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HomeMy WebLinkAboutCC Minutes 1999-05-17SRCC MINUTES (Regular) 5/17/99 Page 1 IN THE COUNCIL CHAMBER OF THE CITY OF SAN RAFAEL, MONDAY, MAY 17, 1999 AT 8:00 PM Regular Meeting: San Rafael City Council Present: Albert J. Boro, Mayor Paul M. Cohen, Vice -Mayor Barbara Heller, Councilmember Cyr N. Miller, Councilmember Gary O. Phillips, Councilmember Absent: None Also Present: Rod Gould, City Manager Gary T. Ragghianti, City Attorney Gus Guinan, Assistant City Attorney Jeanne M. Leoncini, City Clerk OPEN SESSION - COUNCIL CHAMBER - 7:00 PM Mayor Boro announced Closed Session items: CLOSED SESSION - 7:00 PM la. Conference with Labor Negotiator (Government Code 54957.6) Negotiator: Daryl Chandler Employee Organization: San Rafael Firefighters Association lb. Conference with Legal Counsel - Pending Litigation (Government Code Section 54956.9(a)) Case name: David Irving v. City of San Rafael Workers' Compensation Appeals Board No. SF389153 l.c Conference with Legal Counsel - Existing Litigation (Government Code Section 54956.9(a)) Case Names: City of San Rafael v. Kimball C. Kaufman, Jr., et al. Marin County Courts Case No. CV991572 City of San Rafael v. Leonard D. Stein, et al. Marin County Courts Case No. CV991571 City of San Rafael v. Christopher Bradshaw, et al. Marin County Courts Case No. CV991569 City Attorney Ragghianti announced no reportable action was taken on la, lb, and lc. ORAL COMMUNICATIONS OF AN URGENCY NATURE: PM 8:25 RE: LEAF BLOWERS - File 100 x 13-9 Muriel Paule, resident of San Rafael, requested Council consider a ban on leaf blowers in San Rafael, noting she felt people had enough stress in their lives without the horrible noise generated by the leaf blowers. She stated they were not actually vacuuming up the leaves and debris, all they were doing was blowing the leaves from one place to another, and urged Council to outlaw the leaf blowers, as she believed they were nothing but noise pollution. Mayor Boro asked City Manager Gould to comment regarding an upcoming item on the Agenda that related to this issue. City Manager Gould reported the State of California was trying to decide whether or not leaf blower regulation was a matter of State concern, and was seeking to curtail the abilities of local jurisdictions to regulate leaf blowers. Mr. Gould stated Senator Burton had introduced a bill that would postpone any further debate on this issue, while it is studied from an environmental standpoint. Mr. Gould stated there was a debate going on at the State level as to who controls leaf blowers, and he did not believe Council should take action on this issue until the matter is settled. RE: TRAFFIC ON WOODLAND AVENUE - File 100 x 11-1 Scott Fornaciari, resident of San Rafael, reported he has noticed a considerable number of drivers do not obey the stop signs posted at the corner of Woodland Avenue and Eva Street, and at times, people also drive through the intersection at excessive rates of speed. He pointed out there is an elementary school on one corner of that street, and a block and a half away there is a middle school, where people drop their children off, and when the schools let out, children are crossing through that area. Mr. Fornaciari noted a condominium development was also being constructed on the SRCC MINUTES (Regular) 5/17/99 Page 1 SRCC MINUTES (Regular) 5/17/99 Page 2 hillside, at Woodland and Lovell Avenues, and he believed the introduction of those vehicles dropping onto Woodland Avenue, and not having any way for people to stop and let them into the street, was going to create a dangerous conflict. Mr. Fornaciari asked the City to look at how speed reduction might be accomplished, suggesting perhaps a stop sign at Woodland and Lovell Avenues, which would help people coming out of the new development, and might also slow people down a little. Mayor Boro referred the issue to the Traffic Committee. City Manager Gould stated there were two parts to this issue; one was traffic enforcement, which he would refer to the Police Department. Regarding the second, Mr. Gould stated he would speak with the Traffic Coordinating Committee, and ask them to determine whether additional speed control devices might be necessary at that intersection. Mayor Boro pointed out the Police Department had doubled the number of Motorcycle Officers from two to four, and the City would certainly be able to patrol the area. Councilmember Cohen referred to the new traffic standards recently set by the City, noting the proximity of Laurel Dell Elementary and Davidson Middle Schools merited looking into whether the new standards might allow for some of the new traffic calming techniques. Public Works Director David Bernardi pointed out one of the limitations to that was the number count of the average daily traffic on that roadway, noting the average daily traffic determined whether the old or the new standards applied. Mr. Bernardi stated counts were currently being taken. CONSENT CALENDAR: Councilmember Phillips moved and Councilmember Miller seconded, to approve the following Consent Calendar items: 2. 3 4. ITEM RECOMMENDED ACTION Approval of Minutes of Special Joint Budget Minutes approved as submitted. Hearings of June 23 and June 29, 1998, and Special and Regular meetings of Monday, May 3, 1999 (CC) Call for Applications for Appointment to Fill One Four -Year Term on the Design Review Board to the End of June, 2003, Due to Expiration of Term of Andrea Purdy MacLeod, Architect (CC) - File 9-2-39 Call for Applications to Fill Two, Four -Year Terms on the Planning Commission to the End of June, 2003, Due to Expiration of Terms of James Atchison and Jeff Kirchmann (CC) - File 9-2-6 Approved staff recommendation: a) Called for applications to fill one four-year term on the Design Review Board (Licensed Architect or Licensed Landscape Architect), due to expiration of term of Andrea Purdy MacLeod, Architect, with applications due by deadline of Tuesday, June 8, 1999 at 12:00 Noon in the City Clerk's Office, Room 209; b) Set date for interviews of applicants at a Special City Council meeting to be held on Monday, June 21, 1999, commencing at 6:30 PM, to fill one four-year term to the end of June, 2003. Approved staff recommendation: a) Called for applications to fill two, four-year terms on the Planning Commission, due to expiration of terms of James Atchison and Jeff Kirchmann, with SRCC MINUTES (Regular) 5/17/99 Page 2 SRCC MINUTES (Regular) 5/17/99 Page 3 5. Appointment of Galen Fultz Harkavy to the Cultural Affairs Commission, Currently Serving as Alternate, to fill Four -Year Term of Commissioner Mary Welch, Who Resigned May 11, 1999 (Term to Expire End of April, 2003) (CC) - File 9-2-24 CONSENT CALENDAR (Continued): 6. Report on Annual Filings - Fair Political Practices Commission Form 700, Statement of Economic Interests for Designated Employees, Including Consultants, Geotechnical Review Board, Design Review Board and Cultural Affairs Commission (CC) - File 9-4-3 applications due by deadline of Tuesday, June 8, 1999 at 12:00 Noon in the City Clerk's Office, Room 209, City Hall; b) Set date for interviews of applicants at a Special City Council meeting to be held on Monday, June 21, 1999, commencing at 6:00 PM, to fill two, four-year terms to the end of June, 2003. Council appointed Galen Fultz Harkavy to the Cultural Affairs Commission, to fill four-year term of Cultural Affairs Commissioner Mary Welch, who resigned May 11, 1999. Term to expire end of April, 2003. Accepted report. 7. Request for City of San Rafael Amicus Approved amicus participation. Participation: (CA) - File 9-3-16 Haggis v. City of Los Angeles, California Supreme Court Review granted 12/16/98 8. Summary of Legislation Affecting San Rafael Approved staff recommendation: (CM) - File 9-1 SB 1200 (Poochigian), Disabled Access to Public Accommodations: OPPOSE; AB 220 (Washington), Community Based Alcohol Education Programs: SUPPORT; AB 398 (Migden), Housing Bond Act of 2000: SUPPORT; SB 510 (Alarcon), Housing Bonds: SUPPORT; SCR 19 (Burton), Leaf Blowers: SUPPORT. 9. Resolution Accepting a Proposal From Harris & Item deferred to meeting of Associates for Construction Management Services June 7, 1999, at request of and Authorizing Execution of Agreement for the staff. Second Street Widening and Lindaro Street Rule 20A Undergrounding Utility District (PW) - File 12-18-12 10. Resolution Accepting Proposal From Harding Lawson RESOLUTION NO. 10406 Associates (HLA) to Conduct Construction Health RESOLUTION ACCEPTING A and Safety and Geotechnical Oversight in the PROPOSAL FROM HARDING LAWSON Amount of $182,700 and Authorizing Execution of ASSOCIATES (HLA) TO CONDUCT Agreement for the Second Street Widening and CONSTRUCTION HEALTH SRCC MINUTES (Regular) 5/17/99 Page 3 SRCC MINUTES (Regular) 5/17/99 Page 4 AND Lindaro Rule 20A Underground Utility District SAFETY AND GEOTECHNICAL (PW) - File 4-3-359 x 12-18-12 x 167 x 11-15 OVERSIGHT IN THE AMOUNT OF $182,700 AND AUTHORIZING EXECUTION OF AGREEMENT FOR THE SECOND STREET WIDENING AND LINDARO RULE 20A UNDERGROUND UTILITY DISTRICT. 11. Merrydale Overcrossing - Merrydale Right -of -Way RESOLUTION NO. 10407 Contract and Easement Deed from WHLW Real Estate RESOLUTION AUTHORIZING THE to the City of San Rafael (PW) - File 2-2 x 4-1-468 SIGNING OF A RIGHT- OF-WAY CONTRACT FOR THE ACQUISITION OF PERMANENT EASEMENTS FOR ROADWAY AND UTILITY PURPOSES FROM WHLW REAL ESTATE FOR THE MERRYDALE OVERCROSSING PROJECT. RESOLUTION NO. 10408 - RESOLUTION ACCEPTING EASEMENT DEED GRANTING THE CITY OF SAN RAFAEL A PERMANENT EASEMENT FOR ROADWAY, DRAINAGE, AND UTILITY PURPOSES UPON CERTAIN PROPERTY FROM WHLW REAL ESTATE FOR THE MERRYDALE OVERCROSSING PROJECT. 