Member Murray moved to direct staff to seek other feasible options/sites and
return to Council within 45 days with report, seconded by Council Member Vanderbilt. ROLL
City Council Minutes of June 19, 2018
Page 26 of 38
CALL VOTE: ROLL CALL VOTE: AYES — 7: (Mayor Tait and Council Members Moreno, Murray,
Vanderbilt, Barnes, Kring, and Faessel). NOES — 0. Motion carried.
29. Discuss status report on local options that may be used to increase the supply of
D155 affordable housing in the City; and provide direction to staff on Councils desire, if any, in
pursuing additional actions, including the potential adoption of a policy statement or
inclusionary housing ordinance aimed at addressing the City's affordable housing needs.
DISCUSSION: Mayor Pro Tem Moreno referenced previous discussions on this topic and felt
some of the neighboring cities, like Tustin, did a nice compromise in dealing with the subject. He
felt if developers ask for something in the City, the City needs affordable housing for extremely -
low and low-income people and should be able to ask for a percentage of the housing to meet the
City's need or pay an in -lieu fee.
Mayor Pro Tem Moreno displayed a PowerPoint presentation addressing income and housing in
Anaheim, 2016 Households by Income, 2010-2014 American Community Services Demographics
Household Income by City District, and Housing Statistics per District. He added the city of
Tustin included an automatic review of their policy and commented on other cities that have an
imposed mandatory inclusionary housing with little effect on development.
Council Member Faessel asked about the effect if the City were to replicate what the city of Tustin
did. Acting Deputy City Manager and Planning and Building Director David Belmer noted most
projects do not require a General Plan amendment or a zone change, but those that do, involve
older sections of the community, where there has been a change in land use. Council Member
Faessel would like to know what the effect has been in Tustin before deciding on this item.
Mr. Belmer addressed options for Council on this matter, including direction to staff.
Council Member Kring stated she would never support inclusionary housing or anything that was
mandated.
Council Member Murray addressed other options discussed previously without including
inclusionary housing. She noted she would not support inclusionary housing.
Mayor Tait asked staff to return with conceptual options to be discussed at a future meeting.
MOTION: Mayor Pro Tem Moreno moved to direct staff to work on a policy/ordinance including
exploring a mandatory inclusionary housing when developers request something from the City
with an automatic review in two years in addition to incentives, seconded by Mayor Tait. ROLL
CALL VOTE: AYES - 3: (Mayor Tait and Council Members Moreno and Barnes). NOES - 4:
(Council Members Murray, Vanderbilt, Kring, and Faessel). Motion failed.
MOTION: Council Member Kring moved to continue this item to a future meeting, seconded by
Council Member Murray. 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 June 19, 2018
Page 27 of 38
30. Initiative Petition for the adoption of an ordinance that would increase the minimum wage
payable by hospitality industry employers located in the Anaheim Resort or Disneyland
E127 Resort Specific Zones that have tax rebate agreements with the City and would require
that service charges imposed by such employers be paid entirely to employees.
RESOLUTION NO. 2018-067 A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ANAHEIM, CALIFORNIA, accepting the certification of the Orange County
Registrar of Voters as to the verification of signatures of the Initiative Petition entitled "An
Initiative Measure to Increase the Minimum Wage Payable by Certain Larger Hospitality
Industry Employers Located within the Anaheim Resort or Disneyland Resort that have
Tax Rebate Agreements with the City, and to Require that Service Charges Imposed by
such Employers be Paid Directly to Employees".
Approve an increase to the City Clerk's fiscal year 17/18 budget by $55,216 to cover the
cost of certification of the initiative petition by the Orange County Registrar of Voters.
Upon acceptance of the certification of the Orange County Registrar of Voters as to the
verification of signatures of the minimum wage initiative; and in accordance with the
requirements of Section 1303 of the City Charter and Section 9215 of the California
Elections Code, approval of one of the courses of action:
A. ORDINANCE NO. (INTRODUCTION) AN ORDINANCE OF
THE CITY OF ANAHEIM, CALIFORNIA adopting 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, pursuant to the provisions of Section
1303 of the Anaheim City Charter and Section 9215 of the elections code of the
State of California.
