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HomeMy WebLinkAboutCC Minutes 1993-02-01SRCC MINUTES (Regular) 2/1/93 Page I IN CONFERENCE ROOM 201 OF THE CITY OF SAN RAFAEL, MONDAY, FEBRUARY 1, 1993, AT 7:00 PM CLOSED SESSION 1.DISCUSSION OF LITIGATION AND LABOR NEGOTIATIONS - File 1.4.1.a No. 93-3(a) - #1 - Alan Titus & Marjorie Goldman vs. City of San Rafael No. 93-3(b) - #7 No reportable action was taken. IN THE COUNCIL CHAMBERS OF THE CITY OF SAN RAFAEL, MONDAY, FEBRUARY 1, 1993, AT 8:00 PM Regular Meeting: San Rafael City Council Present: Albert J. Boro, Mayor Dorothy L. Breiner, Councilmember Paul M. Cohen, Councilmember Michael A. Shippey, Councilmember Joan Thayer, Councilmember Absent: None Others Present: Pamela J. Nicolai, City Manager David Walker, Assistant City Attorney Jeanne M. Leoncini, City Clerk ORAL COMMUNICATIONS OF AN URGENCY NATURE None CONSENT CALENDAR Councilmember Breiner moved and Councilmember Thayer seconded, to approve the recommended action on the following Consent Calendar items: ITEM 2. Approval of Minutes of Regular Meetings of December 21, 1992, January 4 & 19, 1993 (CC) 3a. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL RESCINDING ORDINANCE NO. 1612 WHICH AMENDED THE ZONING MAP OF THE CITY OF SAN RAFAEL, AND RECLASSIFIED CERTAIN REAL PROPERTY IN THE TERRA LINDA AREA FROM R-1 (SINGLE FAMILY RESIDENTIAL) TO PD (PLANNED DEVELOPMENT), 1 TRINITY WAY; AP #175-181-26 (St. Isabella's) (Pl) - File 10-3 x 10-5 x 10-7 3b. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL, RESCINDING CITY COUNCIL RESOLUTIONS NO. 8624 AND NO. 8625 AND SETTING ASIDE APPROVAL OF A NEGATIVE DECLARATION, REZONING, SMALL SUB- DIVISION, USE PERMIT AND ENVIRONMENTAL AND DESIGN REVIEW PERMIT (S91-6, UP91-53, ED91-69) FOR A 62 -UNIT AFFORDABLE SENIOR HOUSING PROJECT (St. Isabella's), 1 TRINITY WAY; AP #175-181-26 (Pl) - 4. Resolution of Intention to Vacate Storm Drain Easement - Northgate One Shopping Center (PW) - RECOMMENDED ACTION Approved as submitted. Passed Ordinance No. 1643 to Print. ADOPTED RESOLUTION NO. 8815 - RESCINDING CITY COUNCIL RESOLUTIONS NO. 8624 AND NO. 8625 AND SETTING ASIDE APPROVAL OF A NEGATIVE DECLARATION, REZONING, SMALL SUBDIVISION, USE PERMIT AND ENVIRONMENTAL AND DESIGN File 10-3 x 10-5 x 10-7 REVIEW PERMIT (S91-6, UP91-53, ED91- 69) FOR A 62 -UNIT AFFORDABLE SENIOR HOUSING PROJECT (St.Isabella's) 1 TRINITY WAY; AP #175-181-26 ADOPTED RESOLUTION NO. 8816 - RESOLUTION OF INTENTION TO File 2-12 x 9-3-40 VACATE EXISTING STORM DRAIN EASEMENT - NORTHGATE ONE SHOPPING CENTER, SAN RAFAEL, CALIFORNIA (Public Hearing set for 3/1/93 @ 8:00 PM in Council Chambers, City Hall) SRCC MINUTES (Regular) 2/1/93 Page 1 SRCC MINUTES (Regular) 2/1/93 Page 2 5. Request to Convert Assignment of City Car to Auto Allowance for City Manager (CM) - File 9-3-11 6. Resolution Authorizing Contract with Wihlborg Design (WD) to Complete Plans and Specifications for Albert Park Improvements (Rec) - File 4-3-258 x 12-5 x 9-3-66 Approved request (Converted to a $320/mo. Car Allowance, effective 2/1/93) ADOPTED RESOLUTION NO. 8817 - AUTHORIZING THE SIGNING OF A CONTRACT, LEASE OR AGREEMENT WITH WIHLBORG DESIGN (WD) TO COMPLETE PLANS AND SPECIFICA- TIONS FOR ALBERT PARK IMPROVEMENTS (from 2/1/93 thru 12/31/93) AYES: COUNCILMEMBERS: Breiner, Cohen, Shippey, Thayer & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None ABSTAINED: COUNCILMEMBERS: Councilmember Shippey abstained from the Minutes of 12/21/92 and 1/4/93 only due to absence from meetings. Mayor Boro and Councilmember Cohen abstained from the Minutes of 1/19/93 only due to absence from meeting. SPECIAL PRESENTATION 7.PRESENTATION OF RESOLUTION OF APPRECIATION TO RUTH BLANCO, MEDIATOR WITH THE CALIFORNIA STATE MEDIATION AND CONCILIATION SERVICE - File 102 x 7-4 x 9-3-11 Mayor Boro made a presentation of the Resolution of Appreciation to Ruth Blanco, Mediator with the California State Mediation and Conciliation Service, who is leaving for another position with the State. Ms. Blanco responded that the City of San Rafael has been a very special client, and she has enjoyed their working relationship. 8.PUBLIC HEARING TO CONSIDER AN ORDINANCE OF THE CITY OF SAN RAFAEL AMENDING ORDINANCE NO. 1584 ENTITLED, "MOBILEHOME RENT STABILIZATION ORDINANCE" TO ADD NOTICE REQUIREMENTS, REVISE SECTION 20.04.040 TO INCLUDE VACANCY CONTROL AND FREEZE PROVISIONS, ADD BUYERS' RIGHTS AND PROHIBIT PASS-THROUGH CHARGES (CA) - File 13-7-1 x 9-3-32 x 9-3- 16 Mayor Boro opened the Public Hearing. Assistant City Attorney David Walker briefed the Council, explaining that the proposed Ordinance would repeal vacancy decontrol and would not allow the park owners to increase the rent upon the vacancy or the sale of a mobilehome within the park. Secondly, it would freeze the rents of those spaces which have previously been subject to an in-place transfer or the expiration of a rental agreement in excess of 12 months, at the rent which was last charged before the expiration of the rental agreement or the sale or transfer, and that rent would be frozen until such time as comparable rent in the mobilehome park reached the same level as the last adjusted rent. Third, there would be new notice requirements to a prospective buyer or the tenant. Fourth, the amended Ordinance expressly exempts new construction, which is any newly constructed spaces initially offered or held out for rent after January 1, 1990. Fifth, the Ordinance extends the time for owners and/or operators to file a petition for rent review hearings, from 30 to 45 days. Sixth, the Standards of Reasonableness for the arbitrator to consider in case there is a challenge to the rent control for a particular space, and other matters, has been amended to reflect recent court decisions that prohibited certain pass-through charges, capital improvements, capital replacements, and debt service costs due to refinancing. Finally, the Ordinance provides the park owner with a fair return hearing if he feels he is not getting a fair return for the space under the Rent Control Ordinance. Mr. Walker directed the Council's attention to the backup data which staff has found. He explained that when a buyer wished to rent a space within the park from the owners they were given by the owners of Contempo Marin a chart showing what the new rent would be. He noted attached were the rates for Contempo Marin on November 10, 1992, October 10, 1992, September 10, 1992, August 10, 1992 and October 10, 1991. He also noted that a review of these forms showed that the rents in almost all instances showed an increase of over $100. Mr. Walker pointed out that, in addition, there was a study attached to the staff report which shows the income level of most of the residents of the park. He noted that 610 are low income and 31% are at the very low income level. He stated that people with very low incomes are being subjected to rent increases in excess of 20o in most instances. SRCC MINUTES (Regular) 2/1/93 Page 2 SRCC MINUTES (Regular) 2/1/93 Page 3 Mr. Walker further explained that this issue came about because of the Council's action after the Hall vs. Santa Barbara and Yee vs. Escondido, and the hardships created by vacancy decontrol with particular emphasis on the proposed space rent increases in the event of in-place transfers and the inability of the mobilehome owners to sell their homes. He noted that the Yee vs. Escondido decision overruled the Hall vs. Santa Barbara, and many agencies have reinstituted vacancy control. Mr. Walker added that there are presently two cases with hearings pending before the Supreme Court in the Los Angeles area with absolutely opposing results on the issue of vacancy control. He stated it is staff's feeling that the majority of courts, including the U.S. Supreme Court, have indicated there would not be a regulatory taking as a result of a vacancy control Ordinance. Mayor Boro stated that it is his understanding that if one of these pending cases did prevail, opposing what we are attempting to do, that there would be some liability for the City but it would be basically only for those transactions which would transpire between when they adopt the Ordinance if we do so, and when that court case is resolved. Mr. Walker responded that is correct. Councilmember Shippey noted that on Page 8 of the Ordinance there is a schedule of increases, so he assumes we are not freezing rents but holding them down. Mr. Walker explained that annual rent increases are permitted, subject to the CPI Index. Mr. Shippey then inquired about the date of October 16, 1989, referenced on Page 9 of the Ordinance, and asked if that date is significant. Mr. Walker explained that was the date of the rent stabilization Ordinance. Because of the Hall vs. Santa Barbara case, the vacancy control had to be deleted from the Ordinance. Mr. Shippey then inquired about "Retaliation" on Page 22 of the Ordinance, about an Operator not being allowed to retaliate against a homeowner. Mr. Walker explained that section was not amended, but was in the original Ordinance, and has been in effect since 1989, and it provides a remedy to a homeowner who feels that the operator is retaliating against him. Mayor Boro stated he understands the retaliation covers all of the parties involved, not just the operators but also the homeowners, and is an all-inclusive regulation. Mr. Shippey asked if that would be an effective deterrent, and Mayor Boro replied it will be there in case it is needed. Councilmember Thayer questioned the freezing of rents for transfers between the time the Council enacts this Ordinance and the time the court decision was made which resulted in this action tonight. She inquired, what is wrong with a roll -back? Mr. Walker responded that the City Council, when they considered vacancy control had not finally enacted the Ordinance. It had the language for vacancy control when the