1977/09/20 77-1042
City Ha!l~ Anaheim~ California - COUNCIL MINUTES - September 20; 1977~ 1:30 P.M.
The City Council of the City of Anaheim met in regular session.
PRESENT:
ABSENT:
PRESENT:
COUNCIL MEMBERS: Kaywood, Seymour, Kott, Roth and Thom
COUNCIL MEMBERS: None
CITY MANAGER: William O. Talley
CITY ATTORNEY: William P. Hopkins
CITY CLERK: Linda D. Roberts
STADIUM-CONVENTION CENTER-GOLF DIRECTOR: Tom Liegler
FINANCE DIRECTOR: George P. Ferrone
PERSONNEL DIRECTOR: Garry McRae
UTILITIES DIRECTOR: Gordon Hoyt
SYSTEMS ANALYST: Robert Erickson
ASSISTANT DIRECTOR FOR ZONING: Annika Santalahti
Mayor Thom called the meeting to order and welcomed those in
attendance to the Council meeting.
INVOCATION: Reverend Kim Saville of St. Michael's Episcopal Church gave the
Invocation.
FLAG SALUTE: Councilman Don Roth led the assembly in the Pledge of Allegiance
to the Flag.
135: PRESENTATION - FIRST OFFICIAL CITY GOLF CHAMPION: Mayor Thom and Mr. Tom
Liegler, Stadium-Convention Center-Golf Director, presented a trophy to Mr. Jerry
Wisz, who became the City's first official golf champion in conjunction with the
First Annual Golf Tournament held in honor of H. G. "Dad" Miller's 100th birthday
on September 10 and 11, 1977. The Council commended Mr. Wisz for his outstanding
game.
MINUTES: On motion by Councilwoman Kaywood, seconded by Councilman Roth, minutes
of the Anaheim City Council regular meetings held August 16 and 30, 1977 were
approved subject to corrections. MOTION CARRIED.
WAIVER OF READING - ORDINANCES AND RESOLUTIONS: Councilwoman Kaywood moved to
waive the reading, in full, of all ordinances and resolutions and that consent
to the waiver of reading is hereby given by all Council Members unless, after
reading of the title, specific request is made by a Council Member for the read-
ing of such ordinance or resolution. Councilman Roth seconded the motion. MOTION
UNANIMOUSLY CARRIED.
FINANCIAL DEMANDS AGAINST THE CITY in the amount of $726,876.51, in accordance
with the 1977-78 Budget, were approved.
174: SCAG APPLICATION FOR BONUS UNITS OF SECTION 8 HOUSING: On motion by Council-
woman Kaywood, seconded by Councilman Seymour, a letter of support regarding the
Southern California Association of Governments' application for a special allocation
of Section 8 Housing Funds was authorized. MOTION CARRIED.
128: SALE OF TAX ANTICIPATION NOTES: Mr. George Ferrone', Finance Director,
recommended that Revenue Anticipation Notes in the amount of $5,000,000, to
mature June 30, 1978, be sold at an interest rate of 3.42% per annum, plus a
premium of $14.00, to Security Pacific National Bank, the successful low bidder
for these notes.
77-1043
City Hall~ Anaheim~ California - COUNCIL MINUTES - September 20~ 1977~ 1:30 P.M.
Councilman Seymour offered Resolution No. 77R-624 for adoption, authorizing the
sale of tax anticipation notes, as proposed by the Director of Finance in his
memorandum dated September 13, 1977. Refer to Resolution Book.
RESOLUTION NO. 77R-624: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM
PROVIDING FOR THE BORROWING OF FUNDS FOR THE 1977-1978 FISCAL YEAR AND THE.
ISSUANCE AND SALE OF NEGOTIABLE NOTES THEREFOR.
Roll Call Vote:
AYES:
NOES:
ABSENT:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
Kaywood, Seymour, Kott, Roth and Thom
None
None
The Mayor declared Resolution No. 77R-624 duly passed and adopted.
153: NEW JOB CLASSIFICATION - GOLF SERVICES COORDINATOR: In answer to Councilman
Kott, Mr. Liegler explained that the subject position was previously administered
by a CETA employee, and although this employee did an excellent job, it was~ difficult
for a non-full-time employee to supervise a full-time person, thus the request for
the creation of a new classification.
Councilman Roth offered Resolution No. 77R-625 for adoption, effective September 16,
1977, as recommended in memorandum dated September 14, 1977 from Personnel Director
Garry McRae. Refer to Resolution Book.
RESOLUTION NO. 77R-625: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM
ESTABLISHING A NEW JOB CLASSIFICATION AND AMENDING RESOLUTION NO. 76R-681, PER-
TAINING TO SOME UNREPRESENTED CLASSIFICATIONS.
Roll Call Vote:
AYES:
NOES:
ABSENT:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
Kaywood, Seymour, Kott, Roth and Thom
None
None
The Mayor declared Resolution No. 77R-625 duly passed and adopted.
153: NEW JOB CLASSIFICATION - NEW BUSINESS REPRESENTATIVE: Both the Mayor and
Councilman Kott posed several questions relative to the proposed new job classifi-
cation wherein Personnel Director McRae assured the Council that the action re-
quested merely created a new classification and no new position was involved.
Further discussion followed between Council and staff relative to the establishment
of new job classes, at the conclusion of which it was ascertained that the present
method of creating new classifications was the most expedient, thus eliminating the
need for creating a new system that would be more time consuming and costly.
Councilwoman Kaywood offered Resolution No. 77R-626 for adoption, effective
September 16, 1977, as recormnended in memorandum dated September 14, 1977 from
the Personnel Director. Refer to Resolution Book.
77-1044
City Hall~ Anaheim~ California - COUNCIL MINUTES - September 20~ 1977~ 1:30 P.M.