12. Second Street Widening - Resolution Approving the Item deferred to a future Purchase of an Easement From Golden Gate Bridge,meeting, at request of staff. Highway and Transportation District in an Amount of $10,000 and Authorizing Execution of Agreement (PW) - File 12-18-12 13. Request for Waiver of Fees Re: 96 Pilgrim Way (Marin Head Start) (CD) - File 9-10-2 x 10-2 CONSENT CALENDAR (Continued): RESOLUTION NO. 10409 RESOLUTION WAIVING FEES FOR 96 PILGRIM WAY (MARIN HEAD START). 14. An Ordinance of the City of San Rafael Amending ORDINANCE NO. 1736 Title 12 of the Municipal Code of the City of San Rafael, by Amending Chapter 12.12, Adopting the Uniform Building Code, 1997 Edition, with Amendments; by Amending Chapter 12.14, Adopting the Uniform Mechanical Code, 1997 Edition, with Amendments; by Amending Chapter 12.16, Adopting the Uniform Plumbing Code, 1997 Edition, with Print: "AN ORDINANCE OF THE CITY OF SAN RAFAEL AMENDING TITLE 12 OF THE MUNICIPAL CODE OF THE CITY OF SAN RAFAEL, BY AMENDING CHAPTER 12.12, ADOPTING THE UNIFORM BUILDING CODE, 1997 EDITION, WITH Amendments; by Amending Chapter 12.20, Adopting AMENDMENTS; BY AMENDING the National Electrical Code, 1996 Edition, with CHAPTER 12.14, ADOPTING THE Amendments; by Amending Chapter 12.26, Adopting UNIFORM MECHANICAL CODE, 1997 the Uniform Housing Code, 1997 Edition, with EDITION, WITH AMENDMENTS; BY Amendments; by Amending Chapter 12.28, Adopting AMENDING CHAPTER SRCC MINUTES (Regular) 5/17/99 Page 4 SRCC MINUTES (Regular) 5/17/99 Page 5 12.16, the Uniform Code for the Abatement of Dangerous ADOPTING THE UNIFORM PLUMBING Buildings, 1997 Edition, with Amendments; and by CODE, 1997 EDITION, WITH Amending Chapter 12.32, Adopting the Uniform AMENDMENTS; BY AMENDING Swimming Pool, Spa and Hot Tub Code, 1997 Edition, CHAPTER 12.20, ADOPTING THE with Amendments (CD) NATIONAL ELECTRICAL CODE, 1996 - File 1-6-1 x 1-6-2 x 1-6-3 x 1-6-5 x 1-6-6 x 1-6-7 EDITION, WITH AMENDMENTS; BY AMENDING CHAPTER 12.26, ADOPTING THE UNIFORM HOUSING CODE, 1997 EDITION, WITH AMENDMENTS; BY AMENDING CHAPTER 12.28, ADOPTING THE UNIFORM CODE FOR THE ABATEMENT OF DANGEROUS BUILDINGS, 1997 EDITION, WITH AMENDMENTS; AND BY AMENDING CHAPTER 12.32, ADOPTING THE UNIFORM SWIMMING POOL, SPA AND HOT TUB CODE, 1997 EDITION, WITH AMENDMENTS. 15. Resolution Authorizing the Execution of Agreement RESOLUTION NO. 10410 Between the City of San Rafael and the Marin RESOLUTION AUTHORIZING THE Agricultural Land Trust for the Rental of Office SIGNING OF AN AGREEMENT WITH Space at Falkirk Cultural Center (Lib) - File 2-8-29 x 9-3-84 THE MARIN AGRICULTURAL LAND TRUST FOR THE USE OF FALKIRK CULTURAL CENTER FOR ADMINISTRATIVE AND PROGRAM SPACE (At $425 Per Month, on a Month -to -Month Basis). AYES: COUNCILMEMBERS: Cohen, Heller, Miller, Phillips & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None - File 9-10-2 x 10-2 Referring to Agenda Item #13, concerning the waiver of fees for the Marin Head Start program at 96 Pilgrim Way, Mayor Boro announced the City received an award last week for the work the City has done in conjunction with Pell Development Company, the church at the site, Pilgrim Park Apartments, and Marin Head Start, in providing child care at that site. He explained the City had realized the need to do something as part of the development of that site, and the Developer came forward, constructing and funding the site for child care in that neighborhood. He noted the City was awarded the plaque for its creative solution to this problem. PUBLIC HEARINGS: Mayor Boro announced the Council would address Agenda Item #17 as the first Public Hearing. 17. PUBLIC HEARING - CONSIDERATION OF AN ORDINANCE ADOPTING THE 1997 UNIFORM FIRE CODE AND/OR 1998 CALIFORNIA FIRE CODE, WITH LOCAL AMENDMENTS AND FINDINGS OF FACT (FD) - File 1-6-4 Mayor Boro declared the public hearing opened, and asked for the staff report. Fire Marshal Keith Schoenthal explained this Ordinance would adopt the 1997 Uniform Fire Code, noting this has been a "status quo" Ordinance since 1991, when the current standards were first introduced. He noted the major changes that have been introduced were all administrative; one to change the "Enforcement and Penalty" section to mirror the City's Administrative Citation and Hearing Officer provisions, which were adopted after the Fire Department last came before the Council. In addition, the "Findings of SRCC MINUTES (Regular) 5/17/99 Page 5 SRCC MINUTES (Regular) 5/17/99 Page 6 Fact" were moved, to be included within the Ordinance, rather than as a stand-alone Resolution. Fire Marshal Schoenthal stated highlights of the technical changes made in the amendments included such things as deep fat fryers and commercial kitchens, where the Fire Department was changing the type of fire extinguisher required because of the change from animal -based fats to vegetable-based fats, which burn hotter. He stated they were also requiring additional exit lights and signs in buildings with over 100 occupants, upon change of occupancy, which he explained would mirror the current provisions of the Uniform Building Code. Fire Marshal Schoenthal reported that neither the Fire Department, nor the City Clerk's office, had received public comment during the past two weeks following the published notice of this Ordinance and public hearing. Mayor Boro invited public comment. There being no public comment, Mayor Boro closed the public hearing. The title of the Ordinance was read: "AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL AMENDING CHAPTER 4.08, OF THE SAN RAFAEL MUNICIPAL CODE, ADOPTING THE UNIFORM FIRE CODE, 1997 EDITION, WITH AMENDMENTS, AND PRESCRIBING REGULATIONS GOVERNING CONDITIONS HAZARDOUS TO LIFE AND PROPERTY FROM FIRE, EXPLOSION AND OTHER DANGERS, AND ESTABLISHING A FIRE PREVENTION BUREAU AND PROVIDING OFFICERS THEREFOR, AND DEFINING THEIR DUTIES AND POWERS" Councilmember Cohen moved and Councilmember Phillips seconded, to dispense with the reading of the Ordinance in its entirety and refer to it by title only, and approve Final Adoption of Charter Ordinance No. 1735, by the following vote, to wit: AYES: COUNCILMEMBERS: Cohen, Heller, Miller, Phillips & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None 16. PUBLIC HEARING - ZONE CHANGE (ZC98-3) FOR A PLANNED DISTRICT ZONING TO ALLOW SIX SINGLE-FAMILY RESIDENCES, VESTING TENTATIVE SUBDIVISION MAP (TS98-2) TO DIVIDE THE EXISTING PARCEL INTO SIX PARCELS, MASTER USE PERMIT (UP98-38) TO ALLOW SIX SINGLE-FAMILY RESIDENCES AND ASSOCIATED USES, ENVIRONMENTAL AND DESIGN REVIEW PERMIT (ED98-107) FOR SUBDIVISION IMPROVEMENTS AND SIX SINGLE-FAMILY RESIDENCES; END OF FERNWOOD WAY AND FERNWOOD DRIVE; APN 185-030-01; THOMAS TRUST, OWNER; WATERFORD ASSOCIATES, LLC, REPRESENTATIVE (CD) - File 10-3 x 10-4 x 10-5 x 10-7 x 10-8 Mayor Boro declared the public hearing opened, and asked for the staff report. Associate Planner Louise Patterson reported this project was a six -lot subdivision with six custom homes, all subject to the City's Hillside regulations and/or Hillside Design Guidelines. She stated the project had been reviewed by the Planning Commission at their meeting of April 13, 1999, and five major issues were discussed. One of the issues was drainage. She noted the neighbors were very concerned about the drainage, and it had been an issue throughout the processing of this project. Ms. Patterson reported a Drainage Analysis had been prepared and reviewed by staff, and the analysis concluded that with the addition of two catch basins and a flap gate, the project would not increase the amount of drainage to the system, and would have no impact. The visual impacts of the house on Lot #4 was an issue of concern with the neighbors on Castlewood Drive, and with the Planning Commission, and the Commission recommended the house be redesigned and reviewed again by the Design Review Board and the Planning Commission. Ms. Patterson reported the applicant had begun that process, and staff anticipated receiving the redesigned plans for the house within the next few weeks. Ms. Patterson stated the neighbors had also expressed concern regarding the French Broom on the perimeter of the property, and the Planning Commission concurred. Ms. Patterson reported an addendum to the Vegetation Management Plan had been prepared to address that issue. Ms. Patterson stated the Planning Commission also wanted to be very clear about what the conservation easement was, where it was on this property, and what could be done within it, and that had been addressed and described in detail in Condition #42. The last issue concerned the location of the turnaround at the end of Fernwood Way, and after discussion, the applicant agreed to relocate the turnaround onto their property. Ms. Patterson noted this would not require additional tree removal, and would require only SRCC MINUTES (Regular) 5/17/99 Page 6 SRCC MINUTES (Regular) 5/17/99 Page 7 minimal grading, if any. Ms. Patterson stated the Planning Commission had stated these modifications must be incorporated into the project, and also recommended modifications to certain Conditions of Approval, which were reflected in the Conditions being presented to Council. Councilmember Heller noted another item that had been listed as a concern was Soil Stability. Ms. Patterson stated this was not a major issue, noting it was something that had been mentioned by one of the neighbors. She reported a Geotechnical Review had been done by the City's Geotechnical Review Board, and their recommendation was that the project was stable, and could be