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1998/12/08ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 The City Council of the City of Anaheim met in regular session. PRESENT:MAYOR: Tom Daly PRESENT:COUNCIL MEMBERS: Frank Feldhaus, Lucille Kring, Tom Tait, Shirley McCracken ABSENT:COUNCIL MEMBERS: None PRESENT:CITY MANAGER: James Ruth CITY ATTORNEY: Jack White DEPUTY CITY MANAGER: Tom Wood CITY CLERK: Leonora N. Sohl ASSISTANT CITY CLERK: Ann Sauvageau FINANCE DIRECTOR: Bill Sweeney PLANNING DIRECTOR: Joel Fick CODE ENFORCEMENT OFFICER: John Poole ZONING DIVISION MANAGER: Greg Hastings CIVIL ENGINEER: Natalie Meeks A complete copy of the agenda for the meeting of the Anaheim City Council was posted at 2:50 p.m. on December 4, 1998 at the City Hall Bulletin Board, (both inside and outside the entrance to City Hall) containing all items as shown herein. Mayor Tom Daly called the workshop portion of the Council Meeting of December 8, 1998 to order and welcomed those in attendance (3:15 P.M.). City Manager, James Ruth. It is his pleasure today to present a workshop to the Council on Sportstown Anaheim. There will be presentations by two parties seeking Council approval as Sportstown Anaheim Tenants - Summit Commercial Properties and Gotcha Glacier. Summit will introduce plans to build a six-story, 250,000 sq. ft. office complex; Gotcha Glacier will introduce (revised) plans to build a 435,000 sq. ft. complex featuring indoor snowboard and skiing, surfing, bodyboarding, ice skating, rock climbing, sky diving and other related activities along with additional retail development. He then introduced Tom Wood, Deputy City Manager who has been coordinating the task force on Sportstown. He will give an overview on both proposals followed by a special presentation from each of the proposers. Documentation will be submitted for Council consideration/approval next Tuesday, December 15, 1998. PRESENTATION - SPORTSTOWN ANAHEIM: Deputy City Manager, Tom Wood. He first gave a chronology of the Sportstown project from its genesis to the present during which he briefed the efforts put forth by staff to “lure” tenants to Sportstown. (His presentation was supplemented by slides.) Today they have the results of those efforts in two tenants whom staff will be recommending for approval on next Tuesday’s agenda, Summit and Gotcha Glacier. His presentation included slides of the location of the Sportstown site (adjacent to the Stadium) noting that approximately 40 acres are still available to be developed and the two proposals (Summit and Gotcha) will take up 26 of those acres leaving 14 acres for future development on the site. The net present value over 30 years for both is expected to be a 43.7 million dollar return to the City. The first presentation today will be by Summit. He then introduced Mr. Ken White, Senior Vice President and Rod Oshita, Project Developer. SUMMIT COMMERCIAL PROPERTIES, INC.: Mr. Rod Oshita, Project Developer gave the background on Summit Commercial Properties and some of the major projects in which they have been involved. (Mr. Oshita was assisted in his presentation by Kevin White, Senior Vice President of Summit who showed the graphics, renderings, etc. on display in front of the dais.) Mr. Oshita then gave an overview of their proposal (see, Section 6, Executive Summary/Project Overview page in booklet previously submitted by Summit, i.e., Summit Commercial/A Highridge Partners Company containing Sections 1 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 through 7). The proposed location of their project is north of Gene Autry Way along State College Boulevard. The project will be very similar to the buildings recently constructed in the area and of equal or better quality(see photographs in booklet). A state-of-the-art, six-story, 250,000 sq. ft. Class A office building is planned with surface parking. The plan is to break ground in July of 1999 with a project completion date of September, 2000. The color scheme has not yet been determined but it will tie in with the recent renovation of Edison Field (Anaheim Stadium). (Mr. White showed a proposed materials and color board along with displayed renderings -- floor plans were also shown.) He (Oshita) then elaborated further on the design and treatment of the building along with some of the tenant amenities. He subsequently answered questions posed by the Mayor confirming that the complex built in El Segundo consisted of two buildings (as shown in the rendering under Section 6 of their submittal) and the building proposed for Sportstown will be identical to the building shown on the right in the rendering with a slight modification. Mr. Wood then introduced the second presentation, Gotcha Glacier as well as some of the principals who were present. GOTCHA GLACIER/THE GLACIER OF ANAHEIM, LLC: Tom Walley, General Counsel and Chief Financial Officer. He is present with his partners today. They have been moving rapidly with their proposal to try to come up with ideas since Forest City is no longer involved with Sportstown. Mr. Mike Gerard, Chief of Operations and Marketing. This is a dynamic time and they are in the center ring of the action sports market. He than gave an extensive presentation joined in later by Brad Kinney, Chief Executive Officer and other members of the management team. Their presentation was supplemented by slides, and, at the conclusion, a brief video showing a compilation of the Glacier Sports (in actual settings) that will be offered at the proposed facility in Sportstown. The presentation included the following: the Glacier Mission ( “ . . . an experience of the highest quality that incorporates action sports, entertainment, media, and retail into a state-of-the-art facility for beginners, competing athletes, and the entire family.”), Concept, a detailed description of the proposed facility (435,000 sq. ft.) and venues offered (participatory and interactive -- snowboarding, skiing, sledding, surfing and bodyboarding, rock climbing, ice skating), rendering(s) of the facility, operations (365 days/year, 16 hours/day, 300 employees/220 sublease employees), Marketing Research, Target Audience (Baby Boomers - ages 33- 52 - 78 million; Generation X - ages 22-33 - 40 million; Echo-Boom - ages 5-21 - 72 million, the latter being the major market along with their parents), that the “dream team” also includes Enron who will be providing the energy and Ogden, the management, Special Events (programs that have expressed interest in coming to the Glacier), Industry Support and Events, Facility Utilization (sublease tenants), etc. They expect a minimum of around two million annual visits to their facility but that figure could be exceeded. It will be a destination that could actually add another day or so to the stay of those