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HomeMy WebLinkAboutNOVEMBER 1,1994 I I 1 :. : ~-l~: : ~. CITY COUNCIL PROCEEDINGS ARE TAPE RECORDED AND ON FILE IN THE OFFICE 0" TYE lilY CLERK ROLL CALL WORKERS COMPENSATION STUDY SESSION MINUTES CITY COUNCIL OF THE CITY OF ARCADIA and the ARCADIA REDEVELOPMENT AGENCY REGULAR MEETING November 1, 1994 The City Council and the Arcadia Redevelopment Agency mec in a Regula~ Meeting on Tuesday, November 1, 1994, at 6:00 p.~. in the Conference Room of the City Hall Council Chamber. PRESENt: ABSENT: Councilmembers Chang, Kuhn, Lojeski, and Young Councilmember Margett It was MOVED by Councilmember Lojeski, seconded by Mayoe Pro cem Chang, and CARRIED to EXCUSE the absence of Councilmember Margecc. The Human Resources Manag~r presented an overview of Horkers compensation issues and how they affect the City of ArcaJia. He provided a summary of the City's workers cOffipensacion claims by year, from fiscal years 1987-88 through 1994-95 (up to Octobe~ 31, 1994). Workers compensation is one of the most significant costs of the City, and efforts are beL..:. Clade co reduce these costs. The City's administrator fue workers compensation claims, Colen and Lee, receives the ...laims and administers workers compensation benefits in accordance with State law. Ms. Sherwin Runnion of Colen and Lee was present to give background information to Council. The City had been insured with State Compensation Insurance Fund until 1976, when the City became self insured. State law requires that a self-insurance program be administered by persons who pass a competency test given by the State. In 1984 the City chose to have Colen and Lee administer their workers compensation claims. Ms. Runnion gave an overview of Colen and Lee's operation and the services they provide. Barbara McIntyre, claims administrator with Colen and Lee, explained how she handles claims on a daily basis. John Tharp, attorney with Tharp and Adcock, provides legal representation for the City as needed on workers compensation cases. He gave an explanation of the management of claims which are litigated. The majority of workers compensation cases do not go to trial but are settled. Mr. Tharp advises the City as to the best approach to take: settle the case for a.certain amount; what the chances are if the case goes to trial; what the chances are if we enter into certain stipulatons. There is a 90-day period from the time an employee completes a claim form in which the City must make a decision to either accept the claim and provide benefits or to deny the claim. The Finance Director stated, in part, that workers compensation costs I including claims, claims C1Uw.Lll.1.Sl.Lation, and coverage, amount to approximately $750,000 per year. Premiums are about $30,000 a year. Since July of 1977 the City has spent approximately $4,000,000 on workers compensation, with another $1,500,000 in future liability. Referring to the claims summary, the Finance Director noted that incurred costs are shown, but that does not include the salaries that are paid while employees are off work. Considering the days lost, annual costs could amount to. as much as $1,500,000, which is six percent of the General Fund. -1- 11/1/94 36:0370 The City retained Armtech, a consultant, to compensation cases for possible improvement. findings, relative to workers compensation, were: review workers Some of their (1) "The coverage, cost and self-insured retention level- of the City's excess workers compensation coverage obtained through ICRMA is appropriate." The Finance Director explained that the City is self-insured for up to $300,000.; the City pays each claim up to a limit of $300,000 and the insurance picks up anything over that amount. (2) "The City should obtain an actuarial estimate of the outstanding liabilities on its self-insured workers compensation program." The Finance Director stated that an actuarial study is currently scheduled by ICRMA during the current fiscal year. (3) "The City should consider . making some refinements to its I workers compensation cost allocation program." The Finance Director explained that certain workers compensation costs are allocated to each department. If a small department which has no claims should suddenly have a large claim, the budget becomes unbalanced. The City is currently developing a cost allocation plan which will solve the problem. (4) "The City's efforts to prevent workers compensation losses are above average for a city with no risk manager. II (5) "The City's cost of self-insured workers compensation losses is above average over the last three years in comparison to five other full service Southern California cities in our database." The Finance Director stated that staff will be considering hiring a risk manager, even if on a part- time basis, who can devote attention to controlling costs. An added advantage is that if the City has a risk manager there is a reduction in premium paid by the City when insurance is purchased. (6) "Colen & Lee is providing sound claim administration services for a reasonably competitive price." (7) "The City should plan for a detailed audit of Colen & Lee's workers compensation claim handling services." The Finance- Director stated that ICRMA is scheduled to complete an audit of the claim handling process in the current fiscal year, and the City should be able to use their findings to improve the workers compensation program. In answer to a question by Mayor Pro tem Chang, the Finance Director stated that raising the workers compensation self-insured retention level from $300,000 to $500,000 would amount to a very minimal savings, as very few claims exceed $300,000 and the premium is only $30,000 a year. Mayor Pro tem Chang questioned why the City's cost of self-insured workers compensation losses is above average over the last three years in comparison to five other full service Southern California -cities, as reported by Armtech in Finding No.5. The Finance Director explained that in I the study period used, some years included significant cases which raised the costs incurred. If only the years 1987-88 through 1990-91 had been studied, it would have been found that the City was below average in costs incurred. Mr. Tharp clarified that a new system came into effect during 1991-92, and there was an increase in the filing of applications at that time in an effort to get . them through under the old system. He noted that, on a per-case basis, costs have been going down for the last three years. The Human Resources Manager commented that hiring a risk manager or risk management consultant would allow the City to focus more attention on accident prevention, help bring costs down, and coordinate claims in a more efficient manner. Whenever there is an injury in the City, the risk manager would be contacted and would investigate immediately, something the City does not currently have the resources to do. A risk manager would also -2- 11/1/94 I I INVOCATION PLEDGE OF ALLEGIANCE l. MARGARET GUILD 2. ARCADIA TOURNAMENT OF ROSES COURT ORD. & RES. READ BY TITLE ONLY .'