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HomeMy WebLinkAboutJuly-December 1996 City Council MinutesMINUTES SPECIAL CITY COUNCIL MEETING CITY OF LAKE ELSINORE 130 SOUTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, JULY 2, 1996 x*** xxxxxx*** x** xxx* xx** xxxxxxxx* xxxxxxxxxx** xxxxxx xxx *xx * *xxxxxxxxxxxxxxxxxxx CALL TO ORDER The Special City Council Meeting was called to order by Mayor Pape at 9:07 a.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Mayor Pape. ROLL CALL PRESENT: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, PAPE ABSENT: COUNCILMEMBERS: METZE Also present were: City Manager Molendyk, Assistant City Manager Watenpaugh, City Attorney Harper, Community Development Director Leslie, Building & Safety Manager Russell, City Engineer O 'Donnell, Manager of Special Project Best, Administrative Services Director Boone and City Clerk Kasad. DISCUSSION ITEMS a. Eastlake Project Update. (F:134.10) City Manager Molendyk read the following memorandum from Tom Weigel, updating the Eastlake Project: Although we have made significant progress since our last City Council hearing, ECB is not ready yet to present the new land plan for the initial development phase of East Lake. There was some misunderstanding regarding the scheduling of ECB's presentation at this morning's Study Session. But, since our last City Council approval, ECB has begun the following tasks. 1. Initiate Civil Engineers on the preparation of the boundary survey and base topography for all 750 acres including the LEA site, the "Par 3" site and all remaining Lehr holdings. 2. Met with several prospective retail users regarding land adjacent to the Stadium. 3. Met with several residential builders regarding the initial lot availability for the first phase of East Lake. 4. Completed a market study for the first 18 holes of a potential 36 hole golf course to be built within the first village. 5. Currently preparing an RFQ for golf course operators of the ,first 18 hole course. PAGE TWO - SPECIAL MEETING MINUTES - JULY 2,1996 6. Prepared a new concept site plan for 12 acre retail site across from the Stadium (the old "Sports Town" site) to be used in presentations to interested retail parties. 7. Continue to meet with potential "Regional Tourism" opportunities. ECB is also pleased to announce that Eastlake Community Builders, LLC has been formed and successfully infused with the adequate capital needed to complete the l initial phase of pre - development we are currently funding. We hope to be under construction by summer of 1997 with some very exciting uses that the City of Lake Elsinore and the community will be proud of. We will be contacting you in the next couple weeks to schedule a complete presentation of our new plan for early September to the City Council. With no further comment the Council moved on to the next item. b. Code Enforcement. (F:54.1) City Manager Molendyk noted a Councilmember request for discussion of Code Enforcement, as well as a method of assessing charges for violations. He noted new legislation which allows for recovery of costs following initial notice. City Attorney Harper noted the process for traffic citations approved approximately two years ago. He explained the collection method through the D.M.V. vs. the collection process for nuisance abatement. He explained that this allows issuance of an administrative citation for violations of the sign ordinance or other things which are not amenable to the abatement process. He further explained that it allows staff to issue the citation and allows for appeal to the City Manager or designee. He explained that through this process it is possible to assess an administrative fine for misdemeanors or felonies in an amount less than $1,000. He noted that it is intended to get the attention of those who would not routinely respond to other processes. He explained that the only caveat is that the person cited may appeal to the Municipal Court and back into the previous process. He commented that collection through this ordinance allows for any means legally available for collection. - He noted that the Statute was not clear with regard to collection, but there are adequate options available. Community Development Director Leslie indicated that another way tried to get compliance is through the Nuisance Abatement Hearing process with 10 days to correct the problem and abate the nuisance through an area contractor, with a lien against the property. He commented that this process required money on the part of the City to fund the work up front and the money has not been there for use; and this is an attempt to encourage compliance under the threat of fine as a first step rather than cleaning it up with our contractors. Code Enforcement Officer Gordon noted the small nuisance violation complaints received which take a lot of time to address; which are not conducive to nuisance abatement hearing process. She indicated that with an administrative citation process, staff could be more effective in gaining compliance on smaller issues. City Attorney Harper noted the requirements for court filings under the current process. COUNCILMAN METZE ARRIVED AT 9:16 A.M. Mayor Pro Tern Kelley noted her ride along with Code Enforcement and the citations being issued for the same types of things at different addresses. She commented that the current process has no teeth; and noted one seven year case regarding a business license. PAGE THREE - SPECIAL MEETING MINUTES - JULY 2, 1996 Councilman Alongi questioned the difference between nuisance abatement and the D.M.V. process. City Attorney Harper clarified the two processes and noted that this process was similar to the criminal process. Councilman Alongi suggested that this be used against people doing criminal offenses. City Attorney Harper clarified that every violation of the Municipal Code is a criminal offense. Councilman Alongi questioned a situation of car on the lawn, and which process would be used to address it. City Attorney Harper indicated that the administrative citation process would be used vs. a dilapidated building which needs to be abated. He clarified that the difference is really a function of magnitude and permanency of the nuisance; and will well work for easily corrected issues which are not of a permanent nature. Mayor Pape suggested that this is a measured response to a situation. Councilman Alongi indicated that he does not understand the relationship between the nuisance process and this process. City Attorney Harper clarified further, and stressed the immediate nature of this type of process, without going through the court system; and noted the parallels between the abatement process and criminal citations. Councilman Alongi stressed the need for an opportunity to correct the problem prior to citation. He inquired whether a warning would be issued prior to a citation. City Attorney Harper clarified the process further, and detailed the fines for subsequent violations. Councilman Alongi inquired what would happen if the fines was not paid; and questioned the money savings with this process for those who don't pay. Mr. Harper indicated that the nuisance abatement process takes more time and is more expensive; and explained that staff is hoping the administrative process will encourage people to abate their own nuisances. Mayor Pro Tem Kelley commented that this process is encouraging, because it can address a small issues such as trash in the yard; and bypass the waiting and follow -up efforts. She stressed the amount of staff time spent on multiple return trips. City Attorney Harper explained that the current process issues a citation which starts the court process, which is a cost to the City with little overall accomplishment. He noted that due to the cumbersome nature of this process it has all but been abandoned; and this ordinance would replace that cumbersome process. He noted that the misdemeanor citation will hopefully encourage compliance based on the immediate citation and fine. Councilman Alongi inquired whether this process would allow for due process. City Attorney Harper clarified that it would be an in house appeal process. Mr. Alongi noted that staff is still going out to determine whether compliance has occurred. He indicated that he would see this as a tool for abating houses, but don't see this process being effective for nuisance abatement. Mr. Harper indicated that the smaller issues are not worth the time and effort for the results, while this process accomplishes abatement of violations of the Municipal Code; and hopefully cause people to abate the concerns. Councilman Alongi questioned whether this would mean abandoning the abatement process. Mr. Harper indicated that was not the intent, but this would hopefully be the first step for all of the violations. Mayor Pape stressed that it is another tool to assist staff. Councilman Alongi commented that some people won't respond to anything, but expressed concern that those who don't have time to get to the abatement would be penalized. Mr. Harper stressed that it would only relate to defined code violations. City Manager Molendyk clarified further that this would provide a tool for addressing minor issues more quickly. City Attorney Harper suggested in the example of no business license, it would not be subject to nuisance abatement and this ordinance could address it. Councilman Alongi questioned the purpose of this ordinance further, with regard to no business license, and when the process will stop. He stressed the number of businesses operating without a license. Council discussion ensued. Councilman Alongi indicated that it was wrong to use this as a basis for raising revenue. Mayor Pro Tem Kelley clarified that this is an attempt to assist the one and PAGE FOUR - SPECIAL MEETING MINUTES - JULY 2,1996 one half people in code enforcement issue citations with teeth in them. She noted that most people will respond to the monetary ramifications and clean up the nuisance. Councilman Alongi indicated that he has no problem with the ordinance, but a problem with administering the ordinance. He also indicated that he has a problem with enforcement and how and when it is used. City Attorney Harper clarified that nothing is currently done about trash barrels left on the street, because it is not subject to the nuisance abatement process actions. Councilman Alongi questioned the impact around the lake, including the County side. Mr. Harper indicated that it would allow for enforcement on the City side. Mr. Molendyk noted that if a leaky septic tank or other issue of that type arises; staff can require correction, and if not corrected, issue a citation. Council discussed examples and possibilities for use of the ordinance. Mayor Pape noted that 95% of the people will not be affected by this ordinance. Councilwoman Brinley concurred and noted that most people would take care of the nuisance with such a notice. Councilman Alongi inquired whether all hearings would be eliminated. Mr. Harper clarified that the nuisance abatement process will continue to exist with the hearing process. Mayor Pape noted the similarity of this process to a traffic violation. Councilman Alongi indicated that he understands the ordinance, but questioned how the decision would be made to use nuisance abatement. Mr. Harper clarified that when this process does not work, the nuisance abatement process would follow. He reiterated that they are two parallel processes. Mr. Molendyk stressed that these are two tools to work with; and will be partially subject to the judgement of the Code Enforcement Officer as to which will be quickest and most effective. Mayor Pro Tem Kelley inquired whether staff felt this would be a usable tool.. Code Enforcement Officer Gordon clarified the benefit of this process as a tool for staff, and stressed that it is an immediate response to a violation. She also noted that there is a requirement for notification prior to the issuance of a citation. Mrs. Kelley noted the house on Mill Street which they observed on her ride along. Mr. Alongi noted that property is in violation of a City ordinance with a fence in the front yard; and suggested the City needs to cite for all of the things that are wrong. He reiterated that he has no problem with the ordinance, but is concerned with when the choice is made between the processes. He questioned which process would be used to deal with barking dogs. Mr. Harper indicated that the Administrative Citation would theoretically address it. Mr. Alongi requested that the appeal be allowed to go to the Council. Mayor Pape noted that it goes to the court system. Mr. Harper indicated that there is nothing unlawful about making the Council the appellate body, but indicated he was not sure the Council would want to do that. Mrs. Brinley expressed concern that change would make the process a political tool. Mr. Harper noted that this would delay the proposed process; and stressed that it would take away the immediacy of solving a problem. Mrs. Brinley stressed that the Council should let the Court handle it. Councilman Alongi indicated this is the wrong approach as removes the right to an appeal before the Council. Mrs. Brinley indicated that it there is a violation, it should be solved by the Court. Mr. Alongi noted situations where the appeal has changed the situation. Extensive Council discussion ensued. Mr. Harper clarified the process further, and noted that nothing prevents people from approaching the Council if such a concern arises. Mr. Alongi indicated that he has no problem with the ordinance. Community Development Director Leslie noted that he understood that it was Council's desire to discuss code enforcement and reoccurring issues such as signs & banners. City Manager Molendyk noted the next item regarding temporary signs & banners. Mr. Leslie highlighted the staff report, and noted issues which are heard from merchants. He questioned the desire of Council with regard to timing and requirements for temporary banners, noting the time factor in the existing code. He indicated that PAGE FIVE - SPECIAL MEETING MINUTES - JULY 2, 1996 staff is looking for direction as to whether to get tougher, more lenient, etc. Mr. Molendyk further noted the concerns for business exposure in the current economic times. Councilwoman Brinley noted the past Planning Commission discussions of this issue, and expressed belief that 30 days was adequate for advertising. She noted one situation, with a grand opening banner for nearly a year. She explained the concerns of the Planning Commission for a time element limitation. She reiterated that 30 days is good and indicated that we need to start enforcing it. She noted a business with constant banners and pennants, and indicated that it looks terrible at an entry to the City. Councilman Alongi questioned why the ordinance is not being enforced. Councilwoman Brinley stressed the need to enforce the ordinance, and noted locations with banners. Councilman Alongi questioned what type of direction was needed. Mr. Leslie noted that the enforcement ties back into the proposed administrative citation process, and detailed the process used to date. He noted that this process is much quicker and less costly with five day notice and citation for non - compliance. Mr. Alongi noted the need for a limitation on the number of banners per year, and indicated that they can't have one every month. He noted that another nuisance to him, beyond the banners, is the use of a whole window to put a price on it, and stressed the need for uniformity and consistency with regard to enforcement. Councilman Metze indicated that situations with colors and other factors are different downtown. There was general discussion of the differences in standards between the downtown and the balance of the community. Councilwoman Brinley stressed the need to address the issues consistently, and indicated that this would give the tool to address the problem. She stressed that this is an ongoing issue which will be solved, and stressed that all need to play by the same rules. Council further discussed appropriate number of times per year for temporary signage permits, visibility limitations by signage, enforcement and fees for permits. Mr. Leslie noted that the staff is looking at changes within the sign code and suggested that any revisions suggested at this meeting could be incorporated into the new ordinance. He further noted that this will include some discussion of flags and banners for residential developments as well. He indicated that the proposed changes would be presented to the Planning Commission and ultimately return to Council for consideration. C. Lakeshore Standards. (F:172.2)(X:92.1) City Manager Molendyk explained the Lakeshore Overlay Ordinance adopted in approximately 1985 to discourage improper use of the land around the Lake. He explained that short term camping was permissible, but there have been problems with fencing of those properties. He noted that this discussion was requested because there is now a person with a dock, who wants to make it a more permanent facility by running electricity to it. He further noted that there are also concerns with the increased utilization of a healthier lake. Mr. Leslie noted that it has been a policy not to allow for electrical service, due to the potential for long term camping. He further noted that there are concerns for storage of items on the property in the absence of the property owner. Councilwoman Brinley inquired whether there is presently a time limit for camping. Mr. Leslie indicated that there is no time limit. Mrs. Brinley suggested that the ordinance should include a time limit. Mr. Leslie indicated that staff is ready to work up regulations for Council and prepare to allow for electrical service on site. He indicated that the intent would be to address time limits, fencing, sanitation and on -site storage. Mrs. Brinley suggested taking this ordinance to the Planning Commission to be worked out as well. She noted that there was a bonfire over the weekend and stressed the hazard and the need to address regulations. City Manager Molendyk also noted that changes are appropriate PAGE SIX - SPECLAL MEETING MINUTES - JULY 2,1996 now that the City owns the Lake, as it did not in the past. Councilman Alongi expressed concern that temporary electricity will invite a Tijuana shanty town situation. He indicated that if permitted at all, electricity should not be allowed below the 1265' elevation. City Attorney Harper concurred that the ordinance would need to address the safety factors. Councilman Alongi reiterated that nothing should be allowed below 1265'. He further indicated that if they want to do temporary camping, they need to have a holding tank, or be cited; and stressed that we need to be careful if we allow a private owner to use the property for camping or whatever. He concurred that this issue needs to be addressed consistently, with whatever is allowed. Mayor Pro Tem Kelley questioned regulations restricting camping within a distance of the Lake. Mr. Leslie noted that the concerns expressed at this meeting, are some that staff would like to address and develop regulations for; such as how close to the Lake someone can camp, allowances for electrical hook -ups, etc. Council consensus was that electrical hook -ups should not be allowed. Mr. Leslie further questioned the ordinance which allows camping by permit on properties fronting the Lake; and noted that there is no such ordinance for any other area in the City. He inquired whether camping on private property should only be allowed along the lakeshore. Councilwoman Brinley noted a situation on Lakeshore Drive last summer, from July to September, and stressed the limitations needed. Mr. Leslie noted that the variations along the Lake may be different in that many of the lake properties can not be built on, as you could in other areas of the City. Councilman Alongi indicated that it is not a concern whether they can build, but noted major violations are occurring along the Lake. He expressed concern for the health requirements. City Manager Molendyk commented on enforcement and the allowance for the Police Department to address the violations; and noted that the more allowances, the more complicated the enforcement becomes. City Manager Harper noted that a permit could be required for camping. Mayor Pape suggested that there be very strict guidelines and a time limit for camping. He stressed the need to eliminate living there on a semi - permanent or permanent basis. Mayor Pape noted that a permit system would allow for officers to assist with enforcement. Mayor Pro Tern Kelley stressed that we should be consistent with no camping along the Lake for safety and sanitary reasons. Councilman Alongi indicated that if people own the property the should not be prevented from using it; but he concurred that the user of the property should be only the owner. He also concurred that it would be appropriate to place restrictions which are enforceable with regard to camping; particularly with regard to preventing storage and requiring appropriate clean up. Council consensus was to only allow for use by the property owner. City Manager Molendyk suggested looking at what other lakes allow. Council discussion ensued with regard to camping on private property. City Attorney Harper clarified that neither Arrowhead or Big Bear Lakes are publicly owned property, and noted that no camping is allowed on either lake on private property. Councilman Alongi stressed that many of the properties along Lake Elsinore are not buildable. Mr. Molendyk suggested that staff research the issues and bring additional information back to the Planning Commission and City Council. Mayor Pro Tern Kelley questioned whether there is weekend Code Enforcement coverage. PAGE SEVEN - SPECIAL MEETING MINUTES - JULY 2, 1996 Staff indicated that there is no weekend enforcement except that provided by the Sheriffs Department. Mrs. Kelley questioned whether staff was still working on neighborhood sweeps. Code Enforcement Officer Gordon indicated that staff is working on the Hammerhead area, but sweeps can be done. Mrs. Kelley questioned whether there was overtime funding available for the Part Time Code Enforcement Officer. Code Enforcement Officer Gordon noted that he is currently working on weed abatement up to 32 hours a week. Mayor Pro Tem Kelley noted that she met with Supervisor Buster on County Code Enforcement issues, and he has agreed to set up a meeting with City in the future to work cooperatively on code enforcement to address Lakeland Village and Sedco Hills. She requested input with regard to areas which should be included in that discussion. Mr. Molendyk suggested some basic consistency in areas such as the lake edge which may need to include a commitment with regard to standards for those areas. He also suggested sharing new regulations on the lake edge camping with the Supervisor's office. Mayor Pape suggested emphasis be placed on the area from Grand Avenue to the Lake. Mayor Pro Tem Kelley questioned the possibility of a joint effort to contract with the City for code enforcement coverage. Mr. Molendyk suggested inclusion of issues as car sales on weekends, hucksters, etc. Mayor Pro Tem Kelley noted that when she rode with Code Enforcement they had no hand held radios for contact. She suggested that they need a cellular phone. Councilman Metze concurred and noted that he would have concern with some of the areas they go in to. Mrs. Kelley noted the potential for entering a drug lab with no communication for back -up. Mr. Molendyk agreed to look at communication possibilities. Building and Safety Manager Russell indicated that they have a need for a police band radio, and noted the delay with going through dispatch. Mr. Russell indicated that it would run about $1200, and he knows of a method for acquiring one. Mr. Molendyk reiterated that staff would investigate the possibilities. CLOSED SESSION Potential Litigation. THE SPECIAL CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION AT 10:45 A.M. THE SPECIAL CITY COUNCIL MEETING RECONVENED AT 12:39 P.M. NO ACTION TAKEN. ADJOURNMENT THE SPECIAL CITY COUNCIL MEETING WAS ADJOURNED AT 12:40 P.M. A1ITk" GAT: 1'KI KA� D, C.iTY CLERK CIT T Y OF r-,,A V "" ELSINORE U) KEVIN W. PAPE, MAYOR CITY OF LAKE ELSINORE MINUTES REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, JULY 9, 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 Councilman Metze. The Invocation was provided by Pastor Frank Sandoval, representing Vineyard Christian Fellowship. ROLL CALL PRESENT: COUNCILMEMBERS: ABSENT: ALONGI, BRINLEY KELLEY, METZE, PAPE 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, Building & Safety Manager Russell, City Engineer O'Donnell, Public Works Manager Payne and City Clerk Kasad. PUBLIC COMMENTS - AGENDIZED ITEMS Requests were received to address the following item and deferred to that discussion: Item No. 32. CONSENT CALENDAR ITEMS The following items were pulled from the Consent Calendar for further discussion and consideration: Item Nos. 4 and 6. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. 1. The following Minutes were approved: a. Regular City Council Meeting - June 11, 1996. (F:44.4) b. City Council Study Session - June 13, 1996. C. Regular City Council Meeting - June 25, 1996. 2. Received and ordered filed the Investment Report for May 31, 1996. (F: 12.5) Ratified Warrant List for June 27, 1996. (F:12.3) PAGE TWO - CITY COUNCIL MINUTES - JULY 9,1996 5. Adopted Resolution No. 96 -34 - Confirming Placement of Weed Abatement Costs on the Property Tax Roll. (F:166.1) RESOLUTION NO. 96-34 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, CONFIRMING AN ITEMIZED WRITTEN REPORT SHOWING COST OF WEED AND RUBBISH ABATEMENT, CONFIRMING THE ITEMIZED WRITTEN REPORT FOR EACH SEPARATE PARCEL OF LAND REQUIRED BY SECTION 39574 OF THE GOVERNMENT CODE OF THE STATE OF CALIFORNIA, AND PROVIDING THAT THE COSTS THEREOF ON EACH PARCEL OF LAND SHALL CONSTITUTE A SPECIAL ASSESSMENT AGAINST SAID PARCELS OF LAND PURSUANT TO SECTION 39574 OF GOVERNMENT CODE OF THE STATE OF CALIFORNIA, AND PROVIDING FOR THE FILING OF SAID ASSESSMENTS AS PROVIDED IN SAID GOVERNMENT CODE. ITEMS PULLED FROM THE CONSENT CALENDAR 4. Renewal of Letter of Credit - Bank of America - relative to Collier Avenue. (F:68.1)(X:156.2) City Attorney Harper explained the improvements required by the Department of Fish & Game, as they relate to Collier Avenue. He advised that this letter of credit will be necessary to assure the mitigation of the habitat 'take" on Collier Avenue is completed. He noted that negotiations with the property owners on Collier Avenue are ongoing, to resolve take and mitigation issues; and indicated that while the letter of credit is currently required, the City may not ultimately have to do the construction. MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE TO AUTHORIZE THE MAYOR AND REDEVELOPMENT AGENCY CHAIRWOMAN TO SIGN ALL NECESSARY DOCUMENTS TO COMPLETE THE AGREEMENT. 6. Cooperation Agreement with the County of Riverside Allowing the City to Participate in the Community Development Block Grant Funding_ Program for Fiscal Years 1997 -98; 1998 -99 and 1999 -2000. (17:84.2) Councilman Alongi requested a meeting with the County to rearrange how the funds are distributed. He noted that in recent years, most of the funds go to the Senior Center, and inquired whether a meeting date has been established. Community Services Director Sapp indicated that no meeting has been set up to date. Councilman Alongi requested that a meeting be set to address another way to use the funds in the fixture; and indicated that it is a shame that the uses are so limited MOVED BY ALONGI, SECONDED BY BRINLEY AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE COOPERATION AGREEMENT FOR FISCAL YEARS 1997 -98 THROUGH 1999 -2000. PUBLIC HEARINGS 21. Tentative Tract Map 28198 (Formerly Tentative Tract 27908) - Golden Castle Plaza Ltd./Unitech Building Systems. (F:160.2) City Manager Molendyk inquired whether a representative of the developer was present. There being no representative present, he requested that this public hearing be continued for 30 days. PAGE THREE - CITY COUNCIL MINUTES - JULY 9,1996 MOVED BY METZE, SECONDED BY BRINLEY AND CARRIED BY UNANIMOUS VOTE TO CONTINUE THIS ITEM FOR 30 DAYS. 22. Administrative Citation Ordinance No. 1017. (F:32.4)(X:54.1) Mayor Pape noted the discussion of this item at a study session. City Manager Molendyk explained that this process is intended to be part of the Code Enforcement program. He further explained that in the past there was no ability to write citations or assess fines; and abatement took quite some time. He noted new allowance in the law for ticketing and fines, and detailed the proposed fines for each subsequent violation. He stressed that this process allows more flexibility to deal with the problems faster than the 90 day process of the past. Councilman Alongi inquired whether warnings would be issued before fines are assessed. City Manager Molendyk confirmed that there would be a five day courtesy notice. Building and Safety Manager Russell confirmed that there would be a minimum of 5 day notice of non - health threatening items; and staff will work with the violators to gain compliance. Mayor Pape opened the public hearing at 7:12 p.m. asking those persons interested in this item to speak. The following people spoke: Mariana Mohylyn, 305 W. Sumner, indicated that the Council has been looking for an ordinance to work against the property owners. She further indicated that the regulations are most strict in this area and expressed concern with people loosing their homes. Winifred Zieler, questioned where the abatement is for property which is in bankruptcy. She expressed concern with conditions existing adjacent to Summerhill Drive, and stressed the need to clean up the area. Mayor Pape requested that Mrs. Zieler discuss the problems with Building and Safety Manager Russell. Don Trier, Lewis Street, noted that he owns property in Country Club Heights. He further noted past weed abatement processes and his difficulty in obtaining a refund for the fees paid. He suggested that the fees are being used to pay for Walmart, the Stadium and Collier Avenue. City Attorney Harper clarified that the City is faced with a situation that to date, anyone in violation can only be addressed through the nuisance abatement process or filing a criminal complaint in the Courts. He noted that the process is difficult and costly for both sides. He explained that this is treated just like a traffic ticket and can be appealed to the municipal courts. He noted that this process encourages people to remedy public nuisances without the Court system process. Mayor Pape noted that only 2 -3% of the population would ever be impacted by this ordinance. Lela Cardoza, inquired whether this process will apply to mobile home parks, and noted specific problems within the Briarwood Mobile Home Park. She noted no one, including the park owner, cares about anything. City Attorney Harper noted that was a good example of a situation in which this ordinance can be used. He noted a similar mobile home park situation in the past, and the ability to address those problems more quickly. Mrs. Cardoza noted the owner is in another State. Mayor Pape noted that the owner may understand the cost factor for not cleaning up. He requested that Code Enforcement take a look at the park and the concerns expressed by Mrs. Cardoza. Hearing no additional requests to speak, the public hearing was closed at 7:28 p.m. Mayor Pro Tem Kelley noted that she rode with Code Enforcement and saw the sights PAGE FOUR - CITY COUNCIL MINUTES - JULY 9,,1996 they had to visit. She noted that in the past they could only cite and return in 30 or 90 days to cite again. She indicated that she is encouraged to see this ordinance, which allows for a warning and a ticket five days later. She commented that it specifically addresses concerns such as those expressed by Mrs. Cardoza; and stressed the monetary impact on the property owners. She noted that there are several problems which move from place to place. Councilwoman Brinley indicated that it will be a swift and efficient way to handle a variety of calls the City receives regarding cars on lawns, trash cans in the street, etc. She noted the past frustration of people waiting for nuisances to be addressed, and stressed that this process give Code Enforcement the ability to issue tickets with some teeth in them. Councilman Metze indicated that this is a positive move for the Community. He noted the past process through nuisance abatement hearings and the timing to get to that due process. MOVED BY BRINLEY, SECONDED BY KELLEY TO ADOPT ORDINANCE NO. 1017 UPON FIRST READING BY TITLE ONLY: ORDINANCE NO. 1017 AN ORDINANCE OF THE CITY OF LAKE ELSINORE AMENDING THE LAKE ELSINORE MUNICIPAL CODE BY ADDING CHAPTER 1.20„ SECTION 1.20.010 THROUGH 1.20.080, PERTAINING TO THE ADMINISTRATIVE PROCEDURES GOVERNING THE IMPOSITION, ENFORCEMENT, ADMINISTRATIVE REVIEW AND COLLECTION OF PENALTIES FOR VIOLATING PROVISIONS OF THE LAKE ELSINORE MUNICIPAL CODE. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE f�t17��K�IT1�[�1?lu_r 1�lutLal��r;1�]�L� ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE 23. Request for City Council Consideration of Proposed Ordinance No. 1018, Establishing Development Requirements and Fees to Benefit Habitat Conservation Efforts. (F:76.3) City Manager Molendyk explained this item which relates to the new program for the Stephens Kangaroo Rat. He noted that they feel they have adequate dollars to reduce the fees from $1950 per acre to $500. Councilman Alongi explained that this is part of an attempt to bring into conformity all of the areas involved in the plan; instead of the varying ordinances throughout the County. He indicated that he is happy to be part of reducing those fees, and expressed hopes that they would ultimately disappear. Mayor Pape concurred that he would like to see them down to zero. Mayor Pape opened the public hearing at 7:35 p.m. asking those persons interested in this item to speak. The following person spoke: PAGE FIVE - CITY COUNCIL MINUTES — JULY 9, 1996 Mariana Mohylyn, noted that the K -Rat is a ridiculous situation. She questioned the ordinance and noted that we are purchasing habitat for the kangaroo rat; and noted that 50 cats a day are being killed at LEAF. She indicated that next the Council will be taking action on barking dogs. She suggested that locks on doors will ultimately be illegal and subject to fines. She indicated that this was a lot of "mumbo jumbo ". She commented on the restrooms at the Community Center and the lack of homeless shelters and questioned why so much money is spent for rat protection. She indicated that she doesn't approve of this. Hearing no additional requests, the public hearing was closed at 7:40 p.m. MOVED BY BRINLEY, SECONDED BY METZE TO ADOPT ORDINANCE NO. 1018 UPON FIRST READING BY TITLE ONLY: :� AN ORDINANCE OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REPEALING ORDINANCE NO. 905 AND ESTABLISHING DEVELOPMENT REQUIREMENTS TO BENEFIT HABITAT CONSERVATION EFFORTS. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE NOES: ABSENT: G1A3 N;\ 10 BUSINESS ITEMS COUNCILMEMBERS: NONE COUNCILMEMBERS: NONE COUNCILMEMBERS: NONE 31. Second Reading - Ordinance No. 1016 - regarding Zone Change 96 -2 - Intersection of Lake Street and Orange Grove Way. (F:172.2) MOVED BY METZE, SECONDED BY KELLEY TO ADOPT ORDINANCE NO. 1016 UPON SECOND READING BY TITLE ONLY: ORDINANCE NO. 1016 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REZONING AN AREA SOUTHWEST OF THE INTERSECTION OF LAKE STREET AND ORANGE GROVE WAY FROM C -2 GENERAL COMMERCIAL TO R -1 SINGLE - FAMILY RESIDENTIAL (ZONE CHANGE 96 -2: CITY OF LAKE ELSINORE). UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: BRINLEY, KELLEY, METZE, PAPE NOES: COUNCILMEMBERS: ALONGI ABSENT: COUNCILMEMBERS: NONE PAGE SIX - CITY COUNCIL MINUTES - JULY 9, 1996 ABSTAIN: COUNCILMEMBERS: NONE 32. Public Meeting - F/Y 1996 -97 City Wide Lighting and Landscape Maintenance District. (F:22.2) City Manager Molendyk explained that the Lighting and Landscape Maintenance District was established within the City limits, to pay for street lights, traffic signals, street maintenance, park maintenance, etc. He further explained that a portion of the costs are spread throughout the community; and pointed out that the figures being discussed are on an annual basis, so they would be 5 or 10 dollars increase for the entire year. Mayor Pape noted that the Council is aware the direction was given to staff to negotiate with the baseball team and bring more balance to the cost of operations. He advised that negotiations are going well; and indicated that it will not be necessary to include any of the Diamond operation costs in the city -wide district. He noted that some of the number in the report will need to be redone by the Engineer to provide the exact numbers; but there will be essentially no change to the current L.L.M.D. charges for most people. He indicated that the public hearing on this matter will be held in two weeks and more information will be provided at that time. Jeff Cooper, representing Berryman & Heniger indicated that this is the Public Meeting as part of the approval process for fiscal year 1996 -97. He explained that it is intended to provide information, with protests to be presented at the hearing on July 23rd. He further explained that the Engineer's Report is similar to the formation report in 1988, with annual updates for additional improvements in street lighting, traffic signals, landscaping and recreational facilities. He explained the spread of benefit for the community, and detailed the findings of previous reports with regard to facilities and their benefits. He reiterated that it currently looks like the addition of the Stadium costs will be removed at the public hearing; but explained the Streets & Highways Code Section which allows recreational facilities to be included int he district. He explained that this year an additional site specific benefit was added being the manufactured slopes in Tuscany Hills, and noted that his recommendation is that this is a site specific benefit within that zone. He detailed the total assessments for street lighting and landscaping; and noted that the assessment methodology has not changed from the original report. Community Services Director Sapp presented the slides showing the benefits derived from the L.L.M.D., and noted that this District maintains 8 ball fields, 7 soccer fields including irrigation, trash & debris removal, maintenance of turf and facilities. He stressed the high level of maintenance of the grass and facilities and the heavy use of the parks. He detailed the other landscaped facilities which are maintained such as the Senior Center, the Community Center and City Hall. He noted that about $18,000 is used for maintenance of the Lake and beaches. He also noted that the maintenance of 11 traffic signal intersections, street trees, street lights, graffiti program and litter removal are also included. Edith Stafford, 54 Elm Street, noted the information that the Stadium will not be included in this year's assessment and inquired whether the residents could count on none of the L.L.M.D. fees ever going to the Stadium. She suggested the potential for loopholes to allow for use of the funds and requested assurance that the funds will be used as indicated. She noted that the bridge fund was used for the Stadium, and the City went back to the State to get grant funds to build the bridge. She expressed appreciation for the bridge. She inquired how it is determined, who gets the landscaping, and noted that the only landscaping in her area is her own that she planted and maintains. She requested that her area be evaluated to make sure she is not unjustly charged for landscaping. She expressed appreciation that the Stadium will be dropped from the assessment. She noted that the costs of the Stadium should have been seen in the beginning. Kevin Jeffries, 17666 Grand Avenue, indicated that he was pleased to hear that the PAGE SEVEN - CITY COUNCIL MINUTES - JULY 9, 1996 Stadium would not be included and noted that was the bulk of his written. He questioned whether official action would be taken at the public hearing to remove this portion from the proposal, and indicated that his written challenge would stand until it is removed. He noted that he had presented five pages of legal challenges to the proposal, and advised that it includes specific concerns for Serena Shores development with private beaches; and being asked to fund the publicly owned beaches as well. He questioned the methodology used for public beaches when there are 19,000 parcels in the City and it would be difficult to state that all parcels enjoy the same benefit of that factor; and suggested that the report is flawed in that area. City Manager Molendyk questioned the issue of beaches, in the City or County area; and indicated that he would need to review that issue with staff. Gary Grant, representing Mr. Britton and his parcel in the North Peak area, objected to the assessment on that parcel. He expressed concern with the consideration of placing the ball diamond in the district, and compliance with the Assessment District Act. He emphasized the need for 50% written protest on this issue to prevent the assessment, and stressed the magnitude of a 50% protest.. He pointed out that when a protest is presented the parcel number, name or address written wrong deems the protest inadequate. He commented that this is not a normal voting process with a locked box and publications of total votes. Dick Knapp, City Treasurer, noted that he was going to go over things, but was pleased with the good news. He addressed the proposed increase on Page 4 versus the reduced amount, and indicated that it only represents an 11.6% increase overall. He noted areas which might not be included on the map and suggested that they be reviewed. He thanked the Council for the good news that the Stadium would not be included. Donna Franson, 7 Villa Valtelena, Tuscany Hills, addressed the proposed increased assessment. She indicated that she was happy to hear about the deletion of the Stadium, but noted a need to cover all the bases to assure that it continues to be good news. She presented a map and explained the facilities maintained by the Homeowners Association, and noted the areas to be maintained by the City. He stressed that the areas are along roads leading to the Elementary School and the Park. She noted the original agreement and the donations for the school and park, and stressed that they are for all of Lake Elsinore. She expressed understanding of the necessity for the increase, but indicated that an increase of 4 times the current amount is not acceptable. She detailed the current taxes vs. the increased taxes, and stressed the Homeowners Association fees paid for maintenance and private security. She questioned how well houses will sell with the high price of living in Lake Elsinore, and noted that she would like the City to keep growing. She requested reconsideration of the assessment. Bob Salchow, 9 Villa Valtelena, indicated that he was not present to argue about paying his fair share, but expressed concern about the cost the City pays for the services. He suggested that paying such a high rate is a sign of poor management. Hal Holland, 15610 Lake Terrace Drive, noted that he was prepared to speak on the Diamond, but questioned how it is decided which intersection has a traffic light and which does not. He noted that there have been several accidents at Grand Avenue and Macy Street and expressed concern for the large number of children int he area. He addressed the original adoption of the L.L.M.D. and the reduced charges for persons over 65 at that time. He suggested that it should be standardized to allow all of those who are 65 to receive the reduction. John Empson, 32825 Macy, noted that he has been watching the Council juggle figures, and is more confused than before. Chris Hyland, 15191 Wavecrest, noted that she has been against the L.L.M.D. for years, and indicated that she pays the highest fees in the City unless Tuscany Hills gets charged. PAGE EIGHT - CITY COUNCIL MINUTES - JULY 9, 1996 She indicated that she doesn't believe that there will be no charge for the Stadium, and noted news articles of this date. She questioned where the City will get the money otherwise and noted that the team has not paid its rent. She suggested that the Council is only stalling and making people think they will not be charged. She commented that the City is broke, and suggested that there is a need for a new City Manager and City Attorney and the Council should resign. She noted that she has been called a terrorist and a lunatic and indicated that the Council is trying to fool the residents. She indicated that the residents should have a contract as there is not money and suggested that the Eastlake "scam" will cause further Winifred Zieler, 31662 Willow View Drive, concurred with all of the protests already voiced. She indicated that the more assessment, the more she owes on her property; and indicated that liens are already being placed on houses within her tract. She indicated that her area has no lighting, landscaping or facilities for children. She noted that some residents have already left their homes due to fraud by the developer. She expressed confusion with the taxes assessed on her property and noted that it took a year to obtain all of the paperwork. Jeanie Corral, 16410 W. Lakeshore, congratulated the Council, if a solution has been found for the Stad_ i um. She noted that many people are very upset about the L.L.M.D. including her husband who is adamant that he did not get to vote on the Stadium. She indicated that she appreciates the growth of the Community, but cautioned the Council to remember what serves all the community is prudence. She noted the growth patterns of the community since the 1980 floods, and stressed that the times have changed and the community is in a state of transition. She indicated that as a property owner she is willing to pay a reasonable assessment because she is proud of the community. She concurred that there are problems with gangs, guns and drugs, but looked forward to an amenable and workable solution for the Community. Robert DuPre, 22386 River Road, Perris, indicated that he came to protest the L.L.M.D. funds being used for the Stadium, and commented he was happy to hear it has been Iremoved from the report. He further indicated that the taxpayers have had enough burden for basic services, but the L.L.M.D. is excessive. He suggested with regard to the Stadium, if it can't be sold, it should go back to the bank. Mayor Pape noted a letter of opposition from the Novacs. Councilwoman Brinley requested Mr. Cooper to address the comments by Donna Franson regarding the Tuscany Hills assessment. Mr. Cooper indicated that the costs are supplied by staff through their process of determining cost per square foot. He addressed the inclusion of the slopes in the City- wide assessment, but stressed that the benefit is site specific. Councilwoman Brinley noted that they were told that Summerhill is not a main arterial. Mr. Cooper concurred that was part of the answer, he compared this to the slopes at Grand/Lincoln which provide support to the major arterial, while the slopes in Tuscany Hills are not support for the road itself. He noted that the road is included as a potentially major arterial in the future; and when the road becomes more frequently used, it can be revisited. Councilwoman Brinley questioned the legal option of spreading the assessment City -wide. Mr. Harper echoed the comments of Mr. Cooper and indicated that based on the statute, they could only be imposed based on the analysis of benefit. Mr. Cooper further indicated that to put these charges in the City-wide spread would not be consistent with the report in existence since 1988. Councilwoman Brinley inquired whether there was a way to legally amend that. Mr. Harper indicated that it is not a legal issue, but a question of benefit analysis which has not changed since 1988. He noted that the City encouraged the developer to include those as part of the Homeowners' Association area, as it was never PAGE NINE - CITY COUNCIL MINUTES - JULY 9, 1996 the City's position that there was any broader benefit for the Community. He further noted that the developer concurred and did not want to assume the liability. Councilwoman Brinley inquired with the report conforming since 1988, whether there was legally a way to review the situation now. Mr. Harper indicated that it is possible and Mr. Cooper has done so, and determined that the benefit is only to that zone. Mrs. Brinley noted Mr. Salchow's comments and questioned when the contract with Excel Landscape is up. Mr. Molendyk indicated that it is an annual contract. He also noted a meeting with the Board of Tuscany Hills, and stressed that the City does not own the slopes in question, but rather holds an easement across that property; and would be willing to sign an easement back to the Homeowners Association. Mayor Pro Tern Kelley stressed that the options are that the City gives the property back to the homeowners, or if the City maintains it, we need to assess the costs which cannot be spread city -wide. She indicated that she would like to give it back to the residents and let them bid it out; and stressed that it has to be maintained within limited options. Mrs. Brinley commented on the bid process the City is required to follow. City Manager Molendyk noted that a portion of the cost the City must fund is to meet the insurance requirements with which a public entity must comply. Public Works Manager Payne indicated that the current annual contract is renewable for up to five years, and there are currently three years. He detailed the area maintained and the annual cost to the City. Mrs. Brinley questioned whether bids were received for this contract. Mr. Payne indicated that there were approximately 12 bids received with Excel being the lowest. Councilwoman Brinley stressed the difficulty of this decision, and indicated that she would have no problem if the homeowners association would like to review their alternatives and take it back; but stressed that it needs to be maintained. City Attorney Harper addressed the comments by Mrs. Ziegler with regard to Summerhill and indicated that the responsibility of maintenance is with the property owner. He noted that the property being discussed is under foreclosure proceedings due to non - payment of fees by the developer, and expressed hope that it would be resolved soon and the property developed in the future. Mayor Pape commented that this topic is really down to three issues, being 1) the city- wide district, essentially no change year, 2) $5 -8 dollars a month worth the street lights and parks per month, and 3) Tuscany hills, unfortunately needs to look at options and remember that these charges are not legal to spread over the entire City. He indicated that it is no surprise that private industry can function cheaper than government; and reiterated that it might be worth while for the homeowners to look at the option of providing the maintenance at a lower cost. Councilman Metze requested that Mr. Molendyk explain the traffic light issues. City Manager Molendyk explained that the placement of traffic lights is based on the master plan for traffic and records of accidents at specified locations, He explained that traffic signals are generally funded through State and Federal grant funds. He further explained that with regard to the Macy /Grand, it is a Caltrans issue; and offered to get an update on where they are. He noted that the next priorities for Caltrans are the intersections of Ortega/Grand and Lincoln/Riverside drive. He further noted that a grant has been applied for at the intersections of Collier /Central and Central/Riverside. City Attorney Harper confirmed that the City has no legal ability to put a signal on a State highway. Councilman Metze inquired whether the Tuscany Hills Homeowners Association has been offered the opportunity to do their own landscaping. Mr. Molendyk indicated that it was considered at meeting with staff, but staff heard that the Association did not want to take on the responsibility. Councilman Metze noted that the L.L.M.D. is the only tax on the bill assessed by the City; and clarified that the Mello -Roos and C.F.D. assessments are between the developer and the homeowner. City Attorney Harper clarified that the C.F.D. is imposed on the property by the property owner for public facilities, with the City PAGE TEN - CITY COUNCIL MINUTES -,JULY 9, 1996 having no say except to serve as a conduit.. He explained the statute, the formation and the intent of C.F.D.'s. Councilwoman Brinley questioned whether these assessments are disclosed to the homeowner. Mr. Harper confirmed that disclosure is required by statute and the City. Councilman Metze addressed Mrs. Hyland's comments, and stressed that this Council never voted on the Stadium. Mayor Pro Tem Kelley indicated that she would reserve most of her comments for the next hearing; and commented that this Council does not enjoy passing on taxes, as they also pass them on to themselves. She commented that much work has gone in to finding a solution for Tuscany Hills and the Stadium to resolve the issues permanently. She stressed that this Council did not vote on the Stadium; and they have been trying hard to keep the Stadium out of the assessment district. She further stressed that this Council is trying to clean up the problems that were left to them, and this is not an issue of Council against the residents. She indicated that if Tuscany has a better solution it can be reviewed, but there are very few options. She further indicated that she would listen to any solutions for addressing the budget. Councilman Alongi commented that he has always been against assessments because they are an abuse of power. He suggested that the City stop before building parks, and determine what we need. He noted that this district started because people wanted street lights, and it was not intended for this to happen. He commented that with regard to Tuscany Hills, the City is at a disadvantage, due to the bid process. He concurred that government pays more than the private sector for everything. He indicated with regard to the ball field, it is costing the City $3 million a year. He reiterated that Council is trying to negotiate with the team and get more money. He suggested that the Community should take more interest when a Mello -Roos assessment is mentioned, as it is a bad deal for the home buyers. He indicated that the City is entangled in the assessment districts, and it is a bad deal. He further indicated that the City needs to cut back on the parks and determine whether they are necessary. He commented that it is not staffs fault, but the people who are elected to sit on the Council and abuse the power. He indicated that the political arena runs the City, and that is not good business or development. Mayor Pape noted the packet provided and detailed the acreage of parks, streetscapes, lake and levee area, street lights, road frontages, parks, etc. He further noted that there are 21 zones in the City which vary somewhat, but generally the services run $5 to $8 a month. He concurred with most of the comments of the evening and stressed the inherited nature of the problems. He stressed that there is very little change in the assessment for most people. He addressed Mello -Roos and noted the disclosure which is signed at the time of purchase of the property; and is a private issue between the home buyers and the developers. Mayor Pape questioned the issue of someone turning 65 in the last few years, and requested that Staff review this issue. He noted discussion with homeowners in Tuscany Hills and concurred that the taxpayers have enough burden. He commented on the impact of State and Federal governments, where there is no choice for the taxpayers. He stressed that this is an opportunity to decide if the expenditures are worthwhile. City Manager Molendyk commented on the staff report and pointed out that the report shows the big increase was to be an increase of $13.24 a year for the Stadium. He reiterated that there are 21 zones and detailed the annual assessment increases by zone; recognizing that Tuscany Hills is a unique situation.. He expressed a willingness to discuss the issue further with the homeowners group. THE CITY COUNCIL MEETING WAS RECESSED AT 9:05 P.M. THE CITY COUNCIL MEETING RECONVENED AT 9:09 P.M. PUBLIC COMMENTS - NON - AGENDIZED ITEMS Edith Stafford, 54 Elm Street, addressed the notice of public hearing and public meeting, and PAGE ELEVEN - CITY COUNCIL MINUTES - JULY 9, 1996 questioned the terminology. She suggested that the Council should be more fair in explaining things. She requested further clarification of a Mello -Roos District and the City's involvement. City Attorney Harper explained that a Mello -Roos District is formed upon petition by the property owner who asks the City to act as the conduit for the financing. He stressed that the process is set by statute. Mrs. Stafford indicated that the Council needs to be more truthful with the residents. Chris Hyland, 15191 Wavecrest, addressed Councilman Metze on his use of words. She indicated that four Councilmembers supported the Stadium whether they voted or not. She told the residents not to be alarmed about the fee assessments and indicated that the Jarvis bill will roll Rj them back. She addressed Nancy Palo who called her a lunatic in the newspaper, because she would vote against the bond money going to schools; and noted that this person has been living with Councilperson Kelley and appears to be advised on what to say. She indicated that she has paid for her children and grandchildren in schools, and she will continue to vote against the school bond measure. She commented that she is not a lunatic or a terrorist. She thanked Councilman Metze for his comments. Winifred Zieler, 31662 Willow View Drive., commented that the Mello -Roos was the only thing she signed for, but there are several other fees and assessments on her tax bill. She indicated that there is no disclosure in City Hall and commented that she will continue to investigate and expose the corruption. She noted the fees and indicated that she can not find out when or why they were placed on her bill.. She noted that she never went through an escrow, has never signed escrow papers; and questioned if the deed is intact. City Attorney Harper indicated that the City is not responsible for such a situation, but if copies are provided to him he will review and comment on his own at not cost to the City or Mrs. Zieler. CITY MANAGER COMMENTS City Manager Molendyk thanked staff and the Chamber for the July 4th events; and expressed appreciation for the efforts. CITY COUNCIL COMMENTS Councilman Alongi commented on the following: 1) Thanked all involved in the July 4th celebration, and noted that it was a great event.. 2) Expressed concern about the changed bus stop at the Alamo Market and indicated that he received no information that it would be moved. He questioned whether the RTA has a right to change the stop without notifying the City. He noted that this one is blocking the intersection and causing a safety hazard, and requested a report from staff. 3) Commented on the L.L.M.D. in redevelopment areas, and indicated that he would like to see it mandatory that they are maintained and if not, the City should step in, on the publicly owned lands. He suggested that even on the private lands, the City should be entitled to have them maintain the landscaping appropriately. 4) Addressed the Kids on Track Program and advised that it will be canceled as of July 26th. He noted that it is sometimes necessary to have assessments and the residents need to trust officials that they will not abuse them. He requested a report on Kids on Track as to what the program costs. He indicated that he will put his program back on television to see if he can draw funds for the program to keep kids away from gangs and off the streets. PAGE TWELVE - CITY COUNCIL MINUTES - JULY 9, 1996 5) Addressed the news in the Californian and requested a meeting with Sheriff Smith to change the name of the station in Lake Elsinore. He noted the bad impact of reporting, and stressed that only 3 of 11 deaths were in the City. He indicated that John Hall knows better and stressed the need for a different name for the Station. 6) Addressed a letter regarding handicap facilities at the July 4th event. He stressed the need to assure that there is convenient parking.. He also noted a card received regarding the shopping mall at the TeePee Ranch, and stressed that even if the centers are empty they still allow for collection of tax dollars. Addressed a letter from Lilah Knight regarding the assessments and the ball field. Noted that he agrees with Mr. Jeffries, but the sewer fees are high also. Noted letter from the Novac's. 7) Noted that he never agreed to the ball field and never voted once. He indicated that he did not appreciate the reference to "City Officials ", because he told the public and they didn't listen. Councilman Metze commented on the following: 1) Congratulated the Chamber and City staff on the successful July 4th event. Thanked the D.B.A. for their participation and the City Attorney for the race car. 2) Noted that Pro Marine is presenting sunset cruises on Monday evenings for free, and commented that he has heard good feedback. 3) Expressed confusion with the stance on L.L.M.D. funding, and noted the loss of funds taken by the State. He indicated that the Jarvis initiative is aimed at the cities and questioned why no one says anything to the State. He stressed that the State will continue to take funds from the cities and the services will need to be reduced. Mayor Pro Tern Kelley commented on the following: 1) Thanked City staff for their efforts on the 4th of July and the long hours; and thanked City Attorney Harper for the race car, but noted it was too slow. 2) Thanked Mr. Holland for the poem received. 3) Noted a letter from ERM regarding the July 4th events; and commented that it is unusual to get a nice letter. 4) Indicated that she will still try to address the concerns of Tuscany residents. Councilwoman Brinley commented on the following: 1) Thanked the Chamber for the July 4th race, and noted that everyone enjoyed it. Thanked City staff for the time and effort to make it a success. 2) Noted the program at the First Assembly of God presented as a salute to the Country; and commented that there was a packed audience both nights. 