visiting from other parts of the area/country/world. In visitng Disneyland and California visitors/tourists will come to include Sportstown as a part of their stay. Sportstown is an exciting extension to Disneyland and the whole Anaheim Resort Project and Gotcha Glacier will be a very exciting and positive contribution to the City of Anaheim and Sportstown. At the conclusion of the presentation, the Mayor and Council Members posed questions which were answered by members of the Gotcha Glacier management team as well as staff members revolving around the naming of the facility, the type of retail they are trying to attract, food, ticketing system, time table for completion, etc. In concluding, City Manager Ruth stated that staff has been working diligently, almost around the clock for the past two weeks to pull this together and believes they have two great partners in the development opportunities. Next Tuesday, staff will be presenting to Council for consideration a Letter of Intent for the Summit development and a Conditional Lease Agreement for the Gotcha Glacier development opportunity. Staff has finalized the deal points and have come to agreement on all major issues for Council consideration next week. In the meantime, if the Council has any additional questions, he urged them to contact staff and staff will subsequently get back to the developers for answers. 2 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 Lisa Stipkovich, Executive Director of Community Development then explained for the Mayor that there is a different due diligence period for each. For the Summit there is a 60-day period where most of the issues would be tied down. They would then have another four months to complete their construction drawings and then start construction some time in September (1999). With Gotcha Glacier, they are talking about a 90-day due diligence period and a start of construction in June, 1999. Joel Fick, Planning Director explained that the current Area Development plan also includes requirements that the Planning Commission review all site plan issues -- the very items touched upon by the Mayor. Those items will go to the Planning Commission for recommendation and ultimately appear on the Council’s agenda. Mayor Daly. Relative to his concerns/questions, the architecture, landscaping, signage, building materials, etc., are critically important because of the value that has been created with public money in the area and the world-class location that it is. He is very much interested in those details beyond the business details. He also asked for an estimated or hoped-for completion date. Lisa Stipkovich. Gotcha Glacier, no later than January 1, 2001; however it could be earlier, somewhere between the Summer of 2000 and January, 2001. City Manager Ruth noted, one thing that has not been mentioned, the overall investment just on the Gotcha Glacier development project alone is approximately $65 million which is a major value to the City. Mayor Daly. The business deal points will be on the agenda next Tuesday. The Gotcha Glacier package looks like a winner -- the right project, right location, right time and right development team. The Summit project is also an important project, a great location, an exciting design and a proven track record by the developers. He thanked the principals from both the Summit and Gotcha Glacier for the informative presentations and to staff for bringing these forward today. REQUEST FOR CLOSED SESSION: City Attorney Jack White requested a Closed Session noting first that there were no additions to Closed Session items. PUBLIC COMMENTS - CLOSED SESSION ITEMS: There were no public comments relative to Closed Session items. The following items are to be considered at the Closed Session. CONFERENCE WITH LEGAL COUNSEL PURSUANT TO GOVERNMENT CODE SECTION 1. 54956.9(a) - Existing Litigation: Name of case: Delmonico, et al. v. City of Anaheim, et al. (and 18 related cases) Orange County Superior Cout Case No. 70-80-71. CONFERENCE WITH LEGAL COUNSEL PURSUANT TO GOVERNMENT CODE SECTION 2. 54956.9(a) - Existing Litigation: Name of case: In The Matter Of The City Of Anaheim, Et Al., SEC Admin. Proc. File No. 3- 9739 (LA-772). RECESS: Mayor Daly moved to recess into Closed Session. Council Member McCracken seconded the motion. MOTION CARRIED. (4:10 p.m.) By general consent, the Council recessed into Closed Session. 3 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 AFTER RECESS: Mayor Daly called the regular Council meeting of December 8, 1998 to order at 5:42 p.m. and welcomed those in attendance. INVOCATION: Mary L. Hibbard, Anaheim United Methodist Church gave the invocation. FLAG SALUTE: Council Member Tom Tait led the assembly in the Pledge of Allegiance to the Flag. PRESENTATION - RECOGNIZING 1998 GRADUATES OF COMMUNITY EMERGENCY 119: RESPONSE TEAM (CERT): Recognizing the 1998 Graduates of the Fire Department’s Community Response Team. Mr. Bob Berg, the City’s Emergency Services Coordinator, stated it was his pleasure once again on behalf of Fire Chief, Jeff Bowman, to recognize the 1998 graduates of the Fire Department’s Community Emergency Response Team, 40 Anaheim residents and business owners who have completed an extensive eight-month program in disaster preparedness. The program is available to anyone free of charge by calling the Office of Emergency Services to get into next year’s class. He then introduced Geisala Martinson who will read the names of the graduates as they come forward to receive their certificates. Mayor Daly and Council Members also came forward to greet and congratulate each of the participants/graduates as they received their Flying “A” Certificate and congratulating them on their graduation from the CERT program. The following were present to receive their certificates: Maureen Baird, Robert Baird, Paul Baldwin, Henry Bates, Marcella Bergman, Jim Bonsteel, Patricia Casey, Ben Cashman, Earlene Clausen, Charles Fairchild, Maxine Ford, Bruce Formes, Lois Formes, Russell Garcia, Robert Grigsby, Sheryl Ison, Martha Justus, Patricia Kotter, Richard Krause, Alice Linvingstone, Muriel Lowenberg, Christopher Mars, Sandra Mars, Erik Martinson, Junia Martinson, John Miles, Donn Parsons, Marimar Rodriguez, Eva Stark, Timothy Stark, Stephanie Tischauser and Judith Whitelaw. (The following graduates were unable to be present: Armando Encalada, Jr., Dan Enos, Charles Fairchild, Howard Heaney, II, Danny McLain, Carl Ritola, Gail Ritola, Helen Rivera and Jim Schumacher.) FINANCIAL DEMANDS AGAINST THE CITY in the amount of $2,217,726.57 for the period ending December 8, 1998, in accordance with the 1998-99 Budget, were approved. ADDITIONS TO THE AGENDA: There were no additions to agenda items. ITEMS OF PUBLIC INTEREST: Robert Briggs, 809 W. Wilhemina, Anaheim. He