. . 36:0371 help coordinate activities with outside counsel and with the third-party administrator in terms of day-to-day activities, more closely monitoring claims, contacting employees and providing information, and training staff in how to process claims. Mayor Pro tern Chang is in favor of the concept of hiring a risk manager, and suggested that this person also be able to handle personal H.abili ty matters. The Human Resources Manager commented that since employing a risk manager effects a reduction in insurance premiums to the City, some of the salary costs for this person would be offset by this reduction. In answer to a question by the City Attorney, Ms. McIntyre commented that when a third party causes injury to an employee, the City is usually able to recover from the third party's insurance. At 6:50 p.m. the Mayor announced a RECESS to 7 p.m., at which time the meeting RECONVENED in the Council Chamber. Rev. Ron Fraker, Victory Chapel, Church of the Foursquare Gospel. Mayor Pro tem Chang. PRESENTATIONS Mayor Young presented a Mayor's Certificate of Service to Margaret Guild: "Margaret Guild is a crossing guard for the City of Arcadia. On September 15 a traffic collision occurred in Margaret's area which resulted in an out-of -control vehicle. Margaret anticipated the direction of the vehicle and pulled to safety a 10-year-old student from Holly Avenue School. If Margaret had not acted so quickly, she and the child would have been seriously injured or killed. It is our pleasure tonight, Margaret, to recognize you with a Mayor's Certificate of Service and to thank you for your heroic action." Mayor Young presented a Mayor's Certificate to the members of the 1993-94 Arcadia Tournament of Roses ,Court. Four of the five members were present: Queen Alice Hannigan, Princess Leanne Meade. Princess Michelle Garrett, and Princess Danelle Dieter. Princess Michelle Anderson was away at school and could not attend tonight's meeting. Mayor Young presented each with a Certificate and thanked them for committing their time and energy to community service. Dr. Porter, President of the Tournament of Roses, was also present. SUPPLEMENTAL INFORMATION FROM STAFF REGARDING AGENDA ITEMS None QUESTIONS FROM CITY COUNCIL REGARDING CLARIFICATION OF AGENDA ITEMS None MATTERS FROM STAFF None' It was MOVED by Mayor Pro tem Chang, seconded by Councilmember Kuhn and CARRIED that ordinances and resolutions.be read by title only and that the reading in full be WAIVED. - 3- 11/1/94 ~j6:0J7,: AUDIENCE PARTICIPATION Ken Marston, Arcadia Firefighters Association stated, in part, that I as Counc il is aware, the firefighters are workfrrg; '(.Vi t~',out a contract. They have met and conferred with the Ci~y andcaw,affer presented to Council was refused with no counter o:f~r at discussion as to future proceedings. There has b.een 1'"\') rr:eeting for over 30 days. It has been stated that the fi"efighters '1C,,'e an agr~ement that is tied to the police officers; :L~\':~ver, Mr. Marston knows of no such agreement and would like cla~ifjcat~oil of that assertion. He also hopes Council will soon r..:DO',lU ':0 the questions he is asking tonight: where does the fir€:fi.'.t,-,,,rs AssoCiation currently stand with Council; does the ComlC.:il Fi ~<:; to meet again with them; whether or not Council will make an off..r; and whether or not the negotiations are stalled at chis poipl:. Lvnn Clemmons, 1509 Sixth Avenue, stated, in part, tt,~t she vie"'ed I the last Council meeting and was appalled at Council's behavior toward some of the issues that were brought up, mainly the contract for the Police Department. She was not aware that the police are working without a contract. They have done an incredible job keeping crime down. She believes it is not unreasonable for the police to ask for a 12-hour work day, three days per week. Police provide the most important job in the Ciey, and she hopes that this matter will be addressed soon. Garland Roberson, Sullivan's Paint, 134 East Huntington Drive, stated, in part, he has had experience with a 4/10 ,,"ork schedule in a management position at a nuclear power plant. It was found that employee productivity was higher and there was less time lost due to sick leave and other time off. Also, mora le was a lot higher. Mrs. Kozak, 319 San Luis Rey Road, stated, in part, ")-,e wished to voice her disapproval of Council's position regarding their denial to respect the needs of the Arcadia Police Department. When the Council receives information on an issue, they form opinions affecting the public before the public has a chance to evaluate the issues. Council's job is to represent the community by making intelligent decisions, and she feels that right now they are not doing so. Studies have endorsed the 3/12 work schedule, and a number of surrounding police agencies have adopted the sctedule. When a request was made by the Police Department for Council's authorization to adopt the program, it had already been reviewed and approved by Chief Johnson. It was determined that both the Police Department and community needs would benefit from such a proposal. However, Council denied it without reason. Since that time citizens have presented Council with petitions and have voiced their disapproval of