original Ordinance was first read, and when it came back in final form that was deleted because of the Hall decision, so vacancy control was never enacted. He stated for that reason it is easier to support a freeze than a roll -back, and added that Sonoma and Fremont have done so. Mrs. Thayer stated she does not think that at this point in time there have been any cases with regard to roll -backs. Mr. Walker stated that there have been none at the Appellate level, and if there were trial court decisions he is not aware of them. Stan Yates, representing Contempo Marin Homeowners, expressed thanks to the City Council and staff for recognizing the urgency of this problem. He stated that the proposed amendments to the Mobilehome Rent Stabilization Ordinance have been found to be acceptable and we believe they will serve toward the goal of maintaining affordability of homes in Contempo Marin Mobilehome Park. He added we believe the Ordinance to be fair and equitable in that it would give a fair and equitable return to the owners of the land upon which the Park is situated, and it should limit the exorbitant rent increases imposed upon the homeowners, thereby maintaining the affordability for those living in Contempo Marin. Mr. Yates also extended thanks to all of the organizations and individuals who have come to their aid on this issue. Mr. Yates then cited individual instances of hardship caused by residents not being able to sell their homes because of the lack of vacancy control, and reported that homeowners in many cases had to significantly lower their selling price for this reason and that in spite of it many homes still did not sell. Mr. Yates reported on the problem of persons moving into the Park who are required to have a multi-year lease, guaranteeing 5% increases for each of the 5 years. He cited figures showing that a $598 per month rental would go to $727 in the 5 years. Barry McCabe, President of DeAnza Assets, owners of Contempo Marin Mobilehome Park, thanked the Council for the opportunity of speaking, and noted that he had provided a written presentation covering the proposed Ordinance amendments. He stated he questions several substantive areas of the Ordinance and the review process which is being followed. He stated that DeAnza has no objection to those provisions if the Council feels that the rights of the residents can be better protected. He then stated that the requirement of notice to prospective residents covers a lease of 12 SRCC MINUTES (Regular) 2/1/93 Page 3 4 SRCC MINUTES (Regular) 2/1/93 Page months or less. He noted that the Civil Code states that they can request a lease of 19 months or less, and that refers to people already living in the Park. He added that a person who has not yet made the final decision is not burdened by the cost of moving, and other expenses, and this assumption is erroneous on its face. Mr. McCabe stated that the pass-through provisions are perplexing and he is not sure why they are proposed. He explained that DeAnza has never sought to impose a pass- through charge on a tenant whether or not they are a leaseholder. He added they reserve the right to make pass-throughs as part of the rent in very limited circumstances such as where a City or County imposes certain acceptable improvements not required in the past. He stated that offhand he cannot remember any which DeAnza has imposed in the State of California. Mr. McCabe stated he assumes the vacancy control provisions are to protect the price levels in the Park and he can understand that; however, people throughout the State are experiencing devaluation. He stated it is not necessary, or called for. He reported that in October of 1989 when the City passed the Rent Control Ordinance it was a turning point, and when he came before the Council at that time he was not warmly received. However, the Ordinance was well written and the Council was attentive to the concerns of the homeowners. He stated the Ordinance was well constructed, and fair, and DeAnza has complied in every way. Mr. McCabe then addressed the rents for new residents moving into the Park. He stated they spent two or three months on a study to determine how they were going to set those rents. They did not want them to be arbitrary, and wanted a free market condition, and to make sure the rents would not adversely affect the resale value of homes in the Park, and that over time the rent levels would have been the same as in a free market system and that rents in the Park would be moderate and controlled. He explained that in their study they used, the latter part of the appendix in the presentation materials contains a complete explanation of the indexed system for setting rents for new tenants, and a monthly record of average new tenant rent levels since the system began. He then analyzed the report for the Council, and stated that the Bay Area percentage of home values is 40 less than in 1987, whereas Contempo Marin values are higher than the Bay Area. He pointed out that all of California is suffering in this adverse economy, and Contempo is part of it. Mr. McCabe stated that if vacancy control were to pass, the effect would be that the sellers of homes in Contempo would not only be a little better than the market, but much better than the general marketplace. He suggested to the Council that it is not a legitimate legislative practice to take away from the property owner and give to another. He noted that both cases to which Mr. Walker referred simply said it is not a physical taking. He added that regulatory taking is left to the California courts. Mr. McCabe stated that if vacancy control is implemented, the buyers will pay higher interest and not the owner, but only the persons who will be living in the Park. He stated that the rent freeze has no legitimate legislative purpose. He added that these are not rents charged to someone wanting to get out of the Park, and the buyers knew the terms of the lease when they were buying the homes. He noted that this is a different circumstance than in 1989 when people had no idea what the next year's increase would be. He asked that the Council do what their predecessors did in 1989, to look at this fairly and look at the effects, and look at the law, and not invite divisiveness. He stated he realizes that the voice of constituents is very loud, and the Council needs to understand the facts, and the law. He asked that the Council vote against the Ordinance or, at the very least, put off adoption until they can study it. Jake Tillotson, President of the San Rafael Housing Corporation, spoke in support of the Ordinance, which the organization has unanimously endorsed. He stated he is also a member of the National Association of Realtors, and the California and the Marin Associations of Realtors. He added that this is not a dismal market as was stated, and someone owning a mobilehome is being held hostage since if they have to leave due to conditions they have to leave their home in place. He stated this control is not on the rent of living space, but on the rent of grounds, and we should all keep that in mind. Marjorie Barling, a Contempo Marin resident and a realtor, referred to the figures given by Mr. McCabe that the average price of a mobilehome in 1987 was $43,000 and in 1992 was $54,500. She explained that the newer mobilehomes moved in would raise the average price but not the median. She stated, if you have a given amount of inordinately high rental it clearly affects the value of the mobilehome, but also the purchaser's ability to buy. Greg Girard, a Contempo Marin resident, stated this Ordinance will falsely appreciate the value of the homes, and thereby lock out thousands of people in the housing market of Marin. He stated that perhaps the houses are not worth what people are asking for SRCC MINUTES (Regular) 2/1/93 Page 4 5 SRCC MINUTES (Regular) 2/1/93 Page them, but for people such as himself who are low income people, the houses are over- priced and out of the market for people like him, and he sees this Ordinance as preventing more people like him from realizing the American dream. Camilla Yost stated she is a recent purchaser of a home in Contempo, and noted that the man who just spoke is an employee of the Park. She stated that when you combine the rent we are paying for the grounds, and the mortgage payment we are paying, we pay more than we would per square foot for any other housing in Marin County. Marian Flobeck, a Contempo resident since 1980, stated that since she moved in, the rent has gone up an average of $25 a year. She explained that she retired in 1990 and can no longer afford to live in Contempo. Her home has been on the market for two years, and it is fairly new. She stated she cannot afford the space rent of $700 per month, since by the time she pays the mortgage, there is not enough money. She added she cannot afford to live there, and cannot leave, and the Council is her only hope. Dorothy Skufca, a Contempo resident since 1988, a Homeowners Association Board Member and past President, noted that rents were approximately doubled in a four-year period. She noted that fortunately since 1989 we have had rent control and protection from excessive increases, but now Ordinance No. 1584 needs revising, and what is being proposed is to keep rents for those who come into the Park on resale from increasing beyond the affordability index. Ms. Skufca explained that the affordability index term was borrowed by the Park owners from the National Association of Realtors, and they used it in assessing a buyer's ability to afford a mortgage. She thanked the Council for including the vacancy control in the amended Ordinance. Ms. Skufca stated that the leases are very punitive for new tenants. She added that this Ordinance will be a positive step in maintaining affordable housing. Paul Deffebach of the Western Mobilehome