Minutes 2003-03-1094
MINUTES OF A REGULAR MEETING OF THE
CYPRESS CITY COUNCIL
HELD
March 10, 2003
A joint regular meeting of the Cypress City Council and Redevelopment Agency was
called to order at 5:38 p.m. by Mayor /Agency Chair McCoy in the Executive Board
Room, 5275 Orange Avenue, Cypress, California.
PRESENT: Council Members /Agency Board Members McGill, Piercy, Sondhi,
Mayor /Agency Chair McCoy
ABSENT: Mayor Pro Tem /Agency Vice Chair Keenan
STAFF PRESENT: City Manager, City Attorney, Director of Finance and
Administrative Services, Community Development Director, Public Works Director,
Recreation and Community Services Director, Assistant Community Development
Director, Housing Coordinator, and City Clerk.
The Community Development Director stated that on January 13, 2003, the
Redevelopment Agency adopted a Comprehensive Affordable Housing Strategy, which
included six recommendations. One of the recommendations was to potentially create a
hybrid homeownership program in the current for sale housing projects that are being
proposed along Lincoln Avenue. This would assist the Agency in meeting its
Inclusionary Housing Obligations. The City is currently deficient in approximately 84
units over the life of the redevelopment plans.
He stated an Inclusionary Housing Policy will be presented for consideration by the
Agency at a future meeting. Staff has spoken with Cypress College regarding creating
affordable housing on the campus and discussions have also been held with housing
organizations, developers, and current property owners.
The Community Development Director stated a proposed residential townhome
development on Lincoln Avenue within the Lincoln Avenue Redevelopment Project
Area appears to be well suited to the hybrid homeownership recommendation included
in the Strategy. The building configuration, unit sizes, and proposed sale prices make
the townhomes affordable in terms of market rate. Staff has met with the developer to
determine if he would be interested in not only meeting his 15% requirement but also
the possibility of getting more units above that, which the developer is willing to explore.
Felise Acosta, Rosenow Spevacek Group, stated that the developer's financial analysis
was used to prepare a basic analysis that showed their cost and revenue expected and
to confirm their information. A sensitivity analysis was done to determine if the
developer could provide the two affordable units required by redevelopment law and still
maintain a level of profitability that was adequate. It was determined that it was feasible
to provide two affordable units.
She stated an analysis was done to determine the impact to the developer if five
affordable units were provided. It was determined that it would require $170,000 to
$180,000 in additional revenue to the developer to make the project profitable at an
acceptable level.
The Community Development Director stated if the Agency chose to participate in this
partnership with the developer, the money would not be given directly to the developer
but made available to the homebuyers. The funds for the project would come from the
Low and Moderate Income Housing Fund.
CITY COUNCIL MINUTES
MARCH 10, 20Qi, r
Council Member Piercy asked if the developer would be providing the two low income
units in the project.
The Community Development Director stated the developer is only obligated to provide
one very low income and one moderate income unit. He stated the Agency's
contribution of $175,000 equals three moderate and about one half of one of the low
units.
The City Attorney reported that the City Council would be meeting in a Joint Closed
Session with the Redevelopment Agency regarding Conference with Legal Counsel —
Anticipated Litigation, pursuant to Government Code Section 54956.9(b), Number of
Cases: One.
The City Attorney reported that the Redevelopment Agency would be meeting in Closed
Session regarding Conference with Real Property Negotiators, pursuant to Government
Code Section 54956.8, Real Property Identified by APN Numbers 241 - 091 -27, 241-
091 -28, 241 - 091 -29, 241 - 091 -30, 241 - 091 -33, and 241 - 091 -34; Consisting of
approximately 18 Acres at Northwest corner of Katella Avenue and Walker Street within
the Los Alamitos Race Track and Golf Course Redevelopment Project Area,
Negotiating Party: Executive Director, Deputy Executive Director, and Agency Counsel;
Under negotiation: Price and Terms of Payment.
At 6:10 p.m., the Mayor recessed the meeting.
7:00 P.M. SESSION:
The 7:00 p.m. session of the City Council meeting was called to order at 7:15 p.m. by
Mayor McCoy.