Council's findings, to no avail. It is Mrs. Kozak's opinion that Council does not effectively represent the community at this time. Council's opposition to the Police Department's request is an abuse of position, and Council has no expertise in the management of police-related issues. Steve Wolf, Arcadia Police Officer, stated, in part, that with I regard to the issue of the 3/12 work schedule, he wished to address the question of "what's in it" for the average citizen of the City. He presented an analogy of how a hypothetical import- export employer might gain man-hours, put more warehouse employees on the shipping floor, and use the employees for peak hours without any added cost. The 3/12 plan benefits citizens, does not cost monoy, ond Police Depa~tment employees are happy, even though no pay raise is involved. The City Manager commented that it was necessary to clarify some matters spoken to during audience participation. Mrs. Kozak indicated that the Police Chief had approved the 3/12 plan. That, in fact, is not true. The Chief and the City Manager reviewed the plan, and they neither endorsed nor recommended the plan, indicating it was an alternative available for Council consideration. Council's position on the matter has not changed from that stated in its last press release. -4- 11/1/94 I I CHANG (Commenda- ~ion to the Shaws) CHANG (Kiwanis Cl'lb fund- raiser) CP.';';';G (p,,,,"ndoned shopping carts) CHANG (League of California Cities Conference) CHANG (Assistance League programs) KUHN (League of California Cities Conference) KUHN (Rancho Santa Anita Prop. Owners brunch) 36:0373 MATTERS FROM ELECTED OFFICIALS Mayor Pro tem Chang related his recent attendance at the Duarte Performing Arts Center for an afternoon of music and comedy hosted by Warren and Mildred Shaw. This is the third time the Shaws have hosted such entertainment for the community, particularly for senior citizens, using their own money. I t is a wonderful endeavor on their part. Mayor Pro tem Chang brought a Certificate of Commendation to present to Mildred. Warren was not feeling well, and it is hoped he feels1better soon. Mayor Pro tem Chang attended a Kiwanis Club fund-raising function two weeks ago and enjoyed it very much. Several thousand dollars was raised for charity, The Kiwanis Club is to be complimented for their fine efforts. Mayor Pro tem Chang referred to a letter from a resident who was concerned about shopping carts which are removed from stores and left abandoned elsewhere in the City. The resident compared the unsightly situation it produces to that caused by graffiti. Other residents have complained about the problem, and Mayor Pro tem Chang suggested the issue be placed on a Council agenda for discussion toward resolving the problem. Mayor Young commented that there are rules that the shopping carts are not to be removed from markets, but some people do not obey the rules. The City manager stated that staff has spoken with the resident who wrote the letter and also contacted the market involved. Staff is working with the City Attorney to see if a solution to the problem can be found, one which will be enforceable. Adopting ordinances is not always the answer; there must be cooperation from the stores and the residents. Mayor Young remarked that notices regarding this matter have been placed in the City Newsletter, and could be submitted to the Chinese Newsletter if desired. 0' Mayor Pro tem Chang questioned whether markets could be asked to put an employee in the parking lot to make sure the carts are not removed from the premises. The City Attorney stated that is one of the issues to be examined. Staff is reviewing ordinances from other cities, and will present a report of their findings to Council. Mayor Pro tem Chang reported that he and three other Councilmembers attended the 96th Annual Conference of the League of California Cities on October 23 through 25. He found it to be a valuable learning experience. Before this evening's Council meeting, Mayor Pro tem Chang had a tour of the Assistance League. He learned that, in addition to their other charitable work, the Assistance League has a program called "Operation School Bells," which provides clothing for low- income children. Also, there is a store called the Bargain Box located at 64 East Live Oak Avenue which will accept donations of clothing and other items from the public for charitable use. Mayor Pro tem Chang commented that the Assistance League is a great asset to the community. Councilmember Kuhn also attended the League of California Cities Conference, and commented that attending these sessions is helpful in focusing on the total picture of the City- - the economy, budgets, strategic planning, etcetera. The most exciting thing about the Conference was the Constitution Revision Commission Workshop; revision of the State Constitution only happens once every 75 years. Councilmember Kuhn expressed thanks to the Rancho Santa Anita Property Owners Association for the brunch on Sunday, and for the opportunity to hear their concerns first hand. -5- 11/1/94 KUHN (Northwest corner property) LOJESKI (Comments by Council- members) '- 36:0374 \ Councilmember Kuhn report<;d that a few weeks ago she received several inquiries regarding the City-owned property at the northwest corner of Huntington Drive and Second Avenue. It was apparently being used as a dumping site for garbage. It has since been cleaned up. The site has been leased to a construction company, which is responsible for cleanup. The site will be monitored for any future problems. Councilmember Lojeski stated that it is his understanding that the time devoted to matters from elected officials is to be used for the purpose of discussing matters such as future agenda direction, and not for reporting where Councilmembers have been and what they have done. YOUNG Mayor Young commented that she also attended the League of (League of California Cities Conference, and agrees that it was a very California enlightening and educational experience. Ci ties Conf.) 1. PUBLIC HEARING (Building Code and Fire Code Appeals Bd.) (CONTINUED TO 11-15-94) 2. PUBLIC HEARING (Entertain- ment Permit game & amusement machines) ( CONTINUED TO 11-15-94) PUBLIC HEARINGS I Consideration of establishing procedures for a Building Code and Fire Code Appeals Board, and designating the Community Development Director or designee as Building Official. Staff is in need of additional time to prepare the appropriate text language for Council consideration. It is requested that the public hearing be opened to allow anyone interested to speak, but that this matter be continued to the November 15, 1994, Council meeting. Mayor Young declared the public hearing OPEN. No one desiring to be heard, the public hearing was November 15 on motion by Councilmember Lojeski, Councilmember Kuhn and CARRIED. CONTINUED to seconded by Councilmember Lojeski suggested that it might be stated in the report to be presented at the next Council meeting that this issue concerns establishment of a new type of board. Consideration of an appeal of the 8usiness Permit and License Review Board's approval of an entertainment permit for game and amusement machines at the Pacific Sports Card Company, 142 East Duarte Road. On September 29, 1994, the Board approved an application filed by Mr. Adesorn Hemaratanatorn, Looi Corporation, for an entertainment permi t for installation and operation of seven game and amusement machines at the Pacific Sports Card Company. On October 4, 1994, the 80ard's approval was appealed by Councilmember Margett, who was not able to attend the meeting this date. Council had several options for consideration. One, open the public hearing and continue it to the next meeting when I Councilmember Margett is in attendance. Two, open the hearing, take testimony, and continue the hearing to the next meeting. Three, open the hearing, take testimony, and make a decision. It was MOVED by Mayor Young that, since this appeal was made by Councilmember Margett and he is not present, this matter be referred to the next Council meeting on November 15 so that the public hearing may be heard by Councilmember Margett. The City Attorney suggested that before Council makes a decision to continue the hearing, the public hearing be opened to determine if the applicant, or others who are in attendance, wish to be heard tonight on the issue of a continuance. Mayor Young declared the public hearing OPEN. -6- 11/1/94 36:0375 ',.', ,Opposttion to Continuance (In Favor of Permit) '" John La Mountain, 1399 North Harding, Pasadena, stated in part "!:,,at ,he is representing Victor Lee and Lou Hemaratanatorn (the ~pplicant), He has checked into the petition agaiost the applicant's request and believes that many people who signed did so for various personal reasons, a situation of "sour grapes,!1 or "signed wiFhout really knowing what is going on. The person who initiated the petition has a business with arcade games and does not want competition. Since the permit was granted and the only person to appeal it is not here this evening, he feels they should be able to install the game machines, and not waste any more time , on' this matter. In Opposition to Game and Amusement Machine Permit I Michael Hur, owner of the Teriyaki House, 150 East Duarte Road, stated in part that he is one of merchants at the shopping center who signed the petition opposing the granting of an entertainment permit for game machines at the Pacific Sports Card Company. He did so for many reasons, primarily the safety of children who ride bicycles, skateboards, and roller skates along the sidewalks. The parking lot is small and there are many cars, creating the possibility of accidents. Many senior citizens shop at the stores in the center, and there is the chance that they may incur accidents with the children on bicycles. An important question to keep in mind is, do we want so many game machines in the same location, attracting a large number of young people, especially after school. He does not feel that parents will appreciate it. This shopping center already has two video arcades I and game machines in other stores. Mayor Young clarified that the matter to be spoken to tonight is whether or not the hearing should be continued until the next Council meeting. Mr. H~r stated he would like to see the hearing continued if Council so decides, but that since he is present tonight he would like to continue speaking. The City Attorney stated that since the applicant's representative has spoken, Council may now take up the issue of the continuance, The other parties who wish to speak may do so at that time. If it is decided not to continue the hearing, they will be heard tonight on the basic issues. I Mayor Pro tem Chang expressed his opinion that Councilmember Margett should have asked for the public hearing to be postponed when he realized he could not be present tonight. However, since the public hearing has been scheduled for tonight and there are those present who wish to speak to the matter, it would be a disservice to them to schedule a continuance without asking their opinion of doing so. It is understood that the applicant may not want the matter continued, but Council may decide to do so. The City Attorney reiterated that Council has heard from the applicant and that is sufficient; Council may now discuss among themselves the issue of continuance. Further, the City Attorney stated that, "there's a matter of record, the only reason this is heard tonight is because Mr. Margett exercised his prerogative to have it reviewed by the Council.. . there was no official appeal filed by any other party." Councilmember Kuhn stated that, although it was unfortunate that there are people who came to the meeting tonight for the public hearing and Councilmember Margett is not present, she would prefer to hear Councilmember Margett's reasons for the appeal. Mayor Pro tem Chang stated that when he asked Councilmember Margett why he appealed this matter, Councilmember Marge1;t told him that the applicant had a store in Pasadena where a fight took place. It resulted in a blood stain on the floor which went uncleaned for a few days. Councilmember Margett believes this showed irresponsibility on the part of the store owner, and he would not like this owner to come to Arcadia and open another