Association, stated he is not an attorney, although many of the issues tonight are of a legal nature. He asked why are the Park owners so passionate about vacancy decontrol and the residents the same way about vacancy control? He stated that the price is set by the owners in valuing the land and that is what they look at in terms of rent. He stated that another consideration is what the residents charge the incoming tenant for purchasing their home. He added it is important to recognize that there is a sharing of equity which is going on, which has not been realized yet. Mr. Deffebach then discussed prices of mobilehomes, and stated that in Marin affordable means below market rate. He stated that the value is in the land. He pointed out that mobilehomes have a Blue Book, and some lenders have been lending three times the value of the home. He stated there are many things to consider here, including the fact that vacancy control will lower the value of the mobilehomes. Paul Sesto, an 18 -year resident of Contempo, state he bought his mobilehome 18 years ago at a cost of $23,000, for a 1,350 sq. ft. home. He had it appraised last year, and with all of the improvements such as new decking, awnings and carport, it was appraised at $50,000. He stated he was contemplating buying a new mobilehome, but the new home of the same size would cost approximately $60,000 for just the basics. He stated that buying a new mobilehome with 20o down would cost him more than buying a quarter -million dollar home on the market with an adjustable loan. Joyce Bagala, who has been a Contempo resident for almost 18 years, informed the Council that if you call your bank and want to take out a loan, the bank will not consider mobilehomes as collateral. She stated we do not have access to the money which conventional homeowners have. Shirley Fischer, a Terra Linda resident, stated that Contempo Marin has been one of the key affordable housing sites in this area. She stated that the Council is well aware of how hard it is to build more affordable housing in this area, and she heartily endorses this Ordinance to preserve affordable housing in the long term. Sharon Brown, a Contempo resident, stated she has had her house on the market for 8 months. She noted that those residents who have had their houses up for sale have been told by several potential buyers that they were not buying because of the high space rent. She added that a neighbor had to leave, to return to her home country, and she had at least ten people tell her they would like to buy her house, but the space rent would be between $600 and $700, on top of the mortgage. She stated that is why their homes are not selling. There being no further public input, Mayor Boro closed the Public Hearing. Councilmember Thayer recalled that in the past some residents were paying 18% increases per year under the new ownership, and that was the reason the Rent Stabilization Ordinance was enacted. She stated it is outrageous to state that high space rent in SRCC MINUTES (Regular) 2/1/93 Page 5 SRCC MINUTES (Regular) 2/1/93 Page some way preserves affordability. In other words, residents are not entitled to their fair share of the value of their property. She said she has no hesitation in strongly recommending this Ordinance be passed. Councilmember Breiner stated that the record will show that the Council has worked very hard over the years to preserve whatever affordable housing we have had in the City, and we have always recognized that the greatest cluster of attractive affordable housing units was out at Contempo Marin. She stated that the necessity for passing this Ordinance is indisputable, because we saw what happened when we did not have vacancy control, and she thoroughly supports this Ordinance. Councilmember Cohen stated he would respond to comments made by Mr. McCabe and Mr. Deffebach regarding mobilehome parks about restoring market conditions through rent structure. He stated the original reason for the original Ordinance was because the Council recognized that perhaps market conditions in this relationship do not operate for the public good. He stated he thinks that still holds true. He added that he understands these vacancy control provisions would have been included had it not been for the Hall vs. Santa Barbara decision, so when Mr. McCabe stated that Council exercised good judgment he should realize that good judgment would have also extended to the provisions in the Ordinance before them tonight. Mr. Cohen noted that both Mr. McCabe and Mr. Deffebach discussed this as an equal partnership in the equity and increases in the overall costs of housing in mobilehome parks. He stated he does not find that to be a compelling argument. Mr. Cohen stated he agrees with the findings in the recommended Ordinance, and he feels this is an inherently unequal relationship. He stated he appreciates the real estate professionals pointing out the differences in the statistics presented this evening, between Bay Area market conditions and Marin County market conditions. He stated the Council has received a preponderance of evidence over the past several months while this Ordinance was being considered. He stated he is prepared to support this Ordinance. Councilmember Shippey stated this is an easy decision. He remarked that coming back to the comments of some of the residents, if he should find himself in a similar position as some of the residents, he hopes someone on the Council will do the same for him. Mayor Boro stated that the Council has been tracking this issue with Assistant City Attorney Walker for many months because they knew there were issues which would possibly impact the City. He added there still are issues pending, but he feels that the risk to the City on the legal issues is minimal, in relationship to the benefits that the people in Contempo Marin will receive if we go forward. He stated the issue is preserving the affordable housing stock, not only for the current residents, but when the new residents come in, it will be affordable for them as well. The title of the Ordinance was read: "AN ORDINANCE OF THE CITY OF SAN RAFAEL AMENDING ORDINANCE NO. 1584 ENTITLED 'MOBILEHOME RENT STABILIZATION ORDINANCE' TO ADD NOTICE REQUIREMENTS, REVISE §20.04.040 TO INCLUDE VACANCY CONTROL AND FREEZE PROVISIONS, ADD BUYERS RIGHTS AND PROHIBIT PASS- THROUGH CHARGES" Councilmember Breiner moved and Councilmember Shippey seconded, to dispense with the reading of the Ordinance in its entirety and refer to it by title only and pass Charter Ordinance No. 1644 to print by the following vote, to wit: AYES: COUNCILMEMBERS: Breiner, Cohen, Shippey, Thayer & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None 9.PUBLIC HEARING - TO CONSIDER RATES FOR REFUSE COLLECTION SERVICE AND RECYCLING SERVICE (Fin) - File 4-3-32 Mayor Boro opened the Public Hearing and noted there was a staff recommendation to continue this Public Hearing to March 1, 1993. Councilmember Breiner moved and Councilmember Cohen seconded, to continue this Public Hearing to March 1, 1993. AYES: COUNCILMEMBERS: Breiner, Cohen, Shippey, Thayer & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None 10.ESTABLISHMENT OF COMMUNITY SERVICES (MELLO-ROOS) DISTRICT CFD 1992-1, LOCH LOMOND #10: (PW) - File 6-50 x 5-1-297 x 9-3-40 a. APPOINTMENT OF REPRESENTATIVE TO ACT FOR PROPERTY IN RESPECT OF MAILED -BALLOT, SRCC MINUTES (Regular) 2/1/93 Page 6 7 SRCC MINUTES (Regular) 2/1/93 Page LANDOWNER ELECTION - To be filed. b. WAIVER AND CONSENT SHORTENING TIME PERIODS AND WAIVING VARIOUS REQUIREMENTS FOR CONDUCTING MAILED -BALLOT ELECTION - To be filed. C. CERTIFICATE OF ENGINEER - To be filed. d. CERTIFICATE OF CITY CLERK RE: WAIVER AND CONSENT - To be filed. e. RESOLUTION OF FORMATION OF COMMUNITY FACILITIES DISTRICT AND TO LEVY A SPECIAL TAX f. RESOLUTION CALLING SPECIAL MAILED -BALLOT ELECTION g. THE ELECTION WILL HAVE BEEN CONDUCTED, CONTINGENT UPON THE ADOPTION OF THE FOREGOING RESOLUTIONS h. CITY CLERK'S CERTIFICATE OF ELECTION RESULTS - To be filed. i. RESOLUTION DECLARING ELECTION RESULTS City Manager Nicolai explained that there are a couple of issues still to be worked out and staff would like to have this item continued to the meeting of February 16, 1993. Councilmember Thayer stated she has a real concern regarding the $500,000 to be deposited or advanced by the developer. Her concern is how it interplays with the amount for maintenance. She inquired, will there always be $500,000 in the fund to protect us with our deductible? Also, the Clerk of the Works was not mentioned the last time around, and this should be in the conditions of approval, and should be mandatory. Councilmember Thayer moved and Councilmember Breiner seconded, to continue this item to February 16, 1993. AYES: COUNCILMEMBERS: Breiner, Cohen, Shippey, Thayer & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None 11.UPDATE ON DAY LABOR CENTER (CM) - File 231 x 9-2-43 x 218 x 9-3-11 Mayor Boro noted that the issue of a Job Center has come before the Council due to complaints of residents and business people because of people standing on the streets waiting to be hired. He stated the City is not interested in inventing something, members of the Council and others visited a Southern California town called Brea, and are modeling this center on the Brea center. He stated that the Assistant City Manager will give a report about the location and plans, and discuss a Non - Solicitation Ordinance. Assistant City Manager Suzanne Golt gave an update on the Job Center site. She noted that since the Council's approval of the Job Center in May of 1992, many months were devoted to working with the Golden Gate Bridge District to obtain a portion of the Park and Ride Lot on Andersen Drive for the Job Center. Several months transpired before the District received word in October from one of the two Federal