3) Addressed the Kids on Track program and indicated that it is very important to her and she worked hard on the committee. She noted the seed money provided, PAGE THIRTEEN - CITY COUNCIL MINUTES - JULY 9,1996 the committee who participated to try to make the program work and the staff effort, but stressed that for some reason it did not work out. She detailed the efforts by the Committee to make it work, and presented a report of the activities and events in which she participated. She thanked the businesses who presented checks to support the program, but noted that it was just not enough to maintain the program. She stressed the good that the program does, and indicated if there is an organization who would like to do it, she would support them. She thanked the committee for their hours, and commended them for doing the best possible. She also thanked staff for their assistance. 4) Thanked Jeanie Corral for her comments on the community, and concurred that times are changing and the City is growing. She noted comments heard while on the Planning Commission, and stressed the good things growth has brought to the Community. She stressed the importance of working together to build the future. 5) Noted that she supports the Stadium and stressed the positive things it has brought to the Community. She further noted that as a Planning Commissioner, the stadium was never before them; but now the Council is trying to work out a resolution to the problems they inherited. She concurred that Councilman Alongi voted against the Stadium, but stressed that they are all trying to solve the problems. 6) Commented on Mello -Roos and concurred that there are some legal issues. She thanked City Attorney Harper for his efforts to assist Mrs. Ziegler. She stressed that Mello -Roos is an option for the developers. 7) Indicated that she was glad to see the support for the 4th of July events, and rioted that there were between 4,00 and 6,000 people out that day, and the downtown businesses did well. 8) Addressed Mrs. Franson & Mr. Salchow and stressed that the Council has worked hard to address their concerns and is still willing to address them further to attempt to work out a compromise. Mayor Pape commented on the following: 1) Concurred that July 4th went well and everyone had a fun time. He noted the time invested to put it all together, and commented that the event went well. 2) Noted traffic signal site selection, and indicated that the newest signals were studied by Engineers and determined appropriate for placement, based on safety concerns. He further noted that they were State funded. He indicated that the next one will be at Grand/Ortega on the State highway, and staff is looking at some near the Outlet Center, due to the traffic. He stressed that the City can encourage installation, but the projects are up to the State. 3) Concurred with regard to the police station name change suggestion, and stressed the stigma it creates. 4) Tipped the hat and gave kudos to deputies at the Lake Elsinore Station who received a letter of commendation from the District Attorney's office as part of the Safe Streets program. He indicated that people have been arrested and one is going to the Youth authority and two to long term rehabilitation. He thanked Deputy McCrae and Willie Turner for their perseverance to follow -thru and gather the information and prosecute to the fullest extent. He stressed that the system did work, but it takes involvement of the residents and officers. PAGE FOURTEEN - CITY COUNCIL MINUTES - JULY 9, 1996 Leroy Tucker, 3232 Cherry Blossom, requested an opportunity to speak. He noted that he voted for each of the Councilmembers, but heard the bad mouthing about the ball park. He suggested that they leave the bickering in the back room. He noted that he is happy with the ball park, but knew that it would not be free. He suggested that people never believe what you read in the newspaper, and suggested that the Council review the tapes to see what the meeting looks like. He questioned the planning and decision making by the City and stressed the need to find solutions. CLOSED SESSION None. ADJOURNMENT THE REGULAR CITY COUNCIL MEETING WAS ADJOURNED AT 9:50 P.M. Gf� VIN W. PAPE, MAYOR CITY OF LAKE ELSINORE AT' i ST: �J CKI KA.;,AP, CITY CLERK CITY OF LAKE ELSINORE MINUTES_.. REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, JULY 23, 1996 - 7:00 P.M. xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx CALL TO ORDER The Regular City Council Meeting was called to order by Mayor Pape at 7:05 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by City Manager Molendyk. INVOCATION None. ROLL CALL PRESENT: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE ABSENT: COUNCH,MEMBERS: 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, Recreation & Tourism Manager Edelbrock and City Clerk Kasad. PUBLIC COMMENTS - AGENDIZED ITEMS Requests were received to address the following items and deferred to those discussions: Item Nos. 8, 21, 31, 32 and 33. CONSENT CALENDAR ITEMS The following items were pulled from the Consent Calendar for further discussion and consideration: Item Nos. 5, 6, 7 and 8. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. 1. The following Minutes were approved: a. Special City Council Meeting - July 2, 1996. b. Regular City Council Meeting - July 9, 1996. (F:44.4) The following Minutes were received and ordered filed: C. Planning Commission Meeting - June 5, 1996.(F:60.3) d. Planning Commission Meeting - June 19, 1996. PAGE TWO - CITY COUNCIL MINUTES - JULY 23, 1996 e. Planning Commission Meeting - July 3, 1996. f. Design Review Committee - June 5, 1996. (F:60.4) g. Design Review Committee - June 19, 1996. h. Design Review Committee - June 26, 1996. I. Design Review Committee - July 3, 1996. 2. Ratified Warrant List for July 15, 1996. (F:12.3) Approved Agreement for High School Use of Diamond Stadium. (17:68.1) 4. Approved Change Order No. 1 relating to Traffic Signals and Safety Lighting Machado Street/Lincoln Street and Lakeshore Drive /Chaney Street.(F:162.4) 9. Adopted Resolution No. 96 -47 relating to March Air Force Base. RESOLUTION NO. 96 -47 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, SUPPORTING THE RELOCATION OF MARINES TO MARCH AIR FORCE BASE. ITEMS PULLED FROM THE CONSENT CALENDAR 5. Resolution Confirming Placement of Nuisance Abatement Costs on Property Tax Rolls-- Resolution No. 96 -35. (17:32.4) Councilman Alongi indicated that he would be abstaining from vote on this item. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY A VOTE OF 4 TO -- 0 WITH ALONGI ABSTAINING TO ADOPT RESOLUTION NO. 96 -35. RESOLUTION NO. 96 -35 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, CONFIRMING AN ITEMIZED WRITTEN REPORT SHOWING COST OF NUISANCE ABATEMENT, CONFIRMING THE ITEMIZED WRITTEN REPORT FOR EACH SEPARATE PARCEL OF LAND REQUIRED BY SECTION 39574 OF THE GOVERNMENT CODE OF THE STATE OF CALIFORNIA, AND PROVIDING THAT THE COSTS THEREOF ON EACH PARCEL OF LAND SHALL CONSTITUTE A SPECIAL ASSESSMENT AGAINST SAID PARCELS OF LAND PURSUANT TO SECTION 39574 OF GOVERNMENT CODE OF THE STATE OF CALIFORNIA, AND PROVIDING FOR THE FILING OF SAID ASSESSMENTS AS PROVIDED IN SAID GOVERNMENT CODE. 6. Resolutions Confirming Fiscal Year 1996 -97 Special Assessments for AD 87 -2 AD 89 -1 AD 86 -1 AD 90 -1A and AD 93 -I Resolution Nos 96 -36 thru 96 -40. (F:22.3) Councilman Alongi indicated that he would be voting on this item as well as item number 7 under protest, and noted that he understands this is required action in that the districts are already formed. MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NOS. 96 -36 THRU 96 -40. PAGE THREE - CITY COUNCIL MINUTES - JULY 23,1996 RESOLUTION NO. 96 -36 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REQUESTING THE TAX COLLECTOR OF THE COUNTY OF RIVERSIDE TO PLACE ASSESSMENTS ON THE BILLS OF CERTAIN PROPERTIES (ASSESSMENT DISTRICT 87 -2 - SHOPPERS SQUARE). RESOLUTION NO. 96 -37 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REQUESTING THE TAX COLLECTOR OF THE COUNTY OF RIVERSIDE TO PLACE ASSESSMENTS ON THE BILLS OF CERTAIN PROPERTIES (ASSESSMENT DISTRICT 89 -1- SUMMERHILL BRIDGE IMPROVEMENTS). RESOLUTION NO. 96 -38 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REQUESTING THE TAX COLLECTOR OF THE COUNTY OF RIVERSIDE TO PLACE ASSESSMENTS ON THE BILLS OF CERTAIN PROPERTIES (ASSESSMENT DISTRICT 86 -1- NORTHWEST SEWER DISTRICT). RESOLUTION NO. 96 -39 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REQUESTING THE TAX COLLECTOR OF THE COUNTY OF RIVERSIDE TO PLACE ASSESSMENTS ON THE BILLS OF CERTAIN PROPERTIES (ASSESSMENT DISTRICT 90 -1A - SUMMERHILL PUBLIC IMPROVEMENTS). RESOLUTION NO. 96 -40 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REQUESTING THE TAX COLLECTOR OF THE COUNTY OF RIVERSIDE TO PLACE ASSESSMENTS ON THE BILLS OF CERTAIN PROPERTIES (ASSESSMENT DISTRICT 93 -1- COTTONWOOD HILLS PUBLIC IMPROVEMENTS). 7. Resolutions Confirmina Fiscal Year 1996 -97 Special Taxes for Communitv Faciliti District Nos, CFD 91 -2 (Summerhill Public Improvements). CFD 88 -3 ()yest Lake Elsinore Public Imnrovementsl CFD 90 -3 (North Lake Elsinore Hills Public Imnrovements) and CFD 95 -1 (Lake Elsinore City Center Public Improvements) Resolution Nos. 96 -41 thru 96 -44. (F:22.3) MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NOS. 96 -41 THRU 96 -44. RESOLUTION NO. 96 -41 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REQUESTING THE TAX COLLECTOR OF THE COUNTY OF RIVERSIDE TO PLACE SPECIAL TAXES ON THE BILLS OF CERTAIN PROPERTIES (COMMUNITY FACILITIES DISTRICT 91 -2 - SUMMERHILL PUBLIC IMPROVEMENTS) PAGE FOUR - CITY COUNCIL MINUTES - JULY 23,1996 RESOLUTION NO. 96 -42 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REQUESTING THE TAX COLLECTOR OF THE COUNTY OF RIVERSIDE TO PLACE SPECIAL TAXES ON THE BILLS OF CERTAIN PROPERTIES (COMMUNITY FACILITIES DISTRICT 88 -3 - WEST LAKE ELSINORE PUBLIC IMPROVEMENTS). RESOLUTION NO. 96-43 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REQUESTING THE TAX COLLECTOR OF THE COUNTY OF RIVERSIDE TO PLACE SPECIAL TAXES ON THE BILLS OF CERTAIN PROPERTIES ( COMMUNITY FACILITIES DISTRICT 90 -3 - NORTH LAKE ELSINORE PUBLIC IMPROVEMENTS). RESOLUTION NO. 96-44 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REQUESTING THE TAX COLLECTOR OF THE COUNTY OF RIVERSIDE TO PLACE SPECIAL TAXES ON THE BILLS OF CERTAIN PROPERTIES (COMMUNITY FACILITIES DISTRICT 95 -1- LAKE ELSINORE CITY CENTER PUBLIC IMPROVEMENTS). C R& R, Inc - Request to Put Refuse Billing Delinquencies on Fiscal Year 1996 -97 Tax Roll - Resolution No, 96 -46. (F:163.1) Mayor Pape introduced this item and noted that he had a request to speak. It was determined that the requesting speaker was not present for comment. MOVED BY METZE, SECONDED BY BRINLEY TO ADOPT RESOLUTION NO. 96- 46. Councilman Alongi inquired it there was still time to pay the bills before they are added to the tax roll. David Fahrion, President, CR & R indicated that bills could be paid until August 1, 1996, without being placed on the tax rolls. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE. RESOLUTION NO. 96 -46 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, AFFIRMING THE REPORT OF DELINQUENT RESIDENTIAL REFUSE FEES AND DIRECTING THEIR COLLECTION ON THE PROPERTY TAX ROLLS. PUBLIC HEARINGS 21. Public Hearing - Fiscal Year 1996 -97 City Wide Lighting and Landscape Maintenance District - Resolution No 96 -45. (F:22.2) City Manager Molendyk explained that this was the annual public hearing for Lighting and Landscape Maintenance District which maintains landscaped medians, parks, streets, sidewalks, etc. He noted that as a result of the last meeting the Stadium assessment was eliminated. He further explained that there are 21 zones in the City and except for the Tuscany Hills area the annual increase amounts to a $1.13 to $2.20 per month increase; as PAGE FIVE - CITY COUNCIL MINUTES - JULY 23, 1996 a result of labor and material cost increases. He advised that staff met again with the representatives of Tuscany Hills to determine possible reductions; but clarified that the City will now be assuming the responsibility for the public easements. He noted that the bids have been reviewed for possible reductions, and it was found that it is possible to reduce the cost for Tuscany Hills by approximately 21% per property, or approximately $37.00 per year. He addressed the Senior Citizen rebate issue and explained the original direction from the Council in 1988, which related to those Senior Citizens already living in the community. Mayor Pape opened the public hearing at 7:12 p.m. and asked those persons interested in this item to speak. The following people spoke: Chris Hyland, 15191 Wavecrest Drive, indicated since the City is not raising the fees to fund the Stadium, she thinks the taxpayers should know where the money will come from. She noted the lack of funds, delinquent developers in the Community and the nonpayment of rent by the Stadium. She further indicated that when the Jarvis initiative passes, the cities will be much better off. she suggested that caution be used on long drawn out contracts with the Stadium people and developers. She indicated that the City has not told the people how the maintenance will be paid, noted the non - payment of rent by the team and questioned the ability for the team to pay for the maintenance. She noted recent news articles and suggested that citizens ask how the maintenance on the Stadium will be paid. David Walsh, 33129 Windward Lane, presented photos of trash dumped in his tract. He noted that the City has been called, and expressed concern that this depicts a health hazard. He suggested that this should be a high maintenance priority. He also noted brush on Grand Avenue near his tract and indicated that the City position is that the property has not been turned over to the City for maintenance. He stressed that this is a main thoroughfare, which does not present a good image for the City. He further suggested adoption of a policy for tracts such as this to assure that the properties are maintained; and stressed the number of unfinished tracts around town with similar problems. Deborah Childers, resident of Tuscany hills and President of the Board of Realtors, expressed understanding of the need to maintain the community and participate in the maintenance of the community. She noted the lowest assessment under Tuscany Hills is $39, and stressed that the residents are not the only ones benefitting from the improvements. She stressed the need to reevaluate and assess this portion of the community. Donna Franson, 7 Villa Valtelena, advised that the homeowners have done much research on this issue; and some areas still cause concern for them. She questioned the acreage used to determine the costs, and stressed their belief that Summerhill Drive is a main artery. She stressed the use of the road by EVMWD and residents making access to the School and the Park. She thanked the Mayor and Staff for meetings and time spent, and indicated that she feels the City has put forth their best effort to assist but some issues need to be looked at more closely. Kevin Jeffries, 17666 Grand Avenue, noted his written protest presented this date, and indicated he has learned that he has no legal grounds to address the beach areas, but would still intend to proceed with the written protest. He questioned the balance of assessments for lake maintenance and stressed the variation in benefit when spread over the City. He suggested that this methodology be revisited. He noted the request for $3.5 million from the State and noted that $500,000 did survive the budget process and questioned it these funds would reduce the assessments. Gary Grant, commented on behalf of Mr. Britton whose property was annexed as part of PAGE SIX - CITY COUNCIL MINUTES - JULY 23, 1996 the North Peak annexation in 1991. He noted that there are no residents in the area and suggested that the assessments are too high. He questioned the count of protests, the meaning of no response and whether they would be considered by zones. He stressed the responsibility of the Council to the people to vote fairly on this issue. Mariana Mohylyn, 305 W. Sumner, noted the upcoming Presidential election and the issues of overtaxing and overspending. Stressed that the Council is a representative of the will of the people and must be conscious of how the money is spent. She also commented on the CR & R issue and noted that she had missed that discussion. She expressed concern with the Council overburdening the residents. City Clerk Kasad reported the three previously received protests and the protests received this date from Gary Grant and Kevin Jeffries. Mayor Pape hearing no additional requests to speak, closed the public hearing at 7:37 p.m Mayor Pape explained how this appears on the tax statement, and noted that it is about $5 to $8 per month per household. He further explained that it is used for street lights; improving, watering and gardening the medians; traffic signal maintenance; maintenance of parks, sprinklers, restrooms, etc. He stressed the value of this maintenance, and reiterated that there is virtually no change proposed for this year. He noted the comments by Mr. Walsh and suggested that he speak with Mr. Leslie to advise of the exact location of his concerns so staff can follow -up. He noted the need for clarification between the upper and lower slopes in the Tuscany Hills area. Jeff Cooper, representing Berryman & Heniger, addressed the benefit of landscaping in Tuscany Hills; and indicated that the lower slopes are spread City -wide, but the upper slopes are of specific benefit to the Tuscany Hills zones. He stressed the variation between support of homes vs. support of the roads. Mayor Pape requested clarification as to why Summerhill is not considered a main artery. Mr. Cooper indicated that it is a major arterial, but the benefit is not of a City -wide nature. He clarified the Equivalent Dwelling Units for that area and indicated that at a future date the charges may actually go down. He noted that the presently undeveloped property carries a lower charge for the time being. Mayor Pro Tem Kelley questioned Summerhill Drive and whether the ultimate construction of the area would change the classification to a major thoroughfare. Mr. Cooper clarified that it is a major arterial and the slopes supporting the road are part of the City -wide district. City Manager Molendyk clarified that there is a 30 foot bank, of which 10 feet supports the road and is spread city -wide; the other 20 feet that holds up the houses is spread into the specific zone. He stressed that there will always be a portion that is City -wide, but there will also always be a part that will be charged back to the owner or the association. Mr. Cooper stressed that it is hoped with future development that the zone charge per home will go down. Councilman Metze requested an explanation of reevaluating the process as discussed. He questioned the guidelines for development of this report. Mr. Cooper clarified that there is not a specific guideline, but it is based on the premise of the report which determines city -wide benefit. He stressed that the main variation is based on public right of way for the arterial. He reiterated that the report was originally adopted in 1988. City Attorney Harper also noted that it is based on the dedicated right of way when Tuscany Hills was developed. Mr. Cooper further clarified that the City -wide portion is owned by the city and supports the major arterials; and the other slopes are privately owned with a public maintenance easement across them. Mayor Pro Tern Kelley noted Mr. Jeffries' letter regarding Serena Shores and questioned PAGE SEVEN - CITY COUNCIL MINUTES - JULY 23, 1996 what zone it is in. Staff indicated that it was in Zone G. Councilman Alongi noted his understanding of variable assessments, but questioned why Tuscany Hills lots are not assessed equally. He stressed that all of the homes are very expensive, and the City is asking them to pay the full cost. He questioned why vacant land is not assessed equally. Mr. Cooper clarified that the assessment is less, because there is no home built on the property. Councilman Alongi stressed that the property owner enjoys the benefit of the maintenance on the area, and indicated that he still doesn't understand the variable assessment. Mr. Cooper indicated that undeveloped land is assessed the same rate throughout the City, but in Tuscany they have an increased benefit for that zone. He further detailed the City -wide rate for vacant land. Councilwoman Brinley questioned if the vacant lots pay their HOA fees even if they are not built, as she is under this impression. City Attorney Harper clarified the issue of the engineering logic regarding relative benefit, and the analysis of occupied vs. undeveloped property benefit. He further stressed that this is a uniform process. Councilwoman Brinley stressed that there are some developers who are participating in the HOA and paying their fees on the LLMD; and stressed that the homeowners are not carrying all of the fees for the vacant land. Cathy Oesterich, representing the TT Group, clarified the zones in Tuscany Hills and the variation in assessments. She noted that the areas with final maps pay more under this system. She also clarified the timing as to when the developer begins to pay homeowners association dues. Mayor Pro Tern Kelley questioned whether the prospective homebuyer is notified of these assessments. Ms. Oesterich indicated that they are part of both the preliminary title report and the White Report disclosures. Councilman Metze expressed understanding of Mr. Alongi's position, but suggested that this is a city -wide issue, and noted that part of the problem is that there is some shock that the residents have not been paying the actual cost, as the developer was picking up the difference. He stressed that these issues were addressed at the time of the development agreement. Mayor Pro Tern Kelley addressed Mr. Jeffries, and indicated that the cost of the increase for Zone G is $1.13 annually. MOVED BY BRINLEY, SECONDED BY METZE TO ADOPT RESOLUTION NO. 96-45 AND OVERRULE THE WRITTEN PROTESTS RECEIVED. Mr. Cooper questioned the Resolution and what it approves. City Attorney Harper clarified that it includes the reduction and approves the assessments as presented by the revised Engineer's Report. Councilman Metze stressed that the Stadium is not included, and there are reductions of $37 for Zones 0 and T. — — " "" j THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE. RESOLUTION NO. 96 -45 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, CONFIRMING A DIAGRAM AND ASSESSMENT AND PROVIDING FOR ANNUAL ASSESSMENT LEVY AFTER FORMATION PAGE EIGHT - CITY COUNCIL MINUTES - JULY 23, 1996 141W&A 1.`141ATS" 31. Second Reading - Ordinance No. 1017 - regarding Administrative Citation Process. (F:32.4) MOVED BY BRINLEY, SECONDED BY KELLEY TO ADOPT ORDINANCE NO. 1017 UPON SECOND READING BY TITLE ONLY. ORDINANCE NO. 1017 AN ORDINANCE OF THE CITY OF LAKE ELSINORE AMENDING THE LAKE ELSINORE MUNICIPAL CODE BY ADDING CHAPTER 1.20, SECTIONS 1.20.010 THROUGH 1.20.080, PERTAINING TO THE ADMINISTRATIVE PROCEDURES GOVERNING THE IMPOSITION, ENFORCEMENT, ADMINISTRATIVE REVIEW AND COLLECTION OF PENALTIES FOR VIOLATING PROVISIONS OF THE LAKE ELSINORE MUNICIPAL CODE. Mariana Mohylyn, 305 W. Sumner, addressed this item and requested a briefing of what section 1017 entails and questioned how residents will be accountable. She questioned the intent of this ordinance, the amount of fines and whether this is a necessary process. City Attorney Harper clarified that this is the second reading of the ordinance from the last meeting, and essentially a ministerial second reading. City Manager Molendyk noted the trash situation noted by Mr. Walsh and explained the application of this process to that situation. Mayor Pape concurred that this was a good example of its application. Councilman Metze stressed that it will gain quicker responses and get the attention of the land owners. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE 32. Second Reading -Ordinance No. 1018 -regarding Development Requirements to Benefit Habitat Conservation Efforts. (17:76.1) Mayor Pape noted that he had two requests to address this item. Gary Grant, addressed the K -Rat issue for the North Peak area and noted a plan proposed for mitigation. He questioned whether this land would come out of the LLMD. He questioned when this new plan would be submitted and its future implications. Mayor Pape noted that he was going to request a study session on this item. Mariana Mohylyn, expressed reverence to all creatures including K -Rats. She commented on LEAF handling of cats and dogs and questioned taxation for K -Rat land. She questioned whether the rats would be moved to appropriate areas. MOVED BY BRINLEY, SECONDED BY METZE TO ADOPT ORDINANCE NO. 1018 PAGE NINE - CITY COUNCIL MINUTES - JULY 23, 1996 UPON SECOND READING BY TITLE ONLY. Councilman Alongi noted comments of the evening, and indicated that the North Peak property being negotiated is presently inundated with K -Rat, protected brush and endangered bird habitat. He confirmed that the land is presently in the LLMD and those funds will be lost, however, many of those lands cannot be developed, and this gives them an opportunity to buy in to protection on multi- species habitat. Councilman Metze noted it would be nice if this land could be set aside for Lake Elsinore developments. Mr. Alongi explained the need to include RCHCA participants to negotiate this type of program. ORDINANCE NO. 1018 AN ORDINANCE OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REPEALING ORDINANCE NO. 905 AND ESTABLISHING DEVELOPMENT REQUIREMENTS TO BENEFIT HABITAT CONSERVATION EFFORTS. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE 33. Request for Waiver of Fees -Historical Society. (17:62.1) 34. Request for Waiver of Fees - Friends of the Library. 35. Request for Waiver of Fees - H.O.P.E. City Manager Molendyk suggested discussion of items 33 - 35 jointly, and noted that these are on the agenda due to budget constraints which do not allow for assistance with this type of waiver. He indicated that there is no formal policy adopted for this type of request and suggested adoption of a policy to allow for administrative processing. Councilman Alongi apologized and noted his intent to pull item 3 of the Consent Calendar relating to use of the Diamond. He indicated that the School District is being treated differently than other organizations. He further indicated that if the Council will agree to take any repairs out of the $5,000 deposit for the school district, he will vote with the Council on these items. He stressed that everyone needs to tighten belts and work toward dealing with the debt. Would like the council to agree that no expenses are taken from the $5,000. He stressed if Council decides to not waive fees for these organizations, which are important, then they need to deny the waiver of fees for the school district, and the City should not be responsible to repair damages. Mayor Pro Tem Kelley noted the organizations being discussed are all non - profit agencies that benefit the community, and all three are vital and give back to the community. She noted the museum that was opened and HOPE and Friends of the Library all contribute back to the Community. She expressed concern if they are charged the full cost all three events will be canceled. MOVED BY KELLEY TO WAIVE THE FEES EXCEPT FOR CLEANING, DAMAGE X PAGE TEN - CITY COUNCIL MINUTES - JULY 23, 1996 DEPOSIT AND STAFF TIME COSTS. Mayor Pro Tem. Kelley stressed that the facilities are community buildings for community use. She indicated that the waiver would be rental costs. Councilman Metze questioned whether the insurance would also be waived. Mrs. Kelley indicated that the insurance would be required. Councilwoman Brinley requested clarification of the motion. Mrs. Kelley clarified that she would retain the fees for cleaning, damage deposit, insurance, and staff hours. Mayor Pape clarified that the only things gone would be rental costs and use of kitchen. Councilman Alongi questioned why the charge is $500 for damage and not $250, and stressed that these are up front costs. He suggested that the damage fees be reduced as he is not aware of any problems at prior events of this type. Mrs. Kelley further clarified the fees for the use of the Cultural Center vs. use of the Community Center for the other events. Council discussion ensued. MOVED BY KELLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO WAIVE THE RENTAL COSTS ON ITEM NO. 33; RENTAL COSTS & KITCHEN COSTS ON ITEM NO. 34; AND RENTAL AND KITCHEN COSTS ON ITEM NO. 35. Councilman Alongi stressed that this action is unfair, but his vote is always yes for the community. He stressed that if there is to be no more waivers of fees that the vote should be consistent. City Manager Molendyk noted previous direction to make the rental facilities cost effective, and suggested adoption of a policy with regard to waiver of fees. Mayor Pape suggested that the policy be considered on the next agenda. 36. Kids -On -Track Program - Requested by Councilman Alongi. (17:64.2) City Manager Molendyk gave an overview of the program and explained that it was to become self supporting as of this year and is not carried in the current budget. He explained that it is recommended that Kids -on -Track be discontinued as of August 1, 1996, due to lack of funding and support. He noted that both sites will go "off track" for the month of August allowing parents an opportunity to find alternative after school care. Mayor Pape noted requests to speak and recognized the following people for comments: Aaron Hutchens, 119 X Massachusetts, stated that he has been a part of the program for the last two years and without this program he would have no place to go after school. He expressed concern for his and the other children's safety. Mrs. Hutchens expressed her concern regarding the discontinuance of the program and the potential problems that children could experience. Willis Jensen, 15186 Grand Ave. #3, explained what the program means to him as a kid. Ken Jensen, 15186 Grand Ave. 43, stated that he is the father of Willis and a 5 year old daughter and noted the problems that are experienced on the streets today and the fact that Kids -on -Track provides a good environment for two hours a day and gives the children an alternate supervisor in their lives that they can trust. He noted the cost and stated that the service off -sets the cost to the community. He stated that if there is a need for more money, then all the Council has to do is ask for it. Sheri Simmons, 16460 Joy Street, asked that Council reconsider discontinuing the program. She stated that she has a 7 year old son in the program and she feels that it is and excellent program. She noted that she is aware of the problem with funding and suggested that the fee be raised from $1.00 up to as much as $5.00 per day, for the parents that can afford it. PAGE ELEVEN - CITY COUNCIL MINUTES - JULY 23, 1996 - Councilman Alongi explained that sometimes there is a need to support a project that most likely should be supported by some other source, however the most important commodity the City has is it's children and noted the problems that occur on the streets and that they need somewhere to go. He noted that the City seems to find the money for the Lake, movie theaters, ball fields, sewer connection and the Chamber of Commerce. He stated that he feels that the need outweighs the need for a million dollars in the reserve. Councilman Alongi stated that there are children who need protection and deserve a slice of the pie in this community. He explained that the families of these children pay the taxes that the City gives to the developers, yet when it comes time for the City to give $35,000 to help the kids, the City can't afford it. He noted that the City uses $25,000 a year to subsidize a movie theater and thinks nothing of it. He thanked Councilwoman Brinley for all her efforts and explained that he would like to see her efforts rewarded by this Council putting $25,000 in an account for the Kids -on- Tract, and as funds are raised to help support the program, the amount can be reimbursed back to the account and this would keep the program moving. He pointed out that some parents can't afford a great deal of money, but the children deserve to have this program. Councilwoman Brinley stated that this program is for a good cause and listed the people involved in the program. She pointed out that last year the requested donation was a dollar a day and with exception of a small segment of the group, no one paid. She stated that they were lucky if they received $10.00 a week. She further stated that in mid February the $1. a day charge was made mandatory in order to help support the program. She explained that when she became involved in the program last year, the former Council made it very clear that the funding was a one -time seed money situation in the amount of $35,000. The Kids -on -Track committee met once every month and invited parent participation. She further noted that they could not seem to get the program on firm financial footing due to a lack of response from the parents. Councilwoman Brinley stated that she wished that Councilman Alongi had attended some of their meetings to assist in ideas for fund raisers and money making projects. She pointed out that it is not a case of not wanting to see this program go forward, but rather the fact that the group did not receive full cooperation. She noted that it was stated at every meeting that the money received from the City was one time funding only. She further explained that the School District informed the City that it is not legal for them to participate, so that source is not available. She noted that Ortega Trails has a program, but they do charge a fee as well. She stated that it is a very worthy thing they tried to do, but there is no more money and nothing to build from. Councilwoman Brinley stated that she doesn't know where the money is going to come from. She stressed that they worked very hard to trying to raise the money to keep the program going, but they didn't get the response needed. Mayor Pro Tern Kelley stated that she felt that there was no one on Council who wants to loose Kids -on -Track and they all know how important the program is and how important the children are. She noted that Councilwoman Brinley has worked very hard to raise funds for the program, but there was just no money coming in to keep the program growing. She suggested that Council and /or the parents needed to look at multi - funding such as grants which might apply. She noted that there is a joint effort with Mt. San Jacinto College to develop a child care center utilizing the students. She further suggested that possibly the City might want to do a dollar for dollar matching funds project with Councilman Alongi heading the committee. Councilman Metze stated that all three of his children use Kids -on -Track and it is a valuable program. He noted that at $4 a day, within a 200 school day structure, $40,000 could be raised right off the top. He further noted that this could be made effective August 1. He stated that it is inexpensive child care and on site to add to the effectiveness of the program. He explained that a discount can be figured in for a third child and scholarships would have to be figured in as well, but even with those factors, if there were 50 paying students it would work out to $40,000 a year. PAGE TWELVE - CITY COUNCIL MINUTES - JULY 23, 1996 Councilwoman Brinley asked what should be done if there is a short fall or if the people do not pay. Councilman Metze stated that they would not be allowed to attend the program. Councilwoman Brinley asked how the pass was worked out for families with more than one child. Recreation and Tourism Manager Edelbrock, explained how the Kids -on -Track passes applied to more than one child per family. Mayor Pro Tem Kelley stated that there are currently two programs. One program at Railroad Canyon Elementary; and the other at Machado Elementary. She asked what the feasibility of combining them at one school or the other. Councilwoman Brinley stated that the problem that they had with that solution is transportation. She noted that the School District could not afford to pay for the bus, insurance or driver to transport the children. There was general discussion regarding the cost of the programs and Mayor Pape pointed out that the people using the program were not paying for it, the seed money was exhausted and there is nothing left to support the program. He noted that if Council is considering continuing the program then there should be some type of clause, that if there is not enough money paid by the people using the program to support it, then it will not be brought back before Council. He asked if the parents were willing to make the program work, and if they are not, then it is not up to the City to continue to support this program. He stated that the parents need to be responsible. Councilman Metze pointed out that the mandatory fee was put in place in February, and from then until now $3,100.00 was collected charging $1.00 per day. Councilwoman Brinley stated that there were articles in the paper informing the parents that the program was not receiving support. She made note of the fact that when they asked for volunteers from the parents of the program, there were only three that showed up to help. She pointed out that to make this type of a program work it needs a total commitment from the whole community and most especially from the parents who are using the program. She explained that they did not get the response. Councilwoman Brinley stated that if the program is to proceed at $4.00 a day, then the volunteers are going to have to be willing to be sure that the fee is paid and that their fund - raisers are supported by the parents. She explained the different resources that she approached to gain support for the program. She stated that the situation was explained last year and the program would have to support itself, and because it was a one -time funding they would have to work toward that goal. Councilwoman Brinley stated that she would be willing to try, especially if Councilman Alongi would lend support with fund raisers and the parents paying their fair share for the program and assist in raising the funds necessary to keep it going. Councilman Alongi stated that he thought it was amazing how quickly we figure cost when it comes to our own, and yet do not consider what it is costing to give to strangers when they take their profit and leave this town. Councilman Alongi stated that he has a sixteen hour day already and cannot spend more time, but he felt that he could raise some money through some businesses that he knows. He noted that this is positive for our community and if $25,000 was taken from our reserves, we would not even miss it. He pointed out that if the City is going to go broke, then the $25,000 is not what is going to make the City go broke, but it might save some kid; and it might keep a job for an adult. He stated that he was tired of sitting at Council and listing to all the excuses why we can't help our own. He asked Council if they thought the parents could have helped, and stressed that they have to work. Councilman Alongi stated that because Councilwoman Brinley donated some time that she seems to think she needs a crown on her head. Councilman Alongi stated that she had no idea what some of the parents are facing out PAGE THIRTEEN - CITY COUNCIL MINUTES - JULY 23,1996 e, there. Councilwoman Brinley suggested in that case that the money that Councilman Alongi personally guaranteed for the rodeo should be donated to the kids. Councilman Alongi stated that Councilwoman Brinley was talking in ignorance and that she was ignorant. Councilwoman Brinley stated that Councilman Alongi was an ignorant stuffed old bag. She stated that he talks about being a good Christian, but he hasn't done one thing for Kids on Track. Mayor Pape stated that we can't understand or listen to each other if everyone talks at the same time. He noted that it doesn't do any good to talk if no one is listening. He stated that it will be done one person at a time; and insults and rude behavior is not appropriate and he will not allow it. Councilman Alongi stated that when the Chamber of Commerce came before Council, there were budget problems, yet Council voted to give them $25,000. He noted that up to today they are receiving free rent which costs the City an additional $18,000a year to support the Chamber of Commerce. He pointed out that the Chamber is made up of working people and businesses. He noted that now Council is sitting at their seats figuring out how to try and get the money out of the very people that are paying for everything. He explained that is the reason why he gets so upset. He further explained that he feels that we do not help our own. Councilman Alongi stated that he is not asking the City Council to put up $25,000 and spend it all; what he is asking the City Council to do is to put $25,000 in an account and draw on it, as needed. He commented to Councilwoman Brinley that if he can't donate his time, then he will donate his money; but he does do his thing in this community and he does a hell of a lot more in this community than a lot of other people have done, but he doesn't ask for recognition. He stated that he puts his hand in his pocket and comes out with the money and he will discuss the deal with the Rodeo later with Councilwoman Brinley. Councilman Alongi explained that Council needs to start supporting the children. He stated that he and his wife have dedicated their time to babysitting their second grand child just as they did their first, since they do not feel that they can trust putting them anywhere else; and then he see children walking down streets without proper sidewalks and that bothers him. He further stated that the City is giving millions away to the Walmarts, the State, the Lake, and the ball field. He noted that he does not need to worry about an income, but he does know where he came from and stated that he felt that the rest of Council has forgotten and that is the problem. He further noted that we cannot forget our own. He suggested that Council come up with the $25,000 and then proceed with business. Mayor Pro Tem Kelley stated that she does agree that we cannot forget the children in the community because they are the future. She suggested that this item be pulled until she does research on the grant that Mrs. Wilson has suggested and any other possible grants. Councilman Metze commented that he would like to make his comments uninterrupted. He noted that what has occurred tonight is someone getting up on a soap box, and pointed out that just a few months ago Tee Pee Ranch was discussed and it was noted that it was too bad that the school screwed up; and now all of a sudden it is "rah, rah, rah" for the children in the schools. He stated that the public should know that the City should have $2,000,000 in reserve and there is not even $1,000,000 in reserve; and this is how the outside financial world is looking at us and it does make a difference. Councilman Alongi commented that this is Bull Shit and asked what in the hell Councilman Metze was talking about. PAGE FOURTEEN - CITY COUNCIL MINUTES - JULY 23, 1996 Mayor Pape called Councilman Alongi to order and stated that if he could not contain himself he could leave. Councilman Metze pointed out that Councilman Alongi did not care about the school. He stated that at that time he did not care about the school, where he wanted to see a commercial development; and now all of a sudden kids mean everything in the whole world to him whereas a few meetings ago they didn't mean anything to him. He stated that this is strictly political and again pointed out the balance in the reserves. Councilwoman Brinley stated that using Kids -on -Track as a political football is sad and Councilman Alongi does it all the time on different issues. She stated that Kids -on -Track is a wonderful program and she was part of the best committee there could have been. She pointed out that they tried to keep this program going and she is willing to try to make it work. She noted that if it take $4.00 a day to make it work then so be it. Councilwoman Brinley stated that there is no one present tonight who would want to see a kid out on the streets, abused, or joining a gang; but the problem is that there is no money. She noted that members of Council who attended the CAP Conference were discussing how to merge programs together and create solutions. She pointed out that the School District's funds are limited. Councilwoman Brinley stated that she and Mayor Pro Tern Kelley have been discussing Grants with School District Boardmember Wilson to help with Kids -on -Track and noted that they want to make it work, but the City can no longer shoulder the responsibility alone. She stated that they need the help of the schools, the community and the Council. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED UNANIMOUS VOTE TO SET A STUDY SESSION AFTER RESEARCHING GRANT POSSIBILITIES WITH BOARDMEMBER WILSON TO CONSIDER POSSIBLE FINANCIAL OPTIONS. Mayor Pape reminded the public that this program will be out of money at the end of the month, and cautioned Council that the decision would have to be considered in a timely manner. 37. Appointment of Planning Commissioners - Three Seats. (17:60.2) Mayor Pape noted that there are three seats open for appointment, and there were six very qualified applicants. Councilman Alongi questioned where the applications for those to be appointed were. Mayor Pape noted that six applicants were interviewed and stressed the importance of the Planning Commission for review of projects to assure that they blend with the community. He stressed the difficulty of this decision and recommended reappointment of Ericka Matthies and James Sands and appointment of John Barnes. He thanked Daniel Allenbach for his services and noted future opportunities for service and participation in City activities. MOVED BY PAPE, SECONDED BY METZE TO REAPPOINT ERICKA MATTHIES AND JAMES SANDS AND APPOINT JOHN BARNES TO PLANNING COMMISSION TERMS CONTINUING UNTIL NNE, 2000. Councilman Alongi indicated that he would like to vote individually on the appointments. THE FOREGOING MOTION CARRIED BY A VOTE OF 4 TO 1 WITH ALONGI CASTING THE DISSENTING VOTE, PUBLIC COMMENTS - NON - AGENDIZED ITEMS Chris Hyland, 15191 Wavecrest responded to a recent letter by Karen Snyder, and commented on Amber Ridge sewer connections. She further commented on the use of improper language and PAGE FIFTEEN - CITY COUNCIL MINUTES - JULY 23, 1996 - explained her use of impropriety. She noted that the City is broke and expressed concern with donations and work for Timmy Pape coordinated by City staff. Mariana Mohylyn, 305 W. Sumner, addressed the making of history, and the allowance for groups to do special events in city buildings. She expressed concern for children and noted that they are given prime consideration in Communist Countries. CITY MANAGER COMMENTS None. CITY COUNCIL COMMENTS Councilman Alongi commented on the following: 1) Expressed his personal thanks to every police officer on the streets today. He noted the recent death of a CHP officer and expressed pride and gratitude for their service and their efforts on behalf of himself and his family. He stressed the contribution of law enforcement to the community. Councilman Metze commented on the following: 1) Inquired whether staff could meet with him to discuss and review the original LLMD report and logic. Mayor Pro Tern Kelley commented on the following: 1) Noted that the public may not realize that the CHP officer was the nephew of the Temescal Canyon High School coach. 2) Noted the CAP conference and the sharing of positive ideas and programs. She thanked the school district for the conference, and indicated that the upcoming year will see committees working on providing additional services, such as the parenting center, a We Tip line, etc. She further noted that the City was well represented. Councilwoman Brinley commented on the following: 1) Concurred with Mrs. Kelley regarding the CAP program, and noted that it was enlightening and nice to know another entity is looking at the future vision for the community. 2) Expressed sympathies to family of CHP Officer and Coach Burt at Temescal Canyon High School. Mayor Pape commented on the following: 1) Noted an article in the paper regarding the North Peak acreage for endangered species habitat, and indicated that he would like a study session on the impacts on the City, timing, etc. He suggested that this might be appropriate at the same meeting when goals and priorities are discussed. 2) Noted comments at this table and indicated that they have stooped to a new low. He indicated that while some mistakes have to be made and tolerated, rude behavior and language is not appropriate. PAGE SIXTEEN - CITY COUNCIL MINUTES — JULY 23, 1996 City Attorney Harper requested that the topic of potential property acquisition be added to the Closed Session topics. CLOSED SESSION a. Pending Litigation - USA Properties Fund, Inc. - Case #280489. b. Potential Property Acquisition. THE REGULAR CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION AT 9:36 P.M. TO DISCUSS THE ABOVE MENTIONED ITEMS. THE CITY COUNCIL MEETING RECONVENED AT 10:30 P.M. NO ACTION TAKEN. ADJOURNMENT THE REGULAR CITY COUNCIL MEETING WAS ADJOURNED AT 10:31 P.M. KEVIN W. PAPE, MAYOR CITY OF LAKE ELSINORE AT ST: " VICKI KASAD, CITY CLERK CITY OF LAKE ELSINORE Iu l i►l1Y N � CITY COUNCIL STUDY SESSION 130 SOUTH MAIN STREET CONFERENCE ROOM "A & B" LAKE ELSINORE, CALIFORNIA THURSDAY, AUGUST 8, 1996 xx** xx** xxx*x xxxx xxx* x* x* x** xx* xxxxx* xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx CALL TO ORDER: Mayor Pape called the City Council Study Session to order at 8:40 a.m. DISCUSSION: City Goals and objectives. (17:30.1) City Manager Molendyk gave an overview of short term ( 1 -2 years) goals of the City as follows: A. Develop a financial plan that will provide for a stable City Budget. - Determine desired levels of service. - Develop the necessary funding strategy. - Buy -in by all of the Council. - Present and educate the community. B. Diamond Stadium. Re- negotiate agreements to be more favorable to the City. Consider elimination of Spectrum as a Management Firm. Development operation and maintenance program to preserve City investment. C. City Campground. Re- negotiate agreements to be more favorable to the City. Development strategy for site improvements to be more competitive with other sites. Develop funding strategy for site improvements. There was general discussion in regard to the condition of the campground and what action is being taken. D. Lake Elsinore. Continue to secure the $3.5 million from the State. Secure Funding for aeration system. Complete Boat Launch Facility. City Manager Molendyk explained that they were directed to approach the Department of Boats and Waterways to acquire the funding for the aeration system and if the City came up with a program for $1,500,000 that they could facilitate the funding because of a different funding mechanism which can allocate $500,000 a year over a three year period and this allows the City the ability to ask for the funds since it is more feasible to allocate in that manner. There was discussion regarding the $3.5 million from the State. PAGE TWO - STUDY SESSION - AUGUST 8,1996 Assistant City Manager Watenpaugh gave an overview of the status of the Boat Launch facility and stated that they will start on site in the next ten days. He noted that they will have 100 days to complete the project once they receive their notice to proceed. Councilman Alongi asked if there were change orders to the Boat Launch would the City have to pay for them. Assistant City Manager Watenpaugh stated that if there were any change orders, then yes the City would have to pay for them, but he is not expecting any since it was made clear to the contractor that the project would go as written. He further explained that soil bores that were taken. E. Tourism Strategy. Develop a strategy for increasing tourism. Promotion - Marketing - Cooperation - Implementation - Develop funding strategy. City Manager Molendyk explained that a video has been made as well as a brochure on lodging facilities. He noted the Farmers Market, Lake Elsinore Grand Prix, Car Show at the Stadium, boat races, Elsinore Classic and boat shows. Special Projects Manager Best explained that due to the Boat Shows that the City has participated in, it has brought people to Lake Elsinore to utilize our Lake and community. She made note of a Boat Show in October in Long Beach that we will participate in to encourage tourism. F. Intergovernmental Relations. - Determine levels of involvement for City Council. - Establish strategy for meeting with organizations and agencies. - Elsinore Valley Municipal Water District - Lake Elsinore Unified School District - Riverside County Board of Supervisors - Local Agency Formation Commission . - Western Riverside Council of Governments - Any others City Manger Molendyk gave an overview of the different activities that the City has participated in to support intergovernmental relations. City Manager Molendyk then explained the Mid Term (3 -5 years) goals and objectives as follows: A. West End fire station. Construct facility. Through City's budget strategy, develop funding source for staffing and operations. PAGE THREE - STUDY SESSION - AUGUST 8, 1996 B. City Campground. Secure funding for Boat Launch and Marina facilities. C. Tourism Strategy. Implement expanded promotion and marketing plan for City and surrounding area. - Air Thermals - Water sports - Baseball - Racing D. Increase City's Reserves to 30% of the City's Budget. City Manager Molendyk noted Proposition No. 218, Voter's Approval for Local Government Taxes which will affect taxes and assessments and property related fees and charges. He explained that as far as taxes, if the Council wished to impose a utility tax to continue services it would be subject to a vote of the people which would spread the cost to renters as well as property owners. He noted that the City Wide Street Lighting and Maintenance District would be affected and this would include streets, storm drains, signals and things related to streets, and if it was taken to a vote of the people, would no longer include parks. He noted that in our Assessment District it has included Parks, Beaches and public areas are in our Lighting and Landscaping District. If it were to go to the ballot, streets and lighting would be separate from parks. He noted that under the new law if there is an assessment passed, all property owners would be liable for their fair share which would include School Districts, Water Districts or any public entity. He pointed out that it would still be tax payers money and the School District would have to take money out of their budget which might have been allocated for another teacher or a program for the school. City Manager Molendyk explained that the people get the right to vote, but it also impacts services that they are used to and creates a more restrictive environment. He pointed out that this will end up being more expensive to the public since some of the items that the General Fund absorbs will no longer be funded in that manner. He noted that the General Fund will shrink and there will be no funding for the current services provided. City Manager Molendyk presented a scenario of the possible projected budget and explained that the City has and will continue to meet their debt obligations. He noted that the General Fund after public services ,would be $3,028,500. He stated that this would mean no park service, no tree trimming, no landscape beautification maintenance, no sports facilities or lighting for youth leagues, no community service, Senior Center, or Cultural Center. He explained that the Council and staff need to start disseminating information to the public regarding the effect Proposition 218 will have on the City. He further explained that the Lake and Stadium need to be looked at as an enterprise account. City Manager Molendyk explained that there will have to be a list of the things that will be affected, such as the Senior Center, Community Center, and Safe Streets Program. He noted that the tax assessor in the County of Riverside has just reassessed all the property and it is anticipating that there will be $336,000 loss in the next year. Councilwoman Brinley asked what amount we received the last budget year for property tax. Administrative Services Director Boone explained that we received $850,000 last year and it will be cut $336,000 this year which is based on the Redevelopment Agency Tax Increment. PAGE FOUR - STUDY SESSION - AUGUST 8, 1996 Mayor Pape noted the possibility that the Fire Department may have to go to a County and City Wide vote. City Manager Molendyk stated that it is still under study since it is felt that the service comes from general property tax. He noted however, that there is another school of thought that considers this a tax that should go to the vote of the people. Mayor Pro Tem Kelley asked if this would have to be a 2/3 general vote or majority. Assistant City Manager Watenpaugh explained that if it is a specific item, then it would have to be a 2 /3rds vote, but if it were for general then it would be a 51% simple majority. Councilman Alongi asked what money paid for the employees at the Senior Center. Assistant City Manager Watenpaugh stated that they are paid through CDBG Block Grant Funds. City Manager Molendyk referred to the exhibit from the MMASC Conference and touched on the list of critical problems that cities face and the contrasting view of government. He pointed out that under law the staff cannot take a position in regard to the proposed law, but the Council can and he encouraged them to go out and inform the public in regard to what their services levels are now, and if Proposition 218 passes what it will be. He further explained that in the material received it touched on the financial overview that cities will experience, a procedural overview and what steps must be taken to conform to the possible new law, Mayor Pape noted that any item that Council felt the City needed to address would have to go to the public at their regular election period and the issue would not be considered until 1997. City Manger Molendyk explained that this law would go into effect on July 1, and the City must vote in their budget in November. He stated that the panel at the workshop suggested that cities build up their reserves to see them through to the next election period. He stated that any tax or assessment would come up at the same time that their election for office and this will have an impact. He explained service adjustments and how it will be handled. City Manager Molendyk noted that this Council's decisions must be made with the intent of the law and not the outcome of the law. City Manager Molendyk explained what the City faces. He noted that if the City did not have the stadium, they would still have this problem, the stadium does play a part, but it is only a portion of the entire situation and not the whole. City Manager Molendyk explained that as a Council and as a community we cannot live in the past with critics pointing out what happened five or six years ago, this is the problem as of November, 1996 and now it must be decided how should we deal with it. He pointed out that Moreno Valley feels that some of the problems that they had with their utility tax issue is because they did not have a united Council which caused them a real problem. He stated that Council should have a united platform, so that they can go out and assess the public saying the same thing. He stated that what he hears from Council is that they might not agree on everything, but they all want the City to be solvent, therefore a budget will have to be drawn which goes into basic services, which is streets and public safety. He noted that anything else is going to be based on what the public wants and how much it will cost them. He compared the City to the utility services and explained that the City is providing a public service where the utilities are providing a utility service, but it breaks down to about the same thing, you pay for what you get. Councilman Metze stated that the Council will have to provide a menu of wants and needs on the ballot. City Manager Molendyk explained that what Council will have to do right now is give the public a better idea of how Proposition 218 will PAGE FIVE - STUDY SESSION - AUGUST 8, 1996 affect our City. He further explained that in the next 60 days Council will have to make a united decision on what they are going to support. He stated that the other need is accurate reporting from the press and we don't always have that. He stated that it is important for the public to have an accurate picture of the situation. City Manager Molendyk explained that the press should get with technical staff to acquire the right information, instead of talking to community activist to get the correct information. He stated that if the intent of this law is to allow the public to make their own decisions, then the right information should be printed and not what people feel. Mayor Pape explained that it is difficult to explain in 30 seconds how this will affect the public and their community services, and this will have to be accurately addressed. City Manager Molendyk explained that what should be considered is what people will be willing to pay for in our community and made note of the average age which is not the same as Sun City, therefore the needs will be different. He pointed out that what is important is to find out the main concerns of our public and address those. Assistant City Manager Watenpaugh pointed out that in the packet from the League of California Cities, there is a section on legal issues and it states that the Council can take a position on this issue. Councilman Alongi stated that the FPPC does not agree with that finding and they feel that it is in violation to take a position on a ballot issue. Assistant City Manager Watenpaugh noted that the FPPC's position is also included in the information. City Manager Molendyk stated that this is a quick overview and will entail several meetings to determine what we will have to do. He explained that this measure has not passed yet, but historically anything with Jarvis' name attached to it will pass, therefore at the appropriate time staff and Council will pursue the issues. There was general discussion in regard to the impact to the City if this issue passes. City Manager Molendyk stated that some people say that this Proposition gives voters the right to vote and others say it is to have government fail. He stated that he doesn't know any City that can survive after 1.998 if this bill passes. City Manager Molendyk stated that there are decisions that Council must address now to prepare and you must decide what items that you intend to carry on the City Budget. He explained that it is critical that the Council educate the public and it is critical that the whole Council understand that if this passes the City will be out of money. City Manager Molendyk stated that in the future a meeting will be set to present several scenarios, with a possible budget which would include how much the public would have to pay for community services, streets, etc. He explained that then he would present a scenario of what the Council would have left to serve the public for the $3,000,000. He noted that the two most critical things that the Council must do is to buy into the program as a whole and to educate the community. Mayor Pro Tern Kelley and Councilwoman Brinley approached Council regarding a community based T.V. program to get some of this information out to the public. City Manager Molendyk explained that the Council will have to buy into the program and teach the public because he cannot do that. He stated that he can help with the education to the community, but he cannot do it alone. PAGE SIX - STUDY SESSION - AUGUST 8, 1996 Mayor Pro Tern Kelley explained and Councilwoman Brinley had 'a meeting with Cheryl Smith from the Continental Cable and noted that she would be willing to consider airing a format which would get information out to the public and empower the citizens of the community with information regarding the City and would increase the lines of communications. There was general discussion regarding the potential of a cable program. Councilwoman Brinley gave an overview of different programs they can present to the community. Councilman Alongi stated that he is negotiating for a T.V. show of his own and he feels that problems can arise when there is discussion of such things as Jarvis's bill and the fact that there are different views with a lot of grey area. He stated that he felt that different views should be presented. Councilman Alongi stated that it will take 100% of this Council to deal with the issues that are going to have to be faced and that we have to respond to each other's priorities. He explained that the public does need to know and all political differences must be set aside to meet the needs of the community. Councilwoman Brinley stated that the program that they are proposing would include a panel on issues presenting different views. City Manager Molendyk stated that what he felt that Councilman Alongi was in favor of the concept and he felt that this is a very aggressive move for Council to take. He stated that it will take time to put the program together and there would only be approximately two programs that could "air" regarding Proposition 218. He suggested that a panel be formed of outsiders to explain the Proposition and then the Council will have to explain to the people how this will impact the City. He stated that the program will not work unless the Council is in total agreement. He explained that this can be done with a moderator and each Councilmember can present their views. Councilwoman Brinley stated that what she and Mayor Pro Tern Kelley are asking for is the consensus of Council to pursue this project, work out the details and then bring it back to Council for approval. There will be no cost to the City since Contential Cable will present this as a public service. Councilman Alongi stated that he felt it was important for the program to be live, since the public should be allowed to call -in and ask questions. Mayor Pape stated that he felt that it is also important to go in person to the different clubs and organizations and present the challenges the City is facing regarding Proposition 218. He reminded the Council that this issue will be decided in just two months and they need to move on it. Councilman Metze agreed with Councilman Alongi that some of the programs should be live to give the public a chance to question and address the issues. Mayor Pro Tem Kelley stated that Council should make the effort to walk the neighborhoods and talk face to face with the public and find out their concerns and what they are happy with in regard to their City government. Councilman Alongi contributed some subjects that he would like to see Council deal with. Council concurred that Mayor Pro Tern Kelley and Councilwoman Brinley proceed with the cable program planning. PAGE SEVEN - STUDY SESSION - AUGUST 8, 1996 City Manager Molendyk pointed out that there are still those people who choose to tear the City apart and misinform the public regarding what the City is doing. He cited a news paper article that infers that the City is not meeting their obligations and he explained that the City has never "fudged" on a debt, yet this information was printed in the Press Enterprise as well as a national newspaper and pointed out if those people do want the City to go Bankrupt, then that is fine, but the citizens are shareholders in the community and should be properly represented. Councilman Alongi stated that Council will have to agree to educate the public that the City is in a difficult financial position and the Council and staff does have the ability to climb out of it. He explained that we need to build a trust factor with the community. He stated that the Council must be equal and make decisions as a unit. 2. Council Policy. City Manager stated that Council wished to discuss three policies as follows: 1) Give the Planning Conunission more authority where less things would have to come before Council. 