built. Mayor Boro invited the applicant to address the Council. Fritz Wooster, partner with the firm of Waterford Associates, the project applicant, introduced his partner, Mike Smith, Civil Engineer Lee Oberkamper, Architect Dick Hunt, and Landscape Architect Pete Pedersen. Mr. Wooster thanked those neighbors in attendance at the Council meeting, as well as those who had attended a series of meetings over the past year. He noted they had conducted three general meetings, with all the surrounding neighbors, as well as site-specific meetings with neighbors of Upper Fernwood, Lower Fernwood, and Castlewood Drive, and with a group of individuals concerned about drainage. In addition, he reported they had a number of individual meetings with homeowners surrounding the property, where the project Architect showed them revisions made to the plans during the past few months. Mr. Wooster thanked Associate Planner Louise Patterson, noting she had done a very thorough job of presenting all the issues. He stated he and his associates were in complete concurrence with the staff report, and the Conditions of the project. Mr. Wooster explained the 12 acre in -fill site was surrounded by existing neighbors and their homes, and a number of issues and concerns had been presented by them, which the applicant had tried to address over the past few months. He stated they tried, through meetings, studies, and extensive revisions to the project, to address these concerns, and felt, for the most part, they had satisfied the outstanding issues raised. Mr. Wooster noted that in evaluating the particular home sites selected, they spent a lot of time and effort trying to balance the concerns of tree removal, grading impacts on the site, and view impacts on the various neighbors. He stated their intent has been to minimize the collective impact on the people with whom they are going to be working, and who will be their neighbors. He acknowledged he did not believe their solution was a perfect one; however, it had been approached with a lot of effort and skill on the part of the consultants, and he believed the neighbors would agree they had spent a lot of time and effort in addressing their concerns. Lee Oberkamper, Civil Engineer, referred to a map of the project, outlining the twelve and a half acres being developed. He referred to a memorandum shown in the staff report, written as a result of a meeting between the developer, staff, and the neighbors, noting the conclusion of the report of the meeting was that the piping system in the Fernwood area was adequate to carry the water generated by the project. He stated they were careful not to add additional drainage to the Castlewood Drive side, as there had been considerable expressions of concern about the drainage, and they wanted to make sure they did not exacerbate those concerns. He noted in areas being developed within the project where hardscape was being created, that drainage was being pulled toward Fernwood, where there was adequate capacity to take care of it. He stated that as a result of the analysis and the meeting, it was agreed there would be a catch basin located at the intersection of Fernwood Way and Rosewood Court, where the capacity to accept water would be increased. He also noted there was a catch basin across the street from that location, on Fernwood Way, opposite the intersection, and its capacity would also be increased. He stated those two things would be done by the developer, while the City had agreed to replace a sub -standard catch basin on the other side of the street, and construct a new catch basin at the intersection of Fernwood Way and Knight Drive. Mr. Oberkamper stated a flap gate would also be added where the drainage enters the drainage channel at the end of the pipe, so water cannot back up into the system, and hinder the flow as it comes out. Councilmember Cohen noted there had been a fair amount of discussion in the Planning Commission Minutes about whether it would be feasible to deal with some of the already existing drainage issues in conjunction with the drainage issues related to this project, perhaps figuring out a way to trap some of the drainage coming off the hillside. He noted from the responses SRCC MINUTES (Regular) 5/17/99 Page 7 SRCC MINUTES (Regular) 5/17/99 Page 8 he had read, it seemed no one had studied that particular issue, and the focus had been mainly on the impacts from the hardscape created by this project. He asked if, as a result of their discussions, there had been any further study of that issue? Mr. Oberkamper stated the discussions had been primarily focused on one home at the end of Fernwood Way. He acknowledged that homeowner did have drainage which flowed from the hillside to his property; however, that drainage, as it comes from the hillside in its natural condition, has historically gone to that location, and it was his understanding the drainage had the right to go there, as it has historically done. However, Mr. Oberkamper reported they were slightly reducing the amount of water that would flow in that direction, by carrying the water from the area that is being developed directly to the street; therefore, that portion would not be passing through his property. Mr. Oberkamper stated they did not have a way of going onto the homeowner's property, or adjoining his property and fixing his problem, without opening that question with respect to anyone else who felt they had a problem, as well. Councilmember Cohen understood the developer did not have an obligation to do this; however, he wondered, since they were going to be up there doing construction anyway, and they were going to be doing drainage improvements, would that be an opportunity to look at whether or not there were cooperative solutions that could solve, if, in fact, there are, existing drainage problems that are severe? Mr. Cohen noted this homeowner was the only one who had come forth and spoken about severe drainage problems, in terms of water coming off the hill. He asked if there was an opportunity, as part of this drainage solution, to look at a way to solve that, and without getting into the issue, at this time, of whose obligation it would be to pay for that, would there be a way to incorporate a solution to that problem, along with the drainage solution being proposed? Mr. Oberkamper believed there was an opportunity for a cooperative effort; however, he felt the solution to the problem on that particular property was going to involve improvements within that property, and was not something they would be able to take care of by doing something on the property uphill from his property. Mr. Oberkamper felt certain his clients would be willing to cooperate with this homeowner, and help him work that into the program, not that they would volunteer to bear the expense, but they would certainly cooperate as far as working something out with the contractor who will be on the job. Councilmember Cohen noted one question which did pertain to the drainage solution being proposed was whether it was engineered sufficiently, if, for example, the property owner were to decide on a solution, such as a v -ditch running across the top of his property. He asked if there would be a place where that water could go, and if there was sufficient capacity within the drainage system being proposed to accept that? Mr. Oberkamper stated there was certainly capacity within the drainage system; however, he believed it would be very difficult to take the water any direction but through his property, which was where it goes now, getting there overland through his backyard, impacting his pool and a number of things such as that. Mr. Oberkamper stated there was certainly enough capacity, once the drainage gets to the street, for that water to get to where it needs to go. Dick Hunt, of Hunt, Hill & Jones Architects, noted their home designs had been presented, in detail, to the Planning Commission and the Design Review Board. Referring to the general concepts which shaped the designs, he noted the key to the project had been the selection of the building sites. He explained there had been a number of factors which they had needed to balance, and sometimes there were competing factors, such as grading, tree removal, preserving reasonable access, and ensuring privacy, and occasionally, what satisfied one solution worked against another. Mr. Hunt stated they had identified six very reasonable sites for the homes, and then set forth to design six homes that responded to those sites. He pointed out they designed homes that step down the hillside, looking to minimize exposed mass, particularly on downhill sides; they used extensive landscape screening to separate the homes from surrounding properties, and from one another; and they used six individual home styles, to preserve an individual character for each lot within the project. Mr. Hunt reported they had spent considerable time working with the neighbors, and had made substantial changes to a number of the plans, particularly with Lot #4, which they redesigned. He noted they would be going back to the Planning Commission on June 22nd. Mayor Boro invited public comment. SRCC MINUTES (Regular) 5/17/99 Page 8 SRCC MINUTES (Regular) 5/17/99 Page 9 Robert Burton, a neighbor on Castlewood Drive, stated he had attended all the meetings, and wanted Council to understand that the property which will become Fernwood Estates was, today, a wooded hillside overlooking the entire area, covered with trees and wildlife, noting people use it to walk and children use it to play. He pointed out the developer was proposing six very large estates, which