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HomeMy WebLinkAbout12-10-1996 City Council MinutesMINUTES REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, 10, 1996 ~~~,~~**~~~~~***~*~~*~*,~~*~**~*~~,~**~~~**~~~*~*~*,~**~******,~****,~,~~,~ CALL TO ORDER The Regular City Council Meeting was called to order by Mayor Pape at 7:04 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by City Manager Molendyk. INVOCATION The Invocation was provided by Pastor Frank Sandoval, Lake Elsinore Vineyard Christian Fellowslup. ROLL CALL PRESENT: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE ABSENT: COUNCILMEMBERS: NONE Also present were: City Manager Molendyk, Assistant City Manager Watenpaugh, City Attorney Harper, Administrative Services Director Boone, Community Development Director Leslie, Community Services Director Sapp, City Engineer O'Donnell and City Clerk Kasad. PRESENTATIONS None. PUBLIC COMMENTS - AGENDIZED ITEMS None requested. CONSENT CALENDAR ITEMS The fcllowing items were pulled from the Consent Calendar far further discussion and consideration: Item Nos. 5, 6 and '7. MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY PAGE TWO - CITY COUNCIL MINUTES -DECEMBER 10, 1996 UNANIMOUS VOTE TO APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. The following Minutes were approved: (F:44.4) a. Regular City Council Meeting - November 12, 1996. b. Regular City Council Meeting - November 26, 1996. The following Minutes were received and ordered filed: c. Planning Commission Meeting - November 20, 1996. (F:60.3) d. Design Review Committee Meeting - November 20, 1996. (F:60.4) 2. Ratified Warrant List for November 27, 1996. (F12.3) 3. Received and ordered filed the Inveshnent Report for October, 1996. (F:12.5) 4. Rejected and refened to Claims Aduvnistrator the Claim Against the City submitted on behalf of Gregory Michael Manos (CL #96-24). (F:52.2) PUBLIC HEARINGS 21. Tentative Tract Map No. 27617 "Dyer-Wvnn". (F160:2) City Nlanager Molendylc provided background on this item and noted that the owners are hoping to sell this property. Mayor Pape opened the public hearing at 7:05 p.m., asking those persons interested in this item to spealc. Hearing no one, the public hearing was closed at 7:05 p.m. Councilman Alongi inquired if this approval would be exempt from the new law granting automatic extensions of time. Community Development Director Leslie indicated that the last action by the State to extend maps was relative to maps in existence at that time and not future maps. He clarified that tlus applicant would still be able to request extensions as detailed in the Subdivision 1vlap Act. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO APPROVE TENTATIVE TRACT MAP NO 27617, ADOPT MITIGATED NEGATIVE DECLARATION NO. 96-5, BASED ON THE RECOMIVIENDED FINDINGS, EXHIBIT A AND SUBJECT TO THE FOLLOWING CONDITIONS OF APPROVAI,. Plannin~ Division Tentative Tract Map No. 27617 will expire two (2) years from date of approval unless within that period of time a final map has been filed with the PAGE THREE - CITY COUNCIL MINUTES - DECEMBER 10, 1996 County Recorder, or an extension of tune is granted by the Ciry of Lake Elsinore City Council in accordance with the Subdivision Map Act. 2. Tentative Tract Map No. 27617 shall comply with the State of California Subdivision Map Act and shall comply with all applicable requirements of the Lake Elsinore Municipal Code, Title 16 unless modified by approved Conditions of Approval. 3. A precise survey with closures for boundaries and a111ots shall be provided, per City Ordinance. 4. Signage for subdivision identification if proposed shall be reviewed and approved by the Community Development Director or Designee prior to the issuance of the first Certificate of Occupancy. 5. The City's Noise Ordinance must be met during all site preparation activity. 6. Street names within the subdivision shall be approved by the Community Development Director or Designee prior to final map approval. 7. Applicant shall bond for a11 public improvements and grading for subject development as required by the City Engineer. a) Bonding shall be done by phases and not by final maps(s) on grading. b)Bonding sha11 be done by final map(s) for a11 other improvements. Pay all applicable fees including park fees in force at time of issuance of building permits. 9. Prior to final map approval of Tract Map No. 27617, the improvements specified herein and approved by the Planning Commission a~d the City Council sha11 be installed, or the bonds and agreement for said improvements, shall be submitted to the City for approval by the City Engineer, and all other stated conditions shall be complied with. 10. Prior to Final Tract Map approval by the City Council, all lots within this subdivision sha11 be shown to conform to the minimum dimensional standards of the R-1 Zoning Disirict (LEMC 17.23). 