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HomeMy WebLinkAbout07/19/2011 53:0131 CITY COUNCIUREDEVELOPMENT AGENCY REGULAR MEETING MINUTES TUESDAY, JULY 19, 2011 CALL TO ORDER - Mayor Kovacic called the meeting to order at 5:00 p.m. ROLL CALL OF CITY COUNCIL/REDEVELOPMENT AGENCY MEMBERS: PRESENT: Council/Agency Member Amundson, Chandler, Harbicht, Segal and Kovacic ABSENT: None STUDY SESSION/ CLOSED SESSION PUBLIC COMMENTS — None STUDY SESSION a. Report, discussion and direction regarding a Text Amendment to create a single Resolution for development standards, design guidelines and design review processes for all five of the City designated Homeowners' Association areas. Jason Kruckeberg, Assistant City Manager/Development Services Director reported that the proposed text amendment is for a new Resolution that would consolidate development standards, design guidelines and design review processes for all five of the current Homeowners Associations (HOA's) Resolutions into a new single resolution; and noted that the resolutions governing the HOA's were adopted by the City Council in 1971 and were last amended in 1986. Mr. Kruckeberg explained that all five resolutions had many similarities and that all five HOA's agreed that it would be more efficient to have one resolution that contain the regulations and development standards and a uniform set of design review process for all five HOA areas. Jim Kasama, Community Development Administrator provided a brief summary of the major changes being proposed (1) the addition of a new "Defined Neighborhood" section which will ensure that a new home or addition is designed to blend in with the immediate "neighborhood"; (2) the addition of new language which relates to the preservation of the "Streetscape" in the established neighborhoods and will ensure that any improvements visible from and along the streets, including fences, landscaping and hardscape do not change the character of the "Streetscape"; (3) the addition of "Minimum and Maximum" guidance which is to be used in relation to the mass and scale of structures which is another term for floor-area-ratio (FAR) and is intended to ensure that new developments are designed in a manner that is similar to existing structures in terms of mass and scale; (4) "Privacy and Views" is a new regulation which will ensure that a new home or addition will be situated as to reasonably protect the privacy and views of surrounding homes and yards; and (5) the "Short Review vs. Regular Review" procedures have been amended to clearly define the different scopes of projects; he indicated that the short review process will remain an administrative process in which the Architectural Review Board (ARB) Chairperson or designee reviews and acts on smaller projects such as single-story remodels or additions, or other minor improvements to a property provided that all owners of the neighborhood properties sign off; and the Regular Review process will still require a public hearing with notice sent to the owners of the neighborhood properties and will include all new homes, second-story additions and any project not eligible for the Short Review process; that both processes have 10 or 30 days to review the applications for completeness and decisions must be rendered only by the Chairperson or those ARB members that considered the applications; and that the Planning Commission and City Council will continue to function as the appellate bodies to the ARB decisions. 07-19-11 1 53:0132 Mayor Kovacic called for public comments. Richard Bowden of Bowden Development expressed his concerns regarding the proposed resolution; he felt that the resolution will stop development in the Lower Rancho area due to size reduction and gives all the decision making powers to the ARB's and no room for the applicant to appeal the decision of the ARB to the Planning Commission or City Council. Richard Frickie, Lower Rancho ARB Member stated that the ARB's goal is to protect the neighborhood from the large homes being built and to protect the privacy of the neighbors. Steve Mathison, Lower Rancho Santa Anita HOA Member spoke in favor of the "Guidance" provisions which ensures that new developments are designed in a manner that is similar to the mass and scale of existing structures. Hank Jong stated that his property is significantly larger than surrounding properties and expressed concerns regarding the size limit; he felt that the new limitations will have fundamental impacts on the value of his property; and commented that a big percentage of homes in his neighborhood have front facing garages. Bran Koehler, Upper Rancho HOA Member noted that front facing garages are discouraged but not set in stone; and that certain homes in the neighborhood were excluded from this guidance because of the lot size. Laurie Thompson, ARB Chairperson of the Santa