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1981/04/0781-546 City Hall, Anaheim, California - COUNCIL MINUTES - April 77 1981, 1:30 P.M. The City Council of the City of Anaheim met in regular session. PRESENT: ABSENT: PRESENT: COUNCIL MEMBERS: Overholt, Kaywood, Bay, Roth and Seymour COUNCIL MEMBERS: None CITY MANAGER: William O. Talley CITY MANAGER: William P. Hopkins CITY CLERK: Linda D. Roberts EXECUTIVE DIRECTOR OF COMMUNITY DEVELOPMENT: Norm Priest PUBLIC UTILITIES GENERAL MANAGER: Gordon Hoyt HOUSING MANAGER: Lisa Stipkovich ASSISTANT DIRECTOR FOR ZONING: Annika Santalahti Mayor Seymour called the meeting to order and welcomed those in attendance to the Council meeting. INVOCATION: Reverend Jerry Schiller, Melodyland Hotline Center, gave the Invocation. FLAG SALUTE: Councilman E. Llewellyn Overholt, Jr., led the assembly in the Pledge of Allegiance to the Flag. 119: PROCLAMATION: The following proclamation was issued by Mayor Seymour and authorized by the City Council: "Meals On Wheels Week" - May 4-10, 1981 The proclamation was accepted by Elizabeth Dickerson. 119: RESOLUTION OF CONGRATULATIONS: A resolution of congratulations was unan- imously adopted by the City Council to be presented to Mary Bonino Jones as a recipient of the "Spirit of Life" award from the City of Hope. MINUTES: On motion by Councilwoman Kaywood, seconded by Councilman Bay, the minutes of the regular meeting of January 20, 1981, were approved, subject to typographical corrections. MOTION CARRIED. WAIVER OF READING - ORDINANCES AND RESOLUTIONS: Councilwoman Kaywood moved to waive the reading in full of all ordinances and resolutions of the Agenda, after reading of the title thereof by the City Clerk, and that consent to waiver is hereby given by all Council Members, unless after reading of the title, specific request is made by a Council Member for the reading of such ordinance or resolution in regular order. Councilman Overholt seconded the motion. MOTION CARRIED. FINANCIAL DEMANDS AGAINST THE CITY in the amount of $3,062,419.26, in accordance with the 19~8Q-81 Budget, were approved. 153/161: AUTHORIZATION OF NEW POSITIONS OF STENO-CLERK AND OCCUPANCY SPECIALIST FOR THE HOUSING AUTHORITY: Councilman Overholt moved to authorize the new posi- tions of Steno-Clerk and Occupancy Specialist for the Housing Authority as part of the newly awarded 51 Section "8" Existing and 101 Moderate Rehabilitation program, as recommended in memorandum dated March 31, 1981 from Executive Director of Community Development Norm Priest. MOTION CARRIED. 81-547 City Hall, Anaheim, California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. 164: EXTENSION OF TIME - ASSESSMENT OF LIQUIDATED DAMAGES - MARK LANE AND NORTHFIELD SILT REMOVALS: On motion by Councilman Overholt, seconded by Councilwoman Kaywood, a 17-working day extension of time was granted to the contract with Empire Pipe Cleaning and Equipment, Inc., for construction of Mark Lane and Northfield Silt Removals, and assessing liquidated damages in the amount of $1,800, as recommended in memorandum dated March 27, 1981 from the City Engineer. MOTION CARRIED. 123: RENTAL AGREEMENT - EL CAMINO BANK BUILDING: On motion by Councilwoman Kaywood, seconded by Councilman Roth, an agreement was authorized with the Redevelopment Agency in the amount of $50 per month for rental of the first floor and mezzanine of the E1 Camino Building, 203 East Old Lincoln Avenue, for a two-month period ending May 23, 1981, as recommended in memorandum dated April 1, 1981 from the Deputy City Manager James Ruth. MOTION CARRIED. 123: RECREATION SYSTEMS, INC. - PROFESSIONAL SERVICES FOR RIVERDALE AND PON- DEROSA PARK PROJECTS: On motion by Councilwoman Kaywood, seconded by Council- man Roth, an agreement was authorized with Recreation Systems, Incorporated in the amount of $35,600, to furnish professional services for the Riverdale Park development and the Ponderosa Park community building project, as recommended in memorandum dated March 31, 1981 from the Deputy City Manager and the trans- fer of $24,700 was authorized from Account No. 16-802, Eucalyptus Park, to Account No. 16-822, Riverdale Park project. MOTION CARRIED. 123/175: ESTABLISHING THE EFFECTIVE DATE OF THE EDISON-ANAHEIM INTERRUPTIBLE TRANSMISSION SERVICE AGREEMENT: On motion by Councilman Bay, seconded by Councilman Overholt, the effective date of the Edison-Anaheim Interruptible Transmission Service Agreement approved by the City Council on February 3, 1~81, was established as January 30, 1981. MOTION CARRIED. 105/135: GOLF COURSE COMMISSION REPORT - OPERATION OF THE CITY'S TWO GOLF COURSES: A Golf Course Commission report recommending that the City Council make a final determination during budget public hearings as to the appropriate action to be taken in regard to the operation of the City's two golf courses, was submitted. City Manager William Talley briefed memorandum dated April 1, 19~1 from his office. Mr. Robert Messe, Chairman, Golf Course Advisory Commission, 1523 South Bayless, stated there were a few items which were of concern to him regarding the latest recommendation from the City Manager's office to delay the matter through the budgetary procedures. One concern was the fact that the contract of Bob Jones, the Pro at the "Dad"Miller Course was up at the end of April or May. The situation put him in a position where he was concerned about his future, the inventory in his pro shop, etc. Secondly, the City's employees had to b~ considered and they would like to know where they were going. Thirdly both Hugh McKay and Associates and California Golf and Tennis, the two proposers, had devoted a great deal of time and energy to the matter and he did not know if it was fair to them to delay another 85 to 90 days. (See memorandum dated March 23, 1R81 to the C~ty Council from the Golf Course Advisory Commission, four pages--subject: Recommendations by City Manager on Proposal for Private Management of the Anaheim Public Golf Courses). Fourth, if they knew where 81-548 City Hall, Anaheim, California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. they were going, they could proceed with informing the architect as to what their next step would be. If the City retained management of the Course, they would ask the architect to proceed so that they could identify some land as discussed in the report (see Page 2 of 4 of the March 23, 1981 report). Councilman Roth asked if the location of the land was identified as yet; Mr. Messe answered "no". Councilman Roth then continued, that being the case was reason alone to delay the matter. He was interested in selling any piece of saleable property not involved in the flood plain. If they could sell a couple of million dollars worth of property, that would be a deciding factor Mr. Messe felt that the land was there but they did not know precisely where or how many acres were involved. Mayor Seymour noted the following in the March 23, 1981 report (Page 2)--"The projections used to analyze the proposals do not track inflationary trends in the area of revenues, but do track inflation only when it comes to projecting expenses." He presumed, therefore, the Commission disagreed with the Program Development & Audit (P.D. & A.) analysis. Mr. Messe stated they disagreed in the projection relative to revenues, but they felt that staff had done a good job in projecting expenses. When it came to projecting revenues, staff took a more conservative, pessimistic view. Mayor Seymour noted also on Page 2 the report stated--"Golf staff is in the preliminary stages of their budget forecast and their figures show breakeven in two to three years." He asked what it would show for next year's budget. 'Mr. Messe answered, for the year ending June 1982, it would probably show a $5,000 or $6,0Q0 loss for the combined courses. The Mayor then asked if the Commission had a feeling as to what they would project as far as a profit or loss beyond the two or three years; Mr. Messe answered that the debt service would be paid off in ten years. Councilman Bay asked when guesstimating that in a couple of years they would break even, did that include some healthy increases in green fees and golf carts. Mr. Messe felt it would, and every course in the country was going to be faced with the same problem. Councilman Bay also noted the following statement which caused him to wonder if Mr. Messe had some ideas on changing the method of overhead. (Page 2) "The private sector can hire low cost labor, provide fewer benefits and not be burdened with seemingly exorbitant inter-departmental and indirect over- head charges." Mr. Messe answered that "seemingly" modified the whole thing. What they were trying to say, Golf Course staff, the whole golf course budget and their opera- tion were bottlenecked somewhat by what he would say were seemingly exorbitant charges of overhead and indirect costs not based by the private sector. They understood that and that was the way the City was keeping the books at present, although it had not always been that way. They were paying for a Personnel 81-549 City Hall~ Anaheim, California- COUNCIL MINUTES- April 7~ 1981, 1:30 P.M. Department, a City Manager's office, a City Council, a Golf Course Advisory Commission--a number of indirect costs. Councilman Roth suggested then that would probably be a good reason to turn the Courses over to free enterprise; Mr. Messe stated, however, that they would then be giving a bulk of the profits to private enterprise when they had been pushing the "boulder up the hill" for many years and now were about to get it over the top. Councilman Bay noted previously Mr. Messe indicated they needed approximately 60 days to get more information from the architect. He asked, therefore, if they moved to receive and file the report, in effect, tabling the subject for 60 days, if at the end of that time they would have enough additional informa- tion to make a decision. Mr. Messe stated they would have more information, but whether they would have all the data necessary was questionable. Discussion then followed between the Mayor, Mr. Messe and City Manager Talley revolving around the MayorTs question as to when the first letter went out to California Golf and Tennis inviting them to bid, i,e., the start of the whole process. During the discussion,~Mr. Talley explained the reason for staff's recommendation was that the staff of the Golf Courses believed they could bring the courses into balance, meaning they were hoping through a series of changes and operating procedures, which included contracting with the private sector, they could offset the huge subsidies that the Anaheim Hills Golf Course required which everyone admitted was at least a couple of hundred thousand dollars, by a profit from the Muni Course. They were banking on three things, in his opinion--(~) that they could get more productivity out of their people and the administration was ready to bet on the public employees and felt they could accomplish that. (2) They were also banking on another "splendid" winter such as this year which substantially distorted any figures because they had almost no rain. (~ They were banking on the fact that the Commission would take a more agg=essive role in doing two things--the first, recommending more competi, tive or higher rates to offset the huge deficit and secondly, identifying some land that could be sold to produce the needed capital improvements. The C~ty was saying--their facts were in, perhaps they could disagree with them, but they did not have any facts to argue against. He felt that during the budget hearings, they would show how, under the most benign of circumstances it could be balanced by bringing substantial cash reserves of the "Muni" Course if the aforementioned commitments would be made. In reading the report, there was not one figure or fact ~n it but a lot of subjectivity that they had been dealing with for nearly four years. There was nothing to address either way. They believed that the Commission was ready to move forward aggressively, and he would recommend that whatever their program, that it be compared to the budget whenever one was presented. Councilwoman Kaywood asked Mr. Talley to respond to the "seemingly exorbitant overhead charges" and also a question for both, if they felt by raising the fees ~t would lower the amount of play. Mr, Talley stated he would not address the second question. On the first, they had commissioned, as Council was aware, a nationally recognized company to re- view the City's entire accounting process on administrative overhead. They had 81-550 City Hall, Anaheim,. California - COUNCIL MINUTES - April 7~ 1981~ 1:30 P.M. come in with a recommendation they were following. If they put the courses in the private sector, some of the work they did now would not be required. On the other hand, he felt if they took every item that they felt was exorbitant out of the Anaheim Hills Golf Course to see whether or not the money coming in equaled the money going out, there was nobody that would argue that it did not, nor would it in the foreseeable future. It was dependent upon a transfer from the Anaheim Municipal Course, benign winters, and an increasing, more aggressive fee schedule in the future. Mr. Messe commented, unless there had been a change, the charge of the Commission was to come close to breakeven between the two courses, and that golf should not cost the City of Anaheim very much when putting the two courses together. He felt, however, that they could price themselves out of the market. There was no question about that in any area of the business world. They would be very careful not to overcharge to the point where they would lose the market. Councilman Overholt, speaking to Mr. Messe, stated in reading their report, he found their recommendations to be a statement of philosophy and one with which he agreed 100%, i.e., if they could operate the resources in the City in the form of Anaheim Hills and "Dad" Miller Municipal in such a fashion so as not to make it a tremendous drain on the City, he was all for that. He was concerned that the situation had gone on for too long and he shared Mr. Messe's concerns as previously articulated. H'e was impressed with the City Manager's comment today that he had confidence in his employees to come up with a much more sensible project, budget-wise, in the hearing and he would like to see that. He did not see included in the recommendation that land would have to be sold, but they considered it as a possibility of raising additional revenue. To hold up the matter just to determine what land, if any, could be sold, did no concern him one way or the other. The Mayor agreed with Councilman Overholt. He felt that the matter had gone on long enough. It was approximately four or five years ago that the question began to be debated. He maintained it was ridicilous and unconscienceable to prolong the matter. He was prepared to put an end to the charade today. It was easy to debate over the golf courses and what they cost. He questioned how much the park system cost and