Item 1-A

(NOT APPROVED)

CITY OF SANTA MONICA

CITY COUNCIL MINUTES

NOVEMBER 12, 2002

A regular meeting of the Santa Monica City Council was called to order by Mayor Feinstein at 5:45 p.m., on Tuesday, November 12, 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 (arrived at 7:05 p.m.)

Councilmember Herb Katz

Councilmember Pam O=Connor

Also Present: City Manager Susan McCarthy

City Attorney Marsha Jones Moutrie

City Clerk Maria M. Stewart

CONVENE/PLEDGE

On order of the Mayor, the City Council convened at 5:45 p.m., with Councilmember Holbrook absent. Councilmember O=Connor led the assemblage in the Pledge of Allegiance.

CONSENT CALENDAR:

All items were considered and approved in one motion unless removed by a Councilmember for discussion.

At the request of Councilmember Katz, Items 1-E, 1-F, and 1-I were removed from the Consent Calendar.

Motion by Mayor Pro Tem McKeown, seconded by Councilmember Katz, to approve all items on the Consent Calendar as presented except Items 1-E, 1-F and 1-I, reading resolutions and ordinances by title only and waiving further reading thereof. The motion was approved by the following vote:

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

NOES: None

ABSENT: Councilmember Holbrook

MINUTES

1-A: The minutes of the September 10, 2002, City Council meeting, were approved.

LANDFILL GAS EXTRACTION

1-B: Landfill Gas Extraction System at City Yards B recommendation to authorize the City Manager to negotiate and execute two-year Contract No. 8156 (CCS) with ICF Consulting, in the amount of $429,930, to operate, maintain, and monitor the landfill gas extraction system operating at the Municipal Yard; and incorporate existing purchase order in the amount of $49,560 with ICF Consulting, for related services, was approved.

SEWER REHABILITATION

1-C: Ocean Avenue/Main Street Sewer Rehabilitation and Main Street Roadway Restoration Projects B recommendation to authorize the City Manager to negotiate and execute Contract No. 8157 (CCS) with BRH Garver-West, Inc., in the amount of $4,498,360, for the sewer rehabilitation and roadway restoration projects; an amendment to Contract No. 7355(CCS) with Harris and Company, in the amount of $110,000, for community outreach services; an amendment to Contract No. 7476 (CCS) with Black & Veatch, Inc., in the amount of $783,703, for construction management services; and an amendment to Contract No. 7216 (CCS) with Montgomery Watzon Harza, in the amount of $277,990, for Engineer of Record services; and approve the proposed appropriation of funds, was approved.

1751/1753 CLOVERFIELD

1-D: Authorization to staff to open preliminary discussions for possible acquisition of real property located at 1751-1753 Cloverfield Boulevard, was given.

ARTS GRANT FUNDS

1-G: Acceptance of grant funds from the California Arts Council=s Arts in Education Demonstration Project - recommendation to accept a grant from The California in Arts Council=s Arts in Education Demonstration Project; authorize the City Manager=s Office to negotiate and execute Contract No. 8159 (CCS) with the 18^th Street Arts Complex to coordinate the granted project; and, approve proposed budget changes, was approved.

POLICE AND FIRE RESPONSE SOFTWARE

1-H: Purchase and Maintenance Agreements for Response Mobile Software for Police and Fire B recommendation to authorize the City Manager to negotiate and execute an amendment to existing contracts with PSSI, Inc., and Motorola Inc., for the purchase of Response Mobile Software, was approved.

STREETLIGHT ASSESSMENT DISTRICT

1-J: Approval of certified results of Streetlight Installation Assessment Election B recommendation to accept the certified results of the Streetlight Installation Assessment election in opposition to the assessments, was approved.

MTA

1-K: Recommendation of Candidate For The Metropolitan Transportation Authority Westside/Central Service Sector, was approved.

PARKS BUILDING REPLACEMENT

1-E: Joslyn and Reed Parks Building Replacement Project B recommendation to authorize the City Manager to negotiate and execute Contract No. 8158 (CCS) with New Creation Engineering and Builders, Inc., in the amount of $393,700, for construction of park building replacements in Joslyn and Reed Parks, was presented.

Councilmember Katz advised he removed this item from the Consent Calendar because he has concerns regarding the increased contingency amounts for this item, as well as Items 1-F and 1-I. Staff answered questions of Councilmembers regarding contingency amounts and practice.