did not conform with the existing neighborhood, and would loom over the neighbors' houses. Mr. Burton acknowledged the developer and consultants had worked very hard with the neighbors to tinker with what they had, to hide things and minimize the impacts by installing landscaping and putting in additional trees. However, Mr. Burton stated no one had adequately addressed whether or not they should even be building up on the ridgeline. He stated it was his understanding the City of San Rafael had a Ridgeline Protection Ordinance and Hillside Design Guidelines; however, no one had been able to tell him how the project complied, noting he believed at least two members of the Design Review Board had felt the project did not comply. Mr. Burton stated, no matter how many trees are planted, the proposed homes would be an eyesore, overlooking the neighbors' much smaller homes. He believed the project would change the nature of their neighborhood, and affect their property values. Mayor Boro asked Community Development Director Bob Brown to comment on the City's Hillside Design Guidelines. Mr. Brown explained the hillside requirements do discuss the intent of the City to build below ridgelines; however, on this particular site, that was somewhat difficult, because the site is up -land from the entire neighborhood, and is composed of a three- part ridgeline. He stated in that instance, the guidelines provide an opportunity to develop the site, even if the homes are closer to the ridge than 100 vertical feet, as well as provisions to reduce the density to the minimum allowed by the General Plan, which was the case here. Mr. Brown stated staff believed this site, given the slope density, would have allowed as many as fifteen homes; however, that had been reduced to the lowest of the General Plan's density range, to six homes. He stated there were other criteria, as well, allowing discretion of the siting and mitigation factors, in terms of design and landscaping, which would reduce the visibility of the homes. He noted staff and the Planning Commission felt that had been accomplished in this proposal. Mayor Boro asked if the City had, in any way, avoided or gone around the Ordinance? Mr. Brown stated that was not the case, noting there were provisions for allowing development within 100 vertical feet of a ridgeline. Don Hodgen, 34 Fernwood Way, stated his home was adjacent to the proposed development, and the most impacted by it. He commended Waterford Associates for the development they have created at Fernwood Estates, and for the professional way they had met their obligations. He stated he had attended every neighborhood, Public Works, Design Review Board, and Planning Commission meeting related to this project, and believed the developer had shown sensitivity, courtesy, and extraordinary patience to all those concerned. Mr. Hodgen felt Council should allow the developer to proceed with this well conceived project. Joy Phoenix, resident of Fernwood Way, recalled that during a meeting concerning the drainage, there had been a discussion about the property at Knight Drive and Fernwood Way, which floods every time it rains, and it had been mentioned that the City might install a drain on Knight Drive. She reported the owner of that property gets water coming down Fernwood Way, which was addressed; however, she also gets water coming down Knight Drive. Ms. Phoenix noted there had been some discussion of possibly installing another drain on Knight Drive to alleviate water coming downhill from both streets; however, that had not been mentioned as part of the project. Public Works Director Bernardi pointed out the location of one of the new catch basins to be installed, noting it would be connected to the existing drainage system, and located in such a manner that the low spot which currently exists on Knight Drive, and does not drain, would be rectified by the installation of the new pipe and catch basin. There being no further public comment, Mayor Boro closed the public hearing. Councilmember Heller referred to a letter Council received from Mrs. Rose, in which she asked Council not to require the placement of the house on Lot #3 to be changed. Ms. Heller asked if staff had specified that change be made, or if it was something that could be decided at this time? Associate Planner Louise Patterson explained Lot #3 was the highest lot, and lowering SRCC MINUTES (Regular) 5/17/99 Page 9 SRCC MINUTES (Regular) 5/17/99 Page 10 the site would have complied more with the guidelines; however, this would have required additional grading and tree removal, which was something the guidelines also addressed. She stated it had been felt that leaving the home site where it was would be the best solution. Councilmember Phillips stated this was quite an attractive site, and to preserve it would be an overall plus; however, recognizing property rights, he believed the City would likely move forward with the project. Mr. Phillips noted it had been stated by one of the neighbors that this project might result in a negative impact on the surrounding homes. He asked staff what they felt the impact to surrounding home values might be? Community Development Director Brown stated staff avoided, at all costs, trying to guess what would happen with land values. He noted, in terms of compatibility with the neighborhood, these lots were obviously five to ten times as large as the typical neighborhood lot and, therefore, supported larger homes; however, he stated staff did not have any opinion regarding land prices. Councilmember Phillips stated he was satisfied the project had been thoroughly reviewed, and that the Design Review Board, Planning Commission, and staff had done a thorough job of reviewing the site and the resulting proposal of six homes on the twelve acres. Councilmember Miller acknowledged the remarkable process that had taken place in terms of involving the neighbors, noting Mr. Hodgen's testimony certainly indicated this was the way the City liked to do business, in terms of community development. He stated staff had done a fine job of doing just that. Councilmember Heller pointed out there were not many neighbors who had expressed dissatisfaction. She felt, after looking at the property, that it was well planned, and the homes were beautiful. Councilmember Cohen referred to the conservation easements, noting nothing would be built, and there would not be any disturbance of the vegetation in the conservation easements. He clarified that the conservation easements, as shown on the map, were all those areas outside the circled development areas, exclusive of subdivision improvements. Mr. Brown stated that was correct, with the exception of the roadways and walkways. Mr. Cohen noted that could be undone if someone wanted to make a change, but only by action equivalent to that being taken by Council this evening. Ms. Patterson stated staff was recommending it be incorporated and recorded into the final map; therefore, the map would have to be amended, as well. Councilmember Cohen noted that in reading the Minutes of the Planning Commission meeting, at least one of the Commissioners, although expressing his support for the project, voted against it because of his concerns regarding the Hillside Design Guidelines. Mr. Cohen asked if staff had been able to address those concerns? Community Development Director Brown stated there were three criteria for allowing development within 100 vertical feet of a ridgeline, and it was his understanding one of those provisions had been added to the project at the very end of the process, at the public hearing. He explained that provision states, "No new subdivision lots are created which will result in ridgeline development", which he noted goes against the whole point, which was to provide an exception to do just that. He noted the intent of that wording was that re -subdivision of the lot would not be allowed, which would allow ridgeline development; therefore, coming back after the fact, to divide an already large lot into two smaller lots, one could provide for the ridgeline development. He acknowledged the wording was not very well done, and should probably be revised in the future, noting this was the problem Commissioner Kirchmann had with this issue. Councilmember Cohen stated, if staff was clear on the interpretation, then at the appropriate time, that wording should be amended so it is clear, and there is not this kind of confusion. Associate Planner Patterson pointed out the Planned District for this project specifically states there are to be no future subdivisions, which addresses that point. Councilmember Cohen agreed it was exceptional to have an immediate neighbor address the Council and laud the developer, the consultants, and the design, stating it was an extremely rare occurrence, and he complimented the developer and consultants on the work they had done to bring that about. He stated he, too, had visited the site, and thought it was beautiful. He stated if the City were to be able acquire it for the public and the environment, many people would think that was a wonderful thing; however, the City did not have the funds to do that, and there were no foreseeable funds to do that. He stated this was private property, and the SRCC MINUTES (Regular) 5/17/99 Page 10 SRCC MINUTES (Regular) 5/17/99 Page 11 City did not have the right to acquire it by zoning development rights out of existence. Regarding the view, Mr. Cohen stated he did not want, any more than staff, to get into estimating land values or impacts. He noted in some Ordinances the City had attempted to address severe impacts