agencies that approval for the alternative use was going to be very difficult, if not impossible, to achieve. She stated that staff has been evaluating other sites all along, with particular emphasis on this task since the October information on the District property. Ms. Golt reported that, of the many sites evaluated, staff recommends that a lot in the 800 block of Andersen Drive be the location for the Job Center. She explained that the site is about 7,200 sq. ft. in size, and preliminary review by the engineering staff indicates that the site will work. Ms. Golt further explained that if the City Council approves of locating the Job Center in the City lot on Andersen Drive, the City must obtain a Use Permit. She added that the Use Permit process would include an operational analysis of traffic considerations from a safety and operational standpoint, such as questions whether the lot is large enough to permit easy entry and exit without impeding traffic flow. She explained that the Use Permit review is expected to take approximately six to eight weeks, which would tie in well with the goal of opening the Job Center in early Spring (April or May), 1993. Ms. Golt addressed alternative job center program information, stating that the City of Laguna Beach has been operating a Day Worker Hiring Hall for approximately three and SRCC MINUTES (Regular) 2/1/93 Page 7 I SRCC MINUTES (Regular) 2/1/93 Page one-half years. The Hiring Hall is city -sponsored, and was implemented in response to residents' objections to day workers congregating on the streets seeking employment. Ms. Golt reported that the city had devoted considerable staff time when the Hiring Hall program was started, in activities such as advertising, public relations with workers and employers alike, printing and distributing fliers, providing free bus rides for the workers from the previously used locations to the Hiring Area, and so on. Ms. Golt informed the Council that the Job Center Advisory Board discussed the pros and cons of an unstaffed job center program such as the Laguna Beach Hiring Area, at their meeting on January 5, 1993, and they felt that the unstaffed program would not work in San Rafael for two primary reasons: 1) There are many more individuals seeking work in San Rafael than in Laguna Beach. Estimates range from 200 up in San Rafael, whereas Laguna Beach has well under 100 on any given day; 2) The Laguna Hiring Area is located in an area with fewer businesses than the proposed site for San Rafael, there are no sidewalks in their area, and much of the land is unoccupied. For those reasons if workers spill out of the designated hiring area the consequences do not infringe on businesses to any great degree. However, because of the fairly dense business presence in the proposed area for the San Rafael Job Center, it will be important that the workers remain on site. Ms. Golt explained that the Advisory Board members felt that this will not be possible if there is no staff at the Job Center to ensure that the workers remain on the Center's lot. Ms. Golt then discussed the Non -Solicitation Ordinance briefly, stating that such an ordinance was considered last May (1992) to prohibit soliciting employment in San Rafael, except at job centers. She stated that the draft Ordinance, which was reviewed by the City Council, would prohibit day workers and employers alike from solicitation of employment activities. Ms. Golt pointed out that the City Council had opted not to implement such an ordinance but, instead, preferred to achieve high usage of the Job Center through promoting the Center through various means. She concluded by stating staff would like the Council's approval so they could start the Use Permit process. Ms. Golt added, in relation to the Non -Solicitation Ordinance, that in order to enforce it you actually have to prove that an employment transaction has occurred, much like a sting operation. She added it would still not be illegal, but just banned on the streets. Councilmember Cohen inquired if Ms. Golt had spoken with people from Laguna Beach, and she responded that she had spoken with the Community Services Officer in the Police Department, who has the day-to-day responsibility for monitoring their program, and also met with the Police Chief and Deputy City Manager to discuss the various aspects of their program. Councilmember Cohen then inquired, what is their general sense of how their program works. Ms. Golt responded they felt it was reasonably successful in getting people off the streets. She added that a few workers drift back to the locations where they used to go. She added that when she was there, the Council had just directed the City Attorney to prepare a non -solicitation ordinance. They hope that the ordinance will help to reduce the "spill-over". The ordinance is not yet finalized. Councilmember Thayer inquired, if there is no non -solicitation ordinance in effect, what is the enforcement mechanism if an employer picks up a worker and their business is outside the City limits? She stated it is her understanding that it would also be imposed against those who employ the people on the street corner. Ms. Golt responded that it is a two-pronged approach, for the workers and the employer alike. She explained that if it is proven that an employment transaction has occurred, in a city which has such an ordinance, one of the recourses is that the employer can be forced to have the proper business licenses for their particular city, if the work is to be done in that city. She added there is usually a penalty, in the form of a fine. Mrs. Thayer inquired, if no words are spoken and a vehicle comes by and picks people up, a police officer would have to follow them to the job site. Ms. Golt agreed that is true. She added that some communities adopt a sting approach on the street, with a police officer posing as an employer. Councilmember Shippey stated we want to make as certain as we can, that any ordinance we adopt will not be overturned in the courts. Mr. Walker pointed out that this is a preliminary draft and we would research all aspects before bringing it back to the Council. Mayor Boro mentioned that the City Attorney is not here tonight because of a family emergency, but that he had spoken to him today about the question just raised by Councilmember Shippey, and if the Council directs the drafting of a non -solicitation ordinance the draft before the Council tonight will be updated with the latest case SRCC MINUTES (Regular) 2/1/93 Page 8 SRCC MINUTES (Regular) 2/1/93 Page law and what is happening in other cities. Mayor Boro added that if the Council decides to consider such an ordinance there would be public hearings when it comes back to them. Ms. Golt informed the Council that the Job Center Advisory Board also took a look at the proposed Ordinance and, like the previous Job Center Committee, this Advisory Board feels that primarily because of the difficulty in enforcing such an ordinance, that promoting the Center in a more positive light is the way to go, and make certain that it is used properly. If that fails, they feel it would be appropriate to consider the Ordinance. Mayor Boro pointed out that this agenda item is not a formal public hearing, but he is aware that a number of people will wish to speak. He asked that when they approach the podium that they identify themselves and keep their remarks to a two -minute limitation. He asked that the speakers try not to be redundant, in the interest of time. Tom Wilson, Executive Director of the Canal Community Alliance, thanked the Council for their work on the Job Center and their decision to defer the Ordinance. He referred to "hate mail" he had received and furnished to the Council. He added he feels that passing a non -solicitation ordinance at this time would be unwise. He stated that the workers should use the Job Center, and he asked the Council to consider the needs of all residents in the community. He added that the day workers will have a dignified place to find work and the business owners will have unimpeded access to their businesses, to which they are entitled. Rick Oltman, Director of the Marin Immigration Reform Association, asked what has race got to do with this, and does a person's race exempt them from our laws? And do we enforce our laws based on a racial quota? He stated he does not think so, and it is a cry we hear when all other arguments are expended. He stated his group opposes the hiring hall because it is wrong for the City to sponsor a hiring hall for illegal aliens in our community. He stated that when you attack something you discourage it, and when you subsidize something you encourage it, and a City -sponsored hiring hall will encourage more illegal aliens to come into our City. He noted there will be ancillary services in addition to the hiring hall, such as employment information. He stated his group is asking the Council not to subsidize this magnet for illegal immigrants, and send the message that the Immigration Service is welcome to do lawful operations in Marin County and that we do not want to have this influx in our community. Mr. Oltman added that Mr. Wilson, the head of the Canal Community Alliance, is quoted in the newspaper as saying he would like to have Marin County become a sanctuary County. He added that if Mr. Wilson did make that comment, that he should lose his job at the Alliance, because he is advocating that we break the law in Marin County. Manuel Castro, a Canal resident, stated that the hiring hall should proceed, that it is a good idea because the street is not a good place for us and this is a good way for us to get a job, not just for Latin Americans, but for all the people. Michael Driskill, a San Anselmo resident, stated his family had immigrated from Canada in 1960, and had to meet strict criteria such as a guaranteed job