RESOLUTION NO. 77R-626: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM
AMENDING RESOLUTION NO. 76R-673 AND CREATING THE NEW JOB CLASS OF NEW BUSINESS
REPRESENTATIVE.
Roll Call Vote:
AYES:
NOES:
ABSENT:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
Kaywood, Seymour, Kott, Roth and Thom
None
None
The Mayor declared Resolution No. 77R-626 duly passed and adopted.
153: CREATION OF NEW PUBLIC SERVICE EMPLOYMENT JOB CLASSES: On the advice of
the City Attorney, Councilman Roth abstained from voting on the subject out-stationed
job classes at the Salvation Army because of a possible conflict of interest since
he was a member of the Salvation Army Advisory Committee.
Councilwoman Kaywood offered Resolution No. 77R-627 for adoption, effective
September 2, 1977, as recommended in memorandum dated September 13, 1977 from
the Personnel Director. Refer to Resolution Book.
RESOLUTION NO. 77R-627: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM
ESTABLISHING NEW JOB CLASSIFICATIONS AND AMENDING RESOLUTION NO. 76R-312.
Roll Call Vote:
AYES: COUNCIL MEMBERS: Kaywood, Seymour, Kott and Thom
NOES: COUNCIL MEMBERS: None
ABSTAINED: COUNCIL MEMBERS: Roth
ABSENT: COUNCIL MEMBERS: None
The Mayor declared Resolution No. 77R-627 duly passed and adopted.
105: APPOINTMENT TO PROJECT AREA COMMITTEE: On motion by Councilman Thom, seconded
by Councilman Seymour, Mr. Edward Minor, 220 North Vine Street, was appointed to
the Project Area Committee for Project Alpha to fill the unexpired term of Gant'
Eichrodt ending June 30, 1978. MOTION CARRIED.
158: SALE OF CITY-OWNED PROPERTY AT ORANGEWOOD AVENUE AND RAMPART STREET: (Proposed
Matlow-Kennedy agreement) On motion by Counilwoman Kaywood, seconded by Councilman
Thom, the proposed agreement with Matlow-Kennedy Corporation regarding the sale of
City-owned property at Orangewood Avenue and Rampart Street and lease of a portion
of the Stadium parking lot, was continued one week at the request of staff with
the concurrence of the developer. MOTION CARRIED.
108: ENTERTAINMENT PERMIT: (continued from September 13, 1977) On motion by
Councilman Seymour, seconded by Councilwoman Kaywood, Entertainment Permit Appli-
cation for the Crescendo, 1721 South Manchester, for Las Vegas-type shows, Monday
through Sunday, 10:00 A.M. to 2:00 A.M. was approved as recommended by the Chief
of Police. MOTION CARRIED.
160: PURCHASE OF EQUIPMENT - FIFTY 150 KVAR, 7200-VOLT CAPACITORS - BID NO. 3285:
On motion by Councilman Roth, seconded by Councilwoman ~mywood, the {owest evaluated
bid of the McGraw-Edison Company was accepted and purchase authorized in the amount
of $18,285, including tax, as recommended by the Purchasing Agent in his memorandum
dated September 12, 1977. MOTION CARRIED.
77-1045
City Hall, Anaheim, California - COUNCIL MINUTES - September 20~ 1977~ 1:30 P.M.
175: RETAIL ELECTRIC RATES AND RELATED BUDGETARY ACTION~ WATER COMMODITY AGREEMENT
AND NEGATIVE DECLARATIONS: Utilities Director Gordon Hoyt referred to memorandum
dated September 20, 1977 which he submitted as Secretary of the Public Utilities
Board and related document dated September 14, 1977 relative to the proposed
electric rate increase with attached supporting documents giving a detailed expla-
nation as well as rate comparisons between Anaheim and Edison (on file in the City
Clerk's Office). The Public Utilities Board recommended the following rate increases:
13% - residential; 9.5% - commercial; 15.5% - industrial; 18% - agricultural;
11.8% - street lighting, and 17% - municipal. It was also the intent of the
Public Utilities Board to accomplish an equal rate of return for all classes over
a three-year period and the proposed increases represented the first step in that
direction.
Mr. Hoyt further briefed the Council on his September 14, 1977 report relative
to proposed reductions in the Budget which his Department believed were necessary
to accomplish a pay-as-you-go program and in order to have electric rates that
were realistic yet do the job for the community (Items 3 through 7 of the subject
report). The effect of the changes to the Utilities Department would be approximately
$2,890,000 in reductions which he felt would work out satisfactorily during the
current year.
Mr. Hoyt further explained that the proposed increases would cause Anaheim's rates
to be in excess of Edison's for a couple of months, but in November or December
Anaheim's rates would again be slightly lower than that of California Edison Company
since they were planning to file for another increase on October 1, 1977 to be
effective November 1, 1977. He also confirmed that the commodity clause in the
water rates would be activated if the City Council established the new recommended
electric rates and noted in memorandum dated September 15, 1977 that two corrections
were in order: (1) paragraph 2, line 2, should read, September 1, 1977 instead of
October 1, and (2) in line 8, September 21 should read October 1, 1977. The effect
of the increase would raise the average residential consumers bill from $6.14 to
$6.24 per month, producing offsetting revenues of $70,000 for the water utility.
Mayor Thom questioned Mr. Hoyt relative to the precise difference between Edison
rates and Anaheim rates in each of the classes outlined after the new rates would
be applied, as well as equalization in rate of return.
Mr. Hoyt explained that in terms of consumption, the average residential customer
used 500 kwh per month which would be 2.5 percent of California Edison's rates
as of today. A consumer using 1,4001 kwh would be 5.5 percent above; small
commercials would be from equal to Edison to approximately 1.6 percent above;
larger commercials would be from equal to approximately 5.7 percent and large
industrials would be from 3.4 to 5.8 percent of Edison rates as of the present.
