HomeMy WebLinkAboutCC_2026-03-10 Regular Meeting Minutes
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MINUTES - MORRO BAY CITY COUNCIL
REGULAR MEETING
March 10, 2026, 5:30 p.m.
Veterans Memorial Hall
209 Surf St., Morro Bay, CA
Members Present: Mayor Carla Wixom
Council Member Jeff Eckles
Council Member Cyndee Edwards
Council Member Zara Landrum
Council Member Bill Luffee
Staff Present: City Manager John Craig
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 Director Chris Munson
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1. ESTABLISH QUORUM AND CALL TO ORDER
Mayor Wixom called the meeting to order at 5:30 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 real property negotiation matters: Lease Site 62 (551 Embarcadero), the
former Morro Elementary, and the former wastewater treatment plant. No
reportable action was taken on those items. There was also a Public Employee
Performance Evaluation for the City Manager with no reportable action taken
under 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
None.
1. Water Reclamation Facility & Morro Bay / Cayucos Sanitary District JPA
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2. Morro Bay Power Plant (Vistra)
3. Offshore Wind Energy
4. Morro Elementary School
5. Shared Fire Services
4. RECOGNITION AND PRESENTATIONS
4.a Donation Presentation to the Friends of the Morro Bay Fire Department
4.b Lifesaving Award Presentation to three Fire Department Personnel
5. PUBLIC COMMENT
Linda Winters, Morro Bay, commented on past flooding events that occurred on
March 10th.
Garry Johnson, Morro Bay, urged residents to support Michael Woody for
Supervisor District 2.
Linda Donnelly, Morro Bay, encouraged the Council to approve Item 8d, a
purchase and sale agreement for Morro Elementary.
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.
Betty Winholtz, Morro Bay, requested itemized costs incurred to date and
anticipated for the Morro Creek stabilization emergency item.
End of public comment.
Council Member Eckles pulled Item 6.e and staff requested to pull Item 6.c. for
clarification.
Motion by Mayor Wixom
Seconded by Council Member Landrum
Approve Consent Agenda Items 6.a and 6.d as submitted.
Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards, Council
Member Landrum, and Council Member Luffee
CARRIED (5 to 0)
6.a Approval of Minutes
Approve as submitted.
1. February 24, 2026 - Regular Council Meeting
2. February 24, 2026 - Special Closed Session Meeting
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6.b Approval of Proclamations
None.
6.c Adopt Resolution No. 11-26 Approving the Morro Bay Seafood Company,
LLC Lease Agreement
Harbor Director Munson presented two changes to the proposed Lease
Agreement for Morro Bay Seafood Company, LLC.
Added Section (page 31):
Section 11.09 Termination due to Incompletion of Improvements
If the anticipated funding of $550,000 from granting agencies is not realized or
insufficient to complete Priority 1 repairs with TENANT’s agreed contribution, the
TENANT reserves the right to terminate the lease agreement prior to
commencement of the repairs without penalty or responsibility to complete
Priority 1 repairs upon thirty (30) days written notice.
Alternatively, upon mutual agreement, CITY and TENENT may renegotiate terms
if the funding of $550,000 from granting agencies is not realized or insufficient to
complete Priority 1 repairs.
Correction (page 36):
Section 13.03 Operation of Ice Making Machine
(2) TENANT shall be responsible for ice making machine maintenance and repair
costs in an amount of not less than Fifteen Ten Thousand Dollars ($10,000) per
year. CITY shall be responsible for ice making machine maintenance and repair
costs in excess of TENANT’s minimum annual contribution, provided TENANT
demonstrates to CITY’s reasonable satisfaction that the ice making machine is
being maintained in good working order and repair
Motion by Mayor Wixom
Seconded by Council Member Luffee
Adopt Resolution No. 11-26 approving a new lease agreement for lease site
129W-131W with Morro Bay Seafood Company, LLC located at 1231
Embarcadero with revised language presented by staff.
Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards,
Council Member Landrum, and Council Member Luffee
CARRIED (5 to 0)
6.d Status Update and Reconfirm Emergency for the 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.e Adopt Resolution No. 12-26 Approving the Harbor Director's Working Title
and Job Description
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Council Member Eckles explained his reasoning for requesting this title change
and desire to give the position the esteem it deserves.
Motion by Council Member Landrum
Seconded by Council Member Eckles
Adopt Resolution No. 12-26 retitling the Harbor Vitality Director Job Title to
Harbor Director.
Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards,
Council Member Landrum, and Council Member Luffee
CARRIED (5 to 0)
7. PUBLIC HEARING ITEMS
None.
8. BUSINESS ITEMS
8.a San Luis Obispo Council of Governments (SLOCOG) Final Transportation
Expenditure Plan for Potential Transportation Sales Tax Measure
City Manager Craig introduced James Worthley, Deputy Director of San Luis
Obispo Council of Governments, to present the report and respond to Council
inquiries.