•u
B. RESOLUTION NO. 2018-068 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 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.
In the event the City Council adopts Resolution B above, it is recommended that the City
Council also adopt the following Resolution:
RESOLUTION NO. 2018-069 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
November 6, 2018, with the Statewide General election to be held on that date
pursuant to Sections 10403 and 10418 of the Elections Code.
City Council Minutes of June 19, 2018
Page 28 of 38
OR
C. Order a report on the effect of the proposed initiative measure pursuant to Section
9212 of the Elections Code to be presented to the City Council no later than July
17, 2018.
City Attorney Robert Fabela presented the report stating that on June 14 the Registrar of Voters
notified the City Clerk that the initiative petition had the requisite number of signatures to qualify
for the ballot and certified the results. As result of the certification, the City Council must take one
of the following actions: (i) adopt the initiative without alteration; (ii) order the submission of the
initiative without alteration to the voters at the next regular election on November 6, 2018; or (iii)
order a fiscal impact report to be presented to the City Council at the next meeting of July 19,
2018.
MOTION: Mayor Tait moved to adopt RESOLUTION NO. 2018-068 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 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,
seconded by Mayor Pro Tem Moreno.
AMENDED MOTION: Council Member Kring moved to order a report on the effect of the
proposed initiative measure pursuant to Section 9212 of the Elections Code to be presented to
the City Council no later than July 17, 2018. Motion died for lack of a second.
DISCUSSION: In response to Council Member Murray's inquiry, Mayor Tait restated his motion.
Mr. Fabela explained, per Elections Code Section 9212, the decision to request a report must
occur before either action (A or B) was made. Council Member Murray believed Council should
discuss the option of conducting an economic analysis to learn the possible effects of the initiative
to the City, its businesses, and residents.
Mayor Tait noted whether an economic study was done, the matter would still be sent to the
voters. He opined a study would be a waste of money and the item should not be delayed by
requesting one.
Council Member Faessel felt this has potential economic consequences, one way or another, and
agreed sending the matter to a vote of the people but would like to see a financial impact report.
He stated he would not support the present motion on the table.
Council Member Barnes felt the people have spoken, after much discussion and study, and noted
an economic study would take months to complete.
Council Member Vanderbilt asked whether the City was obligated to conduct an economic
analysis and whether it would be part of the sample ballot. Mr. Fabela stated there was no
mechanism for making it part of the ballot. An economic study would be made public and subject
to discussion before Council makes its decision to adopt the initiative or send it to the voters. It
would be an education tool for Council to consider whether to approve the initiative or send it to
the voters.
Interim City Manager Linda Andal stated a fiscal analysis report was not outlined in the Election
Code but indicated Council could direct an impartial analysis to be included in the Sample Ballot
City Council Minutes of June 19, 2018
Page 29 of 38
as well as arguments for and against the measure. That would also be an additional cost to the
City.
Acting City Clerk Theresa Bass reported the estimated cost is $8,500 for adding a measure onto
the ballot.
Ms. Andal reported adding the fiscal impact report would be another $8,500 as it is not generally
included in a Sample Ballot.
Mr. Fabela added the reports were supposed to be unbiased. The impartial analysis would be an
interpretive device and not necessarily an impact report. He added conducting the report itself
was estimated to be $30,000.
Mayor Tait stressed Council's job was to put the measure on the ballot and stated a fiscal impact
report was not needed to place the measure on the ballot. The other option of approving the
ordinance outright was not right, in his opinion, as that is not what the people asked.
Acting Assistant City Manager Greg Garcia addressed what would likely be included in a fiscal
impact report. He noted extreme time limitations to get a report and within time to place the
measure on the ballot and opined there as no way to get a robust and comprehensive report in
time.
