CITY OF SANTA MONICA
                      CITY COUNCIL MINUTES

                       SEPTEMBER 16, 1997 


A regular meeting of the Santa Monica City Council was called
to order by Mayor O'Connor at 6:46 p.m., on Tuesday, September
16, 1997, in the Council Chambers.

Roll Call:     Present:    Mayor Pamela O'Connor
                           Mayor Pro Tem Robert T. Holbrook
                             (arrived at 6:58 p.m.)
                           Councilmember Ruth Ebner
                           Councilmember Michael Feinstein
                           Councilmember Ken Genser
                           Councilmember Asha Greenberg
                             (arrived at 8:42 p.m.)
                           Councilmember Paul Rosenstein

               Also Present:City Manager John Jalili
                           City Attorney Marsha Jones Moutrie
                           City Clerk Maria M. Stewart

Councilmember Rosenstein led the assemblage in the Pledge of
Allegiance to the Flag of the United States of America.

6.   CONSENT CALENDAR:  The Consent Calendar was presented,
whereby all items are considered and approved in one motion
unless removed from the calendar for discussion.

Member of the public Brian Hutchings addressed items on the
Consent Calendar.

Motion by Councilmember Genser, seconded by Councilmember
Feinstein, to approve the Consent Calendar, reading resolutions
and ordinances by title only and waiving further reading
thereof.  The motion was approved by the following vote:

     Ayes:     Councilmembers Feinstein, Genser, Rosenstein,
               Ebner, Mayor O'Connor
     Noes:     None
     Absent:   Councilmember Greenberg, Mayor Pro Tem Holbrook

6-A: CONTRACT/REPAIR/EARTHQUAKE DAMAGED SEWER MAINS/
CONSTRUCTION MANAGEMENT/INSPECTION SERVICES: Contract No.
6770(CCS) was awarded to Insituform Southwest, Inc., in the
amount of $4,651,285, for repair of earthquake-damaged sewer
mains in 1st through 12th Courts between Georgina and Colorado
Avenues; and Contract No. 6771(CCS) was awarded to Harris &
Associates, for an amount not to exceed $360,000, for
construction management and inspection services.
       Staff Report

6-B: WATER AND WASTEWATER CAPITAL FACILITY FEE REPORT: The
Water and Wastewater Capital Facility Fee Report was reviewed
and accepted, as required by Government Code Section 66006.
       Staff Report

6-C: FINAL MAP/TRACT NO. 51469/TPC-279/1125 PICO BOULEVARD:
Resolution No. 9198(CCS) entitled:  "A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF SANTA MONICA ACCEPTING AND APPROVING A
FINAL SUBDIVISION MAP FOR TRACT NO. 51469 AT 1125 PICO
BOULEVARD," was adopted.
       Staff Report

6-D: CONTRACT/CONSULTING SERVICES: Contract No. 6694(CCS) was
awarded to Pollnow and Associates, in the amount of $117,000 to
provide consulting services to various City departments.
       Staff Report

END OF CONSENT CALENDAR

On order of the Mayor, Item No. 8-B will be heard at this time.

8-B: STREET PERFORMERS AND OTHERS/DISPLAYING OR DISTRIBUTING
MERCHANDISE, GOODS, WRITTEN MATERIALS AND FOOD/OBJECTS ON
SIDEWALKS/SPECIAL ZONES FOR STREET PERFORMERS AND OTHERS/THIRD
STREET PROMENADE/ SANTA MONICA PIER/FILING FEES FOR PERFORMANCE
PERMIT: Presented was an ordinance for introduction and first
reading modifying and adding regulations concerning street
performers and persons, including vendors, displaying or
distributing merchandise, goods, written materials and food, or
placing objects on public sidewalks; two resolutions for
adoption establishing special zones for street performers and
persons, including vendors, utilizing tables, carts, blankets,
or similar items on the Third Street Promenade and The Santa
Monica Pier; and, a resolution for adoption establishing filing
fees for a performance permit.
       Staff Report

Mayor Pro Tem Holbrook reported present at 6:58 p.m.

Councilmember Greenberg reported present at 8:42 p.m.