Anita Village HOA addressed the front facing garage issue and felt the language needs to be amended to reflect the maximum allowable floor area based on the existing floor areas of the homes in the neighborhood; she thanked City for creating Single Family Design Guidelines and felt that it gives the components to constitute harmony and compatibility in the neighborhood. Daniel Garcia appeared and expressed concerns regarding compliance with ADA requirements. Dale Brown, ARB Member, Lower Rancho HOA spoke in favor of the proposed guidelines and felt it set parameters but continues to allow ARB's some flexibility to work with each project individually, based on its size and style. Fred Bowden, Bowden Development commented on the size of lots and the front facing garages; and clarified the appeal process to the Planning Commission and the City Council. Charles Huang felt that lots of the massiveness of a house can be hidden by proper design and landscaping. Ralph Bicker, Chairman, Highland Oaks HOA explained that for the past 25 years the Highland Oaks ARB had less than five applications that were appealed either to the Planning Commission or the City Council and that they preach highly in harmony and compatibility and try to work with the builders and the architects. Kevin Tomkins, President, Rancho Santa Anita Residents Association spoke in favor of the proposed Resolution and guidelines; he commended Mr. Mursol and Mr. Tong for the good job they have done in developing upper Arcadia; he pointed out that the ARB's spent a year and a half developing this document; that the goal is to have a document that standardize among all five 07-19-11 2 53:0133 associations; and does not think that this document gives the ARB's any more power than they currently have. Josh Mursol expressed concerns on giving ARB's or maybe a wrong person who will be member in the future, the power to stop negotiations between the builder and the association. Pam Oleander explained that the ARB's are appointed and are overseen by the Homeowners Association Board, are not independent and cannot independently make decisions on any project; she noted that everyone has to work together and has to be on the same page on any development project. Robert Tong, Architect, noted that he has worked with different HOA's and never had a problem. Mary Dougherty, President Santa Anita Oaks Association noted that all five of the designated HOA's tried to come up with some process that all agreed on, which is totally based on the City's adopted Architectural Design Review Guidelines. Mayor Pro Tern Harbicht expressed concerns regarding language in the proposed Resolution relating to "Defined Neighborhood", Maximum Guidance, landscaping and tree removal requirements; he felt the new Resolution contains dramatic changes from what currently exists and uses very specific terms; and would like to look into this very carefully and know the impacts that these changes will have to the community. Council Member Segal suggested that two Council Members form a sub-committee and meet with HOA and ARB members and talk it out. Following discussion and receiving comments from the public, it was the consensus of the City Council to bring the matter back for an additional Study Session at either the next or at an upcoming City Council meeting. The Study Session adjourned at 6:45 p.m. CLOSED SESSION a. Pursuant to Government Code Section 54957.6 to confer with labor negotiators. City Negotiators: Administrative Services Director Hue Quach, Human Resources Administrator Michael Casalou and Attorney William Floyd of Best Best & Krieger, LLP. Employee Organizations: Arcadia Public Works Employees Association, Arcadia City Employees Association, Arcadia Police Civilian Employees Association, Arcadia Police Officers' Association, Arcadia Firefighters' Association and unrepresented employees: Department Heads, Division Managers, Supervisors, and Part-time employees. b. Pursuant to Government Code Section 54956.8 conference with real property negotiators: 07-19-11 3 53:0134 Property: 35 West Huntington Drive, 21 Morlan Place, 101-111 North Santa Anita Avenue, 121-159 North Santa Anita Avenue and Assessor Parcel No. 5775-025-025 (South side of Santa Clara Street, West of Santa Anita Avenue) Agency Negotiators: City Manager/Agency Executive Director Don Penman, Assistant City Manager/Deputy Executive Director Jason Kruckeberg and Economic Development Manager Jerry Schwartz Negotiating Parties: Arcadia Redevelopment Agency and Rusnak/Arcadia (Paul Rusnak) Under Negotiation: Price and Terms of Payment THE CITY COUNCIL/REDEVELOPMENT AGENCY CONVENED TO THE REGULAR MEETING Mayor/Agency Chair Kovacic called the regular meeting to order at 7:00 p.m. INVOCATION — Reverend Thomas Shriver, Emmanuel Assembly of God PLEDGE OF ALLEGIANCE — Newly Appointed Police Chief Bob Guthrie ROLL