PRESENT: Council Members McGill, Piercy, Sondhi, Mayor McCoy
ABSENT: Mayor Pro Tem Keenan
STAFF PRESENT: City Manager, City Attorney, Director of Finance and
Administrative Services, Community Development Director, Chief of Police, Public
Works Director, Recreation and Community Services Director, Assistant Community
Development Director, Associate Planner, and City Clerk.
PLEDGE OF ALLEGIANCE: The Pledge of Allegiance was led by Council Member
McGill.
INVOCATION: The invocation was given by City Attorney Wynder.
REPORT OF WORKSHOP AGENDA/CLOSED SESSION:
The Mayor asked for the report of the Workshop Agenda items discussed earlier in the
evening.
The City Manager reported that staff presented to the Council for consideration a
concept to provide an affordability component in a housing project that could be located
on Lincoln Avenue. The three redevelopment project areas in the City have
requirements of low and moderate income housing types and this concept would assist
in fulfilling that obligation.
The Mayor asked for the report of the Closed Session Agenda items discussed earlier
in the evening.
The City Attorney reported that the City Council met in a Joint Closed Session with the
Redevelopment Agency regarding Conference with Legal Counsel — Anticipated
Litigation, pursuant to Government Code Section 54956.9(b), Number of Cases: One.
The City Attorney stated the City is considering whether to initiate litigation in one case.
2
CITY COUNCIL MINUTES
MARCH 10, 2003 ` n C
A brief status report was provided on the issues, facts, and circumstances that could
give rise to the initiation of litigation.
The City Attorney reported that the Redevelopment Agency met in Closed Session
regarding Conference with Real Property Negotiators, pursuant to Government Code
Section 54956.8, Real Property Identified by APN Numbers 241 - 091 -27, 241 - 091 -28,
241 - 091 -29, 241 - 091 -30, 241 - 091 -33, and 241 - 091 -34; Consisting of approximately 18
Acres at Northwest corner of Katella Avenue and Walker Street within the Los Alamitos
Race Track and Golf Course Redevelopment Project Area, Negotiating Party:
Executive Director, Deputy Executive Director, and Agency Counsel; Under negotiation:
Price and Terms of Payment. The City Attorney stated a status report was provided on
on -going negotiations regarding the potential sale and /or development of this site.
The City Attorney stated that Council Member /Agency Board Member Sondhi did not
participate in previous Closed Sessions because those discussions involved the entire
300 acre Los Alamitos Race Track and Golf Course Redevelopment Project Area and
not just individual sites. Under the Political Reform Act and Conflict of Interest rules that
have been developed, if a member of the Redevelopment Agency owns property in
proximity to any portion of the project area, it would disqualify them from participating in
connection with anything relating to the entire project area. Now that the lawsuits have
been resolved with the Los Alamitos Race Track and issues have been resolved with
Cottonwood Christian Center with respect to the entire project area, a new radius map
was done and property measured for each Agency Member's ownership of real
property in proximity to the individual parcels. Legal counsel has concluded that there
would be no conflict of interest for all of the members of the Agency to participate on
this site with these assessor parcel numbers.
No other action was taken in Closed Session, nor was any solicited.
ORAL COMMUNICATIONS: LIMITED TO ONE -HALF HOUR. (THREE MINUTES
PER SPEAKER, SPEAKING ONCE.)
Mayor McCoy asked anyone who wished to speak on any topic not included on the
meeting Agenda to come forward.
Mary Crowder, Cypress, spoke regarding wood chips in playground sandboxes, support
of the re- opening of Holder Street, opposition to the recent letter to the editor in a local
newspaper regarding the City Council, opposition to letters and public comments from
Gail Kerry, and the contract with Briggeman Disposal.
Vicki and Kimmy Griffin, Cypress, spoke regarding wood chips in playground
sandboxes.
James Caiopoulos, Galaxy Oil Company, commended City staff and presented a
"Golden Shovel Award" to the Council in recognition of staff's assistance with the
Galaxy Cypress /Chevron Subway project on the southwest corner of Lincoln and
Moody. He invited the City Council, City employees, and the public to the grand
opening events at the Chevron /Subway station on March 14 -16, 2003.