On order of the Mayor, the public hearing was opened.

Kathleen Rawson, Executive Director of the Bayside District
Corporation, Corporation members Herb Katz and Nancy Desser,
and member of the public Arash Yermian spoke in support of the
staff recommendation, amended to include a 20-foot clearance
rather than the recommended 10-foot clearance from the entrance
of buildings and conveyance of enforcement authority to
Community Service Officers.

Member of the public Tr‚ Giles spoke in support of the staff
recommendation, amended to include a 20-foot clearance rather
than the recommended 10-foot clearance from the entrance of
buildings.

Member of the public Philippe Halleux spoke in support of the
staff recommendation, amended to include a 60-foot clearance
rather than the recommended 10-foot clearance from the entrance
of buildings.

Members of the public Jerry Rubin, Susan Smyser, Ned Landin,
Tony Parker, Robert Peterson, Gregory Moll, Stephen Benedotty,
Miguel Mendoza, Vince Russo, Mark Barrios, Ron Taylor, and
Michael Majestic spoke in opposition to the staff
recommendation.

Member of the public Jan Palchikoff spoke in support of the
staff recommendation, amended to convey enforcement authority
to Community Service Officers and Harbor Guards and address
regulation of product sampling.

Member of the public Brian Hutchings expressed various
concerns.

Member of the public Jeffrey Sherman suggested acceptable
decibel levels.

On order of the Mayor, the City Council recessed at 9:10 p.m.,
and reconvened at 9:40 p.m., with all members present.  On
order of the Mayor, the public hearing continued.

Member of the public Patty Sheffield spoke in support of the
staff recommendation amended to require that the Pier's special
regulations require the performers to be 60' apart and 35' from
the vendor, as is done on the Third Street Promenade.

Member of the public Chris Volaski spoke in support of the
staff recommendation amended to require that the distance and
time element that apply to the Third Street Promenade also
apply to the Santa Monica Pier, suggested that staff be given
the authority to make any on-site location changes if any were
needed for public safety reasons, and giving enforcement
authority to Community Service Officers and Harbor Guards.

Member of the public Marlene Gordon spoke in support of the
staff recommendation amended  to include a 20-foot clearance
rather than the recommended 10-foot clearance from the entrance
of buildings.

Member of the public Murray Gould spoke in support of the staff
recommendation and requested that regulations for the Pier be
the same as for the Promenade.

Member of the public Genevive Morrill spoke in support of the
staff recommendation and expressed concern with illegal
vendors.

Members of the public Rick Smith, Lisa Hackett, Marc Miskey,
Julia Pegler, Basia Durnas, Jennafer Waggoner, Jeff Sklar, and
Jason Squire spoke in opposition to the staff recommendation.

Member of the public Chenoa Faun suggested that this issue be
settled through a meeting between the artists, business owners,
and the City.

Member of the public William Pruitt discussed illegal
activities on the Promenade.

Member of the public Walt Davis spoke in support of the staff
recommendation, with amendments as recommended by the Bayside
District Corporation and relating to the sign required for
vendors and definition of performance artist.

Member of the public Michael Klein spoke in general support of
the proposal; however, expressed concern with the regulations
that limit the expression of the performers in ways that are
constitutionally suspect.

Member of the public Tom Kampas spoke in support of both the
businesses and the artists in the Promenade.

Motion by Councilmember Feinstein, seconded by Mayor O'Connor,
to hear late speakers for one minute each.  The motion failed
by voice vote with Councilmembers Ebner, Greenberg, Rosenstein,
and Mayor Pro Tem Holbrook opposed.

Motion by Councilmember Feinstein, seconded by Councilmember
Genser, to hear the seven late speakers next week for one
minute each if a decision is made to continue this item.  The
motion failed by voice vote with Councilmembers Ebner,
Greenberg, and Mayor Pro Tem Holbrook opposed, Councilmember
Rosenstein abstaining.

The Mayor closed the public hearing.

Motion by Councilmember Greenberg, seconded by Councilmember
Rosenstein, to continue this item to the meeting of September
23, 1997.  The motion was approved by voice vote with
Councilmember Ebner opposed.