CALL OF CITY COUNCIUREDEVELOPMENT AGENCY MEMBERS: PRESENT: Council/Agency Member Amundson, Chandler, Harbicht, Segal and Kovacic ABSENT: None REPORT FROM CITY ATTORNEY/AGENCY COUNSEL ON STUDY SESSION/CLOSED SESSION ITEMS City Attorney Stephen Deitsch announced that prior to the regular meeting, the City Council conducted a Study Session to hear a report from staff and discuss a proposed Text Amendment to create a single resolution for development standards, design guidelines and design review processes for all five of the City designated Homeowners' Association areas and after hearing a significant amount of public comments during the Study Session, the City Council decided to bring the matter back for an additional Study Session at either the next or an upcoming City Council meeting. In addition, Mr. Deitsch reported that the City Council and Redevelopment Agency Board met in a Closed Session in order to discuss and consider the two (2) Items listed on the posted agenda, no reportable action was taken. SUPPLEMENTAL INFORMATION FROM CITY MANAGER/EXECUTIVE DIRECTOR REGARDING AGENDA ITEMS— Mr. Penman noted there were no supplemental agenda items. MOTION TO READ ALL ORDINANCES AND RESOLUTIONS BY TITLE ONLY AND WAIVE THE READING IN FULL A motion was made by Council/Agency Member Chandler, seconded by Council/Agency Member Segal to read all ordinances and resolutions by title only and waive the reading in full. PRESENTATIONS a. Presentation of Believe in Arcadia...Volunteer! Award to Arcadia's Best Foundation. 07-19-11 4 53:0135 1. PUBLIC HEARINGS REDEVELOPMENT AGENCY ITEMS: a. Adoption of Resolution No. ARA-246 amending and adopting local guidelines for implementing the California Environmental Quality Act (Public Resources Code Sections 21000 et seq.). Recommended Action: Adopt CITY COUNCIL ITEMS: b. Adoption of Resolution No. 6782 amending and adopting local guidelines for implementing the California Environmental Quality Act (Public Resources Code Sections 21000 et seg.). Recommended Action: Adopt Jim Kasama, Community Development Administrator reported that the proposed 2011 California Environmental Quality Act (CEQA) Guidelines represent updates of the 2010 CEQA Guidelines adopted by the City Council and Agency Board in 2010; he advised that there have been amendments due to legislation and legal decisions and that a summary of the changes are provided in the memorandum from the City Attorney's office which is attached to the staff report; he noted that there were no changes to the proposed CEQA Guidelines that would significantly affect the City's processes; and that the City Attorney's office prepared the proposed updates and the appropriate resolutions for adoption by the City Council and Redevelopment Agency Board and recommended adoption. Mayor/Agency Chair Kovacic opened the public hearing. No one appeared. A motion to close the public hearing was made by Agency Member Chandler, seconded by Agency Member Harbicht and seeing no further objection, Mayor Kovacic declared the public hearing closed. It was moved by Council Member Chandler seconded by Council Member Harbicht and carried on roll vote to adopt Resolution No. 6782 amending and adopting local guidelines for implementing the California Environmental Quality Act (Public Resources Code Sections 21000 et seq.). AYES: Council Member Chandler, Harbicht, Amundson Segal and Kovacic NOES: None ABSENT: None It was moved by Agency Member Segal seconded by Agency Member Harbicht and carried on roll call vote to adopt Redevelopment Agency Resolution No. ARA-246 amending and adopting local guidelines for implementing the California Environmental Quality Act (Public Resources Code Sections 21000 et seq.). AYES: Agency Member Segal, Harbicht, Amundson, Chandler and Kovacic NOES: None ABSENT: None 07-19-11 5 53:0136 c. Approve the Annual Weed Abatement Charge List. Recommended Action: Approve Jim Barrows, City Clerk reported that annually the County of Los Angeles Agricultural Commission/Weights and Measures abates weeds and rubbish from certain properties in the City of Arcadia and assesses an inspection and/or abatement fee on their property taxes; he noted that the County Agricultural Commission mailed notices of the public hearing to each property owner who was assessed a fee in order to afford them an opportunity to protest the assessed charge; and stated that the Weed Abatement Charge List must be approved by the City Council so the County Auditor can enter the assessments against the properties on the current tax rolls. Mayor Kovacic opened the public hearing. No one appeared. A motion to close the public hearing was made by Council Member Harbicht, seconded by Council Member Segal and seeing no further objection, Mayor Kovacic declared the public hearing closed. It was moved by Council Member Chandler, seconded by Council Member Segal and carried