Greg Vena, Costco Wholesale, spoke in support of Agenda Item No. 8.
Mary Parmenter, Cypress, spoke in opposition to the re- opening of Holder Street.
Robin Onodera, Cypress, spoke in opposition to the re- opening of Holder Street.
PUBLIC HEARINGS: 7:00 P.M. (PUBLIC COMMENTS RESTRICTED TO TEN
MINUTES PER SPEAKER, UNLESS EXTENDED BY THE CITY COUNCIL).
3
CITY COUNCIL MINUTES MARCH 10, 2003
9'7
Item No. 1: PUBLIC HEARING REGARDING A REQUEST TO APPROVE
CONDITIONAL USE PERMIT NO. 2002 -19 AND TENTATIVE TRACT MAP NO. 16460
FOR THE CONSTRUCTION OF SIXTY -THREE (63) CONDOMINIUM UNITS ON THE
PROPERTY LOCATED AT THE NORTHEAST CORNER OF LINCOLN AVENUE AND
SUMNER PLACE (4801 LINCOLN AVENUE) IN THE PC PLANNED COMMUNITY
ZONE, LINCOLN AVENUE SPECIFIC PLAN AREA.
The Associate Planner provided background information on the item.
Council Member Sondhi asked about trash bin /collection requirements.
The Associate Planner stated each project is evaluated on a case -by -case basis.
The public hearing was opened.
The applicant, Jeffrey Lee, Nevis Homes, stated the standard trash bin amounts are
double trash bins for every 10 to 15 units. The bins are very large and are emptied
twice a week. He stated it is cost prohibitive to provide low and moderate income units
and he would like to ask the Council to remove the low income units requirement.
Mayor McCoy asked if there was anyone who wished to speak in favor of the item.
The following persons spoke in favor of the project:
Rickey Jones, Cypress
Raul Sanchez, Cypress
David Dugoncevic, Cypress
Mayor McCoy asked if there was anyone who wished to speak against the item.
Chris Calkins, Cypress, spoke in opposition of the project.
Mr. Lee stated the two issues that residents have concerns about are traffic and
parking. He stated some of the residents would like to see a signal installed at Sumner
and Lincoln and the curb outside of the project painted red to prohibit parking.
The public hearing was closed.
Council Member McGill asked about the sewer system at Lincoln and Moody, and the
issues relating to traffic.
The Public Works Director stated that staff would like to resolve the traffic related
issues and would accept the applicant's submittal of a sewer plan that is acceptable to
the City Engineer, prior to occupancy of the project.
Council Member McGill asked staff to address the affordability index or quotient and
how the City can assure there isn't built -in blight.
The Community Development Director stated the project is located in the Lincoln
Avenue Redevelopment Project Area and under California redevelopment law, the
Agency is required to ensure that not fewer than 15% of the total units constructed are
available to persons of low to moderate income. By law, four of the units would need to
be reserved for very low- income households. Staff has proposed that, in lieu of
imposing the very low- income requirement, which would result in a financial hardship,
that the applicant provide four low- income units and six moderate - income units.
He stated the covenant units would look just like all the rest of the units in the project
but would be occupied by people who are income eligible. The covenants would be
regulated by the Cypress Redevelopment Agency and the owners of the units. A
homeowners association would be in place that would ensure the maintenance and
operation of the project.
4
CITY COUNCIL MINUTES MARCH 10, 200h 98
Council Member Sondhi stated she would like to see the low and moderate income
units dispersed throughout the complex and asked about the possibility of a traffic
signal at the intersection in the future.
The Public Works Director stated the State of California has established a set of
guidelines with different warrants that can be used to consider the installation of a traffic
signal, which includes the amount of pedestrian traffic, volume of traffic, number of
traffic accidents, and other combinations of factors. The intersection does not meet the
warrant for pedestrian traffic and the volumes of traffic on the side streets are below the
thresholds for considering a traffic signal. If, in the future, the volumes or other factors
increase, the City could do another warrant analysis of the intersection. He stated the
parking and left turn issue on Sumner would be reviewed.