Mayor Tait feared the City would get an inaccurate or rushed report or a wrong report, which were
worse than no report.
Council Member Kring noted there were many people who have indicated they want a fiscal
impact report and felt the City owed it to them to do one. She feared if it passed, there was a
possibility that three major hotel projects will never be completed and there was a risk for the loss
of 3,000 jobs.
Council Member Murray could not understand why Council would not want to do a fiscal impact
study to inform residents of the economic impacts of the measure. She believed the City
Manager would have to arbitrate in the future for any employee who wants the fee, and if they are
not accommodated, they have the right to sue independently or as part of a class action suit. She
wondered if Anaheim would be a party to every potential litigation thereafter and opined this was
broadly written, vague, and with little definition. She expressed concerns with limiting information
and discussion, deception, and reported it was sold as a measure to make Disney pay its fair
share, when it will affect small businesses on a far greater scale than Disney or any other hotelier
that would receive City subsidies. There is no understanding how this will affect thousands of
businesses in the City and she spoke in support of a study, noting she wants residents to be
informed and armed with the data.
In reply to Council Member Vanderbilt's question, Mr. Garcia reported the City was limited, based
on the Elections Code, and other jurisdictions have been in similar situations. Some have chosen
to conduct studies months in advance, before qualification, but per the Elections Code, there
were only thirty days from the time the Elections official qualifies it for the ballot. He felt the
consultant will not provide a wrong report but will provide one that was high-level.
Mayor Pro Tem Moreno noted this was agendized early and there was a robust debate, yet
Council Member Murray voted against the study asking, instead, to wait for the certification of
signatures. He opined a study or economic analysis cannot be done in thirty days. It seems
most people who spoke in opposition cite data that there will be a loss of 3,000 jobs, so they have
City Council Minutes of June 19, 2018
Page 30 of 38
already made their decisions. He believed there will be two campaigns, one for and one against,
and both groups will do their own analysis and be well-informed.
Mayor Tait called for a recess at 11:33 P.M. and reconvened the meeting at 11:35 P.M. with all
Council Members present.
MOTION: Mayor Tait moved to adopt RESOLUTION NO. 2018-067 A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, accepting the certification of
the Orange County Registrar of Voters as to the verification of signatures of the Initiative Petition
entitled "An Initiative Measure to Increase the Minimum Wage Payable by Certain Larger
Hospitality Industry Employers Located within the Anaheim Resort or Disneyland Resort that
have Tax Rebate Agreements with the City, and to Require that Service Charges Imposed by
such Employers be Paid Directly to Employees" and approve an increase to the City Clerk's fiscal
year 17/18 budget by $55,216 to cover the cost of certification of the initiative petition by the
Orange County Registrar of Voters, seconded by Mayor Pro Tem Moreno. ROLL CALL VOTE:
AYES — 5: (Mayor Tait and Council Members Moreno, Vanderbilt, Barnes, and Faessel). NOES
— 2: (Council Members Murray and Kring). Motion carried.
MOTION: Mayor Tait moved to adopt RESOLUTION NO. 2018-068 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 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,
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.
MOTION: Mayor Tait moved to adopt RESOLUTION NO. 2018-069 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
November 6, 2018, with the Statewide General election to be held on that date pursuant to
Sections 10403 and 10418 of the Elections Code, seconded by Mayor Pro Tem Moreno. ROLL
CALL VOTE: AYES — 5: (Mayor Tait and Council Members Moreno, Vanderbilt, Barnes and
Faessel). NOES — 2: (Council Members Murray and Kring). Motion carried.
PUBLIC HEARING:
31. Public hearing on the Fiscal Year 2018/19 budget, budget appropriations limits for the City
D106 and its Community Facilities Districts, and changes in various fee schedules.
A. RESOLUTION NO. 2018-070 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM adopting the fiscal year 2018/19 budget.