8-A: ORDINANCE/MODIFICATION OF CM MAIN STREET COMMERCIAL
DISTRICT PERMITTED USES/DEVELOPMENT STANDARDS/SPECIAL PROJECT
DESIGN/DEVELOPMENT STANDARDS: The ordinance was presented for
second reading and adoption.
       Staff Report

Motion by Councilmember Ebner, seconded by Councilmember
Rosenstein, to adopt Ordinance No. 1884(CCS) entitled: "AN
ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA
AMENDING SANTA MONICA MUNICIPAL CODE PART 9.04.08.28 REGARDING
AUTHORIZED USES AND PROPERTY DEVELOPMENT STANDARDS IN THE CM
MAIN STREET COMMERCIAL DISTRICT," reading by title only and
waiving further reading thereof.  The motion was approved by
the following vote:

     Ayes:     Councilmembers Ebner, Rosenstein, Greenberg,
               Genser, Feinstein, 
               Mayor O'Connor
     Noes:     Mayor Pro Tem Holbrook
     Absent:   None

9-A: CITYWIDE HOUSING TRUST FUND GUIDELINES/PUBLIC PARKING
STRUCTURE/1136-1144 FOURTH STREET: Presented was the staff
report recommending authorization for staff to prepare
amendments to, and waiver of, Citywide Housing Trust Fund
Guidelines, and adoption of a resolution to forego public
bidding procedures for construction of a public parking
structure at 1136-1144 Fourth Street (Fourth Street Senior
Housing Project).
       Staff Report

Motion by Councilmember Feinstein, seconded by Councilmember
Genser, to continue the meeting past 11:00 p.m.  The motion was
approved by voice vote with Councilmember Rosenstein opposed.

On order of the Mayor, the public hearing was opened.  Member
of the public Rosario Perry spoke in opposition to the
proposal.  The Mayor closed the public hearing.

Councilmember Genser, for the record, asked Mr. Perry if he was
addressing Council as a representative for any client(s).  Mr.
Perry answered in the negative, stating he was representing 
taxpayers of the City of Santa Monica.

Motion by Councilmember Rosenstein, seconded by Councilmember
Feinstein, to authorize staff to amend all four City Housing
Trust Funds to permit the option to administratively waive the
City requirement for a Regulatory Agreement and to eliminate
the Borrower's option to request an extension of the term of
the City's loan, in lieu of loan repayment in the case of all
projects funded under the HUD Section 202 and Section 811
Programs.  The motion was approved by the following vote:


     Ayes:     Councilmembers Rosenstein, Genser, Feinstein,
               Mayor O'Connor
     Abstain:  Councilmember Greenberg, Mayor Pro Tem Holbrook
     Noes:     Councilmember Ebner
     Absent:   None

Councilmember Ebner requested that the record reflect that she
voted against the motion because she feels it is basically
dishonest, that the only motivation for this amendment was to
evade the requirements of Article 34, and it would not serve
the interests of the residents of the City of Santa Monica to
not be able to vote on their own housing priorities.

Motion by Councilmember Rosenstein, seconded by Councilmember
Feinstein, to waive Citywide Housing Trust Funds Guidelines, on
a one-time basis only, to permit as an eligible activity the
construction of the public parking structure to be constructed
under the Fourth Street Senior Citizen Housing Project and to
pay the Parking Authority for the loss of parking meter revenue
during construction.  The motion was approved by the following
vote:

     Ayes:     Councilmembers Rosenstein, Genser, Feinstein,
               Mayor O'Connor
     Abstain:  Mayor Pro Tem Holbrook
     Noes:     Councilmembers Ebner, Greenberg
     Absent:   None

Councilmember Ebner requested that the record reflect that she
voted in opposition to the above motion because she does not
feel that this will serve the people of Santa Monica and the
City is giving away money for a project that may or may not be
built.

