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HomeMy WebLinkAboutCC_2026-05-12 Regular Meeting Minutes 1 MINUTES - MORRO BAY CITY COUNCIL REGULAR MEETING May 12, 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 Police Chief Amy Watkins Fire Chief Dan McCrain Harbor Business Manager Lori Thompson _____________________________________________________________________ 1. ESTABLISH QUORUM AND CALL TO ORDER Mayor Wixom called the meeting to order at 5:37 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 four matters: two potential litigation matters, public employee performance evaluation for the City Manager, 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) 3. Offshore Wind Energy 2 4. Morro Elementary School 5. Shared Fire Services 4. RECOGNITION AND PRESENTATIONS 4.a Emergency Medical Services Week Proclamation Presented to Deputy Chief/Fire Marshal Vierra and Fire Department staff. 4.b National Boating Safety Week Proclamation Presented to Harbor Patrol Supervisor Kelly and Harbor Patrol Officer Stein. 4.c National Police Week and National Peace Officers Memorial Day Proclamation Presented to Police Chief Watkins. 4.d Public Works Week Proclamation Presented to Public Works Director Kwolek. 4.e Presentation Recognizing Morro Bay Police Department Volunteers for their support of Grizzly Youth Academy Family Day Captain Hile and Sgt Jiminez from Grizzly Youth Academy presented Certificates of Appreciation to Morro Bay Police Volunteers. 5. PUBLIC COMMENT  Felipe Gonzalez, SLO County Department of Social Services Program Specialist, thanked the Council for recognizing May as National Foster Care Month. Those interested in becoming a resource family may call (805) 781-1705 or visit slofostercare.com for more information.  Linda Winters, Morro Bay, reported on Monday Night Dinners and a ribbon cutting event celebrating a mobile laundry trailer provided by 805 Street Outreach.  Michelle Leicester-Cadaret, Morro Bay, expressed concern about the use of flock surveillance cameras and hoped they will not be used in Morro Bay.  "Duckie" commented on the departure of Public Works Director Kwolek.  Betty Winholtz, Morro Bay, played a video by Kent Nagano congratulating Friends of Morro Elementary for their efforts and the City for embracing plans to acquire and preserve 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. Mayor Wixom opened public comment. 3  Betty Winholtz, Morro Bay, commented on Items 6.d and 6.f. Regarding Item 6.h, she urged the City to remove language stating the agreement may only be altered by a voter-approved measure that would modify Measure D, preventing that lease site from being used for commercial fishing.  Judy Setting, Morro Bay, spoke in support of Item 6.i and, regarding Item 6.e, requested a line-item expenditure statement showing actual maintenance costs exceed the Cloisters assessment amount by 25-30%. End of public comment Council Member Luffee pulled Item 6.c and Council Member Landrum pulled Items 6.d, 6.e, 6.f & 6.h. Motion by Council Member Eckles Seconded by Council Member Luffee Approve Consent Agenda Items 6.a, 6.b, 6.g and 6.i as presented. 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. April 28, 2026 - Regular Council Meeting 6.b Approval of Proclamations Approve as submitted. 1. Proclamation declaring the week of May 17-23, 2026 as "Emergency Medical Services Week" 2. Proclamation declaring the week of May 16-22, 2026 as "National Safe Boating Week" 3. Proclamation acknowledging "National Police Week" and declaring May 15, 2026 as "National Peace Officers Memorial Day" 4. Proclamation declaring the week of May 17-23, 2026 as "National Public Works Week" 5. Proclamation proclaiming May as "National Foster Care Month" 6.c Third Quarter Investment Report (period ending March 31, 2026) for Fiscal Year (FY) 2025-26 Finance Director Conrad responded to Council questions. Motion by Mayor Wixom Seconded by Council Member Landrum 4 Receive the attached Third Quarter Investment Report (period ending March 31, 2026) for FY 2025-26. Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards, Council Member Landrum, and Council Member Luffee CARRIED (5 to 0) 6.d Adopt a Resolution of Intention to Annex Lots 1 through 5 of Tract 2859 (APN 065-386-015) into the Cloisters Landscaping and Lighting Maintenance Assessment District (LLMAD) Public Works Director Kwolek responded to questions raised regarding Items 6.d, 6.e and 6.f. Motion by Council Member Landrum Seconded by Council Member Luffee Adopt Resolution No. 21-26 declaring the intent to annex Lots 1 through 5 of Tract 2859 (APN 065-386-015) into the Cloisters Landscaping and Lighting Maintenance Assessment District (LLMAD). Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards, Council Member Landrum, and Council Member Luffee CARRIED (5 to 0) 6.e Adoption of Resolution No. 22-26 Approving the Engineer's Report and Declaring the Intent to Levy the Annual Assessment for the Cloisters Landscaping and Lighting Maintenance Assessment District (LLMAD) Motion by Council Member Landrum Seconded by Council Member Luffee Adopt Resolution No. 22-26 declaring the intent to levy the annual assessment for the maintenance of the Cloisters Park and Open Space for Fiscal Year (FY) 2026-27 and approving the Engineer’s Report. Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards, Council Member Landrum, and Council Member Luffee CARRIED (5 to 0) 6.f Adoption of Resolution No. 23-26 Approving the Engineer's Report and Declaring the Intent to Levy the Annual Assessment for the North Point Natural Area Landscaping and Lighting Maintenance Assessment District Motion by Council Member Landrum Seconded by Council Member Luffee Adopt Resolution No. 23-26 approving the Engineer’s Report and declaring the intent to levy the annual assessment for maintenance of the North Point Natural Area for Fiscal Year (FY) 2026-27. 5 Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards, Council Member Landrum, and Council Member Luffee CARRIED (5 to 0) 6.g Quarterly Update on the Status of City Council 2025-2027 Goals Receive an update from staff on the City’s progress on City goals established in March 2025. 