how many acres of real estate in the City were devoted to parks. Lf they looked at their parks in the same fashion as the Golf Courses, he wanted to know how they would stack up as a loser. He did not know, but suspected it would be in the millions of dollars and not a couple of hundred thousands, of dollars. He was also concerned relative to the con- cessionaires at the Golf Courses, not only the pros, but also the food conces- sionaires as well. The Mayor continued that they were over the hard years on the Golf Courses and had been through those years since 1970. Now they had two or three years to a breakeven and ten years to a pay off the debt at the Anaheim Hills Course which was the primary reason that the Golf Courses had a difficult time carrying themselves., He wondered why no one on the Council or the City Manager had not suggested that they go out to bid to maintain all parks, and the exterior land- scaping maintenance on all public buildings. Perhaps that would be a good idea. He was suggesting that somewhere there was an undying commitment to see the Golf Courses rolled over and handed to a private management company who would enjoy nothing but a windfall profit in a couple of years. He felt they had beat the issue long and hard enough and the time to take action was now. 81-551 City Hall~ Anaheim~ California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. MOTION: Councilman Seymour thereupon moved to accept the recommendation of the Golf Course Commission, to reject the bids of the private management companies and to instruct the Golf Course Commission and Mr. Liegler and his staff to move forward with the policy generated on November 11, 1976; in the spirit of that policy, report back to the Council as to what improvements could be made through the sale of land and improved operations and maintenance, with the clear understanding that the City was going to continue to hold its Golf Courses, rather than turn them over to private management companies. Council- man Overholt seconded the motion. Before action was taken, Mr. Talley stated that on a number of occasions, the City had investigated the advantages of utilizing private contractors for the parks system. It had engaged private people for private maintenance at the smaller facilities and also taken contracts for maintenance of buildings in- side. That was an ongoing procedure. The other area, even followingthe Golf Commission's recommendations, that largely hinged on the ability to redesign the Anaheim Hills Course so that it could be played better or more efficiently. As the Council was aware, the City was having a substantial problem in balancing the budget this year, and there would be the necessity for investing multi- hundreds of thousands of dollars in that course. He would hope that Council would direct the Commission and City staff to attempt to find the money to do that. With the original Council Policy when the Anaheim Hills Golf Course was founded it was to have that Course in balance in three years. Mayor Seymour stated he would suspect if he (Talley) had a private contractor take a look at the parks and their maintenance, he would probably conclude in that process that it was not of economic benefit to the City. Relative to looking for a commitment of capital to be invested, he was prepared to direct him to look for that capital. He was sure it could be achieved. He empha- sized that after approximately 11 years of "blood, sweat and tears", he did not want to turn the Golf Courses over just at the time when in the very near future, they were going to move into the black. Councilwoman Kaywood stated they were faced with cuts they had never been faced with before on the State and Federal levels. She had always been on record as favoring the City keeping the Golf Courses. She emphasized there was no question that the courses would remain Golf Courses. There was no other viable alternative since the Anaheim Hills Course was in the path of a reservoir and must be kept as a course. Searching for money or trying to sell off excess land had also been ongoing. They had to see that specific land and know what uses it was going to be put to. When speaking of the concessionaires, she felt they would do a fine and excellent job with the knowledge and hope that they could continue to do so. She found the Mayor's arguments somewhat offensive. Now was not the time to make a determination on the matter. The Golf Course Commission needed about 60 days for several things to come together and she wanted them to have that time. She did now want to vote on the matter precipitously or in an emotional atmosphere. Mayor Seymour stated he would hope that if the Council was intending to defeat the current motion, they would have the courage to face their electors and ask for an evening meeting when the public was present before taking some action which he felt was not in the best interest of the citizens. 81-552 City Hall~ Anaheim~ California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. Councilman Roth emphasized that the missing key was in the architect's report as to what needed to be done to the course to make it playable and economically viable and also what the cost was going to be. He wanted to know how soon the Council would be receiving that report. Mr. Messe stated it was going to take approximately 60 days to come up with something saying, here is what we want to do, and here is the excess land we think can be sold to pay for what we want to do, etc. Councilman Roth stated that was a good idea and businesslike approach. He wanted to have all the information beforehand. Mayor Seymour stated their best estimate of what improvements would run was in the vicinity of $500,000 to $1.5 million; Mr. Talley stated the first he heard was approximatley $400,000 to $1.2 million. The Mayor further stated they could not take an asset such as the Golf Courses and manage them on a day-by-day basis. It was necessary to do so on a long- term basis. He asked if the Council, on a long-term basis, was prepared to invest $500,000 to $1.5 million to insure the high quality of maintenance, service and recreational activity provided at those two courses. He was prepared to commit to that, and once they did so as a long-term goal, they would be prepared to move ahead logically and methodically. Mr. Messe explained when he stated that they could come with a budget that would lose $5,000 or $6,000 for fiscal year 1982 that did not include any capital improvements to the Anaheim Hills Course. On a short-term basis, they could operate those two courses on practically a breakeven basis. Mr. Talley stated he had to take strong exception to that. The philosophy of increasing the play and the cost for play was based upon a course that was not only more attractive, but also one that could handle greater play. They could not say that they were going to increase the play and increase the revenue and not perform the improvements. Councilwoman Kaywood stated her big concern, if they were looking to cut $i million to $1.5 million out of necessary services in the City, was that they were going to have a highly emotional night hearing with one side pitted against the other. By no means was the feeling a unanimous one relative to the Golf Courses. There were many people who were very concerned about any money at all going into the Courses. ~he felt they were a very important amenity to the City regardless of where a person lived. She had always been on record i,n that regard, but felt they would be better served to postpone the matter at this t~me unti,1 they had the necessary information. Further, another very serious poll. tidal decision would be involved. If certain land was pinpointed as unnecessary to the Anaheim H~lls Course and could be sold for residential purposes and the residents in the area objected, that was a difficult decision they would have to make. She maintained that they had to have the information first in order to make an intelligent decision. Councilman Overholt stated he would welcome a discussion on the budgetary analys£s if they could make it a breakeven situation. He felt that both courses were tremendous assets just as the City's parks. Many people never used the 81-553 City Hall, Anaheim~ California - COUNCIL MINUTES - April 7~ 1981~ 1:30 P.M. parks, but yet they were assets of the City and retained for all citizens. The same was true of the courses. Councilman Bay stated they had spent a great many months trying to get more factual information in order to come to some decisions and now they were within 60 days of that point. As of now, he had not seen anything that told him where the City stood on the upcoming budget and where the revenues had been sliced. He would not support the motion because it was calling for an immediate decision, one which he did not feel they had to make right now. He still preferred at least a 60-day delay on the decision. He wanted to see what the Commission would come back with based on what the architect would say needed to be done with the Anaheim Hills Course. He looked at the last six or seven years deficit that the taxpayers of the City would pay. He was not saying that at this time he favored giving the course away to private enter- prise with a good profit potential, but he would argue jumping to a decision right now when they were on the verge of acquiring the necessary information to make that decision. A vote was then taken on the foregoing motion. Council Members Kaywood, Bay and Roth voted "no". MOTION FAILED TO CARRY. MOTION: Councilman Bay moved to receive and file the Golf Course Commission report and to table action on it for 60 days at which time more information would be available ~n order to make a final decision. Councilman Roth seconded the motion. Before a vote was taken, Councilwoman Kaywood stated she did not want it mis- construed that she was for selling, leasing or giving the courses away. It was a matter of getting more information and facts before voting. A vote was then take on the foregoing motion by Councilman Bay. Councilmen Overholt and Seymour voted "no". MOTION CARRIED. MOTION: Councilman Seymour moved that prior to any decision of turning the Golf Courses over to private golf course management, that that decision be rendered in an evening public hearing. Councilman Bay seconded the motion. MOTION CARRIED. 123/170: DEVELOPER AGREEMENT FOR AFFORDABLE HOUSING - EDWARD PADILLA AND FINAL MAP . TRACT NO, 11256: .An agreement with Edward Padilla & Company to assure affordable sale prices for 11 units in a 22-unit condominium project located at 115-124 West South Street (~ontinued from the meeting of March 24, 1981--see m~nutes that date~, was submitted. Mr. Norm Priest, Executive Director of Community Development, briefed the Council on his three-page memorandum dated April i, 1981 (on file in the City Clerk's office~ recommending the authorization of an agreement between the C~ty and the developer, Edward Padilla & Company, to assure affordable sale prices for i1 units in a 22-unit condominium project located at 115-129 West South Street and also a ~ayers agreement between the City and the buyers of the affordable units located at ll5-12~South Street (~opies of the agreement were attached to the memorandumS. 81-554 City Hall, Anaheim, California - COUNCIL MINUTES - April 7~ 1981, 1:30 P.M. Councilman Roth then asked for clarification relative to Item 3, Page 2 of the subject memorandum which was provided by Mr. Priest and Mrs. Lisa Stipkovich. Further Council discussion followed on the matter during which Councilwoman Kaywood posed additional questions to staff relative to some of the points con- tained in the report. At the conclusion of discussion and questioning, Councilwoman Kaywood stated she was looking to protect the City and in her view, the affordable housing could be gone in one year or it could happen in six months. If the owner- occupant was able to sell for much more than the second trust deed, that would all be profit to him. She questioned then where the incentive would be to remain in the unit and sell it to a second person who would qualify at the lower rate. Councilman Bay stated that the incentive was only in the second trust deed being brought to bear and that was the only control that they had. If there was a large profit because of the price of housing going up on top of that, he did not see how they could control more than the difference being put in the second trust deed, and that was the whole idea. Councilman Overholt left the Council Chambers. (2:50 P.M.) Councilwoman Kaywood stated that was her concern. In the meantime the City had doubled the density and then was left with the higher density. MOTION: Councilman Roth moved to authorize an agreement with Edward Padilla and Company to assure affordable sale prices for 11 units in a 22-unit condo- minium project located at 115-129 West South Street and the buyers agreement between the City and buyers of affordable units located at 115-129 West South Street, as recommended in memorandum dated April 1, 1981 from the Executive D~rector of Community Development. Councilman Bay seconded the motion. Coun- cilwoman Kaywood voted "no". Councilman Overholt was temporarily absent° MOTION CARRIED. FINAL MAP - TRACT NO. 11256: Developer Edward Padilla; tract located on the north side of South Street, 200 feet west of Anaheim Boulevard at 115-129 West South Street, and contains one proposed PD-C zoned lot. On motion by Councilman Roth, seconded by Councilman Bay, the proposed sub- di, v~sion, together with its. design and improvements was found to be consistent with the City's General Plan, and the City Council approved Final Map - Tract No. 11256, as recommended by the City Engineer in his memorandum dated March 18, 19_81. Councilwoman Kaywood voted "no". Councilman Overholt was temporarily absent, MOTION CARRIED. 10.8: ENTERTAINMENT PERMIT APPLICATION: Application by Jose Gusman Castellanos, Never On Sunday, 281~ West L~ncotn Avenue, for several dancers on stage, seven n~ghtm a week, I~:OQ a.m. to 2:QO a.m. (Dontlnued from the meeting of March 31, 19281--see m}nutes that date~, was submitted. 81-555 City Hall, Anaheim, California - COUNCIL MINUTES - April 7~ 1981, 1:30 P.M. Councilman Roth referred to memorandum dated April 3, 1981 from the City Clerk's office indicating that the Magnolia School District Board was opposed to any expansion of the subject business. He asked if the application was for expan- sion. Councilman Overholt returned to the Council Chambers. (2:57 P.M.) City Attorney Hopkins explained that the permit was for entertainment activity to be conducted at the existing business. The School District had no authority under the ordinance to approve or disapprove an entertainment permit applica- tion, however, the District could express their concerns and objections for Council considerations. Councilwoman Kaywood moved to deny the subject application. Before any action was taken, Councilman Bay asked the City Attorney on what grounds the Council could deny the application. The City Attorney answered that at this time, he found no grounds on which they could legally deny the application. The Orange County Health Department had approved the sanitary conditions (~ee their letter dated February 20, 1981), and the Chief of Police had recommended approval of the entertainment permit. He (Hopkins). found nothing in the ordinance that would authorize a denial in this particular case. Councilwoman Kaywood's motion died for lack of a second. Councilman Roth moved to approve the subject entertainment permit application i,n accordance with the City Attorney's opinion that they had no other alterna- tive in thus case. Councilman Bay seconded the motion. Councilwoman Kaywood voted "no"~ MOTION CARRIED. 