on roll call vote to approve the Annual Weed Abatement Charge List so the County Auditor may enter the amounts of the respective assessments against the properties as they appear on the current assessment roll. AYES: Council Member Chandler, Segal, Amundson, Harbicht, and Kovacic NOES: None ABSENT: None d. Authorize the utilization of a proposed 2011 Edward Byrne Memorial Justice Assistance Grant (JAG) award in the amount of $12,068 to help offset the personnel costs of a Youth Services Officer at Arcadia High School. Recommended Action: Approve Robert Guthrie, Chief of Police reported that the Arcadia Police Department applied for and received the 2011 U.S. Department of Justice (DOJ) Edward Byrne Memorial Justice Assistance (JAG) grant in the amount of $12,068; he explained that the JAG grant allows local agencies to support a broad range of activities to prevent and control crimes based on local needs and conditions; and recommended utilizing the proposed grant funding help offset personnel costs of a Youth Services Officer (YSO) at Arcadia High School. He advised that the Youth and Educational Support (YES) Program was implemented in 2000 wherein the Arcadia Unified School District partnered with the City and agreed to co-fund a police officer position at the high school; and that the YSO has had a positive impact on the high school campus; that in 2010, JAG funding was made available to provide agencies with the flexibility to prioritize and place justice funds where they are needed most and was used to help fund the YSO position and indicated that funds have already been budgeted for the Youth Services Officer position in the 2011-12 budget and the $12,068 grant allocation will help offset the cost. Mayor Kovacic opened the public hearing. No one appeared. A motion to close the public hearing was made by Council Member Chandler, seconded by Council Member Amundson and seeing no further objection, Mayor Kovacic declared the public hearing closed. 07-19-11 6 53:0137 It was moved by Council Member Chandler seconded by Council Member Amundson and carried on roll call vote to authorize the utilization of the 2011 Edward Byrne Memorial Justice Assistance Grant (JAG) award in the amount of $12,068 to help offset the personnel costs of a Youth Services Officer at Arcadia High School. AYES: Council Member Chandler, Amundson, Harbicht, Segal and Kovacic NOES: None ABSENT: None e. Adopt Resolution No. 6763 confirming the Engineer's Report for the levy and collection of the Arcadia Citywide Lighting District No. 1 and the assessment diagram connected therewith; and ordering the levy and collection of assessments for Fiscal Year 2011-12. Recommended Action: Adopt Tom Tait, Public Works Services Director provided that as part of the Arcadia Citywide Lighting District formation, the City conducted a property owner protest ballot proceeding; he reported that at the July 5, 2011 meeting, the City Council adopted various resolutions which initiated the proceedings and declared the City's intention for the levy and collection of assessments within the Arcadia Citywide Lighting District No. 1 and declared its intention to conduct a public hearing for the levy and collection of assessments within the District for fiscal year 2011-12; that the Citywide Lighting District No. 1 was formed in 2010 for the purpose of funding in part, the on-going operation, maintenance and servicing of the City's street lighting system based on the proportional special benefits to properties within the City; that in an effort to ensure appropriate allocation of the District's annual street lighting costs based on proportional special benefits, the assessment methodology for the District was divided into two zones. He explained that Zone 1 are properties along major thoroughfares (arterial street lights) and Zone 2 is properties in residential neighborhoods (local street lights); that property owners in Zones 1 and 2 who have sparse lighting will pay 20% of what the annual rate is for that particular land use and properties in areas of the City that do not have street lighting will not be assessed. He indicated that the fiscal year 2011-12 Operation Budget for street lights increased 2.5% which was due to an increase in electricity and personnel costs; that City's total annual street lighting maintenance budget for fiscal year 2011-12 is $1,098,495 of which $878,446 has been determined to specially benefit properties within the District based on the assessment methodology; that the City will be contributing 61% or $669,284 and the property owners will pay the remaining 38% or $429,212; that for Zone 1, the annual assessment rate increase will be $0.42 (from $16.73 to $17.15) and Zone 2 will increase $0.71 cents (from $28.44 to $29.15); and he recommended that the City Council conduct the public hearing to receive comments regarding