6.h Memorandum of Understanding (MOU) between the City of Morro Bay and the Morro Bay Commercial Fishermen's Organization (MBCFO) The Council invited Bill Blue from the Morro Bay Commercial Fishermen's Organization to respond to concerns raised during public comment. City Attorney Stack explained the point of including this language was to identify the potential for a voter-approved measure changing the zoning in this area as a land use constraint that is beyond what the Council controls. If desired, the Council can direct staff to remove that language from the agreement out of concern the document might convey something that wasn't intended, so long as the administrative record reflects this limitation is accurate. Motion by Council Member Landrum Seconded by Council Member Luffee Adopt Resolution No. 24-26, approving the Memorandum of Understanding (“MOU”) between the City and MBCFO for the Harbor Commercial Fishing Dock Repair Project, striking language in Section 5.5 stating the agreement may only be altered by a voter-approved measure modifying Measure D to prohibit the lease site being used for commercial fishing. The MOU will establish the requirement by MBCFO for the use of $800,000 toward the Harbor Commercial Fishing Dock Repair Project and by the City to dedicate the lease site solely to commercial fishing industry use for a period of thirty (30) years. Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards, Council Member Landrum, and Council Member Luffee CARRIED (5 to 0) 6.i Review and Authorize the Mayor to sign a letter response to the California Department of Fish and Wildlife Regarding proposed changes to the State Marine Protected Areas (MPAs) Review and comment on a draft letter response to the California Department of Fish and Wildlife regarding proposed changes to the State Marine Protected Areas (MPAs). 7. PUBLIC HEARING ITEMS None. 8. BUSINESS ITEMS 6 The Council took a brief recess at 7:02 p.m. and reconvened at 7:11 p.m. with all members present. 8.a Approve a Professional Services Agreement with Cannon Corporation for Design of Phase 1 and Environmental Permitting for all Phases of the North Morro Bay Water Improvements Project Public Works Director Kwolek and Utilities Project Manager Evers presented the report and responded to Council inquiries. Mayor Wixom opened public comment on Item 8.a.  Tina Metzger, Morro Bay, expressed concern about the condition of the Nutmeg tank and insufficient water pressure in a high-risk fire hazard severity zone. She suggested the City strategically locate tie-ins to the Whale Rock Water Transport Pipeline for improved fire fighting capability.  Barry Branin, Morro Bay, requested the staff presentation be made available following the meeting and suggested the method of accomplishing capital projects be analyzed.  Betty Winholtz, Morro Bay, questioned how the Rancho Colina and Highway 41/1 roundabout projects would impact this project and urged further discussion regarding capacity vs. usage in north and south Morro Bay.  Onan Champi, Morro Bay, would like to review the proposed plans once they become available and stated an interest in upgrading services on his property from residential to commercial.  Margaret Carman, Morro Bay, suggested a pause on new housing based on water supply concerns. End of public comment. Staff responded to additional questions. Motion by Council Member Eckles Seconded by Council Member Luffee Approve and authorize the City Manager to execute a professional services agreement with Cannon Corporation to provide design and engineering services during construction for Phase 1 of the North Morro Bay Water Improvements Project (Project), and environmental review and permitting for all phases of the Project, in an amount not-to-exceed $525,492.00, and authorize the City Manager to execute amendments if necessary not to exceed $52,549.00 for contingencies. Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards, Council Member Landrum, and Council Member Luffee CARRIED (5 to 0) 8.b Review of Current Council Sub-committees, Scope of Work, and Consider Discontinuing Subcommittees that have Achieved their Intended purposes 7 City Manager Craig invited the Council to review the list of Council Sub- Committees, scope of work (purpose, parameters and duration), and either confirm the current scope of work, update the scope of work or discontinue Sub- Committees that have achieved their intended purpose. Recommended to review each Sub-Committee and take action as desired to continue, update or disband. City Attorney Stack commented on the distinction between ad hoc (limited purpose and scope) vs. standing committees and recommended establishing a purpose and timeframe for subcommittees the Council intends to keep. Mayor Wixom opened public comment for Item 8.b.  Betsy Gaudette-Cross, Morro Bay, suggested the offshore wind and fire subcommittees be terminated and the power plant subcommittee remain in place until a permanent ordinance is adopted.  Michelle Leicester-Cadaret, Morro Bay, agreed based on ongoing concerns related to the power plant property, that subcommittee should continue until a permanent ordinance is in place.  Betty Winholtz, Morro Bay, agreed the offshore wind and fire subcommittees be concluded and suggested the WRF and Morro Elementary subcommittees remain.  Margaret Carman, Morro Bay, suggested the offshore wind committee continue as long as there were two leases remaining and questions as to whether cable would be run into the dog beach. End of public comment. During Council deliberations, there was concurrence on the following:  All members agreed to disband the Shared Fire Services subcommittee.  All members agreed to disband the Offshore Wind Subcommittee with the understanding it can be re-established if activity occurred that warranted doing so.  The Power Plant Subcommittee will remain in place and given an updated purpose statement and duration.  The WRF Subcommittee will continue with a current focus on IPR and WWTP decommissioning, then re-labeled with attention directed to redevelopment of the former WWTP property.  The Morro Elementary subcommittee will remain active through the due diligence period then reevaluated by Council. 9. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS None. 10. ADJOURNMENT The meeting adjourned at 8:53 p.m. 8 Respectfully submitted, /s/ Dana Swanson, City Clerk