11. Prior to Final Tract Map approval, provide drainage acceptance letters from adjacent property owners to be approved by the City Engineer and City Attomey and recorded. 12. All of the improvements shall be designed by developer's Civil Engineer to the specifica6ons of the City of Lake Elsinore. 13. Comply with all conditions of the Riverside County Fire Department. Provide fire buffer zones azound the west side of tract boundary and landscape for fire retardant and erosion control prior to issuance of first PAGE FOUR - CITY COUNCIL MINUTES - DECEMBER 10, 1996 Certificate of Occupancy. 14. Applicant must meet all requirements of Elsinore Valley Municipal Water District (EVMWD). 15. The applicant shall provide connection to public sewer for each lot within the subdivision. No service laterals shall cross adjacent property lines and sha11 be delineated on engineering sewer plans and profiles for submittal to the EVMWD. 16. The developer shall submit plans to Southem California Edison for a layout of the street lighting system. The cost of street lighting, installation as well as energy charges shall be the responsibility of the developer and/or the association. Said plans shall be approved by the City and shall be installed in accordance with the City Standards. 17. Meet all requirements of Southern California Edison Company. 18. Meet all requirements of Southern California Gas Company 19. Meet all requirements of General Telephone Company. 20. All trailers used during construction, mailboxes and signage shall be subject to Pla~u~uig Division review and approval prior to installation. 21. If a homeowners association is to be established, it shall manage and impose fees to maintain all slopes or common areas, open space, private drainage facilities, firebreaks, habitat areas, private recreational facilities and grounds, private streets and any other common amenities. This association shall be established subject to current State laws and be subject to the approval of the City Attorney and Community Development Director who sha11 review all CC & R's and rules for their adequacy and completeness. The City Attorney sha11 review CC & R's, homeowners association documents and all documents to convey title to the homeowners association. 22. Applicant shall submit and receive approval of landscape and irrigation plans for model homes (if such are desued and proposed), back-up wall areas, street trees and slope planting in accordance with the City I:andscape Guidelines, prior to issuance of building permits for future development. 23. Corner lots and lots abutting the public right-of-way shall be made responsible for landscaping and maintenance between the side walk and the property fencing. 24. Subdivider shall record CC & R's for the project prohibiting on-street storage of boats, motor homes, trailers and hucks over one (1) ton capacity. CC & PAGE FIVE - CITY COUNCIL MINUTES - DECEMBER 10, 1996 R's shall also include screening any ground base satellite dish and no roof- mounted or front yard dish sha11 be allowed. CC & R's shall be subject to the approval of the Community Development Director, or lus designee, prior to recordation of any deeds or final map. CC& R's shall be recorded prior to issuance of any Certificate of Occupancy for the units when developed in the future. 25. House plotting, azchitectural drawings, floor plans, landscaping and fences/walls sha11 require Design Review approval prior to issuance of building permits. All staudards of development and procedural steps in effect at the Minor Design Review submittal shall apply for this project. 26. A decorative block or masonry wall minimum six (6') feet in height measured at the highest grade shall be constructed around the perimeter of the subdivision. Precise design, materials and locarion to be determined through the Design Review process. 27. Any alterations to the topography, ground surface, or any other site preparation activity will require appropriate Grading City pernuts. A Geologic Soils Report with associated recommendations will be required for grading pernut approval, and all grading must meet the City's Grading Ordinance, subject to the approval of the City Engineer and the Planuing Division. Analysis of impacts of fills and cuts greater than sixty-feet (60') shall be provided. Interim and permanent erosion control measures are required. The applicant sha11 bond 100% for material and labor for one (1) yeaz for erosion control landscaping at the time the site is rough graded. 28. All development associated with this map requires separate Design Review approval. 29. Prior to issuance of any grading permit or building permit, subdivider shall sign and complete an "Acknowledginent of Conditions" and shall rehun the executed original to the Community Development Department. 30. All residences shall be served by a sidewalk along lot frontage. 