and enough money in the bank. He stated what we are talking about here is inviting people to come here illegally. Barry Bremer, General Manager of Jacopi's Body and Paint Shop, stated that when the City gave notice about using this site, he gave notice to his tenant, and five people will be out of work in one month. He pointed out that in January of 1994 CalTrans will be putting a freeway pillar in front of his building which will take out his parking lot. He added that the Job Center will take out the back parking lot, and if Jacopi's Body and Fender goes out of business, 25 people will be out of work. He stated he does not think this is right. Ray Batmale, stated he owns the parking lot whose lease was terminated today. He stated he has been in business for 31,� years on this site. He has a good business and has paid his taxes, and hopes that this project does not go through. Sal Guzman, a Canal resident, stated that the divisiveness on this project is painful. He added he was impressed earlier by Councilmember Shippey's remark that if someone should lose their home that there would be someone to speak for them. He stated that the American spirit is to welcome people who are impoverished, and they open their hearts to them. He congratulated the members of the Council who support the hiring hall and hope they will continue to. Alice Vipiana, a San Rafael resident with property in the Canal, pointed out that the Councilmembers are expected to uphold the laws of the country, and it distresses her SRCC MINUTES (Regular) 2/1/93 Page 9 10 SRCC MINUTES (Regular) 2/1/93 Page that our elected officials are cooperating with an illegal situation. She questioned what kind of example is being set for the children of this country. She stated she is conducting her own boycott against shopping in San Rafael. Janice Harmon, President of the Business and Property Owners in the Canal area, noted that the number of men on the streets has vastly increased. She stated she is in opposition to the location of the Job Center and lack of acknowledgement of the ever- increasing illegals. She recommended that the Job Center plan be scrapped, and have a non -solicitation ordinance for all other areas of the City, and have a place away from the busy areas of the City where the laborers can stand. She stated they are not asking the City to enforce the Immigration Laws, but are asking that steps be taken to make San Rafael less attractive to illegal aliens. She recommended that meetings be held to address the subject of why the illegals are coming to this area in such large numbers, what their presence means to our City, and how the residents feel about their being here. Nick Jones, with the Revolutionary Worker Newspaper, stated he thinks the people in San Rafael have to consider the question of what the United States is doing to Latin America in the economics. People are coming here looking for a better life, and to get away from poverty. He stated there is every reason for the people in Marin County to live together with these people. He stated that revolution is the solution, in his opinion. Ralph Merrill, a San Rafael resident, noted that with more illegal immigrants coming to San Rafael there would be additional costs. He noted that we are now providing what some people call subsidies. He stated that he had done a random sampling of jail bookings, and less than 30% were Latinos, and probably a good number of them were illegal. He added that in San Rafael we spent $300,000 in booking fees, and people are not aware of the County budget in that almost $400,000 is for translation services. Also, there is $1 million for legal services. He noted that, in addition, we are devoting a lot of money to this Job Center, and it seems that no one has examined the true cost. He added that what we are really dealing with here is the over -population of Mexico and South America. Dora Knell, an apartment house owner in the Canal, stated that what the Business and Property Owners voted for last year has been twisted around. She stated they reversed themselves, and she wants the Council to know that most of the members like the idea of the Job Center. She stated we need this very badly, and even the people who are against it admit that we do have a problem. James Gravem, a contractor in Marin for 35 years, stated he understands the desire to clean up the streets of San Rafael, but what the Council is doing is misdirected. He stated that if we are going to spend money, it should be to send these people back to where they came from, that they should be here legally, not illegally. He noted the Council is talking about making laws to fine employers who hire these people and do not pay the proper taxes or workers compensation. He stated there are so many regulations, you are encouraging us to break the law. Mr. Gravem noted there are many people out of work, but the reason we can't afford to hire them is because of the amount of workers compensation and taxes we would have to pay. He concluded by saying there is a lot of work to be done, but the Council is going in the wrong direction. Gary Hudson, a contractor, stated he understands the Councilmembers took oaths to uphold the law. He stated he is against the presence of these people (illegal aliens), but he has hired many of them and they are good workers. He added he is sorry for them, but we do have laws. He mentioned a problem he had when a car driven by a Hispanic man hit his car, and in the investigation it developed that the car had not been registered for two years. There was no citation issued, and no fine and the man was allowed to drive away. He inquired about details from the police officer and was told he was not allowed to ask for a person's insurance. The other driver can do so, but not the police officer. He stated it seems as though we are going to end up with two sets of laws. There are 200 illegals now, and there are as many as eight people living in one apartment. He added that he does not hire illegals any more, and pointed out that he can be sued because he owns a house, but he cannot sue them. Mayor Boro stated that he recalls an incident, which may be the one described, and he had spoken with the Police Chief, and was told that everyone in the City is treated the same, and there were not two sets of laws. Joan Fray, with the International Institute of Marin, stated that the Day Labor Center is the only option to get the men off the street. She stated she has not heard much talk about the fact that many of the people on the streets are documented. She stated these people are here legally, have work permits, are from various countries and she thought everyone was talking about illegal immigrants. She noted these people legally in this country should be given the opportunity to use this job center SRCC MINUTES (Regular) 2/1/93 Page 10 11 SRCC MINUTES (Regular) 2/1/93 Page and recommended letting the INS do their job if they want to, but she noted she thought it was a mistake to have a non -solicitation of employment ordinance. She stated there were many people within the City who have work authorizations and who should be allowed to work and be allowed to go to a job center where they can do this in a dignified manner. Dr. Dean Gray, who practices dentistry in Marin Square, across from the proposed site for the Job Center, stated he has been there for about 7;�2 years. His wife, also a dentist, is from El Salvador. He stated that the Job Center located across from his office will have a negative impact on his office and his business. Bill Hart, a San Rafael resident, stated he is ashamed of what this country represents. He stated there should not be a non -solicitation ordinance. He added he supports what the Council is trying to do, and the people should not think "What is in it for me?", but "What is in it for us?". John Ortega, a Canal resident, pointed out that there are 20 million people in the United States without papers, and the world is watching what we do in Marin. He stated that the Council is taking a leadership role, in relation to the other counties in California. He added the Council realizes they are dealing with human beings. He stated that the illegals are people outside the law, but they fought and paid a price to get into the system. He added that the Council is just finding a site for the people to locate, and he admires and respects the Council for that. He noted that if there was not a market demand for the services provided by these workers, the people could not take care of themselves. He added that in Los Angeles the unions have associate memberships for these workers. Bill Kennaugh, a Canal resident, stated this is a law and order issue and an economic issue. He noted that our President turned back the Haitians. He added his is asking our Mayor to obey the law. Mr. Kennaugh noted that Governor Wilson is in Washington asking for $1 billion to pay for services for illegal aliens, and added that many of them have false IDs. He urged the Council to defeat this proposal. Hugo Landecker, a San Rafael resident, stated that the only purpose of the hiring hall is to get the job seekers off the street and get them jobs; however, you cannot guarantee getting the people off the street. He noted there is a $34,000 Community Block Grant, and that money belongs to the taxpayers and should not be spent on such a project as this. He added that the Job Center will not be self-sustaining. He noted that the area in question, at Bellam and Andersen, is already congested. He stated we do not need a magnet to attract illegal immigrants of any lineage to San Rafael. Luther Wallace thanked the Council for their efforts, and noted there are two sides and there needs to be a healing process to diffuse the volatility. He stated there is a market which demands the work, and the City has made an effort to have a place