However, he expected those percentages to shift in November or December with
residential customers equal to or approximately i percent below Edison; commercial
customers 2 to 5.5 percent under; with larger users 2.7 to 6.1 percent under;
and large industrials from 2.9 to 6.2 percent under Edison rates.
Mr. Hoyt further explained that the rate of return had nothing to do with comparison
of rates with other companies and then explained the two basic areas involved for
rate making purposes, one being that the serving utility was entitled to recover
ali expenses incurred from each class of customer it served. In addition, there was
a certain investment in capital facilities in the rate base and the investment was
allocated to these various classes based on a number of criteria. The rate of return
77-1046
City Hall, Anaheim~ California - COUNCIL MINUTES - September 20~ 1977~ 1:30 P.M.
on rate base thus produced the money to be used for pay-as-you-go capital, and that
was the primary reason for it; obtain monies from customers today to pay for capital
improvements to be made in the fiscal year. Lastly, rate of return established
various reserve funds which were required. Rate of return had to do with only one
part of rate making and not with comparison of cost of service with any competition.
It was a complicated subject, and he emphasized the Board worked with it diligently
for weeks until they felt comfortable with dealing with it.
Further discussion followed between Mr. Hoyt, Mr. Bob Erickson, Systems Analyst,
and Council Members Thom and Seymour relative to average consumption and how
the main average figures were derived, although it was generally agreed that
"average" was difficult to define. It was stated by Mr. Hoyt, however, that of
all the energy sold, 53 percent was under 300 kwh.
Councilman Seymour then posed two questions to Mr. Hoyt: (1) relative to rate
of return as outlined on Page 1 of his memorandum dated September 14, 1977 which
included provisions for reaching equal rates of return in all classes in three
years and (2) queried the proposed $50,000 budget cut in Utilities, reducing the
Management Services Division.
A lengthy discussion followed wherein Mr. Hoyt elaborated and reiterated some of
the points regarding the formula and effect of rate of return which would occur
after the proposed rates recommended by the PUB were put into effect. Ail customer
classes would thus produce a 14.2 percent rate of return within a three-year period.
Councilman Seymour contended if that were so, then the disparity between residential
and commercial rates was going to change. For example, if the system had a rate of
return of 14.2 percent -- residential 7.3 percent, commercial 29.8 percent, and indus-
trial 12.2 percent; then, co~mmercial and industrial would be getting a break over
residential classes. Although Mr. Hoyt conceded this was true, it was a matter of
remidents not getting the benefit that they had been getting in the past.
Mr. Hoyt continued by explaining that relative to the California Public Utilities
Commission, electric rate making was not going to be based as much on cost of
service as it would be on other factors, such as inverted rate schedules. Thereby,
they would not be following the cost of service requirement which Anaheim estab-
lished by the 1976 Charter Amendment. Thus, looking into the future, if the CPUC
continued rate making, there would be a different relationship between the City's
and Edison's various customer classes. He could not predict the outcome, but it
was his opinion that the City's industrial customers would benefit because they
would have rates based on cost of service, rather than on social matters.
Relative to the $50,000 proposed Budget cut in the Management Services Division,
Mr. Hoyt stated that the effect would be to delay some management information
system development in progress which would have been developed during the course
of the fiscal year, eliminating new programs.
Councilman Seymour was concerned that in eliminating $50,000 that might be more
properly invested into a better management program or data that would make the
operation more efficient and cost effective, could, in the final analysis, eliminate
the possibility of bringing about $60,000 to $80,000 in savings if such programs
were implemented.
77-1047
City Hali~ Anaheim, California - COUNCIL MINUTES - September 20~ 1977~ 1:30 P.M.
The Mayor commented on the fact that, as outlined on page 4 of Mr. Hoyt's
September 14, 1977 memorandum, the proposed utility budget changes would produce
a savings of $2,890,700. Coupled with that savings, if the Utilities were relieved
of the responsibility of making any contribution to the General Fund resulting in
approximately $5 million, he maintained an electrical rate increase would not be
necessary and asked for confirmation by Mr. Hoyt.
Mr. Hoyt was not of the opinion that it would work out in quite that fashion. He
explained that Utilities would produce approximately $5,366,000 in the current
fiscal year when the proposed rates and budget cuts went into effect, thus balancing
the budget. If an additional cut of approximately $2 million were made, that would
have to come from the $5,366,000, still resulting in the need to raise at least one-
half that amount. Mr. Hoyt then relayed projected percentages of increases that
were expected to take place the following year and thereafter through 1983. By
that time, it was anticipated that some of the present proposed generation projects
would be producing revenue. He further elaborated on three pending fuel cost adjust-
ment cases being held before the Federal Power Commission against SCE, the outcome
of which, if favorable for the City, would be of significant monetary value to
Anaheim.
Councilwoman Kaywood commented on one of the exhibits presented which was a letter
outlining Southern California Edison's "plot" to eliminate municipal competition
by a well planned, organized campaign in the 1960s. She asked that the material
be typed out so that it could be read more clearly as the copy was very poor.
Councilman Kott commented on Mr. Hoyt's position on the electrical rates and concluded
by stating that if the large companies could deliver at a better price, he was ques-
tioning why the City should continue fighting the issue.
