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HomeMy WebLinkAboutCC_2026-01-13 Regular Meeting Minutes 1 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING January 13, 2026, 5:30 p.m. Veterans Memorial Hall 209 Surf St., Morro Bay, CA Members Present: Mayor Carla Wixom Council Member Cyndee Edwards Council Member Jeff Eckles Council Member Zara Landrum Council Member Bill Luffee Staff Present: Interim City Manager Andrea Lueker City Attorney Brian Stack City Clerk Dana Swanson Finance Director Emily Conrad Public Works Director Greg Kwolek Community Development Director Airlin Singewald Police Chief Amy Watkins Fire Chief Dan McCrain Harbor Vitality Director Chris Munson _____________________________________________________________________ 1. ESTABLISH QUORUM AND CALL TO ORDER Mayor Wixom called the meeting to order at 5:31 p.m. with all members present. 2. PLEDGE OF ALLEGIANCE 3. REPORTS 3.a Closed Session Report City Attorney Stack announced the Council met in closed session to discuss three matters: two property negotiations matters involving the former wastewater treatment plant and former Morro Elementary properties, and public employee performance evaluation for the City Attorney. No reportable action was taken in closed session pursuant to the Brown Act. 3.b Mayor and Councilmembers' Reports, Announcements and Presentations 3.c City Manager Reports, Announcements and Presentations 3.d Subcommittee Reports - Verbal Update of Current Subcommittee Activities 1. Water Reclamation Facility & Morro Bay / Cayucos Sanitary District JPA 2. Morro Bay Power Plant (Vistra) 2 3. Offshore Wind Energy 4. Morro Elementary School 5. Shared Fire Services 4. RECOGNITION AND PRESENTATIONS 4.a City of Morro Bay Years of Service Awards 5. PUBLIC COMMENT  Lynsey Hansen, Big Brothers, Big Sisters of SLO, appreciated the City's recognition of National Mentoring Month and encouraged residents to consider contributing to their community by mentoring youth through their program.  Wendy Blacker, 805 Outreach, thanked the City for its support and shared that, due to generous donors, services would be expanded to include a laundry trailer.  Linda Winters, Morro Bay, provided a Monday night dinner update.  Cameron Wilson, Owner/Operator of the Bay Theatre and member of the Chamber of Commerce Board of Directors, introduced its new Chamber CEO, Tina Clark.  Tina Clark introduced herself and announced the Chamber will hold a ribbon cutting at Flippos on Friday, January 23rd.  Michael Wambolt, Visit Morro Bay, announced Highway 1 is expected to fully open tomorrow at 12 noon.  Cal Myers, Morro Bay, asked when the Channel 20 broadcast would be restored.  Bill Martony, Morro Bay, commented on Botso Koresheli's contributions to the city and acknowledged the passing of Roger Ewing.  Betty Winholtz, Morro Bay, announced the passing of Sandy Helow and Candace Botich.  Margaret Carman, Morro Bay, sought clarification regarding the reported cost paid by waterfront hotels for use of public parking spaces. End of public comment. 6. CONSENT AGENDA Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. The public will also be provided an opportunity to comment on consent agenda items.  Sean Green, Morro Bay, respectfully asked that Item 6.g be pulled to allow more time for review.  Betty Winholtz, Morro Bay, offered lease negotiations used to be conducted by the Harbor Advisory Commission at a public meeting, and opposed Item 6.c being on the Consent Agenda, adding the project should receive full CEQA review. 3  Margaret Carman, Morro Bay, finished Ms. Winholtz's comments regarding Items 6.c. End of public comment. Mayor Wixom invited Public Works Director Kwolek and City Engineer Stong to respond to questions regarding Item 6.c. Council Member Edwards pulled Item 6.g. Motion by Council Member Eckles Seconded by Council Member Luffee Approve consent agenda items 6.a through 6.f and 6.h as submitted. Ayes (5): Mayor Wixom, Council Member Edwards, Council Member Eckles, Council Member Landrum, and Council Member Luffee CARRIED (5 to 0) 6.a Approval of Minutes Approve as submitted. 1. December 9, 2025 - Special Closed Session Meeting 6.b Approval of Proclamations Approve as submitted. 1. Proclamation recognizing Big Brothers Big Sisters of San Luis Obispo County during the month of January as National Mentoring Month Proclamation 6.c Professional Services Agreement with Stillwater Sciences, Inc., for the Morro Creek Watershed Management Plan Authorize the City Manager to execute a Professional Services Agreement with Stillwater Sciences, Inc. in the amount of $1,381,363 for the Morro Creek Watershed Management Plan and to execute amendments to the agreement increasing term duration by up to one additional year and cost amendments by a contingency amount of up to 10%. 6.d Notice of Completion for the Brackish Water Reverse Osmosis Facility Re- skin and Re-roofing Project (Project No. MB2024-UT09) 1. Accept the work as performed by Newton Construction & Management, Inc; and 2. Authorize the City Engineer to execute and record a Notice of Completion for the project. 6.e Facility Use Agreement between the San Luis Obispo County Office of Emergency Services and the City of Morro Bay for use of the Morro Bay Community Center located at 1001 Kennedy Way, Morro Bay, California 93442 as an Emergency Disaster Shelter Authorize City staff to sign the facility use agreement. 