Motion by Mayor Pro Tem McKeown, seconded by Councilmember O=Connor, to approve recommendation. The motion was approved by the following vote:

AYES: Councilmembers O=Connor, Bloom, Genser, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: Councilmember Katz

ABSENT: Councilmember Holbrook

RETROFIT OF PARKING STRUCTURE

1-F: Seismic Retrofit Improvements for Parking Structure 5 B recommendation to authorize the City Manager to negotiate and execute an amendment to Contract No. 7861 (CCS) with Black and Veatch Corporation, in the amount of $506,312, for design of seismic retrofit improvements to the parking structure, was presented.

TEMPORARY MAIN LIBRARY FACILITY

1-I: Temporary Main Library Facility Project B recommendation to authorize the City Manager to negotiate and execute Contract No. 8160 (CCS) with ETZ Construction, in the amount of $504,576, for the Temporary Library Tenant Improvement Project, was presented.

Motion by Councilmember Katz, seconded by Councilmember Genser, to approve Items 1-F and 1-I. The motion was approved by the following vote:

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

NOES: None

ABSENT: Councilmember Holbrook

CLOSED SESSIONS:

Councilmember Holbrook arrived at 7:05 p.m.

On order of the Mayor, the City Council recessed to closed sessions at 6:09 p.m., with Councilmember Holbrook absent, and reconvened at 7:15 p.m., with all members present.

On order of the Mayor, report on closed sessions to be made at the end of the meeting.

ADMIN. PROCEEDINGS:

3030/3131 OLYMPIC

6-A: Certification of Final EIR and consideration of appeals for proposed projects at 3030 Olympic and 3131 Exposition Boulevards - recommendation to adopt Resolution No. 9809 (CCS) entitled: AA RESOLUTION OF THE CITY OF SANTA MONICA CERTIFYING THE FINAL ENVIRONMENTAL IMPACT REPORT PREPARED FOR THE TWO PROPOSED ENTERTAINMENT STUDIO PROJECTS AT 3030 OLYMPIC BOULEVARD AND 3131 EXPOSITION BOULEVARD@; deny appeal of Planning Commission Denial of DR Permit 99-010 and deny appeal of DR Permit 99-011.Applicant/Appellant: Lantana North & South Hines Development.

The appeal was presented by staff. Staff answered questions of Councilmembers.

Doug Holte, representing the Applicant/Appellant spoke in support of both projects for ten minutes each, for a total of twenty minutes.

The following members of the public spoke in support of the projects and the appeals: Cathy Marlowe, Maggie Kelley, Keely O=Rourke, Isabel Aranda, Jenny Mon Banquette, Linda Sullivan, Fred Heinrid, Martin Wassell, Ken Ward, Michael Woo and Craig Shimahara.

The following members of the public spoke in opposition of the projects and the appeals: Richard Moore, Charlotte Stewart, Karen Furey, Marcia Zimmer, Marlene Suzuki, Christopher Keene, Jim Coleman, Bert Staggers, Susan Healy Keene, Christel Anderson, Peter Path, Kelly Olson, Keith Kaucher, Cecilia Bradley, and Michael Tarbet.

Applicant/Appellant and staff answered questions of Council. Considerable discussion ensued relative to the project, the public comments made, parking concern, traffic congestion in the surrounding areas, and general design.

Motion by Mayor Pro Tem McKeown, seconded by Mayor Feinstein, to adopt resolution certifying the EIR, 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 Genser, seconded by Mayor Pro Tem McKeown, to deny Development Review Permit Application No. 99-010 and reduced parking permit Application No. 99-003 for the Lantana East Project.

Substitute motion by Councilmember Katz, seconded by Councilmember Holbrook, to continue the project with permission of applicant, ask developer to work with staff and neighbors to resolve the traffic problems, get consensus for approval, and return to Council. The substitute motion failed by the following vote:

AYES: Councilmembers Holbrook, O=Connor, Katz

NOES: Councilmembers Bloom, Genser, Mayor Pro Tem McKeown, Mayor Feinstein

ABSENT: None

Councilmember Genser amended his motion to include the phrase Awithout prejudice.@ The amendment was friendly to the seconder. The main motion, as amended, was approved by the following vote:

AYES: Councilmembers Genser, Bloom, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: Councilmembers Katz, O=Connor, Holbrook

ABSENT: None

Motion by Councilmember Genser, seconded by Mayor Pro Tem McKeown, to deny Development Review Permit Application No. 99-011 and Reduced Parking Permit 99-004 for the Lantana South project, without prejudice. The motion was approved by the following vote:

AYES: Councilmembers Genser, Bloom, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: Councilmembers Katz, O=Connor, Holbrook

ABSENT: None

ORDINANCES:

DEVELOPMENT REVIEW THRESHOLDS

7-A: Second reading and adoption of Interim Ordinance No. 2058 (CCS) entitled: AAN ORDINANCE OF THE CITY OF SANTA MONICA MODIFYING THE DEVELOPMENT REVIEW THRESHOLDS IN THE C-3, C3C, AND BSC DISTRICTS TO 7,500 SQUARE FEET, AND EXEMPTING AFFORDABLE HOUSING PROJECTS OF 50 UNITS OR LESS FROM DEVELOPMENT REVIEW PERMIT AND CONDITIONAL USE PERMIT,@ was presented.

Motion by Mayor Pro Tem McKeown, seconded by Mayor Feinstein, to adopt ordinance, reading by title only and waiving further reading thereof. The motion was approved by the following vote:

AYES: Councilmembers Genser, Bloom, O=Connor, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: Councilmembers Katz, Holbrook

ABSENT: None

PARKING METER FEES

7-B: Second reading and adoption of Ordinance No. 2059 (CCS) entitled: AAN ORDINANCE OF THE CITY OF SANTA MONICA AMENDING CHAPTER 3 RELATING TO VEHICLES DISPLAYING CLEAN AIR VEHICLE DECALS AND WAIVING OF PARKING METER FEES,@ was presented.

Motion by Mayor Pro Tem McKeown, seconded by Councilmember Katz, to adopt ordinance, 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

DEVELOPMENT REVIEW THRESHOLDS

7-C: Introduction and first reading of an interim ordinance entitled: AAN ORDINANCE OF THE CITY OF SANTA MONICA MODIFYING THE DEVELOPMENT REVIEW THRESHOLDS IN THE C-3, C3C, AND BSC DISTRICTS TO 7,500 SQUARE FEET, AND EXEMPTING AFFORDABLE HOUSING PROJECTS WITH NO MORE THAN 50 UNITS FROM DEVELOPMENT REVIEW PERMIT AND CONDITIONAL USE PERMIT CITYWIDE,@ was presented.

The following members of the public spoke in opposition to the ordinance, as proposed: Tricia Halloran, Gordon McGee, Jessica Frazier, Jeff Weinstein, Maxine Meltzer, Karl Schober, and Taylor Kincaid.

The following members of the public spoke in support of the ordinance, as proposed: James Mount, Doris Ganga, Jason Parry, Margaret Mills, Michael Gruning, Lu Artz, Paul DeSantis, Joanne Leavitt, Sandie Richards, Franceye Smith, Beth Leder Pack, Jame Zazow, Betty Mueller, Karin Pally, Patricia Hoffman, and Ralph Mechur.

Motion by Mayor Pro Tem McKeown, seconded by Councilmember Genser, to introduce ordinance, amending page 9, Section 3(a) to delete Aor at least ten percent (10%) . . . A and to the end of the sentence.

Discussion ensued on the motion and on the meaning and effect of the amendment. Councilmember Genser subsequently withdrew his second.

Motion by Mayor Pro Tem McKeown, seconded by Councilmember Genser, to introduce ordinance as proposed, reading by title only and waiving further reading thereof, with the added finding that this proposed ordinance is consistent with the City=s General Plan, including the Housing Element, and does not constitute nor is it intended to be an amendment to the City=s Housing Element.

Friendly motion by Mayor Feinstein, to add to the first line of page 4, section Ap@ after the word Aareas@ the phrase: A. . . and additionally adversely affect pedestrian orientation . . .@ The motion was accepted as friendly.

Deputy City Attorney Rosenbaum requested the following amendment of a correction to percentages of affordable housing under Section (aa) on page 6 of the ordinance: AThat 20% of the affordable housing units devoted to households with incomes of sixty percent of median income, and ten percent devoted to households with incomes of fifty percent.@ The request was accepted as friendly. The motion was approved by the following vote:

AYES: Councilmembers O=Connor, Bloom, Genser, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: Councilmembers Holbrook, Katz

ABSENT: None

PERS AMENDMENT

On order of the Mayor, Items 11-A and 11-B to be considered concurrently with Item 7-D.