Mr. Hoyt emphasized that the main point was exactly that, the large companies were
not delivering at a better price and they had not done so except for a few recent
months, at one point in 1974, and for a few months in the future, but for the rest
of the time, 82 years, the City's rates were under those of Edison's, plus a greater
contribution was being made to the community. Since the recent Charter Amendment
limited the amount of money that could be transferred to the General Fund, money
would go back into the pockets of the people of the community and also their rates
would be less. He also pointed out that rates would decrease after the City's first
generating units were in operation. Otherwise, there was no way to produce savings;
the City had to produce electricity and for less money than it could be purchased
from Edison. If the City never went into generation, there would be no way to save
generation money. It would start approximately 1981 or 1982 with savings of about
$600,000 that year, going through 1990 to a savings of approximately $87 million
that would stay in the community. Those figures were derived from studies that
had been made by independent consulting engineers.
Additional discussion followed wherein Councilman Kott expressed the opinion that
under the proposed increase, the residential taxpayer was being asked to pay
approximately 400 percent more than what he supposedly saved by the recent tax
decrease, and he personally would have preferred to see the tax figures remain
as they were since they were a deductible item, thus benefiting the homeowners,
rather than increasing the cost of electricity to the extent where the budget could
be met.
77-1048
City Hall~ Anaheim, California - COUNCIL MINUTES - September 2p~ 1977~ 1:30 P.M.
Councilman Seymour took issue with the fact that Councilman Kott was confusing the
matter by mixing property taxes with utility revenues, whereas any businesslike
approach to govern the City required that the utilities be kept separate, distinct,
and as far away as possible from the rest of the activities of the bureacracy.
Further discussion followed between Councilman Seymour, Mr. Talley and Mr. Hoyt
relative to Item No. 5 of the September 14, 1977 report which outlined the proposed
sale of the Utilities' rolling stock in the amount of $465,000 to the equipment
rental fund of the City's General Fund'which, in effect, was ascertained to be a
paper transfer.
In concluding, Councilman Seymour stated he was prepared to support the recommenda-
tion of the Public Utilities Board relative to the proposed increases and commended
them for the Job they had done in debating, reworking and trimming the Utility opera-
tion to the bone, as well as their initial attempt in trying to equal rates of return
for the various customer classes. As well, he was confident that the soon-to-be
appointed ad hoc committee to study the question raised by Councilmen Kott and Thom
relative to selling the utility would be positively answered in the negative; although
the City's rates at present reflected a small increase over Edison, the City could
look in the not-too-distant future to where these rates would again be below Edison's,
just as they had been for 82 years.
ENVIRONMENTAL IMPACT REPORT - NEGATIVE DECLARATION - ELECTRIC AND WATER RATES:
On motion by Councilman Seymour, seconded by Councilman Roth, the City Council
finds that these activities will have no significant effect on the environment and
are exempt from the requirement to prepare an environmental impact report. MOTION
CARRIED.
RESOLUTION: Councilman Seymour offered Resolution No. 77R-628 for adoption approving
the recommendation of the Public Utilities Board on electrical rate increases.
Before a vote was taken, the Mayor indicated that although he could find no fault
with the PUB or their recommendation other than the general fault that he found
with the City being in the utility business, any time a money movement game had
to be played on paper in order to make something work out right, to him this was
some form of deception. He also considered the City's Utilities to be out of the
league relative to the large utility companies. Thus, he would be casting a "no"
vote.
Councilman Kott stated that he, too, would be voting "no" because, in addition to
the Mayor's comments, if he could see no advantage for the citizens of the community
in terms of profit or benefit, there was no advantage in continuing in the business.
Although he agreed with Councilman Seymour's philosophy, it was his opinion that
the lower rates experienced for 82 years would not hold true for the future.
Councilwoman Kaywood contended that if there should ever be a sale to Edison, be-
cause they were a monopoly, they could then charge any amount they wished with no
competition. There would be no thanks from the citizens for such an unrestricted
move, especially considering all the years of lower rates under Anaheim's ownership.
A vote was taken on the foregoing resolution. Refer to Resolution Book.
77-1049
City .Hall.. Anaheim, California - COUNCIL MINUTES - Septemb. er 20~ 1977, 1:30 P.M.
RESOLUTION NO. 77R-628: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM
AMENDING THE RATES, RULES AND REGULATIONS FOR THE SALE AND DISTRIBUTION OF
ELECTRIC ENERGY AS ADOPTED BY CITY COUNCIL RESOLUTION NO. 71R-478 AND AMENDED BY
CITY COUNCIL RESOLUTION NOS. 73R-25, 73R-373, 73R-531, 74R-75, 74R-630, 75R-243,
75R-344, 75R-345, 76R-41, 76R-377, 76R-528, 76R-817 AND 77R-464.
Roll Call Vote:
AYES:
NOES:
ABSENT:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
Kaywood, Seymour and Roth
Kott and Thom
None
The Mayor declared Resolution No. 77R-628 duly passed and adopted.
On motion by Councilman Seymour, seconded by Councilman Roth, the requested
budgetary actions as outlined in report dated September 14, 1977 by the Secretary
of the Public Utilities Board Gordon Hoyt, were approved. Councilmen Kott and Thom
voted "No". MOTION CARRIED.
123: RECOMMENDATION BY THE PUBLIC UTILITIES BOARD TO AMEND AN AGREEMENT WITH
R. W. BECK AND ASSOCIATES: At the request of Councilman Kott, Mr. Hoyt briefed
the Council on the need for the proposed amendment to the existing agreement with
Beck, as outlined in memorandum dated September 12, 1977 wherein the PUB recommended
approval.
After a short discussion with Mr. Hoyt relative to the matter, Councilman Kott
stated that he did not look favorably upon the issue.
Councilman Seymour offered Resolution No. 77R-629 for adoption increasing the
amount of a Revenue Bond Project contract with R. W. Beck and Associates in the
amount of $25,000 was approved. Refer to Resolution Book.