2) What position will the Council take on Non -Profit Organizations. 3) Placement of items on the Agenda and placement of items requested to be pulled. 1) Give the Planning Commission more authority where less things would have to come before Council. Mayor Pro Tern Kelley noted that in the past there has been discussion regarding the different items that have been brought before Council that are heard by the Planning Commission as well and explained that she brought this item forward to possibly delegate more authority to the Planning Commission to lighten the burden of Council and takes some of the politics out of items. She further explained that Council would retain the right for appeal. She suggested that Design Review of Commercial, Industrial and Multi- Family Residential, Specific Plans, Tentative Parcel and Tract Maps, condominium Conversions and Mining and Reclamation Plans be delegated to Planning Commission. Community Development Director Leslie stated that by law, Specific Plans must be heard by Council. Councilman Alongi clarified the items that would be delegated to Planning Conunission with right to appeal. Councilman Alongi stated that he would not like to see Tentative Parcel and Tract Maps go to Planning Conunission for final decision is because they do not have legal counsel present to advise and at times these items must be addressed by the City Attorney. There was general discussion regarding Tentative Parcel and Tract Maps final decision. It was the consensus of Council that a Council Policy be developed to allow Planning Commission to have the final authority regarding Design Review of Commercial, Industrial and Multi - Family Residential (with more than four units); Condominium Conversions; and Mining and Reclamation Plans. PAGE EIGHT - STUDY SESSION - AUGUST 8, 1996 2) What position will the Council take on Non -Profit Organizations Mayor Pro Tem Kelley stated that it came to her attention during the last meeting that there were no clear and direct policy regarding Non -Profit Organizations and although there has been much discussion no clear decision has been made regarding a policy as to how staff should handle this. She felt that the City should aid the organizations that contribute to the community. There was general discussion in regard to how this issue has been handled in the past. City Manager Molendyk explained the costs that have been involved and stated that staff needs a uniform consensus from the Council as to what the costs should be. He noted that the Council must also determine how Non -Profit should be defined and if it would be a City based organization or any Non -Profit group. Councilman Alongi suggested that a reduction of the fee of $500.00 be set and if it costs more than that amount then they would be responsible for the remainder. He brought up the amount that is being charged to the School District for the ballfield and stated that it should be adjusted to make the fee equal. He stated that the deduction should be uniform for all organizations, no matter what the function or length of time the facility is used. Mayor Pape stated that any City based non -profit should cover the City's costs and that should be the amount that they pay. City Manager Molendyk clarified that it would consist of the cleaning deposit and cost of staff. It was the consensus that legal Non -Profit City based organizations should be charged the cleaning deposit and staff time with the rent of the building waived. Councilman Alongi stated that this should include renegotiation with the School District for the ballfield. He stated that this would make the fee equal for all. After considerable discussion Council concurred. Council further concurred that this issue should be handled at administrative level once the policy was adopted. 3) Placement of items on the Agenda and placement of items requested to be pulled Mayor Pape stated that while Council was at the Monterey Conference the suggestion was made, and used by several cities, to place items pulled for discussion to the end of the business meeting. He explained that this will make the meeting go more smooth and does not extend the time of the meeting for those who wish to hear other items that were set on the Agenda. He noted that this would address items pulled by both the public and Council. Councilman Alongi clarified the placement of pulled items. City Manager Molendyk stated that the workshop addressed the amount of time that should be spent on each item to facilitate the meeting, instead of taking things out of order or extending the meeting. He noted that the items pulled automatically fall to the end of the meeting and explained that this saves times. Mayor Pape pointed out that the major items would then be heard at 7:30 or 8:00 instead of 10:00. Councilman Metze clarified the placement of the items. PAGE NINE - STUDY SESSION - AUGUST 8,1996 City Manager Molendyk noted the information received in the training program and explained that in the program they learned that someone has to have the ability to make decisions regarding the items that go on the Agenda. He stated that it can be Mayor, Mayor Tern, or a combination of one two Councilmembers, however he explained that possibly what needs to be eliminated are things being put on the Agenda to create issues, rather than just taking care of City business. Mayor Pape commented that the purpose of the Council Meeting is to take care of business. Councilwoman Brinley pointed out that she would recommend two or more Council to place an item on the Agenda. Councilman Alongi stated that he is intrigued that he has now caused two separate Council Policies. He noted that the first was the policy regarding T.V. programs and now this one. He stated that he feels that any elected official has a right to put anything on the Agenda and if the Agenda goes five hours or ten hours, then that's Council's job. He explained that some things on the Agenda may be important to him that might not be important to Councilman Metze or Mayor Pro Tem Kelley. Councilman Alongi stated that he is an elected official and a constituent in this community and he has the right to bring an item to Council. He pointed out that if any other Councilmember placed something on the Agenda, it would not matter whether he thinks its important, its important to that person. He noted that what is vital is to have mutual respect. He stated that it is important to have a responsibility to our staff and give them the proper time to place an item on the Agenda. He noted that Council Policy sets this rule. He further pointed out that Council does not represent different districts, but the City as a whole. City Manager Molendyk stated what is learned at the workshops that Council and staff attend is that it is not appropriate for a Councilmember to go to a Council Meeting and surprise staff or surprise other members of the Council, nor is it appropriate for staff to go to a Council Meeting and surprise Councilmembers since it is a formal business meeting and should be conducted as such. He noted however, that he understood the point that Councilman Alongi made and further noted Council is dealing with three issues at this meeting that one Councilmember brought forward through a Study Session. He explained that it is up to Council to decide what they want to do and commented that it might be better to bring sensitive issues to a Study Session rather than just placing them on the Agenda. City Manager Molendyk stated that issues can be debated at a Study Session and then brought to a Council Meeting for formal action. He explained that Council Meetings are suppose to be formal action of Council and not designed for a public spectacle or create issues for the community. City Manager Molendyk pointed out that many of the issues brought before Council should be brought to a Study Session and then back to Council Meeting for formal decision. He noted that it is up to Council how they wish to handle this. Councilwoman Brinley concurred and stated that it would give the entire Council the opportunity to openly discuss the issues. Councilman Alongi stated that he does not disagree with having a Study Session to allow Council to place all their cards on the table, however when certain Councilmembers get together and decide that Councilman Alongi can't do something without a Study Session, then it will go to the Agenda. He stated that as long as all members of Council abide by the Council Policy, then he has no problem with this. He stated that Council cannot refuse any other Councilperson an action as long as it conforms to what is in the Council Policy. He pointed out that it is in violation of the Brown Act for Councilmembers, outside of a meeting PAGE TEN - STUDY SESSION - AUGUST 8, 1996 to make decisions and expect the City Manager to enforce them. He explained that he will bow down to Council Policy and what Council agrees on in a Council Meeting, but he will not bow down to being treated any differently than any other Councilperson because they have the vote. Councilman Alongi stated that the Council Policy doesn't need to be changed, but rather what needs to be changed is our respect for one another. He pointed out that if he requests something that is allowed in the Council Policy, then he should have it without having to go through City Manager Molendyk to have the issue placed on the Agenda. He noted as an example, that if has the need to use a City car to go to a meeting or whatever, then there should be no question in regard to the issue. He explained that however, he violates the Council Policy, then he should be censured or fined. He noted that as long as he follows the Council Policy and the Municipal Code then he should be left alone. Councilman Alongi noted that there was no Council Policy regarding T.V. programs until he started his own program for his campaign and then a Council Policy was developed to regulate that issue. He stated that he felt that it was none of Council's business. He further noted that now he wants to place something on the Agenda, and now there is discussion regarding a new Council Policy and indicated that this was the first time he had asked to place something on the Agenda. He stated that he will respect what you place on the Agenda because it is important to you and it should be recognized that if the item is done according to the Council Policy, then no one has the right to direct that it not be put on the Agenda whether its decided by the Mayor or two other Councilmembers. He pointed out that this issue is not between a Councilmember and City Manager or staff, but rather between Council themselves. Councilman Metze stated that the Council Policy is constantly changing. Councilman Alongi stated that the last Council made a review and update of this Policy to insure that it conformed with all the laws. He stated that Council Policy is fine and pointed out that it is for Council and not the City Manager. Councilwoman Brinley stated that Council as a whole gets frustrated with certain issues and suggested that rather than placing the issue on the Agenda, bring it to a Study Session and the entire Council can give input on the issue and if there is still a need for the issue to go on the Agenda, then it can be listed. City Manager Molendyk explained that the reason that this item was brought forward was because some of Council went to a workshop and the basis of that seminar was how Council could make their organization more professional looking. He further explained that in regard to this particular session it was a sharing of what other Council's found worked for them. He pointed out that at one time or another every Councilperson has stated that "wouldn't it be nice if everybody got along ". City Manager Molendyk stated that it would be nice to have items on the Agenda that were not perceived as one Councilpersons or another, but rather items from the entire Council. He noted that bringing items to a Study Session gives the entire Council the opportunity to openly discuss the issues. He wanted to clarify that the reason that this issue was brought forth today was not because of the action of any one Councilmember, but rather as a result of what was heard at the seminar as to what would improve our image in the community. Councilwoman Brinley stated that she was one of those Councilmembers that attended that seminar and noted that it is time to work on our image. Councilman Alongi stated that he felt that there would not have been the problems experienced at the last Council Meeting if there had been a Study Session. He pointed out that we all have our priorities and this would give Council the PAGE ELEVEN - STUDY SESSION - AUGUST 8,1996 opportunity to hear each others views. He suggested that a certain Thursday of each month be set up for a Study Session and that way the Council can plan their calendar around those meetings. Mayor Pro Tem wished to report to Council that she has looked into the funding for Kids -on- Track, and the Office of Education of Riverside County will send us the application and guide lines to apply for funding. She noted that the City will not have to do future application if we are awarded funding since this is an on going program. She explained that all the City had to do is submit a letter of intent to receive an application for the funding. Councilwoman Brinley stated that she has been in contact with Mary Ellen Lewis and some of the other people from Kids -on -Track and they are also looking into possible funding programs. She wanted to emphasize that Kids -on -Track is not being pushed into the background and they are still working on funding. ADJOURNMENT The Study Session was adjourned at 10:50 a. Respectfully Submitted, ATTEST: (N ".,-F 'KI Y kS A D. CITY CLERK IulAl Y REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, AUGUST 13,1996 xxxxxzzxxzxxxxzzxxzzxxzzxxzxxzxxzxzzxzzxzzxzzzzzzzzzzzzzxzzxxxxxxxzxxxzzxzzzzz The Regular City Council Meeting was called to order by Mayor Pape at 7:02 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Councilwoman Brinley. Zi1yQi" The Invocation was provided by Reverend Pat Woods, Calvary Chapel. PRESENTATION The presentation by the International Marathon Race, National Speed Boat & Water Ski Association will be presented later in the meeting. (F:151.1) ROLL CALL PRESENT: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE ABSENT: COUNCILMEMBERS: NONE Also present were: City Manager Molendyk, Assistant City Manager Watenpaugh, Acting City Attorney Mike Montgomery, Administrative Services Director Boone, Community Development Director Leslie, Community Services Director Sapp, City Engineer O'Donnell, Recreation & Tourism Manager Edelbrock and Deputy City Clerk Bryning. PUBLIC COMMENTS - AGENDIZED ITEMS Requests were received to address the following items and deferred to those discussions: Item No. 4. CONSENT CALENDAR ITEMS The following item was pulled from the Consent Calendar for fiuther discussion and consideration: Item No. 5. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. The following Minutes were approved: a. Regular City Council Meeting - July 23, 1996.(F:44.4) PAGE TWO - CITY COUNCIL MINUTES - AUGUST 13, 1996 2. Received and ordered filed the Investment Report for June 30, 1996. (F: 12.5) Ratified the Warrant List for July 30, 1996. (F: 12.3) 6. Accepted Notice of Completion for Scrivener Street Sidewalk and City-Wide Pedestrian Access Ramp. (F:146.1) Adopted Resolution No. 96 -49 authorizing supplement No. 009 for Machado Street/Lincoln Street Signalization. (F: 162.4)(X: 68.1) RESOLUTION ON. 96 -49 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ADOPTING PROGRAM SUPPLEMENT NO. 009 TO LOCAL AGENCY /STATE AGREEMENT FOR FEDERAL -AIR PROJECTS NO. 08 -5074 MACHADO STREET AT LINCOLN STREET SIGNALIZATION. S. Approved the Notice of Completion for Traffic Signals and Safety Lighting at Machado/ Lincoln Streets, and Lakeshore Drive/Chaney Street. (F:162.4) 9. Approved setting Public Hearing for August 27, 1996 as follows: a. Annexation No. 64. (F:20.2) 1. Proceedings for the referenced Proposal were initiated by William and Rosalyn Hall and submitted to the County of Riverside Local Agency Formation Commission. 2. The Boundaries of the subject territory are: The site is approximately 87 acres generally located west of Highway 74, east of 11th St., North of Interstate 15 and South of Conard Ave. In Warm Springs Area. 3. The proposed terms and conditions are set forth in LAFCO No. 94 -20 -1, and Resolution No. 18 -96. 4. The short form designation of the proposal is LAFCO No. 94 -20 -1, Reorganization to include Annexation No. 64 to the City of Lake Elsinore. 5. The reason for the proposal are: This is a proposal initiated by the major landowner, William and Rosalyne Hall, to annex approximately 87 acres of land to the City of Lake Elsinore consistent with all recent proposals for annexation to Lake Elsinore. The proposal is contiguous to the City and the affected territory is consistent with the City's Sphere of Influence. ITEMS PULLED FROM THE CONSENT CALENDAR 4. Appointment of Chilton & O'Conner as Bond Counsel. (F:68. 1)(X: 126. 1) Dick Knapp, City Treasurer, protested this action and explained that he felt that there were too many people involved. He noted that the last bonds cost the City 5.55% of the total issue and that there was no need to involve so many people. He stated that our staff should call other cities and see what the cost of bonds are and noted that their cost is about half of ours. He further stated that when so many people are involved in all of the bond issues they will want a bigger chunk and he felt that there was no reason to designate anyone right now, unless we have a problem and then designate them on that particular problem only. Chris Hyland, 15191 Wavecrest Drive, asked if the appointment of Chilton and O'Conner was being done to replace the man in San Francisco, and if this is the case then she asked that Council tell the citizens of the community why and have the reason placed in the minutes as to why they are replacing the man in San Francisco as Bond Counsel. PAGE THREE - CITY COUNCIL MINUTES - AUGUST 13,1996 City Manager Molendyk introduced Mr. George McFarlin who is part of the Financial Team and ask him to explain this action. George McFarlin, Lawyer specializing in Municipal Finance, Lake Forest, explained that this team was initially put together for the purpose of working on several Districts in the City with delinquencies or other situations which will require some special attention. The Firm of Chilton and O'Conner are underwriters and specialists in this type of situation. Jones, Hall, and John Harper are the original Bond Counsels for the transaction and would have a minor role, primarily as historical link to the bond issues that will be dealt with and his firm would be Work -Out Counsel and Ron Gunn will evaluate from a financial basis. He noted that this team is composed of people that the City already has a working relationship with, with the exception of a couple of new names who are specialists in Work -Out situations like this. He explained that the specific purpose of this team is to cure the problem. MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE ADOPTION OF RESOLUTION NO. 96 -48 DESIGNATING CONSULTANTS TO ASSIST WITH THE ANALYSIS AND RESTRUCTURING OF IMPROVEMENT DISTRICTS AND THE REFUNDING OF OBLIGATIONS RELATED THERETO. RESOLUTION NO. 96 -48 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE DESIGNATING CONSULTANTS TO ASSIST WITH THE ANALYSIS AND RESTRUCTURING OF IMPROVEMENT DISTRICT AND THE REFUNDING OF OBLIGATIONS RELATED THERETO. 5. Change Order No 1 - Scrivener Street Sidewalk and City -Wide Pedestrian Access Ramp. (F:146.1) Councilman Alongi stated that his concern is based on the fact that there are a lot of other areas in our community with curbs and sidewalks he would rather see the money spent on them. He asked why the changes listed on the Change Order were not seen at the beginning when the job was reviewed prior to the bid. He pointed out that the various items listed on the Change Order constitute approximately 25% of the contract itself and asked why these items were not seen ahead of time. City Engineer Ray O'Donnell stated that some additional sidewalk and an additional pedestrian ramp were added because they were necessary to meet existing improvements and funding was available. He explained that a survey was not done on the job, therefore they had no grade differences and that is why the driveways and brick walkways had to be addressed. He further explained that to try and save money the City had schematic plans done and there was no way to know the elevation differences in advance, therefore some driveways had to be extended after commencement of construction. City Manager Molendyk explained that these are special funds allocated through the County, and the Council should ensure that the City utilizes their full allocation. He further explained that by adding the Change Order, the City will be able to complete additional needed improvements and will be able to use the full funding allocation. He noted that if the Change Order is not approved, the money would not be reimbursed to the City by the County. Councilman Alongi stated that his point is that there are sidewalks in the community that are in great need of repair and he felt that those should take precedence over putting in new sidewalks. He noted that a few years ago there was a committee and inspections were made in the community, the committee picked out the areas that they felt should be PAGE FOUR - CITY COUNCIL MINUTES - AUGUST 13,1996 repaired, Engineering put the package together and they came up with a plan to get them done. He commented that he would like to see that done again. Councilman Alongi stated that he feels the work being done is great, but the work is skipping and jumping all over our community. He explained that the way he sees it there is no set plan and he felt that the money could be used for that also. City Engineer O'Donnell noted that these funds are Senate Bill 821 Funds and have special requirements. He explained that the funds must be used where there is existing curb and gutter and a hearing must be held before the Riverside County Transportation Commission to compete for the funds. The reason that we received the funds is because the work was going in next to a school and the children would be using the improvements. He again explained that the improvements can only be done if there is curb and gutter and cannot be used for repair of sidewalks but rather to make new sidewalks. Councilman Alongi requested clarification of the fact that funds cannot be used to replace deteriorated sidewalks that have curb and gutter. City Engineer O'Donnell confirmed. Councilman Alongi thanked City Engineer O'Donnell. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO AUTHORIZE AMENDMENT TO CONTRACT FOR CHANGES TO ORIGINAL SCOPE OF WORK AND APPROVED CHANGE ORDER NO. 1. PUBLIC HEARINGS 21. Tentative Tract Map 28198 ormerly Tentative Tract 27908)- Golden Castle Plaza Ltd./Unitech Building Systems. (F:160.2) City Manager Molendyk stated that this developer had not paid their fees to date and asked to have this item continued. MOVED BY METZE, SECONDED BY BRINLEY AND CARRIED BY UNANIMOUS VOTE TO INDEFINITELY TABLE TENTATIVE TRACT MAP 28198 - GOLDEN CASTLE PLAZA LTD /UNITECH BUILDING SYSTEMS. BUSINESS ITEMS 31. Certified Farmers Market. (F:62.1) City Manager Molendyk explained that several questions have been raised regarding this issue and asked that this item be continued to a Study Session to gain further information. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO CONTINUE THE CERTIFIED FARMERS MARKET TO A STUDY SESSION WITH THE DATE TO BE SET AT A LATER TIME. 32. Law Enforcement - Ordinance Clarification re ardiniz Ordinance No 957 - Lake Elsinore Municipal Code 9,96. 100 and 9.96.200. (F:127.2) City Manager Molendyk explained that there was some question as to what type of inflatable items could be used on the Lake and asked that this item be continued to a Study Session. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO'CONTINUE ORDINANCE FOR CLARIFICATION REGARDING ORDINANCE 947 - LAKE ELSINORE MUNICIPAL CODE 9.96.100 AND 9.96.200 TO A STUDY SESSION WITH THE DATE TO BE SET AT A LATER TIME. PAGE FIVE - CITY COUNCIL MINUTES - AUGUST 13, 1996 THE CITY COUNCIL MEETING WAS ADJOURNED TO THE REDEVELOPMENT AGENCY MEETING AT 7:19 P.M. THE CITY COUNCIL RECONVENED AT 7:21 P.M. Mayor Pape then called on Gary Heinbach to give his presentation. Gary Heinbach, Organizer of the National Speed Boat and Water Ski Association, thanked the City of Lake Elsinore for allowing them to hold the first International Two Up Marathon Race on Sunday, August 18, 1996. He explained that this race has never been done in the United States and his organization is very happy to have it in the City of Lake Elsinore. He presented an exhibit of the Tee Shirt that will be sold at the event as well as presenting Council with a copy of the Trophy that will be presented to all winners. He gave an overview of all the planned activities. Mayor Pape asked what time the event will take place. Mr. Heinbach stated that it will start at 1:00 p.m. and end at approximately 2:15 p.m. and explained how the race is run. He noted that the Lake will be open to the public between 2:15 p.m. and 2:30 p.m. Mayor Pape asked how many participants they planned to have. Mr. Heinbach stated that they anticipate between 70 and 80 skiers from all over the world. PUBLIC COMMENTS - NON - AGENDIZED ITEMS None. CITY MANAGER COMMENTS Thanked the National Speed Boat and Water Ski Association for their efforts and stated that in an effort to bring Tourism and Recreation to the City this type of International Event on the Lake allows some of Council's goals to come true. CITY COUNCIL COMMENTS Mayor Pro Tern Kelley commented on the following: 1) Thanked Chief Walsh for letting the Mayor and herself ride along on a sweep. She commented that it was interesting and that they appreciate their efforts. Councilwoman Brinley commented on the following: 1) Encouraged everyone to attend the Ski Race. 2) Thanked Mr. Frick for his letter. Councilman Alongi commented on the following: 1) Addressed the Bond Counsel and stated that if you want to hold a person responsible you give them the responsibility. He noted that City Manager Molendyk has put his trust in Mr. Gunn and if you wish to hold the Administrative Services Director and the City Attorney responsible then you must give them the responsibility to take action. He commented that he wished them luck with a hard job and that he will support them 100 %. 2) Gave a report on the RCHCA Meeting that he attended in Hemet and made note of the dignitaries that were present. He pointed out the problems faced by our area and the State; and noted that 88% of Riverside County is owned by the Federal or State Government and of the 130 additional species added to the endangered list PAGE SIX - CITY COUNCIL MINUTES- AUGUST 13, 1996 117 of those species are located in California. He encouraged the public to write to their Senators and Congressman and urge them to support our State, and explained that if we do not take measures to prevent the take -over of our private land for endangered species, we will lose a major amount of money in economic development. 3) Stated that he would be looking forward to the Ski Race. Councilman Metze commented on the following: 1) Welcomed the Do -It Center to Lake Elsinore. CLOSED SESSION 1) Property Acquisition - Litigation. 2. Potential Litigation. THE CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION AT 7:29 P.M. TO DISCUSS THE ABOVE MENTIONED MATTERS. THE CITY COUNCIL MEETING WAS RECONVENED AT 8:35 P.M. WITH THE FOLLOWING ACTION TAKEN: 1) DIRECTED THE CITY ATTORNEY'S OFFICE TO INVESTIGATE AND ENFORCE THE EXISTING CONTRACT. 2) DIRECTED CITY ATTORNEY'S OFFICE TO INVESTIGATE THE TERMS OF THE CONTRACT AND TAKE APPROPRIATE ACTION. ADJOURNMENT THE REGULAR CITY COUNCIL MEETING WAS ADJOCFJOD AT 8:37 P.M. V !APE, M7AYOR OF FAKE ELSINORE Respectfully Submitted, JI"i ST: �_I CLERK CJTY OF LATCr ELSINORE MINUTES REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, AUGUST 27, 1996 - 7:00 P.M. xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx The Regular City Council Meeting was called to order by Mayor Pape at 7:01 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by City Manager Molendyk. INVOCATION The Invocation was provided by Reverend Elaine Yi, of ROCK Youth Ministries. ROLL CALL PRESENT: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ALONGI, KELLEY, METZE, PAPE 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'Donnel and City Clerk Kasad. PUBLIC COMMENTS - AGENDIZED ITEMS None Requested. PRESENTATIONS a. Presentation - 1000.000 Storm Fan. (F:56.1) Gloria Rivera, the 1,000,000th Fan, was not present for this award, and staff was directed to forward a Key to the City to here home in Moreno Valley. b. Presentations - History Team Reco2nition.(F:56.1) Mayor Pape called the History Team forward and noted their accomplishments. Eric Martineau & Ricky Weston explained their project with which they received this recognition; and the research that went into this project. They detailed the competitions at the State and Federal levels. Mayor Pape presented them with Certificates of Merit. Merilee Andrzejczak was not present for presentation. Jeanine Martineau thanked the City for the support to the students of the Community. C. Proclamation - Safe Streets Program. (F:127.2) Mayor Pape called forward Willi Turner, Rob MacRae and Kathie Perry, and explained their participation in the Safe Streets Program. He explained that they have gone beyond the call of duty to assist with this program. Willi Turner commented on access to the program and the steps taken to solve the problems; and noted the level of success with the program. Mayor Pape stressed the success of this program with Drug Homes and stressed PAGE TWO - CITY COUNCIL MINUTES - AUGUST 27,1996 the ability to remain anonymous while addressing the problems. d. Presentation - Beverly Hill Enterprises.(F:62.1) Vick Knight indicated that he was present on behalf of the Lakeshore Marketplace, and noted efforts to bring activities to the Diamond, for the rest of the year following the i' Baseball season. Noted that the Marketplace will be a positive activity and detailed the start date of the event. He introduced Steve Brown to respond to any specific questions. Mayor Pape questioned the number of vendors. Mr. Brown explained their strategy to 111 gain six week commitments, and indicated that to date over three dozen businesses have coma- ted for the first weekend. He further noted that a few Lake Elsioore businesses have also submitted applications. He explained that the ad campaign is expected to draw 75 vendors for the six week commitment. He stressed that the merchandise will be all new items and professional operations. He thanked the Council for their support of this activity. e. Presentation - Lake Elsinore Classic. (17:62.1) City Manager Molendyk noted the upcoming event with races and other activies, and stressed its relationship to the tourist recreation orientation of the Community. He commended Goet Brekker on his efforts in planning the event. Goet Brekker noted confirmation of a Robbie Knieval jump at the Diamond; and a concert by Jason Bonham on the jump night. He indicated that they have over 800 registrations for the race event to date. City Manager Molendyk noted that the event was striving to get to 1500 riders and already 800 have registered. Mr. Brekker detailed the age groups for the event from 7 to 50 years and noted that it will be televised by ESPN. Mayor Pape questioned the down hill luge. Mr. Brekker explained that this will be with skateboards on Summerhill Drive, and added that there may be ESPN coverage for that as well. He also noted an effort to break a rollerblading record at the same event. f.. Presentation - Police Department U12date.(F:127.2) Captain Walsh provided an update on the most recent crime statistics. He explained part I crimes which are used by the FBI in reporting crime rates and detailed the specific categories of crime. He noted a 19% decrease last year in the Part I crime rate; and the first six months of this year has seen an additional 25.1% decrease from last year. He clarified that this represents 241 less crimes for same period last year. He thanked the citizens of the City for their involvement in reporting crime and being proactive. He also thanked the Council for their strong stance in the area of law enforcement. He stressed the Council commitment to law enforcement and noted the willingness to expand programs and add officers. He also noted the cooperation of the management team with the police department to pool resources. He also commended the dedication of the police officers serving the community. He advised that the Community Policing Officer was added in the 1995 -96 fiscal year; and indicated that the position was taking shape and starting to address specific areas of concern. He noted that the Safe Streets Program started two years ago has continued to expand within the City. He further noted the benefits of using overtime funds and bicycle patrols to better serve the community. He also advised that the department and City have applied for several grants for use in continuing these programs, and looked forward to a brighter future. He stressed the motivation provided by the support of the residents. CONSENT CALENDAR ITEMS The following items were pulled from the Consent Calendar for further discussion and consideration: PAGE THREE - CITY COUNCIL MINUTES - AUGUST 27,1996 Item Nos. 3, 4, and 5. MOVED BY METZE, SECONDED BYALONGI AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. 1. The following Minutes were approved: a. City Council Study Session - August 8, 1996. (F:44.4) b. Regular City Council Meeting - August 13, 1996.(F:44.4) The following Minutes were received and ordered filed: C. Planning Commission Minutes - July 17, 1996.(F:60.3) d. Planning Commission Minutes - August 7, 1996. e. Design Review Committee Meeting - July 17, 1996. (F:60.4) f. Design Review Committee Meeting - August 7, 1996. 2. Ratified the Warrant List of August 15, 1996.(F:12.3) ITEMS PULLED FROM THE CONSENT CALENDA R 3. Adoption of a Resolution Updatine the Disadvantaged Business Entemrise (DBE) Program - Resolution No. 96 -50. (F:84.3) Councilman Alongi inquired if this item was for minority businesses. City Engineer O'Donnell clarified that the term is "disadvantaged ". Councilman Alongi questioned the DBE goals, the requirement for evaluation by the liaison and how it is done. Mr. O 'Donnell explained that advertisement is placed in Minority papers and efforts are made to solicit bids from disadvantaged contractors and subcontractors. Councilman Alongi inquired how the evaluation is done to establish that a business is disadvantaged. Mr. O'Donnell indicated that the State qualifies those businesses. MOVED BY ALONGI, SECONDED BY METZE TO ADOPT RESOLUTION NO. 96 -50. Mayor Pape noted that his vote will be no, as the program shows favoritism and discriminates. THE FOREGOING MOTION FAILED TO CARRY BY UNANIMOUS VOTE OF THOSE PRESENT. City Manager Molendyk questioned the impact of this action. Mayor Pape noted that this committment is required for matching funds. City Attorney Harper indicated that it would eliminate any matching funds on participating projects. Councilman Alongi noted that this is his concern with government and stressed the need for equal treatment. He indicated that he doesn't appreciate government requiring this commitment. Mayor Pape concurred that the money comes with heavy strings attached. City Manager Molendyk noted that these have been State and Federal requirements for years. Mayor Pape noted that this commitment might be required for the best interest of the City. City Attorney Harper stressed that this would not only impact matching funds, but also any funded programs. Councilman Metze noted the goal of 10% and questioned the requirements. City Attorney Harper clarified the process, and noted that generally the intent to reach that PAGE FOUR - CITY COUNCIL MINUTES - AUGUST 27,1996 goal it sufficient. MOVED BY ALONGI, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO TABLE THIS ITEM FOR FURTHER EVALUATION. 4. Library Assumption Agreement.(F:68.1)(X:98.1) Councilman Alongi noted that this item allows the County to take over the Library and noted the cutbacks at the county level. He expressed concern with the the impact on the Library if the County decides to cut funds. Community Services Director Sapp explained that the County is taking back the responsibility from the City of Riverside; and at this point there will be no effect on this Library, as they will honor the existing agreement. Councilman Alongi expressed further concern with the potential for cuts in the funding to the Library. Mr. Sapp further clarified. Mayor Pape clarified that this action has nothing to do with the funding or the hours of operation. Mayor Pro Tern Kelley stressed that this is only for the lease of the building. Councilman Alongi indicated that he understands the contract, but expressed further concern for future County cutbacks. Community Services Director Sapp indicated that the potential outcome would be the same with either party holding the responsibility. Councilman Alongi stressed his concern with the right reserved to cut funds within the agreement. He questioned the benefit for the City to approve this agreement. City Manager Molendyk stressed that this is a housekeeping issue, and staff was not prepared to answer the budget or hours questions. MOVED BY ALONGI, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE THE ASSIGNMENT OF LEASE AND ASSUMPTION AGREEMENT, AND CONSENT TO ASSIGNMENT. S. Communes Development Block Grant Sponsor's Agreement.(F:84.2) Councilman Alongi requested that $30,000 is coming from CDBG. Community Services Director Sapp confirmed that the $30,000 is coming from the County CDBG. Councilman Alongi questioned the difference between the $70,000 and the $30,000. Mr. Sapp indicated that the City has allocated $40,000 and the County has allocated $30,000. MOVED BY ALONGI, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE THE SPONSOR'S AGREEMENT AND DIRECT THE CITY CLERK TO HAVE THE DOCUMENTS EXECUTED BY THE APPROPRIATE REPRESENTATIVES. PUBLIC HEARINGS 21. Conducting Authority Hearing for Annexation 64 located northwest of the Intersection of 1-15 and Highway 74 (Central Avenue)(William & Rosalyne Halo - Resolution No 96 -51. (F:20.2) City Manager Molendyk detailed the location of this property and noted that discussions have been underway on this issue for a number of years . He indicated that the City is in support of the annexation to allow for commercial development potential. Community Development Director Leslie explained the annexation further and detailed the previous actions and decisions. He noted that the Annexation has now received LAFCO approval. Mr. Molendyk noted a concern expressed by a nearby resident and the resolution of that concern. Mayor Pape noted the long term efforts and persistence of the property owners. He also noted the future development of the Burger King near this site. Mayor Pape opened the public hearing at 7:45 p.m. Hearing no requests to speak the public hearing was closed at 7:45 p.m. PAGE FIVE - CITY COUNCIL MINUTES - AUGUST 27, 1996 Councilman Alongi questioned the impact of this action on the residents of the Grove. Mr. Leslie clarified that it does not involve any other properties. He noted a concern raised with regard to access issues; and advised that they have been worked out with LAFCO and the road will not be closed MOVED BY METZE, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO ADOPT RESOLUTION NO. 96 -51 AND DIRECTED THE CITY CLERK TO FOLLOW THE APPROPRIATE STEPS TO FINALIZE THE ANNEXATION WITH LAFCO, INCLUDING EXECUTING THE AGREEMENTS WITH COUNTY AS REQUIRED WITHIN THE LAFCO CONDITIONS OF APPROVAL. RESOLUTION NO. 96-51 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ORDERING TERRITORY DESIGNATED ANNEXATION NO. 64, ANNEXED TO THE CITY OF LAKE ELSINORE AND CONCURRENT DETACHMENTS FROM THE ORTEGA TRAILS RECREATION AND PARK DISTRICT, THE RIVERSIDE COUNTY WASTE RESOURCES MANAGEMENT DISTRICT AND COUNTY SERVICE AREA 124. 31. Assessment District 89 -1 Delinquency. (F:22.3) Administrative Services Director Boone explained that this is the second request for City Council consideration on a loan for this district; and noted that six months agoCouncil approved the allocation of $20,000, and this time there is a principal due of $52,000. He further explained that due to the short term financing plan the City needs to keep these payments current if possible. Mayor Pape asked if the Financial Team has reviewed this item. Administrative Services Director Boone stated that they have and they were the ones to suggest that this item be kept current. City Attorney Harper stated that under the assumption that our financial plan positively affects all the City of Lake Elsinore/Redevelopment Agency CID debt; in order to do that we are going to have to go into the market without having some portion of the debt in foreclosure. He stressed that this is something positive which will ultimately be recovered when the debt is restructured. Mayor Pape inquired if this was a restructuring of the loan. City Attorney Harper stated that it is a loan. Mayor Pape clarified that in that case the money would be coming back. Councilman Alongi addressed the payment of the bond and stated that Council has always been told that the City is not responsible for these bonds; however Council is not told that if this is not paid, the City's credit rating is at risk. He further stated in that case, he wished not to have any more bonds approved by this Council. He asked why the City should keep paying these debts. He noted that there are other people that would like to have the City pay their debts; that live in the community, pay taxes, have businesses and need assistance and the City will not help them. He further noted that when it comes to bonding that Council did not ask for, we are finding ourselves bailing them out. He asked what is in it for the City if we bail them out for the total of $71,000. He asked if the City receives land or profit. City Attorney Harper explained that AD 89 -1 is Summerhill and the same property that is PAGE SLY - CITY COUNCIL MINUTES - AUGUST 27,1996 subject to the ongoing foreclosure on the CID. He noted that it is the same general area and the same former property owner. He further explained that the City is proceeding with the foreclosure and as a consequence of the foreclosure and sale, if there were sufficient monies to cover all of the debt including AD 89 -1, then that would be the end of the story. City Attorney Harper stated that he did not feel that the sale would accomplish that objective, therefore the City is in the process of obtaining a final judgment in foreclosure and scheduling a final sale. He explained that the potential does exist for some future property owner, to step forward during that sale, pay the AD 89 -1 -debt and bring the City current and proceed. City Attorney Harper explained that because of the bankruptcy, there was no potential for it being paid by the property owner, it would probably go to foreclosure and sell the property. He noted that this is part of a much larger scheme and in order to hold all other restructuring of the debt the City needs to make certain that the City does not have a black mark on its record. Councilman Alongi stated that City Attorney's explanation substantiates why public entities should not get involved in private debt. He noted that the City keeps getting stuck for the bill. He asked what some other business with their inefficiency and mistakes have to do with the City. He noted that the City has been working hard to maintain its credit, and now the City is bailing out other people. Councilman Alongi stated that he felt that the City should stop giving aid and noted that there are other bonds that may be in problems in the near future and asked how long the City is going to have to wait for the money. He pointed out that there is no guarantee that when the property goes into foreclosure that the City will get anything out of it. He explained that given the economic situation and building industry, he felt that it is a very unrealistic time for value of property. He firmly stated that he felt that the City should stay away from approving these type of bonds, and indicated taht he did not think it was fair to the City or the Council. City Attorney Harper explained that if there were no reasonable expectation for the City to recover the debt service, then the Administrative Services Director nor the Financial Advisors would encourage payment. He further explained that the Work -Out Team has reasonable confidence that we will be able to restructure in a way that will be beneficial to the City and the Districts. He stated that the City is working toward that goal. City Attorney Harper agreed that if in fact the Summerhill property were just put up for sale, because of the amount of debt that is on it and decreased value, we don't know that we would get a buyer at the existing debt level, but the only way that the City can make certain that we have the ability to move forward in the entire restructuring program is to make the debt service payments. He noted that this is a loan as opposed to a gift and the financing team feels that this is the best move at this time. City Manager Molendyk explained that the other area that it benefits the community is the fact that the existing residents in the community want to know when their tract will be finished and this situation creates a climate that encourages people to come in and buy the lots and finish the developments. He noted recent meetings with the residents of the Del Ray Tract and they are interested in what can be done to finish the tracts since they are living in an unfinished tract. He stated that it is his hope that once the restructuring is done it will encourage developers to come in and complete these tracts. City Attorney Harper stated that one of the positives of this situation is that the developer did not go bankrupt because of the project. He explained that the developer had problems with the Internal Revenue Service, unrelated to the housing tract in the City of Lake Elsinore. Councilman Alongi stated that there was two years of reserves to make these payments and wanted to know why the City waited until the eleventh hour to move on this. He asked if the City was suppose to move on this item within 120 days of the bankruptcy. City Attorney Harper stated that unfortunately the developer filed bankruptcy and PAGE SEVEN - CITY COUNCIL MINUTES - AUGUST 27, 1996 according to Federal Law the City could not do anything until the bankruptcy was completed. He gave a history of ownership and promises made to the City that were not kept. Councilman Alongi noted meetings that the Resurgence Developers had with the City asking the City to absorb the delinquencies so they could do further development. City Attorney Harper stated that they had approached the City, but it was not agreed upon. Councilman Alongi asked if the Council had to approve this item tonight. City Manager Molendyk explained that a decision must be reached either tonight or sometime in this week. Councilman Alongi stated that he knows that he has no choice, but he would like the opportunity to study this issue and asked what would happen if the debt were not paid. Administrative Services Director Boone explained that we would go into default and the trustee would then take legal action. Councilman Alongi asked that a Study Session be set to review every CFD Bond, their reserves and status. He explained that he does not want to look at this subject again without prior information. He further explained that he did not like this issue as it is a burden that the City should not have to put up with; and questioned why it is tied down to our credit rating when we are doing ourjob. City Manager Molendyk pointed out that there is a financial Work -Out plan and during the month of September the Team will be establishing a long term and short term financial plan and at that time Council will get an update on all of the CFD's. He noted that right now the City is faced with a deadline and the recommendation from the finance team is to pay so as to not tarnish the City's credit rating. City Attorney Harper pointed out that there is no CFD, that as a consequence of the monies collected and the special tax levy in that CFD, will not be able to make the debt service payment. Councilman Alongi stated that they said the same thing about this one. City Attorney Harper stated that there is one main difference and that is that all of the other CFD's are developed. He noted that this ended up undeveloped property, owned by one individual and he went bankrupt and that does not exist with any other CFD. Mayor Pro Tem Kelley stated that she felt that Council has given staff direction to put together a short and long term financial plan and gone out of their way to hire a Work - Out Team to provide financial direction and it is her recommendation to stay on track to allow time for a long and short term financial plan and get the City back where it should be. She explained that if this is what Council has to do to stay on that track then that is what we should do. She pointed out that there will be a Study Session on September 12, to review the entire budget including the CFD's and she felt that action should be taken on this item now. Councilman Metze stated that the name Resurgence came before Council and looking for a whole lot more than is currently due. Administrative Services Director Boone stated that this issue has nothing to do with Resurgence. Councilman Metze noted a Study Session where they approached Council regarding this tract and asked for quite a bit more than is required tonight. City Attorney Harper stated that as a consequence of direction taken in Closed Session the proposal from Resurgence couldn't work, didn't work, won't work and Resurgence will not be the property owner. MOVED BY METZE, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE A LOAN OF $52,000, FROM THE CITY'S GENERAL FUND RESERVES TO DEBT SERVICE FOR ASSESSMENT DISTRICT 89- 1. 32. Allocation of Funds - Temecula Library Feasibility Study. (17:98.1) Mayor Pro Tem Kelley requested that this item be pulled for a Study Session to address the future of the Libraries. She noted that she was out of town and could not provide the full scope of the study to staff. Mayor Pape concurred that this should be continued as he PAGE EIGHT - CITY COUNCIL MINUTES - AUGUST 27,1996 also has several questions. MOVED BY KELLEY, SECONDED BY PAPE AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO DEFER THIS ITEM TO A STUDY SESSION. 33. CC4 Council Policies. (F: 120. 1) Mayor Pape introduced this item and stated that there was one policy that was not included in the Staff Report which Council might wish to consider. He explained that this item addresses any items pulled from the Consent Calendar, and indicates that they will be discussed and considered at the end of the meeting so that the rest of the calendar can be considered in a timely manner to accommodate the audience. Councilman Metze stated that this would include items that are to be continued from the meeting would be announced at the beginning of the meeting. City Manager Molendyk gave an overview of the policies which will be considered. Councilman Alongi stated that in regard to the non - profits a sentence should be added to clarify that the rental charge has been removed and that is all. City Manager Molendyk stated that he felt that the removal of the rental charge is a given and asked if it should read actual staff cost. Councilman Alongi agreed. Mayor Pro Tern Kelley stated that she is pleased with the new Council Policy for the Non - Profits, and commented that she is glad to see the City's facilities used for these purposes. Mayor Pape stated that it makes sense to have these issues handled at the staff level, instead of having every one of these requests come up before the Council, since it takes a lot of volunteer, staff and Council time to deal with these issues. MOVED BY ALONGI, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO RATIFY THE POLICIES DETAILED TO BECOME EFFECTIVE IMMEDIATELY UPON RATIFICATION AS FOLLOWS: 1. Non - Profit Organizations - Use of Facilities. Requests for use of City Facilities from Non -Profit Organizations will be handled administratively. As long as they are registered Non -Profit groups based in the City limits of the City of Lake Elsinore, they can use the City facilities at actual staff cost, plus the cleaning deposit and necessary insurance to cover the event. 2. City Council Agenda Items. Agenda items dealing with ongoing City business that has gone through normal channels will be listed on the agenda. Any new items, policies or issues would first be scheduled on a Study Session Agenda, before being placed on a regular agenda for City Council action. 3. Continued Items and Placement of Items Pulled. Any item proposed to be continued will be announced at the beginning of the Meeting prior to consideration of the Consent Calendar. Any item pulled by the public or Council will be moved to the end of the Business Items for Council consideration. PAGE NINE - CITY COUNCIL MINUTES - AUGUST 27, 1996 THE CITY COUNCIL MEETING WAS RECESSED AT 8:14 P.M. THE CITY COUNCIL MEETING RECONVENED AT 8:17 P.M. PUBLIC COMMENTS - NON - AGENDIZED ITEMS None Requested. CITY MANAGER COMMENTS City Manager Molendyk noted the upcoming Labor Day weekend and the potential for a large crowd in the Community. He further noted that there would be increased law enforcement and coverage for maintenance over that weekend. CITY COUNCIL COMMENTS Mayor Pro Tem Kelley commented on the following: 1) Noted that she went out on the Pro Marine lake cruise, and encouraged citizens to take the cruise. She further noted the beauty of the Lake, and noted that Mr. Dawson drank some of the Lake water to demonstrate that it was healthy. She. thanked Carol at Weekend Paradise Park for her contributions to the cruise. She indicated that it was a great evening and noted those in attendance who gained a different perspective on the lake. Councilman Alongi commented on the following: 1) Noted a letter from David Swann regarding dredging the Lake, and indicated that the idea has been around a long time. He expressed hopes that the same willingness would exist to raise funds following the Jarvis initiative. 2) Noted letter complaining about the inability to use the restrooms during cheerleading exercises; and noted that the students need to realize the cost of maintaining ball fields and keeping them clean. He expressed understanding of the concerns, but indicated that the grownups need to explain what takes place. He further expresssed hopes that a solution could be worked out to allow for use of the restrooms. 3) Congratulated Roger Heaney on his promotion within the Continental Cablevision system. 4) Expressed frustration with a letter from Mr. Schulman. 5) Expressed his lack of understanding of difficulties between cities. He noted that the Californian allowed Paul Jacobs to put a letter in their paper, which is a complete insult to the City. He indicated that it was not constructive criticism, only insults. He stressed the efforts being made to work out the problems in the community, and questioned why the papers continue to put this type of trash in their publication. He suggested that people start cancelling busi"c ;s ads with the paper. Mayor Pro Tem Kelley indicated that she has already pan_ --fled her subscription to the Californian. 6) Congratulated the City Manager on bringing in the Chevrolet Deidership. Mayor Pape commented on the following: PAGE TEN - CITY COUNCIL MINUTES - AUGUST 27,1996 1) Noted that he met the new manager of the Do It Center at the Chamber Mixer; and they are looking forward to opening in November. 2) Noted that it is easy to get lost in crime statistics, but stressed that there have been 241 less victims in the first six months of this year. He stressed the impact of this improvement and expressed appreciation to the law enforcement officers for their efforts. CLOSED SESSION City Attorney Harper requested that Pending Litigation with USA Properties be added to the Closed Session discussion. Council concurred. 1. Pending Litigation - L.E.A. vs. City of Lake Elsinore - Settlement Agreement - Case #243468. 