31. All project mitigation measures, listed within the Mitigated Negative Declaration 96-5, ,sha11 be incorporated into projectdesign and development. 32. Conceptual and Final Landscape and Irrigation Plans for a11 project slope areas and fire brealcs shall be approved by the Community Development Director prior to issuance of building permits for any phase of development. Improvements sha11 be installed prior to Certificate of Occupancy. 33. Within one year prior to issuance of a grading pernut, the applicant shall conduct a focused biological assessment to deterniine the extent of impacts PAGE SIX - CITY COUNCIL MINUTES - DECEMBER 10, 1996 to animal and plant species as required by The U.S. Fish and Wild Life Services, California Department of Fish and Game, and the Riverside County Habitat Conservation Agency (RCHCA). 34. This project is located within the Stephen's Kangaroo Rat (SKR) Fee Area. Prior to the issuance of Grading Permits, the applicant shall pay the appropriate mitigation fee in effect at the time of issuance. 35. Prior to final map approval, the applicant shall cause amendment of Tentative Tract Map No. 25074 to a11ow for the extension of "E" Street on Tentative Tract Map No. 27617 to "A" Street in Tentative Tract Map No. 25074. 36. The applicant sha11 pay applicable fees and obtain proper clearance from the Lake Elsinore Unified School District (LEUSD) prior to issuance of building pernuts. Eneineerin~ Denartment 37. All Public Works requirements shall be complied with as a condition of development as specified in the Lake Elsinore Municipal Code(LEMC) to final map approval. 38. Dedicate underground water rights to the City (LEMC 16.52.030). 39. Pay a11 Capital Improvement and Plan Check fees (LEMC 16.34, Resolution 85-26). 40. Submit a"Will Serve" letter to the City Engineering Department from the applicable water agency stating that water and sewer arrangements have been made for this project. Submit this letter prior to final map approval. 41. Conshuct all public works improvements per approved street plans (LEMC, Title 12). Plans must be approved and signed by the City Engineer prior to final map approval (LEMC 16.34). 42. Street improvement plans and specifications shall be prepared by a Civil Engineer. Improvements shall be designed and constructed to Riverside County Road Department Standards, latest edifion, and City Codes (LEMC 12.04 and 16.34). 43. Pay all fees and meet requirements of an encroachment pernut issued by the Engineering Department for construction of public works improvements (LEMC 12.08 and Resolution 83-78). 44. All compaction reports, grade certifications, monument certifications (with tie notes delineated on 8" x 11" mylar) sha11 be submitted to the Engineering PAGE SEVEN - CITY COUNCIL MINUTES - DECEMBER 10, 1996 Department before final inspection of public works improvements will be scheduled and approved. 45. The applicant shall obtain all necessary off-site easements and/or rights-of- entry for off-site grading from the adjacent properiy owners prior to final map approval. 46. Provide fire protection facilities as required in writing by Riverside County Fire. 47. Provision of street lighting and lighting improvements sha11 be part of the street improvement plans as required by the City Engineer. 48. Developer shall annex to the City's Wide Lighting and Landscaping Maintenance District. 49. Individual lot drainage shall be conveyed to a public facility or accepted by adjacent property owners by a letter of drainage acceptance or conveyed to a drainage easement. 50. All natural drainage traversing the site sha11 be conveyed through the site, or shall be collected and conveyed by a method approved by the City Engineer. 5 L Submit Hydrology and Hydraulic Reports for review and approval by City Engineer prior to approval of the final map. Developer sha11 mitigate any flooding and/or erosion caused by development of site and diversion of drainage. 52. All drainage facilities in this tract shall be conshucted to Riverside County Flood Control District Standards. 53. Developer sha11 be subject to all Master Planned Drainage fees and will receive credit for all Master Planned Drainage faciliries constructed. 54. The applicant sha11 enter into an agreement with the City for the construction of public works improvements and shall post the appropriate bonds. 55. If grading exceeds 50 cubic yazds, grading plans shall be prepared by a Civil Engineer and approved prior to grading permit issuance. Prior to any grading, the applicant sha11 obtain a grading permit and post appropriate security. 56. All grading shall be done under the supervision of a geotechnical engineer and he sha11 certify all slopes steeper than 2 to 1 for stability and proper erosion control. All manufactured slopes greater than 30 ft. in height shall be contoured. PAGE EIGHT - CITY COUNCIL MINUTES - DECEMBER 10, 1996 57. The applicant must receive all applicable approvals from a11 appropriate agencies for grading a blue line stream prior to grading plan approval. 