RESOLUTION NO. 77R-629: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM
APPROVING AN INCREASE OF $25,000.00 IN THE MAXIMUM COMPENSATION TO BE PAID TO
R. W. BECK & ASSOCIATES PURSUANT TO THAT AGREEMENT BETWEEN THE CITY OF ANAHEIM
AND R. W. BECK & ASSOCIATES DATED APRIL 15, 1975.
Roll Call Vote:
AYES:
NOES:
ABSENT:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
Kaywood, Seymour and Roth
Kott and Thom
None
The Mayor declared Resolution No. 77R-629 duly passed and adopted.
RECESS: By general consent, the City Council recessed for 10 minutes. (3:10 P,M.)
AFTER RECESS: Mayor Thom called the meeting to order, all Council Members being
present with the exception of Councilman Seymour. (3:20 P.M.)
77-1050
City Hall~ Anaheim~ California - COUNCIL MINUTES - September 20~ 1977~ 1:30 P.M.
120: PETITION FOR STOP SIGNS~ PICADILLY WAY AND BUCKINGHAM STREET: Request by
Susan Di?asqua for installation of stop signs at Picadilly Way and Buckingham
Street, together with a letter dated September 1, 1977 from the City Engineer,
was submitted.
No one was present in the Council Chamber relative to the request, and the City
Council took no action at that time.
REQUEST FOR REHEARING ON VARIANCE NO. 2955: On motion by Councilman Roth, seconded
by Councilman Kott, request by Harold G. Morehead, Investors Real Estate Services,
for a rehearing on Variance No. 2955, to construct two commercial buildings on CL
zoned property located southwest of Orange and Magnolia Avenues, with various code
waivers, was granted, subject to payment of a $50 fee to help defray legal publi-
cation costs. Councilman Seymour was temporarily absent. MOTION CARRIED.
CONSENT CALENDAR ITEMS: On motion by Councilwoman Kaywood, seconded by Councilman
Roth, the following actions were authorized in accordance with the reports and
recommendations furnished each Council Member and as listed on the Consent
Calendar Agenda:
1. 118: CLAIMS AGAINST THE CITY: The following claim was denied and referred
to the City's self-insurance administrator:
a. Claim submitted by Patrick J. Shortle for personal injuries purportedly sus-
tained as a result of a slip and fall accident at Anaheim Stadium on or about
July 4, 1977.
2. CORRESPONDENCE: The following correspondence was ordered received and filed:
a. - 114: City of Fountain Valley Resolution No. 7496 disapproving the policy of
the Orange County Tax Assessor in prematurely releasing assessed valuation figures.
b. 105: Housing Commission Resolution No. HC77-2 amending the by-laws of the
Housing Commission by deleting Section 400 relating to establishment of time and
place of regular meetings.
c. 105: Housing Commission Resolution No. HC77-3 establishing the time and place
of regular meetings on the first Wednesday of each month at 7:00 P.M., Conference
Room of the Anaheim Redevelopment Agency.
d. 105: Housing Commission - Minutes of August 24, 1977.
e. 156: Monthly Report, August 1977 - Police.
f. 105: HACMAC - Minutes of August 16 and 30, 1977.
g. 105: Project Area Committee - Minutes of August 23, 1977.
h. 102: Orange County Vector Control District - Minutes of August 18, 1977.
3. 174: BROOKHURST PARK COMMUNITY BUILDINGs. STAGE II CONSTRUCTION~ CHANGE ORDER
NO. 3: Authorization for Change Order No. 3 in the amount of $4,888.20, Near-Cal
Corporation, Contractor, was approved, bringing the original contract amount to
$814,226.10.
Councilman Seymour was temporarily absent. MOTION CARRIED.
77-1051
.City Hall~ Anaheim, California - COUNCIL MINUTES - September 20~ 1977, 1:30 P.M.
CONSENT CALENDAR ITEMS: Councilman Roth offered Resolution Nos, 77R-630 through
77R-633, both inclusive, for adoption in accordance with the reports, recommenda-
tions and certifications furnished each Council Member and as listed on the Consent
Calendar Agenda. Refer to Resolution Book.
158: RESOLUTION NO. 77R-630: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ANAHEIM ACCEPTING CERTAIN DEEDS AND ORDERING THEIR RECORDATION. (Bob L. Watson,
et ux,; Ronald B. Donaldson, et ux.; Effie Swanholm; Agapito M. Hernandez; Bruce
Healey; Kenneth W. Watson, et ux.; Gladys L. Snodgrass, et al.; Val M. Lester, et ux.;
La Vere H. Barney, et ux.)
RESOLUTION NO. 77R-631: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM
FINDING AND DETERMINING THAT PUBLIC CONVENIENCE AND NECESSITY REQUIRE THE CONSTRUC-
TION AND COMPLETION OF A PUBLIC IMPROVEMENT, TO WIT: LINCOLN AVENUE MEDIAN ISLAND
STREET IMPROVEMENT, EUCLID TO WESTERN, IN THE CITY OF ANAHEIM, PROJECT NO. 13-4309-
724-16-1000; APPROVING THE DESIGNS, PLANS, PROFILES, DRAWINGS, AND SPECIFICATIONS
FOR THE CONSTRUCTION THEREOF; AUTHORIZING THE CONSTRUCTION OF SAID PUBLIC IMPROVE-
MENT IN ACCORDANCE WITH SAID PLANS, SPECIFICATIONS, ETC.; AND AUTHORIZING AND
DIRECTING THE CITY CLERK TO PUBLISH A NOTICE INVITING SEALED PROPOSALS FOR THE
CONSTRUCTION THEREOF. (Bids to be opened October 20, 1977, 2:00 P.M.)
RESOLUTION NO. 77R-632: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM
FINDING AND DETERMINING THAT PUBLIC CONVENIENCE AND NECESSITY REQUIRE THE CONSTRUC-
TION AND COMPLETION OF A PUBLIC IMPROVEMENT, TO WIT: GOLF DRIVING RANGE AT H. G.