2. Potential Litigation - Spectrum Group. Potential Litigation - L.E.R.A., Inc. 4. Pending Litigation - USA Properties. THE REGULAR CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION AT 8:25 P.M. TO DISCUSS THE ABOVE MENTIONED ITEMS. THE REGULAR CITY COUNCIL MEETING WAS RECONVENED AT 10:16 P.M. WITH THE FOLLOWING ACTION BEING ANNOUNCED FROM CLOSED SESSION. AS A RESULT OF THE REQUIREMENTS OF THE LEA SETTLEMENT AGREEMENT, THE CITY AGREES TO THE FOLLOWING REGARDING OUTSTANDING INVOICES FROM NOSSAMAN, GUTHNER, KNOX & ELLIOT: 1 AUTHORIZED STAFF TO PAY $25,000 IN LEGAL FEES AND APPROVE D AGREEMENT WITH EASTLAKE COMMUNITY BUILDERS DATED JUNE 28, 1996 FOR THEIR PORTION OF THE LEGAL FEES. ADJOURNMENT THE REGULAR CITY COUNCIL MEE79G- WA ADJOURNED AT 10:17 P.M. VIN W. PA E, MAYOR CITY OF LAKE ELSINORE ATTEST: _1 `v'ICKI F.A3A 19, CITY CLERK CY v' OF "LAXE ELSINORE n SPECIAL JOINT CITY COUNCIL/ REDEVELOPMENT AGENCY/ PUBLIC FINANCE AUTHORITY MEETING CITY OF LAKE ELSINORE 130 S. MAIN STREET LAKE ELSINORE, CALIFORNIA THURSDAY, SEPTEMBER 12,1996 CALL TO ORDER The Special Joint City Council/Redevelopment Agency/Public Finance Authority Meeting was called to order by Mayor Pape at 10:05 a.m. ROLL CALL PRESENT: COUNCILMEMBERSBOARDMEMBERS/ AUTHORITY MEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE ABSENT: COUNCILMEMBERSBOARDMEMBERS/ AUTHORITY MEMBERS: NONE Also present were: City Manager/Executive Director Molendyk, Assistant City Manager Watenpaugh, Administrative Services Director Boone and City Clerk/Clerk of the Board Kasad. CLOSED SESSION Discussion of Personnel Issues. (F:116.1) THE JOINT SPECIAL MEETING WAS ADJOURNED TO CLOSED SESSION FOR THE ABOVE MENTIONED ISSUES AT 10:06 A.M. THE JOINT SPECIAL MEETING WAS RECONVENED IN OPEN SESSION AT 11:30 A.M. NO ACTION TAKEN. ADJOURNMENT CI CITY C AT S' VICKI )INT/SPECLA:L MEETING WAS ADJOURNED AT 11:31 A.M. CLERK OF THE BOARD /CLERK OF THE AUTHORITY MINUTES SPECIAL JOINT CITY COUNCIL/ REDEVELOPMENT AGENCY/ PUBLIC FINANCE AUTHORITY MEETING CITY OF LAKE ELSINORE 130 S. MAIN STREET LAKE ELSINORE, CALIFORNIA THURSDAY, SEPTEMBER 12,1996 xxxxxxxxxxxxxxxxzxzzzzxzzxxzxxxxxxxxxxxxxzxxzxxzzzzzzzzzzzzzzxzzxxzxzxxxxxxxx CALL TO ORDER The Special Joint City Council/Redevelopment Agency/Public Finance Authority Meeting was called to order by Mayor Pape at 11:35 a.m. ROLL CALL PRESENT: COUNCILMEMBERSBOARDMEMBERS/ AUTHORITY MEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE ABSENT: COUNCILMEMBERSBOARDMEMBERS/ AUTHORITY MEMBERS: NONE Also present were: City Manager/Executive Director Molendyk, Assistant City Manager Watenpaugh, Administrative Services Director Boone and City Clerk/Clerk of the Board Kasad. Discussion of Short/Long Term Financial Plan.(F:30.1) Rod Gunn, Rod Gunn & Associates explained the existing bond pool and the City/Redevelopment Agency reserves. He further explained that there are significant deficiencies and pending obligations and noted the potential for non - payment default in some areas. He indicated that it was important to note, and that the Council be aware, that the City will stand behind the debts and the bondholders will be paid on October 1st. He noted the new financing team which has been assembled to address the current financial position. He detailed the team being Rod Gunn & Associates Incorporated; Jones, Hall, Hill & White; Harper & Burns; Chilton & O'Conner, Inc.; Fulbright & Jaworski; McFarlin & Anderson; and detailed the qualifications of each. Mr. Gunn indicated that the team will be working with developers to get the information needed for disclosure requirements; doing a market absorption Study for the City as a forecast of the demand within each district; and work on a solution for the pool. He explained that each of the five districts within the pool is unique and has its own unique problems; which must be solved on a district by district basis to solve the total problems. He explained that moving forward on one solution would not be appropriate because of the magnitude of the pool. He recommended that the team start to dismantle the pool, working on each district separately to determine the best solution. He indicated that as each solution is developed and ready for implementation they will be brought to the Council. He suggested that the first district to be addressed would be CID 88 -3 as it will move the most quickly, probably within the next 90 days. He indicated that in the long term it would take approximately the next 12 months to attack the entire pool. He further indicated that he was optimistic at this point, but there are no guarantees, as much of the solution will be dependent on third party reactions. He commented that there is presently the advantage that the market is starting to turn around, and noted that last year he could not have been so optimistic. PAGE TWO - JOINT SPECIAL MEETING MINUTES - SEPTEMBER 12, 1996 City Manager Molendyk noted that this was intended as an over view of the team and where the work will begin. 2. Authorization of Loan/Pool Bond Payments - Amendment Resolutions Regarding JPA Members - Resolution Nos. 96 -53, Resolution No. RDA 96 -8. (F:126.5) City Manager Molendyk explained that based on the previous discussion, this item is for authorization to loan funds to the bond pool. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NOS. 96 -53 AND RDA 96 -8. RESOLUTION NO. 96 -53 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE AUTHORIZING AND DIRECTING THE EXECUTION OF A FIRST AMENDMENT TO THE JOINT EXERCISE OF POWERS AGREEMENT TO PERMIT ADVANCES TO THE LAKE ELSINORE PUBLIC FINANCING AUTHORITY, AND PROVIDING OTHER MATTERS PROPERLY RELATING THERETO. RESOLUTION NO. RDA 96 -8 A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE AUTHORIZING AND DIRECTING THE EXECUTION OF A FIRST AMENDMENT TO THE JOINT EXERCISE OF POWERS AGREEMENT AUTHORIZING AND DIRECTING AN ADVANCE PURSUANT TO SUCH AMENDMENT TO THE LAKE ELSINORE PUBLIC FINANCING AUTHORITY, AND PROVIDING OTHER MATTERS PROPERLY RELATING THERETO. 3. Discussion of City Budget/Legislation. (17:30.1)(X:96.1) City Manager Molendyk noted prior discussions regarding Proposition 218 and noted that it further impacts the financial situation. He explained attempts to keep a balanced budget and the potential need to cut city services. He explained the intent of 218 to change the assessments and fees which relate to property and the need for a vote of the public to assess them. He noted that one problem administratively is that if it passes, it would be necessary to request consideration on streets, parks, lights, etc., most likely the following November. He explained the concern for cash flow in the interim, and the need to make adjustments mid -year to wait for the vote of the public. He indicated that the legislation would eliminate $1.7 million which covers streets, beaches, parks, etc. He noted the need for a new definition of streets which will be discussed in the near future. He noted that it would also be necessary to come back and work with the Council regarding the costs to maintain parks and ball field lighting. He indicated that there will be a need for a special election or vote in November, 1997. He indicated that until a new revenue stream can be identified the facilities would be shut down July 1, 1997, due to the ongoing liability of keeping them open. He noted that there is presently limited understanding of the impacts of Proposition 218 within the Community. He stressed that the hard decisions will need to be made following its passage. He clarified the current process for setting assessments and fees and the changes required by the bill. He explained the vote spread which is allocated by property ownership, and noted that the one with the most property gets more votes. He further noted that in this community it could mean that an assessment could fail upon the vote of four major developers, as the large land owner could control the vote. He advised that the Council intends to be available to local service organizations to address this issue as the election approaches. He reiterated that changes would probably PAGE THREE - JOINT SPECIAL MEETING MINUTES - SEPTEMBER 12, 1996 need to occur within 30 days of the outcome of the election. 4. Adoption of 1995 -96 Redevelopment Agency Budget. (F:30.2) Administrative Services Director Boone noted that this adoption is basically housekeeping for inclusion in the financial report, and mirrors the actual activity of 1995 -96. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE 1995 -96 REDEVELOPMENT AGENCY BUDGET AS PRESENTED. ADJOURNMENT The Special City Council/Redevelopment Agency Meeting was adjourned at 11:58 p.m. VIN W. P , MAYOR CITY OF LAKE ELSINORE ATTEST: VICKI KASAD, CITY CLERK/ CLERK OF THE BOARD/ CLERK OF THE AUTHORITY MINUTES REGULAR CITY COUNCIL MEETING CITY OF LADE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, SEPTEMBER 24, 1996 CALL TO ORDER The Regular City Council Meeting was called to order by Mayor Pape at 7:00 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Councilman Metze. ROLL CALL PRESENT: ABSENT: COUNCILMEMBERS: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE RIT 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 a. Presentation - Recognition of Lake Elsinore Storm - 1996 California League Champions. (F:56.1) Mayor Pape introduced Kevin Haughian and Joe Urso. He read and presented a Proclamation to the City to the Lake Elsinore Storm Baseball Team. Mr. Haughian commented on winning the championship, and expressed appreciation for the Proclamation. He noted that this was a special group of guys to work with and stressed the difficulty of a league win. He expressed appreciation for the support and friendship of the Council, City Staff and the Community. He noted that the team has lived with area families and stressed the support of the Community for the team; and the enthusiasm of the fans and the team this year. Mayor Pape presented the Key to the City of Lake Elsinore to player Joe Urso. Joe Urso thanked the City for the facility and noted the credit which should go to the fans. He thanked the Community for the assistance in housing the baseball players. He stressed the team's enjoyment of the Community and noted the players who are moving to the Community as residents. PUBLIC COMMENTS - AGENDIZED ITEMS Requests were received to address the following items and deferred to those discussions: Item Nos. 21 and 33. CONSENT CALENDAR ITEMS MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE CONSENT CALENDAR AS PRESENTED. PAGE TWO - CITY COUNCIL MINUTES - SEPTEMBER 24, 1996 1. The following Minutes were approved: a. Regular City Council Meeting - September 10, 1996. (FA4.4) 2. Ratified Warrant List for September 13, 1996. (F: 12.3) 3. Rejected and referred to Claims Administrator for handling, the Claim Against the City submitted by Samuel Williams (CL #96 -20). (F:52.2) 4. Approved Proclamation recognizing California Rideshare Week, and authorized staff to transmit the signed document to the requestor. (F:122.1) PUBLIC HEARINGS 21. Assembly Bill 3229 - Citizen's Option for Public Safety Funding - Resolution No. 96 -54. (F:96.1) City Manager Molendyk highlighted this item and explained the COPS program funding which has been made available through the State. Mayor Pape opened the public hearing at 7:10 p.m., asking those persons interested in this item to speak. The following person spoke: Mariana Mohylyn, 305 W. Sumner, expressed support for police programs, but expressed concern with people being questioned by police for no reason. Hearing no further requests to speak, the public hearing was closed at 7:11 p.m. Mayor Pro Tern Kelley noted that this funding would provide 1,350 hours of increased patrol. Councilman Metze concurred that this would increase the available hours and provide the necessary $60,000 to do so. MOVED BY METZE, SECONDED BY BRINLEY TO APPROVE THIS APPLICATION AND ADOPT RESOLUTION NO. 96-54: Mayor Pape noted that this was an obvious choice, and stressed that it is a quick process to collect the funds and apply them to the patrols. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE: RESOLUTION NO. 96-54 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING APPLICATION FOR AND ACCEPTANCE OF STATE FUNDING FROM THE "COPS" PROGRAM. Mayor Pape requested concurrence of the Council to add Item No. 35 regarding the Application for Grant Funds from the Household Hazardous Waste Discretionary Grant Program. Hearing no objections, the item was added to the agenda. 31. Request for City Council Consideration of Proposed Resolution Establishing Recycling Market Development Zone within Portions of the City of Lake Elsinore - Resolution No. 96- 55.(F:163.2) PAGE THREE - CITY COUNCIL MINUTES - 24,1996 City Manager Molendyk explained this program and the benefits to the Community for establishment of the recycling zone. He further explained that it is part of the Economic Development Program in cooperation with the County. MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 96-55 AND AUTHORIZE STAFF TO TRANSMIT A COPY TO THE APPROPRIATE COUNTY OFFICE. RESOLUTION NO. 96-55 A RESOLUTION OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REQUESTING THAT THE CALIFORNIA INTEGRATED WASTE MANAGEMENT BOARD APPROVE THE REDESIGNATION OF THE RIVERSIDE COUNTY RECYCLING MARKET DEVELOPMENT ZONE TO INCLUDE PORTIONS OF THE CITY OF LAKE ELSINORE. 32. Amendment of Special Events Ordinance No. 959. Section 5.73.080. #12 - Ordinance No 1019. (F:127.2)(X:151.1) City Manager Molendyk explained that this is proposed to help facility events such as the Lake Elsinore Classic event in November. MOVED BY BRINLEY, SECONDED BY KELLEY TO ADOPT ORDINANCE NO. 1019 UPON FIRST READING BY TITLE ONLY: ORDINANCE NO. 1019 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REPEALING ITEM NO. 12 OF SECTION 5.73.080 OF THE LAKE ELSINORE MUNICIPAL CODE, RELATING TO SPECIAL EVENTS. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE 33. Proposition 218 - Voter Approval for Local Government Taxes. Limitation on Fees, Assessments, and Charges. Initiative Constitutional Amendment - Resolution No. 96 -56. (F:96.1) City Manager Molendyk noted that this item was intended to bring Proposition 218 to the attention of the public. He noted that in the most recent survey only 1 in 9 people are even aware of it. He explained the current process for imposing fees and taxes and the changes which would occur under the new proposition. He explained that the current fees which would be impacted is the $1.7 million which is used to maintaining Street lighting, landscaping and parks. He detailed other recent reductions in revenue. He noted the potential impacts on services, in relationship to these reductions. He noted the voting process proposed by the proposition and the potential for owners of larger properties to have a controlling vote over the situation. Mariana Mohylyn, 305 W. Sumner, addressed property rights and ownership rights. She PAGE FOUR - CITY COUNCIL MINUTES SEPTEMBER 24, 1996 suggested instituting sensible policies, and stressed the right of property owners to choose their own destiny. She indicated that she does not believe that there will be reductions in services suggested and stressed the burden of taxes on the individuals. She indicated that the City has plenty of money, and recommended against Council voting in opposition to the proposition.. Ace Vallejos, 15231 Cobre Street, indicated that he will vote for Proposition 218, and expressed support for the right to vote on taxes. He suggested that everyone needs to start living within their means, and indicated that this proposition is the right thing to do. Kevin Jeffries, commented that misleading statements had been presented, and suggested that they were used as scare tactics. He explained his understanding of the initiative which will sunset the existing taxes, if not approved by the voters. He indicated that nothing will stop immediately. He indicated that it is a lie that the parks will be lost unless the people don't support it. He stressed that this initiative gives the people a right to participate in the decisions on their property. He addressed assessments on bonds already committed to revenues and indicated that they are exempted under specified circumstances. Dick Knapp, City Treasurer, indicated that he was disappointed that this item came out in the paper today with regard to shutting down lights and streets, and suggested that was "hogwash ". He indicated that the comments are ridiculous, and intended to put pressure on the kids to pressure their parents. He noted his recent memo to the Council on how to relieve the City of $1.8 million and indicated that he has received no response. Chris Hyland, 15191 Wavecrest, noted her trip to Sacramento and her discussion with the Jarvis Taxpayers group. She expressed opposition to this agenda item and stressed that the citizens have a right to vote on taxes and how they are spent. She noted the news article today and the items to be eliminated; and indicated that she did not see a proposal to decrease the high end salary positions. She indicated that a huge staff will not be needed, and concurred with Mr. Jeffries that the City Manager had made a false statement. She indicated that all voters will be able to vote and expressed concern with scare tactics for the Senior Citizens. She further indicated that this is the same as the School Bond issue, and indicated that it was not necessary to vote in the School Bond to provide more classrooms. MOVED BY BRINLEY, SECONDED BY ALONGI TO ADOPT RESOLUTION NO. 96- 56. Councilman Alongi indicated that there are two things wrong with this item. He commented that if the Council was concerned they should schedule a town hall meeting to discuss the facts. He further commented that he was elected and given certain tools to work with, and if the Councilmembers can't work with those tools, they need to get off the Council. He indicated that he will support this action, but he was not sure it would do much good. He concurred that the citizens have the right to choose what to pay for and noted that the government at all levels has hurt the community. He indicated that he was supporting this item to be united with the rest of the Council. Councilman Metze indicated that it was important to bring to the forefront that the large land holders who do not live here, some even out of the Country, could negate the vote of the homeowners. He indicated that while the proposition is a good idea, it is poorly written and he cannot support the proposition. Mayor Pro Tem Kelley indicated that whether people agree with the proposition or not, there is an investment in the Community and a lot on the line. She stressed the responsibility of voters to be thoroughly educated on this issue, and noted that renters PAGE FIVE - CITY COUNCIL MINUTES - SEPTEMBER 24,1996 have no vote on the taxes. She reiterated that the voters should carefully read the proposition before voting on it. . Councilwoman Brinley concurred that it is poorly written with many open ends. She stressed the potential impact on youth and recreation. Mayor Pape indicated in his mind this item was on the agenda to bring attention to the proposition He stressed that there are many items on the ballot this time and he wants to be sure that people are aware of what they are voting on. He noted the potential need for a special election next year if this proposition is adopted. He stressed that two elections will be necessary if it is passed. He stressed that all voters can vote on the issue this November, but in the next election, the renters would be precluded from participating; and noted the potential impacts on mobile home park dwellers and apartment complex residents. He stressed that people with large plots of land will get many votes vs. The single family resident vote, and reiterated that this is different that one person one vote. He indicated that the only fee to be impacted within the City will be the Lighting and Landscape Maintenance District fee which averages about $8 a month. He detailed the facilities maintained by that fee and indicated that the people will need to decide on the value of the services provided. He noted that most cities will not be able to absorb that reduction in funds and the services will be impacted. He stressed that people need to be adequately informed before voting on this issue. He indicated that this was not intended as scare tactics, but the potential for staff reductions is realistic. He noted his surprise with the comments by an Ortega Park & Recreation District Boardmember, when the proposition could nearly cause them to cease to exist. He stressed that the decision is with the voters, as to whether they receive a worthwhile service for the funds expended. THE FOREGOING MOTION TO ADOPT RESOLUTION NO. 96 -56 CARRIED BY UNANIMOUS VOTE. RESOLUTION NO. 96-56 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, OPPOSING PROPOSITION 218 "VOTER APPROVAL FOR LOCAL GOVERNMENT TAXES. LIMITATIONS ON FEES, ASSESSMENTS AND CHARGES. INITIATIVE CONSTITUTIONAL AMENDMENT." 34. Voting Delegate /Alternate - League of California Cities Annual Conference. (F:108.8) Mayor Pape noted this item and indicated that the Mayor typically serves as the delegate with the Mayor Pro Tem as the alternate. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO DESIGNATE MAYOR PAPE AS THE DELEGATE AND MAYOR PRO TEM KELLEY AS THE ALTERNATE. 35. Resolution Approving the he Application for Grant Funds from the Household Hazardous Waste Discretionary Grant Program to Develop and Maintain a Household Hazardous Waste Recovery Program. (F: 163. 1)(X: 84. 1) City Manager Molendyk explained this item, including the funds which could be received and the deadline for submittal. Mayor Pape indicated that there is no down side to a potential grant of $120,000. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS PAGE SIX - CITY COUNCIL MINUTES- SEPTEMBER 24,1996 VOTE TO ADOPT RESOLUTION NO. 96-57: RESOLUTION NO. 96 -57 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, APPROVING AN APPLICATION FOR GRANT FUNDS FROM THE CALIFORNIA HOUSEHOLD HAZARDOUS WASTE DISCRETIONARY GRANT 96/97 PROGRAM TO DEVELOP, MAINTAIN AND ENHANCE A HOUSEHOLD HAZARDOUS WASTE PROGRAM: THE CITY COUNCIL MEETING WAS RECESSED AT 7:45 P.M. THE CITY COUNCIL MEETING RECONVENED AT 7:49 P.M. PUBLIC COMMENTS - NON- AGENDIZED ITEMS Dick Knapp, City Treasurer, stated that he was going to make one comment on the shell game that the City is playing on the $55,000,000; and the interoffice memo that he generated last week. He further stated that he does not see why the City does not let the Stadium go, since it will save the City a lot of money. He noted that it would not go away, as the bank will turn around and either renegotiate with the team, who will have to pay the maintenance on the landscaping. He explained that from action at the meeting of September 12th, and based on the figures from December, 1995; for Bond issues A and B, the figures did not jive with the figures presented at the Meeting of the 12th and noted that there is $1.5 million difference between one report and the other. Mr. Knapp pointed out that the $12,000,000 that was the additional on the $10,000,000 /for the Sta 'um, is up to $16,000,000 because we put a shell game on top of a shell game. He stated that as City Treasurer his is concerned with these matters and now the City is talking about putting another shell game on $55,000,000. He stated that the people should sit down and take a good look at what is going on. He noted that on the books right now, between CFD's and the RDA, the City owes over $150,000,000 which is a major chunk of change for a City of 27,000 people. He further noted that if the interest is included over the term of the loan, it is over $300,000,000 dollars. Mr. Knapp suggested that everyone "get real ". Jack Martin, Ink Sanity Tattoo, indicated that he was present to express his feelings on how he has been treated by the City. He commented that he does not ever tattoo minors, and stressed that he sells a service rather than a product. He indicated that since he began trying to open in May, he has found no one against the tattooing business. He stressed that he is not running an adult business. He expressed concern with the losses he has accumulated in this process. He noted that the only negative comments he has heard have come from City Hall. He stressed that he is a responsible member of the Community. He noted a facility in Temecula which encountered no problems in opening and suggested that Lake Elsinore should follow in their footsteps. He indicated that a Conditional Use Permit should not be required and requested reconsideration of granting him a license. Nathan McDonald, indicated that tattooing has been considered an art around the world for thousands of years, and suggested that it is a right to personal opinions. He further indicated that there is no reason not to allow for a license. He stressed that this business is merely the provision of a service. Howard Chavis, resident of the Bird Tract for nine years, noted that his area has taken a bad rap and developed a poor image. He further noted the drop in property values and indicated that this tattoo parlor would be bad for their neighborhood. He indicated that the reputation of a tattoo parlor is not benign and also has a bad rap and a negative connotation. He stressed that he lives in the area and this is his community too. He presented a letter from Pastor Dean Murphy, representing New Song Calvary Chapel, expressing opposition to the tattoo parlor. PAGE SEVEN - CITY COUNCIL MINUTES - SEPTEMBER 24,1996 Ralph Cullors, 208 Campus Way, indicated that he has a problem with elementary school and high school students using the alley behind his home and teasing his dogs with sticks, etc. He requested that the Council assist him in getting the kids to use a different route to school. He noted that they are smoking and congregating in the alley and encouraged the Council to work to change the routes of the students. Mayor Pape requested that Mr. Cullors discuss the situation further with the Police Chief. Greg Manos, commented that skateboarders are being kicked out of everywhere, and indicated that they would like a place set aside for them to skate. He commented that a skate park is not necessary, because they just want a place to skate without being harassed. Christopher Ulrich, indicated that he has been skateboarding for about six years and been thrown out of a lot of places. He noted that they get a bad rap, but he is on the honor roll at school, as well as enjoying skateboarding. He indicated that they just want a piece of land to be left alone. He noted that they can not even use a public park anymore. Mariana Mohylyn, 305 W. Sumner, indicated that the children deserve consideration and encouraged the Council to assist them. She noted that there is not much for children to do in the Community, and stressed the need to give the children more consideration. She indicated that Council's approach to Proposition 218 was underhanded. She addressed the use of funds for the channel. Chris Hyland, 15191 Wavecrest, expressed her opinion that the last Council meeting was a disgusting display. She indicated that she does not tolerate liars or unethical people, and noted that Councilman Metze accused her of lying. She indicated that she is not against the City, but rather how the money is spent. She commented on the New Brown Act regulations and expressed concern that it was violated. She indicated that she did not seek out the San Diego Union Tribune reporter, but she did provide him with public information and legal documents. She addressed Councilwoman Brinley with regard to interrupting Councilman Alongi and indicated that it is a frequent occurrence and offered to show Mrs. Brinley videotapes of the meetings. She questioned newspaper reports of "majority support" to have Mr. Alongi removed from the meeting. She addressed the removal and indicated that Mayor Pape should read the new Brown Act. She commented that this will not be over "til the fat lady sings ". CITY MANAGER COMMENTS City Manager Molendyk pointed out that work is in progress on the new boat launch and noted that the project is on schedule. CITY COUNCIL COMMENTS, Councilman Metze commented on the following: 1) Noted a recent letter from Elsinore Pioneer Lumber Co., and stressed that they have been there since 1923 with good hours, a fine business and good employees. He indicated that he was sorry to have neglected them when he commented on the new Do It Center. 2) Noted mail received today from the Economic Development Committee of the Chamber regarding their recent survey. He expressed concern that of 200 questionnaire sent out only 20 responses were received. He questioned how many of those businesses were actually in the City. He indicated that he was disturbed by how this material might be used, but commented he was not surprised by the outcome with Mr. Jeffries heading up the effort. PAGE EIGHT —CITY COUNCIL MINUTES - SEPTEM$ER 24, 1996 Councilman Alongi commented on the following: He stated that he would like to see a temporary license issued to the Tattoo Shop and then issue him conditions of approval, He noted that if he abides by those then the license can be continued and if he does not, then the license can be removed. He explained that he thinks that tattooing is a recognized business, the same as alcohol. He noted that the City has liquor stores, dance halls, and he would like to see this business if the City can work out the conditions. He stated that he feels that the City should be more business friendly, and noted that he reads his Bible quite often and he finds nothing that discriminates against tattoos. He further noted that he has one, and his church welcomes him with open arms. Councilman Alongi stated that he feels that it is unfair to take pot shots at folks that have not even been given the opportunity to prove that they are law abiding citizens and can operate a clean establishment, regardless of what it might be. 2. Noted that he was glad to see the young people present tonight and agreed that we do need a skate board area and a skating rink. He noted that the City puts signs that state no skate boards or bicycles on the sidewalks and the City needs to supply those things. He noted that is why he gets irritated when the City takes money from the reserves and pays someone else's bills and we can't take care of our own kids. Councilman Alongi stated that is a subject that can be talked about later. 3. Congratulated the Chamber of Commerce on their Survey since he felt that they at least had the courage to do it. He noted that if that survey said other than what it did, this Council wouldn't be talking about it, including Mr. Metze. He stated that this Council hunches their backs and has a couple of 'thin skins' that can't take criticism. He further stated that this City is not business friendly and that includes going to the counter sometimes. He explained that he is not saying that it is deliberate, but that it is misinformation that they have given, and it is the misinformation that makes the public think that the City is unfriendly. Councilman Alongi stated that it is not the people that Mr. Metze pointed out, but rather the people who went to the counter and then went to the Chamber of Commerce to complain about it. He noted that it is the same in regard to the Tattoo Shop and he does not look favorably upon the City to do what we did, because there are other ways to work around it. He noted that he is not saying that it is wrong or right, but the man has the opportunity to open up a business. 4. Stated that Proposition 218 is a tough one and is really difficult at best to try and explain; and indicated that is why he would prefer that the City hold a Town Hall meeting with both sides represented, speaking on the subject and giving the public an education to allow them to make an intelligent decision. He explained that he has his reservations about 218, but explained that he is an elected official and he has to do what the people want him to do and he does not have the privilege to choose what he wants and doesn't want. 5. Addressed the last Council Meeting and noted that a lot of things were said about him, not to mention that his Civil Rights and Constitutional Rights were violated. He further noted that the Mayor always talks about the Council Policy and he violated that along with every member. Councilman Alongi stated that Mr. Metze started off about the taxes, people should pay, and about himself and Chris Hyland being against the City and that he is convinced that we are trying to sabotage the City. He stated that he owns quite a bit ,of property in this community and works very hard in this community to accumulate that property; and most of it is paid for and if he thinks that he's that stupid that he wants his property values to plunge even more, then he is absolutely ludicrous. He stated that he thinks there PAGE NINE - CITY COUNCIL MINUTES - SEPTEMBER 24,1996 are some things in this world, in this country we should not forget, that we should remember so those mistakes are not made again. He noted that one of the big mistakes that this community has made is that the previous Council was negligent with spending our tax dollars; and suggested that Mr. Metze needs to be a bit more clear and careful in what he says to Councilman Alongi about being against this community. Councilman Alongi stated that he loves this community and that he has been here for over thirty years, a lot longer than Councilman Metze has; and in comparison he is still wet behind the ears about Lake Elsinore. He addressed Mrs. Kelley and stated that he is really, really surprised at her, because she is a school teacher and stands for different reasons. He pointed out that she not only educates the people on arithmetic, she is also supposed to teach the children fair play and morals. He suggested that she go home and pick her Bible up and read the Bible definition of a hypocrite, and also read Matthew 6.5 and 6.6, as well as 4, 7, and 8 while she is at it and maybe she will understand why he leaves this podium during the Invocation. Councilman Alongi addressed Mrs. Brinley and stated that she is the Chairman of the Redevelopment Agency and doesn't even understand the financing that goes on. He noted that when she makes the statement that the only thing owing against the Ballfield is $10,000,000; she made that statement on tape, and there is a lot more invested in that Ballfield than $10,000,000. He added that the Ballfield is a lot more than $22,000,000 and is probably more like $25,000,000 or $30,000,000 dollars if you add all of the costs, from the time that they kicked Mr. O'Byrne out of here with his Movie Theater and Sam Aron on his housing project, so they could raise the $700,000 for design work for that Ballfield which wasn't included, as well as the $200,000 to relocate it. Councilman Alongi stated that he felt that Mrs. Brinley made a big mistake when she mailed her letter out to the San Diego Tribune and in her letter she quoted some figures on the cost of the Ballfield and if she thinks that the people at that paper are ignorant and cannot see through this paragraph she has another thing coming and she is the Chairman of the Redevelopment Agency. He read the paragraph as follows: "The original $8.5 million estimate for the Stadium did not include additional up- grades requested by the City, such as improved so (f system, landscape slopes and most importantly / the Diamond Club Meeting, Sports Bar facility." He stated that he does not know how she can make that statement since she wasn't at any of those meetings as they were closed meetings and in violation of the Brown Act. He noted that Dan Young;met with each and every Council person separately to get their vote on that Ballfield. He noted that if they want to start playing baseball and play hardball, then he is going to play hardball. He explained that she made statements that she knows nothing. about, but what goes on to make it worse is follows: "With these requested additions the estimate was revised to $12,000,000." Councilman Alongi stated that it was not, that it had been revised to $15,000,000. He further read: "The final cost of the project included $15,000,000 for the Stadium and $7,000,000 for the streets and infrastructure." Councilman Alongi stated that if he gave her the consideration of $15,000,000 and $7,000,000, doesn't she think that the $7,000,000 goes into the cost of building something. He pointed out that she could ask any builder if street improvements are not included in his house payments or house costs. He noted therefore, that it doesn't make any difference if $15,000,000 and $7,000,000 is in the streets and infrastructure, the fact is and the bottom line is that they put the City on the line for over $22,000,000 dollars and the City can't pay the debt and that is the bottom line; like it or not and that is what he has to deal with. He explained that the public has to pay the bill, and indicated that doesn't mean that he doesn't like Lake Elsinore or that he wants to hurt Lake Elsinore, but the public has the right to know and that is why Proposition 218 pops up, and it is because the public has the right to know. He pointed out that the letter does not address the cost of doing business, or the fees for refinancing the, bonds which no one will talk about. He noted that no one wants to talk about the ^ullions of dollars in the RDA that we have to pay for since PAGE TEN - CITY COUNCIL MINUTES SEPTEMBER 24,1996 there is no tax increment coming in to make that payment and it is coming out of the public's pockets. He explained that the RDA was put together for the public's benefit, not for the Walmart, Ballfield, Lake or Movie Theater. He noted that it was put there for the public's benefit to remove blight from the area. He pointed out that the public's area has suffered because of this nonsense and the current Council refuses to recognize that. He pointed out that he will recognize and deal with the problems, but he will deal with it as a professional business man; and stated that the only way to get out is to pay your way out and not finance your way out. He indicated that it is credit card mentality. He addressed the section of the letter regarding the bond with the Bank of Sumitomo and noted that the money to pay that bond is taking away services from the public. He pointed out that the news people are not dumb, but rather are very smart and see through this kind of nonsense. Councilman Alongi stated that this is not necessary, but rather what we need to work out a solution collectively. He noted that he did something at a Study Session, and his wife is very surprised because when he says something to somebody he means it, and he doesn't apologize to that person; he might become friendly with that person later on, but he will never apologize for what he says. He stated that he did apologize for what he said to this Council in public and that he was willing to work with them and try to help solve the problem, but they choose, on their own, to systematically orchestrate this attack on him at the last meeting. He indicated that it is a violation of the Brown Act, since they had to talk to each other to do what they did. He further stated that he would not go on with Mrs. Brinley, as he felt that she needed to be educated, since she knows nothing about RDA. He stated that he would read.something that the public should know and would not say what staff member made this statement: "The Diamond operates with subsidies from the City and in 35 years, hopefully, we'll be at a break even point with the operations and maintenance of the Stadium. The City grosses $334,000 " Councilman Alongi stated that this is in contradiction of the report that Council just received and the item that he was reading was from September of 1996. He stated that if the financing of the Ballfield is going to take the City 35 years to get it breaking even, and the City is going to try and get a $10,000,000 bond postponed for 10 years, can anyone tell him how long it's going to take to pay then. He asked if our Grandchildren are still going to be paying for a stinking Ballfield and questioned why don't the Council did not complain about this statement. He stated that it was just as bad and derogatory as his remarks and they accused him without calling him and asking him if he had really said those things. He answered an article in the Californian by Chris Wayward and stated that at the Study Session he did not say anything about embarrassing the City, however he did say that he did take his share of the blame, apologized and meant it. He noted an article in the paper by the Mayor in response to the Chamber Survey and pointed out that less then 10% of the population voted him on the Council, and therefore if less than 10% are not significant, then he needs to get out of his chair. He responded to the article by Charlie Hand and noted that he reported that Mr. Alongi was booted out of the Council Meeting; he clarified that he was not actually booted out of the Meeting, but rather stood at the back of the hall. He noted that Council must take the bumps and lumps. He responded to an article regarding illegal contributions to campaign committees and stated that he did not read the article and judge that the people were thieves because they took the contribution, because before he does that he would have to talk to the people and find out if they really did it or not. He pointed out that just because it is in the paper does not necessarily make it true. He commented that newspapers make mistakes. He pointed out some mistakes the newspapers make and the fact that Council does not scream about those errors. He quoted an article by Charlie Hand regarding the report on the bond and the fact that Council did not go after him. He stated that he knows that the Mayor has to be positive and he understands where the Mayor is coming from and has a tough job, but the fact is that some of PAGE ELEVEN - CITY COUNCIL MINUTES - SEPTEMBER 24, 1996 his statements to the paper are a lot of hog -wash. Councilman Alongi stated that the Mayor made several accusations against him. He stated as a side note that Council considers the 4th of July as a gift, since the City did in the past budget a little over $100,000 for the City to do a 4th of July celebration for the people of the City of Lake Elsinore and everyone from all over the place was invited to participate. He noted that 30 to 40 thousand people attended that show and we had the best fireworks in town and had a great time; that was a gift and everyone was included. He further noted that when the City built a Ballfield and decided to have Wynona Judd there; the City says that the $100,000 cannot be counted since that was a budgeted item. He stated that when the City starts charging the public to attend a facility and they cannot enter it unless they pay, then it is not a gift anymore, and becomes a business venture with costs and then the $100,000 is not a gift anymore, it is a cost and should be accounted for. He further stated that the City lost $100,000 on Wynona Judd and he challenged any one of the Council to pull the records from the Finance Department and go over them. He pointed out that the Kids -On -Track was only an example of what we do with our taxes, and yet when it comes to our own people, Councilwoman Brinley could have kept it going with her vote and that is why we are in this mess today; because they say we can't take it out of reserves, yet we have taken $70,000,000 out of reserves to pay someone else's debt that we don't owe. Councilman Alongi stated that Mayor Pape and Councilwoman Brinley could not hold a candle to Mrs. Lovitt who owns a restaurant near Main Street and feeds more homeless people out her back door than any restaurant. He noted that in fact most restaurants would chase the homeless away from their doors. He pointed out that every year she cooks approximately 26 turkeys to do turkey dinner for underprivileged children and their families who can't afford it. Councilman Alongi stated that the question was "Does the ballfield have any affect on her business ", and the answer is no. He asked what was wrong with that; was she supposed to say yes; and it does not make a difference what her hours are, the question was "Does the ballfield have any affect on your business ". He stated that Mrs. Mayhall has won the Packman Award from the Chamber of Commerce and asked if anyone knew what it takes to win a Packman Award. Councilman Alongi suggested asking Mrs. Brinley if she has one. He stated that Mrs. Mayhall has not had the opportunity in the last three years to bid on any printing from the City. He noted that we send our printing out of town so others can enjoy our tax dollars instead of creating jobs within our City because we have several good printing shops that can do anything with printing. He further noted the remarks made about Mrs. Strigotte working there and stated that it was an underhanded remark. Councilman Alongi stated that Mrs. Mayhall is another one that she can't hold a candle to in this community. He stated that people should go into Mayhall's shop and look at her wall and see how many plaques and trophies she has up for her commitment to sponsor Little League and Soccer. He noted that it represents the money she has donated, even after her husband passed away, she still continues to support the community. He stated that then Council has the audacity to attack the woman because she feels that the ballfield has done nothing for her business. He indicated that it has not. He further stated that it has done nothing for his business, which doesn't mean to say that he does not like it. Councilman Alongi stated that the Mayor had made several accusations against him and has in fact convicted him. He further stated that he has not even been to court yet. He noted that the Mayor made two accusations that he does not appreciate. The fast was in regard to the article that said "they ought to be shot ", and stated that it was merely a figure of speech. He asked how many people have told their children that they were going to knock their block off, but did not since it was just an expression. He stated that it was an expression, and asked if he was entitled to use an expression, or because he is an elected official has that been removed from him. He commented that the Mayor seems to think so. He addressed the comment that "they should be put in jail" and stated PAGE TWELVE - CITY COUNCIL MINUTES - SEPTEMBER 24, 1996 that yes they should since they robbed you and took your funds and threw them away, so they could have their lousy names on a plaque, that's what they did. He commented that they should admit it, in fact two of the Council that were sitting up on the platform, should have stepped to the podium and told the public that. He stated that one is the Mayor, who was the City Treasurer at that time and came to the podium and told the City three or four times, that the City was in strong financial condition and not to worry because Mr. Alongi was wrong. He stated that he didn't think so. He noted that the Mayor also made an accusation that he had threatened Charlie Hand; and Councilman Alongi has witnesses that say no. He further stated that Mr. Hand filed the report in Riverside, and that complaint has since been removed. He noted that he and Mr. Strigotte had words, and pointed out that knowing Mr. Strigotte he ran and filed his report, he answered to it, and nothing has been done since. He pointed out that there is no substantial evidence at all, so the Mayor makes these off -the -wall remarks, but he doesn't clarify what is really going on. He answered the statement regarding him chewing out the City Building Inspector, and stated at this time it is an allegation but if and when they convict him, then he can say that. He stated that the Mayor has no business interfering in his private business. He noted that he is handling it as a private citizen, handling it out of his own pocket, and if he wins then Mr. Mayor will receive a bill; and believe me you will pay it and you will pay the other stuff that I'm facing today because of your supporters out there. Councihnan Alongi stated that he would have his day in court and that he will be going to court on November 12, 13, & 14 for the FPPC. He stated that he has 11 people from the City of Lake Elsinore who will be subpoenaed to that court. He stated that we will find out if Mr. Alongi is a liar or not and find out if Mr. Alongi is a convict, if he is a person who doesn't like this community, is a thief, we will find out what his Conflict of Interest is. He stated that he thinks that the people had better wake up in this community to the fact that the Council is keeping you in debt. He stated that they have a credit card mentality and don't know how to get out of debt. He commented that if you told them to sell the ballfield at $9,000,000, they would jump out of their seats and say that you were going to loose, but you would loose nothing, you would gain if it were sold for $9,000,000 or $10,000,000, but they won't do that. He stated that they don't have the backbone; they don't have the backbone to do what the City Manager has to do when there has to be lay -offs, and those lay -offs will take place. He further commented that the scare tactics regarding closing the parks and the Senior Center are all a bunch of baloney. He stated that the City will operate, not at the peak that we would like, but that is up to the public. He further stated that when we go out and spend $80,000 a year to maintain one park, that is crazy. Councilman Alongi stated that we should just cement the damn park over and get the cost down. He stated that they talked about converting the Stadium; but let them produce those figures, they talk a lot but never produce figures. He further stated that they yack, yack a lot but never produce documents. He commented that he is done for tonight and is going on vacation, to get himself in good shape so he can come back, and be in good condition to take all of you on again for the next three years. Mayor Pro Tern Kelley commented on the following: 1) Congratulated the Storm on their win of the championship, and noted the level of effort and enthusiasm. 2) Noted that the Lakeshore Marketplace is open and encouraged residents to go out and shop. She also encouraged the vendors to hang in until the venture grows. 3) Noted the premier Vision and Views show, which airs on October 7th at 7:30 p.m. PAGE THIRTEEN - CITY COUNCIL MINUTES - SEPTEMBER 24, 1996 4) Announced the Friends of the Library annual membership drive dance and noted that the theme will be the 50's Blast from the Past. She indicated that Transit is the band who will provide the evening's entertainment. She detailed the date and time of the event and advised that the funds raised will go to new reference materials and books 5) Announced that the "FIT" committee effort from the CAP conference, was up and running and applications are nearly ready. She indicated that the program will use all volunteers and donated supplies. She further indicated that they are looking for homes of seniors on which to assist with cleanup and painting. She explained that they are hoping to bring back some community pride, and the applications should be at the City Hall counter very soon. 6) Commended the young people for speaking on what they would like in the community. She indicated that she will research the matter, but noted the potential questions of liability. 7) Indicated that regarding the tattoo parlor, the CUP was required by title 17 adopted in 1986. She further indicated that she was notified that Mr. Martin pulled his application for a CUP. She stressed that the process would be before the planning commission, and the Council has made no decisions on the matter. Councilwoman Brinley commented on the following: 1) Congratulated the Storm on their championship and commended their hard work to succeed. 2) Commented on the Open Air Market and noted the that it will be the topic of the first Visions and Views show. She further noted that there were over 1500 people in attendance on Saturday, with a slight drop on Sunday. 3) Addressed Mr. Martin and the Tattoo parlor and explained the CUP process and the purpose of the process to assure that it is conditioned properly. She noted that a CUP comes with a time frame for approval and the potential for renewal. She concurred with Mrs. Kelley that she was under the impression that the application was withdrawn. She indicated that it was unfair to chastise the Council when they have had no opportunity to consider the issues. She stressed that the CUP process provides for due process. She further stressed that Title 17 has been in effect since 1987 -88. She stated that each business should be judged on its own merit. 4) Indicated that the requests regarding skateboards are valid, as there is a need to find them a place to be. She indicated that the Council should investigate and find them a place. She expressed appreciation for the attendance by the Students to speak at this meeting. 5) Responded to Councilman Alongi that he is always calling someone unintelligent. She noted the FPPC charges against him, and suggested that it was either due to a lack of foresight or a lack of intelligence. Councilman Alongi stressed that 1-.is issue is still an allegation. Mrs. Brinley indicated that the content of `he allegarions stand for themselves. Mayor Pape commented on the following: 1) Congratulated the Black Family on the opening of their new Tai Kwon Do Siudio on Riverside Drive, and noted that they have much experience in that area. PAGE FOURTEEN CITY COUNCH, MINUTES - SEPTEMBER 24, 1996 2) Noted reports in the press that the City is dealing with the current recreation area franchise. He indicated that was has not been reported is the number of letters received from people who were very disappointed by the way the facility is managed. 3) Requested that staff and Police Chief get together and work on recent situation incidents which have occurred at the Lakeshore Tavern. He requested that it be reviewed before it get out of hand. 4) Indicated that he spoke with the President of the Chamber of Commerce, regarding the survey and even he had concerns with it. He clarified that his concern was that the survey did not represent and overwhelming consensus. He expressed hopes for a larger response in future surveys. 5) Commended Lois Wall for her donation of books to the Library. CLOSED SESSION Mayor Pape inquired whether the Closed Session was still needed. City Attorney Harper indicated that he had nothing new to report. City Manager Molendyk noted a legal document received this date and requested an update. City Attorney Harper indicated that it would be fine to add this to the agenda, but he has not yet had a chance to analyze the document. MOVED BY ALONGI, SECONDED BY BRINLEY AND CARRIED BY UNANIMOUS VOTE TO ADD THE DISCUSSION OF LITIGATION WITH L.E.R.A. TO THE CLOSED SESSION PORTION OF THIS AGENDA. Potential Litigation - Tattoo Parlor. 2. Pending Litigation - Spectrum, Inc. THE CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION AT 8:55 P.M. THE CITY COUNCIL MEETING RECONVENED AT 9:15 P.M. NO ACTION TAKEN. ADJOURNMENT MOVED BY BRINLEY, SECONDED BY PAPE AND CARRIED BY UNANIMOUS VOTE TO ADJOURN THE REGULAR CITY COUNCH MEETING A 9:16 P.M. X;Ze,j a � KEVIN W. P"IE, N�IA�YOR CITY OF LAKE ELSINORE CKI Y-F„S , CITY LERK CI7 r OF LAKE ELSINORE MINUTES REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, SEPTEMBER 10, 1996 xzxxxzxxxxxxxxxxxzxzzxzzzxzxzxxxxxzxxxxxxzxxzxxzxxzxxzzxxxxxxxxxxxxxzxxxxxzxxx, CALL TO ORDER The Regular City Council Meeting was called to order by Mayor Pape at 7:02 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by City Manager Molendyk. MAX119AV_Y_Ilhl The Invocation was provided by Pastor Joe Rivera, representing Pressing On Faith Ministries. 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, Manager of Special Projects Best, City Engineer ODonnell and City Clerk Kasad. A. Presentation - Art in Public Transit Program - R.T.A. (F: 140.12) Councilwoman Brinley introduced R.T.A. General Manager Susan Hafner, and noted that September is Lake Elsinore Month, with a Lake Elsinore bus pass designed for the City. Ms. Hafner presented the City with a framed version of the bus pass and explained the Art in Public Transit Program. She detailed the routes serving the City of Lake Elsinore, and innovations being reviewed to be used in the future. She also noted that discussions are underway with the School District to provide services fro the secondary school students. Ms. Hafner expressed appreciation to the Council for their support and to Councilmember Brinley and Metze for their participation on the R.T.A. Board. Mrs. Brinley thanked Ms. Hafner and introduced the Transportation Now Coalition members present in the audience and thanked them for their participation. Ms. Hafner noted the benefits of the input by the Transportation Now Coalition, and presented copies of the September Bus Passes to the City Council. B. Proclamation - National Pollution Prevention Week. (F:122.1) Mayor Pape read and presented the National Pollution Prevention Week proclamaton to Ben Irwin of Oricom. Mr. Irwin presented the Council with gifts from ORICOM, being a bottle of refined waste oil which has been refined into "America's Choice" oil. PAGE TWO - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 C. Presentation - CAP Committee Report. (F: 142.1) Mayor Pro Tem Kelley introduced Steve Wallace for this presentation. Mr. Wallace commented on his participation in the Community Action Planning Conference. He detailed the conference attendees, the sponsorship of the conference, and the purpose of the conference to improve the image of the community. He detailed the FIT program Fix it Together which is fashioned after a similar program in Anaheim. He explained that the objective is to give facelifts to houses in Lake Elsinore, owned by senior citizens unable to make the improvements. He explained that the program is intended to improve the image and develop understanding. He detailed the requirements for participation in the program, and presented a brief video on the Anaheim program. He detailed the need for volunteers. Mayor Pro Tem Kelley noted the similarity to the Paint Your Heart Out Program in Anaheim. Mr. Wallace indicated that interested parties can contact him at 244 -3252 for information and applications. Setting up the application and liability processes. Mrs. Kelley clarified that the intent for the first year is to work on 1 to 3 houses. D. Presentation - Support the Lake Committee Project. (F:92. 1)(X: 108.4) Bob Schiffner, explained the fund raising campaign he has undertaken on behalf of the Chamber of Commerce, for the sunset lake cruises. He presented a packet of information and detailed the Sunset Cruise which are intended to turn around the negative attitude about the Lake, and improve its image. He detailed the cost of this area which is being borne by Pro Marine and area marinas. He noted that the waiting list for the cruises is now ten weeks. He advised that more information can be obtained by calling 678 -4028. He commented that there are businesses that will benefit from the improved image of the lake and the City. Mr. Schiffner introduced Pete Dawson of Pro Marine. Mr. Dawson stressed the contributions of the marinas who are assisting in making the cruises a success. E. Presentation - AQMD Projects. (F:36.2) Larry Rhinehart, SCAQMD, indicated that he was present as part of the local government outreach program. He commended the Council on their recognition of Pollution Prevention Week. He noted the launch of a regulatory reform initiative to reduce staff, and an on -line computer permitting program. He indicated that the District's most significant current activity is updating the 1994 Air Quality Management Plan. He detailed the review process underway and the dates of the upcoming public hearings. He commented on the availability of his office to assist with the requirements of AB2766, and noted the potential for financial benefit of this program for the City. PUBLIC COMMENTS - AGENDIZED ITEMS Requests were received to address the following items and deferred to those discussions: Item Nos. 5 and 7. CONSENT CALENDAR The following items were pulled from the Consent Calendar for further discussion and consideration: Item Nos. 4, 5, 6 and 7. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. PAGE THREE - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 The following Minutes were approved: a. Regular City Council Meeting - August 27, 1996. (FA4.4) 2. Ratified Warrant List for August 29, 1996. (F: 12.3) Received and ordered filed the Investment Report for July 31, 1996. (F:12.5) BUSINESS ITEMS 31. Withdrawal from the Lake Elsinore Management Authority - Resolution No. 96 -52. (F:92.3) City Manager Molendyk provided a brief history of the City's participation in the Authority; and explained the plan to withdraw from the Authority. He noted that this would include both the City and RDA representation on the Authority. Mayor Pape noted that he is the City representative, explained that the Authority is now down to three agencies and it is only logical that with the completion of the initial goals, it should be dissolved for now. He furhter noted that it is possible to form another organization later, but suggessted that it is best to conserve funds at this time. Councilwoman Brinley concurred with Mayor Pape and noted the potential for a newer more current program in the future. MOVED BY BRINLEY, SECONDED BY METZE TO ADOPT RESOLUTION NO. 96- 52: Councilman Alongi questioned the pending lawsuits and whether they would continue. City Attorney Harper indicated that it would now be a moot point. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE. RESOLUTION NO. 96 -52 A RESOLUTION OF THE CITY OF LAKE ELSINORE, AUTHORIZING THE WITHDRAWAL OF ITS MEMBERSHIP IN THE LAKE ELSINORE MANAGEMENT AUTHORITY AND THE DISSOLUTION THEREOF. 32. Four Corners Storm Drain at Lakeshore Drive and Riverside Drive. (F: 15 5. 1) City Manager Molendyk provided an overview of the original Four Corners Storm Drain project and the related delays. He detailed the recent discussions and the proposed agreement for the City to participate in the amount of $7,800 and noted that it is a fair and equitable arrangement. He noted that the City funds would come from Gas Taxes. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE PROPOSED AGREEMENT. Councilman Alongi noted that this was a very good job of negotiation by staff. 33. Visions & Views/T.V. Program.