7-D: Resolution No. 9810 (CCS) entitled: AA RESOLUTION OF INTENTION OF THE CITY OF SANTA MONICA TO AMEND CONTRACT BETWEEN THE CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY OF SANTA MONICA;@ and introduction and first reading of an ordinance entitled: AAN ORDINANCE OF THE CITY OF SANTA MONICA TO AMEND THE CONTRACT BETWEEN THE CITY AND CALPERS,@ were presented.

Members of the public Chuck Allord and Thomas Carter expressed their concerns regarding these matters.

RESOLUTIONS:

POA

11-A: Resolution No. 9811 (CCS) entitled: AA RESOLUTION OF THE CITY OF SANTA MONICA AUTHORIZING THE CITY MANAGER TO EXECUTE A MEMORANDUM OF UNDERSTANDING WITH THE SANTA MONICA POLICE OFFICERS ASSOCIATION,@ was presented.

UTU

11-B: Resolution No. 9812 (CCS) entitled: AA RESOLUTION OF THE CITY OF SANTA MONICA AUTHORIZING THE CITY MANAGER TO EXECUTE A MEMORANDUM OF UNDERSTANDING WITH THE UNITED TRANSPORTATION UNION, LOCAL 1785,@ was presented.

Motion by Councilmember Katz, seconded by Councilmember Genser, regarding Item 7-D, to adopt Resolution No. 9810 (CCS), 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 Katz, seconded by Mayor Pro Tem McKeown, regarding Item 7-D, to introduce and hold first reading of the ordinance, 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 Mayor Pro Tem McKeown, seconded by Councilmember Katz, regarding Item 11-A, to adopt Resolution No. 9811, reading by title only and waiving further reading thereof. 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

Motion by Councilmember Katz, seconded by Mayor Pro Tem McKeown, regarding Item 11-B, to adopt Resolution No. 9812 (CCS), reading by title only and waiving further reading thereof. 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

STAFF ADMIN. ITEMS:

WASTE TRANSFER STATION

8-A: Design of new City Solid Waste transfer station facility B recommendation to direct staff to proceed with the design of a new solid waste transfer station facility.

On order of the Mayor, this matter was continued to November 26, 2002, as a 5-Item.

TRASH LOADER

8-B: Purchase of one trash loader B recommendation to award Bid No. 2842, in the amount of $199,953.99, to Coastline Equipment to furnish and deliver one loader for the Environmental & Public Works Management Department (Continued from August 13, 2002.)

On order of the Mayor, this matter was continued to November 26, 2002, as a 5-Item.

REFUSE-HAULER TRUCK TRACTOR

8-C: Purchase of one refuse-hauler truck tractor B recommendation to award Bid No. 2849, in the amount of $145,572.44, to Boerner Truck Center, to furnish and deliver one truck tractor for the Environmental & Public Works Management Department (Continued from August 13, 2002.)

On order of the Mayor, this matter was continued to November 26, 2002, as a 5-Item.

HOMEOWNERS FOR FREEDOM OF CHOICE INITIATIVE

Councilmember Katz was excused at 1:05 a.m.

8-D: Qualification of Initiative Petition for Proposed Ordinance Entitled Homeowners Freedom of Choice Initiative, and Recommendation to Adopt the Ordinance, Order a Special Election, or Order a Report, as Provided for in the State Elections Code, was presented.

The following members of the public spoke in support of adopting the ordinance: Greg Poirier, Chuck Allord, Marc Schrobilgen, Phil Grunland, Doug Rawson, James Meyer, Tom Carter, Tom Larmore, Clifford Stern, Margaret Hoarst, and Paul DeSantis.

The following members of the public spoke in support of calling a special election: Nina Fresco, Jamie Zazow, Elan Glasser, Ruthann Lehrer, Jerry Rubin, Rick Laudati, Tom Cleys, Barbara Schnitzler, and Bill Finkelstein.

Motion by Councilmember Holbrook, to adopt the initiative=s proposed ordinance. The motion died for lack of a second.

Motion by Mayor Feinstein, seconded by Councilmember Bloom, to direct staff to prepare an impact report including, but not limited to effects on historical resources, comparisons of other cities, and CEQA issues. The motion was approved by the following vote:

AYES: Councilmembers O=Connor, Bloom, Genser, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: Councilmember Holbrook

AYES: Councilmember Katz

Motion by Mayor Feinstein, seconded by Councilmember Bloom, to direct staff to provide information on process and cost of an all-mail election, a concurrent election with different time limitations, timing for adding other measures, City TV issues. The motion was approved by voice vote, with Councilmember Holbrook in opposition and Councilmember Katz absent.