is present to help out some elderly neighbors, himself, and the neighborhood he lives in. His neighbors at 701 Citron are elderly, live on a meager income and are long-time residents. They do not presently have home insurance and there are a few situations he would like to see resolved. He then outlined the concerns he and the immediate neighbors have: the trees (at 701 Citron) are very overgrown and the roots have broken up his (Briggs) driveway, back patio and adjacent neighbor’s pools have lifted up and cracked causing approximately $15,000 - $20,000 damage, roots are starting to impact the foundation of his house, his neighbor’s pool in the summer time is filled with two feet of black, murky water which breeds mosquitoes which are overwhelming, on his neighbor’s side of the fence, there are two to three feet of pine needles from their trees creating a fire hazard. He (Briggs) trimmed the trees on his side but it is cost prohibitive to do so on his neighbor’s property. Eliminating the trees is what needs to be done and he wants to know what he needs to do to resolve the probem and the steps to take. He knows the neighbors are on the schedule for the “Paint Your Heart Out” (PYHO) Program, but they need more help than that. He clarified for the Mayor that he is aware they are on the schedule for May but he is not sure that program will take care of the trees. 4 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 Mayor Daly. The program does more than paint. He suggested what Mr. Briggs might want to do is ask PYHO to look at the property and try to do as much as the program can afford since this sounds like a special case. Perhaps staff can find someone to help out. City Manager Ruth. Staff will be glad to take a look, Code Enforcement and also ask Parks & Recreation to look at the trees to see if anything can be done. Staff will also coordinate with the PYHO program. Mayor Daly. He knows the corner in question. He does not know the role of the City in this case, but certainly if there are any programs that are available, they should try to put some extra focus on that corner; Council Member Tait also noted that the Orange County Vector Control is responsible for mosquito abatement and can help to eliminate the mosquito problem. Mayor Daly. They will ask the City Manager’s Office to keep the Council apprised of any opportunities to help. * * * * * * * * * * * * * * * * * * * * Pat Kotter, on behalf of WAND, extended an invitation to all - the Council, staff, chamber audience and those who will be watching on TV - to join with them on Friday, December 11, 1998 at 6:00 P.M. at Twila Reid Park to welcome in the holiday season. West Anaheim has followed the example of the Nutcracker Festival which was started three years ago and features a Tree-Lighting Ceremony as part of the festivities. There will also be a tree-lighting at Twila-Reid Park. She then gave the schedule of events noting that she also left some flyers at the entrance to the Chamber. She again invited all to attend. She also thanked the Community Services Department for the assistance given to WAND in this endeavor. MOTION: Mayor Daly moved to waive reading in full of all ordinances and resolutions to be acted upon for the Council meeting of December 8, 1998. Council Member McCracken seconded the motion. MOTION CARRIED. CITY MANAGER/DEPARTMENTAL CONSENT CALENDAR A1 - A12: On motion by Mayor Daly, seconded by Council Member Feldhaus, the following items were approved in accordance with the reports, certifications and recommendations furnished each Council Member and as listed on the Consent Calendar; Mayor Daly offered Ordinance No. 5654 for adoption. Refer to Ordinance Book. A1.128: Receiving and filing the Monthly Financial Analysis presented by the Finance Director for three months ended September 30, 1998. Council Member Feldhaus. Relative to the Monthly Financial Analysis in the Enterprise Funds, he feels it would be of benefit to break down the electric utility operations and not combine those figures with all Utility operations; Bill Sweeney, Finance Director explained that those figures are broken down in detail in the back of the variance report. There are detailed financial statements on both water and electric, operating and non-operating. A2.169: Awarding a contract to the lowest responsible bidder, John C. Ettlin, in the amount of $81,480 for Right-of-Way Fencing and Cleanup Katella Avenue/Ninth Street to Jean Street. A3.160: Accepting the low bid of Shallbetter, c/o Matzinger-Keegan, Inc., in the amount of $61,393 for six manual operated padmount, sectionalizing switches with holders, in accordance with Bid #5853. 5 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 A4.123: Approving the federally funded FY 1998-99 Emergency Shelter Grant (ESG) Agreement with the Anaheim Interfaith Shelter, in the amount of $61,000. A5.156: Accepting a grant award, in the amount of $91,392 from the Office of Criminal Justice Planning for third year funding in the Partnership for Suppression of Drug Abuse in Schools Program, and authorizing the Chief of Police to execute all necessary documents pertaining to said grant. Council Member McCracken noted this is just another example of how Anaheim is working to provide programs in City schools. A6.116: Approving the JTPA State “Waiver Checklist and Performance Agreement” for local Service Delivery Area (SDA) Implementation in the fiscal year 1998-99. A7.130: ORDINANCE NO. 5654 (AMENDED FIRST READING) AN ORDINANCE OF THE CITY OF ANAHEIM APPROVING A FOUR YEAR FRANCHISE AGREEMENT WITH CNETURY VALLEY CABLE CORPORATION AND CENTURY COMMUNICATIONS CORPORATION PURSUANT TO ORDINANCE NO. 4087, AS TRANSFERRED AND AMENDED, AND SETTING FORTH CERTAIN OTHER AGREEMENTS OF THE PARTIES. (Introduced at the meeting 10/13/98, Item D2, amended first reading on 11/17/98, Item D4, and re-introduced (amended first reading) at the meeting of 12/1/98, Item A25.) City Manager Ruth announced that Century Communications requested some minor (technical) changes and the ordinance will have to be reintroduced again; City Attorney White. He confirmed that the changes would require reintroduction tonight (amended first reading) with adoption of the ordinance at next week’s meeting. A8.123: Approving an Agreement for Legal Services with Fulbright & Jaworski. A9.152: Authorizing the Human Resources Director to execute agreements for the acquisition of labor and services for temporary personnel. A10.123: Approving an Agreement with HDR Engineering, Incorporated, in an amount not to exceed $86,970, to provide engineering services for the Pump and Well Improvement project; and authorizing the Public Utilities General Manager, on behalf of the City, to execute said Agreement, and any other related documents necessary to complete the project. A11.123: Approving an Agreement with Carollo Engineers, P.C., in an amount not to exceed $204,780 to provide professional services for the Chlorination System Conversion Project, and authorizing the Public Utilities General Manager on behalf of the City, to execute the Agreement and any other related documents necessary to complete the project. Mayor Daly declared a conflict on this item and he will, therefore, be abstaining from any discussion or decision. A12.117: Approving the 1999 Investment Policy as submitted by the City Treasurer. END OF CONSENT CALENDAR. MOTIONS CARRIED. 