156: DRUG PARAPHERNALI,A ORDINANCE: Councilwoman Kaywood referred to the subject ordinance which was upheld by the Appeals Court overturning last January~s Superior Court decision stating that the City's ordinance was unconstitutional. She noted ~n a Westminster appeal, Justice Margaret Morris, noted "it was ludicrous to suggest the affect of the ordinance could possibly outweigh the community interest in protecting its children from indiscriminate exposure to commercial exploitation by business devoted to the sale of parapher- nali~ for the sale and abuse of drugs." She asked whether the City could now proceed to enforce the ordinance. City Attorney Hopkins answered "yes". He continued that, as they were aware, the ordinance merely required that they keep the paraphernalia segregated in a special area and that parents accompany any minors to the facility. They were now. free to enforce that, providing there was no appeal. At this time, there was no appeal of the decision that they received. Councilwoman Kaywood stated she would hope to see that they began enforcement. RECLASSIFICATION NO. 75-76-22 - EXTENSION OF TIME: Request by Robert Kaczmarek, The Baldwin Company, for an extension of time to Reclassification No. 75-76-22, proposed RS-5000(~C) zoned property located on the south and west sides of Nohl Ranch Road, east of Anaheim Hills Road, was submitted. 81~556 City Hall~ Anaheim~ California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. On motion by Councilman Roth, seconded by Councilwoman Kaywood, the subject request for an extension of time was approved, to expire April 27, 1981, as recommended in memorandum dated March 7, 1981 from Assistant Director for Zoning Annika Santalahti. MOTION CARRIED. VARIANCE NO. 2780 - EXTENSION OF TIME: Request by Ada Mary Woll, for an extension of time to Variance No. 2780, to permit a large equipment rental yard with various Code waivers on ML zoned property located at 4460 East La Palma Avenue, was submitted. On motion by Councilman Overholt, seconded by Councilman Roth, the subject request for an extension of time was approved, to expire April 27, 1986 as recommended in memorandum dated Arpil 7, 1981 from the Assistant Director for Zoning. MOTION CARRIED. CONSENT CALENDAR ITEMS: On motion by Councilman Overholt, seconded by Councilman Seymour, 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 claims were denied and referred to the C~ty's Claims Administrator or allowed payment of: a. Claim submitted by Pacific Telephone (~ase No. H146-0087) for damages to underground facilities purportedly sustained as-a result of City Water Division excavation activities at the east end of Walnut Canyon Road, on or about February 11, 19_81. b. Claim submitted by Mary V. Gerdes for personal injury damages purportedly sustained as a result of fall in front of Union Hall due to broken cement, on or about February 11, 1981. c. Claim submitted by Allstate Insurance (0necimo Cruz, Insured) for vehicular damages purportedly sustained as a result of accident involving City driver, on or about March 5, 19B1. d. Claim submitted by Pacific Telephone (Case No. H146-29) for damages to facilities purportedly sustained as a result of City storm drain construction project at Acaci~ and La Palma Avenues, on or about January 12, 1981. The following claims were allowed: e. Claim submitted by Pacific Telephone (~ase No. HO40-823U) for damages pur- portedly sustained as a result of Water Division operations at the intersection of Lewis Street and Katella Avenue, on or about January 22, 1981. f. Claim submitted by Robert J. Kelley for vehicular damages purportedly sus- tained as a result of accident caused by City-owned truck, on West Street, south of Broadway, on or about January 14, 1981. 2. CORRESPONDENCE: The following correspondence was ordered received and filed: a. 105:. Community Redevelopment Commission--Minutes of March 11, 1981. 81-557 City Hall, Anaheim, California - COUNCIL MINUTES - April 7~ 1981, 1:30 P.M. b. 105: Anaheim Park and Recreation Commission--Minutes of February 25, 1981. c. 105: Anaheim Housing Commission--Minutes of March 4, 1981. d. 173: Application.No. 60174, Kintetsu International Express (USA), Inc., for a Certificate of Public Convenience and Necessity. 3. 108: APPLICATIONS: The following applications were approved in accordance with the recommendations of the Chief of Police: a. Public Dance Permit: Anaheim Soccer Club, for a dance to be held April 18, 1981, 6:00 p.m. to 1:00 a.m., at the Anaheim Convention Center. (Felipe Jesus Guerena, applicant) b. Public Dance Permit: Cinco de Mayo Queen Dance, to be held May 1, 1981, 7:00 p.m. to 12:00 Midnight, at the Martin Recreation Center in La Palma Park. (Felipe Jesus Guerena, applicant) c. Amusement Devices Permit: J. R. Subs, 1025 North Moraga, for six arcade machines. (Jeff Tawasha, applicant) d. Amusement Devices Permit: Rio Vista Liquors, 2829 East Lincoln Avenue, for video and pinball machines. (Earnest Eugene Schmidt, applicant) 4. 170: TENTATI.VE TRACT NO. 11347 (REVISION NO. 1): Submitted by M. J. Brock and Sons, Inc., to establish a 91-lot, ~ gunit (22 open lots) condominium sub- division on RS-A,.43,QQQ zoned property located on the north side of Falmouth Avenue, and the south side of Coronet Avenue west of Romneya Drive. The C~ty Planning Commission approved Tentative Tract No. 11347 (Revision No. 1), and EIR No. 113 was certified 'March 16, 1974. 5. 170: TENTATIVE TRACT NO. 11464: Submitted by M. J. Brock and Sons, Inc., to establish a 66-1ot, 56-unit (il0 open lots) detached condominium subdivision on RS-A,43,00D zoned property located on the north side of Falmouth Avenue, and the south side of Coronet Avenue, west of Romneya Drive. The City Planning Commission approved Tentative Tract No. 11464, and EIR No. 113 was certified on March 16, 1974. 6. 170: TENTATIVE TRACT NO. 109_83 (~ORTION A): Submitted by Kent Land Company, to establish a 164-1ot, 162-unit,.RM-3000 zoned subdivision on property located at the southeast corner of Santa Ana Canyon Road and Weir Canyon Road. (Sub- mitted in conjunction with Variance No. 3195, which will appear on the April 14, 1~81 agenda under Planning Commission Consent Calendar) The City Planning Commission approved Tentative Tract No. 10983 (Portion A) and certified ESR No. 241. 7, 17Q: TENTATIVE TRACT NO. 1Q984 (~ORTION B): Submitted by Kent Land Company, to establish a 151-lot, 150~unit RS-5000 zoned subdivision on property located on the east side of Weir Canyon Road, south of Santa Aha Canyon Road. 81-558 City Hall, Anaheim, California - COUNCIL MINUTES - April 7~ 1981, 1:30 P.M. The City Planning Commission approved Tentative Tract No. 10984 (Portion B) and certified EIR No. 241. 8. 170: TENTATIVE TRACT NO. 11400: Submitted by Vermont 4-Plex, to establish a l-lot, 21-building, RM-1200 zoned subdivision on property located at 629 West Vermont Avenue° The City Planning Commission approved Tentative Tract No. 11400 and declared a negative declaration status. Councilwoman Kaywood stated she needed to know the purpose in selling off the 4-plexes. They were substandard to begin with and they were low on parking even with any improvements they would make--what would be served for the City in approving it. Miss Santalahti answered that two subdivisions had been done before by the same developer. They were being subdivided by buildings. She also believed there was a statutory air space subdivision. The buildings were going to be sold and thus the use was going to be retained as apartments. There was no actual change to the use. Councilwoman Kaywood asked if there had been a problem with the lack of parking. Miss Santalahti answered, when the review was held at the Departmental Committee meeting prior to the Planning Commission hearing, there was no commentary made by anybody about any parking problems. While there was not much parking, a fair amount of street parking was available. She did not think the City was buying a number of problems by having 21 new owners as suggested by Council- woman Kaywood. They were required to have an Association for the maintenance of the private streets and landscaping with the project. They also had not had any problems with the other two subdivisions. MOTION CARRIED. CONSENT CALENDAR ITEMS: Councilwoman Kaywood offered Resolution Nos. 81R-161 through 81R-168, both inclusive, for adoption in accordance with the reports, recommendations and certifications furnished each Council Member and as listed on the Consent Calendar Agenda. Refer to Resolution Book. 158: RESOLUTION NO. 81R-161: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM ACCE~TING AN EASEMENT DEED CONVEYING TO THE CITY 0F ANAHEIM CERTAIN REAL PROPERTY FOR AN EASEMENT FOR ROAD AND PUBLIC UTILITY PURPOSES. (R/W #28Q0-15~ (_Anaheim Boulevard widening} 16~: RESOLUTION NO. 81R-162: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM FINDING AND DETERMINING THAT PUBLIC CONVENIENCE AND NECESSITY REQUIRE THE CONSTRUCTION AND COMPLETION OF A PUBLIC IMPROVEMENT, TO WIT: SYCAMORE STREET-WEST STREET STREET IMPROVEMENT, IN THE CITY OF ANAHEIM, ACCOUNT NOS. 12-792-6325-E2660 & 12-793-6325-E3470; APPROVING THE DESIGNS, PLANS, PROFILES, DRAWINGS, AND SPECIFICATIONS FOR THE CONSTRUCTION THEREOF; AUTHORIZING THE CONSTRUCTION OF SAID PUBLIC IMPROVEMENT IN ACCORDANCE WITH SAID PLANS, SPECI- FICATIONS, ETC; AND AUTHORIZING AND DIRECTING THE CITY CLERK TO PUBLISH A NOTICE INVITING SEALED PROPOSALS FOR THE CONSTRUCTION THEREOF. (Bids to be opened May 7, 1981, at 2:00 p.m.) 81-550 City Hall, Anaheim, California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. 169: RESOLUTION NO. 81R-163: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM FINDING AND DETERMINING THAT PUBLIC CONVENIENCE AND NECESSITY REQUIRE THE CONSTRUCTION AND COMPLETION OF A PUBLIC IMPROVEMENT, TO WIT: LINCOLN AVENUE STREET AND STORM DRAIN IMPROVEMENTS, FHWA DEMONSTRATION PROJECT PROGRAM NO. 54 SULFUR EXTENDED ASPHALT, IN THE CITY OF ANAHEIM, ACCOUNT NOS..13-793-6325-E3320, 51-606-6325-26720-34340 AND 24-793-6325-E3440, A.H.F.P. 1000; 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 on May 7, 1981, at 2:00 p.m.) 164: RESOLUTION NO. 81R-164: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM FINDING AND DETERMINING THAT PUBLIC CONVENIENCE AND NECESSITY REQUIRE THE CONSTRUCTION AND COMPLETION OF A PUBLIC IMPROVEMENT, TO WIT: WATER IMPROVE- MENTS IN CAMINO GRANDE, FROM NOHL RANCH ROAD TO 2215 FEET WEST OF NOHL RANCH ROAD, IN THE CITY OF ANAHEIM, ACCOUNT NO. 53-607-6329-1709A-34350; 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 on May 7, 1981, at 2:00 p.m.) 164: RESOLUTION NO. 81R-165: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM FINALLY ACCEPTING THE COMPLETION AND THE FURNISHING OF ALL PLANT, LABOR, SERVICES, MATERIALS AND EQUIPMENT AND ALL UTILITIES AND TRANSPORTATION INCLUDING POWER, FUEL AND WATER, AND THE PERFORMANCE OF ALL WORK NECESSARY TO CONSTRUCT AND COMPLETE THE FOLLOWING PUBLIC IMPROVEMENT, TO WIT: MARK LANE SILT REMOVAL - NORTHFIELD SILT REMOVAL, IN THE CITY OF ANAHEIM, ACCOUNT NOS. 11-790-6325-E0280 AND 11-790-6325-E0290. (Empire Pipe Cleaning and Equipment, Inc.) 164: RESOLUTION NO. 81R-166: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM FINALLY ACCEPTING THE COMPLETION AND THE FURNISHING OF ALL PLANT, LABOR, SERVICES, MATERIALS AND EQUIPMENT AND ALL UTILITIES AND TRANSPORTATION INCLUDING POWER, FUEL AND WATER, AND THE PERFORMANCE OF ALL WORK NECESSARY TO CONSTRUCT AND COMPLETE THE FOLLOWING PUBLIC IMPROVEMENT, TO WIT: HIDDEN CANYON PUMPING STATION, IN THE CITY OF ANAHEIM, ACCOUNT NO. 51-619-7105-92180-32420. (Peter Kiewit & Sons' Company~ 164: RESOLUTION NO. 81R-167: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM FINALLY ACCEPTING THE COMPLETION AND THE FURNISHING OF ALL PLANT, LABOR, SERVICES, MATERIALS AND EQUIPMENT AND ALL UTILITIES AND TRANSPORTATION INCLUDING POWER, FUEL AS~ WATER, AND THE PERFORMANCE OF ALL WORK NECESSARY TO CONSTRUCT AND COMPLETE THE FOLLOWING PUBLIC IMPROVEMENT, TO WIT: HIDDEN CANYON RESERVOIR, IN THE CITY OF ANAHEIM, ACCOUNT NO. 51-619-7105-92180-31200. (Peter Kiewit & Sons' Company~ 113: RESOLUTION NO. 81R-168: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM AUTHORIZING THE DESTRUCTION OF CITY RECORDS MORE THAN TWO YEARS OLD. (Finance Department records) 81-560 City Hall, Anaheim, California - COUNCIL MINUTES - April 7, 1981~ 1:30 P.M. Roll Call Vote: AYES: NOES: ABSENT: COUNCIL MEMBERS: COUNCIL MEMBERS: COUNCIL MEMBERS: Overholt, Kaywood, Bay, Roth and Seymour None None The Mayor declared Resolution No. 81R-161, 81R-162, and 8IR-164 through 81R-168 duly passed and adopted. Roll Call Vote: AYES: COUNCIL MEMBERS: Overholt, Kaywood, Bay and Seymour NOES: COUNCIL MEMBERS: None ABSTAINED: COUNCIL MEMBERS: Roth ABSENT: COUNCIL MEMBERS: None The Mayor declared Resolution No. 81R-163 duly passed and adopted. Councilman Roth abstained from voting on Resolution No. 81R-163, since the improvements involved included the street areas surrounding his business office. 