58. Developer shall install blue reflective pavement markers in the street at a11 fire hydrantlocations. 59. The applicant shall submit a traffic control plan showing all traffic control devices for the tract to be approved prior to final map approval. All traffic control devices sha11 be installed prior to final inspection of public improvements. 60. All improvement plans and tract maps shall be digitized. At Certificate of Occupancy applicant shall submit tapes and/or discs which are compatible with City°s ARC Info/GIS or developer to pay $1000 per sheet for City digitizing. 61. All utilities except electrical more than 12 kv shall beplaced underground, as approved by the serving utility. 62. Provide soils, geology and seismic report including street design recommendations. Provide final soils report showing compliance with recommendations. 63. The applicant shall provide the city with proof of his having filed a Notice of Intent with the Regional Water Quality Control Board for the National Pollutant Discharge Elimination System(NPDES) program with a storm water pollution prevention plan prior to issuance of grading permits. 64. Intersection site distance sha11 meet the design criteria of the Caltrans Design Manual (particular attention should be taken for intersections on the inside of curves). If site distance can be obshucted, a special limited use easement must be recorded to limit the slope, the type of landscaping and wa11 placement. 65. All open space and slopes except for public parks, schools and Flood Control District facilities outside the public right-of-way will be owned and maintained by either a master owner's association or private owners. 66. The building pads of lots along the south and east boundary of the tract mus4 be graded at least one foot above the flow line of the drainage channel along the tract boundary, or an aiternate design equally acceptable to the City Engineer. 67. ff Tract 27617 is developed prior to Tentative Tracts 25830 and 25074, the developer will be required to construct the infrashucture to match the future improvements of the previously approved tentative tracts. PAGE NINE - CITY COUNCIL MINUTES - DECEMBER 10, 1996 68. ff Tract 27617 is to be graded before Tentative Tract 25830 and 25074, then a detailed drainage study must be done prior to tentative map approval. The study must include the grading for the "A" St. in tentative h~act 25830 and 25074, and their connection to Greenwald for effects on the drainage pattern. 69. Tentative Tract No. 25074 must be amended to extend "E" St. in Tentative Tract 27617 to "A" St. in Tentative Tract 25074 prior to final map approval. 70. If this tract is developed prior to Tentative Tract 25074, a drainage acceptance letter will be necessary from the downstream property owners for out letting the proposed storm water run off onto private property. 71. Developer shall agree to form a new lighting and landscaping maintenance disirict if necessary for the maintenance of on-site street related public improvements and site specific special benefit facilities ( such as parks and traffic signals) and sha11 pay the cost for the formation of the district. BUSINESS ITEMS 31. Second Reading - Ordinance No. 1022 - Interim Ordinance Temnorarilv Prohibitine New Multi-Familv Residential Projects at a Densitv Greater than Twelve (,12) Units per Acre. (F:138.1) MOVED BY BRINLEY, SECONDED BY METZE TO ADOPT ORDINANCE NO. 1022 UPON SECOND READING BY TITLE ONLY: ORDINANCE NO. 1022 AN ORDINANCE EXTENDING ORDINANCE 1021- AN URGENCY INTERIM ORDINANCE TEMPORARILY PROHIBITING NEW MULTI-FAMILY RESIDENTIAL PROJECTS AS A DENSITY GREATER THAN TWELVE (12) DWELLING UNITS PER ACRE PENDING CONTEMPLATED GENERAL PLAN AND ZONING STUDIES. ' AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS BRINLEY, KELLEY, METZE, PAPE ALONGI NONE NONE 32. Second Readin~ - Ordinance No. 1023 - Approving a Public Leaseback. (F:133.1) _ PAGE TEN - CITY COUNCIL MINUTES - DECEMBER 10, 1996 MOVED BY BRINLEY, SECONDED BY ALONGI TO ADOPT ORDINANCE NO. 1023 UPON SECOND READING BY TITLE ONLY: ORDINANCE NO. 1023 AN ORDINANCE OF THE CITY OF LAKE ELSINORE APPROVING A PUBLIC LEASEBACK, UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILIVIEMBERS: NONE 33. Reauested Committee & Task Force Anpointments. (F:44.1)(X:142.1)(X:164.2) City Manager Molendyk explained that Mayor Pro Tem Kelley was requested by the School District to represent the City on the Crew Committee for a new program at the high school. He further explained that EVMWD has requested the formation of a joint task force to address concerns with reclaimed water. He noted that the names discussed to date have been Bob Scluffner, Marlene Best and Pat Kilroy. He detailed the expertise of those