"DAD" MILLER-ANAHEIM MUNICIPAL GOLF COURSE, IN THE CITY OF ANAHEIM, PROJECT NO.
33-4309-981-21-9001; APPROVING THE DESIGNS, PLANS, PROFILES, DRAWINGS, AND
SPECIFICATIONS FOR THE CONSTRUCTION THEREOF; AUTHORIZING THE CONSTRUCTION OF
SAID PUBLIC IMPROVEMENT IN ACCORDANCE WITH SAID PLANS, SPECIFICATIONS, ETC.;
AND AUTHORIZING AND DIRECTING THE CITY CLERK TO PUBLISH A NOTICE INVITING
SEALED PROPOSALS FOR THE CONSTRUCTION THEREOF. (Bids to be opened October 20,
1977, 2:00 P.M.)
151: RESOLUTION NO. 77R-633: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ANAHEIM APPROVING THE TERMS AND CONDITIONS OF AN ENCROACHMENT PERMIT AND
AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE SAID ENCROACHMENT PERMIT WITH
R.O.V.I., PACIFIC REALTY CORPORATION. (76-21E)
Roll Call Vote:
AYES:
NOES:
TEMPORARILY ABSENT:
ABSENT:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
COUNCIL MEMBERS:
Kaywood, Kott, Roth and Thom
None
Seymour
None
The Mayor declared Resolution Nos. 77R-630 through 77R-633, both inclusive, duly
passed and adopted.
Councilman Seymour entered the Council Chamber. (3:25 P.M.)
CITY PLANNING COMMISSION ITEMS: The following actions taken by the City Planning
Commission at their meeting held August 29, 1977, pertaining to the following
applications were submitted for City Council information.
77-1052
City Hall, Anaheim~ California - COUNCIL MINUTES - September 20~ 1977~ 1:30 P.M.
1. RECLASSIFICATION NO. 77-78-5: Submitted by Texaco Anaheim Hills, Inc., for
a change in zone from RS-A-43,000(SC) to RM-4000(SC) on property located on the
north side of Canyon Rim Road, west of Serrano Avenue.
City Planning Commission Resolution No. PC77-186 approved negative declaration
status and granted Reclassification No. 77-78-5.
2. RECLASSIFICATION NO. 77-78-15 AND VARIANCE NO. 2958: Submitted by Helen K.
De Wars, for a change in zone from CG to RM-1200 to construct a 20-unit apartment
complex on property located at 2611 West Lincoln Avenue with code waiver of minimum
building site width.
City Planning Commission Resolution Nos. PC77-187 and PC77-188 approved negative
declaration status and granted Reclassification No. 77-78-15 and Variance No. 2958
respectively.
3. VARIANCE NO. 2665 (READVERTISED~: Submitted by Lawrence A. Muckenthaler, to
consider revised plans for a 150-uni~ apartment complex on CL zoned property
located at 1619 West Crescent Avenue.
City Planning Commission Resolution No. PC77-185 approved negative declaration
status and granted Variance No. 2665.
4. CONDITIONAL USE PERMIT NO. 1739: Submitted by Raymond E. and May M. Perrier,
to permit a skate board park on ML zoned property located on the west side of
Blue Gum Street, south of Miraloma Avenue.
City Planning Commission Resolution No. PC77-189 approved negative declaration
status and denied Conditional Use Permit No. 1739.
5. CONDITIONAL USE PERMIT NO. 1740: Submitted by State College Anaheim Center,
to permit a drive-through restaurant on CL zoned property located north and west
of the northwest corner of La Palma Avenue and State College Boulevard with code
waiver of minimum number of parking spaces.
City Planning Commission Resolution No. PC77-190 approved negative declaration
status and granted Conditional Use Permit No. 1740.
6. CONDITIONAL USE PERMIT NO. 1743: Submitted by Harry and Lillian Sham, et al.
to permit a tractor an~ trailer storage facility on ML zoned property located at
the cul-de-sac terminus of White Star. Avenue.
City Planning Commission Resolution No. PC77-191 approved negative declaration
status and granted Conditional Use Permit No. 1743.
7. VARIANCE NO. 2847 - TERMINATION: Submitted by Ken Doi requesting termination
of Variance No. 2847 to permit 8 "picnic-type" tables in front of an existing
delicatessen/convenience market on CL zoned property located at 2960 West Lincoln
Avenue.
City Planning Commission Resolution No. PC77-192 terminated Variance No. 2847.
77-1053
City Hall~ Anaheim~ California - COUNCIL MINUTES - September 20~ 1977~ 1:30 P.M.
8. VARIANCE NO. 2849 - EXTENSION OF TIME: Request of Vic Peloquin for a one-year
extension of time to Variance No. 2849 for the retail sale of sandwiches on ML
zoned property located at 3445 "C" East La Palma Avenue.
The City Planning Commission granted Variance No~ 2849 a one-year extension of
time to expire on September 27, 1978.
9. 134: GENERAL PLAN AMENDMENT NO. 144: Public hearing on General Plan Amendment
No. 144 was set for October 26, 1977 by the City Planning Commission for Item Nos.
1, 3 and 4; Item No. 2 was continued to the meeting of September 12, 1977:
1) North and south side of Vermont Avenue between Harobr Boulevard and Lemon
Street.
2) North side of Simmons Avenue, east of Haster Street and generally west of
Vern Street.
3) 90 acres north of Canyon Rim Road, west of proposed Serrano Avenue; and 296
acres south of Nohl Ranch Road, north of the ridgeline.
4) Open Space ELement of the General Plan, to include Open Space (OS) zone.