6 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 CONDEMNATION HEARING - HARBOR BOULEVARD PROJECT - ANAHEIM A13. 121: RESORT AREA IMPROVEMENT AND BEAUTIFICATION PROGRAM: To consider the adoption of a resolution finding and determining the public interest and necessity for acquiring and authorizing the condemnation of a portion of certain real property in connection with the Harbor Boulevard Project and the Anaheim Resort Area Improvement and Beautification Program. Submitted was report dated November 24, 1998 from the Public Works Department recommending adoption of the subject resolution for a portion of certain real property at 1460 and 1480 Harbor Boulevard (JWM Family Enterprises - R/W 5130-4, 4A). Mayor Daly. This is the time and place for the hearing on the acquisition of property by eminent domain in connection with the Harbor Boulevard Project, Anaheim Resort Area Improvement and Beautification Program. Mayor Daly asked for a staff presentation. Natalie Meeks, Civil Engineer/Project Manager, Public Works. The resolution is for acquisition of the subject property necessary for the purpose of making public roadway improvements on the circulation element of the General Plan of the City of Anaheim. Staff is recommending adoption of the resolution to move the acquisition forward but will continue to work with the property owner in order to reach a settlement. (See Discussion portion of the November 24, 1998 staff report). Mayor Daly. In conducting the hearing, testimony will be taken from the owner of record or a designated representative for the property. Testimony should be limited to the following issues only: (1) Whether the public interest and necessity require the project; (2) Whether the project is planned and located in a manner that will be most compatible with the greatest public good and least private injury; (3) Whether the property sought to be acquired is necessary for the project; (4) Whether the offer required by Government Code Section 7267.2 has been made to the owner or owners of record and, (5) Whether the City has met all other prerequisites to the exercise of eminent domain in connection with the property. Mayor Daly opened the Public Hearing. Mr. Kenneth Fisher, 1415 W. Cerritos, Anaheim. His issue was, where in the Constitution under the eminent domain law does it give the government the right to take away private property for the benefit of public organizations. Mayor Daly closed the Public Hearing. Council Member Tait asked for clarification if this involved the Marriott Corporation; City Attorney White answered, yes. Council Member Tait stated, in that case, he may have a conflict since his firm has done business with the Marriott. He will, therefore, be abstaining on this item. City Attorney White. He noted it will then require a unanimous vote of the four remaining Council Members. Council Member Kring asked if there had been discussions with the Marriott about this; Ms. Meeks answered that staff has been in discussion with the property owners. They have no problem moving forward with this action, but have not accepted the offer made. 7 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 Mayor Daly offered Resolution No. 98R-258 for adoption. RESOLUTION NO. 98R-258: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM DETERMINING THE PUBLIC INTEREST AND NECESSITY FOR ACQUISITION OF PORTIONS OF PROPERTY LOCATED AT 1460 AND 1480 HARBOR BOULEVARD FOR THE PURPOSES OF CONDUCTING ROADWAY IMPROVEMENT (JWM FAMILY ENTERPRISES – R/W 5130-4, 4A). Roll Call Vote on Resolution No. 98R-258 for adoption. AYES:MAYOR/COUNCIL MEMBER:Feldhaus, Kring, McCracken, Daly NOES:MAYOR/COUNCIL MEMBER:None ABSTAINED:MAYOR/COUNCIL MEMBER:Tait The Mayor declared Resolution No. 98R-258 passed and adopted. REQUEST FOR REHEARING: B1. CONDITIONAL USE PERMIT NO. 3841, AND NEGATIVE DECLARATION - DETERMINATION OF PUBLIC CONVENIENCE OR NECESSITY NO. 98-05: OWNER: Tarek Berri, 260 S. Euclid Street, Anaheim, CA 92802 Growth Management Company, Attn: Fay Harrison, 3820 E. La Palma Avenue, CA 92807 LOCATION: 2180 West Ball Road - Mobil Service Station. Property is 0.52 acre located at the southeast corner of Brookhurst Street and Ball Road. Conditional Use Permit No. 3841 - to permit retail sales of beer and wine for off-premises consumption in conjunction with a previously-approved service station with a 2,916 square foot convenience market. Determination of Public Convenience or Necessity No. 98-05 - determination of public convenience or necessity for retail sales of beer and wine for off-premises consumption in conjunction with a previously-approved service station with a 2,916 square foot convenience market. ACTION TAKEN BY THE PLANNING COMMISSION: Denied the sale of beer and wine for CUP NO. 3841 (PC98-143) (7 yes votes). Denied Determination of Public Convenience or Necessity No. 98-05 (PC98-144). Negative Declaration previously approved. Informational item at the meeting of September 22, 1998, Item B10. Letter of appeal submitted by the agent, Growth Management Company. At a public hearing held October 20, 1998, Item D3, the Anaheim City Council denied CUP NO. 3841 (Resolution No. 98R-234), and denied Determination of Public Convenience or Necessity No. 98-05 (Resolution No. 98R-235). A Request for Rehearing and Declaration of Merit was submitted by the owner, Growth Management Company, discussed and continued from the meeting of December 1, 1998, item B12. Mayor Daly. This is a request for a rehearing and a Mr. Shaw earlier in the meeting stated he would hold his comments until the Council came to this item. He asked now to hear from Mr. Shaw. Mr. Shane Shaw, Growth Management, 3820 E. LaPalma, Anaheim 92807. The purpose of requesting the rehearing is that at the previous hearing, they did not have an opportunity to explain and there was confusion as to the number of licenses available. All they are asking is to give them an opportunity to educate the public and the neighbors what off-sale and on-sale means. One of the comments at the last hearing was why they were not purchasing an existing license. He is pleased to report the store right 8 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 behind their gas