142/179: ORDINANCE NO. 4217: Councilman Overholt offered Ordinance No. 4217 for adoption. Refer to Ordinance Book. ORDINANCE NO. 4217: AN ORDINANCE OF THE CITY OF ANAHEIM AMENDING SUBSECTION .0518 OF SECTION 18.31.020, SUBSECTIONS .012 AND .020 OF SECTION 18.31.061, SUBSECTIONS .011, .012 AND .032 OF SECTION 18.31.062, AND SUBSECTION .010 OF SECTION 18.31.066, AND ADDING NEW SUBSECTION .060 TO SECTION 18.31.050, AND ADDING NEW SUBSECTION ,Q!3 TO SECTION 18,31.062, OF CHAPTER 18.31 OF TITLE 18 OF THE ANAHEIM MUNICIPAL CODE RELATING TO ZONING. (RM-3Q00 zone standards) Before a vote was taken, Councilwoman Kaywood stated what they would wind up doing by the ordinance was to raise the land costs, thereby raising the price all the way through. It would have irrevocable results throughout the City. The higher the density and the closer the units, the greater the fire hazard. A vote was then taken on the foregoing ordinance. Roll Call Vote: AYES: NOES: ABSENT: COUNCIL MEMBERS: COUNCIL MEMBERS: COUNCIL MEMBERS: Overholt, Roth and Seymour Kaywood and Bay None The Mayor declared Ordinance No. 4217 duly passed and adopted. ORDINANCE NO. 4218 AND 4219: Councilman Roth offered Ordinance Nos. '4218 and 421~ for first reading. ORDINANCE NO. 4218: AN ORDINANCE OF THE CITY OF ANAHEIM AMENDING TITLE 18 OF THE ANAHEIM MUNICIPAL CODE RELATING TO ZONING. (69-70-43(5), ML) 81-561 City Hall: Anaheim~ California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. ORDINANCE NO. 4219: AN ORDINANCE OF THE CITY OF ANAHEIM AMENDING TITLE 18 OF THE ANAHEIM MUNICIPAL CODE RELATING TO ZONING. (75-76-22(2), RS-5000, Tract No. 9215 and 10940) 105: ORANGE COUNTY SENIOR CITIZENS COUNCIL: Councilwoman Kaywood reported that she attended the American Association of Retired Persons (AARP) luncheon on Friday, April 3, 1981 and she wanted to place in nomination the name of Mr. Herman Sigmund for the Orange County Senior Citizens Council. Mr. Herb Eggett recommended Mr. Sigmund. He had been in Orange County for a few years and she met him at the luncheon. He had also become extremely active in the AARP and a person who would be a credit to the City. They would have to place his name in nomination at the League of Cities meeting on Thursday, April 9, 1981. It was on the agenda and the opening was in the Third and Fourth Super- visorial Districts, since Mr. A1 Hudson resigned. Councilman Roth stated he would like to pass that through Anaheim's Senior Citizen's Commission for their support although he realized the time was short; Councilwoman Kaywood pointed out if they passed up the opportunity, someone from another City could be selected. Councilman Roth stated he knew Mr. Sigmund and he was a fine gentlemen, but preferred to have the proposed nomination passed through the respective Commission. Mr. John Shanahan, Chairman of the Anaheim Senior Citizens Commission, who was present in the Council Chambers, stated that he was not personally ac- quainted with Mr. Sigmund although his background looked quite credible. The Commission would be meeting on this coming Thursday at 1:30 p.m., and they could inform the Council as to the Commission's feelings on the nomination of Mr, Sigmund right after the meeting. Councilwoman Kaywood also stated that she would like Mr. Sigmund to attend the Commission meeting; Mr. Shanahan stated he would personally contact Mr. Sigmund that evening. MOTION: Councilwoman Kaywood moved to recommend the nomination of Mr. Herman Sigmund for the Orange County Senior Citizens Council and that the Anheim Senior Citizen Commission ask Mr. Sigmund to attend the Thursday, April 9, 1981 Commission meeting, so that the Commission could make a recommendation to the Council accordingly. Councilman Roth seconded the motion. MOTION CARRIED. Mr. Shanahan was then instructed to contact the City Clerk with the information which the City Clerk would subsequently relay to the Council before the League of Cities meeting. 114: AUDIT COMMITTEE LIAISON MEETING: Mayor Seymour reported on the Audit Committee Liaison meeting held that morning attended by he and Councilman Overholt. They reviewed the work that had been completed at least in draft form by Price Waterhouse relative to the City Treasurer's function, the defi- nition of his job and setting objectives and how he might do a better job, and also over a report relative to an effort to be made through the City Manager's office, to increase productivity within departments. No decision was made and the Council would be receiving copies of those reports in a timely fashion. 81-562 City Hall, Anaheim, California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. RECESS - CLOSED SESSION: The City Attorney requested a Closed Session to discuss litigation with action anticipated. Councilwoman Kaywood moved to recess into Closed Session. Councilman Bay seconded the motion. MOTION CARRIED. (3:28 P.M.) AFTER RECESS: Mayor Seymour called the meeting to order, all Council Members being present. (3:50 P.M.) 112: HOERAUF VS. CITY OF ANAHEIM, ET AL: On motion by Councilman Seymour, seconded by Councilman Bay, the City Attorney and Ruston & Nance were author- ized to settle Orange County Superior Court Case No. 29-72-00, Hoefauf vs. City of Anaheim, et al, for a sum not to exceed $6,500. MOTION CARRIED. RECESS: Councilman Bay moved to recess to 7:00 P.M. to hold a continued public hearing on Reclassification No. 80-81-14, Conditional Use Permit No. 2121 and Tentative Tract No. 11305. Councilwoman Kaywood seconded the motion. MOTION CARRIED. (3:51 P.M.) AFTER RECESS: Mayor Seymour called the meeting to order, all Council Members being present. (7:10 P.M.) 101/123: ANAHEIM STADIUM CAPITAL IMPROVEMENTS FUND TRANSFER AGREEMENT: City Manager Talley briefed the Council on memorandum dated April 6, 1981 from his office recommending the execution of an agreement between Anaheim Stadium, Inc., and the City for the transfer and replenishment of the Stadium Capital Improve- ment Funds. MOTION: Councilwoman Kaywood moved to authorize the Mayor to execute the agree- ment between ASI and the City of Anaheim for the transfer and replenishment of the Stadium Capital Improvements Fund. Councilman Roth seconded the motion. MOTION CARRIED. CONTINUED PUBLIC HEARING - RECLASSIFICATION NO. 80-81-14~ CONDITIONAL USE PERMIT NO, 2121, TENTATIVE TRACT NO. 11305 AND NEGATIVE DECLARATION: Application by Bank of California, N. A. Trustee, for a change in zone from RS-A-43,000 to RM-3000, to permit a 2-lot, 99-unit condominium subdivision (Revision No. 1) on property located at 2170 South Harbor Boulevard, with various Code waivers. The City Planning Commission, pursuant to Resolution No. PC80-208, declared that the subject project be exempt from the requirement to prepare an EIR pursuant to the provisions of the California Environmental Quality Act since there would be no significant individual or cumulative adverse environmental impact due to this project and further, granted Reclassification No. 80-81-14 subject to 15 conditions. The City Planning Commission, pursuant to Resolution No. PC80-209, granted Conditional Use Permit No. 2121 in part, subject to four conditions and further, approved Tentative Tract No. 11305 subject to certain conditions. A review of the Planning Commission's decision was requested by Councilman Bay at the meeting of December 23, 1980 and public hearing scheduled and continued f=om the meetings of January 20, 1981 and also March 10, 1981 (see minutes those dates)_.~ Extensive 'discussion and testimony took place at the meeting of March 10, 19_81. 81-563 City Hall, Anaheim, California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. Miss Annika Santalahti, Assistant Director for Zoning, explained that the two drawings displayed on the Chambers wall--Revision No. 1, was the exhibit approved by the Planning Commission for a total of 99 dwelling units with four waivers of minimum lot area, maximum structural height, minimum recreational leisure area and minimum number and type of parking spaces. That included 25% affordable units. The developer, prior to the first hearing by the City Council, submitted a revised plan, Revision No. 2 of Exhibit No. 1, which was also posted on the Chambers wall. It reduced the number of units to 93, retained the 25% affordable and still included the same four waivers although modified. Under the new ordinan6e adopted this afternoon by the City Council (Ordinance No. 4217) which would become effective in 30 days, the first two waivers, "a", minimum lot area per dwelling unit and "b", maximum structural height, would both be deleted and only "e", minimum recreational-leisure area, and "f", minimum number and type of parking spaces, would remain. The Mayor asked if the applicant or applicant's agent was present. Mr. Floyd Farano, attorney, 2555 East Chapman, Fullerton, agent for the applicant, stated before he made his presentation, he wanted Mr. Mohen of Dan L. Rowland & Associates, architects of the project, to discuss a few details of the logistics of the project. Mr. Dale Mohen, Dan L. Rowland & Associates, 1000 West La Palma, explained that the project, as revised, was made up of 93 units incorporated on 5.3 acres of land area. Six of the units were in one-story buildings as indicated on the posted site plan, 42 of the units were within two-story buildings, and 45 were made up of one-story units and also another one-story plus loft unit, making a total of three stories. Those were located at the center of the project. There were a total of 228 parking spaces, averaging 2.5 spaces per unit. Some of the units contained attached garages and those were located around the perimeter of the project. The rest had carports and open space parking for visitors. Ail of the units faced an interior open space with the park area and street area surrounding them. There were a few units situated at Cliffwood Drive and the front of the units were actually facing that street with a small fence around the front patio also, the exterior design was a contemporary mediterranean design concept, and the finish would be bascially stucco and wood. Upon Council questioning, Mr. Mohen relayed the following: There was a con- tinuous private street in the development encircling the project which followed the private street standards in the City; relative to parking, based on the new standards, the waiver would be on the garages because some of the units did not have garages and in order to have them, they would have to decrease the density considerably; on the requested waiver "e", minimum recreational- leisure area, they were providing 880 square feet per unit and the Code re- quired 10QQ square feet. Miss Santalahti then clarified the parking waiver for Councilman Bay. The modification made to the Code also took into consideration units that were larger than 1225 square feet and located on private streets, On that basis, since there were six such units in the project, the overall parking ratio should have been 2.56 for the project and her calculations showed that it was 2.45. 81-564 City Hall, Anaheim, California - COUNCIL MINUTES - April 7~ 1981, 1:30 P.M. Mr. Farano stated, relative to the statistics, using 2.50 and not 2.56, that computed out to 232.5 required spaces and their plans showed 230. Percentage- wise, they were within 98.9% of the Code requirements. Relative to recreational area, they were within 88%. The way they calculated, they were somewhere be- tween 2.5 and 3.5 parking spaces short. If the Council wished, he felt they could pick those up. On the recreational-leisure area, he did not know if they could pick that up without deleting a number of units, but it seemed to him 88% was reasonable to consider to be a substantial compliance. Mr. Farano then made his presentation to the Council, the highlights of which were summarized as follows: Relative to the impacts of the report, the law required certain formalities to be observed by a developer of a mobilehome park where the use was changing. They analyzed the laws of the State and reviewed the City Attorney's memorandum dated March 16, 1981 (made a part of the record), prepared at the direction of the Council, and felt that the memo- randum presented to the Council prior to the March 10, 1981 meeting entitled-- "Comprehensive Mobilehome Park Development Impact Report" (made a part of the record) was in compliance with all laws of the State. The only addendum would be the qualification of the appraiser, Alan Brown. They had distributed copies of Mr. Brown's qualifications to the Council (made a part of the record) and to Mrs. Dietch, attorney representing the Park residents. A copy was also dis- tributed to the park tenants and they had Proof of Service on every one of those. The cost figures in the report as to refurbishing were predicated upon actual engineering studies. Their projections as to cost of rebuilding the park in its entirety and conforming with the City ordinances were predicated upon Mr. Thomas Kerr, one of the authorities in the State relative to the cost of development and redevelopment of mobilehome parks in his published book. Insofar as the profile and present condition of the tenants and their tenancies in the park, when they begin the application, there were 45 permanent residents in the park, not i'ndividuals, but separate mobilehome units. Since then, ten tenants had moved their mobileh0mes from the park, and they paid those people pursuant to the conditions that the Planning Commission set forth in its approval of the application. They understood and had indications that four additional persons were moving and had actually placed deposits on mobilehomes in other parks, thus leaving 31 mobilehomes to deal with. As far as notices to the tenants of the application and notice of the change of land use, Et was served on or about September 19, 1980 on each and every one of the residents and they also had proof of service that a copy was served to each resident. Relative to the appraisal, they did retain the appraiser in confidence; however, he was present tonight. He appraised each and every one of the homes and there were some discrepancies as the Council pointed out last time, as did several of the mobilehome owners. Mr. Brown reviewed all of the appraisals and made some m~nor adjustments to four of them, the rest being accurate. He took into con- sideration the comparable sales listings in the Orange County area and Blue Book value. Ail of the figures were available to the Council in a work sheet form for their inspection. Mr. Farano then narrated a short slide presentation showing many of the mobile- homes in the park, as well as the condition of the park in general. The park was in need of updating and rennovation which would cost approximately $618,000, 81-565 City Hall, Anaheim~ California - COUNCIL MINUTES - April 7~ 1981, 1:30 P.M. resulting in a rent increase of approximately an additional $235 per month per space. Westwinds Mobilehome Park had outlived its life expectancy, having been built 25 years ago on an interim land use basis. Mr. Farano then briefed some of the statistics given in the aforementioned impact report relative to the average age of the coaches in the park (see Page 9 and 10 of that report). Of the coaches remaining at this time that were 18 years of age or older, there were 12, or 35%, and those 17 years or older, 18, or 53%. Mr. Farano then explained that the three relocation assistance plans proposed as follows: (also see Page 15 of the subject impact report): Plan A: For persons and individuals living on a fixed income or disabled in some way, the owner would pay 100% of the knockdown, set-up cost and trans- portation with 50 miles. For those persons not on fixed incomes, the owner would pay 50% of the knockdown, set up costs and transportation within 50 miles. Plan B: Designed to give credit to the age of the coach, the time the person had been in the park and based upon its appraised value. Example: They would take the appraised on-site value with the home sitting exactly as it was right now in accordance with the appraisals that had been determined. They would subtract from the on-site value, the off-site value and then establish what they considered to be part management responsibility of 70% of the amount remaining. (See example and formula used starting on bottom of Page 15 and top of Page 16 of the report). The reason for taking 70%, those knowledgable of mobilehome