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HomeMy WebLinkAbout2009-04-21; City Council; MinutesMINUTES MEETING OF: CITY COUNCIL (Regular Meeting) DATE OF MEETING: April 21, 2009 TIME OF MEETING: 6:00 p.m. PLACE OF MEETING: City Council Chambers CALL TO ORDER: Mayor Lewis called the Meeting to order at 6:00 p.m. ROLL CALL was taken by the City Clerk, as follows: Present: Lewis, Kulchin, Hall, Packard and Blackburn. Absent: None. LEGISLATIVE INVOCATION: Mayor Lewis offered the Legislative Invocation. PLEDGE OF ALLEGIANCE: Council Member Packard led the Pledge of Allegiance. PRESENTATIONS: Council Member Hall presented a Proclamation to Parks and Recreation Director Brian Albright in recognition of National Arbor Week. Mr. Albright invited the Council and the citizens of Carlsbad to participate in the "Beautify the Grove" event scheduled for Saturday, April 25, 2009 at Hosp Grove from 8:30 a.m. to 11:00 a.m. Mayor Pro Tem Kulchin presented a Proclamation to Volunteer Coordinator Sue Irey and Emergency Preparedness Coordinator David Harrison in recognition of National Volunteer Recognition Week. Ms. Irey and Mr. Harrison introduced the City's CERT (Community Emergency Response Team) volunteers. Council Member Blackburn presented a Proclamation to Betsy Sellers of the Lifesharing Donor Organization Group in recognition of DMV/Donate Life California Month. Fire Battalion Chief Ed Sprague came forward to address Council. Mr. Sprague shared with the Council instances where participants in the DMV/Donate Life Program have saved the lives of Carlsbad residents. CONSENT CALENDAR: ACTION: On a motion by Mayor Pro Tem Kulchin, Council affirmed the action of the Consent Calendar, Item Nos. 1 through 4 as follows: AYES: Lewis, Kulchin, Hall, Packard and Blackburn. NOES: None. ABSENT: None. April 21, 2009 Carlsbad City Council Meeting Page 2 WAIVER OF ORDINANCE TEXT READING: Council waived the reading of the text of all Ordinances and Resolutions at this Meeting. 1. AB #19.773 -ACCEPTANCE OF DONATIONS. Council adopted RESOLUTION NO. 2009-074. accepting donations of product and in-kind services in support of 2009 Teen Scene: Battle of the Bands special event. 2. AB #19.774 -ACCEPTANCE OF DONATION. Council adopted RESOLUTION NO. 2009-075. accepting a donation of in-kind volunteer hours and contributions from the California Coastal Rose Society at Magee Park during calendar year 2008. 3. AB #19.775 -APPROVE MODIFICATIONS TO THE CITY INVESTMENT POLICY. Council adopted RESOLUTION NO. 2009-076. approving the City Investment Policy dated April 21, 2009. 4. AB #19.776 - NOTICE OF COMPLETION. Council adopted RESOLUTION NO. 2009-077. accepting the construction of the traffic signal at Calle Barcelona and Paseo Avellano as complete; and, directing the City Clerk to record a Notice of Completion, Project No. 6306. ORDINANCE FOR INTRODUCTION: 5. AB #19.777 -AMEND CARLSBAD MUNICIPAL CODE REGARDING PAWNBROKERS. Assistant City Attorney Jane Mobaldi titled the Ordinance. ACTION: On a motion by Mayor Pro Tern Kulchin, Council introduced ORDINANCE NO. CS-027. amending Section 5.08.120 (Pawnbrokers) of the Carlsbad Municipal Code requiring pawn businesses to obtain a pawnbrokers license from the Chief of Police and repealing the requirement for a written permit from City Council. AYES: Lewis, Kulchin, Hall, Packard and Blackburn. NOES: None. ABSENT: None. PUBLIC COMMENT: Diane Nygaard, Oceanside, came forward to address Council. Ms. Nygaard encouraged Council to work with the new owner of the Village H property to ensure the citizens of Carlsbad have access to the trails on the property. Community Development Director Sandra Holder came forward to address Council. Ms. Holder explained that staff is working with the property owner to obtain an easement allowing citizens to have access to the trails on the Village H property. Council Member Packard commented that citizens can obtain additional information regarding the Village H property by visiting the city's website at www.carlsbadca.gov. April 21, 2009 Carlsbad City Council Meeting Page 3 PUBLIC HEARING: 6. AB #19.778 - WEED ABATEMENT. Fire Prevention Officer Monty Kalin presented the staff report. He explained that if Council adopts the proposed Resolution, abatement action will begin on May 15, 2009. Mayor Lewis opened the duly noticed Public Hearing at 6:39 p.m. and asked if anyone would like to speak. Seeing no one wishing to speak, Mayor Lewis closed the Public Hearing at 6:39 p.m. ACTION: On a motion by Mayor Pro Tern Kulchin, Council adopted RESOLUTION NO. 2009-078. directing the Fire Chief to abate nuisances by having weeds, rubbish and refuse removed from identified parcels. AYES: Lewis, Kulchin, Hall, Packard and Blackburn. NOES: None. ABSENT: None. DEPARTMENTAL AND CITY MANAGER REPORTS: 7. AB #19.779 - PRESENTATION OF ECONOMIC OVERVIEW. Finance Director Lisa Irvine, Economic Development and Real Estate Manager Cynthia Haas and Assistant Finance Director Kevin Branca presented the staff report and reviewed a PowerPoint Presentation (on file in the Office of the City Clerk). Ms. Haas gave an overview of the escalating unemployment rate and increased home foreclosures in the San Diego region. Mr. Branca reviewed the impacts the current economic conditions are having on the following city revenue sources: • Property Tax • Sales Tax • Transient Occupancy Tax (TOT) He also explained that development related revenues have decreased throughout Fiscal Year 08/09. Ms. Irvine reviewed the 10 year budget forecast prepared by staff. She stated that economists are projecting that the current economic recession will continue for three years and begin a slow recovery in 2012. Ms. Irvine explained that delaying or deferring new City facilities will assist with maintaining a balanced 10-year budget forecast. In closing, Ms. Irvine noted that the City recently received a AAA credit rating from Standard and Poor, which is the highest possible credit rating for a municipality. In response to an inquiry from Mayor Pro Tem Kulchin, Ms. Irvine explained that Standard and Poor typically evaluates a municipalities' credit rating every three to five years. April 21, 2009 Carlsbad City Council Meeting Page 4 In response to Mayor Lewis, Ms. Irvine explained that if the State of California chooses to borrow money from the City of Carlsbad, they could borrow approximately 8% of the City's property taxes which would equate to about $4 million. Council Member Blackburn confirmed with Ms. Irvine that any funds that the State of California borrows from the City must be paid back within three years and that the State can only borrow two times within a ten year period. Council expressed their appreciation for staffs presentation. 8. AB #19.780 - ALGA NORTE COMMUNITY PARK AND AQUATIC CENTER OPERATING AND CONSTRUCTION OPTIONS. Special Projects Director Skip Hammann, Recreation Director Brian Albright and Finance Director Lisa Irvine presented the staff report and reviewed a PowerPoint presentation (on file in the Office of the City Clerk). Mr. Hammann reviewed the following construction options for Council consideration: 1. Continue hold on project 2. Build project as currently designed - Phase 1 (Community Park and Aquatic Center) 3. Rough grade site for future development 4. Grade and build project with only Aquatic Center 5. Grade and build entire project without Aquatic Center Mr. Albright reviewed the following operation options for Council consideration: 1. City operate 2. Lease/Management Contract 3. Ground Lease 4. Public Private Partnership/Design-Build Ms. Irvine gave an overview of the City's 10-year budget forecast. She explained that although funding for construction of the project has been allocated, funding for the $1.2 million maintenance and operations expenses has not yet been identified. In conclusion, she explained that based on the 10-year forecast and the uncertainty in the current economy, staff is recommending that Alga Norte Park construction be delayed for two years allowing for the impact of the operating costs in Fiscal Year 2013-2014. In response to an inquiry from Mayor Pro Tem Kulchin, Ms. Irvine explained that the City currently has approximately $46 million in general fund reserves and $30 to $35 million in replacement fund reserves. Council Member Blackburn confirmed with Ms. Irvine that according to the budget projections, the operating and maintenance costs for the park can be funded beginning in 2014. Council Member Blackburn commented that based on lower than anticipated construction costs, approximately $10.6 million will be left over if the park is constructed during the current economic conditions. He suggested that the surplus $10.6 million be set aside to fund the operation and maintenance costs until 2014, the projected year when the general fund could absorb the costs. In response to Council Member Packard, Mr. Hammann explained that rough grading the site will take a year to a year and a half. April 21, 2009 Carlsbad City Council Meeting Page 5 In response to Council, Mr. Albright confirmed that if the Council chose to contract with an outside agency to run the aquatics portion of the park, the same agency could be contracted to run the ball field amenities. In response to an inquiry from Mayor Lewis, Ms. Irvine confirmed that although construction funds have been set aside for Alga Norte Park and the Police and Fire Training facility, the budget forecast does not support operating both facilities until 