HomeMy WebLinkAboutCC_1987-11-30 Adjourned Meeting MinutesADJOURNED REGULAR MEETING - NOVEMBER 30, 1987
VETERANS MEMORIAL HALL - 6:00 P.M.
ROLL CALL
PUBLIC COMMENT PERIOD - Members of the audience wishing to address the
Council on City business matters (other than Public Hearing items under
Section B) may do so by standing. When recognized by the Mayor, please
come forward to the podium and state your name and address for the record.
Comments should normally be limited to three minutes.
A. CONSENT CALENDAR
Unless an item is pulled for separate action by the City Council to dis-
cuss, the following actions are approved without discussion.
A-1 RELEASE OF 1987 ANNUAL WATER REPORT REGARDING THE PIPELINE REPLACEMENT
AND WATER RETROFIT PROGRAMS, AND RECOMMENDATIONS FOR THE 1988 WATER
ALLOCATION PROGRAM AND OPERATING GUIDELINES
A-2 RESOLUTION NO. 127-87 ACCEPTING THE SAN LUIS COASTAL UNIFIED SCHOOL
DISTRICT'S QUITCLAIM OF PROPERTY ON DUNES STREET FOR ROAD REALIGNMENT
IN THE MORRO BAY COMMUNITY CENTER PROJECT
A-3 AUTHORIZATION FOR THE CALIFORNIA CONSERVATION CORPS (CCC) TO DEMOLISH
THE MORRO BAY RECREATION HALL FOR SALVAGE PURPOSES
,.
A-4 RESOLUTION NO. 128-87 APPROVING A SPECIAL PUBLIC FACILITIES WATER
EQUIVALENCY AWARD FOR THE MORRO BAY COMMUNITY CENTER PROJECT
B. PUBLIC HEARINGS, REPORTS & APPEARANCES
NONE
C. UNFINISHED BUSINESS
C-1 COUNCIL SELECTION OF MEMBERS TO BLUE-RIBBON COMMITTEE UNDER INTERIM
ORDINANCES NO. 301 AND 304
D. NEW BUSINESS
D-1 DISCUSSION OF AND AWARD OF CONSTRUCTION CONTRACT FOR THE MORRO BAY
COMMUNITY CENTER PROJECT
D-2 OUTLINE OF THE PROPOSED FINANCING PACKAGE TO FUND THE MORRO BAY
COMMUNITY CENTER PROJECT
D-3 DISCUSSION OF MORRO ROCK IMPROVEMENT FUND
E. CLOSED SESSION
E-1 GOVERNMENT CODE SECTION 54956.9(C); POTENTIAL CITY INITIATED
LITIGATION
E-2 GOVERNMENT CODE SECTION 54956.9(B)(1); POTENTIAL EXPOSURE TO LITIGA-
TION EXISTS
F. ADJOURNMENT
COPIES OF STAFF REPORTS OR OTHER WRITTEN DOCUMENTATION
RELATING TO EACH ITEM OF BUSINESS REFERRED TO ON THIS
AGENDA ARE ON FILE IN THE OFFICE OF THE CITY CLERK AND
AVAILABLE FOR PUBLIC INSPECTION AND REPRODUCTION AT
COST.
MINUTES - MORRO BAY CITY
ADJOURNED REGULAR MEETING
VETERANS MEMORIAL HALL -
COUNCIL
- NOVEMBER 30, 1987
6:00 P.M.
The meeting was called to order at 6:00 p.m. by Mayor Reddell.
ROLL CALL
PRESENT: Dale Reddell
Paul Donnelly
John Lemons
Jeff Odell
Rose Marie Sheetz
ABSENT: None
STAFF: Gary Napper
Judy Skousen
Bill Farrel
Nick Nichols
Steve Wolter
Ardith Davis
PUBLIC COMMENT
Mayor
Councilmember
Councilmember
Councilmember
Councilmember
City Administrator
City Attorney
Comm. Development Dir.
Public Works Director
Recreation & Parks Dir.
City Clerk
1. Charles Palmer spoke regarding City water consumption
and conservation, and encouraged the City to plan for droughts.
2. Andy Zatko, 225 Main Street, asked when the memorial
anchor on the Embarcadero will be painted? Mr. Napper suggested
he contact staff to work this out.
