CITY OF SANTA MONICA

CITY COUNCIL MINUTES

JUNE 18, 2002

A regular adjourned meeting of the Santa Monica City Council was called to order by Mayor Feinstein at 6:01 p.m., on Tuesday, June 18, 2002, at City Council Chambers, 1685 Main Street.

Roll Call: Present: Mayor Michael Feinstein

Mayor Pro Tem Kevin McKeown

Councilmember Richard Bloom

Councilmember Ken Genser

Councilmember Robert T. Holbrook

Councilmember Herb Katz

Councilmember Pam O'Connor

Also Present: City Manager Susan McCarthy

City Attorney Marsha Jones Moutrie

City Clerk Maria M. Stewart

On order of the Mayor, the City Council convened at 6:01 p.m., with all members present. Mayor Pro Tem McKeown led the assemblage in the Pledge of Allegiance.

On order of the Mayor, the City Council recessed at 6:03 p.m., to discuss closed sessions and reconvened at 6:40 p.m., to report the following action:

2-A: Conference with Labor Negotiator:

City Negotiator: Karen Bancroft, Director of Personnel

Bargaining Units: Santa Monica Police Officers Association

ACTION: Not heard.

2-B: Conference with Legal Counsel - Existing Litigation: City o

Santa Monica v. Shell Oil Co., Case No. 01CC04331.

ACTION: Heard. No reportable action taken.

2-C: Conference with Legal Counsel - Anticipated Litigation.

Number of cases: Four.

ACTION: Two cases heard. No reportable action taken.

2-D: Conference with Legal Counsel - Existing Litigation: Theresa Hill v. City, Case No. SC 064 466.

ACTION: Heard. No reportable action taken.

2-E: Conference with Real Property Negotiators:

Property: 516 Colorado Avenue

City Negotiator: Mark Richter, Real Estate Manager

Owner of Record: Jacqueline McMahan

Under Negotiation: Acquisition of Real Property

ACTION: Not heard.

STAFF ADMIN. ITEMS:

SPECIAL JOINT MEETING OF THE CITY COUNCIL, HOUSING AUTHORITY, PARKING AUTHORITY AND REDEVELOPMENT AGENCY:

BUDGET APPROVAL

8-A: CC/HA/PA/RA-1: Adoption of the Fiscal Year 2002-03 Budget and authorization to execute Facility Use Agreements with the Santa Monica- Malibu Unified School District - recommendation that City Council adopt Resolution No. 9770 (CCS) entitled: "A RESOLUTION OF THE CITY OF SANTA MONICA REVISING SALARY RATES AND APPROVING POSITION CHANGES"; Resolutions No. 9771 and 9772 (CCS) entitled: "A RESOLUTION OF THE CITY OF SANTA MONICA ADJUSTING AND ESTABLISHING VARIOUS FEES AND RATES"; authorize the City Manager to negotiate and execute Contract No. 8117 (CCS) with the Santa Monica-Malibu Unified School District for specific City programs on school sites; and approve budget reductions in various departments, as proposed. Recommendation that City Council, Housing Authority, Redevelopment Agency and Parking Authority adopt respective Resolution Nos. 9773 (CCS), No. 237 (PAS), No. 475 (RAS), and No. 77 (HAS) adopting the FY 2002-03 Budget.

On order of the Mayor, the special joint meeting was convened with all members present.

The following members of the public spoke to the proposed budget as follows: Joey Fuller, Jerry Rubin expressed concerns regarding various budget issues. Misti Kerns, Joanne Bogue and Debbie Lee spoke in support of funding for the Convention and Visitors Bureau. Angel Vasquez, Kristin Folk, Chris DeCarlo, Reina Roberts, and Joe Natoli spoke in support of funding for the playhouse.

Paulette Kardashian, John Deasy, Andrea Tobey, Zina Josephs, Donna Stanton, Ralph Mechur, Cheri Orgel, Denny Zane, Louise Jaffe, Mary Beth DeLucia, Judy Abdo, Shari Davis, Lynn Leavitt, Frank Schwengel, Sylvia Phelps, and, Emily Bloomfield spoke in support of school funding.

Dennis Woods and Ed McCann spoke in support of improvements for the Borderline Neighborhood Group. Chuck Allord and June Lockhart spoke in support of funding for the City's Police Department Equestrian Unit.

RECESS

On order of the Mayor, the City Council recessed at 8:20 p.m., and reconvened at 8:40 p.m., with all members present.

Discussion ensued on the information received during public comment and on the recommendations proposed by staff.

Discussion ensued on the budget recommendation for school funding and assistance. Mayor Pro Tem McKeown requested to be excused from discussion of this matter due to a conflict of interest.

Mayor Pro Tem McKeown was excused at 8:48 p.m.

Motion by Councilmember O'Connor, seconded by Councilmember Genser, to approve one-time additional funding from the Library Capital budget for the school district in the amount of $1.5 million.