caused to views by over -building immediately adjacent to a neighbor; however, the law clearly established a person did not necessarily have the right to a view across a neighbor's piece of property. Therefore, while there was some impact on view, he believed a lot had been done to reduce that impact as much as possible, and noted the City would push the developer to do even more of that on Lot #4. Mayor Boro expressed his compliments to the community and the developer for a job well done, and one that met everyone's needs. Councilmember Cohen moved and Councilmember Phillips seconded, to adopt the Resolution certifying the Negative Declaration, as presented. RESOLUTION NO. 10411 - RESOLUTION CERTIFYING THE NEGATIVE DECLARATION FOR A PLANNED DEVELOPMENT DISTRICT (ZC98-3), VESTING TENTATIVE MAP (TS98-2), MASTER USE PERMIT (UP98-38) AND ENVIRONMENTAL AND DESIGN REVIEW PERMIT (ED98-107) FOR SIX SINGLE-FAMILY RESIDENTIAL LOTS (FERNWOOD ESTATES) END OF FERNWOOD WAY AND FERNWOOD DRIVE (AP NO. 185-030-01) AYES: COUNCILMEMBERS: Cohen, Heller, Miller, Phillips & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None The title of the Ordinance was read: "AN ORDINANCE OF THE CITY OF SAN RAFAEL AMENDING THE ZONING MAP OF THE CITY OF SAN RAFAEL, CALIFORNIA, ADOPTED BY REFERENCE BY SECTION 14.01.020 OF THE MUNICIPAL CODE OF SAN RAFAEL, CALIFORNIA, SO AS TO RECLASSIFY CERTAIN REAL PROPERTY FROM THE PLANNED DEVELOPMENT DISTRICT TO THE PLANNED DEVELOPMENT (PD ORDINANCE NO. 1737) DISTRICT TO ALLOW FOR SIX SINGLE-FAMILY RESIDENTIAL LOTS (RE: ZC98-3, END OF FERNWOOD WAY AND FERNWOOD DRIVE, AP NO. 185-030- 01) (FERNWOOD ESTATES)" Councilmember Cohen moved and Councilmember Heller seconded, to dispense with the reading of the Ordinance in its entirety and refer to it by title only, and pass Charter Ordinance No. 1737 to print, by the following vote, to wit: AYES: COUNCILMEMBERS: Cohen, Heller, Miller, Phillips & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None Councilmember Cohen moved and Councilmember Phillips seconded, to adopt the Resolution conditionally approving the project. RESOLUTION NO. 10412 - RESOLUTION OF THE SAN RAFAEL CITY COUNCIL APPROVING A VESTING TENTATIVE SUBDIVISION MAP (TS98- 2), MASTER USE PERMIT (UP98-38), AND AN ENVIRONMENTAL AND DESIGN REVIEW PERMIT (ED98-107) FOR SIX SINGLE- FAMILY RESIDENTIAL LOTS (FERNWOOD ESTATES) END OF FERNWOOD WAY AND FERNWOOD DRIVE (AP NO. 185-030-01). AYES: COUNCILMEMBERS: Cohen, Heller, Miller, Phillips & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None Mayor Boro announced the Council would next address Agenda Item #19. OLD BUSINESS: 19. CITY'S EXERCISE OF MARIN HOUSING AUTHORITY'S OPTION TO PURCHASE TWO BELOW MARKET RATE ("BMR") UNITS AT THE MARIN LAGOON CONDOMINIUM PROJECT: 33 MARINERS CIRCLE AND 29 MARINERS CIRCLE (CA) - File 229 x 9-3-16 Mayor Boro stated he was very disappointed the City had lost ten units out of the 18 facilitated in this project, due to legitimate reasons. He noted he had been made aware that a settlement (re: lawsuit) had been reached, and he was curious whether that might have an impact on these units, and SRCC MINUTES (Regular) 5/17/99 Page 11 SRCC MINUTES (Regular) 5/17/99 Page 12 whether these two specific units had any damage to them. He asked if the City was on a path where it was going to lose all eighteen units, or if this was eventually going to stop? Richard Bornholdt, Housing Consultant, stated Mayor Boro was correct in the way he summarized this development, noting they had gone through a lot of machinations and great lengths to get these units in the first place. He explained the lawsuit had created real difficulties for the owners of these Below Market Rate units, concerning the increased assessments to pay the litigation costs. Mayor Boro asked if they had paid anything, to date? Mr. Bornholdt reported there was an additional assessment of approximately $60 to pay the interest on the loan, in addition to the homeowners fees, and there was a possibility of additional assessments, as well as the possibility of additional costs to undertake the repairs. He stated it was his understanding that somewhat of a settlement had been reached; however, the final details were not clear as to how that was going to be implemented, and it was possible the remaining five units might come up for sale during that process, and the City might have to take the same action being taken now. Mayor Boro asked if the two units now being considered had any physical damage? Mr. Bornholdt stated Maurice Wolohan, with the Marin Housing Authority, had inspected the units, and reported there was some damage to these two particular units. Mayor Boro asked if the other units the City had disposed of also had physical damage? Mr. Bornholdt reported they had. Mayor Boro noted at the last meeting the comment had been made that, as a result of the pending litigation, buyers might potentially have to put down more money than the customary 10%. He asked if the City could pursue using its Housing money from Redevelopment for some type of bridge loan, in order to maintain these units, and then work out a way to collect that over time, rather than just abandoning the units? He stated he found it very frustrating that the City was losing these units, and he was trying to see if there was some way the City could put a stop to it. Mr. Bornholdt stated the City could step in and take these units; however, based upon the history and experience of the Housing Authority, it would be very difficult to find another qualified buyer. Mr. Bornholdt noted the City could step in and create a buyers' downpayment program, and recapture that if the unit was ever sold; however, the City would not be able to require any payments on that portion, which he noted was the problem in the first place. Ida Baugh, member of the Board of Directors of the Marin Lagoon Homeowners Association, and an active real estate agent in the neighborhood, explained the $60 special assessment was to pay off the loan, and while there had been a settlement, it was only a verbal agreement, and they had not received it in writing, which was why the $60 assessment had not been discontinued. Ms. Baugh stated that when they get the money for the settlement, the $600,000 loan for the attorney's fees will be paid, and the assessment of $60 per month is supposed to be discontinued. She noted they had settled for $3.5 million, and it had cost them $1.5 million to get that. In addition, although they had a loan of $600,000 to pay the attorney's fees, with the consultants and the construction defects testing, they had depleted their reserves, which they had planned to use for painting, roofing, and siding, and now there was nothing to fall back on. Therefore, after paying $1.5 million, they will have approximately $2 million to fix ninety units. Ms. Baugh explained this was what made it hard to sell these units, noting she had recently spoken with a lender, asking how lending institutions treated units that have settled lawsuits, but have not yet been fixed. She reported, because of the future of being in a construction zone, the lending institutions would want to see the units fixed first, before they start feeling good about lending. Mayor Boro asked what had happened to the units the City had owned, and then abandoned? Ms. Baugh stated they had been sold. Mayor Boro asked if third parties came in, who did not need assistance, and bought the homes? Ms. Baugh stated she believed that was what had occurred. Mayor Boro noted those third parties had been willing to take the risk. Ms. Baugh pointed out there currently was a shortage of inventory, noting for a while no one was buying at Marin Lagoon; however, now that the interest rates are low and there is a shortage of inventory, the buyers are looking the other way, because they have nothing else to buy. Mayor Boro asked, if it was good enough for the private sector, why would it not be something the City would want to consider? Mayor Boro asked if he was correct that there had been 90 condominiums damaged? Ms. Baugh stated there were 90 condominiums in the development, and a lot of them had damage, although not all of them did. She noted there was a lot of deferred maintenance, because they have not been painting the units as scheduled, having used the reserves for the SRCC MINUTES (Regular) 5/17/99 Page 12 SRCC MINUTES (Regular) 5/17/99 Page 13 lawsuit; therefore, the units were not looking very good. She hoped, once they received the money and could fix them, they would look a lot better. Mayor Boro asked Mr. Wolohan if he was correct that the units the City had abandoned were approximately $150,000 to $160,000? Mr. Wolohan stated there had actually been quite a range in price, noting he had a list of resale prices which went from a low of $129,000, to a high of $170,850 for one of the units now being considered by Council, which was the highest price to date. Mr. Wolohan explained the pricing had to do with the initial purchase price when the units were first built, how much time had elapsed, and whether they had been resold one or more times since the initial purchase. Referring to the two units now being considered by Council, Mayor Boro pointed out their resale prices were $170,850 and $162,300. Councilmember Cohen asked, as an example, if the City were to exercise the option and acquired the properties, then found it had no better luck finding a buyer than the current sellers, was the City then allowed to sell the units at market price? Mr. Wolohan stated that would certainly be Council's decision, because the City was the source of these units, and they were