which is dignified and safe. The immigration concern is for someone else to handle. He stated that if the issue is racism, the people will not be able to operate the Center so that those young men can have a safe and humane place to seek work. He added there is certainly a market, or there would not be buyers. Martin Autry stated that the only reason for a Job Center is to get people off the street. He stated that if the Council feels there is a need for a Job Center, why don't they have it for Americans looking for work? He stated we pay taxes and Medicare. Non- paying illegals should not be hanging out on the streets of San Rafael. Gary Steele, former President of the Spinnaker Point Homeowners Association, and a member of the Property and Business Owners of the Canal Area, stated people do not have to stand on the street looking for work. He opposes the Job Center, but not the proposed Non -Solicitation Ordinance. He added they do not wish their yards to be a safe haven for illegal aliens. Mr. Steele noted that Ms. Golt does not address the issue of the illegals in her report. David Levinson, President of the Canal Community Alliance, took issue with the statement that the Spinnaker Point residents are in favor of the Non -Solicitation Ordinance. He asked was there any sense in passing an ordinance to enforce anything to take away dollars. He stated that prioritizing is needed, and it is more important for the police to focus on such issues as drugs and crime. Lauren Hallinan, attorney with Legal Aid of Marin, supported the analysis by staff, particularly with reference to the Non -Solicitation Ordinance. She stated, however, the Ordinance would not be likely to pass constitutional muster. It would not result in people seeking employment, and would be divisive in the community. She asked that the Council not consider the Ordinance at this time, but pursue the Job Center. She pointed out that such an ordinance was struck down by Orange County, in McCoy versus Costa Mesa and by a Federal Court in Tobias versus the City of Encinitas. She noted SRCC MINUTES (Regular) 2/1/93 Page 11 12 SRCC MINUTES (Regular) 2/1/93 Page that solicitation (begging) was protected by the First Amendment and the Fourteenth Amendment, and a permanent injunction was granted against San Francisco police officers. A similar ordinance was tested in Acura and resulted in $100,000 in attorneys' fees. Sandy Lollini, President of Gerstle Park Neighborhood Association, stated she lives in a diverse neighborhood and their Board has not taken a position on this issue, but they are concerned about the long-term commitment of funding. She pointed out that the City is having a difficult time paying for police services, and she understands the City will be asking for a tax increase. Mrs. Lollini stated she applauds the efforts of the City regarding the hiring hall, but questions the funding being taken from needed services. She added that she understands the hiring hall on Army Street in San Francisco is now looking for private corporations to take over the project, and also the hiring hall did not get everyone off the street. She stated that the people on the street is a major issue and something does need to be done. Elissa Giambastiani, Executive Director of the San Rafael Chamber of Commerce, pointed out that the Council had responded to a request from the Business and Property Owners for a job center, and now they are saying they changed their minds and do not want it. She stated it is not all of the businesses in the Canal area who do not want the Job Center. She added that the Chamber of Commerce is in favor of it, and she has not heard one solution in lieu of the Job Center. Mrs. Giambastiani stated this is a national problem, and local communities are trying to solve it. The Chamber is supporting what the Council is doing. Judy Milani pointed out that we already have an employment agency and she does not see why we should have another. Bill Weeks stated that when the residents first came in front of the Council they had a problem. They went to Brea and thought we had a solution. At that time there were about 65 people on the streets, and now there are about 355 people. He stated that in the last 11�2 years San Rafael has become a magnet, and we do not want the illegals encouraged. The Canal Community Alliance is advocating sanction for the illegals. The location proposed is too small and Jacopi will go out of business. He recommended that the Council take a stand on the Non -Solicitation Ordinance. He stated the illegals are a federal issue, and we have to let them know. Also, the Job Center should be farther away from businesses. That is one of the main objections. Wayne Batmale stated the world has changed, and we are advocates of peace. He asked for the Job Center and with the Council organizing it, we will be successful. Bruce Williams, a San Rafael resident, stated that everyone should realize times have changed, and the world population is different. He stated he is an electrician, and most of his workers are college graduates. He added that 20% of the people incarcerated in California are illegals, and they get medical and legal services. He noted that ten years ago Marin did not have a problem, and perhaps the money these people would make would not give them enough to live in Marin. He stated he admires the Council for what they are trying to do, but we are dealing with people who work hard, but their families increase. Walter Ryce, a San Rafael resident, thanked Ms. Golt for her hard work in preparing the report and the Council for the work they have done. He stated that he is an immigrant, and is black and Latino, one-half of both races. He stated they came to this country for the same reason all of the Council's forbearers came, and they can't go back. He stated he cares about what this country stands for. This plan is not going to be a finger in the dike, but will be a challenge to the National problem. He stated there was a deal made and the Council cannot go back, but should take the step and go forward. Bob Blumenfeld, general partner in Marin Square, supported the Job Center. He stated his shopping center pays a lot of taxes and is a viable entity in San Rafael. He feels this will remove a potential problem which has been growing for some time. He noted that the Western Division Manager for Clothestime informed him that their gross is dropping, because 40 to 50 people lined up for work discourages customers. She recommended a job center like the one in Brea. He stated he would like to propose that we try this and if it works we should continue it. If it does not work, we can always discontinue it. Gabriella Ricci stated she has not heard anyone mention the Task Force which has been in place; no one has mentioned that the Task Force had approved a job center. She added that Bill Weeks has done a complete turnaround and she was shocked by it. She stated that most apartment house owners do not belong to the Business and Property Owners organization. Regarding the Non -Solicitation Ordinance, Ms. Ricci stated that if three or more Italians SRCC MINUTES (Regular) 2/1/93 Page 12 SRCC MINUTES (Regular) 2/1/93 Page 13 stood on a corner in San Francisco in past years, they were picked up. She stated we are designing this Ordinance for a special type of person. At one time the Germans were the ones picked up. Ms. Ricci then spoke in support of Tom Wilson, stating he is mainstream. She recommended getting together and solving this problem, noting that Mayor Boro has attended every meeting of the Task Force. She stated she is behind this project. Orlando Cuestella, a contractor, stated he is a hypocrite and has hired some of those workers. He stated that he was illegal and was given a Social Security card and had to pay taxes. Lynne Davis, a member of the Task Force and a Canal resident, stated they are supporting the Non -Solicitation Ordinance and a site, but not a service center for the men to come to. She stated that the main thing is to get the men off the sidewalks and off the streets. The social service agencies could work with these people and it is incumbent on them to do that. She stated she hopes the City Council will approve the Ordinance and work with social service agencies so they will work with these people to educate them as to why the Ordinance is necessary and why it will be utilized. There being no other persons wishing to speak, Mayor Boro called for Council discussion. Mayor Boro inquired of staff about Jacopi being given a termination notice. Assistant Executive Director (Redevelopment Agency) Ours stated that the Jacopi business does not even use the section the Job Center will be on. He stated the Agency gave him the opportunity to renew the lease, but it would give him an opportunity to terminate his tenant. Mr. Ours stated that as far as what CalTrans is doing about adding pillars, that is far in the future. He stated the Agency told Mr. Jacopi we would work with him and fence the rear, if necessary, and he would still have the use of the property he has now. Councilmember Cohen stated the irony here is that a number of people who demanded the Job Center are now here demanding it not be done. He stated the Council focused on the primary goal, to reduce hiring on the streets. He added he keeps hearing racism in the remarks tonight, such as, "when you send the men back to Mexico". He stated there is no doubt that we face a crisis on immigration in this country. The fact remains that we are talking about a fundamentally illegal situation; not only tax avoidance, but by inserting the City into this relationship we are condoning the underground economy. He stated we have to find a way to accomplish our goal without avoiding the law. He added he is concerned that the program will take on a life of its own. Also, when the grants run out, what