A. CONSENT CALENDAR
A-1 RELEASE OF 1987 ANNUAL WATER REPORT REGARDING THE PIPELINE
REPLACEMENT AND WATER RE_TRO_FIT PROGRAMS, AND RECOMMENDATIONS
FOR THE 1988 WATER ALLOCATION PROGRAM AND OPERATING
GUIDELINES
Mr. Napper recommended Council receive the report as an informa-
tion item only at this time; it will be forwarded to the Water
Advisory Board and Planning Commission for their comments.
A-2 RESOLUTIO_N NO. 127-87 ACCEPTING THE SAN LUIS COASTAL UNIFIED
SCHOOL DISTRICT'S QUITCLAIM OF PROPERTY ON DUNES STREET FOR
ROAD REALIGNMENT IN THE MORRO BAY COMMUNITY CENTER PROJECT
Mr. Napper recommended Council adopt Resolution No. 127-87 with
appreciation to the San Luis Coastal Unified School District.
MINUTES - MORRO BAY _=Y COUNCIL
REGULAR MEETING - NOVEMBER 30, 1987
PAGE 2
A-3 AUTHORIZATION FOR THE CALIFORNIA CONSERVATION CORPS (CCC) TO
DEMOLISH THE MORRO BAY RECREATION HALL FORSALVAGEPURPOSES
Mr. Napper recommended Council authorize the demolition project
and salvage rights of the Recreation Hall to the California Con-
servation Corps.
A-4 RESOLUTION NO. 128-87 APPROVING A SPECIAL PUBLIC FACILITIES
WATER EQUIVALENCY AWARD FOR THE MORRO BAY COMMUNITY CENTER
PROJECT
Mr. Napper recommended Council adopt Resolution No. 128-87.
Councilmember Lemons suggested Council withhold approval on Items
A-3 and A-4 until after award of the Community Center bid; he be-
lieved the City is getting ahead of itself by authorizing demoli-
tion of the Recreation Hall and awarding water equivalencies be-
fore the project is actually awarded. other Councilmembers felt
comfortable with approving the items since they would have to be
taken care of whether or not the project is awarded this evening.
Mr. Wolter noted demolition of the Recreation Hall will not take
place unless the bid is awarded.
MOTION: Councilmember Sheetz moved for approval of the Consent
Calendar. The motion was seconded by Councilmember
Lemons and unanimously carried.
Mayor Reddell asked when the Annual Water Report would return to
Council; Mr. Napper stated Council will receive advisory board
comments by their first or second meeting in January 1988.
Councilmember Odell requested an item be scheduled for the Decem-
ber 14th meeting for consideration of designating a Council rep-
resentative to participate on the Inter -Agency Task Force on Back
Bay.
There was discussion regarding Item D-1, award of the Community
Center construction grant. The Council preferred holding this
matter for discussion at the end of the meeting.
B. PUBLIC HEARINGS, REPORTS & APPEARANCES
None
C. UNFINISHED BUSINESS
ti C-1 COUNCIL SELECTION OF MEMBERS TO BLUE-RIBBON COMMITTEE UNDER
INTERIM ORDINANCES NO. 301 AND 304
Mr. Napper reviewed this item noting Council action this evening
is to select 6 members of the 7-member committee, the 7th member
is the property owner of the Keyoto-Natalie Corporation.
Councilmember Odell suggested the committee be expanded to 9 mem-
bers, with 5 members -at -large. He has a number of people inter-
MINUTES - MORRO BAY CITY COUNCIL
REGULAR MEETING - NOVEMBER 30, 1987
PAGE 3
ested in serving on the committee and believed a 9-member commit-
tee will not hinder the process.
Council discussed the selection
the specific categories first,
large candidates.
process and decided to appoint
and then discuss the member-at-
Councilmember Odell nominated Phil Persons as the Local Environ-
mental Organization Representative; Councilmember Donnelly nomi-
nated Paul Ritchie as the Atascadero Beach Tract Resident; and
Councilmember Lemons nominated Steve Semas as the North Main
Street Commercial Businessperson.
MOTION: Councilmember Lemons moved Council appoint Phil
Persons, Paul Ritchie, and Steve Semas by acclamation.
The motion was seconded by Councilmember Sheetz and
unanimously carried. (5-0)
MOTION: Councilmember Odell moved the committee be expanded to
include 5 members -at -large, for a total committee com-
position of 9 members. The motion was seconded by
Councilmember Donnelly and unanimously carried. (5-0)
Mayor Reddell nominated Warren Dorn and Peter Diffley to the Mem-
bers -at -Large category. Councilmember Sheetz nominated Jane
Bailey; Councilmember Donnelly nominated Craig Beecham.