station voluntarily surrendered their license and the Arco gas station on the other side, they have been informed by ABC that they have withdrawn their application. If it means not adding one to the number of licenses, even if they get one, it will be one number less (for the area). Since this is exchanging money between business people, they would like to be able to contribute that to help some organization working with charities such as the “Paint Your Heart Out” program. They are very involved with that program and also with Anaheim Interfaith Shelter and would like to help them to build a shelter for kids with Growth Management acting as their Engineers. In the entire area, type 20 means off sale. There is only one and four are allowed. Mayor Daly. This was discussed last week and he (Daly) suggested a seven-day continuance. During that time, he has had a chance to visit with staff and to look at more of the details. He is comfortable with a rehearing. It also seemed to be the sense of the Council to have a rehearing. A motion had been made to that effect at last week’s meeting. The motion that was on the floor at the last meeting was as follows: MOTION. Council Member Kring moved to grant the request for a rehearing submitted by the applicant. Council Member McCracken seconded the motion. A vote was then taken on that motion. Council Member Tait abstained. MOTION CARRIED. City Clerk Sohl explained for the Mayor that the Public Hearing would be scheduled some time in January. CONTINUED PUBLIC HEARING - CONDITIONAL USE PERMIT NO. 3830 D1.179: AND NEGATIVE DECLARATION: OWNER: Dennis and Edith Berger, 1120 West Lincoln Avenue, Anaheim, CA 92805 AGENT: Phillip Schwartze, 31682 El Camino Real, San Juan Capistrano, CA 92675 LOCATION: 1130 West Lincoln Avenue and 1203 West Center Street- Ace Fixtures Company. Property is 0.22 acre, located on the south side of Lincoln Avenue, 505 feet east of the centerline of Villa Place. To consider reinstatement of this permit by the modification or deletion of a condition of approval pertaining to a time limitation to retain outdoor storage of materials for an existing retail restaurant supply store. ACTION TAKEN BY THE PLANNING COMMISSION: Denied reinstatement of CUP NO. 3830(PC98-109) (6 yes votes, 1 vacancy). Negative Declaration previously approved. Informational item at the meeting of August 11, 1998, Item B1. Letter of appeal submitted by the owner, Dennis Berger. Public hearing continued from the meetings of September 22, 1998, Item D2, and November 17, 1998, Item . PUBLIC NOTICE REQUIREMENTS MET BY: Publication in North County News: September 10, 1998 Mailing to property owners within 300 feet: September 8, 1998 Posting of property: September 11, 1998 STAFF INPUT: See staff report to the Planning Commission dated July 20, 1998. Mayor Daly asked to hear from staff with focus on the issues on the table -- on this CUP vs. what may be involved with the overall Ace Fixtures operation but not on the table this evening. He understands there 9 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 may be more than one CUP that goes with the property and he would like to make that clear at the beginning. Greg Hastings, Zoning Division Manager. CUP 3830 pertains to only the .22 acre portion of the property which is actually “L” shaped, the western portion of the storage yard. This was originally approved in 1996 for two years and the two-year period was established to allow the use to exist temporarily while the I-5 widening was occurring. There were a few conditions at that time that were imposed including that the portion of the storage yard in question be utilized only for the storage of finished products available for sale in conjunction with the existing retail restaurant supply store along with other conditions which he briefed. While the use has existed, several violations have occurred and Code Enforcement has received numerous complaints from the neighbors regarding the impacts. Staff met with the applicant last week and he expressed a desire to comply. The Code Enforcement Manager is present to address recent inspections. Mayor Daly asked for clarification relative to the conditions of approval wherein Mr. Hastings stated that the applicant expressed a desire to adhere to those conditions. Greg Hastings. A discussion took place in staff’s offices with the applicant and they went over the conditions. The applicant (Mr. Berger) expressed his desire to comply with those conditions. Mayor Daly asked if that then changes staff’s recommendation as outlined in the Staff Report to the Planning Commission (dated July 20, 1998). Greg Hastings. Staff is still concerned about the length of time the use has been in existence. There has been non-compliance and concern about the continued use of the property the way it has been used over the past two years. John Poole, Code Enforcement Manager. He asked the City Attorney to pass out an aerial photo taken just this afternoon of Ace Fixtures (see aerial photo - 12-8-98 - made a part of the record) which outlines the basis of their concerns. The photo shows the extensive storage on the property (outlined by orange) as well as the complaints about vehicles being unloaded on a public street, noise, etc. Staff did meet with Mr. Berger last Wednesday. They said they would comply and even suggested new conditions and new considerations including not allowing employees to park on the south side of Center Street. In staff’s opinion, this use has been overintensified on this small piece of property and has been a continual problem while there was some time it was not. With this much storage on top of the residential area, there will be constant complaints of noise and storage problems. Further, with the amount of storage, it would be difficult to get into the area (the storage lot) if there was some emergency. The storage has increased since the last time staff saw it. Council Member Tait. On the appeal, the applicant states they are impacted from freeway construction. He asked staff to elaborate on those impacts. John Poole. The problems that are occurring are not due to the freeway construction but the extensive outside storage and unloading on Center Street. They cannot maintain their landscape area but staff has not received any complaints about that. Mayor Daly opened the continued Public Hearing and asked first to hear from the applicant. Mr. Steven Berger. He is the son of the owner of the property. He was requested by Phil Schwartze, agent for the applicant, to extend his apologies for not being present which, as the Council probably knows, is due to the fact that he went through bypass surgery recently. He continued that this issue goes back a long way. They have made a great effort to work with staff. They met last week as they have