the annual levy and collection of assessments and adopt Resolution No. 6763 approving the Engineer's Report for the Arcadia Citywide Lighting District No. 1. Mayor Kovacic opened the public hearing. No one appeared. A motion to close the public hearing was made by Council Member Harbicht, seconded by Council Member Segal and seeing no further objection, Mayor Kovacic declared the public hearing closed. It was moved by Council Member Segal seconded by Council Member Chandler and carried on roll call vote to adopt Resolution No. 6763 confirming the Engineer's Report for the levy and collection of the Arcadia Citywide Lighting District No. 1 and the assessment diagram connected therewith; and ordering the levy and collection of assessments for Fiscal Year 2011-12. 07-19-11 7 53:0138 AYES: Council Member Segal, Chandler, Amundson, Harbicht, and Kovacic NOES: None ABSENT: None PUBLIC COMMENTS Ron Thee appeared and explained that the California Citizens Redistricting Commission is continuing to revise its redistricting maps for assembly, state senate and congressional districts; and is seeking assistance by the July 28th public comment deadline date to speak on Arcadia's behalf regarding the maps; he passed out alternative maps to the City Council configured by Brian Fuller to balance the population deviation in redistricting and redrawing "communities of interest" with feasible legislative lines; and offered his services to the City as a volunteer. Carter Spruill, Chairperson of the 2011 Relay for Life introduced Andrea Sweet with the American Cancer Society and Beth Goldberg who will be next year's Relay for Life Chairperson; he distributed programs to the City Council from the event and reported that this year's Relay for Life raised over $127,000; he presented the Arcadia Fire Fighters Association with a plaque for raising over $4,000; he presented the Arcadia Police Officers Association with a plaque for raising well over $6,000 and a certificate for being one of the top five fundraising teams in the Arcadia event and presented the City and City Council with a plaque for supporting Relay for Life in Arcadia; and he thanked Ken Herman for all his help on the logistical side of the event. Dirk L. Hudson appeared and commented on the redistricting and supported comments made by Mr. Thee and discussed the processes and common geographical interests. Daniel Garcia of Community Rehabilitation Services appeared and discussed assistive technology devices and computer advocacy services; he indicated that his company provides leadership classes for persons who want to become empowered and learn how to be a leader in their community, he commented on inaccessible curb cuts and inaccessible ramps and requested a map of the City showing where curb cuts are located and emergency preparedness plans for the handicapped; and commented on accessibility to the museum and redevelopment projects. Mayor Kovacic referred Mr. Garcia to Fire Chief Trabbie and Police Chief Guthrie for information regarding emergency preparedness plans for the handicapped. At the request of Mr. Penman, Mr. Schwartz responded that the new senior project will have accessible units. REPORTS FROM THE CITY COUNCIL AND CITY CLERK Council Member Chandler congratulated Mr. Penman on the police chief selection process and his appointment of Bob Guthrie as the City's new Police Chief. Council Member Segal congratulated the American Cancer Society and the Relay for Life for their accomplishment in Arcadia; he noted that Relay for Life raises over$32 million throughout the State of California and congratulated everyone who participated; he also congratulated Bob Guthrie on his appointment as Police Chief; and announced that he is looking forward to former Police Chief Sanderson's retirement party next Thursday, July 28th 07-19-11 8 53:0139 Council Member Amundson also welcomed and congratulated Police Chief Bob Guthrie on his appointment; he announced that he attended the 20 year anniversary of the Community Center; he commented on the Home Town Heroes project and the on-going project at the museum where they are trying record stories of the veterans. Mayor Pro Tern Harbicht also congratulated Bob Guthrie on his appointment as Police Chief; he noted that Mr. Garcia has attended several City Council meetings concerning ADA and handicap accessibility and wanted to assure everyone that the City does enforce the Americans with Disabilities Act to the letter of the law and did not want anyone to think differently; he discussed the Gold Line Station and its impact and would like to see a study session regarding the future of the Gold Line in the next 3 months and requested City Council support. Mayor Kovacic and Council Member Segal agreed. Mr. Penman advised that he will solicit the City Council on future dates and stated that a chronology of what the City Council