The following item was considered by the City Planning Commission at their meet-
ing held September 12, 1977:
GENERAL PLAN AMENDMENT NO. 144: Request regarding the north side of Simmons
Avenue, east of Haster Street and generally west of Vern Street.
No action was taken by the City Planning Commission.
170: TRACT NO. 8560 (REVISION 4) - APPROVAL OF SPECIFIC FLOOR PLANS: Submitted
by G. L. Lewis Company, requesting approval of specific floor plans and elevations
for Lots 22 through 27 of Tract No. 8560 (Revision 4), comprised of 80 RS-HS-22,000
zoned lots on property located southerly of Santa Ana Canyon Road, east of Imperial
Highway.
On motion by Councilman Seymour, seconded by Councilman Roth, specific floor plans
for Tract No. 8560 (Revision 4) were approved, as recommended by the City Planning
Commission. MOTION CARRIED.
RECLASSIFICATION NO. 76-77-51~ APPROVAL OF FINAL SPECIFIC PLANS: Application by
William P. Bredger, proposed CL zoning, northeast corner of Katella Avenue and
Easy Way, request for final specific floor plans, elevations, and plot plans for
eastern portion of the site.
On motion by Councilman Seymour, seconded by Councilman Roth, final specific floor
plans, elevations and plot plans for the eastern portion of the Subject site,
Reclassification No. 76-77-51, were approved. MOTION CARRIED.
144 & 155: ROOF-MOUNTED SOLAR COLLECTOR PANELS IN THE SCENIC CORRIDOR OVERLAY
ZONE: Proposed amendment to Section 18.84.042.012 of the Code to require condi-
tional use permits for roof-mounted solar collector panels in the Scenic Corridor
Overlay Zone.
77-1054
City Hall~ Anaheim, California - COUNCIL MINUTES - SeptEmber 20~ 1977~ 1:30 P.M.
MOTION: Councilman Seymour moved approval of the proposed amendment as recommended
by the City Planning Commission.
Before a vote was taken, the Mayor interjected that it was his understanding the
Code was going to be rewritten eliminating the need for conditional use permits
relative to the solar collector panels.
Miss Santalahti explained that the Code specifically prohibited roof-mounted
equipment in the SC Zone, but the Planning Commissioners felt that prior to
allowing this type of equipment, they would like to see different instances or
examples to determine what could be done relative to solar equipment. They
wanted an opportunity to talk with several manufacturers to ascertain what they
could offer which would be acceptable in the Scenic Corridor. Presently, the
Code implied that a variance needed to be filed; thus the applicant would have
to show a hardship. Under a conditional use permit, this would not have to be
established, and an opportunity for evaluating the specific design proposed
would be provided. A filing fee of $125 would be the same.
Councilman Roth took issue with the fee involved and maintained that special compen-
sation should be provided for people willing to invest money in solar heating that
would ultimately be of benefit to all in terms of energy conservation.
Councilwoman Kaywood suggested that a fee of $25 would be reasonable just for
solar panels.
MOTION: Councilman Roth moved that the Code be amended to allow solar panels in
the Scenic Corridor Overlay Zone by conditional use permit only with a special
fee structure of $25. Councilwoman Kaywood seconded the motion.
Before a vote was taken, Councilman Kott commented that although he did not object,
he would prefer that the fee be waived entirely if the City was trying to encourage
such installation.
Councilman Seymour agreed with Councilman Roth's intention and would support the
motion or no fee at all, but he was of the opinion that the City was still in a
position of reacting to what was presented, whereas the Council's original inten't
was to act and set up guidelines. Such guidelines might take three or four years
to formulate in order to evaluate a sufficient number of specific proposals so as
to finally amend the ordinance to permit such installations. He recomended that
various solar-type purveyors be contacted to show their products and from that
evaluation, choose aesthetically pleasing and satisfactory solar panels, subsequently
adopting an amendment to the Code that would permit solar installations without
the necessity of handling such requests one at a time. Although $25 was a
reasonable fee, the "red tape" was still involved and if the proposed motion were
approved, the City would still be reacting instead of acting.
At the conclusion of further Council discussion, Councilman Seymour withdrew his
motion, and a vote was taken on Councilman Roth's motion, incorporating the recom-
mendation of the City Attorney that staff be directed to prepare a resolution
establishing the $25 fee and an ordinance permitting roof-mounted solar collector
panels in the SC Zone by conditional use permit. MOTION CARRIED.
77-1055
_City Hall~ Anaheim~ California - COUNCIL MINUTES - September 20~ 1977, 1:30 P.M.
RECLASSIFICATION NO. 76-77-49~ CONDITIONAL USE PERMIT NO. 1703 AND EIR NO. 202:
Submitted by Holly Wade Tuszewski, for a change in zone from RS-A-43,000 to eL,
and certain code waivers to permit a resource recovery and recycling operation
on property located at 3200 Frontera Street.
City Planning Commission Resolution Nos. PC77-183 and PC77-184 certified EIR No.
202 and granted Reclassification No. 76-77-49 and Conditional Use Permit No.
1703, respectively.
Councilwoman Kaywood requested that subject reclassification and conditional use
permit be removed from the consent calendar and set for public hearing.
144 & 174: ORDINANCE NO. 3771: Councilwoman Kaywood offered Ordinance No. 3771
for first reading.
ORDINANCE NO. 3771: AN ORDINANCE OF THE CITY OF ANAHEIM REPEALING CHAPTER 6.04
OF TITLE 6 OF THE ANAHEIM MUNICIPAL CODE AND ADDING NEW CHAPTER 6.04 TO TITLE 6
IN ITS PLACE AND STEAD RELATING TO EMERGENCY SERVICES.