Substitute motion by Councilmember Bloom, seconded by Mayor Feinstein, to defer the vote on the above motion until after Council has discussed other budget priorities. The substitute motion failed by the following vote:

AYES: Councilmembers Bloom, Mayor Feinstein

NOES: Councilmembers Holbrook, O'Connor, Genser, Katz

ABSENT: Mayor Pro Tem McKeown

Motion to amend main motion by Councilmember Genser to include approval of all other recommended school district funding. The motion was accepted as friendly by the maker. The main motion, as amended, was approved by the following vote:

AYES: Councilmembers Katz, Genser, Bloom, O'Connor, Holbrook

NOES: Mayor Feinstein

ABSENT: Mayor Pro Tem McKeown

Mayor Feinstein stated, for the record, that he voted against the motion, not because he is against the motion, but because procedurally, the vote should have taken place later in the meeting.

Upon the conclusion of the discussion on school funding and assistance, Mayor Pro Tem McKeown returned to his seat.

Mayor Pro Tem McKeown returned at 9:15 p.m.

Motion by Mayor Pro Tem McKeown, to approve $75,000 in funding from Council discretionary funds for the Santa Monica Playhouse; restoring the Police Department's equestrian unit with $30,000; approving $72,400 to refund cuts made in social services; and approving $1,000 in grant funds to the League of Women Voters. The motion failed for lack of a second.

Discussion ensued on funds available for funding the above projects, the source of funds, and the order of priority.

Motion by Councilmember Katz, seconded by Councilmember Genser, to approve $250,000 in funding to the Convention of Visitors Bureau, for use at their discretion with the understanding that $200,000 is coming from one-time funding. The motion was approved by the following vote:

AYES: Councilmembers Holbrook, O'Connor, Bloom, Genser, Katz

NOES: Mayor Pro Tem McKeown, Mayor Feinstein

ABSENT: None

Mayor Feinstein stated, for the record, that he voted against the motion because he believes Council should consider all budget items before approving allocation of funds, and not because he is not in support of the need for funding for the Convention Visitors Bureau

Mayor Pro Tem McKeown stated, for the record, that he voted against because he believes on-going funds should have gone to residents, youth, seniors, and persons with disabilities who benefit from social service agencies.

Motion by Mayor Pro Tem McKeown, seconded by Councilmember Bloom, to approve the remaining $75,000 in Discretionary Funds for the Santa Monica Playhouse (with restrictions outlined in the report), and $1,000 to the League of Women Voters. The motion was approved by the following vote:

AYES: Councilmembers Katz, Genser, Bloom, O'Connor, Holbrook, Mayor Pro Tem McKeown

NOES: Mayor Feinstein

ABSENT: None

Mayor Feinstein stated, for the record, that he supports the Playhouse and the League of Women Voters, but voted against the motion because he believes Council should consider all budget items before approving allocation of funds.

Motion by Councilmember Holbrook, seconded by Councilmember Bloom, to approve $22,400 from this year's Council travel funds as a matching fund grant to the Historical Society. The motion was approved by the following vote:

AYES: Councilmember Holbrook, O'Connor, Bloom, Genser, Katz, Mayor Pro Tem McKeown

NOES: Mayor Feinstein

ABSENT: None

Mayor Feinstein stated, for the record, that he supports the Historical Society, but voted against the motion because he believes Council should consider all budget items before approving allocation of funds.

Motion by Mayor Pro Tem McKeown, seconded by Councilmember Genser, to refund $34,000 to the Police Department for the retention of the equestrian patrol unit from Account No. 01274-544390. The motion was approved by the following vote:

AYES: Councilmember Holbrook, O'Connor, Bloom, Genser, Katz, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: None

ABSENT: None

Motion by Councilmember Katz, seconded by Councilmember O'Connor, to adopt the resolution approving the FY 2002-03 budget, as amended, reading by title only and waiving further reading thereof. The motion was approved by the following vote:

AYES: Councilmembers Katz, Genser, Bloom, O'Connor, Holbrook, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: None

ABSENT: None

Motion by Councilmember Holbrook, seconded by Councilmember Katz, to adopt a resolution revising salary rates and approving position changes and a resolution establishing and revising various fees and rates. The motion was approved by the following vote:

AYES: Councilmembers Katz, Genser, Bloom, O'Connor, Holbrook, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: None

ABSENT: None

Councilmember McKeown excused himself from voting on the following matter due to a conflict of interest.

Mayor Pro Tem McKeown was excused at 10:00 p.m.

Motion by Councilmember Katz, seconded by Councilmember O'Connor, to authorize the City Manager to execute a contract with the School District. The motion was approved by the following vote:

AYES: Councilmembers Holbrook, O'Connor, Bloom, Genser, Katz, Mayor Feinstein

NOES: None

ABSENT: Mayor Pro Tem McKeown

Mayor Pro Tem McKeown returned at 10:01 p.m.

BUDGET-RELATED PLANNING DEPT. PRIORITIES

On order of the Mayor, the Planning Director gave a presentation on the Department priorities for following fiscal years as related to the budget recommendations.

The Director of Planning and Community Development gave a presentation on the department's priorities, short and long-range, and possible options for implementation relative to proposed funding.