Mayor Wixom opened public comment on Item 8.a.
Betty Winholtz, Morro Bay, complimented SLOCOG for this measure and
encouraged the Council to approve and actively support it.
Nicole Dorfman, Morro Bay, asked if Morro Bay has sole discretion to
determine what projects are funded and whether the money could be
used for staff time & project management costs.
End of public comment.
Mr. Worthley was invited to respond to additional questions.
Motion by Mayor Wixom
Seconded by Council Member Luffee
1. Adopt Resolution No. 13-26 approving the San Luis Obispo Council of
Governments (SLOCOG) Final Draft Transportation Expenditure Plan
(Plan) for a potential Transportation Sales Tax Measure.
Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards,
Council Member Landrum, and Council Member Luffee
CARRIED (5 to 0)
8.b Response to Letter of Interest from Los Osos Community Services District
(Los Osos CSD) regarding Shared Fire Protection and Emergency Medical
Services (EMS)
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Fire Chief McCrain presented the report and responded to Council inquiries.
Mayor Wixom opened public comment for Item 8.b.
Lucia Stone, Morro Bay and Los Osos property owner, spoke in support
of the opportunity for shared fired and EMS services.
Betty W inholtz, Morro Bay, was supportive of providing the information
requested but hoped it wasn't assumed the City would move forward
should the Los Osos CSD select us.
End of public comment.
Staff and Council confirmed this is just a step in the process and does not bind
the City to provide services.
There was Council consensus to deliver the City's response to the letter of
interest exploring shared fire and EMS services to the Los Osos CSD.
8.c Quarterly Update on the Status of City Council 2025-2027 Goals
The Council took a brief recess at 6:59 p.m. and reconvened at 7:08 p.m.
City Manager Craig presented the report and responded to Council inquiries.
Mayor Wixom opened public comment for Item 8.c; seeing none, the public
comment period was closed.
No formal action was taken by the City Council.
8.d Recommendation to Approve a Purchase and Sale Agreement with San
Luis Coastal Unified School District for the Property Know as Morro
Elementary School located at 1130 and 1330 Napa Avenue in Morro Bay,
California
(APNs 066-280-045 and 066-044-011), take related actions and find the
action exempt from CEQA
City Manager Craig presented the report and responded to Council inquiries.
Mayor Wixom opened public comment for Item 8.d.
Jim Gross, Morro Bay resident and member of the Chamber of
Commerce Business Advisory Committee, appreciated staff's response to
his written comments with respect to entitlements and hoped future
developers would get a strong sense for what type of housing the City
desires during the due diligence period.
D'Arcy Castro, Morro Bay resident and Friends of Morro Elementary
representative, thanked the Council and subcommittee for making it
possible to get to this point and looked forward to hopefully saving this
site for community use.
Nicole Dorfman, Morro Bay resident and member of Friends of Morro
Elementary, thanked the Council and subcommittee and offered her
strong support moving forward.
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Courtney Shepler, Morro Bay resident and member of the Chamber of
Commerce Business Advisory Committee, appreciated the tremendous
amount of work thus far and hoped future discussions would include
economic scenarios, funding sources and trade-offs against other
priorities. She encouraged broad community outreach to make sure all
voices have an opportunity to speak.
Lucia Stone, Morro Bay and Los Osos property owner, thanked the City
Council and staff for their perseverance making this happen.
Judy Setting, Morro Bay, extended deep gratitude to the Council and
subcommittee for working toward preserving Morro Elementary and this
property, and hoped to incorporate housing for seniors and the disabled
while preserving the buildings, charter school and sports fields.
Betty Winholtz, Morro Bay, encouraged the City to respond to various
questions raised by community members and was disappointed the
Naylor Act and soccer fields weren't discussed.
End of public comment.
City Attorney Stack and City Manager Craig responded to questions raised
during public comment.
Motion by Council Member Landrum
Seconded by Council Member Luffee
1. Adopt Resolution No. 14-26 approving a Purchase and Sale Agreement
and Budget Resolution between the City of Morro Bay (City) and San Luis
Coastal Unified School District (District) for the purchase of the property
commonly known as Morro Elementary School;
2. Authorize the City Manager to execute the Agreement and related escrow
documents, and to negotiate and execute non-substantive amendments
consistent with the terms approved by the City Council, subject to review
and approval by the City Attorney as to form and legal effect; and
3. Authorize the City Manager to undertake due diligence activities during
the due diligence period, including engaging a project manager and
specialized consultants, consistent with City procurement requirements
and within available appropriations.
4. Find the action is not a project or in the alternative exempt from the
California Environmental Quality Act under Guidelines Sections 15378,
15061(b)(3) and 15301.
Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards,
Council Member Landrum, and Council Member Luffee
CARRIED (5 to 0)
9. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS
None.
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10. ADJOURNMENT
The meeting adjourned at 8:07 p.m.
Respectfully submitted,
/s/ Dana Swanson, City Clerk