SHOW PERFORMANCE AT PEARSON PARK THEATER: Councilwoman Kaywood explained that she
had attended the Saturday night performance, September 17, 1977, of Fiddler on the
Roof at the Pearson Park Theater and was pleased with the professionalism of the
performance and encouraged attendance at the next performance, September 24, 1977.
She commented that the new seating was a beneficial adjunct to the theater.
THIRD ANNUAL SENIOR HEALTH FAIR: Councilwoman Kaywood attended the Senior Health
Fair at La Palma Park on Sunday, September 18, 1977 and commended Anaheim Memorial
Hospital and the Parks, Recreation and the Arts Department relative to the Fair's
success.
146: SANTA ANA RIVER FLOOD PROTECTION AGENCY: Councilwoman Kaywood reported that
SARFPA had received money for the Prado Dam and flood control, which monies had
not yet been released by the United States Office of Management and Budget.
Councilman Roth answered he was aware of the activity.
175: COMMENTS RELATIVE TO THE SETTING OF ELECTRICAL RATES: Councilman Seymour
expressed his concern relative to the action of both Councilmen Kott and Thom
in their dissenting vote setting electrical rates, as well as the same action
previously taken by both. Although he had no concern with the expression of
their philosophical opinions, he was concerned over the fact that the City had
a business to run and since it had not been decided to sell the Utility, he
considered it to be fiscally irresponsible to cast a vote which, if it were
carried, would cause the financial bankruptcy of the utility operation unless
another source of revenue was created. 'He recommended that Councilmen Kott and
Thom either consider changing their positions relative to the running of the
utility business as long as the City owned it or until the voters decided the
City should no longer own it, or they should be very clear in their votes and state-
ments that their actions were based only on philosophical principles, rather than
on the day-to-day running of the business.
Mayor Thom stated that his was a philosophical view as previously explained.
77-1056
_.C_$.ty Hall~ Anaheim, California - COUNCIL MINUTES - September 20~ 1977~ 1:30 P.M.
120: COMPLAINT - DANGEROUS CONDITIONS EXISTING AT ROUTE 57 FREEWAY AND CHANTILLY
STREET: Councilman Seymour explained that there were people in the Council Chamber
from the area of the Route 57 Freeway who were and had been confronted with a very
serious problem personafied as a result of a freeway accident over the weekend.
Mrs. Linda Michaels, 873 South Chantilly, explained that a 4-wheeler truck was
cut-off on the Route 57 Freeway and as a result ran through her backyard fence
demolishing approximately 18 feet and finally coming to rest in her backyard.
She stressed that the truck could have .come over her fence and~killed her children.
She also noted that the fences to the rear of her home and others were not up to
Code, since the homes involved were built in 1962. After the accident, she contacted
all Council Members, Governor Brown's Office, Assemblymen, newpapers and attorneys
from Caltrans. Of 26 homes on Chantilly Street, 7 had been involved in vehicular
accidents from the freeway, and she emphasized her concern that if the situation
was allowed to continue, eventually a fatality would be involved. The noise was
also a deterrent to the neighborhood.
Mr. Frank Gleason, 840 South Chantilly, stated that backyards on that portion of
Chantilly Street could not be used nor were children allowed to play in them be-
cause of the danger involved. They needed some temporary relief, either trees
or a barrier. When the freeway was to be built, they were told it would be 25 feet
below ground level; however, because of budget restrictions, it was built level
with their homes. It was also difficult to obtain any financing on the homes as
a result of the existing situation, causing depreciation of the property. Both he
and Mrs. Michaels were looking to the City for relief from an unlivable situation.
The Mayor explained the ongoing efforts the City had put forth with the State re-
garding the matter, but thus far to no appreciable avail.
Councilwoman Kaywood stated that she personally had been working for years on the
matter with Orange County Supervisor Ralph Clark and they had been ignored by the
State Highway Commission. The State of California and particularly Caltrans
were very difficult to work with. Money was budgeted for next year for Caltrans
to construct a sound barrier which could serve as a means of sound attenuation
and protection to the residents. She favored a metal sound barrier for safety
and superiority, because at some areas it would have to be higher than six feet.
At the conclusion of further discussion and suggestions by Council Members, Council-
woman Kaywood stated that she would personally contact Adrianna Gianturco at Cal-
trans to pursue the matter to an even greater degree than in the past.
105 AND 140: LIBRARY BOARD REQUEST FOR JOINT MEETING: The Mayor explained that
prior to the meeting, he received a telephone message from Elizabeth Schultz,
Chairman of the Library Board, requesting a meeting with the Council, Redevelopment
Agency and the Redevelopment Commission to discuss some concerns relative to the
proposed interim mini-mall to be located between the Central Library and the Police
Department.
On motion by Councilman Thom, seconded by Councilman Seymour, a joint meeting be-
tween the City Council, the Redevelopment Agency and the Redevelopment Commission
was set for Wednesday, September 28, 1977, at 3:00 P.M. at the Main Library.
MOTION CARRIED.
77-1057
City Hall, Anaheim~ California - COUNCIL MINUTES - September 20~ 1977~ 1:30 P.M.
RECESS - EXECUTIVE SESSION: By general consent, the City Council recessed into
Executive Session. (4:05 P.M.)
AFTER RECESS: Mayor Thom called the meeting to order, all Council Members being
present. (4:15 P.M.)
112: GOLF CART DAMAGE SUIT: On motion by Councilman Kott, seconded by CoUncilman
Thom, legal staff was instructed to continue negotiations to settle litigation on
a golf cart damage suit as a result of~an incident at the Anaheim Hills Golf Course.
MOTION CARRIED.
ADJOURNMENT: Councilman Kott moved to adjourn. Councilwoman Kaywood seconded the
motion. MOTION CARRIED.
Adjourned: 4:17 P.M.
LIN-DA D. ROBERTS, CITY CLERK