4 6.f Status Update and Reconfirm Emergency for Morro Creek Bank Stabilization Project Receive and file status update and reconfirm the declaration of emergency for the Morro Creek Bank Stabilization Project by four fifths vote. 6.g Approve Tognazzini's Dockside & Dockside Too Lease Agreement Harbor Vitality Director Munson and City Attorney Stack responded to Council questions and issues raised during public comment. Motion by Council Member Landrum Seconded by Council Member Luffee Adopt Resolution No. 02-26 approving new lease agreement for Tognazzini’s Dockside & Dockside Too located at 1245 and 1235 Embarcadero. Ayes (5): Mayor Wixom, Council Member Edwards, Council Member Eckles, Council Member Landrum, and Council Member Luffee CARRIED (5 to 0) 6.h Trash Receptacle Donation from the Friends of the Morro Bay Harbor Department Accept the donated trash receptacles from the Friends of the Morro Bay Harbor Department and authorize the City Manager to execute the Donation Agreement. 7. PUBLIC HEARING ITEMS 7.a Short-Term Rental Ordinance Implementation - Quarterly Update, and Introduction of Ordinance No. 674, amending Title 1 (General Provisions) of the Morro Bay Municipal Code to incorporate higher administrative fines for short-term rental (STR) violations Community Director Singewald presented the report and responded to Council inquiries. Mayor Wixom opened the public hearing and public comment for Item 7.a.  Susan Stewart, Morro Bay business owner, was pleased with implementation efforts and supported a measured approach of five additional units per year.  Helene Finger, Morro Bay, suggested the City contact eligible people on the waitlist to confirm their interest in pursuing a permit.  Cherise Hansson, Morro Bay, spoke on behalf of the Chamber in support of staff's recommendation to allow five new permits per year.  Sean Green, Morro Bay, spoke in support of the current ordinance, appreciated enforcement efforts and opportunity to move forward surgically. 5  Michelle Leicester-Cadaret, Morro Bay, reminded Council of the neighborhood impacts and urged a limited approach to issuing new permits while holding them to the utmost standards.  Ian Starkey, Rockstar Properties, appreciated staff's efforts to meet with property managers to review the permitting process and recommended the City move through the full wait list to identify 15-20 eligible properties.  Betty Winholtz, Morro Bay, supported unlimited STRs in business districts, not in residential neighborhoods.  Karen Watts suggested some on the waitlist might wish to defer one year to prepare to meet permit requirements.  Denise Hartline was supportive of moving forward with what is allowed under the current ordinance.  Nicole Dorfman, Morro Bay, hoped those on wait list with current long- term renters would not be displaced if a spot comes open for a short-term rental. End of public comment. The public hearing was closed. Following discussion, there was Council consensus to authorize issuance of five new full home residential STR permits in calendar year 2026 and an unlimited number of home share STR permits. Motion by Council Member Landrum Seconded by Council Member Luffee 1. Introduce for first reading by title only and with further reading waived, Ordinance No. 674: “An Ordinance of the City Council of the City of Morro Bay, California, amending Chapter 1.03 of Title 1 of the Morro Bay Municipal Code,” amending the City’s Administrative Citation Program to incorporate higher administrative fines for short-term rental (STR) violations that pose a threat to health or safety, pursuant to California Senate Bill 60 (SB 60); and 2. Authorize issuance of five new full home residential STR permits in calendar year 2026, and authorize issuing new home share STR permits with no limit, per the current ordinance. Ayes (5): Mayor Wixom, Council Member Edwards, Council Member Eckles, Council Member Landrum, and Council Member Luffee CARRIED (5 to 0) 7.b Ordinance No. 675 Establishing Local Campaign Finance Contribution Limits City Attorney Stack presented the report and responded to Council inquiries. 6 Mayor Wixom opened the public hearing and public comment for Item 7.b; seeing none, the public comment period was closed. Motion by Council Member Eckles Seconded by Council Member Luffee Introduce for first reading by title only, with further reading waived, Ordinance No.675, “An Ordinance of the City Council of the City of Morro Bay, California, adding Chapter 2.50 to the Morro Bay Municipal Code Relating to Campaign Contribution Limits.” Ayes (5): Mayor Wixom, Council Member Edwards, Council Member Eckles, Council Member Landrum, and Council Member Luffee CARRIED (5 to 0) 8. BUSINESS ITEMS The Council took a brief recess at 8:08 p.m. and reconvened at 8:18 p.m. with all members present. 8.a San Luis Obispo Council of Governments (SLOCOG) Draft Transportation Expenditure Plan James Worthley, SLOCOG Deputy Director, presented the report and responded to Council inquiries. Mayor Wixom opened public comment for Item 8.a.  Betty Winholtz, Morro Bay, suggested the 40% for Regional Corridor Improvements not be decided by the Board of Supervisors or SLOCOG but by regional oversight groups.  James Costanzo, Morro Bay, applauded SLOCOG's efforts but was not supportive and suggested lobbying the state to allocate funds more fairly. End of public comment. Mr. Worthley responded to questions raised during public comment. No action was taken by the City Council. 9. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS Council Member Edwards received support for consideration of e-bike and electric skateboard regulations (safety, speed, age requirements, etc.). Mayor Wixom received support for Harbor Advisory Board review of insurance requirements for boats in the harbor. 10. ADJOURNMENT The meeting adjourned at 9:03 p.m. Respectfully submitted, /s/ Dana Swanson, City Clerk