parks were aware that 70% of the value of the home was derived from ~he setting in which it was located. Further, in order to give some weight to the person who owned the mobilehome and not penalize them on a short tenancy in the park, they gave up to 10% for every year they lived in the mobilehome, irrespective of the age of the coach. (See example Page 16 of the impact report). Because there were so many long-time tenancies involved, 18 to 22 years in the park, they assigned a value of not less than $1,000 to be paid to any person. Again, they would keep the coach, receive their money, but under that circumstance, would pay their own moving costs. Plan C: This plan was proposed by the Planning Commission at the December 1, l~8Q Planning Commission meeting ~see City Planning Commission minutes that date) and accepted by the developer. They would pay the owner of a single- wide tra~ler the sum of $1,700 to move and the owners of a double-wide, $2,3Q0. This was the formula that everyone, except one person who had moved, had accepted. In this case again, the owner would keep his mobilehome. Mr. Farano then clar±fied that the mobilehome residents were not bound to any- one of the formulas, but could take their choice. Mr. Farano continued that they were in touch with Mr. Dietch by telephone since the meeting of March 10, 1981, but no face-to-face meeting ever occurred because it appeared that the alternatives Mr. Dietch proposed were not accep- table. Those proposals were (~) that the residents would be able to continue living in the park as it existed today; (2) that the residents would be able to move into a park in Orange County and that they assist them in doing so and (~) that the residents be paid full value for their coaches. Relative to the first proposal, the answer was unequivocably, "no" and that one way or the 81-566 City Hall~ Anaheim, California - COUNCIL MINUTES - April 7~ 1981~ 1:30 P.M. other, the park was not going to remain in existence; on the second proposal, they were all for that if there was any way they could manage it. As part of the plan, they proposed to offer relocation assistance. On the last proposal, their response was negative because they felt it was confiscatory and a punishment to the developer. In concluding, Mr. Farano stated that their letter to Mr. Dietch was before the Council (see four page letter dated April 3, 1981--made a part of the record). He then reiterated that the destiny of the Westwinds Mobilehome Park was limited and because of the fact as presented in a number of other material considerations, they could not see that park continuing in existence. The Council should also take note of the fact that they had been accused of many things. They could understand and had a great deal of feeling for the people living in the park and their circumstances. Whether they realized it or not, they spent a great deal of time on the issue as was exemplified in the impact report they submitted. Mr. Farano stated they also had books, records, '.and appraisals available tonight for anyone who wished to see them (which were later submitted to the Council). Mr. Brown was also available for any questions. Councilman Bay then stated he assumed that Westwinds was a limited partnership; Mr. Farano answered "yes". Councilman Bay continued that he also assumed the members of the partnership were public information. Mr. Farano sstated he could not answer that, but he had not found anything sec- retive about the organization thus far. He had a copy of the trust deed and would not release that information because it was private unless his client told him to do so. If they wished disclosure of that information, he would be happy to ask. Councilman Bay stated he was not concerned with the silent owners, but he was curious about who the two operating owners were if that was the type of limited partnership involved. If there was any conflict of interest whatso- ever on the Council with any of the members of the partnership, if it was a completely hidden partnership name-wise, he did not know how the Council was going to know if any member would have a conflict of interest. Mr. Farano stated he did not know how to answer that. Westwinds was primarily a Beverly Hills based organization and one of the principals was located in Las Vegas, Nevada, in the construction business in that City. If a question of that sort was in the minds of the Council, he was certain his client would divulge the names of all of its principals to the City Attorney for his examination. He would not expect, and would not expect them, to do so publicly. Councilman Overholt asked if there was a certificate of limited partnership on file with any public agency; Mr. Farano stated that he did not know and he had never seen that certificate. Councilman Overholt thereupon asked if the representative of the client present tonight had a copy of the certificate, would he produce it if filed with a public body. Mr. Farano stated if filed with a public body, they would produce a copy of the certificate. 81-567 City Hall, Anaheim~ California - COUNCIL MINUTES - April 7~ 1981~ 1:30 P.M. Councilman Overholt noted further if such a certificate were not filed, there would be no limited partnership. Mayor Seymour stated before proceeding he would like to ask Councilman Bay for clarification as it sounded as if there might be some intimation that one or another Member of the Council could possibly have a conflict of interest and none of them would want to face that possibility at least knowingly. If he had some information, he asked that he make it public. Councilman Bay stated he did not have such information, but not knowing the ownership, he questioned how any of the Council Members could determine if they had a conflict. The Mayor asked the City Attorney for a clarification of conflict of interest; the City Attorney answered, financial interest under the Fair Political Reform Act required some foreseeable income that would be derived from a financial interest in the project. Mayor Seymour then surmised that under those circumstances, each of the Council Members should know the answer to that question. Councilman Bay then reiterated, there was no implication on his part; he was just trying to understand the legalities. If "foreseeable" was the key word in the law, he saw no problem; the City Attorney confirmed that was the key word. Mr. Farano then reported, in response to Councilman Overholt's previous ques- tion, that they did not have a copy of the trust document in the Chambers, but his associate had gone back to the office to retrieve it and would return with it. The title report developed for the application indicated that the legal title was held by the Bank of California, Trustee. Mayor Seymour noted the staff recommendation contained in memorandum dated April 7, 19~l--"That any action taken by Council approving a conversion of the Westwinds Trailer Lodge to another land use, not be taken until after a plan is submitted providing for adequate compensation for the displaced permanent mobilehome pa~k residents. Said plans should consider the particular needs and desires of each household and should consist of an acceptable com- bination of relocation and/or financial assistance." Mr. Farano had spelled our three alternatives which he indicated had been approved by the Planning Commission. The Mayor asked where there was a difference of opinion. Miss Santalahti answered that their great concern was that the specifics of the tenants were not being addressed. For' example, if young couples with children had lived in the park for a year, their needs would be very differ- ent from the retired person living there for 20 years in an old unit. To uproot that person and pershaps move them out of Orange County had to be a much more tramatic experience. They did not have any dollar amounts they could attach to that type of situation. What she would like to have seen in the impact report was an evaluation on the occupants in the park and what kind of people they were talking about and their particular needs. Her feeling was 81-568 City Hall, Anaheim~ California - COUNCIL MINUTES - April 7~ 1981, 1:30 P.M. that there had to be a kind of sympathy, courtesy or a moral dollar amount attached to the mobilehomes. If perhaps they had an idea of the incomes, they could almost say that some deserved twice as much or deserved the actual finan- cial cost to relocate and the further away from the park, perhaps they should receive twice the dollar amount to compensate for the loss of their home at the present location. She had no dollar amounts, but her feeling was perhaps that it should be twice as much as being offered. There would definitely have to be some kind of report giving the profile of the tenants and they should be encouraged to get that kind of information together. If Mr. Farano devised a questionnaire and the tenants could fill it out in some way that it would not be used against them, perhaps staff could do an evaluation of the numbers. Mr. Farano stated that they had sent out questionnaires, written letters and urged people to cooperate relative to the survey and assured them it would be held in confidence. Their response was very limited. If that information was deemed a part of the impact report, then they were not able to comply with it; however, it was not as though they had not tried to do so. The response they got was not significant and did not enable them to give that profile. Mayor Seymour asked if he would provide the Council with the questionnaire sent out with whatever responses they received; Mr. Farano stated he would do so and he had the information with him tonight. Miss Santalahti stated she felt they were complying with whatever the State was asking for, but the applicant filed his petition prior to the State requirement being effective. In submitting that particular report to the Council, he sub- mitted it perhaps retroactively when he really did not need to it, because the original application came in before the law went into effect. The issue was that the tenants in the subject park may be different from tenants in other parks and different from each other and thus deserved Something different from what others should have. It was more of a moral obligation and the tenant profile would be helpful. Perhaps there was some other way that it could be handled so that they could get the information in a way that was more acceptable to the tenants. Otherwise, Council decision would have to be based on the in- formation they had with them. Councilwoman Kaywood then asked Mr. Brown, the appraiser, if he could shed some light on Plan B which she found very difficult to understand from Mr. Farano~s prior explanation, especially with regard to the 70% factor (see Page 16 of the subject impact report). Mr. Alan Brown, Mobilahome Appraiser, explained that the in-park value was the total value with the space, the mobilehome and all the amenities included. The out-of-park value was something far less and what they called the actual cash value. By deducting the actual cash value from the in-park value, they received a different figure and several factors came into play affecting that value. Part of those were the location and the very fact that the mobilehome was located on a space in a mobilehome park. The applicant was admitting to 70% of that value, the additional 30% were the improvements, the maintenance of the home and upgrading of the home. That would be the tenant's contribution to the equity or the difference in the two values. He reiterated they were saying, 3Q% of the value was caused by the tenant and 70% by the park, and the home being on a location. 81-569 City Hall~ Anaheim~ California - COUNCIL MINUTES - April 7~ 1981, 1:30 P.M. Mayor Seymour stated he felt Councilwoman Kaywood's concern revolved around the question of equity as he (Brown) described it. He asked who suggested that 70% and 30% were good numbers, why not 100% for the tenant and owner. Mr. Brown stated his feeling was that it should be 50-50; Mr. Farano suggested 70%. A little greater portion of the value of the home was determined by the tenant's care of the home. He did not believe that the 70% was fair, but 50-50 would be more equitable. Extensive discussion then followed with Mr. Brown, the Council and Mr. Farano relative to the formula under Plan B during which Mr. Brown clarified that the formula used had not been determined by him but by the applicant. Mr. Farano also explained that Mr. Brown did not determine the formula, his office did but he (Brown) verified the credibility of the 70-30 spread; Councilwoman Kaywood stated, or 50-50 or whatever, the point being, however, that Mr. Brown was adding to it and he (Farano) was deducting it. Councilman Overholt stated the formula was something Mr. Farano developed designed to ease the burden on someone who recently purchased and that was all; Mr. Farano concurred, he never said it was anything else. Councilman Overholt stated that they came up with what he would call a fiction (in-law) saying,-in essence, when buying in the park, 70% of the difference between the off-site and on-site value was the buyer's equity and as they stayed longer, the equity diminished to where it was a token $1,000. It was the buyer's equity and not the land owner's equity. Mr. Farano stated he felt that. was correct. He did not think they meant to say anything else, It was not the landowner's equity, it was the proportion of the difference between the on- and off-site value contributed by the very presence and state of the park. Mr. Farano then stated that he had now received a copy of an amendment to Trust Agreements PT2176 dated DecemBer 16, 1979 showing the title, Bank of California, Trustee and the beneficiary of the trust, Westwinds Investment, Ltd., a limited partnership. That was as far as he was going to go. If the Council or City Attorney wanted to see it, they were welcome to it. (Later in the meeting, the document was made a part of the record). Councilman Overholt asked what the title report said about Westwinds; Mr. Farano answered, the Bank of California, Trustee. He did not believe it said anything at all about Westwinds. Mayor Seymour asked that the Council be able to view the Trust Agreement as well as the title report; Mr. Farano submitted documentation to the Council. The Mayor then opened the public hearing to those who wished to speak. Mr, Michael Dietch, Attorney representing the park tenants, stated the preliminary discussion with Mr. Farano was a presentation regarding meeting the current or future Code requirements for the development. He understood that the new ordinance was not going into effect for another 30 days. Even with the new 81-570 City Hall~ Anaheim, California - COUNCIL MINUTES - April 7, 1981~ 1:30 P.M. ordinance, the application failed to meet the current or future Code require- ments, those requirements having been relaxed quite significantly. Relative to the use of the terms substantial compliance with the Code, the project stil did not satisfy the