B. RESOLUTION NO. 2018-071 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the annual appropriations
limit for the fiscal year 2018/19.
City Council Minutes of June 19, 2018
Page 31 of 38
RESOLUTION NO. 2018-072 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the Community Facilities
District No. 06-2 (Stadium Lofts) annual appropriations limit for the fiscal year
2018/19.
RESOLUTION NO. 2018-073 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the Community Facilities
District No. 08-1 (Platinum Triangle) annual appropriations limit for the fiscal year
2018/19.
C. ORDINANCE NO. (INTRODUCTION) AN ORDINANCE OF
THE CITY OF ANAHEIM amending Chapter 17.08 (Subdivisions), Chapter 17.34
(Development Fees) and Chapter 17.36 (Public Safety Facilities and Vehicle
Equipment Impact Fees) of Title 17 (Land Development and Resources) of the
Anaheim Municipal Code and finding and determining that this ordinance is not
subject to the California Environmental Quality Act (CEQA) pursuant to Section
15060(c)(2), 15060(c)(3) and 15061(b)(3) of the State CEQA Guidelines, because
it will not result in a direct or reasonably foreseeable indirect physical change in
the environment because there is no possibility that it may have a significant effect
on the environment and because it is not a project as defined in Section 15378 of
the CEQA.
Ordinance continued to a future date.
RESOLUTION NO. 2018-074 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM adopting a new schedule of fees, charges and rates
for building, construction, and National Pollutant Discharge Elimination System
(NPDES) permits, services and activities.
RESOLUTION NO. 2018-075 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM adopting a schedule of fees for services rendered by
the Office of the City Clerk.
RESOLUTION NO. 2018-076 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM establishing fees charged for Community Services
Department programs and services.
RESOLUTION NO. 2018-077 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM establishing life safety division fees to be charged by
the Fire and Rescue Department of the City of Anaheim and rescinding Resolution
No. 2013-122.
RESOLUTION NO. 2018-078 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM establishing paramedic fees to be charged by the
Fire and Rescue Department of the City of Anaheim and rescinding Resolution No.
2009-116.
City Council Minutes of June 19, 2018
Page 32 of 38
RESOLUTION NO. 2018-079 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM amending and restating fee and rate schedules for
planning, zoning and environmental petitions, applications, permits, approvals,
appeals and inspections.
RESOLUTION NO. 2018-080 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM amending fees to be charged for certain services
provided by the Anaheim Police Department.
RESOLUTION NO. 2018-081 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM adopting a schedule of fines for false alarms
pursuant to Section 4.95.120 of Title 4 of the Anaheim Municipal Code.
RESOLUTION NO. 2018-082 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM adopting new fee schedule for the Public Works
Department of the City of Anaheim.
RESOLUTION NO. 2018-083 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM approving and adopting the recommendation of the
Library Board of the Anaheim Public Library to establish and /or increase fines and
fees.
RESOLUTION NO. 2018-084 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM adopting a schedule of fees for citywide copy
services.
RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM amending Public Safety Facilities and Vehicle and
Equipment Impact Fees.
Resolution continued to a future date.
RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM approving the amount of the Park -In -Lieu Fee and
rescinding Resolution No. 2011-085 and Resolution No. 2011-086.
Resolution continued to a future date.
RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM amending the fee schedule for the Community
Services Department, Library Division of the City of Anaheim.
Resolution continued to a future date.
RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM amending the fee schedule for the Department of
Public Works of the City of Anaheim related to Impact Fees.
Resolution continued to a future date.
City Council Minutes of June 19, 2018
Page 33 of 38
D. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM amending the schedule of rates, fees and charges for
rental of space, parking and for certain labor, equipment and services at the
Anaheim Convention Center effective July 1, 2018.
Resolution continued to July 17, 2018.
E. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM adopting a revised schedule of permit parking fees
and rescinding Resolution No. 2016-011 and determining such actions are exempt
from the California Environmental Quality Act (CEQA) pursuant to Section
15060(c)(2), 15060(c)(3) and 15061(B)(3) of the State of California Guidelines for
implementation of CEQA (Anaheim Municipal Code Section 14.32.450).
Resolution continued to July 17, 2018.
RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM amending Resolution No. 93R-153 to add civil
penalties for violations of Section 14.32.206 of the Anaheim Municipal Code
(Parking of Oversized Vehicles -Restricted).
Resolution continued to July 17, 2018.
Determine that the above actions are not subject to the California Environmental
Quality Act (CEQA) pursuant to Section 15060(c)(2), 15060(c)(3) and 15061(B)(3)
of the State of California Guidelines for implementation of CEQA.
F. RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF ANAHEIM adopting a revised schedule of sanitation fees and
charges for wastewater and solid waste and rescinding Resolution No. 2017-108
and determining such actions are exempt from the California Environmental
Quality Act pursuant to Public Resources Code Section 21080(b)(8) and Guideline
Section 15273(a).
Resolution continued to July 17, 2018.
Interim City Manager Linda Andal introduced the item and addressed prior budget workshops and
user and developer impact fees and adjustments. She deferred to Finance Director/City
Treasurer Debbi Moreno for a report.
Ms. Moreno presented an overview of the FY 2018/19 Proposed Budget and addressed citywide
uses by Department, by Funds, General Fund Five -Year Forecast, Annual Appropriation Limits,
Proposed Fee Changes, and Action Items.
DISCUSSION: In reply to Council Member Faessel's question regarding fees and their impact on
Shopoff, Ms. Moreno reported the goal in this process was to simplify it and ensure that everyone
had a level playing field. Therefore, staff consolidated land uses and applied fees citywide. If a
developer is building outside the Platinum Triangle, he/she would likely see fee increases
because there are new fees that were not being charged previously. The biggest component
would be the park fee and that was done based on the maximum fee in the Platinum Triangle,
which will now be applied citywide. The City's park fee is in the middle, compared to other
Orange County cities, and considers the City's need for more park space. The City is proposing
to take a leap and simplify calculations to increase the revenues available for anticipated needs.
City Council Minutes of June 19, 2018
Page 34 of 38
It has been a long time since the City made any adjustments and although they are a big step,
they will not be in the future. Council Member Faessel noted Anaheim's park fees are in the 30th
percentile in the region and the proposed changes will put them at mid-level.
Mayor Tait stated Council Member Faessel's reference to Shopoff makes him uncomfortable, as
they are a client of his. He asked him to delay comments regarding the firm until later, when the
Mayor will recuse himself. He asked colleagues to limit their initial discussions to Items A. and B.
Mayor Pro Tem Moreno expressed concerns with staffing and feared the City will lose good
employees and asked if there was anywhere in the budget where staffing was being increased.
Finance Director/City Treasurer Moreno stated there was nothing significant in terms of staffing
increases. Mayor Pro Tem Moreno asked whether there was an opportunity in the budget where
the City could implement some staffing recommendations that were made in the Parks Plan.
Finance Director/City Treasurer Moreno responded there were not, without making cuts in other
areas or having a budget that was out of balance. She added there were some proposed user
fees that could possibly be used to address some of those issues.
Mayor Pro Tem Moreno stated he has made the request and felt it would be up to staff to present
what items can be cut to address it. Finance Director/City Treasurer Moreno reported if Council
wanted to make cuts for significant changes in one Department, other Departments would be
decimated. He asked that at the mid -budget review, staff present options of where Council can
start looking, within the budget, to add staffing.
Ms. Andal noted staff has increased the number of budget workshops and in terms of process, in
future years, his request could be addressed. In terms of this budget, there was an expectation
to approve a balanced budget this fiscal year; staff has made projections and adjustments to
continue to maintain balance while funding pension liabilities as well. She agreed, going forward,
additional discussions can occur, and staff can look at the process and consider possibly
reorganizing rather than making cuts and have Council be more involved in the process.