Mayor Reddell nominated Chuck Clarke; Councilmember Odell nomi-
nated Cheryl McCarty; Councilmember Sheetz nominated Jim Maul;
Councilmember Lemons nominated Dale Mitchell; Councilmember
Lemons nominated Bruce Elster; and Councilmember Sheetz nominated
Ed McCracken.
Council spent time discussing the various nominations; Coun-
cilmember Sheetz objected to placing Warren Dorn and Peter
Diffley on the committee. She stated Council would be creating a
political faction which would be disruptive to the process.
Mayor Reddell noted the nominees which most Councilmembers seemed
to agree; Warren Dorn, Chuck Clarke, Peter Diffley, Cheryl
McCarty, and Ed McCracken.
MOTION: Councilmember Lemon
Peter Diffley, Cher
pointed to the Bli
Large. The motion
and carried, with
( 4-1 )
s moved Warren Dorn, Chuck Clarke,
yl McCarty, and Ed McCracken be ap-
e Ribbon Committee as Members -at -
was seconded by Councilmember Odell
Councilmember Sheetz voting no.
Mr. Napper stated the Committee will be contacted by the Commu-
nity Development Department in the near future regarding a meet-
ing date.
Councilmember Lemons questioned if the committee will have their
duties and responsibilities outlined to them; Mr. Napper stated
Council previously approved their parameters as outlined by
MINUTES - MORRO BAY -ITY COUNCIL
REGULAR MEETING - NOVEMBER 30, 1987
PAGE 4
staff. The Committee will work with the consultants to formulate
a recommendation to Council; if there are role problems, Council
will be consulted.
D. NEW BUSINESS
D-1 DISCUSSION AND AWARD OF CONSTRUCTION CONTRACT FOR THE MORRO
BAY COMMUNITY CENTER PROJECT
D-2 OUTLINE OF THE PROPOSED FINANCING PACKAGE TO FUND THE MORRO
BAY COMMUNITY CENTER PROJECT
Council agreed these two items be considered last.
D-3 DISCUSSION OF MORRO ROCK IMPROVEMENT FUND
Mr. Napper stated this item is on the agenda, at the request of
Mayor Reddell, to consider allocating these funds toward lobbying
efforts to improve safety at Morro Bay Harbor. The current bal-
ance in the fund is $8,752, and derives from the Harbor Festivals
in 1985 and 1986.
Councilmember Odell noted there is approximately $50,000 in the
dredging reserve fund, and these funds might be appropriate for
this purpose. Mr. Napper stated the funds were set aside for lo-
cal dredging operations outside of the Corps of Engineers juris-
diction, plus any local match requirements on Federal dredge
projects.
Councilmember Sheetz asked about the appropriateness of allocat-
ing these funds without a public hearing. Mr. Napper stated
Council could not spend the money tonight since that is not
specifically agendized; however, Council can re -allocate monies
without a public hearing. Councilmember Sheetz suggested waiting
until the mid -year budget review before approving the re -alloca-
tion of these funds.
Mayor Reddell stated the Morro Rock Improvement Fund was gener-
ated by Harbor Festivals, and he cannot think of a better purpose
for the funds than to improve the safety of the harbor. He indi-
cated the funds could be used for lobbying efforts in Washington
to obtain Federal Government assistance. Mr. Napper noted staff
would have to return for Council approval of specific expendi-
tures from a reserve account.
MOTION: Councilmember Donnelly moved Council create a special
reserve for harbor entrance safety, and the Morro Rock
Improvement Fund balance of $8,752 be transferred into
it. The motion was seconded by Councilmember Lemons
and unanimously carried by roll call vote. (5-0)
Councilmember Odell noted a Resolution similar to that passed by
Council at their last meeting petitioning support for Corps of
Engineers assistance to make Morro Bay Harbor safe will be pre-
sented to the San Luis Obispo Area Coordinating Council for their
support on December 3rd.