new requirements, the point being, either the venture satisfied the City's new Code requirements or did not. If the.Council pro- posed to proceed with the venture, he would request that they insist that it comply with all the requirements of the Code. When he originally appeared in front of the Council, he requested to know whether the applicant had standing to be an applicant and he was still re- questing that determination. The application had been made on behalf of the Bank of California. The Bank of California was shown as the title holder as a trustee, yet the applicant was Westwinds Investments Ltd. He questioned the fact that they were not the true applicant ~nd whether the Bank of California had the authority to be the applicant for a partnership which was presumably in existence at this point in time and which proposed to do the development. The Mayor interjected and stated he (Dietch) was then concluding, on the second point that the hearing was improper; Mr. Dietch confirmed that was correct~ The Mayor then asked to hear from the City Attorney on that point. City Attorney Hopkins stated that the applicant was the Bank of America as trustee and they had no evidence that trusteeship was not properly established. Under the circumstances, until they had some evidence that there was a defect in the trusteeship, he would rule that the hearing was proper. Mr. Dietch continued that the statement was made on behalf of the applicant that the park was in a state of neglect, needed substantial amounts of money for repairs, and that the applicant had been in possession of the park since December of 19~79. However, the need for repairs had been in existence for that period. If they were necessary repairs and the tenants were paying space rent, he questioned why the landlords did not have the defects cured during that 15-month period. He also knew of no health, safety and building code citatioms that had been served on the park for defects during that period. The slides used to illustrate the coaches failed to illustrate those that were brought into the park in 1980, those being more of a modern age and some double ones. Even though the word mobile was used, homes were not mobile. The tenants lived in the coaches because it was their home and not a means of investment. Mr. Dietch then alledged that Plans A, B and C were discriminatory on their face as they affected those people on fixed incomes vs. those who were not, and on the basis of those who had lived in the park less than five years vs. those who lived there longer. The purchase value for a mobilehome did ~nclude the site and the condition of the mobilehome. The slides also illustrated that the homes and their spaces were well maintained and properly cared for. Relative to the appraisals, there was a gross discrepancy in the appraisals presented at the last two meetings. Both people who acted as appraisers on behalf of the tenants and on behalf of the landlord were both in the area of sales of mobilehomes and thus should be on equal footing as to what a coach was worth, either in place or not in place. Yet there was a wide variation in the value of the homes, tt would be his suggestion that an independent appraiser, one not connected with a dealership, possibly be appointed to come up with an independent value for the mobilehome should a workable plan be suggested and accepted by the tenants. 81-571 City Hall~ Anaheim~ California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. Discussion then followed between Councilman Roth and Mr. Dietch as a result of Councilman Roth's question relative to the 12-month notice to be given to the tenants in accordance with State law which had been served (see minutes March 10, 1981 where the matter was also discussed). Mr. Dietch stated although proper notice had been given, there were other factors involved. The California Civil Code also stated that a park owner, and this was true in 1979 and 1980, must give each tenant a set of rules and regulations and each year must give them a copy of the current Civil Code requirements. The Civil Code in 1979 and 1980 stated if a tenant requested a lease of not less than 12 months, it must be given to that tenant by the park. Yet, the tenants had not received any current rules and regulations, nor any notices or listing of the current California Civil Code requirements. If they had been, he would assert that they would have requested long-term leases and would have been granted those leases under the Code. Councilman Roth asked the City Attorney to speak to that aspect; City Attorney Hopkins stated what Mr. Dietch just stated was correct as far as the Civil Code provisions were concerned; however, there was a remedy provided in the Civil Code that the tenants could seek in a court. As far as the City enforcing that, it was not a matter that the City had any enforcement power over. The only section dealing with the City's activities was Government Code Section 66427.4 which required the filing of a report which must address the avail- ability of adequate placement space in mobilehome parks and must refer to the impact of conversion upon displaced residents. That must be given to the residents of the park at least 15 days prior to the hea~ing. As stated previously, it provided that the City Council or Planning Commission may, and the word "may" was important, require the subdivider to take steps to mitigate any adverse impact on the ability of the displaced mobilehome park residents to find adequate space in a mobilehome park. That was the only section they felt was relevant--the mitigation factor and providng the report. If there was a failure to provide that report, then there would be a question about the validity of the Council action. Mr. Farano indicated that he had appeared and served the report as required by the Government Code. Mayor Seymour asked Mr, Dietch in his representation of the tenants, what efforts he had made to try to mediate the differences between the tenants and the owners. Mr. Dietch then explained for the Mayor what had transpired in the period from March 10, 1~81 to the present which in essence amounted to approximately two telephone calls representing the sum total of about one-half hour wherein he put forth four proposals. H~wever, he had been unsuccessful in mediating the matter, Mayor Seymour then asked the representative of the tenants and since he could not mediate the matter with the park owners, would he be willing to cooperate i-n providing the necessary information. Mr. D~etch asked the Mayor to tell him what information was needed and he would get it from his clients. Mayor Seymour, after having confirmed with Mr. Dietch that he had seen the questionnaire referred to by Mr. Farano, asked if he (Dietch) would be willing to provide that information to the City staff. 81-572 City Hall~ Anaheim, California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. Mr. Dietch answered he believed they would provide that information if it could be provided without any names. They could submit one per coach with some indi- cation that there would not be any names associated with it; the Mayor questioned how with no name they could take care of the individuals' needs. The residents present were then asked if they would have any objection to giving to staff a full financial disclosure relative to income, age, etc; Mr. Dietch answered the indications he got, with the exception of one or two, that infor- mation would be provided to staff. He confirmed for Councilman Roth that the information would be provided with names. Miss Santalahti explained that they would work out charts with profiles of the tenants and information where everybody would be added together. They would, for instance, do as Housing did where point grades were given for people who moved into affordable units. Councilman Overholt then asked Mr. Dietch he felt if Mr. Farano's proposal was fair and, if not, did he have a proposal which he felt was fair. Mro Dietch first answered that he did not think the proposal was fair and neither did his clients. Further, assuming that his clients could not reside in the park and assuming that they were not able to find a space in Orange County, they were then faced with a mobilehome with no place to put it. A fair and reasonable offer would be if the applicant wanted to purchase those mobilehomes, his clients would be more than happy to sell them at a fair price on an in-place basis because that was the way his clients purchased the mobile- homes. The other alternatives were indicated in the letter dated April 3, 1981 by Mr. Farano~to him (~ubmitted earlier in the meeting) where there were four alternatives in descending order, the first starting with remaining in the park, the second relocating in Orange County and he believed two others. The Mayor stated he only saw three-(3) remain in the park; (2) find another park in Orange CQunty (3) full value for the coaches; Mr. Dietch clarified that was correct, Councilman Overholt asked Mr. Dietch his rationale for asserting that his clients were entitled to the on-site value of the mobilehome. Mr. Dietch answered that the applicant stated they purchased the propoerty in December 1R79. The value of that property had to be established at that point in tithe and part of the price of appreciation was due to the fact that the tenants, had moved onto that property and created improvements of their own on the property. He maintained that not only had the landowner through his capital improvement caused an appreciation, but also the tenant had caused an appreciation upon which he elaborated further. The majority of the tenants purchased their coaches in place. The price they paid was not a wholesale value, but a fair going value which included value for the location, etc. Further it was interesting to note that no one actually had Mr. Brown inside their mobilehomes for appraisal. Whatever appraisal was made was done from the exterior. Therefore, the true value could not be ascertained without looking at the inside. He further explained for the Mayor that he would say the greater percentage of value was attributable to the tenants. He would 81-573 City Hall; Anaheim, California - COUNCIL MINUTES - April 7~ 1981~ 1:30 P.M. assert 100% although he could not stand on that, but he felt it was in the area of 70 to 80%. They deserved something for being moved out. The majority lived in Anaheim for many years and theirs was low cost or affordable housing. If the project was approved, that low cost housing would done away with. Senior citizens were involved whose physicians were local and the younger people were employed in the area. They deserved some consideration before they were thrown out, in addition to 70 or 80% factor. He would argue that legally by employing an appraiser who was knowledgeable in the construction and development industry and by his surveys, come up with the values--i.e., the actual cost of the mobile- home. There was also a nebulous figure--how did that equate dollars and cents to a human being's state of mind. Mayor Seymour stated he was referring to two things: (1) Trying to put a dollar value on the contributions the tenant had made, and (2) putting that in context with what the law stated. Mr. Dietch conceded that the law made no requirement other than the Government Code as far as compensation. There was no dollar figure but it stated, may be established by local ordinance. The Mayor pointed out that there were two legal aspects: (1) A lease, short- term in nature, and (2) the State law. He questioned, however, what they had when it came to money. Mr. Dietch reiterated, the Government Code Section placed it entirely on the Council's shoulders by the term, "may"--that the City Council or local muni- cipality may affect an ordinance to mitigate'the losses to the tenants. The following people then spoke to the matter and included is a summary of the comments and concerns: Mr. George Layman, 119 Fifth Street, Seal Beach, representing his mother-in-law, a tenant in the park, Celia Stone, Space 8. There was one classification of tenant not addressed, a tenant who by choice decided to sell his mobilehome. In all fairness to those tenants who chose to sell their mobilehomes and have it relocated at the buyer's choice; they too should be deserving of some compensation and included in the plan. I,t should be the difference of value in on-site vs. off-site because the tenant was being forced to sell the coach for something less than it would be if the park were not being closed. If they chose to sell her mobilehom~, it would be somewhere in close proximity to off-site value. He asked that that issue be addressed at this time. Mrs. Pat Kish, 14QQ South Douglass Road, Space 94, first suggested that perhaps the City should conduct the survey which the people were rather reluctant to participate in when it was conducted by Mr. Farano. Earlier in the evening, the life expectancy of a park was mentioned. There had been no determination to her knowledge as to a park's life expectancy. Relative to the slide show, no double wides were shown. Mention was also made that not too much space was available in the park. She asked that they look at the proposed plan presented by Mr. Farano. The proposed space for the condominiums was not very large, averaging around 800+ square feet to approximately 1,100 or 1,200 square feet. They had before them a proposed condominium project of 99 units (revised to 93), as opposed to an existing housing community of 106 units utilizing the land to a 81-574 City Hall, Anaheim, California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. greater advantage at approximately 20 units per acre in comparison to the proposal. Any proposed change of use of the mobilehome park produced an ~mmediate decrease in the value of the mobilehomes. She suggested if the Council granted a change of use, thereby displacing the residents of the park, that the following "better formula" be used: the off-site value of the home plus the cost of disassembling and reassembling, plus the set-up costs, plus the transportation costs, plus one year's rent in a park in Orange County, most preferably within the City limits of Anaheim. In the past six years, she had talked with many brokers and the Blue Book value was rarely used because mobilehomes sold for what the market would bear. Once again she wanted to remind the Mayor and the City Council that on October 7, 1980 (see minutes that date) when she and the mobilehome residents present had requested permanent zoning and first right of refusal, it was now over five months and they still did not have the courtesy of an answer on either request. It was now quite obvious why she came before the Council on October 7. Her final request would be for the Council to deny the subject request for a change of use, to allow the existing housing community to go on, and take into consideration the financial and emotional hardship that it would create on the people within the park. Mayor Seymour asked Miss Santalahti and City Attorney Hopkins to respond to the question of permanent mobilehome park zoning and the first right of refusal to purchase. Miss Santalahti explained on the issue of permanent zoning in Anaheim, mobile- home parks had always been instituted under conditional use permits. Effectively it was the same because the property owner could come in and request rezoning and the Council and Commission may or may not grant it. There was always that power of rezoning the property or granting some other use and terminating the use permit. The 1969 General Plan went further and stated that mobilehome parks are appropriately developed in medium density residential zones. In fact, Westw~nds was, ~n such a General Plan designated area. City Attorney Hopkins stated relative to the first right of refusal, they researched the San 3uan Capistrano ordinance and they believed there were constitutional questions involved because of the restriction on the right of the property owner to dispose of his property and if tested in court, might be found to be unconstitutional. Mr. Theodore J. Weigman, resident of Westwinds for 14 years, stated he would like to know from the City Attorney just what his rights were as a renter in the community; C~ty Attorney ~opkins stated those rights were contained in Chapter 2.5 of the Civil Code of the State of California. They were quite lengthy, but he proceeded to read a number of them for Mr. Weigman. Mr. Weigman then asked if the piece of property on which his mobilehome was located belonged to him while he was paying rent and utilizing it within the rules and regulations of the park; Mayor Seymour answered "yes". Mr. Weigman then asked, why they should discriminate against him by only giving him $1,000 for improving and taking care of that property for the 14 years he had been located there. 