However, staff is very limited in the budget this fiscal year.
Mayor Pro Tem Moreno opined what was missing was the deliberative process. Ms. Andal
agreed to look at the process and ensure there was more deliberation, going forward, but adding
staff at this point would increase the City's liability.
Council Member Murray referenced the five-year forecast and asked whether the proposed fees
were included, and Finance Director/City Treasurer Moreno stated they were not and reported
fees would be added after adoption of the budget. She reported the user fees, as proposed,
would generate approximately $1 million the first year.
Council Member Kring stated she will support the budget but asked if there were any Department
Heads who complained they do not have enough staff. Finance Director/City Treasurer Moreno
reported there are not. She wondered what kind of staffing was needed if -there were no
complaints.
Ms. Andal reported staff was doing a lot more and a full-time position was added at Ponderosa.
The City is also spending resources on homelessness and staff is spread a little thin because
they are doing more. She felt every organization always needs more staff, but the City is working
with what it has.
Council Member Faessel commented on the need for more staffing in parks for security, safety,
and timelier repairs, and voiced his support. He noted there was no money to make changes but
City Council Minutes of June 19, 2018
Page 35 of 38
would like to take another look at park staffing in the future. He voiced his support for the budget
but expressed disappointment that the City cannot do some things Council and the community
feel are important.
Council Member Murray noted it was important not to wait until the budget adoption but to work
with staff in advance. She reported park maintenance is a high priority and suggested Council
colleagues start working with them now rather than later.
In reply to Mayor Pro Tem Moreno's question, Finance Director/City Treasurer Moreno reported
the projected four-star hotels were included as part of the projections. Mayor Pro Tem Moreno
noted you cannot have it both ways; those hotels are not built and they may not be built.
Council Member Kring reported the four-star hotels were included because they were in the
planning stages and noted the need for them; but to date, nothing has been given away.
Mayor Tait opened the public hearing.
Mayor Tait declared a potential conflict and left the Chambers at 12:29 A.M. on June 20, 2018.
Adam Wood, BIA/OC, referenced development impact fees, noting they do not conform to the
standard of "an increase of at most 15V noting housing impact fees will increase dramatically
and opined it represented 100% increase. He urged Council not to increase housing production
costs by millions of dollars, as proposed. He added many cities do not charge public service fees
such as for Police and Fire services. He asserted Council's vote directly influences the
affordability situation within the City and asked that Council not approve the impact fees but give
the matter more consideration.
James O'Malley, Shopoff Investments, reported the overall design of their project was for
obtainable housing and expressed concerns with fee increases. He opined increases were not
15%, but rather 78% for the apartment component of their project and 56% for the for -sale
component. He noted that increases in development fees go right to the consumer and asked
Council to consider that. He distributed copies of a document for Council's review.
Mayor Pro Tem Moreno asked whether cities can charge any fees.
Mr. O'Malley reported they agreed to a fee schedule that coordinates with the size of units and
the number of units. There is an expanded fee schedule that is being advertised as a 15%
increase and urged Council to understand that any increases go to the consumer.
Mayor Pro Tem Moreno indicated whenever there is discussion about fee increases developers
are opposed but do not offer suggestions or solutions.
Adam Wood, BIA/OC, referenced an article stating 32% of a home's cost, nationwide, goes to
development fees. He reported it is his job to try to streamline things as much as possible and
opined when someone is paying for a house, they should be paying for a house, and not the
process.
Bryan Kaye distributed copies of his comments and commented on a volunteer graffiti cleanup
that changed the culture of the area. He stated Mayor Pro Tem Moreno speaks about making
Anaheim safer, but wondered how that is done by ignoring Police reports, like the one he just
submitted. He alleged an Anaheim Police Officer set off pipe bombs around the City, stalked his
family, and sent him over 700 hate messages. He stated reports and complaints must be
addressed immediately and commented on things his mother taught him. He alleged the Police
City Council Minutes of June 19, 2018
Page 36 of 38
are violating the law and use forged documents. He added these are expensive to the City's
budget.