has already approved and what has been done to date will be prepared. City Clerk Barrows announced that he also attended the 20 year anniversary of the Community Center; he congratulated Sara Somogyi, Ryan Wright and Dan Belling on a job well done; he noted that he has been a volunteer at the Police Department for the past 11 years and has worked with and for Bob Guthrie and congratulated him on his appointment as Police Chief; he commended the quick response of Public Works regarding a notebook that was found in a tree in front of City Hall and thanked Tom Tait and his staff and everyone for making Arcadia what it is. Mayor Kovacic acknowledged the life of Officer Albert Mathias who was the only Arcadia Police officer in the department's history to be killed in the line of duty on July 19, 1927 at 12:07 a.m.; he stated that the Arcadia Police Officers Association celebrated his life on July 18 by standing post throughout the day until the time Office Mathias died on July 19th at 12:07 a.m.; he announced that the Mariachi Divas will be performing at Thursday's concert in the park and encouraged everyone to attend; he noted that anonymous complaints are received and encouraged individuals to sign the letters and put their address so that a response can be sent; and he addressed a request from Rotary for establishing a community garden. Mayor Pro Tem Harbicht recommended the community garden matter be scheduled for discussion at a future study session in order to obtain additional information. 2. CONSENT CALENDAR CITY COUNCIL ITEMS: a. Approve the Meeting Minutes of June 21 and July 5, 2011. Recommended Action: Approve b. Authorize the City Manger to execute a contract with Gentry Brothers Inc. for the Street Rehabilitation of Westbound Huntington Drive in the amount of $462,930 and authorize a 10% contingency. Recommended Action: Approve c. Accept all work performed by S.J. Grigolla Construction, Inc. for the street rehabilitation work with Stone Pine trees as complete and authorize the final payment to be made in accordance with the contract documents. Recommended Action: Approve 07-19-11 9 53:0140 d. Authorize the City Manager to execute a one (1) year contract extension with D & J Foothill Electrical Contractors, Inc. for electrical repairs and preventative maintenance at various City facilities in the amount of$112,910. Recommended Action: Approve e. Accept all work performed by Silvia Construction Inc. for the Street Rehabilitation of Santa Anita Avenue from Camino Real Avenue to Longden Avenue, Duarte Road to Christina Street and from Foothill Boulevard to 1-210 Freeway as complete. Recommended Action: Approve f. Authorize the City Manager to approve a three (3) month contract extension for the purchase of motor vehicle fuel from Southern Counties Oil dba: SC Fuels, Inc. in the amount not to exceed $75,000 through October 1, 2011. Recommended Action: Approve In response to a question raised by Council Member Amundson regarding Consent Item b, Mr. Wray explained how arterial streets are rated and how they come up with a pavement index. Mayor Pro Tern Harbicht noted that he was riding his bike on Hacienda Drive and it felt that the top of the street was not connected to the bottom because his bike was flexing. It was moved by Council Member Segal seconded by Council Member Harbicht and carried on roll call vote to approve Consent Calendar items 2.a through 2.f. AYES: Council Member Segal, Harbicht, Amundson, Chandler, and Kovacic NOES: None ABSENT: None 2. CITY MANAGER/AGENCY DIRECTOR ITEMS: a. Report, discussion and direction regarding the composition of Arcadia Historical Museum Commission. Recommended Action: Provide direction Mr. Penman reported that at the June 7 meeting, the City Council directed staff to bring back a report to consider changing the composition and process of selecting members to the Arcadia Historical Museum Commission including the option of reducing the number of members; he explained the change was prompted by a change in direction by the Arcadia Historical Society since they have decided to broaden their mission; he stated that the Commission, which consists of seven (7) members was established in November 2001 for purposes of advising the City Council on matters relating to the operation of the Ruth and Charles Giib Arcadia Historical Museum; that the concept originally was the Historical Society would operate the Museum but it became apparent the Society did not have the capacity as a volunteer organization to manage the Museum and maintain regular operating hours; that a decision was made by the City Council that the City would operate the Museum even though the Society would maintain an active role in the operation of the facility, so the Arcadia Historical Museum Commission was created by Ordinance No. 2151 and established that four (4) of the seven (7) members would be suggested by the Society to the City Council for consideration, one (1) from the Library Board of Trustees and two (2) appointed by the City Council. Mr. Penman provided alternatives for City Council consideration. 