store. It is Mayor Pro tem Chang's understanding that this is not a true story. -7- 11/1/94 36:0376 He is opposed to continuance of the public hearing for two reasons. As stated previously, Councilmember Margett had the time to continue the meeting but did not do so. The second reason is that a continuance would result in the business suffering a loss due to the fact that they could not operate the game machines. It was MOVED by Mayor Pro tem Chang that the public hearing be held tonight and not be continued. The MOTION DIED for lack of a second. The City Manager stated that when he was advised of Councilmember Margett's anticipated absence from tonight's meeting, the public hearing had already been scheduled and notices sent out. Councilmember Margett Was unaWare that the matter would be heard this evening until after he had determined he would not be able to be present. Mayor Pro tem Chang stated that he spoke with Councilmember Margett within a week after the last Council I meeting, and Councilmember Margett indicated that he would not be present at this meeting, and that he knew the public hearing would be tonight on this matter. The City Manager advised Council of an alternative: hold the public hearing tonight, accept testimony, and continue the matter to the next meeting. The video tape of the meeting could be made available to Councilmember Margett for his review, and the minutes, and he would participate in the matter at the next meeting. The City Attorney verified the City Manager's statement. Mayor Pro tem Chang was not in favor of the alternative, but preferred either continuing the entire public hearing process to the next meeting, or holding the hearing and making a decision tonight. Councilmember Lojeski suggested it be considered that what is happening tonight due to Councilmember Margett' s scheduled absence could also have happened if he were absent due to illness. Council must work out a situation that is fair to everyone. It was MOVED by Councilmember Kuhn, seconded by Mayor Young, and CARRIED on roll call vote as follows to OPEN the public hearing, take testimony, and then CONTINUE the public hearing to November 15. AYES: NOES: ABSENT: Councilmembers Kuhn, Lojeski, and Young Councilmember Chang Councilmember Margett Mayor Young declared the public hearing OPEN. In Oooosition to the Game/Amusement Machine Permit Michael Hur continued speaking in opposition to the approval of a permit for installation of game machines in the Pacific Sports Card Company. He reiterated his feeling that this issue has to do with community values. Does the City of Arcadia really want all these game machines in many different shopping centers, attracting school children who spend many hours playing arcade games? He has observed the young people who congregate in the area. After games they are smoking, spitting on the sidewalk, and taking out their I quarters to gamble with each other. He wonders what this kind of activity may lead to. Though we cannot control the behavior of young people, Council has the opportunity to make a decision which will affect where we lead them. Mr. Hur requests that Council rescind the permit given to Mr. Hemaratanatorn for the game and video machines. In response to a question from Mayor Pro tem Chang, Mr. Hur answered that he was not aware tnat Mr. Hemaratanatorn had applied for and been granted a license by the City for the game machines until after the fact. Mr. Hur has one video game in his restaurant, a combination eating table and game machine. The City Attorney recommended that, since testimony is being heard tonight, a brief staff report be given at this time by the Community Development Administrator. Testimony may then continue. The City Attorney pointed out that Section 6312.2 of the Arcadia Municipal Code contains very specific provisions for considering -8- 11/1/94 36:0377 whether entertairuncnt pennits may be denied or granted and does not speculate wh"r "'~:' (.r may not happen. If there are real problems that occu~ aft~r a permit is granted, it may be suspended or revoked. He is n~~ ,~~"~ing for or against the applicant, but pointing out this important legal requirement with regard to the limitations on wna~ can or cannot occur during these appeals. I The Community Dewclo>pm_lt Administrator reviewed the staff report. The application fu< the entertainment permit was submitted by Mr. Adesorn Hemaratanal:orn,. Looi Corporation, dba Pak Mann Amusement, for the installati.on ~(_d operation of seven (7) game and amusement machines in a retail store, Pacific Sports Card Company, located at 142 East Duarte Road. The owner and operator of Pacific Sports Card Company is Mr. Victor Lee. The applicant owns the Pac Mann Amusement Arcade at 1775 East Colorado Boulevard in Pasadena. The City of Arcadia has contacted the Pasadena Police Department; they have had no pro~lems at that location. No permits for game and amusement machines at the location have been revoked. The proposed application has been reviewed by the Fire Department, Police Department, and Building Division. There were no negative responses from any of the departments. There are three other businesses in the shopping center which have game machines: Lucky Donuts has three; Game Depot, seven; and Action Arcade has a conditional use permit for 21 game machines. Also, the Teriyaki House has one. The Arcadia Munic i pal Code allows seven or less game arcade machines in businesses with an approved entertainment permit, subject to the approval of the Business Permit and License Review Board. The Code also sees forth specific regulations relating to the operation of game machines. The Municipal Code does not limit the number of game machiDes within a shopping center. Based upon an investigation and information submitted by the Police Department and the Business License Officer, the Business Permit and License Review Board approved the request" for seven game machines at 142 East Duarte Road, subject to the following conditions: 1. Compliance with all game machine regulations in Arcadia Municipal Code Section 6411.5 et seq. 2. The retail business owner, Mr. Victor Lee, shall be responsible for enforcement of all City regulations. 