Ryan Balius commented on potential increases in park in -lieu fees and felt the City should not be
in the business of subsidizing private development. He suggested the City consider applying the
park in -lieu fees in commercial developments as well, as employees and patrons of commercial
developments benefit from open space and parks and take away from potential acreage that
could be available for future park locations. Additionally, he believed the proposed increases do
not come close to what the City needs to recover its costs and asked Council to consider raising
fees to market rates with provisions for future CGI increases and reallocate private subsidies for
the good of Anaheim residents.
Grant Henninger opined the budget does not seem detailed enough and suggested a more -
detailed budget in future years.
Mayor Pro Tern Moreno closed the public hearing.
Mayor Tait returned to the Chambers and took his place on the dais at 12:59 A.M. on June 20,
2018.
MOTION: Council Member Kring moved to adopt RESOLUTION NO, 2018-070 A
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the fiscal year
2018/19 budget; RESOLUTION NO. 2018-071 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the annual appropriations limit for the fiscal
year 2018/19; RESOLUTION NO. 2018-072 A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the Community Facilities District No. 06-2
(Stadium Lofts) annual appropriations limit for the fiscal year 2018/19; and, RESOLUTION NO.
2018-073 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM,
CALIFORNIA, adopting the Community Facilities District No. 08-1 (Platinum Triangle) annual
appropriations limit for the fiscal year 2018/19, seconded by Council Member Barnes. ROLL
CALL VOTE: AYES — 7: (Mayor Tait and Council Members Moreno, Murray, Vanderbilt, Barnes,
Kring, and Faessel). NOES — 0. Motion carried.
Mayor Tait declared a potential conflict on Item No. 31.0 and left the Chambers at 1:01 A. M. on
June 20, 2018,
MOTION: Council Member Kring moved to continue the impact fees to a future date which
include the ordinance and the last four resolutions of Item 31.C, seconded by Council Member
Faessel. ROLL CALL VOTE: AYES — 4: (Council Members Vanderbilt, Barnes, Kring, and
Faessel). NOES — 1: (Council Member Murray). ABSTENTION — 2: (Mayor Tait - declared a
conflict, and Mayor Pro Tem Moreno). Motion carried.
At the suggestion of Ms. Andal, Council discussed removing Items 31.D, 31.E, and 31.F to a
future agenda.
In response to Mayor Pro Tem Moreno's question regarding bringing the items back to a future
meeting, Ms. Andal requested bringing them back at a later date, when staff was prepared.
Discussion followed regarding the need for additional discussions regarding fees and for
additional stakeholder input.
City Council Minutes of June 19, 2018
Page 37 of 38
MOTION: Council Member Kring moved to approve Items No. 31.D, 31.E and 31.F, seconded by
Council Member Faessel. ROLL CALL VOTE: AYES — 3: (Council Members Barnes, Kring, and
Faessel). NOES — 1: (Council Member Murray). ABSTAIN — 3: (Mayor Tait - declared a conflict,
and Council Members Moreno and Vanderbilt). Motion failed due to tie vote. Items No. 31.D,
31.E and 31.F were continued to the City Council meeting of July 17, 2018.
Mayor Tait returned to the dais at 12:59 A.M. on June 20, 2018.