Motion by Councilmember Rosenstein, seconded by Councilmember
Feinstein, to adopt a resolution with findings to forego public
bidding procedures for construction of the public parking
structure to be constructed under and as the foundation for the
Fourth Street Senior Citizen Housing Project.  The motion,
requiring a two-thirds vote, failed by the following vote:

     Ayes:     Councilmembers Rosenstein, Genser, Feinstein,
               Mayor O'Connor
     Noes:     Councilmembers Ebner, Greenberg, Mayor Pro Tem
               Holbrook
     Absent:   None

Councilmember Rosenstein requested that the record reflect his
belief that this is a sad day for the City of Santa Monica and
as a result of the above vote the City will probably be
spending more and getting less.  Councilmember Genser requested
that the record reflect that he voted for this motion and is
very sorry that it did not pass because he feels it is
essential that the community do whatever possible to facilitate
affordable housing for senior citizens and he is very
disappointed that there were not sufficient votes on the
Council to facilitate such a project.

Councilmember Feinstein requested that the record reflect that
he shares the above sentiments and noted that the City went
through a significant process with the Housing Commission, the
Planning Commission, Council, and staff to prepare the first
round of the Housing Element to come to the kind of conclusions
that were just suggested by Councilmember Genser.  Thus, after
that entire body of work when a project such as this is
presented that can help satisfy the identified needs, it is
particularly distressing to not see the Council follow-through
after such a base and foundation has been made.

As a point of personal privilege, Mayor Pro Tem Holbrook
commented that there has been a suggestion that some members of
Council are not supportive of low-cost housing and he conveyed
his recollection that he has voted for every project that has
come before Council; however, he has a moral certainty that
this action would violate the law and he cannot cast a
supportive vote in this instance. 

Councilmember Ebner also requested a point of person privilege
and stated that she is very supportive of senior housing and is
very supportive of Menorah, which she believes is a great
organization; she stated that she is also convinced that the
process by which this Council has come to this point has been
to break every single rule and every single ethic, being
extraordinarily Machiavellian, circumventing public process and
added that she is shocked that some of the members of Council
would choose to bypass competitive bidding, but she too is
bound to follow the law as she sees it and she believes that
this is what she is doing.

Councilmember Rosenstein conveyed a point of personal privilege
and said that the City has a very good City Attorney's office
that has assured Council that the law has not been violated
and, he feels it is slanderous and libelous to accuse
Councilmembers of breaking the law, that he resents it very
deeply and expects an apology.  He said that it is outrageous
to make such accusations.

Councilmember Genser took a point of personal privilege and
conveyed his belief that he has been accused by one of his
colleagues of violating the law.  He stated that certainly
there is room on this Council to disagree and make different
judgements and he expressed earlier that he felt that enough
Councilmembers made a wrong judgement to block the action from
happening.  However, he said that he takes it very seriously
when a council member accuses him of violating the law and he
pointed out that the City's legal staff did not indicate that
taking such action would be a violation of law; in fact, the
motion was in accordance with the staff's recommendation. 
Further, he pointed out that there is litigation pending by the
two adjacent property owners to restrict the public's use of
this publicly-owned parcel and he believes that at least some
of the Councilmembers who voted against this project are
motivated to not help the seniors of the community, but instead
enhance the property values of the adjacent property owners,
which he believes is a miscarriage of the public trust.



Mayor O'Connor requested that the record reflect that while on
her nearly three years serving on Council, while she has not
always agreed with everything staff has suggested in terms of
how certain issues are viewed, she has found them to be ethical
people, giving good recommendations based on doing things
legally, and she has the utmost confidence in them and their
recommendations.  She said that she reads and scrutinizes the
staff reports and uses her own judgement and she has not had
any instance which has led her to believe that the staff has
employed anything of a Machiavellian nature or trying to
promote some sort of agenda.  She believes that they operate
fairly and above-board.  She recognized staff's good work and
said that she appreciates this work and has confidence in them. 
Mayor O'Connor shared her assessment of this situation, based
on also working in the construction industry and understanding
what change orders can do to a project, and noted that
sometimes the low bid does not necessarily serve the public
well and does not necessarily turn out in the long run to be
the low bid.

Councilmember Rosenstein excused himself from the meeting at
11:27 p.m.