07-19-11 10 53:0141 Council Member Segal announced that even though the City Attorney has advised him that he does not have a financial conflict, his wife serves on the Historical Museum and to avoid any appearance of a conflict, Mr. Segal excused himself from the dais and left the room. Council Member Chandler proposed that the appointments by the Historical Society be eliminated and given to the City Council; and stated that he is in favor of reducing the size of the Commission to five (5) members effective June 30, 2014. Mayor Harbicht proposed that the Commission be reduced to five (5) members effective June 30, 2012 and that all appointments be made by the City Council. Mayor Kovacic indicated that he had no problem with the City Council making the Commission appointments, however would like to see the number of members remain at seven (7). Council Member Amundson also agreed to reducing the number of members to five (5). It was moved by Council Member Harbicht seconded by Council Member Chandler and carried on roll call vote to reduce the Arcadia Historical Museum from seven (7) to five (5) members effective June 30, 2012; and in June 2014 one (1) appointment should be made for a two (2) year term. AYES: Council Member Harbicht, Chandler, Amundson, and Kovacic NOES: Council Member Kovacic (reduce from seven (7) to five (5) members) ABSENT: None ABSTAIN: Council Member Segal b. Introduce Ordinance No. 2286 determining it will comply with the Voluntary Alternative Redevelopment Program pursuant to Part 1.9 of Division 24 of the California Health and Safety Code in order to permit the continued existence and operation of the Arcadia Redevelopment Agency. Recommended Action: Introduce Jerry Schwartz, Economic Development Manager reported that as part of the State budget for FY 2011-2012, the Governor signed two trailer bills AB X1 26 eliminating redevelopment agencies throughout the State as of October 1, 2011 and AB X1 27 which allows redevelopment agencies to be reestablished if the City Council adopts an ordinance agreeing to make payments each year that would be distributed to schools and special districts. He provided a brief report on the projects the Agency is currently undertaking; he explained that AB 1X 26 dissolves all redevelopment agencies as of October 1, 2011 and calls into question the validity of Agency Agreements made after January 1, 2011; and stated that if the City Council does not adopt an ordinance and the Agency dissolves October 1, 2011, a successor agency would be established and the City could be the successor agency; and explained the process to dissolve the Agency and the requirements of the successor agency; that in order for the Agency to remain operating as it currently does, the City must adopt Ordinance No. 2286 agreeing to the Alternative Voluntary Redevelopment Program under AB X1 27; and that the Community Redevelopment Association (CRA) is filing a lawsuit to stop the implementation of AB X1 26 and AB IX1 27 on constitutional grounds and the ordinance is being introduced tonight under protest. Mr. Schwartz added that if Ordinance No, 2286 is adopted, the City would be committed to making a special payment each year which would go to schools and special districts and that the estimated payment in fiscal year 2011-12 is $1,482,920; that the City would have to enter into an agreement with the Redevelopment Agency to have it make the payments to the City to cover the costs of the 07-19-11 11 53:0142 special payments and under AB X1 27, the Agency would be able to continue its normal operations which could include projects that would generate new revenue to the City's General Fund. He explained that if the City does not proceed with the adoption of the Ordinance, the Redevelopment Agency would be dissolved October 1, 2011 which would immediately and permanently suspend any activity by the Agency and the process to dissolve the Agency would begin; and noted that the elimination of the Redevelopment Agency would impact future General Fund revenues that could be generated from redevelopment projects. City Attorney Steve Deitsch explained that the payment by the low and moderate income housing fund is applicable solely to the upcoming year, not thereafter; that it is a one time opportunity to use low and moderate funds for that purpose; he added that it is possible to appeal the findings by Department of Finance regarding the amount of payment due the first year and subsequent payments thereafter; that the one basis for making an appeal might be that the Redevelopment Agency issued Redevelopment Tax Allocation Bonds last year and may not be reflected