program will we cut to pay for this one? Mr. Cohen stated he is concerned about the City getting into providing social services, and he is also concerned about liability. He questioned about workers compensation being on the employers, or will the City be held liable for injury on a job site? He stated he thinks it is important that unions express valid concern for worker protection for all workers; however, regardless of his own personal feelings about what tactic should be taken, he did not think it was appropriate for the City to get involved in organizing this and he would not ask the City to do so. He noted he did think that the best way to insure decent and humane conditions was to start by enforcing the laws that regulate unscrupulous employers who take advantage of these workers. He stated he is here tonight as a member of the City Council and not in his capacity of a union official. He stated he could not support the Job Center in its current form. Mr. Cohen mentioned three issues: 1) The type of program. He stated we should not establish a full-blown program, and he supports Laguna's program with the City not involved; 2) The Non -Solicitation Ordinance should be referred back to the City Attorney for full consideration; and, 3) The location should be separate from the other issues. He feels that this is a good location and they should proceed with applying for the use permit, but we should keep looking for alternative sites. It should be a referral center. The City Attorney should be directed to work up a non- solicitation ordinance. Councilmember Shippey stated he agrees that we have a problem. There are men on the streets seeking work; also, whether those men are legally or not legally here. He stated that the way to go about this starts with the Ordinance, if we can get around the constitutional issues. He added we have to move the activity off the streets and to some other place, but he has not heard of another location. He stated he would hope we can at least make an attempt to clear most of the streets of San Rafael from the intolerable situation with a non -solicitation ordinance and job center. Councilmember Breiner stated that this issue calls for a large amount of cooperation, and it is a problem which will not go away. The magnet is the opportunity for jobs, and if the jobs do not exist, the people may go back to their countries. She stated that many people are finding entry level jobs. Mrs. Breiner stated she has some concern SRCC MINUTES (Regular) 2/1/93 Page 13 14 SRCC MINUTES (Regular) 2/1/93 Page about the site being considered, and would like to know more about it. Also, there is the question of liability. She stated that if we decide to do nothing we will still have a situation with the men on the streets, and she thinks it is time to give it a try. She added that to have a site created without any staffing could lead to chaos, and we need some guidelines. Mrs. Breiner said she would like to see a review come back to the City Council six months or less after it opens. She stated she is willing to give it a try. Councilmember Thayer stated there is a tremendous amount of ambivalence, and we have heard from people on both sides of the fence. She noted there are people who want a non- solicitation ordinance and nothing more. She agreed with Mrs. Giambastiani that very few people have any solutions. She inquired, you who value your police representation in the area, do you want them to spend time enforcing this ordinance? She stated she has studied the immigration laws, and it is not illegal to have a Day Labor Center. There is an impression in the community that the Council is condoning the illegal immigrants, and that is not true. This would not be a referral service or a recruiting service, but we have a problem which will only get bigger if we do nothing. She added that the City does not have the authority to go up to people on the street and ask for green cards; that belongs to the Federal Government. She stated that the INS has told our City Manager they do not have the manpower for this problem. There were two raids in the past three years, and it did not work. She explained that the City has made inquiries into the enforcement of the immigration laws. She pointed out that when we had the symposium with INS, we found there are only 70 agents between Bakersfield and the Oregon border. She noted that we aretrying to contain a problem, and loitering ordinances are unconstitutional. Mrs. Thayer stated she supports the Day Labor Center in conjunction with the Non - Solicitation Ordinance. If it does not work we can scrap it and look for something else. At this point in time, we do not have much of a choice. Mrs. Thayer stated she is going to vote for the Day Labor Center. She added she does not agree it is condoning illegal employment, and that is not the Council's intent. She noted that if nothing is done, the problem will only get larger. Mayor Boro stated that, first of all, the issue is not the Canal area, it is Citywide. He added there is also an image problem in San Rafael. He stated that for many months we have been looking at alternatives, and we are here to solve problems. Regarding immigration, he recommended people going to their Assemblymen, Congressmen and Senators. He stated there are 5,000 people coming across the borders every day. Mayor Boro pointed out that Zoe Baird broke the law; the City Council is not breaking the law. He noted that hiring of illegal aliens is the responsibility of the employers, and the employers and workers will be told what their responsibilities are with regard to the law. He stated we are not breaking the law by getting the men off the street. Mayor Boro then addressed the subject of funding. He stated that it is a concern, and we have funding for this project for two years through a grant. If we start the project and if it works we will get money to continue it. He stated that the last time the Non -Solicitation Ordinance was discussed he was not in favor of it, but after much consideration he decided to consider it. He stated that if the City Attorney can draw up an ordinance within the legal ramifications, he would consider it. Mayor Boro then summarized the consensus of the Council: 1) Direct the City Attorney to draft a non -solicitation ordinance with liability in mind, and with the ordinance to come back for a full public hearing. 2) Council in agreement with a use permit process for the site. 3) Regarding operation of the site, Mayor Boro stated he is in favor of the format we are pursuing. He asked that staff get feedback from the City of Laguna or other cities about an unstaffed site. Councilmember Thayer stated she heard from a number of people about why not just have a vacant lot, as opposed to a Center. She stated she does not think that makes any difference, but it would be an easier way to contain people from spilling out into the street if there was a trailer and fence. Mayor Boro stated there is also the question of liability and he asked that staff review that issue. Councilmember Cohen stated that if the rest of the Council feel that this direction is correct, please move forward and give him the opportunity to cast an opposing vote, on the issue of staffing. Councilmember Shippey stated he is prepared to offer a motion, since he feels that having someone from the City there to keep order would be better. He stated he is concerned SRCC MINUTES (Regular) 2/1/93 Page 14 15 SRCC MINUTES (Regular) 2/1/93 Page about creating a magnet, and would withdraw if that happens. Councilmember Cohen explained that he has no dispute with having someone on site to maintain order, but not to have a lottery and matching people up with employers. He stated that would be an employment service. He also expressed concern about the $180,000 being spent, stating the money is not ours, but it is still $180,000. Mayor Boro noted that is over a two-year period and if it is not successful we can stop the operation. Councilmember Shippey moved and Councilmember Breiner seconded, to request the City Attorney to proceed with drafting a non -solicitation ordinance for the City of San Rafael. AYES: COUNCILMEMBERS: Breiner, Cohen, Shippey, Thayer & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None Councilmember Breiner moved and Councilmember Shippey seconded, to approve the concept of a Job Center to go forward with a Use Permit for the site, as proposed. Councilmember Cohen clarified with Mayor Boro that this motion involved only the site under discussion, and not the running of the Center. Mayor Boro stated that is correct. AYES: COUNCILMEMBERS: Breiner, Cohen, Shippey, Thayer & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None Mayor Boro asked for a motion regarding how the site will be run, whether to proceed with the Laguna model or the Brea model. Councilmember Shippey moved and Councilmember Breiner seconded, to proceed with the Brea model for a Day Labor Center, as described in the staff report. AYES: COUNCILMEMBERS: Breiner, Shippey, Thayer & Mayor Boro NOES: COUNCILMEMBERS: Cohen ABSENT: COUNCILMEMBERS: None 12.STATUS REPORT ON REVENUE OPTIONS COMMITTEE (CM) - File 9-4 x 9-2-42 x 9-3-20 City Manager Nicolai briefed the Council, stating that several years ago the City Council, after addressing the immediate budgetary problems, created a Revenue Options Committee. The Committee reached a consensus after meeting four times during the months of December, 1992 and January, 1993 to consider various options for generating revenue and areas to be funded. They agreed on the need for revenue to support existing services and to fund program areas which are vitally important and which have been unfunded or under -funded in the past decade or more, such as maintenance of public buildings, disaster preparedness training, wildland fire reduction programs, storm drain repair and