(F:102.1) City Manager Molendyk explained that this item came out of a Study Session as a means to provide more information to the general public. He recommended approval of the Community TV program which would give an overview of the Community for the residents, and noted the potential for more in -depth information to be provided. He PAGE FOUR - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 suggested that this would be a way to provide a more positive outlook and image for the residents, and serve as a vehicle for acknowledging accomplishments in the Community. Councilwoman Brinley explained that she and Mayor Pro Tem Kelley met with Cheryl Smith from Continental Cablevision to develop the format for the program. She noted that the proposed logo and program title were developed by Karen Snyder. She further noted that the TV moderator and host will be Tom Thomas, who was chosen for his well rounded working knowledge of the Commuinty. She advised that the program is being provided at no cost to the Community, but by Mr. Thomas and Continental Cable are providing the program. She detailed the programs being planned for the first few months; including a preview of the open air market, a tour of City Hall and introduction of the City staff, a series on the boat launch construction, and a program regarding the possible tri- city trolley car under discussion. Mayor Pro Tem Kelley introduced Tom Thomas and Cheryl Smith and commended their efforts and thanked them for their assistance. She explained that the program is being designed to highlight and update the community on on -going projects, and suggested that anyone with ideas can contact she or Councilwoman Brinley. She looked forward to first airing on October 7th. Councilwoman Brinley added that they will be going in to homes and holding discussions with home owners regarding the City, and stressed that the program is intended to be done on a positive note. She thanked Mr. Thomas, Mrs. Snyder and Ms. Smith for their contributions. Councilman Alongi expressed respect for Mr. Thomas, but suggested that because of his political involvement in the Community, he would like to see someone non - political, and suggested Allen Baldwin as an alternate. He noted that the City is entering a difficult financial period and quesitoned the amount of time that staff will be asked to spend on this project. He expresssed support of the program, but questioned the time commitment. He suggested that if staff is being asked to do things for the program, it should be live with the calls not being censored. He stressed that all residents should have a right to call in. He expressed hope that this program would have no conflict with his which will be starting in November. He requested that the Council consider this item further and not approve it yet. Councilwoman Brinley commented on Mr. Thomas and noted his expertise in Cable Television, and stressed that it is difficult to find someone in the community who is non- political. She indicated that the City is fortunate to have Mr. Thomas's participation. She indicated that some of the shows will be live shows with call ins by residents and panel members to respond. She indicated tha the only staff time will be for a once a month meeting in which Mr. Sapp would be participating, with the exception of the tour of City Hall, during which staff would be interviewed. Mrs. Kelley noted that the taped shows will be so that events can be covered live for later broadcast. Ms. Smith indicated that this would be primarily an in field production with little input from staff, and stressed that there is no cost to the City. She stressed that the purpose of doing the show in the Commuinty is to address what is happening in the Community and what it has to offer. She noted the difficulty of doing so within the confines of the studio. Councilman Alongi noted out of the four times the Open Air Market he understands, the tour of City Hall o.k., but questioned the location for the Trolley & the intent in showing the Boat Launch Facility. Councilwoman Brinley explained the trolley concept which would include a ride on the trolley and interviews of those involved in the trolley. Councilman Alongi questioned where the information will come from for the program, and stressed that he does not want to overload the staff with the program. Councilwoman Brinley explained that it would be information provided by herself and RTA representatives. Ms. Smith indicated that the production staff and Mr. Thomas will be PAGE FIVE - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 coordinating the information and go into the community to find the information. She stressed the work to be done, would be done by the production staff. Councilman Alongi noted the potential for a need to meet with staff to get the information. Ms. Smith reiterated that there would be a meeting once a month. Councilman Alongi stressed the need for staff input on the topics. Ms. Smith noted the that this would be assisted by the participation of the Councilmembers. Mayor Pape questioned the potential problem of producers approaching staff before air time. City Manager Molendyk indicated that it was his understanding that Continental would be an extension of City Staff. He indicated that with only periodic shows, there would be a minimal amount of time commitment by staff. He suggested that if that commitment become overburdening, he would share that information with the committee. Councilman Alongi questioned page 4 of 4, and the discussion of the format. He noted a statement with regard to "taping for control purposes and the potential for editing the phone calls which are received ". Councilwoman Brinley stressed the, format as proposed, and noted the potential for calls at some of the later programs. Mayor Pape noted that this was intended to be a positive effort to keep the public informed, and different formats may occur. MOVED BY PAPE, SECONDED BY BRINLEY AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE FORMAT AND PROGRAMMING AS PRESENTED. ITEMS PULLED FROM CONSENT CALENDAR 4. Claims Against the City submitted by Robert Smith, Kathleen Smith & Juanita Collins (CL #96- 15a -c). Billie B. Hobart (CL #96 -17) Frank Vasquez (CL #96 -18) Joseph N. Grasso (CL #96 -19). (F:52.2) Councilman Alongi indicated that he pulled this item because he would like the Council to remove this and add the Joseph N. Grasso Claim to the Closed Session discussion. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO DEFER THE GRASSO CLAIM TO CLOSED SESSION FOR DISCUSSION. MOVED BY ALONGI, SECONDED BY BRINLEY AND CARRIED BY UANIMOUS VOTE TO REJECT AND REFER TO THE CLAIMS ADMINISTRATOR FOR HANDLING, THE CLAIMS SUBMITTED BY ROBERT SMITH, KATHLEEN SMITH, JUANITA COLLINS, BILLIE B. HOBART AND FRANK VASQUEZ. Adoption of a Resolution Updating the Disadvantaged Business Enterprise Program BE . (F:84.3) City Manager Molendyk explained this item and the prior consideration. Mariana Mohylyn, 305 W. Sumner, questioned the funding of this program and the intent of the program. She questioned the minority groups involved, noted special considerations given to certain groups and suggested equal treatment for all. She stressed the need for consideration to be given to women. Chris Hyland, 15191 Wavecrest, noted a recent article in the newspaper and indicated that it was disgusting that the Mayor indicated that he would vote against the program. She noted businesses owned by women, which are not used by the City. She noted that there are parties available to do landscaping int he City, who employ minorities. She noted that the Chamber of Commerce even has their printing done in Murrieta, when there are several printers in the community. She indicated that she could care less about the Mayor's Republican stance on Affirmative Action. She indicated that she hoped that the PAGE SIX - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 Federal Goverment would place sanctions against the City to prevent it receiving the money. Mary Venerable, 29400 3rd Street, requested permission to speak beyond the limit of time, as her presentation was approximately seven minutes. Mayor Pape indicated that she would need to scale down her comments to three minutes. Mrs. Venerable indicated that she is a business woman in the Lake Elsinore Area and a retired federal worker, and detailed her employment history in affirmative action and federal compliance. She expressed concern with the Council's failure to pass the updates to this program; and stressed that this is merely an update of the regulations in place since 1991. Councilman Alongi indicated that he has always fought for the small businesses, minority or otherwise. He clarified his belief that all businesses should be on an even plane in applying for the projects; and indicated that this was a discri ninatory act of tying the governments hands. He stressed that he does not like the requirement which causes an unfair or special treatment in the competitions for jobs. He indicated that it was a disgrace to say that small businesses cannot exist without government aid. He explained his reason for voting no at the last meeting, but stressed that Council cannot jeopardize the funds available to the community. Mayor Pape concurred with Councilman Alongi, and noted his understanding of the law, the requirements and the strings attached. He commented that the Council needs to do what is best for the community; and if the Council plans to continue accepting funds, they will need to play by their rules. Councilman Metze indicated that he would not vote against this item, but questioned whether the program would work. He noted the problems he encountered as a disabled person; and expressed concern that the program is not working. He indicated that he would not take the funds away from the Community. MOVED BY METZE, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 96 -50: RESOLUTION NO. 96 -50 A RESOLUTION OF THE CITY OF LAKE ELSINORE UPDATING THE DISADVANTAGED BUSINESS ENTERPRISE (DBE) PROGRAM AND APPOINTING A DBE LIAISON OFFICER AND ESTABLISHING DBE GOALS. 6. 1996/97 M.O.U. (F:116.2) City Manager Molendyk explained that this this item has been negotiated with the United Public Employees of California. He explained the role of the Union and the discussions which occurred at budget time. He further explained that the document reflects a 3% cost of living for this budget year and the funds have been set aside, pursuant to Council guidelines. Councilman Alongi noted that this is one of those items which is distasteful to discuss as it relates to the employees. He indicated that all of the employees are at the top of the list, but Council is still dealing with the budget. He further indicated that while he does not oppose the M.O.U., he does question the future plans for the finances of the City. He noted that the air conditioning units at the Community Center are broken, and it is difficult to keep equipment working properly. He suggested that this item be postponed until after the financing has been discussed. He detailed his concerns and indicated that this matter should be postponed until after the Council discussion on September 12th. PAGE SEVEN - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 Councilwoman Brinley reiterated that the funds were allocated in the approved budget, and stressed taht the staff is doing double duty. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY A VOTE OF 4 TO 1 WITH ALONGI CASTING THE DISSENTING VOTE TO APPROVE THE MEMORANDUM WITH THE UNITED PUBLIC EMPLOYEES OF CALIFORNIA, LIUNA LOCAL 777 AS PRESENTED. Councilman Alongi expressed apologies to the employees. Supplemental Agreement - 22nd Year C.D.B.G.(F:84.2) MarianaMohylyn, 305 W. Sumner, questioned how much money the City will be getting and for what purpose it will be used. She noted previous approvals and quesitoned why work has not yet been completed. She expressed concern with the funds being used for Code Enforcement. Councilman Alongi indicated that he pulled this item because of the way the money is being allocated, and expressed concern with amount for Swick Park vs. Code Enforcement. He suggested shifting the funds to better address Code Enforcement. He wished for more for the Senior Center and expressed concern with the amount allocated to Crime Prevention. He questioned how a park can be put ahead of the code enforcement and crime prevention; and how to clean up the town if the money is all spent for parks. Mayor Pape noted earlier discussions of this item; and explained that this was the best matching between what was wanted and what was available. He concurred with need to fix the air conditioning at the Community Center, but clarified that it does not qualify for use of these funds. He stressed the parameters of the funding eligibility. Community Services Director Sapp concurred with Mayor and detailed the limitations and guidelines of the program. He indicated that the only funds which could be transferred for Code Enforcement would be those allocated to HOPE. Councilman Alongi questioned how the staff arrived at the numbers for Swick Park and Code Enforcement. Community Services Director Sapp clarified the funding for a public works project vs. public service project dollars. Councilman Alongi further questioned the percentages and suggested that the Council could increase code enforcement and crime prevention. He stressed that a park is not important, but Code Enforcement is important. He stressed the need to remove crime and problems from the Community. MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE SUPPLEMENTAL AGREEMENT FOR THE 22ND YEAR C.D.B.G. FUNDS FOR SWICK/MATICH PARK EXPANSION PROJECT/ PHASE H ($149,100), CODE ENFORCEMENT ($14,000), LAKE ELSINORE SENIOR SERVICES ($40,784), CRIME PREVENTION ($6,564) AND H.O.P.E. ($5,000); AND AUTHORIZED THE MAYOR AND CITY CLERK TO SIGN THE AGREEMENT. THE CITY COUNCIL MEETING WAS RECESSED AT 8:30 P.M. THE CITY COUNCIL MEETING RECONVENED AT 8:32 P.M. PUBLIC COMMENTS - NON - AGENDIZED ITEMS Mariana Mohylyn, 305 W. Sumner, expressed concern for Lake Elsinore. She expressed sorrow that most of the people don't come and listen to the meeting. She expressed concern with the lack of sidewalks and Sunday bus transportation. She requested the opportunity to participate in the PAGE EIGHT - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 RTA meetings to which Councilwoman Brinley is the liaison. Mary Venerable, 29400 3rd Street, further addressed the DBE Program Resolution. She expressed concern that with what she perceived as difficiencies int eh program and suggested that the appointment of the City Engineer as the liaison is a conflict of interest. She noted the list of contractors provided by CALTRANS, and questioned how often the Council is made aware of the number of contractors contacted. She further questioned the provision of periodic reports on program compliance. She requested that the Council investigate the requests for bids and noted that there are a number of hispanic business owners in the area who do landscaping. She suggested that the Council form a committe of minority individuals to review this program and others. Chris Hyland, 15191 Wavecrest, reiterated the concerns of Ms. Venerable; and concurred that the appointment of the City Engineer is a conflict. She requested a list from the City of all businesses owned by women who could be contracting for work, and a list of minorities in City Hall and those contacted for bids. Peter Dawson, Pro Marine, noted that additional water ski races will be held on September 21 st and 22nd. He noted the need for patrol boats to assist during the event, and requested that interested parties call Pro Marine. He encouraged spectators to attend on Poe Street at Lakeshore. He noted that the Lake has been especially nice this year, most people have left and the conditions are still ideal. CITY MANAGER COMMENTS City Manager Molendyk noted that the Do It Center announced that it will be opening on November 1st. He recognized Chief Seabert for her efforts on fires throughout the State. CITY COUNCIL COMMENTS Mayor Pape called upon Councilman Alongi to make his comments. Councilman Alongi declined and stated that he was not ready to comment. Mayor Pape stated that if he did not speak now he would pass his chance to make comment. Councilman Alongi continued to decline to speak. Councilman Metze commented on the following: 1. Commented that for quite some time he has had some personal feelings, and noted that the article that was printed in the San Diego Union Tribune last Sunday and brought all his feeling into focus. He stated that he felt that Councilman Alongi and Chris Hyland are working against the City in regard to bonding . He quoted a portion of the paper and pointed out that he did not understand what they wanted through printing this type of negativity. He stated that this article was probably faxed to the Bank of Sumitomo the next day. He pointed out that just because they happened to find a reporter in San Diego who was ignorant and gullible enough to print this without talking to the Mayor or staff. Councilman Metze noted that we need to keep an eye on this type of situation. He pointed out that the City is being sabotaged and he does not know why. He asked if it were an issue of a couple of Council seats or so you can say "I told you so ". He pointed out that the article was full of lies and amazes him that this would happen. He pointed out that this just firms the feelings that he has had. Councilman Alongi stated that this was the purpose of him being asked to go first so he cannot rebut. Councilwoman Brinley commented on the following: PAGE NINE - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 She explained that Sunday started out to be a good and positive day until she received a disturbing phone call from the City Manager about an article in the San Diego Union Tribune which appeared on the front page. She noted that what bothered her the most was that the staff writer Mr. Bloom, apparently made no effort to contact her. She stated that as Chairman of the Redevelopment Agency and a Council person she should have been contacted or the Mayor should have been contacted to gain their input regarding the Stadium and the efforts that they are making to work toward a positive resolution of the Stadium. She pointed out that in the news article it quotes Councilman Alongi stating that he was censured and barred from City Hall because of the way he voted on the Stadium. He stated that it is an untruth and misleading. She noted that in June, 1995, Mayor Pape and herself wrote the censure procedure to address Councilman Alongi and it had nothing to do with his vote. Councilwoman Brinley pointed out that the censure was in support of the employees of the City of Lake Elsinore to confirm their trust in Council giving them the right to work in a harassment free environment; to send a message to the Employee's Association of Riverside County that the Council did not condone abusive behavior upon the employees; and finally to reduce the liability of the City being sued by separating the actions of one Councilmember from the body as a whole; to censure Councilman Alongi's activities to reduce the chance of an attack on any employee of occurring again; and City Council giving the City Manager the authority to remove Councilman Alongi from City Hall for any of the above mentioned actions, violations or foregoing which would constitute a trespass and may be enforced, if necessary through the Riverside County Sheriffs Department. She noted that the censure had nothing to do with his vote regarding the Stadium, however, his comment in the paper stated that City Council censured him for his vote. Councilwoman Brinley stated that these are misleading falsehoods. She stated that she takes affront to another statement which was: "the lack of response does not surprise Councilman Alongi, Ms. Mayhall, Ms. Lovett or Mrs. Hyland who says City officials do not want people to know the truth about their City Government" Councilman Alongi stated that the statement was true. Councilwoman Brinley stated that this new City Council has been forthright in providing information. She noted that everything is public record for public knowledge. She pointed out that the public has the freedom to walk down to City Hall, between the hours of 9:00 a.m. and 4:00 p.m. on any given day, Monday through Thursday and pick up a copy of the budget and anything thing else you would wish to see. She noted that there is not anything hidden from the public. She further pointed out that Lake Elsinore is not the only City experiencing money problems. She noted that Lake Elsinore is not the only city experiencing money problems. Councilwoman Brinley pointed out that the City of Moreno Valley, City of Perris, Riverside County, City of Murrieta are experiencing money problems and they don't have a Stadium to blame it on. She explained that no one on City Council when they had to make the drastic cuts in the budget, that the City was not having problems, no one has said that the Stadium did not have problems. She pointed out that hind site is 20/20, Council knows what is wrong and it is Council's resolution to be part of the solution; to save the Stadium; to work toward a positive production. She noted that another untruth that is in the article is the fact that the Wynona Judd Special was placed before the Kids -On- Track program. She pointed out that the Wynona Judd Special was a 4th of July Concert that was presented in 1994 and $100,000 was set aside in the budget to promote the show and had nothing to do with the Kids -On -Track program. She noted that when the Kids -On -Track program came up in 1995 for cuts, she had approached Council for $35,000 one time seed money to save the program. She noted that to this time she and Mayor Pro Tern Kelley are working with the school PAGE TEN - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 to acquire grants to help continue the program. Councilwoman Brinley addressed Mrs. Lovett, owner of Granny's Kitchen, statements regarding her statements and pointed out that she is open for breakfast and lunch and explained that there is no way that the Stadium could affect her business, since she doesn't serve dinner. She noted that she and her husband eat at the different restaurants around the Stadium and observed that they are busy, and that the Stadium has not hurt their business. Mrs. Lovett who is also the President of the D.B.A. stated that the Stadium has done nothing except cost them a ton a money. Councilwoman Brinley disagreed and stated that the Stadium had it's 1,000,000 fan on July 24. Councilman Alongi interrupted and asked how much the City has lost. He pointed out that if the Mayor won't allow him to speak he will interrupt. Mayor Pape called Councilman Alongi to order, and stated that Councilman Alongi needed to control himself. Councilman Alongi continued to disrupt the meeting. Mayor Pape stated that Councilman Alongi had a choice; he could either sit quietly and act like a professional or he can get up and leave on his own, or the deputy would be instructed to remove him. He stated that those are the choices and he can choose. Councilman Alongi stated that the Mayor would have to have the Deputy come up and remove him because he was not going. Mayor Pape stated that Councilwoman Brinley had the floor and asked that Councilman Alongi allow her to continue. Councilman Alongi stated that the Mayor refused him the right to comment and the reason that he was refused the right was because of what was being said. He noted that the Mayor could have allowed him to speak after everyone spoke, because he knew exactly what was going to happen this evening. He further stated that they do not have the backbone to have Councilman Alongi rebut what was being said, because Council is still lying to the people of the City of Lake Elsinore. Mayor Pape stated that he feels that what was occurring was a rebuttal to what had already been said. Councilman Alongi agreed and stated that what they are telling the people is a lie. He stated that what he has told the people is the truth. Councilwoman Brinley commented that if only one third of the people that have used that Stadium stopped and used a restaurant, gas station, one of the local grocery stores, or one of the local service stores then it represents tax dollars that were spent in the City. She addressed Ms. Lovett and pointed out how important the tax dollar is to the City. She noted Jane and Howard Barnes of the Lakeview Inn have informed her of the occupancy of their Inn which has occurred because of the Stadium as well as what the restaurant owners in town say about the stadium and the business it has generated for them. Councilwoman Brinley addressed the statement by Mrs. Mayhall that the City stopped giving her business three years ago because she opposed the project and explained that she has known Mrs. Mayhall for approximately 18 years and noted that Mrs. Mayhall has been an outspoken person in the community whether she is for or against an issue and she does not feel that any member of Council has anything against Mrs. Mayhall. She noted that anyone can get up to the podium and express their opinion and felt that PAGE ELEVEN - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 the City has gone from one extreme to the other with Mrs. Mayhall accusing us of this type of action. Mrs. Brinley stated that she can remember people going to previous Councilmembers and questioned Mrs. Mayhall getting all the printing jobs because Linda Strigotte, a former Mayor and Councilmembers wife, worked for Mrs. Mayhall. Councilwoman Brinley stated that Council knows that just because Linda Strigotte worked for her was not the reason why she got the print jobs. She again addressed Mrs. Lovett concern that the local politicians will boycott her restaurant and noted that as far as she knew Councilman Alongi is the only Councilmember who frequents her restaurant and since she shares his views, she felt that Mrs. Lovett's fears are pointless. Councilwoman Brinley speaking for the RDA pointed out that the Stadium did not cost $25,000,000 but rather $22,000,000 and it is not a $25,000,000 loan to the Bank of Sumitomo, but rather $10,000,000. She pointed out that the City pays $1,000,000 a year, with an annual operations and maintenance costs are $750,000 a year without Spectrum. She addressed the audience and stated that there is nothing that the public does not have the right to see and know and there is nothing that the City Council has ever kept from the public. Councilwoman Brinley stated that she is getting tired of reading articles about her City, the Stadium and sitting on Council and having to defend it to a person who didn't do his homework and did not take the time to i seek out staff and make the effort to go 100% of the way to talk to other Councilmembers. She noted that the reporter took the opinion of a few negative people within our community. Councilwoman Brinley stated that it is her obligation and professional duty to conduct herself in a professional manner. She further stated that she does not go out in the community and talk down or bash her City. She explained that there have been mistakes and errors, but it is things that Council can correct and resolve and there is not one person of the four on the City Council that isn't working daily to help the Stadium. Councilwoman Brinley stated that she had lunch with Mr. Zed Buffman, who is the developer who is doing a major development of approximately $140,000,000 in Temecula. She explained that she had met with Mr. Buffman to ask for help and direction for the City and came away from the meeting with a positive feeling about what can be done and Mr. Buff van's vision of two cities working together to allow both to prosper, and then she picks up something like this article which shows her that there is a Councilman sitting on this board trying to work against a Council that is trying to deal with the current problems. She noted that it is sad that Councilman Alongi's obsessive vindictiveness for the past Council, because he wants to be able to say "I told you so" will bring the City down at any cost. Councilwoman Brinley stated that Council cannot allow that to happen. Mayor Pro Tern Kelley commented on the following: Stated that she had read the news article also, and she was very saddened by it. She explained that what saddens her in reading this article is not the specifics, but rather the fact that at the beginning of this new Council it was agreed that what is the past is the past; and that we need to put our heads together to solve problems and get solutions. She asked when are we going to start solving problems and not creating them. She further explained that Council agreed to cooperate with each other; work hard with each other, we need to look to our financial advisors; and we needed to come up with solutions and not keep beating a dead horse, especially with misinformation. She noted that Council agreed that the budget with both the long term and short term solutions were their major goals. She stated that she thought all of Council agreed that was what they were going to work on, now an article like this divides and prevents cooperative solutions. She noted that it creates problems where there shouldn't have been a problem created; it creates animosity where we don't need it; it alienates people on the Council where we don't need to be alienated. She stated that the Diamond is here and we need to PAGE TWELVE - CITY COUNCIL MINUTES - SEPTEMBER 10,1996. make it work. Mayor Pro Tern Kelley stated that the only way that Council can make it work is to work together and articles like this do nothing but create problems that we don't need. She stated that it is even more appalling when it comes from one of your own. Mayor Pape commented on the following: 1. Stated that he always felt that a City Councilman should be an ambassador for the City, out in the public promoting the benefits of the City, not only to it's residents, but to people outside the area. He noted that especially with Lake Elsinore where a major element of our revenue comes from tourism. He pointed out that to the communities to the south of us who saw this article, I think that we have been damaged. He noted that they will have a very different opinion of what they have had of Lake Elsinore than what they have had previously. He further noted that the efforts of the member of the community to promote the Lake and tourism in the City could be affected by the general opinion of the people who read this piece of yellow journalism done by a lazy reporter who didn't make any real effort to get the full story. Mayor Pape stated that going through the article there were so many lies and misinformation that it is hard to point them all out, but a few of the key ones can be pointed out. He noted that the numbers used for the Stadium were incorrect. He further noted the part the addressed the Downtown is incorrect and slanted. He stated that he doesn't know if our Downtown is different from anyone else, but he does feel that the downtown has improve quite a bit in the last year, with less vacancies and stores and restaurants expanding. He pointed out that the City spent $6,000,000 fixing up the downtown area, to make it look nicer to attract people into the area. He pointed out that there is a major hotel that is planning to develop at the end of Main Street. Mayor Pape noted the statement by Pat Lovett about local politicians boycotting her restaurant, and yet there is only one Councilman, Mr. Alongi, that eats there regularly and maybe she was concerned that if she didn't speak up on his behalf that he would end up boycotting her restaurant, since not of the others go there. Mayor Pape pointed out the section of the article that states that Councilman Alongi was censured and barred from City Hall for voting against financing the Baseball Park. He stated that a censure is an official reprimand, and was issued because of an assault on a City staff member. Councilman Alongi stated that allegation has not been proven yet. Mayor Pape cautioned Councilman Alongi that he has been spoken to. Councilman Alongi stated that he doesn't care if he has been spoken to or not, that Mayor Pape should state the truth or don't say anything. Mayor Pape asked Councilman Alongi if he was ready to leave. Councilman Alongi stated that no he was not, but to get his Sheriff ready. Mayor Pape continued and stated that the censure occurred because of an attack on a staff member Councilman Alongi interrupted and stated that it is alleged. Mayor Pape went on to say that Council had a concern that it might occur again and so Council took action to prevent that to other staff members. Councilman Alongi interrupted and stated that this is without due process. PAGE THIRTEEN - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 Mayor Pape stated that there is no possible way a reporter could even confuse it. He stated that he is the first one to give the benefit of the doubt on a quote in the news paper. He explained that he has been quoted enough times that he knows that things can be taken out of context, things can be changed and not necessarily by the reporter, but by the editor, so that what is said is not exactly what is printed. He noted however, if there is a discussion about the Stadium and discussion regarding a censure which occurred in City Hall relates to the Stadium discussion, leads to the conclusion that it would not be reported unless it was brought up. Councilman Alongi stated that this should tell you that he would not say that. Mayor Pape noted that in the article it states that "These people should be lined up against the wall and shot for what they did ". Councilman Alongi interrupted and stated that was right and Mr. Winkler and Mr. Washburn should have gone to jail. Mayor Pape asked for the Sheriffs Officer to remove Councilman Alongi since he was tired of being interrupted. Mayor Pape called for a two minute recess. THE CITY COUNCIL MEETING WAS RECESSED AT 9:04 P.M. THE CITY COUNCIL MEETING RECONVENED AT 9:05 P.M. Mayor Pape stated that Councilman Alongi's conduct was absolutely rude continually interrupted. He noted the statement in the article that states that the people should be lined up against the wall and shot for what they did, somebody needs to go to jail. He further noted that he did not know who he wants to shoot, but there have been allegations in the past and a report was filed with the Sheriff s Office by former Mayor Strigotte because Councilman Alongi threatened to shoot him in the head. He noted that there was also a threat against Charlie Hand. He explained that he does not know if the reference was in regard to one of these gentlemen or one of the past Councilmembers. Mayor Pape pointed out that he is the only one currently on Council that had anything to do with the construction on the Stadium and voting of the financing of the Stadium. Mayor Pape stated that he hopes that he is not talking about shooting anyone that is currently on the Council since they did not have anything to do with the financing of the Stadium. Mayor Pape commented on the cost to operate the Stadium and noted that there was no mention that the City is negotiating a new contract with the Team to raise the revenue to the City to pay for the Maintenance. He explained that Council has taken action to handle the Stadium ourselves. He commented on Councilman Alongi's response on how the City will get out of the situation, and Councilman Alongi stated that we would not. Mayor Pape stated that it is clear to him that Councilman Alongi does not want to be a part of the solution, but rather contribute to the problem. He pointed out that there is five people on Council who are suppose to be working together as a team to solve the problem. He made note of the comments on the City's Lighting and Landscaping District comments made by Councilman Alongi and stated that the information was incorrect. He further noted the difference in information regarding the cost to convert the Stadium for special events, cost of concerts, funding for the Stadium, the Kids -on -Track Program, and commented on Councilman Alongi's remark about the fact that Council would not talk to the reporter because the Council wants to calm down the bankers and the bond - holders and they want to stop the negative publicity. Mayor Pape asked who "they" was since he thought we were all suppose to help solve the problems. He noted that Council should be focusing on tomorrow and trying to make the future better, instead of continuing to dig up the past. He asked PAGE FOURTEEN - CITY COUNCIL MINUTES - SEPTEMBER 10, 1996 if anything in the article contributed to the solution. He pointed out that the Stadium is there and the challenge before us now is to make it work. Mayor Pape pointed out that continuing to try and degrade the Stadium, financing and previous Council is non - productive and sad. He made note of the letter in the Californian by Mr. Jacobs that Councilman Alongi criticize for being negative about the City of Lake Elsinore and then turned around and did just the same thing. Mayor Pape stated that he felt that it was important to address this news article because of the misinformation and lies that appeared in this article and wished to see them corrected. CLOSED SESSION Potential Litigation - L.E.R.A., Inc. 2. Potential Litigation - Lou's Lakeshore Lounge. Pending Litigation - USA Properties. 4. Potential Litigation - Tattoo Parlor. THE CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION AT 9:11 P.M. TO DISCUSS THE ABOVE LISTED ITEMS AND THE CLAIM OF JOSEPH GRASSO. THE CITY COUNCILMEETING RECONVENED AT 10:15 P.M. MOVED BY PAPE, SECONDED BY BRINLEY AND CARRIED BY UNANIMOUS VOTE TO REJECT AND REFER TO CLAIMS ADMINISTRATOR THE CLAIM SUBMITTED BY JOSEPH N. GRASSO, AND DIRECTED THE CITY CLERK TO SEND A LETTER INFORMING MR. GRASSO OF THIS ACTION. ADJOURNMENT MOVED BY BRINLEY, SECONDED BY PAPE AND CARRIED BY UNANIMOUS VOTE TO ADJOURN THE REGULAR CLTYF CIL MEETING AT 10:16 P.M. lets KEVIN W. PA' PE MAYOR CITY OF LAKE ELSINORE CY CLERK CITY OF LAKE ELSINORE REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, OCTOBER 8,1996 ■• x** x** axx�e• �x���e, ��sa�wxaw* u** �• a�a�e�a�ex��exk�xx •ssx�sxa•axxnwaax•w�w• *•a * * * *x CALL TO ORDER The Regular City Council Meeting was called to order by Mayor Pape at 7:05 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by the Webelo Troop 99 Color Guard. ROLL CALL ABSENT: COUNCILMEMBERS: BRINLEY, KELLEY, METZE, PAPE COUNCILMEMBER.S: ALONGI Also present were: City Manager Molendyk, Assistant City Manager Watenpaugh, City Attorney Harper, Administrative Services Director Boone, Community Services Director Sapp and City Clerk Kasad. PRESENTATIONS a. Presentation - American Valley Soccer League. (17:56.1) Carlos Godina, founder of the American Valley Soccer League, acknowledged the work of City staff and thanked the Council for the assistance received from the City. He presented Mayor Pape with a plaque of thanks and a donation of $200 for the Community Center. PUBLIC COMMENTS - AGENDIZED ITEMS Requests were received to address the following item and deferred to that discussion: Item No. 5 CONSENT CALENDAR ITEMS The following items were pulled from the Consent Calendar for further discussion and consideration: Item Nos. 4 and 5 MOVED BY BRINLEY, SECONDED BY, KELLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. 1. The following Minutes were approved: (FA4.4) a. Special Joint City Council Meeting - September 12, 1996 - 10:00 a.m. b. Special Joint City Council Meeting -September 12, 1996 - 11:00 a.m. PAGE TWO - CITY COUNCIL MINUTES - OCTOBER 8, 1996 2. Ratified Warrant List for September 30, 1996. (F: 12.3) Received and ordered filed the Investment Report for August, 1996. (F: 12.5) 6. Adopted Resolution No. 96 -58 relating to the proposed Expansion of the El Sobrante Landfill. (F: 163.1) RESOLUTION NO. 96-58 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ASKING THE BOARD OF SUPERVISORS TO DENY THE PROPOSED 100 MILLION TON EXPANSION TO THE EL SOBRANTE LANDFILL. Accepted Storm Drain Easement Grant Deeds from Ernestine & Alex Flores, Ella Jameson, and Robert & Cindy Spilman. (F:132.1) 8. Approved Public Hearing Date of October 22, 1996 for the following: a. Declaration of Surplus Property and Offer for Sale. (F:48.1) MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO ADD ITEM NO. 33 TO THE AGENDA BEING: 33. Notice of Public Hearing - General Plan/Review of City -Wide Land Use and Zoning. (17:83.1) BUSINESS ITEMS 31. Second Reading - Ordinance No. 1019 - Special Events. (F:151.1) City Manager Molendyk explained this item; and noted that the first event which will be handled under this Ordinance will be the Lake Elsinore Classic Race on Veterans Day Weekend. MOVED BY METZE, SECONDED BY BRINLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO ADOPT ORDINANCE NO. 1019 UPON SECOND READING BY TITLE ONLY. ORDINANCE NO. 1019 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, REPEALING ITEM NO. 12 OF SECTION 5.73.080 OF THE LAKE ELSINORE MUNICIPAL CODE, RELATING TO SPECIAL EVENTS. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: BRINLEY, KELLEY, METZE, PAPE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: ALONGI ABSTAIN: COUNCILMEMBERS: NONE 32. Use of Police Services at Loud Parties or Other Activities - Ordinance No. 1020. (F:127.2) City Manager Molendyk explained this item and requests by Council, that the Staff find \ PAGE THREE - CITY COUNCIL MINUTES - OCTOBER 8, 1996 , ways to recover police expenses from repeat offenders. He further explained the intent of the ordinance. City Attorney Harper further explained the intent of the proposed ordinance which would allow for assessing recovery costs for second and subsequent calls to a single address. Mayor Pro Tern Kelley expressed particular interest in this item in relationship to the Safe Streets Program. She stressed that the intent is to deal with repeat calls for the same issues. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO ADOPT ORDINANCE NO. 1020 UPON FIRST READING BY TITLE ONLY. Mayor Pape noted that this Ordinance will not apply to 99.9% of the people, but stressed the use of limited police resources on a repeat basis. ORDINANCE NO. 1020 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ESTABLISHING CHAPTER 9.42 OF THE CITY, OF LAKE ELSINORE MUNICIPAL CODE REGARDING USE OF POLICE SERVICES AT LOUD PARTIES OR OTHER ACTIVITIES. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: BRINLEY, KELLEY, METZE, PAPE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: ALONGI ABSTAIN: COUNCILMEMBERS: NONE 33. Notice of Public Hearing - General Plan/Review of City -Wide Land Use and Zoning. (F:83.1) MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE THE PUBLIC HEARING DATE OF OCTOBER 22, 1996 FOR THE ABOVE LISTED ITEM. 4. Claims Against the City - Henry Vidana (CL #96 -21 ) and Spectrum Group (CL #96 -221. (F:52.2) MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO REJECT AND REFER THE VIDANA CLAIM TO THE CLAIMS ADMINISTRATOR FOR HANDLING; AND DEFER THE CLAIM OF THE SPECTRUM GROUP FOR DISCUSSION IN CLOSED SESSION. Eastlake Development/Partners Letter. (F:134.10) Mayor Pape noted the letter received from the Eastlake Development Partners. Chris Hyland, expressed concern with the.letter and noted that she has concerns with the name of the corporation. She read the letter from Eastlake and noted that Mr. Weigel Was a participant in the Spectrum Group. She noted that she has several documents which show Mr. Young as a participant in Eastlake Community Builders, Southshore, etc. She stressed that he was previously affiliated with the Eastlake Community Builders and a partner of the TMC Group. She requested that complete information be provided to the public on each and every person affiliated with the corporations. I PAGE FOUR - CITY COUNCIL MINUTES- OCTOBER 8, 1996 Todd Olson, General Counsel for Eastlake Community Builders, indicated that the letter being discussed was written to clear the air regarding a recent lawsuit filed by the Spectrum Group. He stressed their desire to make it clear that they are moving forward on the project and have nothing to do with the lawsuit that has been filed. He responded to Mrs. Hyland that Mr. Young was once involved and is no longer involved, and the current entity took over from the partnership in June of 1996. He indicated that he would be happy to provide that documentation to Council. He further indicated that the consultants are now working on the project master plan and hope to present it by the end of the year. Mayor Pape questioned how the "LLC" works. Mr. Olson indicted that, it is a new type of entity, which is a hybrid between a corporation and a partnership; which has full responsibility for its own actions MOVED BY BRINLEY, SECONDED BY KELLEY TO RECEIVE AND FILE THE LETTER AS PRESENTED. Councilman Metze clarified that the affiliation with a corporation is not an individual issue. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT. THE CITY COUNCIL MEETING WAS RECESSED AT 7:24 P.M. THE CITY COUNCIL MEETING RECONVENED AT 7:26 P.M. PUBLIC COMMENTS - NON - AGENDIZED ITEMS Barbara Dean, representing the Lake Elsinore Rams, noted that they are in the first place for the United American Football team. She further noted that they have been talking with City staff for a couple of yours; and noted obstacles they have encountered along the way. She detailed the prior discussions and indicated that the residents want to have football at the Diamond. She stressed the quality of the team. The following members of the Lake Elsinore Rams team expressed their desire to play at the Diamond and stressed the benefits of such a team for the Community: David Mitchell Dave Davis, #35 Kevin Flynn, #19 David Reynolds, #50 Tom Solka, #84 Shawn Keating, #69 Ted Enish, Sports Medicine Shawn Burton, #45 Ron Dean, Head Coach and Owner, Stressed that they chose Lake Elsinore to make it their community and make it stronger. He noted that this is a great group of guys and great group of fans; and stressed that the Community needs someone to look up to. Leroy Tucker noted that he was present at the last meeting when the kids asked for a skateboard park. jHe suggested that someone could collect donations from the businesses to assist with this type of project. He presented a sketch of ideas for a park, from the kids in his neighborhood. He offered his assistance to help the kids to develop a facility. j Chris Hyland, provided a letter and indicated that she is sick of Councilman Metze saying she is a liar. She stressed the prior signatures for Eastlake Community Builders and representation by PAGE FIVE - CITY COUNCIL MINUTES - OCTOBER 8,1996 Dan Young. She also indicated that she is sick and tired of comments being made, and questioned how people from Europe can vote on taxes affected by Proposition 218. CITY MANAGER COMMENTS City Manager Molendyk wished Councilwoman Brinley a Happy Birthday for tomorrow. CITY COUNCIL COMMENTS Mayor Pro Tern Kelley commented on the following: 1) Noted the Elsinore Classic in November and advised that the Robbie Knievel tickets are on sale at the Diamond. 2) Noted the premiere of Visions and Views which highlighted the Lakeshore Marketplace, and indicated that she was quite pleased with the outcome and looking forward to more shows in the future. 3) Announced that applications are available at City Hall for the FIT Committee program from the CAP Conference . She explained the intent of the program for volunteers to assist with minor repairs and painting of homes for senior citizens. 4) Announced a Fashion Show sponsored by the Women's Club and the Historical Society. She detailed the dates, times and location. 5) Congratulated the Friends of the Library on the success of their dance; and noted that a good time was had by all. She thanked the Band "Transit" for playing at that event. 6) Congratulated the City Attorney on his recognition received from the California State Bar Association. 7) Wished Councilwoman Brinley a Happy Birthday. Councilman Metze commented on the following: 1) Noted the letter quoted by Mrs. Hyland and stressed that the corporations have never been affiliated and Dan Young is no longer affiliated with any of them, as he was bought out of the company in June. 2) Addressed Proposition 218, and stressed that many foreign nationals own property in this community; and could be enable to vote in this community. 3) Noted that the City is surrounded by Communities of Interest and that many of the crime problems occur outside the City Limits, but are reported as being in the City of Lake Elsinore. He suggested that the press give credit where credit is due. Councilwoman Brinley commented on the following: 1) Thanked the Webelos for their presence tonight and offered applause. 2) Thanked the Soccer league for their support of staff, the plaque and t"Jconation to the Community Center. 3) Addressed Visions and Views and indicated that she feels it was a.s-, coss, and stressed that there will be wany more shows in the future. he thanked Cheryl Smith, Tom Thomas, Vick Knight and City staff for makin it.. possible. PAGE SIX - CITY COUNCIL MINUTES - OCTOBER 8,1996 r 4) Addressed Mr. Leroy Tucker and concurred regarding the skateboarding and the need for a place for them to go but stressed the need to make it a safe place to skate. She noted that the key obstacle will be the liability insurance. 5) Commented that she will take the comments of the evening under advisement and expressed appreciation for the comments. Mayor Pape commented on the following: 1) Addressed Visions and Views, and noted that it was professionally done and looked forward to replays later in the month. He stressed that this is an effort by Council to get information out to the community. 2) Thanked Webelo Troop 99 for being present for the Flag Salute. He noted that they are interested in hosting the, regional rally in Lake Elsinore next year. 3) Concurred that the Library dinner was well attended and a big success. 4) Indicated that he would support a skateboard park, but noted the potential impacts of the upcoming election on the ability to provide parks. He noted the quality of amenities already in place. 5) Indicated that he would love to see football at the Diamond; and suggested that the team pay the money, rent the Stadium and play ball. 6) Noted that there are opportunities available to volunteer at the Library. He suggested that interested parties call or go down to the Library to volunteer. CLOSED SESSION Pending Litigation - USA Properties - Case No. 280489. Potential Litigation - L.E.R.A. THE CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION AT 7:58 P.M. TO DISCUSS THE ABOVE - LISTED ITEMS. THE CITY COUNCIL MEETING RECONVENED AT 9:05 P.M. MOVED BY PAPE, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO REJECT AND REFER TO THE CLAIMS ADMINISTRATOR FOR HANDLING, THE CLAIM SUBMITTED BY SPECTRUM GROUP, INC. ADJOURNMENT THE REGULAR CITY COUNC AT yST; f VI4 KI KASAD, -71TY LERK CITY OF LAI N, �,LSINORE IL 2MEE G W S ADJOURNED AT 9:06 P.M. VIN W. APE, MAYOR CITY OF LAKE ELSINORE MINUTES CITY COUNCIL STUDY SESSION CITY OF LAKE ELSINORE 130 SOUTH MAIN STREET LAKE ELSINORE, CALIFORNIA October 16, 1996 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx CALL TO ORDER Mayor Pape called the City Council Study Session to order at 3:05 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Mayor Pro Tern Kelley. ROLL CALL PRESENT: COUNCILMEMBERS: BRINLEY, KELLEY, METZE, PAPE ABSENT: COUNCILMEMBERS: ALONGI PUBLIC COMMENTS - AGENDIZED ITEM There were five requests to speak regarding item A. DISCUSSION ITEM A. General Plan/Review of City -Wide Land Use and Zoning. (F: 83.1)(X:172.1) City Manager Molendyk explained that per Council Policy this issue was brought before a Study Session for review. He further explained that at the last Council Meeting concern was expressed in regard to the High Density and Medium High Density areas throughout the City. Community Development Director Leslie noted the different areas of the City that are High Density and Medium High Density. He explained that several of the Specific Plans contain some High Density and Medium High Density as part of their projects, as well. Mayor Pape explained that several persons on Council have expressed concern regarding the number of units allowed per acre and the surrounding land uses. Mayor Pape then called upon the following persons who requested to speak: Dick Knapp, City Treasurer, stated that he did not understand the purpose of this Study Session since there was no specific project listed. Chris Hyland stated that she felt that there was no real specific area pinpointed and that she could not question or address something so unclear. William Watkins, 27844 Murrieta Road, Sun City, stated that he thought that they would be addressing general land use and he asked that Council consider a future Study Session regarding the berm problem in the four corners area. Mayor Pape stated that Mr. Watkins should consult with Community Development Director Leslie and see if he could help to resolve concerns regarding that area. PAGE TWO - CITY COUNCIL STUDY SESSION MINUTES - OCTOBER 16,1996 Ace Vallejos stated that he did not have any comments at this time since there was no specific project being addressed. Edith Stafford stated that she felt that this Study Session was ridiculous and that it was a waste of staff time if Council was not going to address anything specific; and that they could accomplish the same thing during a Council Meeting and not waste the public or staff s time. Mayor Pape explained that Council was following the recent policy that if there was a new item to be brought before Council that it would go to a Study Session first. City Manager Molendyk explained that new Council Policy and stated that it is designed to allow each Councilmember the opportunity to question the issues and express their opinions and give staff directions. Councilman Metze noted that this gives each Councilmember the opportunity to express their concerns to staff and give them the opportunity to prepare the information that Council requires to make their decisions. Councilwoman Brinley stated that each of the Council had different concerns regarding High Density and this gives them to opportunity to direct staff to provide the proper information. Mayor Pro Tern Kelley stated that she would like to see a revisions to the numbers allowed per acre for High Density and Medium High Density, as well as compatibility of surrounding land use. Mayor Pape stated that he felt that 24 units per acre was just too high and any new project should be compatible with the surrounding land uses. He stated that Council would like to see a survey done of the area and directed staff to hold a public hearing to place a temporary hold on any proposed High Density or Medium High Density project, until staff has time to review the General Plan and set new density levels. Councilwoman Brinley stated that she has some real concerns regarding High Density Zoning in the Downtown area and would like to see this addressed. Mayor Pro Tern Kelley questioned how the City could lower its density and conform surrounding land uses to be compatible. Councilman Metze clarified that the he would like to see any High Density or Medium High Density placed on hold until such time as staff can review the General Plan and bring proposals back to Council for review. Mayor Pape confirmed that all the other zones would not be affected by this proposed action and that General Commercial Projects, Single - Family and Low Density etc., will not be affected. He clarified that it will only be High and Medium High Density that will be affected and only those projects will be placed on hold until the densities can be reviewed. ADJOURNMENT The Study Session was adjourned at 3:25 p.m. PAGE THREE - CITY COUNCIL STUDY SESSION MINUTES - OCTOBER 16, 1996 Respectfully submitted, Adria L. Bryn/iing,, D puty City erk A'1 TF CKI K k AD, CITY CLERK MINUTES REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 N. MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, OCTOBER 22,1996 CALL TO ORDER The Regular City Council Meeting was called to order by Mayor Pape at 7:05 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Councilman Metze. INVOCATION The Invocation was provided by Herb Lipson, President of Temple Beth Sholom, Sun City. ROLL CALL PRESENT: COUNCILMEMBERS: BRINLEY, KELLEY, METZE, PAPE ABSENT: COUNCILMEMBERS: ALONGI 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 and City Clerk Kasad. a. Proclamation - Congressman Ken Calvert. (F:122.1) Mayor Pape noted the efforts by Congressman Calvert on behalf of the City of Lake Elsinore, particularly with regard to improvements on Highway 74. He presented Congressman Calvert with a Proclamation commemorating those efforts. Congressman Calvert recognized the improvements to the City of Lake Elsinore and expressed pleasure with being able to serve the residents. He looked forward to continued future cooperative efforts with the City. b. Proclamation - Alisa Kimble Miss California USA Former Miss Lake Elsinore. (F: 122.1) This item was deferred to allow for the arrival of Ms. Kimble. C. Presentation - United Public Employees of California. (17:56.1) City Manager Molendyk noted the presence of the representatives of the United Public Employees of California to discuss Proposition 218. Fred Lowe, representative of UPEC, LIUNA Local 777, noted the potential negative impact of Proposition 218 on the City of Lake Elsinore He explained that it would mean a $2 million loss to the City and noted the potential for layoffs of City employees.. He noted the proposed variation, in the voting process and stressed the impact of this proposition on City operations. Carol Gordon, Vice- President, LWNA Local 777, noted the City Council Resolution in PAGE TWO - CITY COUNCIL MINUTES - OCTOBER 22,1996 opposition to Proposition 218 and noted expressed thanks to the Council for support of the employees. She noted that most employees of the City are now veteran employees and very much dedicated to the Community. She expressed hopes that everyone would educate themselves on the impacts of this Proposition and vote appropriately. She again thanked the City Council for their support of the employees. John DeGange, addressed the Council as an employee and a long time resident of the City, and reiterated the need for people to become educated on the issues prior to voting. He expressed concern that this Proposition would force a step backward for the community. He stressed the recent improvements to the City and the need for continued efforts. d. Presentation - U date on Lake Elsinore Classic. (F:56.1) Community Services Director Sapp provided an update on the events planned as part of the Lake Elsinore Classic, including Robbie Knieval's jump, the motorcycle races, the Inge run, etc. He detailed the dates and the related street closures to facilitate the events. He clarified the times for the events and the locations for various activities. He further indicated that there are now over 2,000 entries in the motorcycle race itself. b. Proclamation - Alisa Kimble Miss California USA Former Miss Lake Elsinore. (F: 122.1) Mayor Pape presented Ms. Kimble with a Proclamation and inquired how girls from the City could become involved in such a competition. Ms. Kimble explained that the most important factor is for girls to believe in who and what they are and pursue their dreams. Ms. Kimble thanked the Council for this recognition. PUBLIC COMMENTS - AGENDIZED ITEMS Requests were received to address the following items and deferred to those discussions: Item Nos. 3, 21 and 31. CONSENT CALENDAR The following items were pulled from the Consent Calendar for further discussion and consideration: Item Nos. La. and 3. MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. The following Minutes were approved: (FA4.4) b. Regular City Council Meeting - October 8, 1996. C. City Council Study Session - October 16, 1996. The following Minutes were received and ordered filed: d. Planning Commission Meeting - August 21, 1996. e. Planning Commission Meeting - September 4, 1996. f. Planning Commission Meeting - September 18, 1996. PAGE THREE - CITY COUNCIL MINUTES - OCTOBER 22,1996 g. Planning Commission Meeting - October 2, 1996. (F:60.3) h. Design Review Committee - August 21, 1996. I. Design Review Committee - September 4, 1996. j. Design Review Committee - September 18, 1996. k. Design Review Committee - October 2, 1996. Special Design Review Committee - October 2, 1996. (F:60.4) 2. Ratified Warrant List for October 16, 1996. (F: 12.3) PUBLIC HEARING 21. Citv Wide Review of General Plan Land Use and Zoning relating to Multi - Familv Housin Development and Possible Consideration of an Urgency Interim Ordinance Temporari ly Prohibiting Approval of any Further Multi - Family Housing g evelopments at a Density Greater than Twelve (12 ) Dwelling Units Per Acre Pending the Contemplated Studies - Ordinance No. 1021. (F: 83.1)(X:172.1) City Manager Molendyk highlighted this item and noted that there have been specific concerns voiced with regard to high densities and multi - family residential. Community Development Director Leslie explained that he is suggesting that the Council give direction to staff based on the previously held study session. He explained that he believed the best approach would be an inventory of the existing general planned multi- family and related zoning and providing an evaluation of the development potential for those properties; and return the study to Council for review. Mayor Pape opened the public hearing at 7:36 p.m. asking those persons interested in this item to speak. The following persons spoke: Mariana Mohylyn, 305 W. Sumner, noted the study session on this topic and noted the disappointment of those persons in attendance. She commended the contributions of the ministers to the city Council meetings. She questioned the impact of this item and the potential for special attention to some. Chris Hyland, 15191 Wavecrest Drive, addressed the study session on October 16th, and noted that it was only 20 minutes long. She read her comments from the minutes and noted the staff report. She questioned the proposed units at four corners and questioned the comments regarding the USA Properties project. She noted that the developer will not back down on the pending lawsuit. Hearing no additional requests to speak the public hearing was closed at 7:44 p.m. Councilwoman Brinley commented that the intent.is to bring this item back to look at the areas with multi - family housing to prevent incompatibility with the surrounding developments. She indicated that it would also address the crime rates and other issues. Mayor Pape noted the concerns, for this issue and expressed a need to put any new developments of this type on hold to allow staff to gather information and return with ways to provide compatibility with the surrounding areas. He stressed the need for adequate lighting, parking, and storage for a multi - family project. He noted that high density housing complexes tend to have a higher, incidence of calls for the Police PAGE FOUR - CITY COUNCIL MINUTES OCTOBER 22,1996 department. He indicated that, he would lake to be proactive and review the existing ratio of high density units in the City. He stressed the importance of logical, orderly development. Mayor Pro Tern Kelley indicated that she is not pleased with the density of the USA Project, and expressed concern with incompatibility to surrounding developments. She stressed that this would only be a 45 day hold to allow for study of what currently exists or is pending. Councilwoman Brinley stressed that this action would not impact single- family residential, commercial or church properties. Councilman Metze indicated that he felt this was a good recommendation from staff. He suggested that the newspapers need to "get it right ", and expressed concern with the press comments regarding a housing moratorium. Mayor Pape stressed the type of properties which are not impacted by this action. MOVED BY BRINLEY, SECONDED BY KELLEY TO ADOPT INTERIM URGENCY ORDINANCE NO. 1021, BY TITLE ONLY: ORDINANCE NO. 1021 AN INTERIM URGENCY ORDINANCE TEMPORARILY PROHIBITING NEW MULTI - FAMILY RESIDENTIAL PROJECTS AT A DENSITY GREATER THAN TWELVE (12) DWELLING UNITS PER ACRE PENDING CONTEMPLATED GENERAL PLAN AND ZONING STUDIES, UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: BRINLEY, KELLEY, METZE, PAPE NOES: COUNCILMEMBERS: NONE ABSENT: COUNCILMEMBERS: ALONGI ABSTAIN: COUNCH.MEMBERS: NONE BUSINESS ITEMS 31. Second Reading - Use of Police Services at Loud Parties or Other Activities - Ordinance No. 1020. (F:127.2) Mariana Mohylyn, 305 W. Sumner, commented that the Police need to assist those people who are harmed. She suggested that response to parties should be a standard procedure, questioned why a $250 fee is now being imposed. MOVED BY METZE, SECONDED BY BRINLEY TO ADOPT ORDINANCE NO. 1020 UPON SECOND READING BY TITLE ONLY. Councilman Metze clarified that the fee won't be used for the first time offense, but after that the person should be charged for the return trips. He indicated that only 1 % of the people will ever be impacted by this Ordinance. He also noted that the process would start over if there were no additional calls within a 30 day period. PAGE FIVE - CITY COUNCIL MINUTES - OCTOBER 22, 1996 Mayor Pape concurred that 99% of the population would never be impacted by this action. He noted that the majority of the residents either don't have loud parties, or would tone down a party upon the request of law enforcement personnel. Mayor Pro Tem Kelley noted that this Ordinance will work in conjunction with the Safe Streets Program. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT. ITEMS PULLED FROM CONSENT CALENDAR 1. Minutes a. Regular ar City Council Meeting - September 24. 1996. (F:44.4) Mayor Pape indicated that he pulled this item to discuss the Public Comments portion of the Minutes. He noted the comments by City Treasurer Knapp regarding budgetary numbers were not accurate. He further noted that he and staff were not certain what Mr. Knapp was saying in portions of the comments. He suggested that since W. Knapp had the final number, his comments may have been intended to be misleading. He commented on a meeting he attended recently and noted discussion of adopting ordinances that would address people who address Council from the podium with inaccurate statements. MOVED BY PAPE, SECONDED BY BRINLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE THE MINUTES AS SUBMITTED. 3. Award of Contract for Consultant Services for the Preparation of Plans. Specifications and Estimates for the Mission Trail Pavement Rehabilitation Project. (F:156.2) Mariana Mohylyn, 305 W. Sumner, noted that this item is to give funds to a specific contractor. She indicated that she supports the funds for the study, but inquired whether the pedestrian and sidewalk areas will be included. She indicated that if this was the case she would congratulate the City on this project. She stressed the need for the sidewalk. Mayor Pape stressed that this item is only to start work on the plans. He noted that this project will improve access for the businesses in that area. He further noted that the physical work on the project will not occur until next Spring, to avoid impacting the holiday traffic. MOVED BY METZE, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO AWARD THE CONTRACT FOR CONSULTANT SERVICES TO NORRIS- REPKE, INC. IN THE AMOUNT OF $40.014. THE CITY COUNCIL MEETING WAS RECESSED AT 8:02 P.M. THE CITY COUNCIL, MEETING RECONVENED AT 8:04 P.M. PUBLIC COMMENTS - NON - AGENDIZED ITEMS John E. Seepe, III, 15631 Half Moon Drive, noted that he is concerned with the type of press coverage the community receives. He suggested that the local papers should have much more that the City Council meetings to report on. He stressed the importance of positive stories on the community, regarding things such as special events and residents who are involved in noteworthy activities. Mariana Mohylyn, 305W. Sumner, commented on power battles and. addressed;misleading and false comments. She also commented on Proposition 218 and questioned the source of funds for City operations. She expressed support for Proposition 218. Chris Hyland, 15191 Wavecrest Drive, spoke in support of Proposition 218. She noted prior comments by Councilman Metze and commented on the right to vote in the United States. She indicated that foreigners could not vote in the U.S. She indicated that she is not against assessments, but against those which are intended to solve problems: created by the City. CITY MANAGER COMMENTS City Manager Molendyk noted the Crime Summit held on October 21st, and hosted by Sheriff Larry Smith. He further noted the positive comments which were made by people from outside Lake Elsinore. He commended the Sheriffs Department on their efforts for Lake Elsinore and encouraged them to keep up the good work. City Attorney Harper noted that there is some confusion with regard to voting on Proposition 218. He explained that it will impact all property based exactions, fees and assessments such as the Lighting and Landscape Maintenance District. He clarified that taxes are voted on at a regular General Election, by registered voters. He explained that the major impact will be regarding a portion of the fees and assessments, which will be a vote by th eproperty owners rather than the registered voters. He stressed that the property owner vote would not take into consideration citizenship or where the owner resides. CITY COUNCIL COMMENTS Councilwoman Brinley commented on the following: 1) Provided an update on the Tri-City Trolley; and noted that the kick -off would be on December 6th in downtown Lake Elsinore. She indicated that it will run the month of December and cost $.50 cents to ride, with Senior Citizens riding for $.25. She further indicated that it is intended to bring fun and holiday spirit for the Community. 2) Congratulated Alisa Kimble and noted that she has known her since she was a little girl. She indicated that Alisa is a wonderful, confident woman and very positive representative of the Community. 3) Thanked Mr. Seepe for his positive comments on the community na concurred with the need for awareness of the positive aspects of the community. She thanked him for his time and effort to let his thoughts be known. Mayor Pro Tem Kelley commented on the following: 1) Congratulated the Women's Club and the Historical Society on their successful fashion show. She noted her enjoyment of the event and indicated taht she was very happy for the two organizations. 2) Congratulated Alisa Kimble on her success and noted her future representation of the Community. 3) Noted that the FIT program applications are available at City Hall and the Senior Center. She further noted that this is an offshoot of the CAP Conference and explained the program. 4) Thanked Mr. Seepe for attendding the meeting and working to get the media to PAGE SEVEN - CITY COUNCIL MINUTES - OCTOBER 22,1996, provide positive coverage. She noted the difficulty of getting positive information into the newspaper. Councilman Metze commented on the following: 1) Concurred with the comments of Mr. Molendyk regarding the Crime Summit. 2) Commented to Mr. Seepe that the City does not seem to be able to get good coverage no matter how hard they try. He noted the lack of coverage for the July 4th event and expressed hopes to obtain the positive coverage. 3) Discussed Proposition 218 and noted the verbiage included in the sample ballot regarding the fiscal impact. He stressed that this is not just scare tactics, but it is on the actual ballot. He stressed the negative impacts of this Proposition and expressed his opposition to it. He noted that the Proposition is poorly written. Mayor Pape commented on the following: 1) Commented on Proposition 218 and noted that it is not a matter of support or opposition, but people need to know what will occur if it passes. He stressed the losses to the City and noted the major newspapers and other cities who have expressed their opposition. 2) Noted that he attended the H.O.P.E. Dinner on Saturday and stressed the efforts by the volunteers. He noted a raffle, included in the evening to assist a terminally ill child. 3) Noted a letter from Pete Dawson about the Lake Edge Specific Plan. He noted that the plan is nearly done on the City side, but expressed an interest in working with the County and the Supervisor to finalize the plan. He noted that with County cooperation the project could be finished up. 4) Reiterated that the FIT program applications are available. 5) Noted that work will soon start on Lakeshore Drive near Stater Brothers Market. He explained the problems encountered with the project. 6) Concurred that it was very nice to sit among peers at the Crime Summit and hear positive comments about the Communtiy. 7) Concurred with comments about the need to hear more "good" news. He noted the upcoming and recent business openings. He stressed the need for the newspapers to assure accurate reporting of locations of incidents. 8) Addressed the West End Fire Station and noted that it will come back for further discussion in November. CLOSED SESSION Pending Litigation - USA Properties - Case No. 280489. Pending Litigation - L.E.R.A. THE REGULAR CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION TO DISCUSS THE ABOVE MENTIONED MATTERS AT 8:32 P.M. PAGE EIGHT - CITY COUNCIL MINUTES - OCTOBER 22, 1996 THE CITY COUNCIL MEETING RECONVENED AT 9:00 P.M. NO ACTION TAKEN. ADJOURNMENT THE CITY COUNCIL MEETING WAS AWOURnD AT 9:01 P.M. v W. P E, MAYOR OF LAKE ELSINORE ATTEST: L-1, Y CLERK CITY OF LAKE ELSINORE MINUTES JOINT, STUDY SESSION. LAKE ELSINORE CITY COUNCIL/ ELSINORE VALLEY MUNICIPAL WATER DISTRICT 31315 CHANEY STREET LAKE ELSINORE, CALIFORNIA TUESDAY, NOVEMBER 5, 1996 CALL TO ORDER The Joint Study Session was called to order at 3:00 p.m. ROLL CALL PRESENT: COUNCILMEMEERS: ABSENT: COUNCILMEMEERS: BOARDMEMEERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE ANDERSON, ATTRIDGE, JEFFRIES, WICKE NONE THOMAN Also present were: City Representatives - Assistant City Manager Watenpaugh, Administrative Services Director Boone; Community Development Director Leslie, City Engineer O'Donnell and City Clerk Kasad. Water District Representatives - General Manager Hoagland and Clerk of the Board Matson. 1. Future Water S0121y Issues for the EVMWD Service Area. (F: 164.1) General Manager Hoagland noted that the Board has wanted to meet with the Council for a while, and expressed appreciation for the opportunity to discuss significant water issues. He explained the current water supplies being local groundwater wells producing 9,600 acre feet/year; surface runoff from San Jacinto River Basin (Canyon Lake ) 3,000 acre feet/year; imported water from Lake Skinner (Auld Valley Pipeline) 5,500 acre feet/year; for a total of 18,100 acre feet/year. He explained that there is only about 10 feet of excess water in Canyon Lake. Councilwoman Brinley questioned the current water level in Canyon Lake. General Manager Hoagland indicated it is presently at 1372' elevation. Mr. Hoagland explained the current demands for water, being 36 million gallons per day on peak days . He explained the potential for approximately a 7% loss in water, and noted a situation in the downtown area which was a cost effective approach to the leakage. He explained the complicating factors of water quality and the cost of supplies from the Colorado River. He also explained the level of salts and phosphates in these waters which already exceed the salt discharge level when they purchase the river water. He advised that local ground water is very high quality and low in minerals, but noted problems with water from Canyon Lake. He stressed the balancing act to address these complicating factors. He detailed the availability and cost factors for each type of supplies; and stressed the benefit of using local water. He addressed the future needs and presented graphs for wet and dry year scenarios based on a 3% per year growth rate; and stressed the limitations on the long range supply. He noted that one well on the island has water suitable for their use and explained potential assistance from the wetland project and the Temescal Valley project. He stressed the need for additional supplies by the year 2001 or 2002. He presented a diagram of the Temescal Valley pipeline project and explained the plan to address the needs for the development in Horsethief Canyon. He detailed the back basin runoff recovery project and stressed that this would be the lowest cost PAGE TWO - STUDY SESSION MINUTES- NOVEMBER 59 1996 alternative for providing the necessary water supply. / Councilman Alongi questioned the Eastlake Project Area. Mr. Hoagland showed it. I7� Boardmember Attridge questioned use of water for a golf course. Councilman Metze questioned the ownership of property in the area. Mr. Hoagland indicated that they do not own the property at this time. He noted that the Eastlake Development will increase the demands on the system by 50 %, and they will need to mitigate that impact; and will be discussing that to determine how both parties can meet their objectives. He stressed the potential opportunity to use low cost local resources to meet the need. Mayor Pape questioned the depth proposed in the back basin. Mr. Hoagland indicated that there would be no significant changes to the topography, but it could be up to 10 or 15 feet deep. Mayor Pape questioned the possibility of using the area for sailboats. Mr. Hoagland indicated that it would probably be too shallow. Mayor Pape inquired whether this body would go dry in the summer. Mr. Hoagland confirmed that would be the goal and further detailed the project. There was general discussion with regard to the project, water quality and the improvements required to facilitate it. Assistant City Manager Watenpaugh questioned the potential need for excavation and fill to begin this project. Mr. Hoagland confirmed that will be needed and expressed willingness to work with the developer to mitigate the impacts on water supply. Boardmember Jeffries noted that there has been limited discussion of this topic by the Board, to date. Mr: Hoagland confirmed and explained that this is a component of the water master plan. Mayor Pro Tern Kelley questioned the capacity of the Temescal Pipeline Project. Mr. Hoagland indicated that the daily capacity will be approximately 26.8 million gallons a day. Boardmember Jeffries noted the total cost for the project. Mr. Hoagland indicated that the worst case scenario for the pipeline is about $30 million in project costs, with an additional $18 million in connection fees. Mr. Jeffries noted that part of the problem is who will pay for the project; and suggested it would either require a large development fee or a general assessment. There was general discussion of water sources and the related costs. Mr. Hoagland stressed the cost of imported water. Mr. Watenpaugh questioned the timing for the diversion of water, and whether the wetland project would be lined. Mr. Hoagland indicated that there would be no lining, but the water would be allowed to sit on the ground without soaking in. Mr. Watenpaugh questioned the potential for trading wetland areas for this are. Mr. Hoagland noted the difficulties, in that it would not have water year round, but they are working to see what will be the most beneficial approach. . 2. Reclaimed Water Use for Level Maintenance in Lake Elsinore. (F:164.1)(X: 92.1) General Manager Hoagland noted that Boardmember Anderson requested this discussion. He stressed the importance of understanding the scope of water issues to Lake Elsinore, and addressed the background, requirements, supplies, costs and other issues. He explained the requirement that the Lake be maintained in an operating range of 1240 to 1249, and noted that there is approximately another two years of evaporation in the Lake right now. He noted the Agreement to Fill and Operate and advised that a lot of the issues have been resolved and are being resolved, with the remaining issue being the addition of water to maintain the level. He explained that there is an annual evaporation rate of 14,000 acre feet/year, and stressed the impact of the requirement for body contact quality water. Councilwoman Brinley questioned the level of water quality. Mr. Hoagland clarified that the intent is to use tertiary treated water or a three part process. He explained the three levels, and clarified that it can be used for anything but drinking. He stressed that the water is completely disinfected. Mayor Pro Tern Kelley questioned other lakes which are presently using this type of water. Mr. Hoagland indicated that Lake Irvine and some others are presently PAGE THREE - STUDY SESSION MINUTES - NOVEMBER 5, 1996 using it. Councilwoman Brinley questioned previous parasite problems in that area. Mrs. Kelley inquired if he knew of one with recreation uses. Mr. Hoagland indicated that he did not,. but stressed the consistently high water quality levels. Councilwoman Brinley inquired if this was intended as a pilot program. Mr. Hoagland indicated that it was not but noted other pilot programs including one in San Diego to provide treated drinking water., Boardmember Attridge noted a project in Fountain Valley and stressed the millions of gallons of water a day from that plant. Mr. Hoagland addressed the supply issue, and explained that drinking water would require 80% of current total annual production to maintain Lake Elsinore's water level. He further indicated that about 2,000 acre feet of reclaimed water is available from Eastern Water District in 1998; in addition to the EVMWD 3,000 acre feet of reclaimed water. He noted that Eastern will have more available in the future, but only about 30% of the water required is currently available. He also noted an issue before the Water Board to consider a feasibility study to apply for a NPDES Permit to discharge reclaimed water from multiple sources into Lake Elsinore. Mayor Pape questioned the evaporation rate vs. The water available and questioned where the additional water will come from. Mr. Hoagland concurred that this was an area of concern He compared the cost for Drinking water of $5 million/ Year vs reclaimed water of $.85 million/year. He stressed the difficulty of meeting the requirements. Councilwoman Brinley questioned how to sell reclaimed water to the public and stressed the horror stories of diseases contracted. Mr. Hoagland indicated that no one has ever gotten sick swimming in reclaimed water, and stressed that it is treated and filtered. Councilman Metze questioned the water in the Domenigoni facility and reclaimed water. Boardmember Anderson indicated that would be drinking water. Councilwoman Brinley stressed the need for a thorough education process for the public. Boardmember Attridge indicated that this has been addressed previously. Boardmember Anderson stressed that it is a lot closer in timing, than originally anticipated. Boardmember Attridge stressed that the issues should be gone at this point. Councilwoman Brinley reiterated the need to address it as a near future issue. Councilman Alongi questioned what is done with the reclaimed water now. Mr. Hoagland indicated that it is used for agricultural users. Councilman Alongi questioned the safety factors to ensure proper purification. Mr. Hoagland stressed the redundancy within the plants to assure adequate treatment and backup systems, and noted that it had not historically been a problem. He also stressed the monitoring factor and the impacts of runoff. Councilman Alongi questioned whether the water would be stored elsewhere before putting it into the Lake. Councilwoman Brinley questioned the monitoring of this water.. Boardmember Anderson indicated that the water is not currently being used. Mayor Pape inquired whether this suggestion had been discussed with Eastern Water District. Mr. Hoagland indicated that it has been discussed, but there is currently no permit to put water in Lake Elsinore. Mayor Pape inquired whether the pipelines will accommodate this future capacity. Mr. Hoagland indicated that in 14 months they will need a place to put the water from the pipeline. Councilwoman Brinley inquired if the intent was to buy and store reclaimed water in the Lake; and the future potential that they would sell the water from the Lake. Assistant City Manager questioned the Fill and Operation Agreement which requires that the City pays for one -half of the fill water. Mr. Hoagland confirmed, and explained that he hopes that the reclaimed water will make the level a non - issue. Councilman Alongi questioned what would be done with the excess reclaimed water. Mr. Hoagland indicated that they would send it down stream. Councilwoman Brinley questioned when the process would start. Mr. Hoagland indicated that it would take almost two years to get a discharge permit; which would probably be about the right timing to address the need. There was general discussion with regard to Council concurrence on placing reclain od water in the lake and discussion of the concerns for recreational uses. There was emphasis claced on the joint interest and impact of the lake. Boardmember Anderson - stress. l th° need to get the study going to meet the needs in the next two years. Boarisr.;;nber Attridge suggested concurrence of the boards. Boardmember Wicke clan` ed the importar:cr; of the study to PAGE FOUR - STUDY SESSION MINUTES - NOVEMBER 5, 1996 start the process; and indicated that Council would be asked to agree with starting a study. Mayor Pro Tem Kelley questioned the potential for a special education project. Boardmember Anderson suggested consideration of tours of the plant to assist in this area. Councilman Alongi stressed the responsibilities of the water district. Boardmember Attridge stressed the education effort which has been made previously. Boardmember Anderson further discussion tours of the plant to show the processing and the changes in the water. Mayor Pape questioned the nitrogen and phosphorus levels of the water to be discharged. Mr. Hoagland explained the removal of nutrients from the reclaimed water; and indicated that he believes that the questioned has been answered through tests and results. He detailed the recent observations with regard to lake algae, lake turnover , the presence of various nutrients and the problems in removing these substances. Mr. Hoagland explained the need to compile this information into a model to see the impacts of phosphorous on the lake. Mr. Hoagland noted that a large part of good quality water as a result of the 1995 winter exchange of water; and noted that is needed on a more regular basis. He stressed that the whole point of lake management was to cause more frequent spills from the lake and dilution of the sediments. Councilwoman Brinley stressed the need to educate the public on reclaimed water and give them a comfort level with the program and assure that all precautions have been taken. Councilman Metze noted that much of that is both bodies showing the same thing. Boardmember Attridge commented that it is impossible to educate everyone, but the education process is still important for other agencies and both boards. Councilman Metze concurred that it is important to put forth the effort. Mayor Pape noted a recent effort to put reclaimed water in the Newport Bay. Mr. Hoagland advised that is still an issue, but partially misinformation. Boardmember Attridge indicated that the back basin is polluted all the time. City Treasurer Knapp questioned studies on channel fish and algae.' Mr. Hoagland concurred that much research has been done in this area and most fish don't like the type of algae in the Lake. He noted unsuccessful efforts to find a native fauna to help control the algae. Mr. Knapp questioned the possibility of plants to assist with this effort. Mr. Hoagland explained that would require thousands of acres of plants. He noted the difficulty of the heavy rain and upstream flows over a short period; and noted previous research with regard to the prevention of evaporation. He stressed that the best approach would be to pump it up to the treatment plant for processing. The Boards thanked each other for the opportunity to meet jointly. ADJOURNMENT THE JOINT STUDY SESSION WAS ADJOURNED AT 4:25 P.M. '4 W. P E, MAYOR OF LAKE ELSINORE ATTEST: I ILI -, �' A, I VICKI KASAD, CITY CLERK CITY OF LAKE ELSINORE n SPECIAL CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, NOVEMBER 5, 1996 *.. �*. �*.. �x■ �xx* xx:... �.. �..**.**. �x. �x. xx��xx�xx .�x� *xx * *�xx *x�xz.x�x..��.�x CALL TO ORDER The Special City Council Meeting was called to order by Mayor Pro Tern Kelley at 2:40 p.m. ROLL CALL PRESENT: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE ABSENT: COUNCILMEMBERS: PAPE (Mayor Pape arrived at 2:45 p.m.) Also present were: Assistant City Manager Watenpaugh, City Attorney Harper and City Clerk Kasad. CLOSED SESSION Litigation - U.S.A. Properties. (F:52.2) THE SPECIAL CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION AT 2:41 P.M. Mayor Pape arrived at 2:45 p.m. THE SPECLAL CITY COUNCIL MEETING RECONVENED AT 3:06 P.M. NO ACTION TAKEN. ADJOURNMENT THE SPECIAL CITY COUNCIL MEETING WAS ADJOURNED AT 3:08 P.M. KEVIN W. PAPE, MAYOR CITY OF LAKE ELSINORE ATTEST: r li''i,, P6jaTy CLERK CITEY i3F i..AKE ELSINORE I�l l l►l Y REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, NOVEMBER 12,1996 xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx CALL TO ORDER The Regular City Council Meeting was called to order by Mayor Pape at 7:02 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Councilman Metze. INVOCATION Mike Warenski, Elsinore Christian Center provided the Invocation. 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, Manager of Special Projects Best and City Clerk Kasad. PRESENTATIONS /CEREMONIALS a. Presentation - Western Riverside CountComprehensive Transportation Plan. (F: 108.13) David Gunderman, representing W.R.C.O.G., detailed the Comprehensive Transportation Plan and the anticipated population growths. He stressed the interest in providing employment within the area and adequate streets and highways to accommodate the growth. He highlighted the population factors anticipated in the year 2020. He explained the study process to evaluate the existing transportation system and access routes. He detailed the primary and secondary roads which serve the western Riverside area. He explained improvements and enhancements which would be needed to facilitate the overall plan. He noted the areas with particular problems in 1990. He explained the improvements proposed for the area and noted the impact of those improvements alone, being increased congestion between Lake Elsinore and the 91 freeway. He noted that would not be acceptable to anyone. He explained the model system as proposed. He detailed the consortium working on the system and their determination for the most effective model. He presented the Long Range Transit Plan for intra -county express rail and inter -county rail. Includes a Goods Movement Plan and stressed the needed ability to move goods throughout the County. He presented a comparison of the 1990 and 2020 numbers and noted the impact of the economy on the future numbers. He explained the costs of $11.9 billion dollars which would be required between now and the year 2020. The next step of the plan is to identify funding sources and financing options. He noted the incremental approach for the roadways. He noted a possible extension of Measure A program for roads not originally included in the program. He explained that the main reason he was present was to ask for adoption of a Resolution for continued cooperation with the sub - committee to make this project a reality, and to adjust the general plans where and when necessary so the right of way can be acquired during the process. He detailed the cost of right of way acquisition which is over 50% of the costs. He advised PAGE TWO - CITY COUNCIL MINUTES - NOVEMBER 12, 1996 that he will be returning with more information as the project proceeds. Mayor Pape thanked him for his time and presentation. b. Presentation - Report on Dexter /74 Traffic Signal request. (F: 82.3)(X:162.4) City Engineer O'Donnell indicated that the CALTRANS has approached the City for participation of 1/4 of the costs for a traffic signal at this location, at a cost of approximately $40,000. He noted that if the Hall Annexation is finaled, the City would need to pick up half the cost. Mayor Pape inquired whether CALTRANS approval has been obtained. Mr. O'Donnell indicated that they are investigating the need for a signal, however they are concern with a signal being that close to the on ramp and existing signals. He noted that they do not have the money available now, so it would more than likely be a year away. Mayor Pape questioned the current status of this project with CALTRANS. Mr. O'Donnell indicated that it is not a high priority for them. Mayor Pape questioned the potential that this project would be included in the next budget year. Mr. O'Donnell noted their offer for a cooperative agreement with a payback at a later date; and CALTRANS is planning to contact the County to inquire with regard to their participation. City Manager Molendyk stressed the concern for synchronizing the signals and not stacking traffic and noted that it is a positive that they are willing to discuss it. Mr. O'Donnell indicated that when the school went in CALTRANS reported an operation problem with this intersection, and suggested that the School District might be willing to participate. Councilman Metze questioned the obligation for the School District to mitigate the problems. Mayor Pro Tern Kelley stressed the danger of that intersection. Mr. O'Donnell noted a study which showed only about 4 accidents a year at that location, and indicated that there was no certainty that a signal would have prevented those accidents. He noted that these statistics are not bad. Mayor Pape stressed the need for a smooth flow from Dexter Street. Councilman Alongi inquired if the County would be willing to help support and pay for a CSO to direct traffic in that intersection for a short time during the day; and stressed that the primary goal is to prevent deaths. He requested that staff investigate this possibility with the County. City Manager Molendyk indicated that staff will return with a more comprehensive report after discussion with the County for a joint effort. Councilman Metze questioned how the problem was mitigated in the EIR. Councilman Alongi indicated that was a big issue when the school was built, but it was never mitigated. C. Report on Weekend Events. (F:62.1) City Manager Molendyk noted the event the past weekend with the Elsinore Grand Prix for three days; and detailed the crowd estimates and successful operation of the event. He further detailed the variety of events and stressed the amount of cooperation required to present the event. He noted that GFI lived up to all of the expectations. He thanked the volunteers for their participation in the event and detailed the agencies who participated. He noted the committee who worked to coordinate the event and the staff commitment to provide the necessary police and fire personnel. Police Chief Walsh commented to the Council that this was a joint effort with much advanced planning. He indicated that everyone was excited to have the event and worked in conjunction with the Fire Department, City Staff, volunteers and GFI representatives. He indicated that the event ran very smoothly from the law enforcement perspective. He noted that there were only 6 arrests, with 4 from the concert and order was very quickly restored. He stressed that the event went very well and all of the venues were very well attended. He also noted that everyone in attendance was very respectful and there were no messes and everything was very peaceful. Fire Chief Seabert thanked the Council for this opportunity to speak. She noted the level PAGE THREE - CITY COUNCIL MINUTES - NOVEMBER 12, 1996 of cooperation between City St4 GFI, Law Enforcement and the Fire Department were phenomenal. She noted that Fire had volunteers from Lakeland Village, Wildomar, Murrieta, Canyon Lake and Temecula with a total of about 60 volunteers over the three days. She commented that everyone was having a good time and people were excited to have the event back. She noted that they were able to meet all of the medical aid and emergency response needs. She advised that there were a number of medical aid calls, but only two people were transported for treatment. City Manager Molendyk noted County Fire Chief Wright's presence in the audience and expressed appreciation for their support. Community Services Director Sapp indicated that the entire event went exceptionally well. He stressed the team effort to make the event a success in collaboration with GFI racing. He noted that all of the events were successful, very well attended and organized with very few minor problems. He thanked his staff for their hard work and tong hours, particularly Jon Fazzio and Randy Kuettle. Manager of Special Projects Best echoed the comments and noted the interest from the public. She indicated that all people polled were happy to see the event return; and noted that a canvass will be done within the community to provide a report on the overall economic benefit. PUBLIC COMMENTS - ACENDIZED ITEM Requests were received to address the following items and deferred to those discussions: Item Nos. 6 and 8. CONSENT CALENDAR The following items were pulled from the Consent Calendar for further discussion and consideration: Item Nos. 1, 6, 8, 9 and 10. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. 2. Ratified the Warrant List for Oct. 31, 1996. (F:12.3) 3. Received and ordered filed the Investment Report for September 30, 1996. (F: 12.5) 4. Rejected and referred to Claims Administrator for handling the Claim Against the City submitted by Duane Joel Daniel (CL #96- 23).(F:52.2) 5. Approved Cancellation of the December 24, 1996 City Council Meeting. (FA4.1) 7. Approved New Implementation Agreement with Riverside County Flood Control District and Water Conservation District for the Santa Ana Region Municipal NPDES Permit, and authorized signatures. (F:68.1)(X:22.3) 31. Commercial Project No 96 -2 Paradise Chevrolet Auto Dealership at 31400 Casino Drive. (F:58.2) PAGE FOUR - CITY COUNCIL MINUTES - NOVEMBER 12,1996 City Manager Molendyk noted that staff has been working with Mr. Gregory, owner of Paradise Chevrolet, and noted that the Temecula General Manager was present, as well as the new Lake Elsinore Facility's General Manager. He noted the location of the facility and explained that it will be car sales and maintenance, which is a good tax resource for the Community. Community Development Director Leslie detailed the location and the proposed project. He further detailed the parking area and the design of the building as proposed. He noted that it includes extensive landscaping around the site, but limited landscaping on site. City Manager Molendyk noted that representatives were present to answer questions, and noted that people can buy a new 1998 model in town at the new facility as they are ready to begin work. Community Development Director Leslie noted that approval is also sought for elimination of the raised median on Casino Drive. Councilman Alongi inquired if the entrance aligned with Mill Street. Mr. Leslie indicated that the original design did not, but this design does show a Mill Street alignment. Councilman Alongi questioned the distance form the USA property entrance. Mr. Leslie clarified. Councilwoman Brinley noted that she really likes the project and is excited about it. She expressed concern with the lack of bonding for landscaping and noted problems with other projects in the community. She also stressed the projects which have not complied, and clarified that this is only a precautionary measure for one year. She concurred with the difficulty of having trees and birds on site near the cars. She questioned condition #31 regarding landscaped planters, and why it was requested that this be deleted. Mr. Leslie explained the redesign of the driveway, and noted that there was some landscaping added to the front of the project. He further explained the condition was being removed because the redesign addresses the concerns for the landscaping. Mrs. Brinley questioned Condition No. 181. with regard to replacement of landscaping and stressed that this was leverage for the City. Mayor Pro Tern Kelley questioned the landscaping proposed. Community Development Director Leslie explained that it would include turf, shrubs and street trees. Mayor Pape noted that it will be a positive addition for the City and noted the potential for other dealerships to follow. He noted the benefit to the residents and area businesses. He welcomed Paradise Chevrolet to Lake Elsinore. Councilman Metze commended staff and Planning Commission on this project and requested clarification of Condition 456 with regard to the median. Community Development Director Leslie clarified the condition. Councilman Metze indicated that there was no need for the raised median at this time. MOVED BY BRINLEY, SECONDED BY KELLEY TO APPROVE THE DESIGN REVIEW FOR COMMERCIAL PROJECT NO. 96-2, ADOPT MITIGATED NEGATIVE DECLARATION NO. 96-4, BASED ON THE FINDINGS, EXHIBIT A PACKAGE AND SUBJECT TO THE CONDITIONS OF APPROVAL AS FOLLOWS, INCLUDING CONDITION NO. 1SH. Councilman Alongi noted the concern for ar-dscaping and questioned the agreement to be discussed in closed session. He questioned the impact on this decision. City Attorney Harper indicated that they were two separate issues. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE. Mr. Gilmore introduced Mike Herst, who will be moving to Lake Elsinore to be the PAGE FIVE - CITY COUNCIL MINUTES - NOVEMBER 12,1996 General Manager beginning in July of next year. 1. Subject to the attached Conditions of Approval and the Mitigation Measures contained in the Mitigated Negative Declaration No. 964 for the site, the proposed project is not anticipated to result in any significant adverse environmental impacts. 2. The project, as proposed complies with the Goals, Objectives and Policies of the General Plan, the Canyon Creek Specific Plan, and the Zoning District in which it is located. 3. This project complies with the design directives contained in the Canyon Creek Specific Plan. 4. Conditions and safeguards pursuant to Chapter 17.82.070, including guarantees and evidence of compliance with conditions, have been incorporated into the approval of the subject project to ensure development of the property in accordance with the Objectives of Chapter 17.82 and the Canyon Creek Specific Plan. 1. Design Review approval for Commercial Project No. 96 -2 will lapse and be void unless building permits are issued within one (1) year of Planning Commission approval. An extension of time, up to one (1) year per extension, may be granted by the Community Development Director prior to the expiration of the initial Design Review approval upon application by the developer one (1) month prior to expiration. 2. These Conditions of Approval shall be reproduced upon Page One of Building Plans prior to their acceptance by the Division of Building and Safety. 3. All site improvements shall be constructed as indicated on the approved site plan and elevations. Revisions to approved site plans or building elevations shall be subject to the discretion of the Community Development Director. All plans submitted for Building Division Plan Check shall conform with the submitted plans or as modified by Conditions of Approval, or the Planning Commission or City Council through subsequent action. 4. Materials and colors depicted on the materials board shall be used unless modified by the Community Development Director or designee. 5. Screen walls shall be added in appropriate locations along the freeway frontage as deemed necessary for the purpose of screening view into the service areas. 6. The applicant shall submit designs for the construction of retaining wall and/or cribwall which shall be subject to the review and approval of the Community Development Director. The applicant shall submit designs for the construction of retaining wall(s) at the southeastern area for automobile display which shall be subject to the review and approval of the Community Development Director. 8. Applicant shall meet all Conditions of Approval prior to the issuance of a PAGE SIX - CITY COUNCIL MINUTES - NOVEMBER 12, 1996 9. Certificate of Occupancy and release of utilities. 10. Applicant is to meet all applicable City Codes and Ordinances including Federal American with Disabilities Act. 11. Meet all Riverside County Fire Department requirements. 12. Project must meet all requirements of Cal -Trans, when applicable. 13. Trash enclosures shall be constructed per City standards as approved by the Community Development Director or designee, prior to issuance of Certificate of Occupancy. 14. All roof ladders and electrical panels shall be located within the interior of the building or in specially designed areas concealed from public right -of -way view. 15. Applicant shall use roofing materials with Class "A" fire rating. 16. All roof mounted or ground support air conditioning units or other mechanical equipment incidental to development shall be architecturally screened so that they are not visible from neighboring property, public streets, and the I -15. Screening plan if one is proposed, shall be approved by the Community Development Director or designee, prior to issuance of building permit. 17. All exterior down- spouts shall be constructed within the interior of the building or concealed from public right -of -way view. 18. The parking lot landscaping designs shall provide at least one (1) fifteen (15) gallon tree for every ten (10) parking spaces required by Code (161 spaces for customer, employee, and service parking), and subject to the approval of the City's Landscape Architect and Community Development Director or designee. 19. The final landscaping/irrigation plan is to be reviewed and approved by the City's Landscape Architect Consultant and the Community Development Director or designee, prior to issuance of building permit. A Landscape Plan Check Fee will be charged prior to final landscape approval based on the Consultant's fee plus forty percent (40 %). a. All planting areas shall have permanent and automatic sprinkler system with 100% plant and grass coverage using a combination of drip and conventional irrigation methods. b. Applicant shall plant street trees at a ratio of one (1) tree per each thirty (30) lineal feet of street frontage. Street trees shall be a minimum of 24" box size trees and may be clustered. Street trees shall be selected from the City's Street Tree List. C. All planting areas shall be separated from paved areas with a six inch (6 ") high and six inch (6 ") wide concrete curb. d. Planting within fifteen feet (15') of ingress/egress points shall be no higher than thirty -six inches (36 "). e. DELETED. PAGE SEVEN - CITY COUNCIL MINUTES - NOVEMBER 12, 1996 Any transformers and mechanical or electrical equipment shall be indicated on landscape plan and screened as part of the landscaping plan. g. The landscape plan shall provide for ground cover, shrubs, and trees and meet all requirements of the City's adopted Landscape Guidelines. Special attention to the use of Xeriscape or drought resistant plantings with combination drip irrigation system to be used to prevent excessive watering. h. All landscape improvements shall be bonded 100% for material and labor for one (1) year from installation sign -off by the City. Release of the landscaping bond shall be requested by the applicant at the end of the required year. I. All landscaping and irrigation shall be installed within affected portion of any phase at the time a Certificate of Occupancy is requested for any building. All planting areas shall include plantings in the Xeriscape concept, drought tolerant grasses and plants. j. Final landscape plan shall be consistent with approved site plan. k. Final landscape plans shall include planting and irrigation details. 20. All exposed slopes in excess of three feet (3') in height shall have a permanent irrigation system and erosion control vegetation installed, approved by the Planning Division. 21. All exterior on -site lighting shall be shielded and directed on -site so as not to create glare onto neighboring property and streets or allow illumination above the horizontal plane of the fixture. 22. The applicant shall develop a Uniform Sign Program for the site which specifies harmonious and consistent colors, materials and specifications which will enhance the project's design and meet the provisions of Lake Elsinore Municipal Code, Chapter. The Master Signage Program shall be reviewed and approved by the Planning Commission. All signage including freestanding signs shall be by City Permit and in conformance with the approved Master Signage Program. The Master Signage Program shall be approved prior to issuance of Certificate of Occupancy or release of utilities. Individual sign permits are required prior to the erection of each sign. 23. The project shall connect to sewer and meet all requirements of the Elsinore Valley Municipal Water District ( EVMWD). Applicant shall submit water and sewer plans to the EVMWD and shall incorporate all district conditions and standards. 24. All loading zones shall be clearly marked with yellow striping and shall meet City Standards for loading zones. 25. Trailers utilized during construction shall be approved by the Planning Division. PAGE EIGHT - CITY COUNCIL MINUTES - NOVEMBER 12,1996 26. On -site surface drainage shall not cross sidewalks. 27. Parking stalls as required by Code (161 spaces for customer, employee, and service parking) shall be double- striped with four -inch (4 ") lines two -feet (2) apart. 28. Painted arrows on the asphalt shall be located at all internal drive aisles. 29. Prior to issuance of any grading permit or building permits, the applicant shall sign and complete an "Acknowledgment of Conditions" and shall return the executed original to the Community Development Department for inclusion in the case records. 30. This project shall be subject to Mitigated Negative Declaration No. 964. 31. Any tenant within this development that can potentially employ 100 people or more shall be subject to the requirements of Ordinance No. 941 (Trip Reduction Ordinance) adopted October 27, 1992. 32. The Final Site Landscaping Plan SDI,. include rno, e landscapireandscape plantet in flont of all proposed b,udings. 'Ami"Idn 1 all meet the approval of the DELETE 33. Decorative pavement shall be provided at driveways and crosswalks, to the satisfaction of the Community Development Director or designee. ENGINEERING DEPARTMENT CONDITIONS 34. All Public Works requirements shall be complied with as a condition of development as specified in the Lake Elsinore Municipal Code (LEMC) at the time building permit is issued. 35. Dedicate underground water rights to the City (LEMC 16.52.030). Documents can be obtained from the Engineering Department. 36. Provide sufficient land dedication along Casino Drive frontage for a street right -of- . way of 100 ft.(50 ft. half section) prior to issuance of building permit. On written request by the applicant pursuant to established procedures, an abandonment of any excess right -of -way will be processed. 37. Public right -of -way dedications and/or abandonments shall be prepared by the applicant or his agent. Deeds shall be submitted to the Engineering Department for review and approval prior to issuance of building permit. 38. Pay all Capital Improvement and Plan Check fees (LEMC 16.34, Resolution 85- 26). 39. 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 applying for a building permit. 40. Install all public works improvements, signing and striping per approved street plans (LEMC, Title 12). Plans must be approved and signed by the City Engineer PAGE NINE - CITY COUNCIL MINUTES - NOVEMBER 12, 1996 prior to issuance of building permit (LEMC Code 16.34). 41. 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 edition, and City codes (LEMC 12.04 and 16.34). 42. Pay all fees and meet requirements of an encroachment permit issued by the Engineering Department for construction of off -site public works improvements (LEMC 12.08 and Resolution 83 -78). 43. All compaction reports, grade certifications, monument certifications (with tie notes delineated on 8 " x 11" mylar) shall be submitted to the Engineering Department before final inspection of off -site improvements will be scheduled and approved. 44. Arrangements for relocation of utility company facilities (power poles, vaults, etc.) out of the roadway shall be the responsibility of the property owner or his agent. 45. Provide fire protection facilities as required in writing by Riverside County Fire Dept. 46. Provide street lighting and show lighting improvements on street improvement plans as required by the City Engineer. 47. On -site drainage shall be conveyed to a public facility (such as a street and/or storm drain facility) or accepted by adjacent property owners by a letter of drainage acceptance or conveyed to a drainage easement. 48. All natural drainage traversing site shall be conveyed through the site, or shall be collected and conveyed by a method approved by the City Engineer. 49. __ If existing culverts under Casino Dr. are used as inlets, they must be cleaned and functional with trash racks and sediment basins to be installed for continued effective use. If culverts are abandoned in place, they shall be plugged and filled with a sand slurry. 50. If a property boundary is along the San Jacinto River, then the developer shall provide improvements along the embankment of the river. The improvements will be based upon an engineering study of the river hydraulics. Otherwise a lot line adjustment or other acceptable process must be completed to separate subject site from property fronting the river channel. 51. If grading exceeds 50 cubic yards, grading plans shall be prepared by a Civil Engineer and approved prior to grading permit issuance. Prior to any grading, the applicant shall obtain a grading permit and post appropriate security. 52. Applicant shall obtain all necessary off -site easements for off -site grading from the adjacent property owners prior to grading plan approval. 53. Applicant shall obtain any necessary Caltrans permits and meet all Caltrans requirements. 54. Applicant shall make good faith effort to drain roofs to landscaped areas where feasible. PAGE TEN - CITY COUNCIL MINUTES - NOVEMBER 12, 1996 — 55. If a median is deemed necessary by the City Council on this section of Casino Drive, the applicant shall contribute $16,600 for the cost of half of a raised landscaped median along the Casino Drive frontage at issuance of building permit. 56. The project grading shall preserve and perpetuate the existing drainage pattern from I -15 Freeway. 57. The southeast driveway access on Casino Drive shall be for right -turn in and right -turn out only, if a median (raised or painted) is deemed necessary by the City Council in this section of Casino Drive that would otherwise inhibit left hand turning movements. 58. Driveway site distance shall meet the design criteria of the Caltrans Design Manual. If site distance can be obstructed, a special limited use easement must be recorded to limit the slope height, the type of landscaping and wall placement. 59. Developer shall contribute $5,000 toward the design and construction of improvements (including a traffic signal) at the intersection of Casino Drive and Franklin Street. This development will increase traffic at the intersection at least 2% and should contribute 2% toward construction. 60. 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. 61. All grading shall be done under the supervision of a geo- technical engineer and he shall 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. 62. Provide soils, geology and seismic report. Provide final soils report showing compliance with recommendations. 63. Developer shall install blue reflective pavement markers in the street at all fire hydrant locations. 64. Meet all requirements ofLEMC 15.64 regarding flood hazard regulations. 65. Meet all requirements of LEMC 15.68 regarding floodplain management. 66. Applicant to provide FEMA elevation certificates prior to certificate of occupancies if applicable. 32. Allocation of Funds - Temecula Library Feasibility Study. (17:98.1) City Manager Molendyk explained this item and noted the continuing shortfall of dollars to address libraries. He explained the current level of operation and the possibility of future cuts. He detailed the possible options anticipated from this study, and noted that Temecula was originally going to pull out of the system. He advised that this is a request for Council consideration of the allocation of $13,000 for participation in the study. He stressed that these funds are specifically collected for use on library issues, and no impact on the general fund. Mayor Pro Tern Kelley added that the library has been cut to 28 operational hours per PAGE ELEVEN - CITY COUNCIL MINUTES - NOVEMBER 12,1996 week. She detailed the County budget for libraries and stressed that it is not adequate. She noted the number of residents served, and the discussions with the other two cities. She further noted that Temecula has taken a very conservative approach, but after pulling out of the system it is impossible to go back. She explained the interest in working with the City of Temecula on the feasibility. She noted funds left over after the Perris library was constructed which might be available for a portion of the cost of the study. She also noted that there is an effort to work with Mt. San Jacinto College on a joint venture. She suggested that the letter of intent be pulled until final verbiage is developed. She explained that there are efforts underway to negotiate with the County first to look at improving the operations, or we will pull out of the County system. Mayor Pape noted that he was struck by the amount of overhead charged to the facility for 28 hours a week of operation. Mayor Pro Kelley noted that the closest estimate is about $140,000 for operations, and stressed the overhead costs in the contract. Mayor Pape concurred that it would make sense to have a study done first to determine the best approach and cut down on some of the overhead. He noted that the service might ultimately improve. Mayor Pro Tern Kelley noted the availability of copies of the proposed study by David Griffith and Associates; and advised that they are well known for studies on libraries. Councilman Alongi commented on BSI who does a lot of work for the City, and suggested that they would have much of the information needed for the library study. He concurred that this is an important study, but suggested that part of the funds go into the purchase of books; and stressed better use of the taxpayer dollars. He concurred that the consultant is very well qualified but suggested that information could be turned over to cut the costs. City Manager Molendyk concurred that BSI has extensive background information and noted that while the City is participating in the study with Temecula, BSI will act as an advisor to review the outcome and statistics, at no cost to the City. Mayor Pro Tern Kelley indicated that this was a point well taken, but this study will be all inclusive of the participating cities. Councilwoman Brinley questioned the funding. MOVED BY BRINLEY, SECONDED BY KELLEY TO ALLOCATE THE $139000 FOR THE FEASIBILITY STUDY AND WITHDRAW THE LETTER OF INTENT. Councilman Metze questioned if the intent would be a similar stand ;o what Temecula is doing. Mayor Pape suggested waiting to see what the study reveals. Mayor Pro Tern Kelley indicated that Temecula is doing a resolution tonight, and noted that there is no guarantee that the dollars will come to the cities if we withdraw from the County system. Mrs. Kelley noted that the more conservative approach is to request better services or we will look at pulling out. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE. 33. Winterfest 1996. (F:62.1) Mayor Pape indicated that this item was placed on the agenda by mistake; as per the policy it should go to a study session first. He noted that the businesses were working to sponsor this event. Councilman Alongi called for a point of order. He indicated that it was placed on the agenda because there was no time for a study session with the proximity to Christmas. He stressed the time factors for staff to arrange it. PAGE TWELVE - CITY COUNCIL MINUTES - NOVEMBER 129 1996 Mayor Pape noted that the businesses may not be interested in having the City involved. ITEMS PULLED FROM THE CONSENT CALENDAR 1. Minutes (F:44.4) a. Regular City Council Meeting - Oct. 22 1996. Councilman Alongi indicated that he was not present at the October 22nd meeting, so he would abstain from vote on it. MOVED BY METZE, SECONDED BY BRINLEY AND CARRIED BY A VOTE OF 4 TO 0 WITH ALONGI ABSTAINING TO APPROVE THE MINUTES OF OCTOBER 22, 1996. 6. Western Riverside County Comprehensive Transportation Plan. (F:108.13) Mariana Mohylyn, 305 W. Sumner, questioned the material presented at the beginning of The meeting and questioned the recommendation. She suggested that this was a reach for the stars effort and questioned the need to acquire property. She questioned whether this item would relate to public transportation. She commented on the proposed increase in the number of theaters and noted a lack of transportation on Sunday. -MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 96 -59: RESOLUTION NO. 96 -59 A RESOLUTION OF THE CITY OF LAKE ELSINORE AGREEING TO PARTICIPATE IN THE IMPLEMENTATION OF THE WESTERN RIVERSIDE COUNTY COMPREHENSIVE TRANSPORTATION PLAN. 8. Support of an Inland Eire Routing of High Speed Rail between Los Angeles and San DiM. (F: 140.19) Mariana Mohylyn noted the existing metro system and questioned whether this action will bring it through Lake Elsinore and indicated that would be wonderful. She requested that the land to be acquired be identified and inquired if there was an effort to obtain a depot stop for Lake Elsinore. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 96-60: RESOLUTION NO. 96-60 A RESOLUTION OF THE CITY OF LAKE ELSINORE IN SUPPORT OF AN INLAND EMPIRE ROUTING OF A HIGH SPEED RAIL BETWEEN LOS ANGELES AND SAN DIEGO. 9. Finalization of LEMA Business and City Acceptance of Assets. (F:92.3) Councilman Alongi inquired if the City Attorney knows that the litigation will be concluded prior to this transfer. City Attorney Harper indicated that there is one piece of active litigation for LEMA; and none to which LEMA is the only party, so pending PAGE THIRTEEN - CITY COUNCIL MINUTES - NOVEMBER 12,1996 litigation is of no impact. MOVED BY KELLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO RATIFY THE MOTION OF THE LEMA BOARD TO TRANSFER ALL REMAINING NET ASSETS, INCLUDING CASH AND FIXED ASSETS OF LEMA, TO THE CITY OF LAKE ELSINORE'S LAKE ENTERPRISE ACCOUNT FOR THE BENEFIT OF THE LAKE. 10. Set Public Hearing Date of November 26, 1996 for the following: a. An Interim Ordinance Extending a Temporary Prohibition on New Multi- Family Residential Projects at a Density Greater than Twelve (12) Dwelling Units Per Acre Pending Contemplated General Plan and Zoning for a Period of up to 10 Months and 15 Days. (F:32.1) b. Acceptance of the County Wide Integrated Waste Management Plan. (F:163.1) Councilman Alongi indicated that there was no reason to set a public hearing on 10.a. as the General Plan in itself has built in safety factors with regard to multi - family. He noted that the General plan has been in effect since 1990 or 1991 and is reviewed approximately every five years. He stressed that people who invest in property do so based on the existing general plan, and noted the disadvantage to the investor and an impasse on the brokers in the community who lease and sell based on development potential. He commented that no projects are coming forward now and this item should be set aside until something comes along. He suggested a review of the general plan in about another year. He expressed understanding of the Council concern, but suggested that there are other ways to handle it. Mr. Alongi questioned the timing for the next revision and the last plan approved. Community Development Director Leslie, indicated that the last comprehensive revision occurred in November of 1990, but amendments have taken place since then. He indicated that State law has no prescribed time limit on a plan once it has been adopted, but generally most cities will review the plan and do an update every ten years or so. Councilman Alongi indicated that if the Council would rather deal with the general plan, then put in a study session and bring the general plan forward to the Council He indicated that he doesn't particularly agree with 24 units per acre. MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY UNANIMOUS VOTE TO SET THE PUBLIC HEARING DATE OF NOVEMBER 26, 1996, FOR THE ABOVE LISTED ITEMS. THE REGULAR CITY COUNCIL MEETING WAS RECESSED AT 8:17 P.M. THE REGULAR CITY COUCNIL MEETING RECONVENED AT 9:03 P.M. PUBLIC COMMENTS - NON - AGENDIZED ITEMS Barry Wilson, 6530 Bancock, Hesperia, property owner on Nebraska Street, commented that he and other property owners have been denied access to their legally subdivided lots on a public street. He questioned Council receipt of a letter approximately one month ago, following litigation. He indicated that he was advised to bring this to Council for relief. He detailed the berm constructed in 1980, and explained the purpose of the berm; which he felt was tied to the outflow channel, and when the channel was opened they petitioned to have the berm removed. He explained that new work was done on the berm in June or July of this year, and noted that the properties now have no access for weed abatement. He indicated that he would sue if charged for weed abatement. He noted a letter from the Corps of Engineers indicating that they had no PAGE FOURTEEN - CITY COUNCIL MINUTES - NOVEMBER 12, 1996 part in the construction of the berm. He indicated that it is an illegal public nuisance denying access right to the properties, and questioned when he could expect a solution in writing. He noted that he is prepared to proceed with litigation for at least seven plaintiffs; and requested placement of this matter on a future agenda. William Watkins, owner of property in the area of Nebraska Street, noted that he has requested consideration of this matter previously. Paul Houghtaling, 1705 N. Tympani Cir., Anaheim, detailed his property on Nebraska Street and noted the location of the dike. He indicated that he was told that the Corps did build the berm, but was also told that the City built it. He noted a letter received from the City that he could move it at his own expense. He noted the disaster loan on the property, and the difficulty in accessing the property for weed abatement or anything else. He requested that this matter be placed on the City Council Agenda for resolution of the problems. Lela Cardoza, 300 Ellis Street, expressed concern that her polling place was changed to the Tuscany Hills Elementary School. She stressed the drastic change in location and noted the difficulty for Senior Citizens to access this polling place. She stressed that the signage was inadequate and there was no transportation service provided. She indicated that she spoke with the Registrar of Voters and questioned the change in the location. She noted the potential impact of this change on Candidate Flores. She suggested that the Cultural Center be used as a polling place and expressed concern that this was impacting her constitutional rights. Chris Hyland, 15191 Wavecrest, indicated that she told us so, and Proposition 218 did pass. She noted a FAX received requesting support of the Winterfest Program; and explained that she was talked out of it by the business people, due to concerns for liability for the event. She commented on the extension of time for the theater and expressed concern that denials to children by the Council are common. She indicated that it was stupid for a Councilwoman to seek funds, when funds are being given away. She commented that she is happy that Proposition 218 passed. Bob Field, representing HOPE, noted that this meeting reaffirmed that he has no taste for politics, but prefers being a board member of HOPE. He explained that they are involved in a special project to assist a terminally ill child and his family, by selling raffle tickets to raise $15,000 to assist the family. He advised that the raffle tickets are available from HOPE. Gary Grant, 27068 Jarvis Street, Perris, noted a letter submitted on the predication of discussion with Mr. Leslie in relationship to a LAFCO application on behalf of Mr. Britton and others. He indicated that he would like them to consider the issue and give their blessing or denial and allow the property owners the opportunity to pursue the issue or grant a waiver of the fees for detachment of the properties. Mariana Mohylyn, 305 W. Sumner, noted the recent election and commented that it placed the government into balance. She questioned the solidity of the bridge to the future and noted her opposition of communism, fascism, etc. She expressed thanks to those who voted for her. She noted the previous discussion of the theater and her difficulty placing signs on that site during the past elections. Elena Ray, 17380 Shrier, thanked the Council for the opportunity to speak. She noted that she attended the Extreme Games, and expressed hopes that they would be allowed to return in spite of the tragedy. She stressed that this is part of the sport, but suggested placement of a plaque in commemoration of the participant who died. PAGE FIFTEEN - CITY COUNCIL MINUTES - NOVEMBER 12, 1996 CITY MANAGER COMMENTS City Manager Molendyk noted that some of the business owners have contacted his office with questions regarding the Holiday Police patrols. He indicated that the Police Department will begin these patrols on Thanksgiving weekend. He further indicated that staff is working on a Fire Station Meeting for the evening of December 3, 1996. CITY COUNCIL COMMENTS Councilman Metze commented on the following: 1) Complimented the Sheriffs Department volunteers, Fire Department volunteers, GFI and City Staff on their efforts for the Elsinore Grand Prix. He commended them on bringing back -a part of history. He addressed Mr. Seepe and noted that the newspapers over the weekend provided very limited coverage of the event. He expressed frustration with the lack of coverage and the suggestion that there was a "Melee" at the Stadium. He stressed that 99.9% of the people were not aware that the incident even occurred. He noted that the gentleman who was killed received the top billing for the event. He further noted that the Orange County Register provided better coverage of the event. Councilman Alongi commented on the following: 1) Explained that he placed Winterfest on this agenda; and noted that the Council uses the Council policy to their advantage. He noted the need for insurance and proper supervision to cover the snow and ice. He stressed that the City would ultimately be on the line an he would rather see the City take control of it. He noted other programs which receive funding. 