PUBLIC HEARING:
32. CEQA MITIGATED NEGATIVE DECLARATION
C220 CONDITIONAL USE PERMIT NO. 2017-05927
VARIANCE NO. 2018-05106
(DEV2017-00035)
LOCATION: 1601 South Anaheim Boulevard
APPLICANT: Rob Mitchell, Greenlaw Partners, LLC, 8301 Von Karman Avenue, Suite
250, Irvine, CA 92612; Walter C. Bowen, BDC/Anaheim, LLC, 1331 NW Lovejoy Street,
Portland, OR 97209
REQUEST: A conditional use permit for the approval of a hotel with a greater building
height and higher floor area ratio than allowed by the Code, and a variance for fewer trees
along the Interstate 5 frontage than required by the Code. The proposed project includes
a 12 -story, 326 -room hotel and a four -level parking garage. The hotel would include
amenities on the ground level, including a swimming pool, restaurant, meeting space,
fitness room, coffee shop, and gift shop. The 12th floor would include a rooftop pool, sun
deck, and restaurant and bar. The roof -top restaurant and bar is proposed for hotel guest
use only.
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 CEQA Mitigated Negative Declaration, Conditional Use Permit No. 2017-05927
(Resolution No. PC2018-025), and Variance No. 2018-05106 (Resolution No. PC2018-
026). Vote: 4-1 (Chairperson Pro -Tempore Lieberman and Commissioners Armstrong,
Carbajal and Gillespie voted yes. Commissioner White voted no. Chairperson Dalati and
Commissioner Keys were absent.) Motion Carried. (Planning Commission meeting of April
30, 2018)
(Appealed by Ada Tamayo and UNITE HERE Local 11).
RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ANAHEIM to adopt a Mitigated Negative Declaration for proposed Conditional
Use Permit No. 2017-05927 and Variance No. 2018-05106 (DEV2017-00035; 1601 South
Anaheim Boulevard)
RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ANAHEIM approving Conditional Use Permit No. 2017-05927 and Variance No.
2018-05106 and making certain findings in connection therewith (DEV2017-00035; 1601
South Anaheim Boulevard).
RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ANAHEIM denying Conditional Use Permit No. 2017-05927 and Variance No.
City Council Minutes of June 19, 2018
Page 38 of 38
2018-05106 and making certain findings in connection therewith (DEV2017-00035; 1601
South Anaheim Boulevard).
Item No. 32: Public Hearing was withdrawn by the appellant.
REPORT ON CLOSED SESSION ACTIONS: None
COUNCIL COMMUNICATIONS/AGENDA REQUESTS:
Mayor Pro Tem Moreno wished everyone a Happy Fourth of July and announced the summer
public swim hours; requested proclamations for Mental Health Awareness Month and Somos
Anaheim; announced that there will be a District 3 Community Meeting on Thursday, June 28th at
6:30 P.M. at the Church of Latter Day Saints, 440 North Loera Street where an update to the
homelessness situation will be discussed; and wished everyone a Happy Juneteenth,
commemorating the Emancipation Proclamation of 1865.
Council Member Vanderbilt requested an item be placed on the future agenda for the City
Manager to meet with hoteliers that have been impacted by the initiative to discuss another
pathway to an alternate measure that does not include language impacting adjacent businesses
and removes the role of the City Manager to serve as the arbitrator in the process, as well as
includes language pertaining to an increase in minimum wage closer to the Los Angeles hotel
arrangement, and have a component that would accept an offer by the hoteliers to create a
community benefit fund directed towards addressing homelessness, affordable housing, and
neighborhood improvements.
Council Member Faessel requested to recognize Peter Bowen for his service at Servite High
School; thanked Public Utilities for installing new street lights in various areas of District 5;
highlighted the K9 training that occurred in District 5; reported that there will be a District 5
community meeting follow-up posted soon; and mentioned a presentation by Neal Kelley, Orange
County Registrar of Voters, where he discussed voter fraud and security.
Mayor Tait reported that last week, he attended the United States Conference of Mayors in
Boston, MA and was a guest speaker at the Annual CEO Summit and Mayor's College at Yale
University.
ADJOURNMENT:
With no further business before the City Council and without objection, Mayor Tait adjourned the
meeting of June 19, 2018 at 1:25 A.M. on June 20, 2018, in memory of Mike Tucker and Marie
Lenain.
Res pectf y -submitted,
resa Bass C C
Assistant City Clerk