numerous times. To the best of their ability and knowledge, they did comply with staff’s requests -- they put up a cloth to block any view from the public, there was one area that was left open and last week they took care of that and they fixed broken windows in the building. It is true that there is a problem, the 10 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 issue with regard to parking, including up until this morning. Some of their employees misunderstood instructions as to where they can and cannot park. Center Street is a public street, but they have asked their employees not to park there other than on the Ace Fixture side of the street. Mr. Berger continued that they did not address the amount of storage that was taking place in the highlighted area (as indicated on the aerial photograph). It was never discussed; this was the first time. Otherwise, all the requests have been complied with. Over a two-year period of time, they have been paying on a monthly basis for inspections by Code Enforcement to enforce the CUP. Ace Fixtures was never cited during that time and to this day have never received a citation for any violation. Staff asked them to install a loading zone and they complied. There is an ability for trucks to unload on the premises. They have encouraged staff that where there is unloading being done illegally, that a ticket be given to the driver of the truck. They have done the best they could. This is a commercial zone and they have been there for 35 years. Prior to that, another business was there for 50 years. There are other businesses in the area as well. He reiterated he does not know what else they can do; tell them, and they will do it. They are not intentionally doing anything to anybody and are not doing anything illegal. Mayor Daly asked if there were other persons who wished to speak in favor; there were none. He then asked to hear from those in opposition. Jim Atry, 1122 W. Center Street, Anaheim. He has lived directly behind Ace Fixtures for 18 years. When they first moved in, Ace was a small restaurant supply business; over the years it has expanded. The CUP concerns the two lots with houses which Ace tore down and said they were going to provide a parking lot but then applied for a CUP for open storage. The neighborhood has grown and it is necessary that he have parking available on his property. The street cannot afford it any more. There are too many people on the street. He would love to gather all the paperwork together to show the inconsistencies. Mr. Berger considers Center Street the Center Street loading zone when it is a residential street. A main concern is for Sharon Becker who is surrounded by a “junk yard”. They have also asked for a sound wall. It has been a 15-year battle and it needs to stop now. He then clarified for the Mayor that residents cannot park in front of their houses because of (1) Ace Fixture employees and, (2) because of their customers. He (Atry) has the one driveway on the street and everyone else is required to park on the street. He would like to see his employees park on their property and have him conduct business on the Ace Fixture property. The CUP talks about negative impacts to the neighborhood. He feels that sums it up. It is not fair to the residents; it has to stop. The Planning Commission voted to deny and he urged the Council to do so as well. Sharon Becker, 1129 W. Center, Anaheim. The Mayor properly identified which was her property at the previous meeting (see minutes of September 22, 1998). Looking at the aerial photo, she is caught in the “horseshoe”. They are looking at the negative impact in the community. They reside in Anaheim, eat, sleep and breath there. The safety, health and welfare of the neighborhood is their concern. The business has grown so much, it is now too big for the location. He needs to move somewhere that can better accommodate him. She reported on an incident that occurred just yesterday in front of her house to show that the problems continue. Things have improved in the last couple of weeks, but it does not happen all year long. She urged that they honor what the Planning Commission suggested and vote no. There being no further persons who wished to speak, the Mayor asked to hear from the applicant to sum up. Steven Berger/Ace Fixtures. (1) Lincoln Avenue is in the middle of being resurfaced but prior to that there were never any restrictions on parking. There is plenty of parking between their parking lot and spaces staff required on the highlighted area (of the aerial map) and many spaces on Lincoln. There is not a single requirement for any employee to have to park on Center Street. (2) In terms of loading and unloading, they could do so from Lincoln but prior to 18 years back and probably 25 years, it was the City that suggested that they use Lincoln. (3) Relative to a sound wall, staff came out and tested the noise 11 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 level and they were no where near being in violation. (4) Regarding the negative impact, there was a business there and the entire area is zoned for commercial use. They have not gone out of their way to cause a negative impact. Their business has been status quo for many years. The business is not moving away whether the CUP is granted or not. At one point, Mrs. Becker wanted to sell her property but they could not come to terms on a fair market value. She is blocked in and he can appreciate the fact that there is not a great liquidity for the property at this point. In conclusion, Mr. Berger reiterated some of his opening comments that whatever staff had requested they did. They have encouraged staff to come out and continuously site them or inform them of any problem. They have been paying $57/month for two years to have Code Enforcement do so but they have never been cited or found in violation. He has even suggested to staff they would be happy to go on that program again. If they talk to staff, staff will tell them that they have been extremely cooperative. Mayor Daly closed the Public Hearing. Council Member McCracken. They are talking about commercial businesses and she believes the original CUP required that they have employee parking -- 18 spaces available in the parking lot for employees and customers. Also, loading and unloading of large vehicles on public streets is not allowed in Anaheim for commercial businesses. She suspects these incidents are violations. John Poole. In this particular area, Mr. Berger obtained a loading and unloading zone permit restricted for vehicles not over 10,000 lbs. and parked within 18” from the curb. In the past few months, they have observed vehicles much larger than 10,000 lbs. and a much longer distance than 18” from the curb. Council Member Tait. He asked for