3. There shall be a three-month review of the entertainment permit by the Police Department. I Based upon the information submitted and the findings set forth in Section 6312.2 of the Arcadia Municipal Code, staff recommends approval of the entertainment permit application for seven arcade game machines at 142 East Duarte Road. Section 6312.2 of the Municipal Code also states that the Council has the right to refuse a permit, subject to the findings which the City Attorney mentioned previously. Without evidence to support the findings set forth in the Code, there is no basis for denial. However, if based on actual facts, problems arise after granting the permit, the permit can be suspended or revoked. In Opposition to the Game/Amusement Machine Permit Gail Marshall, 2300 block of Lee Avenue, and her partner Arlene Marshall, co-owners of Action "Arcade. In response to what was said previously, Ms. Marshall stated that she takes offense that the business owners were called "sour grapes." She did take a petition around because the business owners in the shopping center came to her and asked if she would be their spokesperson because many of them have a language barrier. A petition was circulated which reached 13 of the 15 business owners in the shopping center. All 13 who received it signed it in opposition to more video games in the center without a conditional use permit. The manager of the Alpha Beta Market is out of. town and unable to represent the market this evening. -9- 11/1/94 36:0378 Ms. Marshall stated, in part, that she has never encountered a shopping center of similar size in Arcadia or elsewhere in the San Gabriel Valley where 40 video games were approved, 18 of which not ,operating under a conditional use permit. It has been observed that between 3 and 4 o'clock on weekdays it is not unusual for the youngsters to make 15 trips back and forth through the parking lot between the two arcades. On the weekends, this "floating" occurs for approximately three hours each day. This results in children running and riding bikes, skateboards, and roller blades through the parking lot. If game machines are allowed to go into the card shop, it is believed the number of "floaters" could possibly double. Mr. Lee does not have a bike rack. There is a seven-foot walkway in front of the card shop. A bike rack containing bikes is five feet wide. If a bike rack is installed, only a two-foot walkway I remains for shoppers to walk through. A shopping cart is wider than two feet. At times, three cars park in a two~space parking area in front of the card shop which belongs to Alpha Beta. These spaces are constantly occupied by Alpha Beta customers. This cuts the auto travel to a one-way narrow lane for two-way traffic. There are many senior citizens who shop at Alpha Beta. The seniors exiting the market would ultimately be forced into the one-way traffic lane instead of using the sidewalk. The senior citizens will be subjected to obstructed doorways, walkways, as well as skateboarders, roller bladers, and bicyclists throughout the already dangerous parking lot. Ms. Marshall presented photographs of the parking lot to the Council. Mr. Lee' 5 main business is selling spore cards, comics. pogs, gifts, etcetera. Ms. Marshall's game arcade is licensed to monitor and supervise video game players in a controlled environment. Because of the adverse effect that video games in the card shop will have on the existing business owners and their customers, and for the safety"of children and senior citizens, she urges Council to reject the request for more video games in the shopping center. In response to Mayor Pro tem Chang, Ms. Marshall said that she has 21 game machines in her arcade at the shopping center. In response to the City Attorney, the Community Development Director, Ms. Butler, replied that the Arcadia Municipal Code does not currently require a conditional use permit for the requested use of the applicant. Jason Shua, 146 East Duarte Road, is a partner of David Sun, One- Hour Photo. His concern is that there are already too many game machines in the shopping center. He does not want to wait until an accident happens t perhaps involving senior citizens. Sometimes groups of children form and confrontations take place. He does not understand why Mr. La Mountain would use the term "sour grapes" in reference to the business owners who signed a petition against more game machines. Council is urged not to allow too many game machines in the small shopping center. In reply to a question from Mayor Pro tem Chang, Mr. Shua stated there are no game machines at One-Hour Photo. It was MOVED by Councilmember Lojeski, seconded by Councilmember Kuhn and CARRIED on roll call vote as follows to CONTINUE the public hearing to November 15, 1994. I AYES: NOES: ABSENT: Counclimemoers Gnang, Kuhn, Lojeski, and Young None Councilmember Margett -10- I 11/1/94 ' I I ROLL CALL 1. MINUTES APPROVAL (Oct.ll,1994) (Oct.lB,1994) (APPROVED) ADJOURNMENT 1. MINUTES APPROVAL (Oct.ll,1994) (Oct.18,1994) (APPROVED) 2. SENIOR LUNCHEON MEALS (Community Center) .. . 36:0379 CITY COUNCIL RECESSED IN ORDER TO .ACT AS THE ARCADIA REDEVELOPMENT AGENCY PRESENT: ABSENT: Agency Members Chang, Kuhn, Lojeski and Young Agency Member Margett-: i On MOTION by Agency Member Lojeski, -seconded by Agency Member Kuhn and CARRIED, Agency Member Margett:was .EXCUSED. On MOTION by Agency Member Loj eski, seconded by Chairperson Young and CARRIED on roll call vote as follows the minutes of the adjourned regular meeting of October 11, 1994 and the regular meeting of October 18, 1994 were AP~~OVED. Agency Member Chang requested clarification concerning three items in the October 11, 1994 minutes. The information was provided to his satisfaction by staff. AYES: NOES: ABSENT: Agency Members Chang, Kuhn, Lojeski and Young None Agency Member Margett The meeting adjourned to 6:00 p. m., November 15, 1994. CITY COUNCIL RECONVENED CONSENT ITEMS APPROVED the minutes of the October 11, 1994 adjourned regular meeting and the October 18, 1994 regular meeting. APPROVED the use of the Arcadia Community Center for a daily luncheon meals program to be offered Monday through Friday; and AUTHORIZE staff to contract with Arcadia Unified School District to provide meals at the Arcadia Community Center. Mayor Pro tem Chang complimented former Senior Citizens' Commissioner Warren Shaw who was responsible, for the most part, for this program. ~ . 