2014. In response to Mayor Pro Tern Kulchin, Mr. Hammann explained that if staff were given the permission to move forward with Alga Norte Park immediately, the project would take approximately 2 !4 to 3 years to complete. The following individuals spoke in support of moving forward with construction of Alga Norte Park: • Phil Urbina, President of La Costa Youth Organization • Walt Meier • Evan Rodgers • Thomas K. Arnold • Lisa Rodman • Leonard Ortiz • Preston Rodman • Dillon Larson • Tal Haslam • Laurie Batter • Mike Thomas • Greg Herman • JB Feaster • Shaun Robinson • Robert Wrey • Rick Fisher, Carlsbad Firefighters Association President • Tom King • Jim Farley, Parks and Recreation Commissioner • Dr. Ann Sasaki-Madigan • Sally Lyons, Parks and Recreation Commissioner • Jim Craig, Parks and Recreation Commissioner • Jeannie Chapman • Dr. Len Martyns, Parks and Recreation Commissioner ~ Mr. Martyns also read a letter from former Council Member Julie Nygaard stating her support for moving forward with the project (letter on file in the Office of the City Clerk). • James Toretto • John B. Strayer ~ Mr. Strayer submitted handouts to Council detailing the history of the La Costa 35 Athletic Club (on file in the Office of the City Clerk). • Marlaine Hubbard, Former Parks and Recreation Commissioner RECESS: Mayor Lewis declared a recess at 9:00 p.m. Council reconvened at 9:07 p.m. with five Council members present. April 21, 2009 Carlsbad City Council Meeting Page 6 In response to an inquiry from Council, Mr. Albright explained that the City's Recreation Department has been working on developing a "pyramid operational model". He further explained that the pyramid model is designed so that the City could identify areas of most benefit to residents and subsidize the operational costs of various programs to a larger extent. He stated that the programs that were of benefit to a smaller population would receive a lower subsidy. In response to Council Member Packard, Assistant City Attorney Jane Mobaldi confirmed that staff could negotiate with various user groups to obtain assistance with funding the operational costs of a facility. Mayor Pro Tern Kulchin spoke in support of moving forward with construction of Phase 1 of the Alga Norte Community Park. Council Member Hall stated that although he agrees that the facility needs to be built, he would like to see the budget for the next fiscal year prior to moving forward with construction. In closing, he stated that he could support Construction Option 3 - Rough Grading of the entire site. Council Member Packard stated that he too could support Construction Option 3 - Rough Grading and he would also like staff to pursue Operation Option 1 - City to operate and Option 2 - lease/management contract. Council Member Blackburn spoke in support of construction of the park as designed. He explained that $50.4 million has been set aside for construction and that due to the current economic conditions, the construction costs are now estimated at around $40 million. He further explained that the operational costs could be absorbed through the construction funding surplus. In conclusion, he stated that he would support Construction Option 2 - Build project as currently designed and Operations Option 1 - City to operate or Option 2 - lease/management contract. Mayor Lewis stated that due to current economic conditions he would not support construction of the park at this time; however, that he would support rough grading of the site as stated in Construction Option 3. ACTION: On a motion by Council Member Hall, Council adopted RESOLUTION NO. 2009-079. approving Construction Option 3 - Rough Grading of the Alga Norte Community Park and Aquatic Center Site. AYES: Lewis, Hall and Packard. NOES: Kulchin and Blackburn. ABSENT: None. And: ACTION: Directed staff to pursue Operating Option 1 - City Operate and Operating Option 2 - Lease/Management Contract. AYES: Lewis, Kulchin, Hall, Packard and Blackburn. NOES: None. ABSENT: None. April 21, 2009 Carlsbad City Council Meeting Page 7 COUNCIL REPORTS AND COMMENTS: Mayor Lewis and Council Members reported on activities and meetings of some committees and sub-committees of which they are members. CITY MANAGER COMMENTS: None. CITY ATTORNEY COMMENTS: None. ANNOUNCEMENTS: Lorraine Wood, City Clerk, announced that Council Members have been invited to attend, and may be participating in the following event: Tuesday, April 28, 2009 - 11:00 a.m. Carlsbad City Council Financial Workshop City of Carlsbad Safety Center 2560 Orion Way Carlsbad, California ADJOURNMENT: By proper motion, the Regular Meeting of April 21, 2009 was adjourned at 9:35 p.m. LORRAINE M. WOOD, CMC City Clerk Shelia R. Cobian, CMC Deputy City Clerk