Considerable discussion ensued regarding the various pending projects, the funding available and the need to modify the order of the priorities.

Motion by Mayor Feinstein, seconded by Councilmember Katz, to move up Priority19 (R-1 standards for Sunset Park) to 13, and move down interim ordinance for Montana Corridor to 19; move priority 20 (auto dealers) up to 11 and move corporate short-term housing down to 20; and to move disaster rebuild ahead of priority 9 (the antenna ordinance). The motion was approved by the following vote:

AYES: Councilmembers Katz, Genser, Bloom, O'Connor, Holbrook, Mayor Feinstein

NOES: Mayor Pro Tem McKeown

ABSENT: None

Mayor Pro Tem McKeown stated, for the record, that he voted against the motion because he can't support moving up of the auto dealers project, and not moving up the circulation element update which affects the quality of life of every resident in the City.

Motion by Councilmember Genser, seconded by Mayor Feinstein , that when a preferential parking district petition is filed, that Council be notified in order that Council may decide what type of funding to use for the studies. The motion was unanimously approved by voice vote, with all members present.

Motion by Councilmember Holbrook, seconded by Councilmember Bloom, to direct staff to begin basic rudiments of studying the future of the Santa Monica Airport. The motion was unanimously approved by voice vote, with all members present.

Motion by Mayor Feinstein, seconded by Mayor Pro Tem McKeown, to direct staff to hold two community meetings within the Borderline Neighborhood Group in the next fiscal year in order to receive input and assess the needs of the community. The motion was unanimously approved by voice vote, with all members present.

On order of the Mayor, the special joint meeting was duly adjourned at 11:35 p.m., and the City Council convened to a special joint meeting with the Redevelopment Agency.

JOINT MEETING OF THE COUNCIL AND THE REDEVELOPMENT AGENCY:

PROMISSORY NOTES

8-B: CC/RA-2: Extension of time for outstanding promissory notes - recommendation for City Council and the Redevelopment Agency agree to renew six outstanding loans and authorize the Mayor and the Chairperson, respectively, to execute Promissory Notes between the Agency and the City.

On order of the Mayor, the special joint meeting convened at 11:36 p.m., with all members present.

Motion by Councilmember McKeown, seconded by Councilmember Bloom, to approve staff recommendation. The motion was approved by the following vote:

AYES: Councilmembers Holbrook, O'Connor, Bloom, Genser, Katz, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: None

ABSENT: None

On order of the Mayor the Special Joint Meeting was adjourned at 11:37 p.m., with all members present, and the regular meeting of the City Council reconvened.

GANN APPROPRIATIONS

8-C: Resolutions establishing and appropriating Gann Appropriations Limit - recommendation to adopt Resolution No. 9774 (CCS) entitled: "A RESOLUTION OF THE CITY OF SANTA MONICA ESTABLISHING THE CITY'S GANN APPROPRIATIONS LIMIT FOR FY 2002/03," and Resolution No. 9775 (CCS) entitled: "A RESOLUTION OF THE CITY OF SANTA MONICA APPROPRIATING FY 2001/02 FUNDS TO GANN'ED RESERVES AND/OR DESIGNATED BALANCE SHEET ACCOUNTS."

Motion by Councilmember Katz, seconded by Councilmember O'Connor, to adopt resolutions, reading by title only and waiving further reading thereof. The motion was approved by the following vote:

AYES: Councilmembers Katz, Genser, Bloom, O'Connor, Holbrook, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: None

ABSENT: None

PUBLIC HEARINGS:

CDGB AND HOME GRANT FUNDS

9-A: FY 2002/03 One-Year Action Plan for use of U.S. Department of Housing and Urban Development Grant Funds - recommendation to hold a public hearing and adopt the FY 2002/03 One-Year Action Plan for Community Development Block Grant (CDBG) and HOME entitlement grants from the U.S. Department of Housing and Urban Development.

Motion by Councilmember Katz, seconded by Councilmember Bloom, to approve recommendation. The motion was approved by the following vote:

AYES: Councilmembers Katz, Genser, Bloom, O'Connor, Holbrook, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: None

ABSENT: None

COUNCIL ITEMS:

13-A: Request of Councilmember O'Connor that the City Council support Assembly Bill 2333 which would require, in regards to development of the Regional Transportation Plan, that the Southern California Association of Governments (SCAG) provide for a fair share distribution of the burdens and benefits of commercial aviation among urban counties as a guiding policy in the aviation program, was presented.

Motion by Councilmember O'Connor, seconded by Councilmember Katz, to approve recommendation provided that the City's concerns, which are on record and have been previously discussed, are met. The motion was unanimously approved by voice vote, with all members present.

PUBLIC COMMENT:

Members of the public Art Casillas and David Busch addressed Council on various concerns.

ADJOURNMENT:

On order of the Mayor, the City Council meeting was adjourned at 11:59 p.m., to June 25, 2002.

APPROVED: Michael Feinstein, Mayor

ATTEST: Maria M. Stewart, City Clerk