MINUTES - MORRO BAY CITY COUNCIL
REGULAR MEETING - NOVEMBER 30, 1987
PAGE 5
D-1 DISCUSSION OF AND AWARD OF CONSTRUCTION CONTRACT FOR THE
MORRO BAY COMMUNITY CENTER PROJECT
Mr. Napper reviewed the sequence of events concerning the bids
for the Community Center. It is questionable whether or not the
low bid of Bunnell Construction was actually 1 minute late in de-
livery to City Hall. The City has received a formal written
protest from the next lowest bidder, Maino Construction, to the
Cityls acceptance of the Bunnell Construction bid. Mr. Napper
noted Bunnell Construction's request to withdraw their bid, and
their subsequent letter to accept the bid if all Alternates were
awarded. He stated the City Attorney has recommended Council ad-
journ to Closed Session to discuss the matter.
Mayor Reddell asked if any contractors wished to address the
Council before they adjourned to Closed Session; no comments were
received .
MOTION: Councilmember Sheetz moved Council adjourn to Closed
session. The motion was seconded by Councilmember
Lemons and unanimously carried. (5-0)
Mayor Reddell announced Council is adjourning to Closed Session
in accordance with Government Code Section 54956.9(b)(1) to dis-
cuss potential litigation.
Council adjourned to Closed Session at 7:11 p.m. and returned to
regular session at 8:01 p.m.
Mr. Napper reviewed the bids received for the Community Center
and announced Council's intention to award the contract to
Bunnell Construction.
Mayor Reddell opened the meeting for public comment; there were
no comments and the issue was closed to the public.
MOTION: Councilmember Sheetz moved for the adoption of Resolu-
tion No. 130-87. The motion was seconded by Coun-
cilmember Lemons.
City Attorney Skousen read Resolution No. 130-87 in its entirety;
A Resolution Finding a Bid Submitted by Bunnell Construction,
Inc. to be Submitted on Time and Awarding the Construction Con-
tract for the Morro Bay Community Center Project to Bunnell Con-
struction, Inc. in the Amount of $1,727,500.
The Resolution recited the fact Bunnell's bid was received at
2:01 p.m. by the City Hall Conference Room clock, but 1:59 P.M.
by the time service of Pacific Bell; therefore, Council declared
the bid to be received at the true time of 1:59 P.M. It also
states the omission of $23,369 for on -site concrete did not make
the bid materially different, and Council rejected the request of
Bunnell to withdraw its bid for that stated reason.
MINUTES - MORRO BAY -ITY COUNCIL
REGULAR MEETING - NOVEMBER 30, 1987
PAGE 6
The motion to adopt Resolution No. 130-87 was unani-
mously carried. (5-0)
D-.2- OUTLINE OF THE _PROPOSED _FINANCING PACKAGE TO FUND THE MORRO
BAY COMMUNITY CENTER PROJECT s
Louise Burt reviewed various programs offered by financial insti-
tutions to financing the Community Center. Her recommendation is
to lease -purchase the project over 10 years and finance
$1,365,000 from Security Pacific Bank at an interest rate of
8.5%. Resolution No. 129-87, A Resolution Authorizing Execution
of a Municipal Lease and Option Agreement with Security Pacific
National Bank for Community Center Financing is recommended for
adoption. This would establish an annual debt service of approx-
imately $107,000.
Councilmember Sheetz commended the Finance Director for her ex-
pert handling of the City's finances.
MOTION: Councilmember Donnelly moved for adoption of Resolution
No. 129-87 with approval for the 10 year amortization
plan. The motion was seconded by Councilmember Sheetz
and unanimously carried. (5-0)
E. CLOSED SESSION
MOTION: Councilmember Sheetz moved the meeting be adjourned to
Closed Session. The motion was seconded by Councilmem-
ber Donnelly and unanimously carried. (5-0)
Mayor Reddell announced Council is adjourned to Closed Session to
discuss potential City -initiated litigation in accordance with
Government Code Section 54956.9(c); potential exposure to litiga-
tion in accordance with Government Code Section 54956.9(b)(1);
and pending litigation, City of Morro Bay vs. Hittle, in accor-
dance with Government Code Section 54956.9(a).
The meeting adjourned to Closed Session at 8:14 p.m. and returned
to regular session at 9:12 p.m.
MOTION: Councilmember Sheetz moved the meeting be adjourned.
The motion was seconded by Councilmember Odell and
unanimously carried. (5-0)
The meeting adjourned at 9:12 p.m.
Recorded by:
b�
ARDITH DAVIS
City Clerk