recommended. Councilman Alongi questioned the Crew Committee and whether it will use staff time. Mayor Pro Tem Kelley explained that Dr. Long has an individual who has volunteered time to teach students at both high schools crewing. She fiuther explained that someone has donated sculls and this would be a committee to oversee the program. She indicated that she volunteered to serve on the committee and there would be no staff time involved. -- Councilman Alongi questioned where the teaching would take place. Mrs. Kelley indicated that has not yet been decided, but the information will come back to the Council. She stressed that this is a wonderful opportunity to introduce a new sport. Councilman Alongi requested the opporhznity to serve on the committee on Reclaimed Water. Mayor Pape questioned if elected officials from the Water District would be participating; and suggested that it might be appropriate to keep a task force non-political. Mayor Pro Tem Kelley noted the letter received from the Water District which requested City Council and staff representation. Councilwoman Brinley suggested that the members suggested PAGE ELEVEN - CITY COUNCIL MINUTES - DECEMBER 10, 1996 seem appropriate and noted theu qualifications. Councilman Metze suggested including Councilman Alongi on the Committee and if there are too many representatives he could be pulled from the list later. MOVED BY ALONGI, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO APPOINT MAYOR PRO TEM KELLEY TO THE LAKE ELSINORE UNIFIED SCHOOL DISTRICT CREW COMMITTEE; AND APPOINT BOB SCHIFFNER (PUBLIC/PLANNING COMMISSIOl~, MARLENE BEST (ASSISTANT TO THE CITY MANAGER) AND PAT HILROY (LAKE OPERATIONS) TO THE ELSINORE VALLEY MUNICIPAL WATER DISTRICT RECLAIMED WATER FOR LAKE ELSINORE TASK FORCE. 34. Traffic Si~nal at Dexter Avenue and Hi wav 74. (F:162.4) City Manager Molendyk explained that this item has come to attention of Council and staff through conespondence from residents. He noted meetings between City staff and Caltrans Engineers and advised that the intersection does meet the requued Caltrans warrants for a traffic signal. He further explained that the cost of the signal is estimated at $170,000; and Caltrans is williug to fund 50%, with a local match of 50%. He noted the potential of approaching the School District and the County to assist with the funding, but noted that Dr. Long feels that the School District is not able to e~pend funds for infrastructure; and it might be appropriate to consider proceeding with the County, City and Caltrans. Councilman Metze indicated that he is irritated that the School District is not looking to find funds. He stressed that they created the problem; and questioned how they got around the mitigation of the impacts. City Attorney Harper indicated that when the facility was built it was determined that mitigation was not necessary. He fiuther indicated that the City has no ability to impact the construction of a School . Councilman Metze stressed that it is not right for the other agencies to hy to push the cost onto the City. He indicated that he would hope that they would be willing to participate. Councilman Alongi stressed that he would also like to see the District involved; and noted theu ability to provide parks and recreation, but not infrastructure. He further stressed that the City should not take the whole cost and suggested further negotiation with the School District. Councilman Alongi inquired how quickly this work could be done; and suggested that a temporary means to be used in the interim, such as a Community Service Officer to direct traffic during peak times. Councilwoman Brinley questioned whether the County's participation would be for one quarter of the cost; and stressed the responsibility of the County Supervisor. PAGE TWELVE - CITY COUNCIL MINUTES - DECEMBER 10, 1996 MOVED BY BRINLEY, SECONDED BY ALONGI TO MAKE THE CITY THE LEAD AGENCY AND APPROVE ONE QUARTER OF THE COST OF THE SIGNAL; FRONT SOME OF THE MONEY TO GET THE SIGNAL UNDER WAY AND ENTER INTO A CONTRACT WITH CALTRANS PENDING THE COUNTY AGREEMENT FOR ONE QUARTER OF THE COST AND NEGOTIATIONS WITH THE SCHOOL DISTRICT. City Manager Molendyk added that the Caltrans funding cycle is generally for engineering in one year and construction in the next. He explained that this recommendation is for the Council to front the money to start the design work to reduce the time frame . City Engineer ODonnell noted that Caitrans will want the City to come up with the other half of the funding to sign the agreement. Mayor Pape noted the calls and letters received on this matter, and commented that the public got the attention of Caltrans and they concurred that it did warrant the traffic signal. He stressed that if we wait for them to lead, it could take 6-12 months to get it going. He indicated that the City is willing to front the money and get the work going to fast track the signal as quickly as possible. He fiuther stressed that the system does work. Councilman Alongi stressed that he would want to be assured of a solid commitment from Caltrans and the County and the School District for their portion. Councilwoman Brinley concurred and indicated that this was the intention of the motion. Councilman Metze stressed the importance of not slowing down the process. Mayor Pro Tem Kelley questioned the recommendation for a letter from the Mayor as a representative of the City to request participation by the School District and Riverside County. Mayor Pape indicated that he will work too malce that happen. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE.. ITEMS PULLED FROM THE CONSENT CALENDAR 5. Seanort ~oat Launch - Desien and Construction Fees. (F:92.5) City Manager Molendyk explained this item and indicated that it is a request for a change order to cover the items discussed in the report in the amount of $48,300 from the park in-lieu fees. He noted that there has been some changes since the State approved the project. He fiuther noted that some of tlie costs would have originally been applied to the cost of Phase II and will PAGE THIRTEEN - CITY COUNCIL MINUTES - DECEMBER 10, 1996 be credited within that phase. Councilman Alongi noted an earlier discussion and indicated that staff did everytlung possible to assure that this would not happen. He noted the $48,000 from the park fund and questioned the credit which would be received. Assistant City Manager Watenpaugh explained that a letter has been drafted to Boating and Waterways to request a change to the grant and its funding to a11ow some work now instead of in Phase II. Mayor Pape noted that it is very frustrating when working on a project with State allocations and changes are required for which they will not provide the money. Councilwoman Brinley noted that she spoke with staff and would like to see a request for reimbursement, as well as a letter to the State Assemblyman and Senator so they are aware of what is going on. MOVED BY ALONGI, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE ADDITIONAL FUNDS FOR DESIGN AND CONSTRUCTION MANAGEMENT AND AUTHORIZE THE TRANSFER OF $48,3000 FROM THE PARK DEVELOPMENT FUND TO THE PROJECT ACCOUNT AND DIRECTED STAFF TO SEND A LETTER TO BOATING AND WATERWAYS TO REQUESTED THE NECESSARY CHANGES TO THE GRANT. 6. Resolution No 96-65 - Authorizing Issuance of Special Tax Refundine Bonds. (F:126.5) City Attorney Harper noted the complexity of ttus subject, and reference the 1989 decision to do all financing through the Public Finance Authority. He explained the process for issuance of bonds and indicated that the only bonds in the market currently are Public Finance Authority Bonds. He further explained that the advantage of this form of financing was believed to be the interest rate spread which allows for project work. He explained the related reserve fund and indicated that the fund has been exhausted by paying delinquencies in the underlying bond funds. He explained the approach to solving the problems, startnig with the refunding of the Sumitomo Loan. He indicated that there is no downside to this transacrion. Councilman Alongi noted the difficult job ahead of the Council and noted lus understanding of the necessity of doing this. He indicated that he doesn't like it, but is willing to go along with the Council. He commented that there is some down side to it, but stressed the need to move forward in unity as a Council. Mayor Pro Tem Kelley concurred with Councilman Alongi and noted that the priorities are the budget and the preservation of public safety. She stressed that this is an effort to come out of the problems and go forward with Mr. PAGE FOURTEEN = CITY COUNCIL MINUTES - DECEMBER 10,1996 Gunn to develop a long term and short term plan. She stressed the importance of moving through each step in support of Mr. Gunn's plan. Mayor Pape commented that this is the proactive approach to develop a work out plan with the financial experts and attorney's to reduce the burden for the City. He indicated that the key factors are to build up the reserves and prevent defaults and foreclosures. He indicated that ttus action has no affect on the properiy owners in the City and causes no increase in the debt; and stressed that the interest rate will be lower. He stressed that the work on a solution is ongoing and so far has no down side to it. Councilman Metze suggested that the City Attorney address the ranufications of defaulting on the bonds. Councilwoman Brinley added a question regarding the legality of this action. Counciiman Metze noted that the only alternative heard from-the public is to let them go into default. City Attorney Harper responded that this is cieazly a legal refunding and with regard to the impact of defaults they are somewhat hard to measure. He explained that one unpact is that it affects the credit worthiness of the City and its ability to issue future debt based on the reputation. He further explained that a default will engender the type of litigation seen in Orange County; wluch was very expensive and complicated. He also explained that much negative comes from a default and the actual results cannot be anticipated. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 96-65 AND AUTHORIZE EXECUTION OF THE DOCUMENT. 7. In Fill Lot Housin~ Pronosal- Bonita Homes. (F:87.1) City 1vlanager Molendyk highlighted this proposal, and explained that the City would be participating through the Redevelopment Agency with a future payback. He noted that the high side of the proposal is new housing in the older areas following the design of the Historical Downtown area. He noted that the homes would be similar to the recently completed Habitat for Humanity home. Gary Boise, Vice President of Development for Bonita Homes, noted the attractiveness of the proposal; and looked forward to a very successful program. He stressed that the Redevelopment Agency participation is critical to allow them to obtain the low interest rate funding. Councilman Alongi questioned the development area being defined; and noted that he would not be impacted unless the plan was within 300 feet of him. He questioned his ability to vote on this item. City Attorney Harper indicated taht it is ultimately Councilman Alongi's decision, but it seems that PAGE FIFTEEN - CITY COUNCIL MINiJTES - DECEMBER 10, 1996 any action might have the potential of having a material financial effect if it is within 300 feet of his property. Councilman Alongi indicated that he has property all over that area. He commented on the financing of the project with a first mortgage, and the second mortgage deeded to the RDA; he would like to see something to prevent a third mortgage from being placed on the property; or a requirement for approval by the RDA on any additional financing. Mr. Boise clarified the rights of the property owner with regard to IRS requirements and stressed the benefits this home ownership would yield. Councilman Alongi noted that his has agreements on lus property, and stressed the potential for owners to borrow additional money on the homes. Mr. Boise indicated that he wouid have nothing against including that verbiage. Mayor Pro Tem Kelley indicated that this is a wonderful program, based on the information received at the study session. She noted the 10 year aff'ordability requirement and questioned the size of the homes. Mr. Boise indicated that the homes will be approximately 1,200 square feet, with three bedrooms, two baths, garage, and a usable porch. He advised that the front facade will be either ship lap, tongue and grove, or sandstone to meet the City requirements. He further advised that the front yards will be landscaped with grass, sprinklers, trees and shrubs. City Manager Molendyk noted that the homes will be between $100,000 and 103,000, with payments of about $790 per month. Councilwoman Brinley requested assurance that the applicant was made aware the this is within the Downtown Overlay District and quesfioned if there was any problem with those requirements. Mr. Boise indicated that he was aware of this and had no problem with the requirements. Mayor Pro Tem Kelley questioned the time table for construction. Mr. Boyse indicated that they would like to be in plan check by January and construction by February. He further indicated that they would like to start with five homes and follow up with 5 more each month. He explained that this would be a good time table for home sales. Councilman Metze pointed out that Bonita Homes will do three to five homes in one neighborhood at a time; and commented that it will be a good incentive for other properly owners in the area. MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY A VOTE OF 4 TO 0 WIT~I ALONGI ABSTAINING FROM VOTE TO DIRECT STAFF TO FINALIZE A MEMORANDUM OF UNDERSTANDING AND PROCEED WITH BONITA ~IOMES DEVELOPMENT CORPORATION AND CALEXICO COMMUNITY ACTION COUNCIL IN THE PLAN CHECK AND DESIGN REVIEW PROCESS. PAGE SIXTEEN - CITY COUNCIL MINUTES - DECEMBER 10, 1996 THE CITY COUNCIL MEETING WAS RECESSED AT 7:52 P.M. THE CITY COUNCIL MEETING RECONVENED AT 8:01 P.M. PUBLIC COMMENTS - NON-AGENDIZED ITEMS John Seepe, 15631 IIalf Moon Drive, expressed recognition of the magnitude of the issues before the City Council, but stressed the need for the Council to understand the views of the residents reading about the meeting of December 3rd. He noted that the Council ran for off'ice with the desires to make a change, and suggested that a need to protect themselves from their image. He stressed that it is paramount for the Council to have a good image. He noted that the Council Meeting last week, in his opinion, dealt with one of the most important items