81-575 City Hall~ Anaheim~ California - COUNCIL MINUTES - April 7~ 1981~ 1:30 P.M. Mayor Seymour explained that the law stated he did not have the permanent right to use the property and that right could be taken back by the mobile- home park owner. Mr. Weigman then stated if the proposed condominium was going to be family- oriented, and there were going to be children, there was no provision made for playgrounds. He then read a letter which the tenants received in 1973 announcing that the owners were going to make certain improvements and to facilitate the improvements, rents were going to be increased $5 a month beginning February 1, 1974 and that it would be the last rent increase they would receive in the foreseeable future. On November 12, 1974, they received another letter raising their rents by 10%, or $7 a month, beginning January 1, 1975 due to inflation. He submitted both letters (made a part of the record) which he felt were pertinent to their lease or rental contracts. If necessary, they would seek through court action a refund of all money, interest and penalities for monies accepted under false pretenses. He then read the following: (1) We the residents of the Westwinds Trailer Lodge request to be relocated to another Orange County park, preferably in Anaheim, with no more rent than we are paying now, acceptable to us. (2) We request to be reimbursed for our cost of moving. This is to include awnings, skirting, porches, steps and all other fixtures as may be required by the accepted park, including carports. (3) Ail legal expenses incurred in the defense of our park. Mr. Weigman stated that was one proposal by the park tenants and the following was another: (~) We will accept the Grover Mobilehome appraisal in cash, the in-park value, or space which we have now; (12) We will accept a cash settlement for our inconvenience or cost of moving and all of our legal defense of the park; (~) Another proposal--another mobilehome in an Orange County park, or Anaheim preferably, acceptable to us of equal value, i.e. another coach entirely; the cost of moving and the legal expenses. The following five people then spoke and relayed the concerns they expressed previously at the prior meetings of the City Planning Commission, November 3 and November 17, 19_8Q, and the Council meeting of March 10, 1981 (see minutes those datesl: Telsie Hewlitt, Space 13 (~ovember 17, 1980 and March 10, 198i meetings); Lucie Villa, Space 23 (~ovember 3, 1980 and March 10, 1981 meetings); Francine Czupak (~ovember 17, 1980 and March 10, 1981 meetings); Jay Brannner, Space 9 (~March iQ, 1981 meeting); and Don Campbell, Space 40 (March 10, 1981 meeting). Mr. Brammer also submitted a petition to the Council dated March 5, 1981 signed by 20 tenants of the park indicating that they had never known of any major repairs to plumbing, natural gas lines, sewer or water lines, nor had they known of any buyers except a very minor incident involving the damage of a chair and, further, that their use of the pool did not exceed 10% (made a part of the record). Further, Mr. Campbell stated that anything he received as an offer, he would like to have it in black and white before talking. He also suggested that someone should do actual footwork out in the field to find out where they could put a trailer, how much old trailers were selling for and where one could be placed if the tenants could afford to buy one. Loans. were not made to retired people. 81-576 City Hall~ Anaheim~ California - COUNCIL MINUTES - April 7, 1981, 1:30 P.M. Mrs. Lois Ash stated she was representing her mother, Helen Berg, Space 22. She moved into the park in August of 1979 in a new coach in place. She paid approximately $23,000 with about $2,000 in improvements which represented almost her entire life savings. When she received the verbal notice to move last September, she had a stroke. They had been out to Rialto and Hemet to try to relocate the coach and possibly sell it. There was no way they could put her mother where the ownership of the park suggested, because it would be over 50 miles and she would not be with her family. They could not put an 80- year old woman out in that area. The plan was not feasible at all for her. She then asked if there was an appraisal on her mother's coach. Mr. Brown produced a copy of the appraisal on Space 22 and the Mayor informed Mrs. Ash that the market value was $13,860 and cash market value was $4,384. Mrs. Ash stated if they could find a spot for her mother that was reasonable, within 20 miles of her (Mrs. Berg's) family, (they lived in Lakewood and Cerritos), they would be glad to move the mobilehome at the developer's cost. The Mayor then stated that they had received input from a good cross-section He now asked to hear from the applicant in response. Mr. Farano stated one thing they could do was to put the appraisal to a test. They were willing and anxious to conduct the appraisal question in the following manner: If the mobilehome tenants wanted to obtain their own appraisal, they would have theirs, together with the tenant's appraisal, submitted to an inheritance tax referee and let the judgment fall where it may. Councilman Overholt interjected and asked if it was trua that their appraiser's company sold the coach in the park (to Mrs. Villa) a month before they serve the eviction notice and if at that time, did the appraiser's company know that they were going to sell the park; Mr. Farano answered "yes" to the first question and "no" to the latter. Councilman Overholt then stated that relative to his suggestion on the inheri- tance tax referee, they usually appraised for the application of a tax, but as a matter of course did not appraise for the purpose of sale. If they were going to use that route, they should be very careful in their selection. Further discussion followed between Mr. Farano and Council Members Kaywood and Overholt relative to appraisals wherein Mr. Farano stated that their ~ntention at the time was to obtain an honest appraisal of value of what the coaches were worth, on-site and off-site. His suggestion to give the transaction credibility was that it be submitted to an inheritance tax appraiser. Ifthat was not a.good idea, maybe they could look for a better ore. Councilwoman Kaywood asked if it would be a better idea to go to a new appraisal chosen by staff, perhaps one who would be disinterested as far as the tenants and park owner and get a new appraisal on the whole thing. Mr. Farano stated he did not know, but they could explore that. The reason he suggested an inheritance tax appraiser was because of their training; they were generally regarded as experts in the determination of value. 81-~77 City Hall, Anaheim, California - COUNCIL MINUTES - April 7, 1981~ 1:30 P.M. Councilman Overholt stated he was going to have to give the appraiser the formula and the formula was different in his mind than it was in the minds of the tenants. Was the appraisal going to be the value on-site at a going mobilehome park, or the value off-site, or on-site in a mobilehome park that was closing. That was a formula that would have to be given to an appraiser. Mr. Farano stated that both on-site and off-site should be determined. Mr. Farano then relayed the following answer to some of the concerns previously expressed by the tenants or their representatives: Relative to Mr. Layman representing Celia Stone, Space 8, her's was a 1963 coach and she was a resident of the park since 1968. The on-site value by Mr. Brown was $7,155 and the off-site, $1,590. Applying the formula, she would be paid $2,727 and she would keep her coach. Relative to Mr. Villa, Space 23, they thought they had a space for her via the former owner of Westwinds but the owner reneged on it. They were at one time prepared to pay Mrs. Villa because they thought hers was a special case and should be treated as such. They had tried and would continue to try to move her to any park of her choice they they could get her into; however, the chances of being relocated in Orange County were not good. Relative to Mrs. Ash, representing Helen Berg, Space 22, there was the possi- bility of a space at Catalandia in Paramount which would perhaps meet the requirement that Mrs. Berg not be more than 20 miles away from her family, and they would work toward that. Relative to Miss Hewlitt, Space 13, she had been in the park since 1979, prior to the present ownership. He did not think that Westwinds should be responsible for promises made in 1973 or 1974 or for anyting that happened prior to 1979. Miss Hewlitt would fall under Alternate Plan B and she would have the ability to keep her coach and sell it for whatever she could get. Relative to Mrs. Czupak, hers was an appraisal that was corrected. She had lived in the park for four years and owned a 1966 20X40 coach appraised by Mr. Brown at $~,765 on-site and $6,011 off-site. The other appraisal she had, $23,500 on-site and $8,000 off-site, made him wonder about the credibility of it, because there was not much difference between the two off-site appraisals. The owners had been accused of being secretive and misrepresenting information; however, they had done and would continue to do everything they could to be open, §.ince that was the ease, he felt that the tenants ought to make the same kind of disclosure, He had no problem with staff receiving the surveys ~nd the ~nformati~n. He reiterated, if they were going to be forced to full d~sclosure, the mobilehome tenants had the same responsibility. Otherwise it would be a one-sided situation. They had assured the tenants in every way that their questionnaires would be received in confidence. Mayor Seymour then asked, of the 31 remaining tenants, did Mr. Farano have a list of how many had been there for one year, two years, three years, etc; Mr. Farano answered, "yes". The average tenancy was rather long because there were a number of people who had been in the park for at least 15 or 20 years or longer, 81-578 City Hall~ Anaheim~ California - COUNCIL MINUTES - April 7~ 1981, 1:30 P.M. Councilwoman Kaywood asked then if Plan B would be a moot point because if the tenants were in the park over seven years, they would get nothing; Mr. Farano stated anyone that had been in the park longer then five years would, under that Plan, receive a minimum of $1,000, but they had to remember, that was calculated to relieve some of the short-timers that made a large and recent investment coming into the park. Mr. Farano then answered the Mayor's question that there were 20 residents who had been in the park seven years or less, and 26 who had been there 10 years or less. Mayor Seymour stated it was obvious to him that the park was not going to remain a mobilehome park, for in order to do so, it would require a investment of $600,000 to $700,000. If that investment was made, rents were going to be somewhere between $235 to $350 a month. If that took place, Mrs. Kish would be back with many more people saying they could not let the rents go up and anything that would be embodied in that, including rent control on which the Council had already stated its position in opposition. He believed, therefore, it was impractical to consider it as an ongoing mobilehome park. The density of the park was 20 units to the acre, better than double the current standards and thus it was almost as though it needed to be reused in some other way. The density being proposed with the condominium project was less than the existing density. He reiterated, in his mind, it was going to be used for some- thing else, whether it be for the proposed condominium development, a commercial office, retail development or apartments, he did not know. If they accepted that premise, they must get to the question of how the displaced tenants could be treated fairly which was a very difficult question. There was no law written on it and the State law only required 12 months' notice and that was all. The City, the developer and Mr. Dietch, representing the tenants, all felt a moral compunction to somehow be fair, the problem being, nobody had a form- ula. Mr. Farano was correct in saying, unless they came up with some kind of formula, they would always have an individual case and he (Seymour) did not know how they would ever resolve each and every individual case to everybody's satisfaction, short of just paying the figure Mr. Dietch quoted, the in-house park value of each and every mobilehome. He (Seymour) did not believe it was equitable, tt was not recognizing the fact that the mobilehome owner and the onwer before the present one had invested a great deal in the park, as well as the tenant having paid considerable rent for their space. Fairness in his mind was not in-house park value, but on the other hand, it was also not off-site value, but somewhere in between. Mayor Seymour then stated in the interest of finding a common ground, he would like to propose the following, Me prefaced his proposal by explaining that the reason he asked how many of the 31 residents had lived in the park seven years or less and how many ten years or less, he was trying to get a handle or how to (3) protect most of the people and (2) what was fair and equitable for return of that differential between on-site and off-site value over