under resale restriction to begin with. Therefore, in acquiring a unit under those circumstances, the City would always have the option of how to dispose of the property, whether to resell through the program to moderate -income, first-time home buyers, which was how the program was presently designed, or to take any number of other options, such as operating the unit as a rental; reselling to a non-profit which might want to operate it as affordable rental property, as was the case with four of the original BMR units, which went to EAR (Ecumanical Association for Housing) for that purpose; or to simply resell it, at such time as the City might be able, to a qualified first-time home buyer. Mr. Wolohan believed the real problem was not a lack of buyers for the program, but a lack of buyers who fit the profile of the first-time home ownership program, which was limited to low- to moderate -income, first-time home buyers. He pointed out the greatest difficulty for those home buyers was coming up with enough downpayment. He noted, typically, in this program, with financing such as it is today, they were able to facilitate a sale with 5% down, and 95% financing, although that was with a property that did not have a cloud of pending litigation. However, in this case, lenders were not willing to lend more than 80%, if they would lend at all. Mayor Boro believed the City could overcome that by fronting the money, if it chose to. Mr. Wolohan acknowledged that would be possible. Mr. Wolohan explained the second difficulty, for any buyer, was evaluating the risk, noting that for a first-time home buyer who does not have equity or experience, it could be a very intimidating prospect. He stated that in order to fully disclose the nature of what the buyer would be getting into, the seller and the Housing Authority, because they are facilitating these sales, must make the buyer fully aware of the current status, and also the worse case scenario of how the settlement might play out. Mayor Boro noted, however, the private sector had elected to buy the other ten units. Mr. Wolohan felt what they had seen, in a number of the properties released from the program, were speculative buyers coming in, who were willing to take the risk and ride it out for a period of time, seeing the opportunity of selling at a profit. Councilmember Cohen referred to a list of the BMR properties, noting three of the units showed actual market sales price, because there was a recapture provision. Mr. Cohen asked if there had been others of these units sold? Mr. Wolohan stated there had. Mr. Cohen asked if that information was available, and whether, if someone wanted to know the approximate sales price of a unit, there was information in the public record that would enable him to determine the approximate selling price of these units? Ms. Baugh reported there was. Mr. Cohen stated he would be very interesteT in that information. Councilmember Cohen pointed out one of the units detailed on the list had a purchase price of $114,000, a BMR resale price of $125,000, a BMR price at resale of $140,000, and it sold for $219,000, noting there was a big gap between today's market price for that unit and its BMR price. He stated he did not know if there was a source of funds, or how the City might deal with this; however, he felt, if there was that kind of gap between the BMR price and today's market price, it might be worth taking a look at this, particularly if the City had the ability to sell the units at market. He acknowledged the circumstances surrounding the particular unit he had cited might be an anomaly; however, if the market rate on these units was an indicator of what the price difference was today, he felt it might be worth acquiring some of these units, and trying to find a way to keep them SRCC MINUTES (Regular) 5/17/99 Page 13 SRCC MINUTES (Regular) 5/17/99 Page 14 affordable. Mr. Bornholdt stated that information was available, and he could look at the last five or six units that had most recently sold, as they would be similar to what the market was now, then come up with an idea of what it would cost, and where those funds might be. He believed if the City did acquire the units, it was likely the City would own them for awhile, noting the City could ask the Housing Authority to try to locate other qualified buyers, and perhaps set a timeframe. Mayor Boro asked if they could be rented in the interim? Mr. Bornholdt stated they could be, and the City could perhaps contract with someone for the management. Councilmember Heller asked how many units were left? Mayor Boro noted they had gone from eighteen to eight remaining units. Ms. Heller asked for clarification of the recapture provision. Mr. Wolohan stated the recapture provision had only been introduced in a more recent version of the resale restrictions, and were not in place when the properties sold in 1989 through 1990. He explained that if a property was released from the program through the abandonment of option, and there was a recapture provision in the most current resale restriction recorded on the property, then 85% of the difference between the actual sales price, unrestricted, and the BMR formula price, as of the time the owner gives notice they wish to sell, was returned in a payment to the City. He reiterated that applied to some of these units, but not all, noting that of those units, three had produced recapture dollars back to the City. Mayor Boro stated it was his understanding it had been an oversight on the part of the City that the recapture provision had not been included for all the units. Mr. Wolohan pointed out much of this program was completely unique, and was constantly evolving. Mayor Boro stated, under the ideal recapture, it would be that each time the unit was sold they would begin with a new base, as the intent was to maintain these units as affordable, in perpetuity. He noted, with the recapture provision, the success of the buyers would be to "step-up" where they bought, and their increase would, too, but the units would still be held below market. Mr. Wolohan explained it was actually an "either/or" situation, stating a unit either resells through the program, where it does step-up but remains affordable, or it is released from the program, and there is a one-time recapture of the difference between the market sales price and the BMR price at that time. Councilmember Cohen stated with a BMR price at resale of $149,060, and a sales price of $219,500, if the City had acquired the unit at the BMR price, which was what the City's option was, and then could not find a qualified buyer and sold the unit at market price, the City would have made $78,540, before the costs of purchase and sale, instead of the $55,000 recapture. Therefore, the City could have taken whatever was left after paying the fees, and put that back into the Housing Fund. Mr. Wolohan stated that was correct. Mr. Cohen noted even if the costs associated with this unit had gone up, there would have been a $78,000 cushion, which was considerable in terms of the City's ability to recapture money back into the Housing Fund. He asked if the City could acquire these other units, hold them for a pre -determined period while attempting to find a buyer, and if unable to do so, then release them? He noted if the City did that, it could take the money, put it in the Housing Fund, and the City would get the recapture. Councilmember Cohen stated he would like to know the relative value of the other units, and some of the other sales that have taken place, noting it appeared the market had driven the value of the units up high enough that the City should look at this. He noted the City had approved this project, and others like it, in an attempt to increase affordable housing stock; however, because of the sad set of circumstances here, that was going away. He believed the City could be more aggressive in going after this, and recapturing some of it, whether it be in terms of dollars, or keeping the units affordable. Councilmember Cohen asked how much time the City had before its options expired on these two units? Mayor Boro stated one expired on June 28th, and the other on July 25th, so the City still had time. Mr. Wolohan noted the owner of the first unit coming up had alrady moved, due to employment relocation, and was calling everyday regarding the status of Council's decision. Ms. Baugh pointed out that if the City assumed these units, it also assumed the risks of a special assessment, interest rates going up, and values going down. She stated that while they did know more now as to where they stood, there were still some unknowns that went with the ownership. Mr. Cohen stated right now, on the particular unit that had sold, there was at least a 30% cushion. He noted if that was anomalous, then he was leaping to conclusions; however, data was available to determine whether that was a pattern, and if it was, it might be prudent for the City to take that risk. Mayor Boro noted these units had cost between one-half and one-third the price of the market rate units when they went out the first time, and he SRCC MINUTES (Regular) 5/17/99 Page 14 SRCC MINUTES (Regular) 5/17/99 Page 15 asked, when Mr. Bornholdt returns to Council, that he also provide information on what comparable condominium units are selling for, whether damaged or undamaged, noting it could strengthen Mr. Bornholdt's point regarding the risk. Noting the Housing Authority had the "C" and "D" models, Ms. Baugh reported the larger three-bedroom models were selling for approximately $270,000, and the smaller two-bedroom units were selling for