in the Department of Finance determination of Arcadia's obligation because under AB 26 and 27 that calculation by the Department of Finance is based upon the year 2008-09 property tax increment collection and did not reflect subsequent issuance by the agency last year of tax allocation bonds. Regarding a raised by Council Member Harbicht, Mr. Deitsch responded that Section 3 and Section 4 of the ordinance, Section 3 provides that the payment is made under protest which means that the City of Arcadia and indirectly the Arcadia Redevelopment Agency reserve their right to demand a refund if for any reason it is determined that the payment is unlawful; and in Section 4 of the Ordinance, it provides that if a stay is granted by the court such that the payment does not have to be made or if ultimately a court determines that any future payment is unlawful, like unconstitutional, then the agency once again is deemed to have rescinded in effect this adoption of the ordinance. Mr. Deitsch also indicated that the first year payment is about four (4) times the second years payment, the ransom second year will be reduced to approximately one quarter (1/4) of the amount of the first years payment; and that AB 27 does require annual payments thereafter and there is reasonable assumption that annual payments in future years might be somewhat equivalent to what the payment would be in the second year. He added that there is no guarantee, that the payment could go up and down; the state legislature can change the amount of the payment in future years which is something that would be considered at that time; and relative to adoption of this Ordinance, and at any time in the future the City determines not to make any annual future payment then in affect by reason of so doing the Ordinance will automatically be deemed to have been rescinded and the Redevelopment Agency will no longer remain in full force and effect at that time. It was moved by Council Member Harbicht seconded by Council Member Amundson and carried on roll call vote to introduce Ordinance No. 2286 determining it will comply with the Voluntary Alternative Redevelopment Program pursuant to Part 1.9 of Division 24 of the California Health and Safety Code in order to permit the continued existence and operation of the Arcadia Redevelopment Agency. AYES: Council Member Harbicht, Amundson, Chandler, Segal and Kovacic NOES: None ABSENT: None c. Report, discussion and direction regarding the proposed Congressional, State Assembly, State Senate and Board of Equalization Redistricting. Recommended Action: Receive and file or provide direction 07-19-11 12 53:0143 Linda Garcia, Special Projects Manager reported that at the July 5, 2011, the City Council directed staff to place on the agenda the matter of redistricting and how the City and/or individual Council Members can make their opinion known regarding the new boundary lines that are being drawn; she explained the process for the City Council to either receive and file the report and potentially provide comments to the Redistricting Commission as individuals or to direct staff to communicate with the Commission on behalf of the City of Arcadia; she indicated that public comments will be accepted until July 28th'and that comments intended to effectuate change to the maps should be submitted by July 22"d; and added that staff prepared a letter expressing the City Council's opposition to the proposed redistricting that would separate Arcadia from its neighboring foothill communities in the San Gabriel Valley. Mayor Pro Tern Harbicht felt that the proposed Congressional, State Assembly and State Senate redistricting map does not make any sense; that putting Arcadia and San Marino with Bell, Bell Gardens, Maywood and Vernon when there is no community interest is wrong; and that he is in favor of sending the letter to the Redistricting Commission and hope something comes up. Mayor Kovacic suggested a revision to the third bullet point of the draft letter to read "our connection and similarities with foothill communities extends to educational and employment opportunities, media and communication resources, environmental matters, economic development issues, recreation and cultural activities and demographics." It was moved by Council Member Harbicht seconded by Council Member Amundson and carried on roll call vote to send the opposition letter prepared by staff, as revised by Mayor Kovacic, to the California Redistricting Commission. AYES: Council Member Harbicht, Amundson, Chandler, Segal and Kovacic NOES: None ABSENT: None ADJOURNMENT The City Council/Redevelopment Agency adjourned this meeting at 8:55 p.m. to Tuesday, August 2, 2011 at 6:00 p.m. in the City Council Chamber located at 240 W. Huntington Drive, Arcadia. L!I A 4 i / - �►%.cam/��� `1 Kov:1 ic, Mayor ATTEST: James H. Barrows, City Clerk 07-19-11 13