Motion by Mayor Feinstein, to direct the Landmarks Commission to discuss and make suggestions on an alternative measure incorporating incentives, as quickly as possible. The motion died for lack of a second.

CITY YARDS EXPANSION PROJECT

8-E: City Yards Expansion Project B recommendation to authorize the City Manager to negotiate and execute a contract with RNL Design, in the amount of $5,915,000, for the Corporation Yards Expansion Project.

On order of the Mayor, this matter was continued to November 26, 2002 as a 5-Item.

WRITTEN COMMUNICATIONS:

GARBAGE/TRASH COMPACTOR

Councilmember Holbrook was excused at 2:18 a.m.

12-A: Request of Marcia Jacobs to address Council to request that the garbage/trash compactor located on Ocean Front Walk, next to businesses and residences, be relocated to a location away from tourist traffic and eating establishments and residences above, was presented.

Member of the public Michael Klein spoke in support of the request.

Motion by Councilmember Genser, seconded by Mayor Feinstein, to await a report on the situation after the summer is over, prior to taking any action. The motion was unanimously approved by voice vote, with Councilmembers Holbrook and Katz absent.

COUNCIL ITEMS:

LANDMARKS COMMISSION

13-A: Appointment to one special vacancy on the Landmarks Commission with a term ending June 30, 2004.

At the request of Councilmember O=Connor, and on order of the Mayor, the City Clerk was directed to republish the vacancy and return to Council after 30 days.

PIER RESTORATION CORPORATION

13-B: Appointment to three annual vacancies on the Pier Restoration Corporation with terms ending November 14, 2006.

On order of the Mayor, this item was continued to November 26, 2002.

PREFERENTIAL PARKING

13-C: Request of Mayor Pro Tem McKeown that Council authorize staff to examine the feasibility of grandparented non-employee parking within Preferential Parking Zone UU for the historic 1927 Embassy Hotel and Apartments, and return with options, was presented.

Member of the public Michael Klein, representing the owner of the property, spoke in support of the request.

Motion by Mayor Pro Tem McKeown, seconded by Mayor Feinstein, to approve request.

Substitute motion by Councilmember Bloom, seconded by Councilmember Genser, to direct staff to examine all options for parking related to the Embassy Hotel. The motion was approved by voice vote, with Councilmember O=Connor voting in opposition, and Councilmembers Katz and Holbrook absent.

MTA REPRESENTATION

13-D: Request of Councilmember Genser to support Councilmember O=Connor=s reappointment for candidacy for the Southwest Corridor position on the Metropolitan Transportation Authority Board, to direct staff to take appropriate steps, and to authorize Councilmember O=Connor to represent, and vote on behalf of, the City of Santa Monica.

Motion by Councilmember Genser, seconded by Mayor Feinstein, to approve request. The motion was unanimously approved by voice vote, with Councilmembers Katz and Holbrook absent.

CLOSED SESSIONS:

2-A: Conference with Real Property Negotiator.

Property: 1751 - 1753 Cloverfield

Owner of Record: Andrew Lessman, Your Vitamins Inc.

City Negotiator: Mark Richter, Real Estate Manager

Under Negotiation: Acquisition of Real Property

ACTION: Heard. No reportable action taken.

2-B: Conference with Labor Negotiator:

City Negotiator: Karen Bancroft, Director of Human Resources

Bargaining Units: Santa Monica Police Officers Assn. (POA)

United Transportation Union (UTU)

ACTION: Heard. No reportable action taken.

2-C: Conference with Legal Counsel B Existing Litigation: City of Santa Monica v. Shell Oil Co., Case No. 01CC04331.

ACTION: Not heard.

2-D: Conference with Legal Counsel B Anticipated Litigation:

Number of cases: Six.

ACTION: Four cases heard. No reportable action taken on two cases. Action taken on two cases is as follows:

Motion by Mayor Feinstein, seconded by Mayor Pro Tem McKeown, to approve settlement to allow an 18-inch intrusion to the rear yard set back for the project located at 2213 14^thStreet. The motion was approved by the following vote:

AYES: Councilmembers O=Connor, Bloom, Genser, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: None

ABSENT: Councilmembers Katz, Holbrook

Motion by Councilmember O=Connor, seconded by Mayor Feinstein, to approve settlement and allow property owner to build a driveway as previously approved at the project located at 1507 20^th Street. The motion was approved by the following vote:

AYES: Councilmembers O=Connor, Bloom, Genser, Mayor Pro Tem McKeown, Mayor Feinstein

NOES: None