2) Addressed the newspapers and concurred with Councilman Metze. He admitted that he was very concerned with approving any of the Grand Prix events, particularly in light of the people drawn to past events; but he expressed understanding of the need to bring excitement to the Community. He commented that it was not right for the paper to show the tragedy in photos, not to mention reporting on it. He noted that the press said nothing positive about the event, and commented that he is now elated that he voted for the event. He noted that staff and the Sheriffs Department did a great job and Goat provided the best organized event he has seen for the magnitude of the event. He stressed that the press comments should be congratulatory on the event and indicated that the group was very well behaved. He expressed appreciation to all involved and indicated that he will vote for the event again. He suggested additional safety factors for the next event. 3) Addressed the theater, and indicated that he wants nice things in the community as well, but stressed the importance of looking at the investment and whether it will produce the type of revenues needed. He commented that we can't keep draining the coffers; and noted that the Redevelopment Agency is crippled right now. He indicated that with regard to Camelot Properties, Item No. 2 there is an option for commercial, a restaurant or a bank. He indicated that there is no development occurring, as everyone is faced with the recessing, but this developer is receiving tax dollars. He noted the number of people who participate and attend the theater, and suggested that there is no certainty with regard to the success. He stressed that Mr. O'Byrne needs to produce before he receives tax dollars. He stressed that PAGE SIXTEEN - CITY COUNCIL MINUTES - NOVEMBER 12,1996 Mr. O'Byrne is the landlord and he is responsible for the project. 4) Addressed the Californian and a recent article about him, and indicated that the Charlie Hand article makes untrue statements. He indicated that he has never been fined anything or proven guilty; as he is proving his position. He stressed that the papers don't make sure the information is correct, but there will be no retraction of the article. 5) Noted that a friend questioned what he gets for his participation on RCHCA.; and noted a story about a person who bought acreage in San Bernardino to farm and was prohibited from doing so because of the Tempton Kangaroo Rat. He stressed the bureaucracy and noted that people are being denied the right to develop their property. 6) Commented on the F.P.P.C. Hearing which began this date and noted that he won't loose respect for the Country or the legal system in this Country. He indicated that it is wonderful to be allowed to defend his position before the Board. He further indicated that he didn't care about the beliefs of some in the Community and he will continue to represent the community the best way he knows to. He noted that he has no excuses, as he knew what he was doing when he did it. He indicated that it was surprising when Councilmembers took part in the complaint and they expect him to pray with them. He noted that the trial would continue tomorrow and win, loose or draw, he would be glad to have it behind him. He commented that he has an important decision to make in his life based on the court case. He further commented that he has dedicated his life to the community and invested quite a lot, but it doesn't seem to count in the eyes of the Court. He indicated that the Court is only concerned with the what and not the why. He indicated that it is sad when elected officials, elected by a majority of the people because they have something to contribute, are not able to do so. He commented that his ideas are too far to the right or the left of the Council and he feels that he is ineffective as a Councilperson to represent the Community. He indicated that he has accomplished quite a bit in the Community, lost much in 1980 and rebuilt because he is concerned with the Community. He noted that when it hurts is - when there are items in the paper, read by his family. He indicated that he is not sorry for himself, as he can take on anyone, but his wife and granddaughter have to face those things in the Community; and he is not happy that they have to read the trash in the papers. He indicated that he will take his share of the blame because he loves Lake Elsinore. He stressed that young people should have the opportunity to stay where they grew up. He noted that his feeling on low income housing does not fit in with the Council, and explained his views. He indicated that he had no apologies to the Council or the City, as he has done what he believes in. He noted that some will be happy if he pays the price, but to him it would be an honor to pay the price; as it is an honor to create a house and put a family in it and he will continue to do so, possibly in the County where it will be more appreciated. He indicated that he was sad to see the City Manager on the witness stand, as he respects him very much, even if he irritates him some times. He indicated that the City Manager is a dedicated, honest public servant who can not do his job, which was evident by the answers today. He indicated that he will not cause any more pain for any of the employees of the City of Lake Elsinore. He indicated that he did not realize he hurt them because of his indulgence in his beliefs. He indicated that he doesn't know what he can do anymore, and although he was reelected, he is not sure what he will do; and will need to make a decision in the next couple of weeks after discussions with his family. He expressed concern with taking a chance of his granddaughter being attached. He wished the PAGE SEVENTEEN - CITY COUNCIL MINUTES - NOVEMBER 12, 1996 audience Good Night and noted that it has been an honor to serve the City and be acquainted with the City Attorney. He noted a problem caused for Mr. Boone and indicated that he did not get over it. He indicated that Mr. Molendyk has taught him a lot and has always been a very professional person. He suggested that he may be too rough to be a Councilperson and needs to pound nails to see accomplishments. He commented that his wife allowed him to follow his dream as a Councilmember, and received many heartaches in return. Mayor Pro Tern Kelley commented on the following: 1) Noted that the motorcycle races were wonderful, even the event with the tragedy. She further noted that all in all the events were well attended. She indicated that people from everywhere commented on the beauty of the weather, the Stadium, and the Lake. She noted that City staff, Police and Fire did an incredible job of keeping it going. She stressed the prompt response to the skateboarder injury and care for the crowd in attendance. She commented to Goat Breker that he can now count the Council as supporters of his efforts. 2) Commented that with regard to Winterfest she was approached by business people wanting to fund the snow for the event. She volunteered to do fundraising to assist them. She explained that this effort was not intended to offend anyone, but they were trying to raise a total of $2,500. Councilwoman Brinley commented on the following: 1) Thanked and applauded the staff for a wonderful job on the Grand Prix. She commended Mr. Breker on bringing a major event to the community and noted that great time was had by all and the City received the kind of recognition we are looking for. She noted the tragic accident and suggested that the event be named after the killed skateboarder. She expressed condolences to the family on behalf of the entire Council. 2) Discussed Winterfest, and noted it was one of the best events the City had, and she would like to see it continued, but now it is important to view events with a harsher eye. She expressed appreciation to Mayor Pro Tern Kelley for her efforts to assist with fundraising, and offered to assist. 3) Noted the Christmas Trolley kick -off; and explained that it will run throughout the month of December. She detailed the cost to ride and noted that the event will help highlight the positive aspects of each community. She indicated that this will be a pilot program, but each City could end up with their own trolley system. She noted that it will premier on Visions and Views on November 20th at 8 o'clock, downtown. 4) Addressed the theater, and noted that she has been here since 1978 and was part of the group in the park wanting entertainment for the kids. She stressed the distance traveled previously to find entertainment. She indicated that the ihea*rr has done very well recently and is growing; and has been a positive addition to the community. She indicated that she is looking forward to feur more screens and encouraged the expansion. PAGE EIGHTEEN CITY COUNCIL MINUTES - NOVEMBER 12,1996 Mayor Pape commented on the following: 1) Noted that it has been an active couple of weeks, with events such as the Do It center grand opening, with 55 new jobs; attendance at the Wildomar Mac Meeting as good first step to open the lines of communication. 2) Congratulated the Students of the Month from all three high schools and indicated that they needed a pat on the back for a job well done. 3) Noted that he met with Assemblyman Thompson to discuss the Lake; and work on setting up a summit to bring agencies together to find solutions on water quality. 4) Commented that the Grand Prix was a huge success; and expressed thanks to police, fire and Goodhew for their part of the vision for the community to be tourist and recreation oriented. 5) Advised that Winterfest will have the Tree Lighting, Santa in the Trolley and Carolers, with the only question being the snow. He indicated that it is not a liability problem for those wishing to contribute, and those wishing to make it a success are welcome to contribute. CLOSED SESSION Discussion of Potential Litigation of the following: a. L.E.R.A. b. Lou's Lakeshore Lounge C. Paradise Chevrolet - Agreement THE REGULAR CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION AT 10:05 P.M. TO DISCUSS THE ABOVE MENTIONED ITEMS. THE CITY COUNCIL MEETING RECONVENED AT 10:33 P.M. STAFF WAS DIRECTED TO MOVE FORWARD WITH AN ARBITRATOR IN THE LITIGATION INVOLVING LOU'S LAKESHORE LOUNGE. THE REGULAR CITY COUNCIL MEETINGWAS ADJOURNED AT 10:34 P.M. KEVIN �W. APE, MAYOR CITY OF LAKE ELSINORE ATTEST: VIGFH KASAD, CITY CLERK CITY OF LAKE FLSINORE iuu.t rr . REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 183 NORTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, NOVEMBER 26, 1996 CALL TO ORDER The Regular City Council Meeting was called to order by Mayor Pape at 7:05 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Councilwoman Brinley. ROLL CALL PRESENT: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE ABSENT: COUNCILMEMBERS: NONE Also present were: City Manager Molendyk, Assistant City Manager Watenpaugh, Administrative Services Director Boone, Community Development Director Leslie, Community Services Director Sapp, City Engineer O'Donnell and City Clerk Kasad. PRESENTATIONS a. Presentation - Goat Breker - GFI Racing. (F:62.1) Mayor Pape noted the recent Grand Prix Event and highlighted the positive letters received from participants and spectators. He further noted specific positive comments regarding the good organization, well behaved crowd, increased business for the community, and commendations of the efforts of Police, Fire, City Staf; Race Officials and GFI Racing. City Manager Molendyk questioned the distance traveled to participate in the race. Goat Breker introduced Linda Sapp and Linda Madison, who assisted him with the event; and advised that there were entries from Japan, Alaska, Canada, England and Hawaii. Mayor Pape read and presented the Proclamation to Goat Breker, and noted the coverage on the front cover of a Motorcycle magazine. Mr. Breker noted an upcoming half hour special on ESPN on November 30th. He presented a film clip from the ESPN coverage of the event and the Robbie Knieval jump. Mr. Breker thanked the Council for their trust and support in him, and stressed the interest this event received in the media and from potential sponsors. He explained his interest in a long term commitment in the City and stressed his efforts to bring the Community a positive event. b. Presentation - Report on Police Programs. (F:127.2) Chief Walsh provided an update on the status of grants and other programs. He advised that the COPS grant in the amount of $59,000 has been approved; and the Federal Grant in conjunction with the Fast Cop has been approved for $85,000 with a $9,000 match over the next two years. He also advised that the C.D.B.G. grant for the downtown area to use for patrols throughout the year has been approved. He explained that many of the ideas for use of the funding will cover the gang intervention, extra patrols, increased enforcement and other ideas received from Council and the Public. City Manager Molendyk noted the increased holiday patrols. Chief Walsh advised that starting Friday, November 29th, there will be two patrol cars during the prime shopping hours dedicated to the shopping areas throughout the PAGE TWO - CITY COUNCIL MINUTES - NOVEMBER 26,1996 City, for extra security and protection throughout the City, continuing through Christmas Eve. C. Introduction - Fred Francia, Area Manager for Southern California Edison. (F:170.3) Fred Francia noted his background with Southern California Edison and looked forward to assisting the community. City Manager Molendyk noted that he had an opportunity to meet with the former representative and welcomed Mr. Francia to the community. Mayor Pro Tem Kelley extended thanks to Southern California Edison for the additional street lights in the Hammerhead area. PUBLIC COMMENTS - AGENDIZED ITEMS None Requested. CONSENT CALENDAR ITEMS MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE CONSENT CALENDAR AS PRESENTED. 1. The following Minutes were approved: a. Special City Council Meeting - November 5, 1996. (FA4.4) b. Joint Study Session with E.V.M.W.D. - November 5, 1996. The following Minutes were received and ordered filed: C. Regular Planning Commission Meeting - October 16, 1996. (17:60.3) d. Special Planning Commission Meeting;- October 30, 1996. e. Regular Planning Commission Meeting - November 6, 1996. f. Design Review Committee Meeting - October 16, 1996. (F:60.4) g. Design Review Committee Meeting - November 6, 1996. 2. Ratified Warrant List for November 14, 1996. (17;12.3) 3. Approved Public Hearing Date of December 10, 1996, for the following: a. Tentative Tract Map 27617 - Dyer Wynn. A request to subdivide approximately 20.19 acres of vacant land into 71 single family residentially zoned lots. The proposed project is located on the northwestern part of the City, north of Tuscany Hills in a remote area which can be accessed via Greenwald Avenue. (F:160.2) PUBLIC HEARINGS 21. Ordinance No. 1022. extending_ Ordinance No 1021 - An Urgency Interim Ordinance which Temporarily prohibits Residential Projects at a Density Greater than Twelve (12) Dwelling Units ler acre Pending contemplated General Plan and Zoning Studies. (F:32.1) Mayor Pape highlighted this item and the previous approval. He explained that this action will allow time for staff to review the existing development. PAGE THREE - CITY COUNCIL MINUTES - NOVEMBER 26, 1996 Councilman Alongi questioned if this action was extending the time frame or the moratorium. Mayor Pape opened the public hearing at 7:25 p.m., asking those persons interested in this item to speak. Hearing no one, the public hearing was closed at 7:25 p.m. Councilman Alongi indicated that he still thinks this is an unnecessary action, as the figures show the total number of multi- family units is not high. He further indicated that the total of multiple units is only 26 %. He commented that the General Plan was adopted by the Council and suggested that a review of that plan might be more appropriate. He stressed the investments which are made based on the existing General Plan, and indicated that this action is unwarranted. MOVED BY BRINLEY, SECONDED BY METZE TO ADOPT ORDINANCE NO. 1022 EXTENDING THE STUDY PERIOD FOR AN ADDITIONAL 10 MONTHS AND 15 DAYS. ORDINANCE NO. 1022 AN ORDINANCE EXTENDING ORDINANCE NO. 1021- AN URGENCY INTERIM ORDINANCE TEMPORARILY PROHIBITING NEW MULTI- FAMILY RESIDENTIAL PROJECTS AT A DENSITY GREATER THAN TWELVE (12) DWELLING UNITS PER ACRE PENDING CONTEMPLATED GENERAL PLAN AND ZONING STUDIES. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: BRINLEY, KELLEY, METZE, PAPE NOES: COUNCILMEMBERS: ALONGI ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE 22. Paradise Chevrolet- Agreement to Develop and Operate Auto Dealership. (F:68.1)(X:58.2) City Manager Molendyk highlighted this request and noted the plans approved at the last Council Meeting. He explained that pursuant to this Agreement the Planning Commission. and City Council will allow the necessary signage along the freeway, the owner will front the money for street improvements and over the following 5 years those dollars will be reimbursed with 7% interest to compensate for the use of private money for public improvements. He indicated that this Agreement had been negotiated in good faith with the owner, Mr. Gregory, and recommended approval. Mayor Pape opened the Public Hearing at 7:30 p.m., asking those persons interested in this item to speak. Hearing no one, the Public Hearing was closed at 7:30 p.m. Councilman Metze questioned page 5 of 11, item number 7. City Attorney Harper explained that this is a typical provision in this type of agreement; which clarified that if 20% of the dealership is destroyed, the period of time is extended. Mayor Pro Tern Kelley questioned the infrastructure Mr. Gregory will be required to provide, for the public's information. City Manager Molendyk explained that it will include the installation of all public improvements on the east side of Casino drive, including curb, gutter, street lights, and storm drains along the frontage of the business. He advised that there will be one additional lane to benefit the business and the neighborhood. Councilman Alongi noted that he would still like to see something to guarantee the PAGE FOUR - CITY COUNCIL MINUTES - NOVEMBER 26,1996 landscaping, as it is still crossed out. He noted that Mr. Gunn is being paid a lot of money to figure out the City's financing, and commented that he has said that having developers loaning money is not a good idea and we are still doing it. He noted the interest that will accumulate at 7% over 5 years, and questioned the amount of sales tax and property tax to be gained. He indicated that he would rather pay him off the first year, than pay all of the interest. He indicated that he would like to know the contribution to the Community, besides the creation of jobs and the provision of infrastructure. He expressed concern that this offer is not made to private individuals in the community. He indicated that he does not deny that it will produce jobs, but questioned if the City can afford to use the taxpayers that way. He stressed his interest in paying off the money in a year or two. City Manager Molendyk noted an earlier discussion with Councilman Alongi and explained that because the developer is using private money, it is felt that he should receive interest, as requested by Mr. Gregory. He indicated that if the money is available, there would be no problem with looking at earlier pay off dates. He noted the convenience of having a dealership in the Community. He advised that the dealership will initially create 45 new jobs and work up to 75 over the next two or three years. He indicated that staff will be happy to look at an earlier payoff to save the interest. Mayor Pape suggested that most people would find that a reasonable expectation, and noted that private individuals would not necessarily be expected to do the public improvements themselves. If doing the public improvements don °t necessarily have to do it themselves, as if the road and infrastructure were in place this expense would not be necessary. He noted that most cities sell a bond and put the infrastructure in to attract businesses, and suggested that this is nearly the same thing. He indicated that loan should easily be paid off in three or four years with the regular payment. He stressed that the Council will need to determine the best use of the funds at the time, on a year by year basis. Mayor Pape suggested that this was a fair compromise. Councilman Alongi noted the Bonds discussed by the Mayor are CID bonds, paid back by the owners, not the City, and commented that those people assessed themselves. He indicated that the whole story needs to be provided. He indicated that it is wonderful to have Paradise Chevrolet her, but the credit itself is a good deal and he does not believe in paying the interest if it is not necessary. He stressed that there are services he would like to bring back, such as Kids on Track, the Senior Center, etc., but cannot do so with this obligation to pay interest. Mayor Pape indicated that there was no disagreement with this. Councilman Metze noted Councilman Alongi's comment about assisting only large businesses, and indicated that he could not remember the last time a small business was asked to provide that level of improvements. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE AGREEMENT AND OPERATING COVENANT WITH PARADISE CHEVROLET. 23. Approval of the Riverside Countywide Integrated Waste Management Plan (CIWMP) Final Draft - Resolution No. 96 -61. (F:163.1) City Manager Molendyk highlighted the requirements for this plan, and explained that the latest plan is being adopted on a County -wide basis. Mayor Pape opened the Public hearing at 7:43 p.m., asking those persons interested in this item to speak. Hearing no one, the Public Hearing was closed at 7:43 p.m. MOVED BY ALONGI, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO ADOPT RESOLUTION NO. 96 -61 APPROVING THE RIVERSIDE COUNTYWIDE INTEGRATED WASTE MANAGEMENT PLAN (CPWMP) FINAL DRAFT. PAGE FIVE - CITY COUNCIL MINUTES - NOVEMBER 26, 1996 BUSINESS ITEMS Mayor Pape requested the addition of Item #32 to this Agenda being an Ordinance which is necessary as a result of Proposition 218. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO ADD ORDINANCE NO. 1023 TO THIS AGENDA AS ITEM #32. 31. Evaluation of Withdrawal form the Riverside City and County Public Library System - Resolution No. 96 -62. (F:98.1) City Manager Molendyk explained this item and the action at the previous City Council Meeting to participate in the joint study with the other cities. He explained the recent and pending cutbacks in the library system. He further explained that this Resolution indicates that the City is giving notice that we want more service hours for the libraries, and in the event of continued cutbacks it would allow the City alternatives. He indicated that all of the answers are not known yet, but the study should provide those answers. Mayor Pro Tern Kelley added that this part was pulled from the last agenda item for closer review. She explained that this is like the Resolution adopted by the City of Temecula, with a very conservative approach to look for additional services or take further action. She indicated that when the study has been received, there will be a study session to see if there is a feasible alternative. She stressed that the initial interest is in negotiating a higher level of services. Mayor Pape noted the limited hours of the library and stressed the need for change; whether that means additional funding by the County or working with other cities to provide the services. He indicated that the study will help explain the right direction, and stressed the need to continue to review the options. Councilman Alongi indicated that it would be foolish to think the County or the City can afford a library, and suggested that this action would only be aggravating the situation. He questioned if the County is cutting back, where the City could come up with the necessary dollars. He stressed that there are currently libraries in place, and whether they are big enough or open enough hours, at least they are there. He suggested that the Resolution does not leave very much open for negotiations, as everyone is suffering from reduced property values. He indicated that this is a bad time to start moving on this action, and suggested that there is no need to address it by December 1st. He suggested that the Council be cautions and not cause itself problems. Councilwoman Brinley stressed the need to look ahead as libraries are changing and the funding is changing. She suggested that what is needed is more centrally located libraries between multiple cities. She stressed that is giving enough notice and taking a very conservative approach; as it is only saying we are looking toward the future and the changes which will occur. MOVED BY BRDiLEY, SECONDED BY KELLEY TO ADOPT RESOLUTION NO. 96-62: RESOLUTION NO. 96 -62 Mayor Pape noted that this issue is centered around Lake Elsinore, Temecula and Murrieta; and interest has now been raised for discussing common interests with the City of Canyon Lake as well. PAGE SIX - CITY COUNCIL MINUTES - NOVEMBER 26, 1996 THE FOREGOING MOTION CARRIED BY A VOTE OF 4 TO 1 WITH ALONGI CASTING THE DISSENTING VOTE: 32. Ordinance No. 1023 - Approving a Public Leaseback. (17:92.1)(X:126.5) City Attorney Harper explained that the proposed Ordinance will address a corporate leaseback situation, which will be part of the upcoming restructure of the Bond pool. He explained that it is necessary to give the Ordinance a first reading now to allow for an' appropriate effective date. He noted that the action does not mean a great deal at this time, as there will also need to be a second reading. He noted that he was asked by Councilman Alongi if this item was necessitated by Proposition 218, and he answered no; however, it essentially is necessitated by Proposition 218. He recommended adoption of the Ordinance now, as a first step to be followed by much information on December 3rd. City Manager Molendyk commented that Mr. Gunn will review the proposal in depth at the Special meeting on December 3rd. MOVED BY BRINLEY, SECONDED BY ALONGI TO ADOPT ORDINANCE NO. 1023 UPON FIRST 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: COUNCILMEMBERS: NONE THE CITY COUNCIL MEETING WAS RECESSED AT 7:55 P.M. THE CITY COUNCIL MEETING RECONVENED AT 7:57 P.M. PUBLIC COMMENTS - NON - AGENDIZED ITEMS Albert Grasso, 15057 Laurel Lane, commented on the trash contract with CR & R; and indicated that he can't afford the charges and doesn't use the system. He stressed the recent increases and questioned the justification for this type of approvals. He noted a commented by one of the Councilwomen regarding Proposition 218 and stressed that the property owners can only afford so much. He expressed concern with the amount of taxes in Lake Elsinore vs. those he paid previously in Costa Mesa. He expressed frustration with not being able to sell his home. CITY MANAGER COMMENTS City Manager Molendyk reminded the council of the upcoming Study Sessions and Council Meetings on December 3rd, December 5th and December 19th. He further reminded the public of the Christmas Tree Lighting Program on December 6th and the Boat Parade of Lights on December 14th. He wished the community a Happy Thanksgiving. CITY COUNCIL COMMENTS PAGE SEVEN - CITY COUNCIL MINUTES - NOVEMBER 26, 1996 Councilman Alongi commented on the following: 1) Noted his enjoyment of the GFI races, as they went through his community, and indicated that it was a great event, and he was very impressed. He also noted the letters Council has received about the races. 2) Addressed a letter regarding prostitution at the Circle K on Main Street which he investigated and found to be a true situation. He stressed the need to have the Sheriffs Department address the situation. 3) Addressed a letter from Senator Ray Haynes in the Chamber of Commerce newsletter regarding the Davis -Bacon Act which requires equal bidding. He stressed his concerns with the issue and suggested inclusion of opposing views in future newsletters. 4) Indicated that Mr. Grasso was right about the trash collection; and indicated that he doesn't know why the City increased their profit. He noted that he voted against that action. 5) Noted the School crossing at highway 74 and stressed the danger of the intersection. He indicated that it would cost about $6,000 a year, for the City, County, Caltrans and the School District to pay for a crossing guard until a final decision is made. 6) Noted incidents which happened on Friday and this date, and indicated if it had been him they would have been front page news. He explained that "no parking" signs were placed on Main Street for a Trolley activity, for Visions and Views. He noted that Councilmembers Brinley and Kelley are on a Committee, just like he serves on the R.C.H.C.A. Board. He stressed that while he serves on the Board, he cannot make decisions without Council direction. He noted that they had Main Street closed with no approval for the street closure or for the expenditure of tax dollars. He stressed that they only serve on a committee and they promised that the show would not cost the City anything. He commented that he heard that it cost about $6,500 so far. He noted that the businesses on Main Street were not notified; and the City Manager did not know about it either. He indicated that the second incident involved the Mayor's Car being driven by a City Employee on Langstaff, and noted when he questioned the employee it was indicated that he took it to the repair shop to get it fixed. He further explained that one of the employees backed into the Mayor's car, and he elected to have a City employee take it to have it fixed. He expressed concern with the potential liability if that employee were involved in an accident while driving the Mayor's car. He indicated that there are specific requirements and stressed that the Mayor knows the procedure. He noted that if he had been involved in these incidents, there would be memos to the F.P.P.C., all of the press, etc. He suggested that the rules only seem to apply to him. 7) Announced that on Wednesday, "More than Three Mmutes" will go on for a year. He noted the projects, financing and assessments which will be addressed, and suggested that trash fees should also be addressed. He stressed that it is important for everyone to play by the same rules. Councilman Metze commented on the following: 1) Complimented the Sun Tribune on their coverage of the Grand Prix; and commended the other papers on their clearer delineation of where incidents occur. He noted that he only received two negative letters on the race and they were minor issues which can be resolved. PAGE EIGHT - CITY COUNCIL MINUTES - NOVEMBER 26,1996 2) Advised that he attended the Student of the Month presentation this date and indicated that it was quite an experience. He noted that it was a good opportunity for the parents to talk about the accomplishments of their children. 3) Wished the community a Happy Holiday. Councilwoman Brinley commented on the following: 1) Addressed the comments made by Councilman Alongi and indicated that she represents the Council on the RTA, which is responsible for bringing the Trolley to the community. She detailed the plan for use of the Trolley and indicated that she did inform Mr. Molendyk with regard to the street closure. She noted the past Visions and Views programs and indicated that they will continue to promote the positive side of Lake Elsinore. She indicated that the trolley did not arrive until 6 p.m., when most of the businesses were closed. She further indicated that they parked the Trolley in front of Java Junction with the owner's permission, and it was a very positive experience and positive program which will air on December 2nd. She noted the participation by the RTA General Manager and her Assistant. She stressed the intent of the program on Main Street and noted that there were Christmas Carols and programs, and indicated that she did not believe it inconvenienced or caused a hardship for the businesses. She advised that the street was only closed for about 10 minutes due to the noise from the cars; and the actual shoot was from 7 to 9:15 p.m. 2) Wished the Community a Happy Thanksgiving. Mayor Pro Tern Kelley commented on the following: 1) Noted the Tree Lighting Ceremony to be held on December 6th and noted the Choir's participation. 2) Encouraged the Community to turn out for the Boat parade on December 14th. 3) Complimented the Sun Tribune on their coverage of the race event, and noted the letters being received on the event. 4) Noted the participation of Santa and Mrs. Claus on the Trolley. 5) Wished everyone a Happy Thanksgiving. Mayor Pape commented on the following: 1) Detailed the viewing locations and schedule for the Holiday Boat Parade of Lights. He indicated that Registration cards are available at City Hall and Pro Marine. He encouraged public participation in the event. 2) Addressed the traffic signal request for Highway 74 and indicated that the City is still receiving letters and Caltrans is moving very quickly on the situation. He stressed that this is a State highway and it is important to work with them. He noted that due to the letters and calls of concern from local residents, results are being seen. He noted that it will probably not occur as quickly as everyone would like, but it will happen. He noted discussions of a crossing guard and stressed that this is a highway and a dangerous situation for a crossing guard; and suggested that it might not be realistic for that area. 3) Noted the recent Joint Meeting with the Water District and thanked the Board for the opportunity to discuss issues of joint concern. He further noted that next week there PAGE NINE - CITY COUNCIL MINUTES - NOVEMBER 26,1996 will be a meeting with the Chamber of Commerce to coordinate efforts with them. 4) Noted a letter to the editor in the past week regarding rude behavior toward a lady at the podium. He expressed his apologies for any misunderstanding in this situation, but stressed his effort to keep all comments equal at three minutes. He noted that there is a timer, which went off and he believed her comments to be complete and did not intend to push her off. He noted that the City Clerk is following up on the issue of the polling place mentioned by Mrs. Cardoza. 5) Indicated that it is almost funny to talk about a broken tail light, and noted that it was an embarrassing situation for a staff member who offered to repair the damage. He suggested that this concern was raised by a desperate person who is about to receive a Grand Jury Indictment and it casting sticks at other issues. He suggested considering the source and taking it with a grain of salt. City Attorney Harper requested the addition of a Closed Session item regarding the Spectrum Group Litigation. CLOSED SESSION Pending Litigation - Morger vs. R.C.H.C.A. - Case No. 258102 Pending Litigation - Project Dimensions, Inc. vs. City of Lake Elsinore - Case #283479. Real Property Negotiations - Lake Elsinore Diamond Stadium - Ron Molendyk. THE CITY COUNCIL MEETING WAS ADJOURNED TO CLOSED SESSION AT 8:22 P.M. TO DISCUSS THE ABOVE MENTIONED ITEMS. THE CITY COUNCIL MEETING WAS RECONVENED AT 8:58 P.M. WITH THE ANNOUNCEMENT OF THE ACCEPTANCE OF THE PROPOSAL OF DELOITTE & TOUCHE FOR THIRD PARTY NEGOTIATOR WITH REGARD TO THE LAKE ELSINORE STORM TEAM/CITY NEGOTIATIONS. FA 11 1 W"011001 Di` Y MOVED BY METZE, SECONDED BY BRINLEY AND CARRIED BY UNANIMOUS VOTE TO ADJOURN THE REGULAR CITY COUNCIL MEETING AT 9:00 P.M. VIN W. AEE, MAYOR / CTTY OF LAKE ELSINORE CLERK CITY OF I.d� YE ELSINORE m ADJOURNED REGULAR CITY COUNCIL/REDEVELOPMENT AGENCY MEETING CITY OF LAKE ELSINORE 130 SOUTH MAIN STREET LAKE ELSINORE, CALIFORNIA TUESDAY, DECEMBER 3, 1996 RRRRRRkRkfIkRRRRRRkRRRkRRkRRRRRRRkkRkkRkRRkRkRkkRRRkkRkRRRRRRRkkkkkRRRkkRRRkRRkRRR CALL TO ORDER The Joint Meeting was called to order by Mayor Pro Tem/Boardmember Kelley at 1:10 p.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Councilman/Boardmember Alongi. ROLL CALL PUBLIC COMMENTS - AGENDIZED ITEMS None. CLOSED SESSION Discussion of Personnel matters. ALONGI,KF.1 A.EY, METZE, BRINLEY THE MEETING ADJOURNED TO CLOSED SESSION AT 1:12 P.M. TO DISCUSS THE ABOVE MENTIONED MATTERS. THE MEETING RECONVENED AT 2:14 P.M. WITH NO ACTION TAKEN. Dick Knapp, City Treasurer, questioned the availability of paperwork on item no. 3. He stated that he felt that it was inappropriate to present this item unless Council has had time to read the material. He explained that even if Council has discussed this item before, they should take a month to redigest the whole contract for $21 million, He suggested that the City would only receive $2 million, rather than the $3 million discussed. 1. Proposed Budget and 2. Proposition 218 Interpretation & Impacts. (f:30.1) (X:96.1) City Manager/Executive Director Molendyk explained that in the Closed Session alternatives were discussed regarding the revenue stream and personnel adjustments. He noted that Council directed staff to cut $3,000,000 and use $70,000 from the reserves and retain all the full time and part time employees through the end of this budget year. He further noted that following Proposition 218, this will give voters the opportunity to make the LLMD whole through a ballot measure and give an opportunity to bring necessary assessments to a Special Election in June. He concluded that what occurred in Closed Session was that Council agreed to cut costs and use reserves with no layoffs until July 1, 1997. PAGE TWO - ADJOURNED REGULAR MEETING - DECEMBER 3, 1996 City Attomey/Legal Counsel Harper noted that everyone should be aware of Proposition 218 and its results and the impact on the existing LLMD District; which will require a reduction of an amount equal to what the City is currently spending on parks. He stated that it is staffs recommendation that Council do two things; Regarding the LLMD - use the procedures in Proposition 218; with mailed and returned ballot to reinstate the parks portion of the LLMD. He noted that the analysis is not complete but would cost approximately $25 a year for a single family residence. He pointed out that the Assessment Engineer has not completed his analysis and this issue depends on that information. He noted that the City could look at holding a public hearing on the park portion in late March, 1997) He explained that at the same time the City can use the ballot approach regarding a general tax on a ballot to include parks, recreational facilities and the west end fire station. City Attomey/Legal Counsel Harper explained that if the parks portion is reinstated on the March ballot, then the City would drop that issue off of the June 3, General Municipal Election. He noted that if unsuccessful the amount considered for the election would be approximately $2.5 million. City Manager/Executive Director Molendyk added that passage would bring the City current with the existing service level and the additional dollars would be allocated for staffing of the West End Fire Station. He noted that the money has been set aside for construction, but these dollars would address staffing. City Attorney/Legal Counsel Harper noted that the budget assumes the Sumitomo Bank payment will go away due to future actions that staff is working on, but without that debt going away an additional half million dollars would have to be cut from the budget.. City Manager/Executive Director Molendyk explained that because of Proposition 218, staff recommends hiring Berryman & Heniger as consultants to develop funding formulas, to assist in putting together a public information brochure, participate with staff in the Town Hall Meeting process and bring the exact figures together. He noted changes in assessment procedures and explained that it will also assess public entities a fair portion . He fiirther explained that the City will need to have the engineer's review to determine what is fair, as well as a request for evaluation of operating costs for the West End Fire Station. He further noted that there will be public input at the town hall meetings and Council can decide what costs they need to pass on and thus need to appear on the ballot in June. Councilman/Boardmember Metze questioned the process for the two attempts and further questioned the reason we went with option No. 2, and asked if it would allow for two opportunities for passage. City Attomey/Legal Counsel Harper explained the public hearing process and the mailed ballot to pass or deny the parks portion of the existing LLMD budget. He noted that the election will be scheduled at a public hearing in approximately late March and at the same time processed for a Registered Voter Election on June 3rd, and include parks and additional items such as recreation and fire station operations. He further explained that if the measure is approved in March it could reduce the amount asked for in June. Councilrnar✓Boardmember Metze questioned the March election and the impact of the large land owners. City Attomey/Legal Counsel Harper clarified that the vote count is based on the total assessment. He noted that the City needs 51% of the ballots returned to be favorable. City Manager/Executive Director Molendyk noted the benefit of two opportunities for vote, but further noted the impact of user groups on the need for the parks. He explained that the Community Services Department has indicated to them that we can accommodate user groups through June 30th, to allow the opportunity to host tournaments and make plans. City Attomey/Legal Counsel Harper noted the choices if unsuccessful with both elections, being; on July 1, the City will have to lay off I 1 full time employees from a small star all part time employees and there will be no park maintenance. MOVED BY BRINLEY, SECONDED BY MM AND CARB�M- BY UNANIMOUS VOTE OF THOSE PRESENT TO APPROVE OPTION NO. TWO AND STAFF RECOMIIIENDATIONS. PAGE THREE - ADJOURNED REGULAR MEETING - DECEMBER 3, 1996 3. Financial Strategy/Refinancing. (F:30.1) (X:133.1.) A. Formation of the New Recreation Authority. City Manager Molendyk introduced Rod Gunn, and explained the intent of the proposed actions. Rod Gunn, noted that in 1994, the City issued $10,000,000 in bonds to assist in the financing of the Stadium and on a taxable basis. He explained that the City is currently paying 9.5% in interest. He further explained that one direction received from staff was to determine how to refinance on a tax exempt basis and save the City interest costs. The second charge under the budget process now in effect, was how to defer payment for some period of time because general fund could not pay the debt service without further cuts. Mr. Gunn explained that the original intent was that the RDA would have money to pay for the debt service. He stressed that this was a City bond issued, and noted that the assessed values have declined and the RDA does not have money to transfer for debt service on the bonds. He reviewed the various proposals, but recommend a bond issue with money set aside to pay the interest on the bonds for three years, therefore there would be no City payment required for three years from the date of bond issuance. Mr. Gunn explained that in the meantime, as the economy recovers, revenues will increase and with regular budget evaluations and the proposed cuts the City would be able, at end of three years, to assume the debt service. He further explained that this is buying a three year window to proceed. He noted that the other issue that was raised regarding the bond issue is the fact that one of the major assets in the City is the Lake and part of the economic recovery depends on the Lake to draw new development. He further noted that one hindrance is water quality and fish kills and if this can be addressed it opens the possibility for new development. Mr. Gunn noted that the $21 million is a safety factor as it would not be that large since actual sizing depends on interest rates at the time of issuance. He noted that the issuance would be for $19.5 million; $10.5 million to pay off the Sumitomo Loan; funding of interest for 3 years is $4 million; $3 million for water quality for the Lake; debt service reserve at $1.5 million to $1.6 million and the balance to discounts to underwriter and cost of issuance which is approximately $1/2 million. He stated that on the day of issuance and rate will impact those factors so the figures could be lower or higher, but it will be nearly that ratio. City Attorney/Legal Counsel Harper clarified that we would basically borrow $700,000 to proceed with what is owed on the Sumitomo Loan. Mr. Gunn noted that it is based on the differential with money for lake and other things. He further noted that the mechanism to issue the bonds , cannot be done with the Stadium on a tax exempt basis due to the private party lease, so the mechanism to use is an asset transfer with creation of a new financing authority specifically designed for tracking the Lake. He explained that the Lake will be sold to the financing authority and leased back to the City; and the lease payments will go to pay off the bonds. Councilman/Boardmember Alongi questioned the lease back. Mr.Gunn explained that this is designed to create the revenue stream to the bonds and is not a mortgage situation. He further explained that the only option the bond holders would have is to lease the Lake to someone else, but they cannot sell it. Councilman/Boardmember Alongi questioned the pledge ofDW fees for the payment. Mr.Gunn explained that the City will pledge DMV fees as a guarantee to the extent necessary to make the. lease payments to the authority. Councilman MetzelBoardmember asked why we used the Lake as collateral. Mr. Gunn explained that the Lake is used to set up the lease. Councilman/Boardmember Metze asked if the bond holders could take the Lake and DW fees. City Attorney/Legal Counsel Harper clarified the lease and stated all that could be foreclosed on was the Lake, and the DMV fees would stay in A PAGE FOUR - ADJOURNED REGULAR MEETING - DECEMBER 3, 1996 the budget. Certificates of Participation are typical ways of financing public facilities with no other use such as sewer fees. He explained that this is a way a public agency must finance things because it can't borrow money otherwise. Councilman/Boardmember Alongi questioned the cost to the Lake account to pay back $3 million and asked if there had been a feasibility study of its potential. Mr.Gunn explained that the payment on $3 million would cost approximately $280,000 annually in terms of the Lake revenue. Councilman/Boardmember Alongi questioned the Lake Management Agreement payback. Assistant City Manager Watenpaugh stated that it is $380,000 a year. Councilman/Boardmember Alongi questioned the cost of operations for just the lake. Assistant City Manager Watenpaugh clarified. Councilman/Boardmember Alongi indicated that this would mean $1 million a year is needed from the Lake. Councilman/Boardmember Metze noted the offset of revenue on the Lake. Councilman/Boardmember Alongi stressed the $1 million we are in debt on the Lake and stressed that this is adding to that figure to do something we don't have. He stated that when the ball field was built, development was expected to help make repayment and this did not happen and pointed out that the City will be prepaying for another year not knowing where the economy will be. He made note of the negotiation with EVMWD regarding the Lake and reclaimed water and he still feels that they are responsible for the water. City Attorney/Legal Counsel Harper clarified the feasibility study and projections. City Manager/Executive Director Molendyk noted $326,000 federal payback for the Lake responsibility of the RDA obligation prior to the City taking over the Lake. Councilman/Boardmember Alongi stressed that it is still a debt to be paid. City Manager/Executive Director Molendyk noted two studies on the economics of the Lake and both say that the revenue stream is dependent on lake stabilization and water quality and stated that what he has heard from Council is that the highest priorities are the Budget and the Lake. He noted efforts to obtain grants and subsidies and pointed out that this will improve the opportunity to generate revenue to off-set the costs of the Lake. He further noted no one is interested in participating in the Lake except the City, and when we have the $3 million it can only be used for water quality or acquisition of land for public use. He explained that this gives the City the opportunity to pay off the debt and address problems regarding the Lake. He stressed that the City has three years to spend that money and give us the ability to meet a matching funds situation for grants and increase the spending power of our money. He stressed that he is not saying the City will spend $3 million immediately, but this will provide funds to use on the lake and time to work on a plan. Councilman/Boardmember Metze questioned if the City will continue to pursue the $3 million that was taken away by the State. City Manager/Executive Director Molendyk stated that we can pursue this issue forever, but if we can go to other agencies or legislators and offer a match it increases our possibilities for the Lake; and $3 million is a large amount for the State in their finances at this time. He stated that no State agency has that much money to give. Councilwoman/Chairman Brinley noted that we are still working with other agencies to pursue grants. City Manager/Executive Director Molendyk concurred with Councilman AlongiBoardmember and stressed the importance of resolving issues with other agencies, such as a long term water source and stressed that without this there are no dollars available to use for participation. City Manager/Executive Director Molendyk further stressed that the City is not required to spend the funds. City Manager/Executive Director Molendyk asked City Attomey/Legal Council Harper what happens if the money is not used. City Attorney/Legal Counsel Harper stated that we would retire bonds and reduce the debt payment. Mr. Gunn stated that it would amount to about 1.5% per year or $30,000 to $40,000 per year. He clarified that the money would be there, but clarified that the City has the ability to invest. City Attorney/Legal Counsel Harper further clarified the impact of the Federal Government regarding bond investments. PAGE FIVE - ADJOURNED REGULAR MEETING - DECEMBER 3, 1996 Councilwoman/Chairwoman Brinley requested clarification the use of the $3 million and asked if it would be solely for lake water quality and land around the lake for public use. City Manager Molendyk confirmed and explained that it can be used for capital items, but not operations or other uses. Mr. Gunn confirmed this and stated that it must be related to the Lake. Councilwoman/Boardmember Kelley questioned the lake revenue this year. Assistant City Manager Watenpaugh stated that it was $219,000, without a boat launch. Councilwoman/Chairwoman Brinley questioned the forecast for 1996 -97 with the boat launch. Assistant City Manager Watenpaugh stated that it will be about $350,000.. There was general discussion. Councilman Alongi/Boardmember noted that the Council was saddling the community with more debt. City Attorney/Legal Counsel Harper clarified that in order to take this action they need to convince bond buyers that we can afford to pay them back and he would be remiss discussing this approach if there was no chance that it would be paid, or if there were no opportunity to repay no bonds they would not be sold. Councilman/Boardmember Alongi stated that the 3 years of interest payments were set for that reason. City Attorney/Legal Counsel Harper stressed concern for the next 22 to 27 years, not the first three years. Councilman/Boardmember Alongi asked why the Bank of Sumitomo loaned the City $10 million if we could not project for 20 years. City Attorney/Legal Counsel Harper stated because it is not a30 year loan and noted the actions by Sumitomo which took advantage of the City. Councilman/Boardmember Alongi questioned figures on the board to show the total cost of the $21 million and suggested that this is consolidating the debt to reduce the payment and doubling the cost to repay. City Attorney/Legal Counsel Harper clarified that the debt service is approximately $1.6 million. Mr. Gunn clarified the options and the costs of each; Option No. 1, is refinance the $10.5 million and that could be done at a savings, but not buy any time; Option No. 2, consists of buying three years to get the City finances in order. City Attorney/Legal Counsel Harper noted Option No. I is not a feasible option since Prop. 218, as no one would buy the refinanced bonds. Mr. Gunn noted that with Option No. 2, the City will gain the three years to work out all the problem's and will take the amount to approx. $15 -16 million; Option No. 3, adds new money for a future projects and adds to the capitalized interest. He clarified the $195 million option and stated that from 6th year on it will cost $1.6 million, $1.4 million for 3 -5 years and nothing on the first 1 -3 years since it has been refunded. City Attorney/Legal Counsel Harper noted that the positive effect is a strategy to dismantle the master pool. He stressed the reserve fund for the pool. Swapping the funds and eliminating the obligation for the pool. Councilwoman/Chairwoman Brinley stressed that this will be standing on its own merit. City Attomey/Legal Counsel Harper clarified that the issuance has $1.5 million in an established reserve fund and will be transferred. Mr. Gunn indicated no reserve would be required. Councilman/Boardmember Alongi questioned what the City's paying today in payments. Mr. Gunn stated that the City is currently paying $1.1 mullion plus fees. Councilman/Boardmember Alongi questioned all debt service. Administrative Services Director Boone stated that it is $5.6 million. Councilman/Boardmember Alongi clarified that this action would take $1.1 million and increase to $1.6 million. He asked how long the City would pay the $1.6 million. Mr.Gunn stated 30 years. Councilman/Boardmember Alongi questioned if the primary goal is to get rid of Sumitomo. Mr.Gunn explained that it is to gain a lower interest rate, buy time and gain money for capital improvements. Councilman/Boardmember Alongi stated that he understands the necessity with Sumitomo Bar-d-, but questioned the total cost over PAGE SIX - ADJOURNED REGULAR MEETING - DECEMBER 3, 1996 30 years in contrast to Sumitomo. City Attorney/Legal Counsel Harper stated that it would be $300,000 x 30 years; assuming the City is not in the same boat and the City could actually save money based on the rates obtained and allow us to move the dollars around. Mr.Gunn concurred, but noted the refinancing will be at a savings, but the additional cost is the other two elements. He explained that the cost of that is $4 million and paying debt service on $4 million. City Attorney/Legal Counsel Harper clarified the required payments and noted the difference is $700,000. Councilman Alongi questioned $21 million in bonds at the going rate, and questioned what is the bottom line. City Attomey/Legal Counsel Harper explained that the net effect is $300,000 in debt service annually for 30 years with the receipt of $3 million in new dollars. Councilman/Boardmember Metze questioned Councilman/Boardmember Alongi's suggestion. Councilman/Boardmember Alongi stated that we don't need to add more debt to what the City already owes. He explained that he knows we have to refinance, but the City is strapped right now because of debt service. He stressed that this is predicated on the future and only Lake Elsinore will be assessed for this. Councilman/Boardmember Alongi questioned the cost of operating the aeration; use of reclaimed water; etc, and indicated that while he hates to say it, he does have serious concerns taking on an additional $3 million in debt plus interest without a guarantee for the future. He indicated that property values will continue to go down and noted an article in the paper which says that the recreational dollars have decreased in 1996. He stressed his concern with putting the community in debt for an additional $3 million when we have no figure on aerating the lake. City Manager/Executive Director Molendyk noted that some day the Council might agree on a $10 million improvement project, but for right now the $3 million has been discussed with legislators in regard to aeration. He explained that he could not determine the right aeration system tomorrow, since it is up to the technical people to tell us what is best, but it is still a step in a direction that the Council appeared to want to go. Councilwoman/Chairwoman Brinley explained that she did not disagree with Councilman/Boardmember Alongi and stressed the need for proper studies on the Lake. She further stressed the fact that we would have the option to participate in programs we can not now participate in at this time. Councilwoman/Chairwoman Brinley stressed the need for options and the need to pay off Sumitomo Bank. City Attorney/Legal Counsel Harper noted that the other positive point is how the financial community will view the transaction. He explained that a positive view is different if guaranteed funds will be used to make it more useable. He further noted the potential for increased return. Councilman/Boardmember Metze questioned the benefit of 3 years. Councilwoman/Chairwoman Brinley made note of potential projects which could be built in that time to balance the burden. Mayor Pro Tem/Boardmember Kelley stressed that the main priority is a balanced budget with the assistance of Mr. Gunn who has developed a long term plan to buy our way out. Mr. Gunn stressed the need to buy three years. He further stressed the impact of further budget cuts and how it affects the City. Mayor Pro Tem/Boardmember Kelley stated that when combined with the other issues it works as a package. Councilwoman/Chairwoman Brinley stated that they all agreed with this when Council put this in the hands of Mr. Gunn, and that is the package that we go with. Mr. Gunn recommended the $10 million refinance; and stressed the need for three years to get the house in order. He stated that it is not a solution, but buys three years to develop a solution. He further clarified the payment schedule and stated that the final option is the $3 million toward the lake which will enhance the bond issue but not a requirement.. Mr. Gunn stressed the need to do something to address the Lake. Mayor Pro Tem/Boardmember Kelley questioned the actions required to place this plan in motion. Councilman/Boardmember Alongi questioned the importance of doing it today. City Attorney/Legal Counsel Harper noted that there is a short window period which is involved and explained that 4 had more to do with federal tax PAGE SEVEN - ADJOURNED REGULAR MEETING - DECEMBER 3, 1996 law. He further noted that he was very nervous about the fact if the City was going to make it to January 1 st;. and now he has been informed that if we close in January we will still be O.K., but after that the situation is very uncertain. 