3. EQUIP.PURCH. AWARDED contract to Reynolds Buick in the amount of $20,250.50 (One Ton Pick- for the purchase of a one-ton pickup truck with dual rear wheels up Truck & and utility body; AWARDED contract to Rotollo Chevrolet in the 3/4 Ton Pick- amount of $18,447.08 for the purchase of a 3/4-ton pickup truck Up Truck) with service body; and AUTHORIZED the City Manager to execute (Pub. Works said contracts in a form approved by the City Attorney. Dept.) . 4. EQUIP.PURCH. (Two' Unmarked Police Vehicles) (Police Dept.) WAIVED non-compliance with the specific bid process of the City of Arcadia and AUTHORIZED the purchase of two unmarked police vehicles from .Wondries Chevrolet in the amount of $43,294.59, said award based upon Los Angeles County contract R-248. . 11/1/94 -11- 36:0380 5. WORK ACCEPTED ACCEPTED proje~c. i ;-es~!" <tcing of various streets (1993-94) and (Resurf. Var. construction of aSf'~lal t pavement at Baldwin Reservoir Fa~ility - Sts. & Job No. 543] ."1" ,,-\Jl'f;QB-JZED final payment to be made in Const.Asphalt accordance wH'" c:-", CO,",tract documents. Ten per cent (10%) Pave't at retention payment becohles due and payable thirty- five days after Baldwin Res. the acceptange of the project by the City Council, and will only Facility - be released by the Director of Public Works upon completion of Job No.543) all correction" or rec'Jrd. 6. CONTRACT AWARD (Replac't Motor Control Ctr. Longden Plant - W.O. 11552) l. ARCH. DESIGN REVIEW - ADR 94-012 (Expansion of Methodist Hospital of So. Calif. ) (APPROVED) AWARDED contract in the amount of $60,660 to A & B Electric for the replacement of the motor control center at the Longden Plant - Work Order No. 552, and AUTHORIZED the City Manager and City Clerk to execute the contract in the form approved by the City Attorney. I THE ABOVE CONSENT ITEMS WERE APPROVED ON MOTION BY COUNCILMEMBER LOJESKI, SECONDED BY MAYOR YOUNG AND CARRIED ON ROLL CALL VOTE AS FOLLOWS: AYES: NOES: ABSENT: Councilmembers Chang, Kuhn, Lojeski and Young None Councilmember Margett CITY MANAGER The Methodist Hospital of Southern California has submitted plans for a proposed five story, 147,000 square foot patient tower at the Hospital for review and approval of the City Council. Architects for the proposed project are Neptune- Thomas-Davis and HKS Architects. The Methodist Hospital leases the subject property from the City of Arcadia. The hospital's lease provides that the City shall have the right to review the general design, layout, plot plan and architectural features of all buildings and structures to be located upon the premises. The existing east and west wing patient towers, which contain approximately 91,000 square feet, will be demolished upon completion of the new tower and the relocation of services. This will result in a net increase of approximately 56,000 square feet. A portion of the existing hospital is being redesigned to accommodate a new main entrance facing Civic Center Drive. According to the hospital, they are downsizing over the next few years from 350 beds to 250 beds. There will be a total of 108 beds in the new addition at project completion, with a maximum of 142 beds at future build out. Currently there are 185 I medical/surgical beds in the existing east and west wing towers which will be eliminated when these services are relocated to the new patient tower. According to hospital representatives, a majority of the services will move immediately to the new structure, and the space left behind in the existing towers will be shut down and taken "off line". There will be no interim use '... of these buildings. The ti~ino of demolition will be z~bjecc cO the relocation of the remaining services to either the new tower or to within the existing hospital. The proposed patient tower will be set back a minimum of 60' from Huntington Drive East. The existing parking in this area will be removed and landscaping and a driveway to the outpatient drop-off 'area will be located between the proposed patient tower and Huntington Drive East. The existing driveway entrance to the hospital off of Huntington Drive East will be closed, and all traffic directed to Civic Center Drive where a main approach to the new entrance will be -12- 11/1/94 , I ' 1 ~ ' ~(: I 'jd", accentuated. The existing bus turnout on Huntington Dl i',e east will remain. There are currently 1,070 parking spaces at the hospitli! " parking spaces will be eliminated as a result of _ "" construction. Based upon both the hospital's exper~(. ,~,. ,-d staff's dbservation, it is staff's opinion that there ,.:'.fl oe sufficient on-site parking to accommodate patients, visi~Oi5 and employees after the new construction is completed. I Dennis Linson, Vice President, Arcadia Methodis t E'.>;pi tal, representing Dennis Lee, 300 West Huntington Drive, SCAt20, in part, in reply to a question from Councilmember Lojeski ;'hat the intent is to file construction documents with the ~tate of California before the end of November, and to break ground next Fall, with move in anticipated by the end of 1996 or eari;' J997, Mayor Pro tem Chang suggested the two existing towers wight be used as nursing homes, office buildings, rented to the Rod Cross, or something similar as opposed to demolition. Tom Hartn"',:l, HKS Architects, associated with Neptune-Thomas-Davis, 27564 Country Glen Road, Agoura Hills, explained that the use of the two older towers would not permit state-of-the-art patient care for the next twenty-five or thirty years. The State of Calitor~ia is looking at health care facilities specifically in terms of their viability for the future. The two older towers '.re very susceptible to changing requirements structurally. The hospital has developed a master plan which will comply with the expected requirements of CAL-OSHA within the next twenty-five to thirty years. It would not be feasible to retain the two older towers