of the year, but it was hastily scheduled, poorly planned and poorly attended session. He suggested that the Council showed no effort to stem the flow of public opinion and was contemptuous and arrogant toward the voters. He commented that Mr. Gunn works for the community and reiterated his concern for the image of the City. He commented that the Council is hying to work as a team and suggested that the Council take actions as boldly as they ran for office. CITY MANAGER COMMENTS City Manager Molendyk noted Pete Dawson's presence in the audience and noted the upcoming boat parade. He aclrnowledged the efforts of Mr. Dawson. Mr. Dawson detailed the event on Saturday evening and the locations for viewing the event. He advised that this is the third year of the event and those who watched the parade the prior years said it was a lot of fun. CITY COUNCIL COMMEN'd'S Mayor Pro Tem Kelley commented on the following: 1) Encouraged the public to watch the boat parade. 2) Wished the citizens a Merry Christmas. Councilwoman Brinley commented on the following: 1) Advised that she will be at the boat parade and reminded the community of the date. 2) Announced the birth of her new grandson, who is one week old and thanked people for their prayers and wishes. She noted that he is now holding his own, and is truly an early Christmas blessing. PAGE SEVENTEEN - CITY COUNCIL 1VIINUT~~ - I)ECEIi~dI~ER 10, 1996 3) Wished the residents a Happy and Safe Holiday Season. Councilman Alongi commented on the followuig: 1) Wished all a Happy Chrishnas and New Year. 2) Advised that he talked wifli Dave Fahrion, and noted that people should go see flie facility in Penis. He indicated fliat he was impressed by the cleaniiness and stressed the costs to provide the services. He discussed a program for the Senior Citizens to get a ~tiscount; and Mr. Fahrion will be discussuig it with the Ciry Manager. He stressed that the Seniors don't generate as much trash. 3) Noted the importance of reclaimed water discussions for the Lake and stressed that it is not possible to rely on mother nahzre. He indicated that while he is not completely sold on the idea, he would like to lcnow more about it. 4) Noted the Trolley on Main Street, and advised that peopie are disappointed, as flley thought it would stop on Main Street or at the Chamber of Commerce. He indicated that he doesn't see how a Senior Citizen will use the bus, and stressed the number of Seruors downtown. He suggested that Mrs. Brinley work out an alternative. Councilwoman Brinley indicated that tlus was a pilot program and it was important to divide up the time. She also explained that the Trolley will not physically fit downtown as traffic would need to be one way on Main Street. She indicated that while this prograsn was only for the month of December, the next time they would look at a whole different program for Saturdays and Sundays. Councilman Alongi commented that the Trolley is not oversized, or it could not travel on the highway and indicated that there is oniy a misunderstanding as to the ability to brulg the Trolley downtown. 5) Commented that Donald Bzunell is getting involved in private busuiess; but they will stili be havulg the dinner at Lake Eisinore Viliage. He indicated that he would put Mz. Burne11 "out of the box". 6) Reminded the Community of his next program on December 26th at 7 p.m.; and expressed hopes that he would have information on Reclauned ~vater. He conunented that people lzave the right to know flie whole story about reclaimed water. Councilman Metze co~nmented on the followiilg: 1) Addressed Mr. Seepe with. regard to calling o£the meeting to adc~sess a _ ~~ PAGE EIGHTEEN - CITY COUNCIL MINUTES - D~CEMBER 10, 1996 $1 million payment and avoid a new law going into effect. 2) Wished all a Happy and Safe Holiday. 3) Noted that he enjoyed the tree lighting and the Trolley arrival on Friday. Mayor Pape commented on the following: 1) Noted the parade of lights, and advised that boat owners can still participate and get applications at City Hall, or Pro Marine on Grand Avenue. He further noted that this is one of the few times boats can be out on the Lake at night, and encouraged participation. CLOSED SESSION a. Joint Closed Session with the Redevelopment Agency - Pending Litigation - Lake Elsinore Associates - Case No. 200767. THE CITY COUNCIL MEETING WAS AD30URNED TO CLOSED SESSION 8:15 P.M. TO DISCUSS THE ABOVE M~NTIONED ITEM. THE CITY COUNCIL MEETING RECONVENED AT 9:16 P.M. NO ACTION TAKEN. ADJOURNMENT MOVED BY METZE, SECONDED BY BRII\TLEY AND CARRIED BY UNANIMOUS VOTE TO ADJOURN THE REGULAR CITY COUNCIL MEETING AT 9:16 P.M. TO THURSDAY, DECEMBER 19, 1996, AT 9:00 A.M. IN THE LAKE ELSINORE CITY HALL CONFERENCE ROOM, 130 SOUTH MAIN STRE~T, LAKE ELSINORE. Gf~ ~ ~'IN W. APE, MAYOR ITY OF LAKE ELSINORE A'Y'TEST: 1` ~',~~. ~~~1 V iCY~' i~AS~1~, CITY CLERK t;~`A'Y OF L~~ ELSINORE