1. City Council Resolution No 96 -63 - Approving the Joint Powers Agreement. (F: 133.5) MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY A VOTE OF 3 TO 1 WITH ALONGI CASTING THE DISSENTING VOTE AND PAPE ABSENT TO ADOPT RESOLUTION NO. 96-63 AS FOLLOWS: RESOLUTION NO. 96-63 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE AUTHORIZING FORMATION OF THE LAKE ELSINORE RECREATION AUTHORITY BY JOINT POWERS AGREEMENT WITH THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE. 2. Redevelopment Agency Resolution No 96 -9 - Approving the Joint Powers Agreement. (F: 133.5) 3. Joint Powers Agreement creating the "Lake Elsinore Recreation Authony_ (F:133.5) MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY A VOTE OF 3 TO I WITH ALONGI CASTING THE DISSENTING VOTE AND PATE ABSENT TO APPROVE THE JOINT POWERS AGREEMENT CREATING THE "I -'UCE ELSINORE RECREATION AUTHORITY" AND ADOPT REDEVELOPMENT AGENCY RESOLUTION NO. 96-9 AS FOLLOWS: RESOLUTION NO. RDA 96-9 A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE AUTHORIZING FORMATION OF THE LAKE ELSINORE RECREATION AUTHORITY BY JOINT POWERS AGREEMENT WITH THE CITY OF LAKE ELSINORE. THE JOINT MEETING WAS RECESSED TO THE ORGANIZATIONAL MEETING OF. THE LAKE ELSINORE RECREATION AUTHORITY AT 3:10 P.M. THE JOINT MEETING WAS RECONVENED AT 3:14 P.M. 4. City Council Resolution No 96 -64 - Approving Lease Agreement and Related Matters. (F:68.1) (X:133.5) MOVED BY METZE, SECONDED BY BRINLEY AND CARRIED BY A VOTE OF 3 TO 1 WITH ALONGI CASTING THE DISSENTING VOTE AND PAPE ABSENT TO APPROVE RESOLUTION NO. 96-64 AS FOLLOWS: RESOLUTION NO. 96-64 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE PROVIDING FOR APPROVAL OF A LEASE AGREEMENT IN CONNECTION WITH THE ISSUANCE OF CERTAIN BONDS BY THE LAKE ELSINORE RECREATION AUTHORITY, APPROVING ISSUANCE OF SUCH BONDS, APPROVING A BOND PURCHASE CONTRACT AND PAGE EIGHT - ADJOURNED REGULAR MEETING - DECEMBER 3, 1996 AN OFFICIAL STATEMENT, ELECTING TO GUARANTEE LEASE PAYMENTS WITH AMOUNTS IN THE CITY'S MOTOR VEHICLE LICENSE FEE ACCOUNT, AND PROVIDING OTHER MATTERS PROPERLY RELATING THERETO. ADJOURNMENT MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE OF THOSE PRESENT TO ADJOURN THE JOINT ADJOURNED REGULAR MEETING AT 3:15 P.M. A o VICKI ICkSAD, CITY CL CLERIC OF'I E BOARD MINUTES CITY COUNCIL STUDY SESSION CITY OF LAKE ELSINORE 130 SOUTH MAIN STREET LAKE ELSINORE, CALIFORNIA THURSDAY, DECEMBER 5, 1996 * a�e��eftstsaefes**„, e„„ �a�* xftseaw�e�xw• xx�xx�x• xw�ftaKfta• �� *�w�e�w * *���s���s�x��e�xa�fEa *� CALL TO ORDER The City Council Study Session was called to order at 2:40 p.m. ROLL CALL PRESENT: COUNCILMEMBERS: BRINLEY, KELLEY, PAPE ABSENT: COUNCILMEMBERS: ALONGI, METZE Also present were: City Manager Molendyk, Administrative Services Director Boone, Community Development Director Leslie, Building and Safety Manager Russell, and Deputy City Clerk Bryning. PUBLIC COMMENTS - AGENDIZED ITEMS None. DISCUSSION ITEM 1. In fill Lots - Housing Program. (F:87.1) City Manager Molendyk introduced Gray Boyse and explained that he was proposing to do in -fill development in the older section of the City and fulfill one of the goals of Council. The housing would be built in the Historic Downtown area and be for low to moderate income families. The bulk of the money will come from the private sector and cost the City will be approximately $7,500 per home in permit and plan check fees and once the home is sold the City will eventually recover the money and this would meet our 20% set aside for low income housing. He noted that the architecture will be compatible with the downtown area. Gary Boyse of Bonita Homes Development Corporation explained that the homes that his company is proposing to development would be specifically for low to moderate income families. He noted that the Redevelopment Agency participation in the program allows them to obtain below market interest rates for the first -time home buyers and gives them a marketing tool to compete with standard subdivisions. He further noted that the RDA participation allows them to obtain an interest rate from CHAF's Affordable Housing Partnership Program that averages I % below the normal market rate. He outlined the benefits of the in -fill lot development and how it would impact the City. He explained that this is a benefit to the community since it develops pride in ownership and will encourage neighborhood to improve. He explained the City's involvement in the loan requirements and the qualifications required of the home buyer. Mr. Boyse outlined the construction budget necessary to build and the benefits for the home buyer. Mayor Pape and Mayor Pro Tem Kelley questioned the loan arrangements. Mr. Boyse explained that the City would carry a note for the $7,500 for the 30 year period and would recover the money by the end of that period or the entire amount at the time of sale. City Manager Molendyk explained that this is not multi - family, but rather single family residential. PAGE TWO - STUDY SESSION MINUTES - DECEMBER 5, 1996 Mayor Pape asked how many homes that they will be building. Mr. Boyse explained that they will start with 15 homes and go from there. Councilwoman Brinley questioned the locations for the homes. Mr. Boyse explained that they would be located from Chaney Street all the way up into the old Downtown area. Councilwoman Brinley asked if Mr. Boyse was aware of the criteria for the Overlay District in the Historic Downtown Area. He stated that he was and that he feels that the criteria is good for his project. Mayor Pro Tem Kelley asked if they would be doing landscaping. Mr. Boyse stated that they will be doing sprinklers and landscaping in the front of the homes to enhance the appearance and value. COUNCILMAN METZE ARRIVED AT 2:45 P.M. Mr. Boyse explained that the home buyer would have to be FHA qualified, with good credit and would have to come in with $2,000 or a little less to qualify. He further explained that the home buyer would have an income cap of $33,000 a year to qualify as well. He noted that they will be attempting to acquire 2 to 4 lots in the same area to improve the neighborhood and encourage improvement in the surrounding homes. Mayor Pape questioned the fees. Mr. Boyse stated that the school, water and sewer fees will have to be paid and become a part of the cost of the home, however the City's participation will keep the cost at an affordable level for the home buyer. Mayor Pro Tern Kelley questioned the start time for the project and how large the homes would be. Mr. Boyse stated that they hoped to be ready to start in June and the home would be approximately 1,200 square feet. City Manager Molendyk noted that the proposed area has lots that are longer and narrower. COUNCILMAN ALONGI ARRIVED AT 2:55 P.M. Councilwoman Brinley suggested that Mr. Boyse might want to consider lot mergers to increase the size of the lots. City Manager Molendyk explained that the project falls in the Historic Overlay District and that Mr. Boyse's Company will try to group several of the home together to improve the area. Mr. Boyse explained that this project will help to generate tax revenue as well as the fact that home ownership promotes pride. He noted the other areas that they have done similar projects and the positive impact that they have had. Mr. Boyce further explained the note will be for 30 years and will have to remain low to moderate should the owner sell for the first 10 years. Councilwoman Brinley asked if there was a limit on the amount of time that the buyer must retain the home before they could sell. Mr. Boyse stated that there was no limit. City Manager Molendyk stated that this item has been placed on the Agenda for December 10, 1996, and after Council has reviewed the package provided by Mr, Boyce, they can bring forward further questions. PAGE THREE - STUDY SESSION MINUTES - DECEMBER 5,1996 Councilman Metze stated that he felt that this would be an incentive to improve the neighborhood. ADJOURNMENT The City Council Study Session was adjourned at 3:06 mm. Respectfully submitted, Ai x'EST. L . ICKI KASAD, CITY CLERK \�.....I u ►1m 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 Fellowship. 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 for 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 Investment Report for October, 1996. (F:12.5) 4. Rejected and referred to Claims Administrator the Claim Against the City submitted on behalf of Gregory Michael Manos (CL #96 -24). (17:52.2) PUBLIC HEARINGS 21. Tentative Tract Map No. 27617 "Dyer- Wvnn ". (F160.2) City Manager Molendyk 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 speak. 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 this applicant would still be able to request extensions as detailed in the Subdivision Map Act. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO APPROVE TENTATIVE TRACT MAP NO 276179 ADOPT MITIGATED NEGATIVE DECLARATION NO. 96-5, BASED ON THE RECOMMENDED FINDINGS, EXHIBIT A AND SUBJECT TO THE FOLLOWING CONDITIONS OF APPROVAL. Planning 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 time is granted by the City 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 all lots 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 all 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 shall be done by final map(s) for all 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 and the City Council shall 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 shall be shown to conform to the minimum dimensional standards of the R -1 Zoning District (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 Attorney and recorded. 12. All of the improvements shall be designed by developer's Civil Engineer to the specifications of the City of Lake Elsinore. 13. Comply with all conditions of the Riverside County Fire Department. Provide fire buffer zones around 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 shall be delineated on engineering sewer plans and profiles for submittal to the EVMWD. 16. The developer shall submit plans to Southern 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 Planning 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 shall review all CC & R's and rules for their adequacy and completeness. The City Attorney shall 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 desired and proposed), back -up wall areas, street trees and slope planting in accordance with the City landscape 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 trucks 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 shall be allowed. CC & R's shall be subject to the approval of the Community Development Director, or his 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, architectural drawings, floor plans, landscaping and fences /walls shall require Design Review approval prior to issuance of building permits. All standards 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 location 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 permits. A Geologic Soils Report with associated recommendations will be required for grading permit approval, and all grading must meet the City's Grading Ordinance, subject to the approval of the City Engineer and the Planning 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 shall bond 100% for material and labor for one (1) year 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 "Acknowledgment of Conditions" and shall return 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, ,shall be incorporated into project design and development. 32. Conceptual and Final Landscape and Irrigation Plans for all project slope areas and fire breaks shall be approved by the Community Development Director prior to issuance of building permits for any phase of development. Improvements shall be installed prior to Certificate of Occupancy. 33. Within one year prior to issuance of a grading permit, the applicant shall conduct a focused biological assessment to determine 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 allow for the extension of "E" Street on Tentative Tract Map No. 27617 to "A' Street in Tentative Tract Map No. 25074. 36. The applicant shall pay applicable fees and obtain proper clearance from the Lake Elsinore Unified School District (LEUSD) prior to issuance of building permits. Engineering Department 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 all 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. Construct 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 edition, and City Codes (LEMC 12.04 and 16.34). 43. Pay all fees and meet requirements of an encroachment permit 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) shall 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 property 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 shall 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 shall be conveyed through the site, or shall be collected and conveyed by a method approved by the City Engineer. 51. Submit Hydrology and Hydraulic Reports for review and approval by City Engineer prior to approval of the final map. Developer shall mitigate any flooding and/or erosion caused by development of site and diversion of drainage. 52. All drainage facilities in this tract shall be constructed to Riverside County Flood Control District Standards. 53. Developer shall be subject to all Master Planned Drainage fees and will receive credit for all Master Planned Drainage facilities constructed. 54. The applicant shall 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 yards, grading plans shall be prepared by a Civil Engineer and approved prior to grading permit issuance. Prior to any grading, the applicant shall obtain a grading permit and post appropriate security. 56. All grading shall be done under the supervision of a geotechnical engineer and he shall 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 all 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 all fire hydrant locations. 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 shall 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 be placed 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 shall 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 obstructed, a special limited use easement must be recorded to limit the slope, the type of landscaping and wall 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 must be graded at least one foot above the flow line of the drainage channel along the tract boundary, or an alternate design equally acceptable to the City Engineer. 67. If Tract 27617 is developed prior to Tentative Tracts 25830 and 25074, the developer will be required to construct the infrastructure to match the future improvements of the previously approved tentative tracts. PAGE NINE - CITY COUNCIL MINUTES - DECEMBER 10, 1996 68. If 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 tract 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 district 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 shall pay the cost for the formation of the district. BUSINESS ITEMS 31. Second Reading - Ordinance No. 1022 - Interim Ordinance Temporarily Prohibiting New Multi - Family Residential Projects at a Density 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 Reading - 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: COUNCILMEMBERS: NONE 33. Requested Committee & Task Force Appointments. (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 Schiffner, 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 Tern Kelley explained that Dr. Long has an individual who has volunteered time to teach students at both high schools crewing. She further 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 opportunity 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 Tern 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 their 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 COMMISSION), MARLENE BEST (ASSISTANT TO THE CITY MANAGER) AND PAT KILROY (LAKE OPERATIONS) TO THE ELSINORE VALLEY MUNICIPAL WATER DISTRICT RECLAIMED WATER FOR LAKE ELSINORE TASK FORCE. 34. Traffic Signal at Dexter Avenue and Hi way 74. (F:162.4) City Manager Molendyk explained that this item has come to attention of Council and staff through correspondence from residents. He noted meetings between City staff and Caltrans Engineers and advised that the intersection does meet the required Caltrans warrants for a traffic signal. He further explained that the cost of the signal is estimated at $170,000; and Caltrans is willing 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 expend 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 further 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 try 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 their 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 O 'Donnell noted that Caltrans 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 further 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 make that happen. THE FOREGOING MOTION CARRIED BY UNANIMOUS VOTE.. ITEMS PULLED FROM THE CONSENT CALENDAR 5. Seaport Boat Launch - Design 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 further noted that some of the costs would have originally been applied to the cost of Phase II and will PAGE THIRTEEN - CITY COUNCIL MINUTES - DECEMBER 109 1996 be credited within that phase. Councilman Alongi noted an earlier discussion and indicated that staff did everything 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 allow some work now instead of in Phase H. 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 Reuundine Bonds. (F:126.5) City Attorney Harper noted the complexity of this 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, starting with the refunding of the Sumitomo Loan. He indicated that there is no downside to this transaction. Councilman Alongi noted the difficult job ahead of the Council and noted his 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 this action has no affect on the property 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 ramifications of defaulting on the bonds. Councilwoman Brinley added a question regarding the legality of this action. Councilman Metze noted that the only alternative heard from the public is to let them go into default. City Attorney Harper responded that this is clearly a legal refunding and with regard to the impact of defaults they are somewhat hard to measure. He explained that one impact 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; which 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 Housing Proposal - Bonita Homes. (F:87.1) City Manager 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 MINUTES - 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 his property, and stressed the potential for owners to borrow additional money on the homes. Mr. Boise indicated that he would 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 affordability 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 questioned 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 property owners in the area. MOVED BY BRINLEY, SECONDED BY KELLEY AND CARRIED BY A VOTE OF 4 TO 0 WITH ALONGI ABSTAINING FROM VOTE TO DIRECT STAFF TO FINALIZE A MEMORANDUM OF UNDERSTANDING AND PROCEED WITH BONITA HOMES 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 Half 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 office 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 trying 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 acknowledged 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 COMMENTS Mayor Pro Tern 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 MINUTES - DECEMBER 10, 1996 3) Wished the residents a Happy and Safe Holiday Season. Councilman Alongi commented on the following: 1) Wished all a Happy Christmas and New Year. 2) Advised that he talked with Dave Fahrion, and noted that people should go see the facility in Perris. He indicated that he was impressed by the cleanliness and stressed the costs to provide the services. He discussed a program for the Senior Citizens to get a discount; and Mr. Fahrion will be discussing it with the City 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 nature. He indicated that while he is not completely sold on the idea, he would like to know more about it. 4) Noted the Trolley on Main Street, and advised that people are disappointed, as they 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 Seniors downtown. He suggested that Mrs. Brinley work out an alternative. Councilwoman Brinley indicated that this 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 program 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 only a misunderstanding as to the ability to bring the Trolley downtown. 5) Commented that Donald Burnell is getting involved in private business; but they will still be having the dinner at Lake Elsinore Village. He indicated that he would put Mr. Burnell "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 Reclaimed water. He commented that people have the right to know the whole story about reclaimed water. Councilman Metze commented on the following: 1) Addressed Mr. Seepe with. regard to calling of the meeting to address a PAGE EIGHTEEN - CITY COUNCIL MINUTES - DECEMBER 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 ADJOURNED TO CLOSED SESSION 8:15 P.M. TO DISCUSS THE ABOVE MENTIONED ITEM. THE CITY COUNCIL MEETING RECONVENED AT 9:16 P.M. NO ACTION TAKEN. ADJOURNMENT MOVED BY METZE, SECONDED BY BRINLEY 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 STREET, LAKE ELSINORE. t VIN . APE, MAYOR ITY OF LAKE ELSINORE ATTEST: 1` VICKI KASAD, CITY CLERK 07IFY OF LADE ELSINORE MINUTES ADJOURNED REGULAR CITY COUNCIL MEETING CITY OF LAKE ELSINORE 130 SOUTH MAIN STREET LAKE ELSINORE, CALIFORNIA THURSDAY, DECEMBER 19, 1996 CALL TO ORDER The Adjourned Regular City Council Meeting was called to order by Mayor Pape at 9:06 a.m. PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by City Attorney Harper. ROLL CALL PRESENT: COUNCILMEMBERS ABSENT: COUNCILMEMBERS: ALONGI, BRINLEY, KELLEY, METZE, PAPE 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, Assistant to the City Manager Best, City Engineer O'Donnell, Building & Safety Manager Russell, Police Chief Walsh, Financial Advisor Gunn and City Clerk Kasad. PUBLIC COMMENTS - AGENDIZED ITEMS None requested. CONSENT CALENDAR The following item was pulled from the Consent Calendar for further discussion and consideration: Item No. 3. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE BALANCE OF THE CONSENT CALENDAR AS PRESENTED. 1. Ratified Warrant List for December 12, 1996. (F:12.3) PAGE TWO - ADJOURNED REGULAR MINUTES - DECEMBER 19, 1996 2. Approved Cost Recovery for Abatement Costs on 107 East Sumner Avenue and authorized the placement of a special Lien against the property. (F:32.4) 4. Approved Letter of Support for GFI Racing to be signed by the Mayor and directed staff to begin contract negotiations with GFI Racing and the City for a long -term agreement. (17:62.1) 5. Adopted Resolution No. 96 -67 approving the Casino Drive Bridge at San Jacinto River, Caltrans Local Seismic Retrofit Program. (F:156.2) RESOLUTION NO. 96-67 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ADOPTING PROGRAM SUPPLEMENT NO. 010 TO LOCAL AGENCY /STATE AGREEMENT FOR FEDERAL - AID PROJECTS NO.. 08 -5074 CASINO DRIVE BRIDGE AT SAN JACINTO RIVER SEISMIC RETROFIT. 6. Approved Public Hearing Date of January 14, 1997, for the following: a. An Ordinance of the City Council of the City of Lake Elsinore amending Section 8.18.090 of the Lake Elsinore Municipal Code concerning Nuisance Abatement costs. (F :32.4) PUBLIC HEARINGS 21. Development Agreement between the City of Lake Elsinore and First Financial Group. Inc. (LEAI for a Project in the East Lake Specific Plan Area and Agreement for Purchase and Sale and Joint Escrow Instructions between the City of Lake Elsinore Redevelopment Agency and First Financial Group Inc (LEA for 80 -acres of Unimproved Land within the East Lake Specific Plan Area. (F:68.1)(X:134.10) City Manager Molendyk noted the efforts by City Attorney to arrive at this Agreement and noted the presence of Mr. Shine. City Attorney Harper noted that there has been a great deal of discussion on this issue to date. He explained that there are a few key significant issues for the Council, but stressed that the Development Agreement is one of very few remaining steps to release the Lis Pendens to develop East Lake; and the last consideration prior to tentative tract maps. He further explained that the Development Agreement was required by the settlement agreement and was included in that agreement as an exhibit in its draft. He indicated that it memorializes the provisions of the settlement agreement. He detailed the areas of concern raised by the Council being first, whether or not we can reasonably expect that LEA will go forward and process tentative maps and bring the project to fiuition. He noted a letter from First Financial Group letter which was faxed and read it for those in attendance as follows: PAGE THREE - ADJOURNED REGULAR MINUTES - DECEMBER 19, 1996 Ladies and Gentlemen: It is with great pleasure that we see what has been a long and arduous process coming nearly to an end. With the approval of The Development Agreement and Purchase and Sale agreement, combined with the administrative amendment to the Specific Plan and administrative lot line adjustment, the Lis Pendens affecting all of the Eastlake Property will be released. It is our intention to file a tentative tract map application as quickly as is feasible. To that end, we have prepared a number of preliminary lot configurations and intend to meet with Planning and Engineering staff in the near future to provide and receive input. We anticipate that the remaining issues (Elsinore Valley Municipal Water District, Elsinore Unified School District, etc.) will be addressed and finalized in the context of the tentative map process. American Beauty is presently pursuing entitlements for approximately 1200+ lots in the Moreno Valley, 376 lots in the Santa Clarita Valley, approximately 500 lots in Murrieta, and is presently in escrow on a large property in the City of Rancho Cucamonga which should close at the end of January. We are very anxious to proceed with our project in Lake Elsinore, of which the City Council, current residents and future home owners can be proud. Very truly yours, Jack Shine. City Attorney Harper indicated that the second issue is more substantive and generated by EVMWD, relating to concerns for the cost of oversizing. City Manager Molendyk noted a letter received from Mr. Hoagland with regard to District concerns. City Attorney Harper noted that the Water District has commented from the beginning regarding concerns for providing capacity infrastructure to the entire East Lake Development Project. He detailed the varying thoughts on this topic; and stressed that the District has always addressed it as a potential problem for provision of adequate service to the entire development. Mr. Harper addressed Page 35 of 153, Section 10.6.2, which addresses oversizing, and clarified that it says, if the City requires the facilities to be oversized, then they are the City's responsibility; but if another agency requires oversizing, then the developer is obligated to construct the facilities subject to reimbursement agreements from the future development of adjacent - properties. He fiurther clarified that while it says the City, the reimbursement agreement says that we assess the adjacent properties and reimburse the developer. Councilwoman Brinley further questioned the reimbursement requirement for oversized facilities. Mr. Harper explained that -TMC would reimburse this developer when they build; and stressed that the City has no obligation to reimburse; but the developer is reimbursed when the others build their developments. He clarified that the oversizing reimbursement agreement PAGE FOUR - ADJOURNED REGULAR MINUTES - DECEMBER 19, 1996 will either be with the City or with Elsinore Valley Municipal Water District. He noted an existing agreement with East Lake Community Builders to pay their fair share of the costs; and stressed that there is no obligation on the City to make payments for the oversizing. Mayor Pro Tem Kelley questioned the property improvements on site. City Attorney Harper indicated that the on site improvements are the responsibility of the developer. Mrs. Kelley questioned page 7, second paragraph with regard to $1.1 million of City funds for off -site facilities; and the continuing portion which states that it comes out of the City funds. Mr. Harper explained that there is some obligation for the City to put in minimum backbone infrastructure for the 400 units, with the $1.1 million, leaving a City balance of $1.5 million He reminded the Council that the City purchase price was $2.6 million and clarified the negotiations and final dollar amounts. Councilwoman Brinley questioned the $500,000 figure. Mr. Harper clarified the approach used in the settlement agreement with a $600,000 credit and a $2 million check with one half million going toward the construction of off - sites. He stressed that this has always been part of the structure of the deal and clarified the distribution further. Mayor Pro Tem Kelley questioned the $3.9 million estimate. Mr. Harper stressed that it is the infrastructure beyond what is necessary for the project which will be the responsibility of TMC. Mrs. Kelley questioned if this meant there would be no improvements to Mission Trail, Malaga or Village Drive. Mr. Harper clarified that these improvements will be made when East Lake develops to the point to require the off - sites. He stressed the requirement for a nexus of improvements to a particular project. He also noted questions with regard to ECB and what happens if they never do anything, and advised that infrastructure will only be built to support this 400 units. He noted that things look very positive with TMC and they will be responsible to step up and pay the rest. He noted a meeting involving TMC and ECB with City staff in which they agreed to underwrite the overages. Mayor Pro Tem Kelley expressed concern that the project could never happen and therefore there would be no improvements and 400 new homes. City Attorney Harper concurred with this concern, but stressed the legal requirements only allow for the City to require those things which relate to the project. Mayor Pro Tem Kelley stressed her concern that there will be no improvements to those roads. Mr. Harper concurred. Mayor Pape noted that when the calculations are done, there is still the ability to veto the proposal. Mr. Harper noted that Mr. Shine wants to build and has no interest in gouging the City; but if either side determines the costs are out of line, either side would want the ability to not commit to go forward. He explained that the Development Agreement requires that the City sit down and make a more finite estimate of costs before the project proceeds any further. Mrs. Kelley questioned page 32 section 10.5 regarding the financing of public facilities, and mello -roos or assessment districts. She questioned if this would impact the efforts to dismantle the CFD's. Mr. Harper clarified that the effort is not to dismantle the CFD's, but to take them out of the bond pool. He further clarified - that the formation of new districts would be based on a petition request from the developer. He also clarified that there is a legal requirement PAGE FIVE - ADJOURNED REGULAR MINUTES - DECEMBER 19, 1996 to allow for the formation of a CFD, and an obligation on the developer to pay for it. Councilman Metze noted the past grief caused by the CFD's. Mr. Harper clarified the existing problems with the CFD's. Mayor Pro Tem Kelley questioned the situation if bonding is given and the developer goes bankrupt. City Attorney Harper clarified the difference between putting the districts in the pool vs. stand alone pools. He stressed that the pool acquired the bonds, but if they are purely stand - alone's, it is a different situation. He noted that this is only an option with the Development Agreement, but in reality Mr. Shine has never formed a CID on any project that he has built and is not fond of the idea. Mayor Pro Tem Kelley questioned the next paragraph of the agreement with regard to participation in any existing or future financing; and questioned the ability to require them to participate in a flood, fire or library district imposed as a result of Proposition 218. Mr. Harper explained that this prevents the City from imposing on the developer a District, but would not preclude a City-wide voter imposed tax. Mayor Pro Tem Kelley questioned Section 10.6. lb with regard to park fees and park site dedications. City Attorney Harper indicated that this is a function of the change in relationship between ECB and the Lehr's; by which the Park site will be provided in the future within the TMC development. He clarified that TMC is picking up the obligation for the park facility. Mrs. Kelley questioned Item c with regard to School fees requiring that the City use its best efforts to negotiate an agreement. City Manager Molendyk noted the former Council's position, that the development needs to provide educational facilities. Mr. Harper noted a joint meeting with the School Board and discussion of Eastlake and this project, and the source of the schools for the project. He further noted that Eastlake is committed to provide turnkey schools as dictated by the development. He noted that there has been a dedication of tax increment to go toward construction of a school. Councilwoman Brinley questioned whether the land has been set aside. Mayor Pro Tem Kelley noted that she sees the same problem if this project is developed and the balance is not, there will be no school for the residents of this project. City Attorney Harper clarified the requirements to build a new school based on student generation, and reiterated the use of tax increment. Mrs. Kelley questioned Page 68 with regard to schools where it indicates that the project could generate 313 students; and indicated that she feels that is way off and the school won't be up and running. Mr. Harper clarified that these are School District numbers. Mrs. Kelley indicated that she does not feel they are realistic at all. Mr. Harper indicated that they are required to update the formula annually, but the Developer has agreed to provide turnkey schools based on student generation and the tax increment will go directly to that. He noted that school fees from 400 units will never build a school. Mrs. Kelley expressed further concern with the student generation numbers; but stressed that the school will not be there when the houses are built. Mr. Harper advised that the School District has indicated that this is an adequate approach for them; and the City has already exceed the obligation by providing the tax .increment to assist with the schools, which is more than they can get out of school fees. PAGE SIX,- ADJOURNED REGULAR MINUTES - DECEMBER 19, 1996 Mayor Pro Tem Kelley questioned the EIR mitigation issues for fire, and questioned the timing for construction of a Fire Station. She further questioned the R -2 and R -1 lot sizes. Mr. Harper indicated that the agreement calls for R -1 to be 5,000 square foot and 3,200 square feet for R -2. Community Development Director Leslie explained that the land use designation is primarily R-1 with a minimum of 5,000 square foot lots, and a portion is R -2 with a minimum lot size of 3,500 square feet. He stressed that the lot size cannot be less than 5,000 square feet. Mayor Pro Tern. Kelley questioned the average lot size in the City now. Mr. Leslie indicated that the zoning code calls for a minimum of 6,000 square feet, with an average of 7,200 existing. Councilman Metze indicated that lot size is immaterial with a specific plan in place. Mr. Leslie concurred. City Attorney Harper clarified that this is a 400 unit density. Councilman Metze questioned the letter from Mr. Shine with regard to tentative tract map timing. Councilwoman Brinley questioned the date he could be working on it. Mayor Pape opened the public hearing at 9:45 a.m., asking those persons interested in this item to speak. The following persons spoke: Jack Shine, indicated that feasibility is based on what the City requires; but normally they can put together a tentative tract map layout following the marketing study and discussion with staff in 2 to 8 months. Councilman Metze questioned the timing if approval is received today. Mr. Shine indicated that he has already anticipated approval and 2 /3rds of the marketing is done and the layouts have been prepared. He indicated that he would expect to provide that information in a number of weeks, but probably closer to 2 or 3 months if all goes as anticipated. Councilwoman Brinley questioned the ability to add a condition to give the Council a comfort level of within 7 months in good faith, to show an effort to work together. Councilman Metze noted that they have 15 years to submit the maps following approval of a development agreement. Councilwoman Brinley stressed the need to have a comfort level. Mr. Shine agreed to the addition of verbiage to require the tract maps within six months, or by July 1, 1997. Bud Attridge noted that with regard to upsizing of the pipes, it is not as costly as may be anticipated that it is only the cost of the pipe and fittings in the larger sizes, as the trenching work would b e the same. He clarified the reimbursement clauses which distort the cost of opening a project. He stressed the advantage to the City and to the developer; reiterated that while they are fronting the money, there is a good chance they will receive the money back. He stressed the need to know the intent to start on this project to allow for additions to the treatment plant. Councilwoman Brinley stressed her concerns for the money coming back. Mr. Attridge noted that there is a limit on the timing to pay back the money. Dick Knapp questioned the minimum height elevation for the pads to be built and questioned the fill. City Attorney Harper clarified that the fill will come from PAGE SEVEN - ADJOURNED REGULAR MINUTES - DECEMBER 19, 1996 adjacent properties, as part of the Lehr agreement. Councilman Metze stressed the existing height requirements. Mr. Knapp questioned the real height elevation for the pads. Mr. Metze indicated they would be at the Corps approved level. Community Development Leslie indicated that the specific plan requires a minimum pad elevation of 1265', based on the new 100 year flood elevation after lake management improvements. City Attorney Harper noted the golf course planned through the project which will serve as a source of fill dirt. Mariana Mohylyn noted the Buccanan case with regard to inconsiderate procedures, and reminded the Council of those who have gone bankrupt, because the Council was instrumental in it. She addressed the future developments and stressed that the Council should be fair, reasonable, cooperative and democratic in their actions. A Resident in the audience noted that this project will bring more smog and questioned the impact of traffic. She expressed concern that the streets are not good enough for the traffic it will bring in. Mayor Pape closed the public hearing at 9:55 a.m. Mayor Pro Tern Kelley questioned the library mitigation fees and whether they are waived. Mr. Harper advised that they are obligated to pay all development fees, including library fees; and the only waiver is the park fee portion. City Manager Molendyk noted that the park will be built by ECB. Councilman Metze reminded the Council that this is the settlement of a lawsuit and under normal circumstances he would wholeheartedly agree with Planning Commission, but this is the only way to move forward. Mr. Harper concurred that this is a unique situation and he would never propose a development agreement without the DAG fees. Councilwoman Brinley noted that she has never seen a settlement agreement become a development agreement; and clarified that the settlement agreement was reached by the prior Council, not the sitting Council. Councilman Alongi indicated that the agreement should not be transferrable; so if Mr. Shine does not do it, no one else can. Councilman Metze noted that it allows for transfer within the agreement. Councilman Alongi stressed that this has never been done before and is very unusual; and it is being done because of a lawsuit. He stressed if this individual moves forward fine, but if he does not it does not apply. City Attorney Harper clarified the development agreement language and noted the changes in land development company arrangements. He stressed that if the project is sold the same obligation remains with the project. Councilman Alongi indicated that if this was a regular agreement he would agree, but this is a legal settlement and it is not the same. Councilwoman Brinley noted the ability to transfer in other agreements, and stressed that development agreements have always allowed for the sale of the property with them living up to the requirements. Mr. Harper noted that LEA was not the original plaintiff, Russell Grosse was, and noted that the real obligee is probably PAGE EIGHT - ADJOURNED REGULAR MINUTES - DECEMBER 19, 1996 American Beauty Homes rather than LEA. Councilman Alongi stressed that the City would not consider this document if it was a normal development agreement with no litigation. City Attorney Harper noted that as a matter of law the City could not preclude Mr. Shine from assigning his obligations to another. Councilman Alongi stressed the special considerations in this development agreement and noted considerations made to make the settlement good for both sides. He questioned if payment of a settlement would have cost less. He indicated that if the Council wants to approve it, he will agree, but he would like to limit it to this developer. City Attorney Harper indicated that realistically with regard to any assignment, no other party will do what is in this development agreement; the next developer would probably want to do things a little differently. There was general discussion of the potential for another developer being held to this agreement. Councilman Metze stressed that this will allow action to go forward. Councilman Alongi noted that it will only come back if a consideration is requested. City Attorney Harper further clarified that the tentative maps would most likely be in place and sold, at which point the Development Agreement would be somewhat of a moot point. Councilman Alongi stressed the special considerations in this agreement. City Attorney Harper clarified that the development agreement contemplates much larger developments, and is only necessary because of the settlement. There was further discussion of the potential for sale of the existing agreement. Mayor Pro Tern Kelley suggested that this will make the property worth a lot more. Councilman Metze questioned the difference between builders. Councilman Alongi indicated that they would not necessarily be entitled to the special considerations. Mayor Pro Tern Kelley commented that this document was originally provided in January, she did not like it then, but the Council was told that the City was locked in. She indicated that she is tired of having to settle for things the Council does not like, but she is willing to take responsibility for what she has done. She stressed that this action is taking responsibility for what others have done. City Attorney Harper concurred and noted that this is a similar comment to what happens every two years. Councilwoman Brinley commented that no one wants the mark on them for this action, but stressed that the Council is saddled with this situation. She indicated that while she does not like the agreement the added condition for six months timing on tentative tracts will allow the City to see some movement, homes being built and make the best out of a bad situation. Mayor Pape concurred that this would allow for development and get things moving. MOVED BY BRINLEY, SECONDED BY METZE TO APPROVE THE DEVELOPMENT AGREEMENT BETWEEN THE CITY OF LAKE ELSINORE AND FIRST FINANCIAL GROUP, INC. WITH THE ADDITION OF A CLAUSE FOR A SIX MONTH ALLOWANCE FOR TRACT MAPS BY JULY 19 1997, CLARIFICATION OF THE COSTS OF INFRASTRUCTURE, BASED ON THE FINDINGS LISTED BELOW; APPROVE THE MITIGATED NEGATIVE DECLARATION NO. 96 -6; ADOPTION OF ORDINANCE NO. PAGE NINE - ADJOURNED REGULAR MINUTES - DECEMBER 19, 1996 1024 UPON FIRST READING BY TITLE ONLY AND APPROVAL OF THE AGREEMENT OF PURCHASE AND SALE AND JOINT ESCROW INSTRUCTIONS. ORDINANCE NO. 1024 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING DEVELOPMENT AGREEMENT WITH FIRST FINANCIAL GROUP, INC. UPON THE FOLLOWING ROLL CALL VOTE: AYES: COUNCILMEMBERS: ALONGI, PAPE NOES: COUNCILMEMBERS: KELLEY ABSENT: COUNCILMEMBERS: NONE ABSTAIN: COUNCILMEMBERS: NONE Findinas BRINLEY, METZE, The Development Agreement and contemplated project is consistent with the objectives, policies, general land uses and programs specified in the General Plan and with the East Lake Specific Plan. 2. The Development Agreement and contemplated project is compatible with the uses authorized therein, and the regulations prescribed for, the land use district in which the real property is located. 3. The Development Agreement is in conformity with public convenience, ; general welfare and good land use practices. 4. The Development Agreement will not be detrimental to the health, safety and general welfare. 5. The Development Agreement will not adversely affect the orderly development of property or the preservation of property values. 6. The Development Agreement is consistent with the provisions of Government Code Section 65864- 65869.5. 22. Public Hearing on Local Law Enforcement Block Grant Program Award. (F:84.8) City Manager Molendyk explained the award of this Block Grant and the related criteria for the Grant. PAGE TEN - ADJOURNED REGULAR MINUTES - DECEMBER 19, 1996 Police Chief Walsh advised that the local committee convened and reached agreement as contained in the report. He indicated that feels they developed good ideas from a cross section of the community. City Manager Molendyk detailed the actions taken to establish a committee and the recommendations by the committee and the programs to be provided by the funds. Mayor Pape opened the public hearing at 10:18 a.m., asking those interested in this item to speak. The following person spoke: Mariana Mohylyn questioned the group discussed and indicated that she is interested in the area and would like to be on the committee. Hearing no further comments the public hearing was closed at 10 :20 a.m. Councilwoman Brinley responded to Ms. Mohylyn that the committee is set and detailed the representatives. City Manager Molendyk noted that the federal grant outlines who should be on the committee and noted who participated. Councilman Metze stressed that there are set guidelines and further detailed the representatives, and advised that they have already met. City Manager Molendyk clarified that this is not a standing committee, but only a one time advisory committee. Mayor Pape noted that this funding is available immediately. Councilman Alongi noted that the committee wanted to see programs to allow the judges to sentence juveniles to community service. MOVED BY BRINLEY, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO APPROVE THE USE OF THE GRANT FUNDS AS RECOMMENDED BY THE ADVISORY BOARD. BUSINESS ITEMS 31. 23rd Year C.D.B.G. Application. (F:84.2) City Manager Molendyk noted that this is part of the annual process, and this money being applied for will go to support the Senior Center; from County funding. Mayor Pro Tem Kelley questioned how much the City will receive in total funds. Community Services Director Sapp clarified that this is not the City allocation, this is for the County allocation to the Senior Center, being sought to supplement the City funds. He explained that the City allocation would be about $215,000. MOVED BY METZE, SECONDED BY BRINLEY AND CARRIED BY UNANIMOUS VOTE TO DIRECT STAFF TO COMPLETE AND SUBMIT AN PAGE ELEVEN - ADJOURNED REGULAR MINUTES - DEC. 199 1996 APPLICATION TO THE COUNTY OF RIVERSIDE REQUESTING CONTINUED FUNDING OF THE OPERATIONS OF THE LAKE ELSINORE SENIOR ACTIVITY CENTER THROUGH THE COUNTY'S 23RD YEAR PUBLIC SERVICE COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS; AND AUTHORIZED STAFF TO SUBMIT THE APPLICATION TO THE COUNTY OF POSSIBLE FUNDING OF THE LAKE ELSINORE MASTER PLAN OF TRAILS. 22. Appointment of Representative - League of California Cities Riverside Division. (F:108.9) Mayor Pape suggested himself for appointment to the Riverside Division Representation and noted the other committees for possible appointments. Councilwoman Brinley offered to serve on the Transportation Committee. MOVED BY PAPE, SECONDED BY ALONGI AND CARRIED BY UNANIMOUS VOTE TO APPOINT MAYOR PAPE AS THE REPRESENTATIVE TO THE RIVERSIDE DIVISION AND COUNCILWOMAN BRINLEY AS REPRESENTATIVE TO THE TRANSPORTATION COMMITTEE. Staff was directed to bring other possible commitments back to the Council at its next regular meeting. 23. Readoption of the Official Statement for Lake Elsinore Recreation Authority. (F:133.1) City Manager Molendyk noted for those present what has transpired to this point. He explained the need to look at financial strategy due to the recession, State take aways, property tax reductions, RDA responsibilities and Proposition 218. He noted the goals and objectives set in April, and detailed those and the efforts to comply with those goals. He stressed that this is all part of the effort to establish a foundation for the future. Mayor Pape concurred that this is one piece of the puzzle. Rod Gunn, started by reviewing the schedule for this financing, and noted that he would be providing a revised draft of the Official Statement, as a work in progress. He indicated that since the last meeting there is a slightly different direction being considered. He noted that this draft has not yet gone to the financing team, and over the next three weeks he will be receiving comments from the team and staff. He further noted that there will be a meeting of the team the first week in January and a final polished draft distributed in January for consideration on January 14th. He explained that from that point the Official Statement will be printed and circulated to the financial community; with the close of the bond issue the first Wednesday and Thursday in February. He noted that it is a very sensational comment to say that "the City is hawking the Lake ". He explained the City is leasing the Lake to the Authority, with a leaseback to the City; and stressed that the Title for the Lake will remain with the City. He indicated that in case of disaster and default of bonds, the Lake is not mortgaged PAGE TWELVE - ADJOURNED REGULAR MINUTES - DEC. 199 1996 or pledged as collateral. He further indicated that there will be no change in the public ownership. City Attorney Harper noted that the collateral is the in -lieu fees. Mr. Gunn noted that the original documentation did not define what we mean by the Lake. Assistant City Manager Watenpaugh noted the exhibit in two different colors, which represent the Lake and the City ownership which is being placed as security. He indicated that no part of the levee, island or inlet channel is included. He indicated that a reduced copy will be included in the packet. Mr. Gunn noted that existing restrictions in place would remain. He further indicated with regard to ownership, a title report has been ordered with title insurance on the property subject to the lease. Mr. Gunn noted the change in direction since The last discussion and explained his changed recommendation to the Council. He noted that he is now recommending removal of the Lake Improvement portion from the package. He explained that the bonds may not be marketable because of the size with tat inclusion. He detailed the debt service vs. Motor Vehicle in -lieu fee ratio, and estimated payments. He noted that the figures are based on current market and will vary slightly with the bond sales in January; as there is some refining which will not occur until the last week. Councilman Metze questioned why it is necessary to do a leaseback with the Lake, if it is covered with in -lieu fees. Mr. Gunn explained that the Lake provides a legal financing mechanism to back tax exempt bonds. He clarified that the pledge is a general fund financing, and detailed the payment process. He indicated that the City, because of the current condition, needed to give additional security to insure bond payments would be made; so pledging motor vehicle in -lieu fees was appropriate under a program adopted by the State legislature about two years ago. Councilman Alongi questioned if paying off the $10 million will make the ball field free and clear of encumberances. Mr. Gunn confirmed. Mr. Gunn explained with regard to bond sizing, this is not a traditional refunding; but rather a negotiation for a purchase of the bonds from Sumitomo, the sole bondholder. He indicated that this will help in getting the size down further. He noted that this will be occurring in January and distributed the Draft Official Statements. THE MEETING WAS RECESSED AT 10:44 A.M. THE MEETING RECONVENED AT 10:54 A.M. Mr. Gunn noted recent references in the press to the duties of the City Council on an official statement. He explained that within his interpretation, Councilpeople are not professionals in this area and are not expected to know how to write an official statement and that is why his firm or others are hired to do it. He further explained that they interpret the data and information on the City and how it should go into the official statement. The City provides the PAGE THIRTEEN - ADJOURNED REGULAR MINUTES - DEC. 19, 1996 information and data and they interpret it into the official statement. He indicated that the first duty of staff and Council is to ensure they have all related data. The second duty is to read how it is presented and whether it fairly represents the standing of the City. He stressed that the Council is not expected to be experts on how it is written, but merely address whether it fairly represents the City. He expressed hopes that the Council would have sufficient time to review the document by January 14th; and indicated if it is not a good job it will be reworked. He stressed that the Council can not merely rubber stamp documents like this. City Attorney Harper commented that with regard to specific details, the Council is entitled to legitimately rely on staff, as long as nothing is factually inaccurate. Mr. Gunn introduced Mr. Weatherby, principle with O'Conner & Company securities, the firm marketing the bonds to the investing public. He indicated that they are already out testing the market for this issue. Mr. Gunn further indicated that they are reevaluating the situation beyond the financial statements, as they are accurate but do not do a good job of foretelling the future and where the City stands. He noted that this is a very dynamic situation with changes occurring quickly, and stressed the importance of looking forward based on the bast. He indicated that he would like the Council to concentrate on pages 64 to 69 of the draft statement, keeping in mind that these pages will go through some refinement; and noted that this is an initial attempt to interpret the financial health of the City at present. He noted in going through that section, the General Fund revenues have increased each year in spite of adverse factors. He further noted that the City has been reliant on the RDA in the past for administrative charges in excess of $1 million, so as the RDA has experienced its own financial difficulties, the City lost $1 million in revenue. He indicated that over the last year The council and staff have done a great job of making the cuts necessary to bring the operating fund in balance with the expenditures; and expenditures are now less than revenues. He explained that this has been accomplished through extensive cuts in the operating departments. He noted that his firm has never been involved in an issue that went into default, but the important first step is for the City to recognize that there is a problem and second they must be willing to go through the pain to balance the budget. He also noted that the financial statements don't necessarily show the standing of the interrelationship between the RDA, the Lake and Stadium funds. He noted that the City is not legally obligated to pay all the RDA debt, but the City has agreed in some agreements to make the payments when the agency can not; and they are presently working to separate out those agreements in which the City is obligated to pay. He specifically noted the Camelot DDA and EVMWD Agreements which obligate about $420,000. He also noted that The stadium and the Lake are both enterprise funds which do not. generate enough revenue to pay expenses each year with the Stadium or the Lake. He advised that the numbers on Page 68 with regard to current standings are still being validated. He explained the future need to meet the debt service on the proposed bonds in three years and noted that RDA disclosure is also an issue, but the City is not obligated to make the payments on those issues. He noted the moral obligation between the City and the RDA. He expressed concern with the press reporting which made wrong assumptions that the PAGE FOURTEEN - ADJOURNED REGULAR MINUTES - DEC. 199 1996 Council was gambling on the future economic growth. He indicated that is not what the financing or the Council is about; and stressed that in the last year there have been budget cuts of $1.3 million dollars and staff has identified further budget cuts of $848,000 to be implemented in the 1997 -98 fiscal year. He further stressed that the City is not looking to future economic growth to address its problems, but the magnitude of the problem is too big to solve with budget cuts alone. He advised that with regard to the revenue picture, in spite of recent problems, the revenues have increased each year, and it is reasonable to assume that the same revenue increases are possible in the next three years. He noted that development is starting to occur again and he is very confident that the City will achieve the additional revenues needed in three years. He indicated that this would not allow for salary increases and increased expenses. He noted the June 3rd Election and the need to look at service reductions vs. a new General Fund Tax. He noted that even this effort would leave the RDA problem unsolved and he is now beginning to look at the Agency again, but with two more reductions in assessed value with the new rolls in July or August, there will be a need to look at restructuring the Agency debt as well. He reiterated that the Draft Official Statement is being refined further, as the audits are just now becoming available and he will be doing conformance with those. He indicated that he wants to discuss this matter further and make sure the relationship between the Agency and the City is clear; as well as discussing Proposition 218 and reviewing the market study which was prepared for the Redevelopment Agency, and report back to Council in January. Mayor Pape requested that the final version be provided before the meeting in January; and requested that the final changes to the document be delineated. Mayor Pro Tem Kelley requested that Mr. Gunn address the Stadium debt service now and what it will be after this action Mr. Gunn indicated that the debt services was $1.1 million last year and under current sizing of $1,050,000 for five years, the first three years will be paid out of ht bond proceeds, the fourth and fifth obligation is debt service of approximately $1 million, interest only; and in years 6 thereafter, the principle would be retired with payments of $1.2 million. Councilwoman Brinley noted there is still a need to address the issue with the stadium. Mr. Gunn indicated that one of the financial strategies is the renegotiation of the lease with the team on the Stadium. City Manager Molendyk emphasized that next year they are prepared to downsize to conform with the budget strategy. He fiuther noted that if the voters support an assessment in June it will help. He noted that when this financial effort is complete, this Council is locking itself and the next Council into the solution. He noted that this program will start foundation and build slowly, but stressed the need to set aside monies to meet the future debt. Councilwoman Brinley stressed that the Council is not gambling with the future of the City, as they have made budget cuts and are looking at more budget cuts. She further stressed that the Council is taking a professional approach. Mr. Gunn addressed the potential risk with bonds in terms of bond owners for the first 5 or 6 years, PAGE FIFTEEN - ADJOURNED REGULAR MINUTES - DEC. 199 1996 because the in -lieu fees will be very close to debt service, but it is still a reasonable investment. He stressed the need for the City to make the necessary cuts to meet this preexisting obligation. He indicated that this is not the full solution, but buys time to put the financial strategy into place. City Manager Molendyk noted that another solution is if future obligations are increased, they must have a revenue stream to maintain them. Councilman Alongi addressed the ball field obligation, and noted the dramatic part in played in the impact on the Redevelopment Agency. Mayor Pape indicated that this action is in line with the goals and objectives previously set and all contribute to the solution. He noted that the Council has just received the Draft Official Statement and can begin to review it for the first meeting in January. City Manager Molendyk noted that the Consultants will stay after this meeting to clarify any questions for the press. Mayor Pape noted that the press is the City's best opportunity to keep the people appropriately informed. ITEM PULLED FROM THE CONSENT CALENDAR 3. Resolution No 96 -66 of Intention - Initiating an Amendment to Sections 17.82 and 16.04 of the Municipal Code (ZCA 97 -1) to Transfer the Authority of Approval of Various Types of Projects from the City Council to the Planning Commission. (F:172.1) City Manager Molendyk noted a previous study session w:th the Planning Commission and a discussion regarding the delegation of certain authorities to the Commission with the Council serving as an Appeal board. He noted the potential for questions and suggested continuance of the item. MOVED BY BRINLEY TO CONTINUE THIS ITEM FOR FURTHER INFORMATION, AND ONE MORE CHANCE TO REVIEW THE CHANGES. MOTION DIED FOR LACK OF A SECOND. Mayor Pape suggested that this item be tabled. MOVED BY BRINLEY, SECONDED BY METZE AND CARRIED BY UNANIMOUS VOTE TO CONTINUE THIS ITEM TO A STUDY SESSION TO BE SCHEDULED AFTER THE FIRST OF THE YEAR, WITH THE PLANNING COMMISSION. THE CITY COUNCIL MEETING WAS RECESSED AT 11:31 A.M. THE CITY COUNCIL MEETING RECONVENED AT 12:06 P.M: PUBLIC COMMENTS None requested. PAGE SIXTEEN - ADJOURNED REGULAR MINUTES - DEC. 199 1996 CITY MANAGER COMMENTS Wished all a Merry Christmas. CITYuCOUNCIL COMMENTS" Councilmembers all conveyed best wishes for the Christmas and New :- d'ear's Holidays. ADJOURNMENT THE, ADJOURNED REGULAR CITY COUNCIL MEETING WAS ADJOURNED AT 12:09 P.M. 46f) VIN APE, MAYOR CITY OF LAKE ELSINORE ATTEST: C KI '`?,SELD, CITY CLERK CIr OF LAKE ELSINORE