approximately $219,000. Mayor Boro stated the City had already lost eleven of these units, and if the City declined its options on these two, that would leave only five. He believed if the City could find a way to responsibly stem the tide, with minimal risk, it might be worthwhile to pursue this. Regarding Housing Funds, City Manager Gould noted that with the City's commitment to Gordon's Opera House, Council had essentially spoken for the Housing Fund at this time. However, included in that was $250,000 to be used to jump-start the Canal Housing Improvement program, and to date, the City had not been able to get an apartment house under contract. Therefore, if the Council wanted to make an emergency reallocation for this purpose, the City would not be jeopardizing a sale. Mayor Boro stated the City would also know by the 28th whether we had been "redeveloped". In addition, Mr. Gould noted the bond issue would generate additional Housing Funds. However, he cautioned the City did not yet know the extent of the repairs needed for these units. Mayor Boro noted it was interesting the majority of the units already sold were the ones that had no recapture, noting it was not the City's purpose with this program to get a first-time buyer into these units, and then let them make a killing. He stated it was a shame how difficult it was to come up with affordable units, especially of this quality, and in a neighborhood as good as this, and then to lose them. Therefore, he wanted to see if there was any way it might make sense for the City to do something. Councilmember Cohen felt that looking at the City acquiring these units might be the wrong direction, and perhaps the City should look into partnering with a couple of very capable, well funded, not-for-profit, affordable housing developers. He asked, if the City had the option, could the City acquire the units, then turnaround and sell them for cost to a private enterprise dedicated to affordable housing, with some agreement that they be kept affordable? Mr. Bornholdt explained that currently the City actually assigned the option to a qualified buyer; however, the City could assign the option to a non-profit, with some kind of regulatory agreement. He noted EAH currently had four units in Marin Lagoon like that. Mayor Boro asked if they had been able to sustain those units? Mr. Bornholdt stated they had, but he understood it was very difficult for them, noting he would contact them to determine what their experience has been. 18. PUBLIC HEARING - CONSIDERATION OF AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL REPEALING SECTIONS 8.12.030, 8.12.220 AND 8.12.230, AND ADDING CHAPTER 8.18 TO THE SAN RAFAEL MUNICIPAL CODE TO REGULATE THE POSSESSION AND CONSUMPTION OF ALCOHOLIC BEVERAGES ON PUBLIC AND CERTAIN PRIVATE PROPERTY (CA) - File 13-8 x 13-9 X 9-3-16 X 9-3-30 Mayor Boro declared the public hearing opened, and asked for the staff report. Assistant City Attorney Guinan stated that in January of this year, at the direction of Councilmember Miller, the City Attorney's office prepared a draft Ordinance to comprehensively regulate and control the possession and consumption of alcoholic beverages on public property, and on certain private property. After discussion and comments by the Councilmembers, staff re -drafted the Ordinance to address some of the comments the Councilmembers made that evening. He reported changes made by staff included the following: language concerning the definition of "open to public view" was revised to read, "open and accessible to the public", and it was defined and included in the "Definitions" section; the requirement of an ABC (Alcoholic Beverage Control) license for any exception to the alcohol regulations, before such an exception would apply, was deleted; and a section was added to make mandatory the posting of parking lots for multi -residential structures of ten or more units. Mr. Guinan noted Council had also asked that staff circulate the Ordinance and solicit input from members of the public who might be affected by the Ordinance being enacted, and to get their reactions. He reported staff had sent out copies of the re -drafted Ordinance to approximately 100 individuals and organizations, and received very little comment. He stated SRCC MINUTES (Regular) 5/17/99 Page 15 SRCC MINUTES (Regular) 5/17/99 Page 16 two people had called him, noting Ms. Susan Kirby of the Sonoma Bell Apartments had called and indicated she was in favor of the Ordinance, although she did not like the mandatory sign placement requirement, as she felt it might scare off some of her perspective tenants. In addition, Mr. Guinan reported that prior to this meeting, Mr. Tom Nguyen, Manager of the Camelot Apartments had spoken with the Deputy City Clerk, indicating the owner had sent him to the meeting to make sure the City knew they were in favor of enactment of this Ordinance. Mr. Guinan stated the staff report included comments of City staff members from various departments, most notably three comments from the Police Department, in which they suggested the following: 1) redefine the definition of the receptacle of an alcoholic beverage; 2) add to the definition of "parking lot" the wording, "adjacent carports, passageways, and staircases which are open and accessible to the public"; and, 3) delete the mandatory posting requirement. Mr. Guinan stated if Council desired to enact the Ordinance at this time, he had prepared language which would address the three comments from the Police Department. Mr. Guinan noted Police Chief Cam Sanchez was also present to respond to comments. Mayor Boro asked Chief Sanchez why the Police Department recommended the requirement for mandatory posting be eliminated? Chief Sanchez stated the Police Department expected to receive a lot of compliance, and believed the apartment owners and managers would applaud this Ordinance, as they have been asking for help on quality of life issues at their buildings. Chief Sanchez did not believe that forcing them to post the signage would make a big difference. He stated if it was left voluntary, and specific buildings began to have problems, he believed the owners would post the signs. Chief Sanchez noted the goal was not to be so restrictive that people were scared off from renting; however, he felt the City was also obligated to give them the option of putting up the signs or not. Councilmember Miller believed this legislation was a part of good Community Policing, noting it did not come from the Police Department, it came from the community. He noted this was going to help the Police Department in keeping neighborhoods safe all over the City. He stated the good thing about this Ordinance was that it protected Fourth Amendment rights, it came from the community, it was very simple and direct, noting it had been drafted in a manner in which common sense prevailed. Police Chief Sanchez reported he had attended a meeting with over 120 Canal residents to discuss some of the issues in their buildings, and if there was a list of top five concerns, this issue would be number 1 or 2. He noted the people really care about the quality of life, they do not like what they see, and they want some help. Chief Sanchez felt Assistant City Attorney Guinan had done a fine job, and believed this Ordinance would be a great tool to help the Police Department help the residents who really want to take back their buildings, and make them safe and clean. Councilmember Cohen asked, if the City does not have the requirement to post, and a property owner chooses not to post the building, is the Ordinance unenforceable on private property? Mr. Guinan stated that was correct. Mr. Cohen asked Chief Sanchez if he was comfortable with that, and Chief Sanchez stated he was. Councilmember Cohen noted they had commented on the issue of possession of alcohol in parks, and asked if the City was making this tougher, or changing the way Community Services regulates the use of alcohol in public parks? Mr. Guinan stated all he had done was recodify that as part of this comprehensive approach to alcohol regulation, noting it remains the same. He explained that technically, as it exists right now, anyone drinking in a public park may only do so with the permission of the Director of Community Services. Councilmember Cohen asked if people were required to get a license from the ABC (Alcohol Beverage Control)? Mr. Guinan stated they were not, noting he had specifically deleted that requirement from the proposed Ordinance. Councilmember Phillips stated he believed this Ordinance was a plus, and commended Mr. Guinan for drafting it upon Councilmember Miller's initiation. Mr. Phillips asked, since this Ordinance would impact some people who perhaps might not read the newspaper, or the Ordinance itself, how was the City going to communicate the requirements to those who might be in violation? Chief Sanchez stated the Police Department had already begun dialogue with some of the apartment owners and managers, Citywide. He reiterated this was a Citywide issue, and was not designed to be a specific enforcement issue for a specific area. He noted part of the Police Department's plan was to begin an education process with the SRCC MINUTES (Regular) 5/17/99 Page 16 SRCC MINUTES (Regular) 5/17/99 Page 17 apartment owners and managers, making this issue a part of the Community Policing process, along with the healthy housing issue. He agreed it was all about education, acknowledging not everyone was going to read the newspaper. He stated that since the City had come up with this Ordinance, they had an obligation to educate everyone, letting