replacement, and street overlay. Ms. Nicolai reported that Committee is recommending a municipal services tax similar in structure to the Paramedic Tax, which would levy a $70 per year tax on each residential unit and 8C per square foot on commercial, with a 50,000 square foot cap. She noted that the combination of these two amounts would generate $2.36 million annually in new revenue. Ms. Nicolai stated that the Revenue Options Committee feels the issue should be placed before the voters as a ballot measure as a general tax requiring a simple majority vote. She noted that the multiple services could be listed on the ballot, and they are so diverse they will be easy to qualify for a general tax. She explained it would be a four-year measure, and would automatically require another vote after the four years. Councilmember Shippey noted the Committee went to a lot of effort to justify this, and asked what would we do in four years if we are going to put this back on the ballot? Ms. Nicolai responded she does not think the situation will change a lot in four years, and we should continue to look at efficiency, but she does not feel we would need another Hughes, Heiss report. She noted we would have to have an incredible boom in the next four years in order to make up the losses. Councilmember Breiner inquired about the reference to the Paramedic Tax, and Ms. Nicolai explained that it would not be difficult to implement this tax in the same manner as the Paramedic Tax. Ms. Nicolai explained that one committee member pointed out the 50,000 square foot cap on SRCC MINUTES (Regular) 2/1/93 Page 15 16 SRCC MINUTES (Regular) 2/1/93 Page commercial, and this person's opinion was that in most commercial cases there are assessments written in. Also, a large apartment complex with 220 units should not be charged per unit. She noted that apartment house owners pay business license tax. However, she has a print-out of all apartment buildings in San Rafael and very few of them are that large, most being 20-30 units. She stated that by the time we come back with an ordinance, we can address the perceived inequity, and services which are being provided and the need for the services. Mrs. Breiner agreed, but stated she feels that if we are going to provide a cap for commercial we should consider a cap for large apartments. Mayor Boro noted we may not want to have the cap on commercial. Ms. Nicolai stated that the ballot measure would come back to the Council, and staff would draft the ordinance which would be a part of the ballot measure, and the Council will act on the ordinance after the election. Councilmember Thayer congratulated the members of the Committee. She inquired why they did not recommend a utility tax, noting that some large businesses may object, but she feels that would be more acceptable than a parcel tax. She stated she does not think people are going to distinguish between that and a municipal services tax. She does not think we could get a municipal tax through, and inquired was this the list of priorities people will be voting on. Mayor Boro stated the measure will be worked over so that we can have a simple majority vote. He stated the items should be specific enough so that people will see what they will be getting for their money. Councilmember Cohen stated that the Committee was clear that they wanted to have the wording as specific as possible. The problem is how far we go down the road, and we have not decided on how specific we can be on the ballot measure. He noted that people have been voting only for those measures where they know where the money is going to go. Councilmember Thayer stated sometimes it is easier to get a two-thirds vote for something the people are for. Mayor Boro stated this is the kind of measure people could see. Strictly mentioning Police and Fire which are key issues, people can see, but we are at a point in the campaign where we can say, if you don't vote for this there are some services which will go away. Ms. Nicolai added that disaster preparedness was important to the Committee. Harry Winters, a member of the Revenue Options Committee, informed the Council that he favored a utility tax. Councilmember Cohen stated we will be hard pressed to get 50% +1, but if we try for a two- thirds vote we will not get it. He noted that there are inequities in utility taxes and there is no way to solve them, and that is why the Committee felt the municipal services tax made more sense. He stated that the problem with the cap on apartment buildings is, to what extent is the market going to allow a pass-through by apartment owners? He noted that all apartment buildings will be subject to the same tax, regardless of the quality of the structures. Mr. Cohen then discussed the problem of making a recommendation on the basis of value of property, because of Proposition 13. He stated he feels this is the best compromise and we should go forward. Councilmember Shippey inquired how we will promote the ballot measure. Councilmember Cohen stated that the feeling on the Committee was that if this were an advisory measure it would be hard to pitch because it would be a mixed message. He explained that was the reason for having the specific services to be affected. Councilmember Thayer noted that people tax themselves for schools and she feels they will tax themselves for safety. Councilmember Breiner moved and Councilmember Thayer seconded, to approve the Committee's recommendation and ask staff to prepare the ballot measure wording for Council approval at the next Council meeting on February 16, 1993. AYES: COUNCILMEMBERS: Breiner, Cohen, Shippey, Thayer & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None 13.COMMENTS ON DRAFT HAMILTON EIR (Pl) - File 10-2 x 179 x 11-16 x 9-3-17 Planning Director Pendoley referred to the staff report, and inquired if the SRCC MINUTES (Regular) 2/1/93 Page 16 17 Councilmembers had any comments. SRCC MINUTES (Regular) 2/1/93 Page Councilmember Thayer commented that McInnis Parkway was important in this because the City of Novato has not even incorporated it and they want some type of a Hamilton Plan without an alternate roadway by which to mitigate problems on Highway 101. Mr. Pendoley responded they have also presented a master plan which states it has an impact on Highway 101 and cannot be mitigated and they refuse to look at alternatives. Mrs. Thayer stated that years ago she was appointed as the alternate on the Highway 101 Study Committee. She noted that when you have public transportation plus roadways plus McInnis Parkway they were all feasible means of mitigating traffic on 101. She noted we will get to LOS F (Level of Service) with or without that roadway. Mr. Pendoley stated the EIR also mentions the point that with or without the Hamilton project, by 2020 we will have LOS F. CEQA (California Environmental Quality Act) stated that people must be adequately informed and mitigation measures should be discussed. Mrs. Thayer stated she is not in favor of the McInnis extension, since it will create a megalopolis with Novato. Councilmember Shippey stated for the record that he supports Mrs. Thayer's views. Councilmember Cohen stated that the purpose of the CEQA process in the EIR is to identify environmental impacts. He stated that if you oppose McInnis Parkway and the EIR says that this project is going to have unmitigatable consequences unless you put these traffic improvements, then the logical conclusion is that you oppose the project. He stated you do not know that unless you evaluate the traffic impact. Councilmember Breiner stated she feels we need more discussion on this item. Ms. Nicolai pointed out that this is the last full Council until the March meeting. Mr. Pendoley noted that we must make our comments by February 27, 1993. Mayor Boro explained that we are not endorsing McInnis Parkway, but we are saying that in addition to lack of improvements on Highway 101, they also need to look at other alternatives for moving traffic through that site with the potential development they are referring to. He stated that what we are trying to do is to be responsive to their study, and to say they are not studying it enough. Mrs. Thayer stated she does not agree that is going to be the answer to their problem for mitigation. Ms. Nicolai pointed out that they have not even looked at McInnis Parkway as mitigation. Councilmember Breiner stated she feels that the need for an eastside arterial will never go away, and we need to look at that. Councilmember Breiner moved and Councilmember Cohen seconded, to pass the Council's comments on to the City of Novato, as contained in the staff report. AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: 14.CITY COUNCIL REPORTS: Breiner, Cohen & Mayor Boro Shippey & Thayer None a. STATUS REPORT ON THE ST. VINCENT de PAUL DINING ROOM ADVISORY COMMITTEE - File 9-2 x 10-2 (VERBAL) Councilmember Cohen reported that 55 DeLuca Place is no longer being considered as a site for the Dining Room. There were concerns from the residents and businesses in the area, and the St. Vincent de Paul representatives and the owner of the property did not come to an agreement. Mr. Cohen stated that the Committee is meeting tomorrow, with a new Board member who is replacing Seamus Kilty. He noted that St. Vincent de Paul in Phoenix has a dining room with a different model, and the Committee will be looking at it tomorrow. He will report further at the next Council meeting. In closing, Mayor Boro thanked the staff for their work on tonight's agenda items, particularly the Job Center. There being no further business, the meeting was adjourned at 12:35 AM, February 2, 1993. SRCC MINUTES (Regular) 2/1/93 Page 17 M SRCC MINUTES (Regular) 2/1/93 Page JEANNE M. LEONCINI, City Clerk APPROVED THIS DAY OF , 1993 MAYOR OF THE CITY OF SAN RAFAEL SRCC MINUTES (Regular) 2/1/93 Page 18