clarification from staff that during the two-year period of continuing inspection, there were no violations and the applicants have done all they can to comply; John Poole. There were very few complaints during that time -- some storage concerns and complaints of parking vehicles in the street. By the time Code Enforcement got to the area, they could not substantiate the latter. Basically what Mr. Berger said earlier was correct. He will say, however, the neighbors have complained so much that in situations like this they quit complaining because they just give up. He is not speaking for them, but, from his experience, there probably were problems during that two years although they do not have much of it on record. Council Member Tait. He asked if the situation has worsened since it looks like the lot is too small; John Poole. That is correct. At one time, they were off-loading vehicles on the property. The aerial picture tells the best story. With as much storage that is on the property, they cannot off load vehicles in that area. Looking at the photograph, there are two vehicles parked on the parcel and they are required to have four spaces but the other two are apparently filled with storage. Storage is taking place in the required parking on site. Council Member Tait. It seems that the applicant has tried to comply but has outgrown the capacity of the parcel and the building and the result is it spills over into the street. He asked Mr. Berger if his business has grown substantially in the last couple of years. Steve Berger. The business has been stable all these years. In the past two years it has been the problem of the construction on Lincoln which has impacted the business. Lincoln and Center are public streets. There is enough parking. They also own the liquor store next door which has parking spaces and there are an additional four spots in the lot in question. (He then reiterated some of his previous comments.) Council Member Tait stated he believes if there was not so much storage on the property, trucks would be able to pull into the yard and off load; Mr. Berger stated the trucks can pull in if they want to but do not do so because it is a hassle for them. He cannot force the driver to pull his truck in. 12 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 Extensive additional dialogue and questions followed between Council Members Kring, McCracken and Tait and Mr. Berger regarding the major issues of parking, activities taking place on Center Street, excessive storage, Code Enforcement activities, etc. During the discussion, Council Member Feldhaus noted that when he left the Council in 1996, the outside storage problem at Ace Fixtures was an issue then and he is hearing the same stories today. He is pleased that the business is successful but Mr. Berger needs more storage room in an area that can accommodate that success and not be a detriment to the existing neighborhood and the aesthetics of the area. ENVIRONMENTAL IMPACT REPORT – NEGATIVE DECLARATION: On motion by Council Member McCracken, seconded by Council Member Feldhaus, the City Council denied the Negative Declaration upon finding that is has considered the Negative Declaration together with any comments received during the public review process, and further finding on the basis of the initial study and any comments received that there is substantial evidence that the project will have a significant effect on the environment. Council Member Kring and Tait voted no. MOTION CARRIED. Council Member McCracken offered Resolution No. 98R-259 for adoption denying Conditional Use Permit No. 3830. Refer to Resolution Book. RESOLUTION NO. 98R-259: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM DENYING CONDITIONAL USE PERMIT NO. 3830. Before a vote was taken, Council Member Tait stated he is uncomfortable denying the CUP at this time. The problem is that the business has about 50% more storage on the lot than it should have. Perhaps there is a solution where the Council can require that 50% of the storage be removed or designate certain areas for parking short of denial. Perhaps they could continue this. Council Member McCracken clarified that they are not denying the use. Mr. Berger can use the lot for loading and unloading; Council Member Tait asked if that was accurate. City Attorney White. The property is zoned commercial so he can continue to maintain his commercial business. All they are considering tonight is whether to reinstate the CUP that permits outdoor storage. If denied, the business cannot continue outdoor storage. There would be a small portion on the adjacent lot that is legal, non-conforming outdoor storage but everything within the red border (as defined by the aerial photo) would be eliminated. Council Member Tait surmised he could still store about 40%; Mayor Daly confirmed that the 40% is on the adjacent property. Mayor Daly. He agrees with the concern that this has been a long-time business but he believes the City has been more than reasonable in allowing the outdoor storage for the past two year period which has long since expired. He will, therefore, be supporting the resolution to deny. Roll Call Vote on Resolution No. 98R-259 for adoption. AYES:MAYOR/COUNCIL MEMBER:Feldhaus, Tait, McCracken, Daly NOES:MAYOR/COUNCIL MEMBER:Kring ABSENT:MAYOR/COUNCIL MEMBER:None The Mayor declared Resolution No. 98R-259 duly passed and adopted. 13 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 LIAISON COMMITTEE APPOINTMENTS - REGIONAL AGENCY C1., C2., C3. 114: APPOINTMENTS AND GROWTH MANAGEMENT AREA APPOINTMENTS: LIAISON COMMITTEE APPOINTMENTS: I.N.S. Committee (Zemel, Tait) Audit (Daly, McCracken) Redevelopment (Lopez, McCracken) Chamber of Commerce (Zemel, McCracken) Transportation (Daly, Zemel) Utilites (Daly, Tait) Mayor Daly. The INS Committee is, in fact, a committee of the Legislative Liaison Committee. He believes they should appoint a new Legislative Liaison Committee and not an INS Committee. It does not square with his recollection. He would, therefore, suggest holding the appointments for one week. He asked for comments from the Council Members. Council Member McCracken. She is more than willing to give up one of her present assignments on the Liaison Committees if there are others interested; however, she would be glad to stay on the Redevelopment and Audit Committees; Council Member Tait. He is content with being Liaison to the INS Committee and Utilities; Council Member Kring. She is open to any assignments but would like to put in her bid for the INS and Chamber Liaison Committees; Council Member Feldhaus. He would take the Transportation and Chamber Liaison Committee assignments. Mayor Daly. Relative the the Transportation Liaison, the rationale recently has been to appoint people who are involved in