them know what the City will and will not do, what the laws are, as well as the consequences, and go from there. Councilmember Phillips asked what the timeframe would be for the various phases being suggested? Chief Sanchez noted the process of putting this together was still in its infancy. He stated the Police Department wanted to begin this summer, making this issue part of the agendas of the meetings that have already been scheduled, noting this was not going to require additional meetings for those apartment buildings they were dealing with. Councilmember Heller noted the report stated the signs were to be obtained and installed at the owner's expense. She asked if perhaps this could be reviewed after six months to a year, to see if that factor might be keeping some apartment owners from putting the signs up, suggesting that if it did not involve a lot of money, perhaps the City could offer them for free? Chief Sanchez agreed to review this. Mayor Boro stated he had mixed feelings about not requiring the posting of the signs, noting that if the Police Department wanted to get the word out, and wanted to have enforcement, it would seem they would want to have the signs posted. He stated he was willing to go along with their recommendation; however, he would look to Chief Sanchez, if he found that this was not working, to come back to Council for an amendment of the Ordinance requiring the posting of the signs. Chief Sanchez stated they planned to try the program this summer, then review the entire program to see how it is working. Mayor Boro asked if a final Ordinance was to be brought back to Council at a future meeting? Assistant City Attorney Guinan stated that with additional language, based on the comments of the Police Department, he was prepared to present the Ordinance at this time. Assistant City Attorney Guinan amended the Ordinance by including the following language: 1) In the Definitions under Section 8.18.010, Subsection C, on the second line, after the word "can", the word "glass" is to be added, after the word "receptacle", the words "or container of any type" are to be added. Mr. Guinan noted these changes were to make sure it is clear that receptacle means anything that holds alcohol; 2) a new Section would be added to Definitions, to read as follows: "Parking lots include adjacent carports, passageways, and staircases which are open and accessible to the public"; 3) in Section 8.18.050, Subsection C, the mandatory posting requirement is to be deleted, and Subsections D and E are to be re -lettered as Subsections C and D, respectively. The title of the Ordinance was read: "AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL REPEALING SECTIONS 8.12.030, 8.12.220, & 8.12.230 AND ADDING CHAPTER 8.18 TO THE SAN RAFAEL MUNICIPAL CODE TO REGULATE THE POSSESSION AND CONSUMPTION OF ALCOHOLIC BEVERAGES ON PUBLIC AND CERTAIN PRIVATE PROPERTY (As Amended: a) Section 8.18.010 - Definitions, Subsection "C" changed to read, "Open Container of Alcoholic Beverages. The Phrase 'open container of alcoholic beverage' means a bottle, can, glass,or other receptacle or container of any type which contains alcoholic beverage and has been opened, or a seal broken, or the contents partially removed"; b) Section 8.18.010 - Definitions: the addition of a Subsection to read, "Parking lots to include adjacent carports, passageways, and staircases which are open and accessible to the public": c) Section 8.18.050 - Consumption of Alcohol on Private Parking Areas: Delete Subsection "C" referring to the mandatory posting requirement, and re -letter Subsections "D" and "E" to become Subsections "C" and "D", respectively. Councilmember Miller moved and Councilmember Phillips seconded, to dispense with the reading of the Ordinance in its entirety and refer to it by title only, and pass Charter Ordinance No. 1738 to print, by the following vote, to wit: AYES: COUNCILMEMBERS: Cohen, Heller, Miller, Phillips & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None COUNCILMEMBER REPORTS: SRCC MINUTES (Regular) 5/17/99 Page 17 20. a. C-2 SRCC MINUTES (Regular) 5/17/99 Page 18 RE: CHARGING FOR HANGING OF BANNERS - File 9-10-2 x 125 Councilmember Cohen reported he had been contacted by Joy Phoenix on behalf of the Italian Street Painting Festival, concerning the issue of payment for the hanging of banners. He stated her position was that their agency would not have purchased the banners had they been aware that after a period of three years they would be required to pay the City for the privilege of hanging them. Mr. Cohen stated, as he had discussed with Ms. Phoenix, he was not really interested in getting into an investigation of who said what to whom, or what people's understandings were, noting he raised this issue to see whether anyone else wished to consider a waiver of those fees for this particular event. He pointed out the City had recently increased the charges to the Festival for the costs the City incurs, and he did not know what the fee structure was on the banners, relative to the actual outlay of the cost for having someone put them up. He felt, if there was no support for doing anything regarding this, the City should let it go; however, if the other Councilmembers were sympathetic, he noted he might be inclined, for this particular event, to consider a waiver. Mayor Boro recalled the City had met with some of the event sponsors, based upon a letter the sponsors had written, and then the City responded to them in writing, addressing this issue in its response. He felt the best thing to do would be to resurrect the letter, verifying what the City's position had been regarding fees. Mayor Boro noted the City had supported this event extensively in the past; however, now that it had reached a point of maturity, and was obviously making money, at some point the City had to back out. Councilmember Cohen agreed it would be beneficial to review the letter, and see whether or not the issue of the banners was specifically addressed. City Manager Gould stated he was not certain the issue of the banners had been addressed in the letter Mayor Boro referred to. However, he noted staff had totalled the value of all the direct and in-kind services the City provides the Italian Street Painting Festival, and it was considerable. He stated he would provide that information to the Councilmembers. City Manager Gould also asked, if the City offered free banner hanging to this group, on this occasion, how would the City respond to the next non-profit group that also wished to raise money, or had difficulty making its cost, and what would the City do for them? Councilmember Cohen stated his answer would be that if another non-profit put together an event the City chose to highlight as much as it had high -lighted this one, and if the event brought as many people to the Downtown and as much attention to San Rafael as this one does, he might be willing to consider their request. Mr. Cohen believed the job the Italian Street Painting Festival has done was outstanding, and he knew they were raising a lot of funds now; however, he agreed the City also got a lot of exposure and benefit from having that event here. Councilmember Heller asked if staff could determine how much the City would be donating, if they chose to grant a waiver of the fees? Councilmember Cohen stated if the letter did not show the charges for hanging banners, he agreed it would be helpful if they could be given that information. RE: SHELL STATION EXPANSION IN TERRA LINDA - File 9-2-52 Councilmember Phillips stated the owner of the Shell Station in Terra Linda was in the process of further developing his station to include a car wash, noting the proposal had already gone through the Design Review Board, and a number of other steps. Mr. Phillips reported this proposal had also been presented to the Vision in Action group (VIA), stating he had attended the meeting at which this was presented, and it struck him, in listening to the debate, that the Vision in Action Committee might not be clear as to the role they are playing with regard to these projects. He noted this involved a service station that has long been in existence, making a fairly minor adaptation. Mr. Phillips encouraged staff to review what the expectations are regarding the role of the Vision in Action Committee when it comes to these kinds of actions. City Manager Gould reported Community Development Director Brown has done a good job of reminding them, every other meeting, that the Vision in Action Committee is not the North San Rafael Planning SRCC MINUTES (Regular) 5/17/99 Page 18 SRCC MINUTES (Regular) 5/17/99 Page 19 Commission. Mayor Boro stated the key might be to come up with some kind of guidelines as to what the City expects the Committee to do, noting what comes before them is in compliment to the Vision. He questioned whether, in this case, it was even necessary for the project to have gone before that Committee. Mr. Gould stated he did not believe every development application north of the hill needed to be passed by the VIA Committee. Mr. Phillips noted the timing was critical in this particular case; therefore, it was a little bit of an annoyance and a disturbance, and the service station owner did not yield very much. Mr. Gould stated that on projects presented to the VIA Committee, the only question before them is "Yes" or "No", does it conform to the Vision, "Yes" or "No"? There being no further business, the City Council meeting was adjourned at 10:00 PM. JEANNE M. LEONCINI, City Clerk APPROVED THIS DAY OF 1999 MAYOR OF THE CITY OF SAN RAFAEL SRCC MINUTES (Regular) 5/17/99 Page 19