14-A: APPOINTMENTS/BOARDS AND COMMISSIONS:

Motion by Councilmember Genser, seconded by Councilmember
Feinstein, to continue this item to the meeting of September
23, 1997.  The motion failed by the following vote:

     Ayes:     Councilmembers Genser, Feinstein, Mayor O'Connor
     Noes:     Councilmembers Ebner, Greenberg, Mayor Pro Tem
Holbrook
     Absent:   Councilmember Rosenstein

Motion by Councilmember Greenberg, seconded by Councilmember
Genser, to continue all appointments, with the exception of the
appointment to the Personnel Board, to the meeting of September
23, 1997.  The motion was unanimously approved by voice vote,
with Councilmember Rosenstein absent.

Mayor O'Connor announced that the floor would consider
nominations for three vacancies on the Personnel Board.

Councilmember Greenberg nominated Tom Tolman.  There being no
other nominations, nominations were closed.  The motion failed
vote with Councilmembers Genser, Feinstein, and Mayor O'Connor
abstaining and Councilmember Rosenstein absent.

Councilmember Genser requested that the record reflect that his
abstention does not reflect on any candidate, he merely does
not feel that it is appropriate to vote on this item this
evening.

Mayor O'Connor requested that the record reflect that she
abstained from voting on the above motion because another
nomination form was received and she has not had an opportunity
to review it and she believes that the application deserves
fair consideration.

Appointments to the Airport Commission (1), Architectural
Review Board (2), Arts Commission (1), Bayside District
Corporation (3), Building & Safety (1), Commission on the
Status of Women (1), Los Angeles County West Vector Control(1), and Personnel Board (3) were continued to the meeting of
September 23, 1997.

14-B: RECONSIDERATION/DECISION/APPEAL 97-001/CUP 96-023/FAST
FOOD RESTAURANT/OUTDOOR SEATING/CONVENIENCE STORE/1410 PICO
BOULEVARD: The request of Mayor Pro Tem Holbrook and
Councilmember Rosenstein to reconsider the July 22, 1997,
decision regarding appeal 97-001 of Planning Commission
approval of Conditional Use Permit 96-023 to allow the addition
of a fast-food restaurant with outdoor seating and a
convenience store to an existing self-service gas station
located at 1410 Pico Boulevard, relative to the existing 14th
Street driveway was continued to the meeting of September 23,
1997.

14-C: LETTER OF RESIGNATION/DAN FREUND/LANDMARKS COMMISSION:

Motion by Mayor O'Connor, seconded by Councilmember Greenberg,
to accept the letter of resignation from Dan Freund from the
Landmarks Commission with great regrets and authorize the City
Clerk to publish a Notice of Vacancy.  The motion was
unanimously approved with Councilmember Rosenstein absent.

15: PUBLIC INPUT:

Member of the public Brian Hutchings expressed his concerns on
various issues.

Member of the public Clarence Jon Heisler discussed
accountability of council members to their constituency.

16-A: CLOSED SESSION/CONFERENCE WITH LEGAL COUNSEL:

     Existing Litigation: Wil-Fourth Partnership v. City
     Council of the City of Santa Monica, Case No. BS 045 458.

     ACTION: Not heard.

16-B: CLOSED SESSION/CONFERENCE WITH LEGAL COUNSEL:

     Existing Litigation: Charmont Partners, Ltd. v. City
     Council of the City of Santa Monica, Case No. SS 007 397.

     ACTION: Not heard.

16-C: CLOSED SESSION/CONFERENCE WITH LEGAL COUNSEL:

     Existing Litigation: Mark Miskey v. City of Santa Monica,
     Case No. CV 97-4325.

     ACTION: Not heard.

16-D: CLOSED SESSION/CONFERENCE WITH LEGAL COUNSEL:

     Existing Litigation: Santa Monica Housing Council v. City
     of Santa Monica, Case No. SS 005191.

     ACTION: Not heard.

16-E: CLOSED SESSION/CONFERENCE WITH LEGAL COUNSEL:

     Potential Litigation
     Number of cases: One

     ACTION: Not heard.

ADJOURNMENT:  At 11:40 p.m., the meeting was adjourned to
Tuesday, September 23, 1997, at 6:30 p.m.

ATTEST:                                      APPROVED:



Maria M. Stewart                        Pamela O'Connor
City Clerk                                   Mayor