the Transportation Corridor Agencies or one of the other transportation assignments. That was the rationale for the previous Liaison Committee. On Audit, there is a tradition that the Mayor serve. The Chamber Committee is something that has existed from time to time, but it is up to the Council. The Utilities was an Ad Hoc Committee because the Utilities Department was in the process of doing the RFP on Utility operations. It may be they only need the Utilities Liaison Committee for another few months until that process is completed. City Manager Ruth. Staff will be coming to the Council with a report regarding options (summarizing their recommendation) some time after January. Mayor Daly suggested that they consider these for another week as there may be other liaisons they wish to have noting that a few years ago there were many committees and last year they deleted quite a few. He would like to obtain more information from staff on the Legislative/INS Committee and also determine who wants to serve on the Transportation Corridor Agencies which will determine who is on the Transportation Liaison Committee. MOTION. Mayor Daly moved to continue all (foregoing) Liaison Committee Appointments for one week. Council Member Kring seconded the motion. MOTION CARRIED. REGIONAL AGENCY APPOINTMENTS: Foothill/Eastern Transportation Corridor (Lopez) County Sanitation Districts 2, 3, and 13 (Zemel) Motion: _________ To appoint such other Agency or District Representatives as desired. 14 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 MOTION. Mayor Daly. He is aware that Council Member McCracken is interested in serving on the Sanitation District Board of Directors. He thereupon moved to appoint Council Member McCracken to the County Sanitation Districts Board for Districts 2, 3 and 13. Council Member Tait seconded the motion. MOTION CARRIED. Mayor Daly then asked the Council’s interest level serving on the Foothill/Eastern Transportation Corridor. He has some level of interest but is already on the OCTA Board; Council Member Kring suggested continuing the Foothill/Eastern Transportation Corridor appointment for one week. MOTION. Mayor Daly moved to continue the appointment to the Transportation Corridor for one week. Council Member Kring seconded the motion. MOTION CARRIED. Relative to the motion on appointments to other Agencies or Districts, City Clerk Sohl noted that she had given the Council a grid that shows all the appointments. After reviewing that, she and the City Attorney put together a generic motion so that the Council could subsequently take action by on those appointments; Mayor Daly surmised that this was a “catch-all” motion so that they can appoint any of the Council Members to the Regional Boards. Later in the discussion the appointments to other Agencies or District Representatives was continued one week. GROWTH MANAGEMENT AREA APPOINTMENTS: Growth Management Area No. 1 (Lopez, Daly) - Representative and Alternate Growth Management Area No. 2 (Daly, Lopez) - Representative and Alternate Growth Management Area No. 3 (McCracken, Zemel) - Representative and Alternate Growth Management Area No. 4 (McCracken, Zemel) - Representative and Alternate Mayor Daly, noting the staff report concerning these appointments, the City must send an elected official to these four meetings which are all part of the Measure M requirement(s) that cities must meet occasionally to discuss local transportation projects that affect neighboring cities. There was brief Council discussion regarding these appointments at the conclusion of which the following actions were taken: MOTION. Mayor Daly moved to appoint Council Member Kring as Representative to Growth Management Area No. 1 with himself as the Alternate. Council Member Tait seconded the motion. MOTION CARRIED. MOTION. Mayor Daly moved that he again be appointed Representative to Growth Management Area No. 2 with Council Member Kring as the Alternate. Council Member Tait seconded the motion. MOTION CARRIED. MOTION. Council Member Feldhaus moved to appoint Council Member McCracken Representative to Growth Management Areas No. 3 and No. 4 with himself as the Alternate on both. Mayor Daly seconded the motion. MOTION CARRIED. Appointees are clarified as follows: Growth Management Area No. 1 - Representative, Council Member Kring; Alternate, Mayor Daly. Growth Management Area No. 2 - Representative, Mayor Daly; Alternate, Council Member Kring. Growth Management Area No. 3 - Representative, Council Member McCracken; Alternate, Council Member Feldhaus. 15 ANAHEIM, CALIFORNIA - CITY COUNCIL MINUTES, DECEMBER 8, 1998 Growth Management Area No. 4 - Representative, Council Member McCracken; Alternate, Council Member Feldhaus. REPORT ON CLOSED SESSION ACTIONS: C4. 112: City Attorney White stated there was nothing to report. COUNCIL COMMENTS: C5. 114: Mayor Daly. He noted that all Council Members have a draft of the proposed Council Meeting Calendar for 1999. He questioned if the Council needed to formally adopt the schedule at a Council Meeting; City Clerk Sohl answered that it has been done both ways (at a meeting or informally) in the past; however, she suggested if they object to the schedule or want to change it, to just inform her and she will make the changes and make it available. She used last year’s meeting schedule as a template. Mayor Daly suggested that it not be put on the agenda for consideration but that Council Members communicate with the City Clerk. Brief Council discussion then took place relative to some activities that might affect the schedule as well as vacations, other conflicts, etc., at the conclusion of which Mayor Daly asked that Council Members communicate their input to the City Clerk within the next week or so that the schedule could be finalized. Mayor Daly then asked about the Public Hearing schedule for next Tuesday’s meeting noting that he believes there are five scheduled; City Clerk Sohl answered that was correct but they may be getting a request for continuance on one of the hearings but she does not know which one at this time. Mayor Daly also asked if staff had any problem relative to the proposed schedule of meetings for January -- January 5, 12 and 26, 1999; the general consensus was no. * * * * * * * * * * * * * * * * * * * * * * Mayor Daly then thanked City staff for their excellent cooperation in the staging of the Nutcracker Festival and the tree-lighting ceremony which took place last Friday evening. It was well attended and growing every year. He also again reminded the public of the tree-lighting ceremony to take place at Twila Reid Park in West Anaheim on Friday, December 11 at 6:00 P.M. ADJOURNMENT: By general Council consent, the City Council Meeting of December 8, 1998 was adjourned (7:30 P.M.). LEONORA N. SOHL CITY CLERK 16