after constructing the proposed new tower because that would result in over building on the available property. Also the. City's parking space require,ments must be considered. Councilmember Lojeski pointed out that what is before Council this evening is an architectural design review for the expansion of the Methodist Hospital. Council is not here to micro-manage the hospital; the directors of the hospital know the hospital business better than anyone else. Methodist Hospital is one of our two or three greatest assets in the community. Council- members Lojeski and Kuhn agreed that this construction will be a beautiful addition to the City, as well as being of great benefit in providing quality health care to the community. The City Manager pointed out that the lease with the hospital states that the City has the right to review additions or modifications but cannot tell the hospital how to use its facilities or square footage. For the record, Mayor Pro tem Chang stated that he does not have any problems with the new design, but he does have a problem with demolishing the two buildings. Further, he is not trying to micro-manage the hospital. He is just stating his opinion. Mayor Young suggested that Mayor Pro tem Chang talk to the hospital board about his concerns. I It was MOVED by Councilmember Lojeski, seconded by Councilmember Kuhn and CARRIED on roll call vote as follows to APPROVE Architectural Design Review 94-012 for expansion of the Methodist Hospital of Southern California, subject to the conditions set forth in Department of Public Works report dated October 19, 1994, which conditions shall be complied with to the "er.i.F~rtinn of the Director of Public Works; and that fire safety shall be provided to the satisfaction of the Fire Department. AYES: NOES: ABSENT: Councilmembers Chang, Kuhn, Lojeski and Young None Councilmember Margett -13- 11/1/94 2. SIDEWALK DINING (APPROVED STAFF TO PREPARE TEXT AMEND. ) l. ORDINANCE NO. 2022 (ADOPTED) 2. ORDINANCE NO. 2024 (ADOPTED) 36:0382 In response to citizens' .requests, .the City Council recently requested staff to review the possibility of allowing sidewalk dining in the public right-of-way. Staff contacted four cities regarding regulations on sidewalk dining. Some regulations, such as Pasadena's, are very complex; some such as South Pasadena and La Verne, are very simple. All the cities required an encroachment permit issued by the. Public Works Department. In addition, Claremont and Pasadena have a special permit process, and both South Pasadena and Pasadena have a monthly rental fee which is paid to the City for the use of the sidewalk. Staff from Planning, Building, Economic Development, Business License, Fire, Police and Public Works met to review the concept of sidewalk dining in Arcadia. All agreed that sidewalk dining would have a positive influence on the City's commercial areas, and further recognize that many cities allow sidewalk dining in the public right-of-way with special permits. Cities are recognizing that certain outdoor activities in commercial areas, such as sidewalk dining, do add vitality to business districts. In addition, as long as sidewalk dining complies with City regulations, it can have a positive impact on the restaurant as well as the retail district. Procedures will be established to allow for revocation of permits if there are problems. Because of the high .visibility of sidewalk dining, it can be easily monitored, and problems can be prevented. Conditions recommended by staff are outlined in report dated November 1, 1994. I Councilmember Lojeski commented that, although not required for approval, he would like to see this information provided to the Planning Commission and Parking District Commission for input. It was MOVED by Councilmember Kuhn, seconded by Mayor Pro tem Chang and CARRIED on roll call vote as follows to DIRECT staff to proceed with the concept of sidewalk dining, and PREPARE the appropriate text change to the Arcadia Municipal Code. AYES: NOES: ABSENT: Councilmembers Chang, Kuhn, Lojeski and Young None Councilmember Margett CITY ATTORNEY The City Attorney presented and read by title Ordinance No. 2022: "AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, AMENDING THE CONTRACT BETWEEN THE CITY COUNCIL OF THE CITY OF ARCADIA AND THE BOARD OF ADMINISTRATION OF THE CALIFORNIA PUBLIC EMPLOYEES' RE'):IREMENT SYSTEM". (2% at 55 for Miscellaneous Employees) It was MOVED by Mayor Pro tem Chang, seconded by Councilmember Lojeski and CARRIED on roll call vote as follows that Ordinance No. 2022 be and it is hereby ADOPTED. AYES: NOES: ABSENT: I Councilmembers Chang, Kuhn, Lojeski and Young None Councilmember Margett The City Attorney presented and read by title Ordinance No. 2024: "AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARCADIA. CALIFORNIA, AMENDING THE ARCADIA MUNICIPAL CODE BY ADDING A NEW CHAPTER 9 TO ARTICLE I, PART 2 RELATING TO CLAIMS AND ACTIONS BY OTHER PUBLIC ENTITIES". It was MOVED by Councilmember Lojeski, seconded by Mayor Pro tem Chang and CARRIED on roll call vote as follows that Ordinance No. 2024 be and it is hereby ADOPTED. AYES: Councilmembers Chang, Kuhn, Lojeski and Young 11/1/94 -14- I I 3. ORDINANCE NO. 2025 (ADOPTED) ADJOURNMENT (Nov.15,1994 6:00 p.m.) ATTEST: 'f'" 36:0383 NOES: ABSENT: None Councilmember Margett The City Attorney presented and read by title Ordinance No. 2025: "AN ORDINANCE OF THE CITY COUNCIL OF THr~ CITY OF ARCADIA, CALIFORNIA ADOPTING AMEND~ENT NO. 3 TO THE C~NTRAL REDEVELOPMENT PLAN TO ESTABLISH TIME LIMITATIONS AS REQUIRED BY AB 1290". It was MOVED by Mayor Pro tem Chang, seconded by Mayor Young and CARRIED on roll call vote as follows that Ordinance No. 2025 be and it is hereby ADOPTED. AYES: NOES: ABSENT: Councilmembers Chang, Kuhn, Lojeski and Young None Councilmember Margett At 8:55 p. m. the City Council ADJOURNED to Tuesday, November 15, 1994 at 6:00 p. m. in the Council Chambers for a regular meeting to conduct the business of the Council and the Arcadia Redevelopment Agency and any Closed Session necessary to discuss personnel, litigation matters and evaluation of properties. U7~~/=? ~J~ J D. Alford, Ci. Cl~-=::::::' -15- 11/1/94