a period of time. In his opinion, there was no guarantee or permanancy in the increase of value and thus it had to stop at some time. The law of the State of California stated it stopped within 12 months after giving notice. They were trying to find a way to go beyond that 12-month legal notification and find equity. His 81-579 City Hall, Anaheim, California - COUNCIL MINUTES - April 77 19817 1:30 P.M. proposal was as follows: (1) That the developer pay all assembly, disassembly, and transportation cost of moving the mobileho~e within a radius of 50 miles. (2) That the developer pay the difference between on- and off-site value to anybody who has resided in the park for ten years or less on a prorated basis, 10% each and every year. (If just moved in, 100% one year, 90%; 2 years, 80%; etc.) The value of on-site and off-site, if they could not agree to that, would be subject to the evaluation of an inheritance tax appraiser. (3) The developer to provide a unit in the condominium project to rent, if that is possible, to the 31 (or whatever the number) for a period of the difference between how long the tenant has been living there and ten years. If living there one year, provide a rental unit in the project for nine years; if two years, then for 8 years, etc. (If nine years, provide one year.) The rent that would be charged would be the current rent the tenants are paying on their space, to be increased with an inflationary index such as the Consumer Price Index. Mr. Weigman asked about those living in the park for over ten years; the Mayor answered, in his opinion, as a tenant of the mobilehome park, he did not have any rights of permanency, meaning forever, for that incremental value between off-site and on-site. He had rights to about ten years and the longer he had been living there in that ten year period, those rights were reduced. He was not one of the 26 the proposal would fit, but one of the five that it did not fit at all. The other alternative, they could continue the matter and have staff gather all the personal data, but what would happen would be that, they would end up doing as he had done in his foregoing proposal. Councilwoman Kaywood stated she looked at the proposal as a punishment to those living in the park over 10 years and they were only talking about five people. They should not be singled out and she did not see any equity in that. She knewthat the original proposal was to build a number of apartments and the reason people were turned off was because of the size of units at 400 square feet. Re!at,ye to the Mayor's proposal under Number 3, she asked Mr. Farano ~f he was willing to go back and provide some apartments. Mr. Farano answered that he doubted it. They were having a problem because of the size and were just barely going to make 25% affordable. Based on the density they were talking about now, it was not possible for them to do that financially at this time. Mrs. Trudi B-rammer, speaking for the tenants, (Mr. Dietch had left the meeting earlier in the evening), explained that at the time Mr. Farano devised the first formula in November, they requested the tenants to make a survey and they did so. She presented it to Mr. Sklaar, Park Manager, in plenty of time for the November 17, 19_8~ Ci~ty Planning Commission meeting. They were then suppose to have a conference with Mr. Farano who suggested that they get together at his office, They called him many times and he was never available to them. They proceeded with a survey and presented it and that was the only survey she knew of, She emphasized that they had cooperated. Relative to the formula proposed by the developer, they were supposed to have seen it about two weeks prior to its being presented to the Planning Commission at the meeting. They were supposed to have had it well in advance of the meeting for their evaluation, but the calls to Mr. Farano's office brought no results. 81-580 City Hall~ Anaheim~ C.alifornia - COUNCIL MINUTES - April 7, 1981~ 1:30 P.M. The first time they saw the formula was at the December 1, 1980 City Planning Commission meeting and they really had no decision to make. It was put in their hands and the Planning Commission accepted it. The tenants had no way to accept it or reject it; they had no word to say in the matter. For them to make any statement now as to what they could accept or not accept, she did not see how they could do it except for the original demands they made. They would like to be moved within a reasonable distance so that they could not lose their homes and jobs. They were reasonable people contrary to what Mr. Farano would lead them to believe. Anyone who had tried to deal with Mr. Sklaar had found out one thing--they could take it or leave it. She reitereated she did not see how, at this moment, they could accept a proposal--it would not be fair to their people. They had nothing to say about the other formula and cer- tainly nothing to say about the appraisals. They made appraisals at their own expense and if they had to do so again, that was exorbitant. Their appraiser went inside the mobilehomes and Mr. Farano had never had anybody step inside any of the homes. They had to have the opportunity to review the formula and to think the matter over. Considering the management and the promises that had been made to them and considering the people who were allowed to move into the park in full knowledge of the owner that they were going to be given an eviction notice, as well as the promise of a clubhouse, and ail the things that had shown bad faith, she would have to ask the City of Anaheim, could they put their stamp of approval on that kind of management and organization. Councilman Bay suggested that Mrs. Brammer take the Mayor's proposal and sub- sequently meet with her people and attorney so that they could evaluate it. At the same time, (_1) Mr. Farano could also evaluate it and (2) the data discussed could be provided to staff. After that, they could come back in a certain amount of time to see if something could then be worked out;'otherwise, they could go on for three or four more nights and not get anywhere. They had to start from the number one assumption that the park was not going to remain a mobilehome park and work something out that was best for both sides. The Mayor had presented a proposal to start the negotiations. Councilman Overholt stated at the Planning Commission meeting, according to the information he received from Mrs. Brammer, they had closed the public hearing and held the matter over to a later date and at that later date, there was dialogue wifh Mr. Farano being at the podium most of the time and there was discussion between the Planning Commission, staff and Mr. Farano. The residents felt they did not have a chance to talk. If they were going to close this public hearing which was not yet closed, he felt there should be a clear understanding as to what was going to happen in the future if they did not come to an ultimate decision tonight, so that Mrs. Brammer and her people would not feel they were being shut out of their legal rights. Mrs. Brammer stated that previously, they did not hear the words, the hearing was closed at the Planning Commission meeting (November 17, 1980--see minutes that date) and they did not understand that. When they attended the December 1, 19_8Q meeting, they had no idea they were not going to be allowed to give input. However, they had been given ample opportunity to testify tonight and certainly at the March 10, 1981 Council meeting (see minutes that date). Councilwoman Kaywood added that what did come out in the meeting tonight was that the park would definitely not remain a mobilehome park. Everybody should 81-581 City Hall~ Anahe'.~m~ California - COUNCIL MINUTES - April 7~ 1981, 1:30 P.M. be looking on their own as well for a space. She understood Mr. Farano to say that they would move anyone. If they could find something in Anaheim or Orange County and he could not, if it was acceptable, they would move there. She should take that back to her people as well and it may be that 31 spaces would open up in the area and then it would not be a big problem. Councilman Bay also emphasized that they should tell their attorney, Mr. Dietch, that the clock was running on the eviction notices under the State law, and the Council could not override the property rights of the owner under that law. Councilman Bay then asked if the data collection by staff that they talked about earlier should go on between now and next tS me they met. Mayor Seymour stated in answer, Mr. Farano made an accurate statement relative to the fact that unless they came up with a formula, there was no possible way to make 31 decisions individually based upon the collection of facts they had. No plan was going to be fair to everybody, but to try to be fair to a majority of the people, there was going to have to be some kind of formula. Councilwoman Kaywood felt that unless they had the data, there was no place to start. The Mayor stated there was a place to start and he would describe it in general terms. (~!) There was a piece of property about to change use; (2) they had to determine a reasonable value between on-site and off-site and for what period of time. The aifference between those two values would not go on forever; Councilwoman Kaywood stated, however, they were only talking about five addi- tional people. Mrs. Brammer then reported that she had been advised by the tenants present that they would be very much interested in whatever suggestion the Mayor would make, If they could get a copy of the proposal at the earliest convenience, they would try to give it their very best. Mayor Seymour stated he felt something constructive had come out of the meeting this evening. If he was reading the Council correctly, he believed they were of a mind that, in fact, the property was going to change use. He also suspected that a majority of the Council was going to say they would approve a condominium development on that property as long as it met the new Code and process. He suspected the Council also said this evening that somewhere there was a middle ground and they would be hopeful that for whatever period of time they were going to have to continue the matter, that Mr. Farano accomplish that middle ground. ~f not, the Council would do so at the next meeting. He wanted to hear from the Council as to how they felt because if they could not find some common agreement on the direction, they might as well make a decision this evening. Councilwoman Kaywood stated it was clear that the use would change. 'Nobody was disagreeing with that, not even the tenants. As far as approving the con- dominiums, if they met the new Code, she felt that too was very clear. The whole reason for having changed the Code was that there be no variances granted. The new Ordinance was passed on a three-two vote today and would not be effective for 30 days. She would not believe it if any variances were granted from that new ordinance. One problem she saw, and she felt the two 81-582 City Hall~ Anaheim, California - COUNCIL MINUTES - April 7~ 1981~ 1:30 P.M. attorneys had to get together on it, was for those mobilehomes that would be moved, there was really no problem. It was those who could not be moved and what they would do with those people, would be the problem. Councilman Roth also agreed that the park would eventually no longer be a mobile- home park and that was an important question that was answered tonight. The next best thing was to work out a compromise that would be a viable return to the tenants for the move--both sides had to get together. He also agreed, even though one of the variances may be technical in nature, he would not support the project. The proposed development would have to fit into the standards adopted today and effective in 30 days. Councilman Bay stated he was very much like to have some check point on time. He would like the Council to receive feedback via the City Clerk from either side, so that after a week or two or whatever the Council would decide, they would not find out that there were no negotiations in progress. He wanted a report back to the Council before the time they set ran out so that they could see that negotiations were proceeding. Councilwoman Kaywood stated she would object to closing the hearing tonight, but it may not be unreasonable at all to say that at the next final meeting, they would reach a decision within one hour or two, so they would not go into another marathon meeting, such as tonight, which was now going into its seventh hour. Councilman Overholt stated that he too believed that the life of the mobile- home park was limited and also that the proposed project should comply with what would be the new Code. He did not consider the variances technical in nature, but they were so close that he did not think it would be a problem for the developer to bring them into Code. The problem was as set forth in the Government Code that Mr. Hopkins read, that the Council was going to take steps to mitigate any adverse impacts of the conversion on the ability of the displaced mobilehome residents to find adequate space in a mobilehome park That was the extent of their responsibility. The Mayor's proposal was a good start, He did not completely agree with his concept of value. What troubled him was the day before the notice was served, everybody in the mobile- home park had a value on their property which was the fair market value as of that day and when the notice was served, those who had been there over ten years had minimal value, if any, and those there one year, had a lot of value. If they were talking purely in terms of relieving the hardship on a person who had moved into the park and paid a great deal of money, they should deal with that question, At any rate, it was a good start if Mr. Farano and Mr. Dietch put their efforts together and tried to work something out, they would probably come up w~th something, It might net be something everybody was totally happy with, but it would certainly be better than to have the Council make a decision and impose it not knowing as much about the problems as Mr. Farano and Mr. Dietch and the tenants. MOTION: Councilman Seymour moved to continue a decision on the matter for two weeks, Before action was taken, Mr. Farano sta~ed he had no objection to the Council being kept informed of the status of the matter. They would work toward that and would be the first to contact Mr. Dietch tomorrow. Me did not know if two weeks would be long enough. 81-583 City Hall~ Anaheim~ California - COUNCIL MINUTES - April 7, 1981~ 1:30 P.M. The Mayor suggested that they set the matter for two weeks with a status report of progress to be submitted by the applicant in one week, with the final decision to be rendered by the Council on April 21, 1981 if possible. If not, then the matter would be continued additionally. Councilwoman Kaywood seconded b. he motion. MOTION CARRIED. ADJOURNMENT: By general consent the Council adjourned. (1:25 A.M., April 8, 1981) ~ERTS, CITY CLERK