The Assistant Community Development Director stated that, based on the issues
addressed by the developer and City Council, staff would recommend modifying
Condition Nos. 35, 38, 49 and 76.
It was moved by Council Member Sondhi and seconded by Council Member Piercy, to
adopt the Resolutions by titles only, approving Conditional Use Permit No. 2002 -19 —
With Conditions and approving Tentative Tract Map No. 16460 — With Conditions, as
amended.
The motion was unanimously carried by the following roll call vote:
AYES: 4 COUNCIL MEMBERS: McGill, Piercy, Sondhi and McCoy
NOES: 0 COUNCIL MEMBERS: None
ABSENT: 1 COUNCIL MEMBERS: Keenan
RESOLUTION NO. 5638
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS,
APPROVING CONDITIONAL USE PERMIT NO. 2002 -19 —
WITH CONDITIONS.
RESOLUTION NO. 5639
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS,
APPROVING TENTATIVE TRACT MAP NO. 16460 —
WITH CONDITIONS.
CONSENT CALENDAR:
All matters listed on the Agenda under "Consent Calendar" are to be considered by the
City Council to be routine and will be enacted by one motion approving the
recommendations listed on the Agenda.
It was moved by Council Member Sondhi and seconded by Council Member Piercy, to
approve Consent Calendar Items No. 2 through 5.
The motion was unanimously carried by the following roll call vote:
AYES: 4 COUNCILMEMBERS: McGill, Piercy, Sondhi and McCoy
NOES: 0 COUNCILMEMBERS: None
ABSENT: 1 COUNCILMEMBERS: Keenan
Item No. 2: APPROVAL OF CITY COUNCIL MINUTES OF THE MEETINGS OF
FEBRUARY 24, 2003.
Recommendation: That the City Council approve the Minutes of the Meetings of
February 24, 2003, as submitted, with Council Member McGill abstaining on the
Regular Meeting Minutes due to his absence from the meeting.
5
CITY COUNCIL MINUTES MARCH 10, 20
Item No. 3: MOTION TO INTRODUCE AND /OR ADOPT ALL ORDINANCES AND
RESOLUTIONS PRESENTED FOR CONSIDERATION BY TITLE ONLY AND TO
WAIVE FURTHER READING.
Item No. 4: PROCLAIMING MARCH 15, 2003, AS "ARBOR DAY" IN THE CITY OF
CYPRESS.
Recommendation: That the Mayor and City Council officially proclaim March 15, 2003,
as "Arbor Day" in the City of Cypress.
Item No. 5: APPROVAL OF COMMERCIAL WARRANT LIST FOR WARRANTS NO.
58140 THROUGH 58346.
Recommendation: Approve the attached warrant register.
END OF CONSENT CALENDAR
ORDINANCES: (SECOND READING)
Item No. 6: SECOND READING OF ORDINANCE ADOPTING AMENDMENT NO. 1
TO THE GRINDLAY /ORANGE SPECIFIC PLAN ADDING A RESIDENTIAL
ALTERNATIVE FOR THE PROPERTY LOCATED AT THE NORTHWEST CORNER
OF GRINDLAY STREET AND ORANGE AVENUE.
It was moved by Council Member Piercy and seconded by Mayor McCoy, to adopt the
Ordinance by title only, adopting Amendment No. 1 to the Grindlay /Orange Specific
Plan for the properties located at the northwest corner of Grindlay Street and Orange
Avenue.
The motion was unanimously carried by the following roll call vote:
AYES: 4 COUNCILMEMBERS: McGill, Piercy, Sondhi and McCoy
NOES: 0 COUNCILMEMBERS: None
ABSENT: 1 COUNCILMEMBERS: Keenan
ORDINANCE NO. 1039
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CYPRESS,
CALIFORNIA, ADOPTING AMENDMENT NO. 1 TO THE GRINDLAY /ORANGE
SPECIFIC PLAN FOR THE PROPERTIES LOCATED AT THE NORTHWEST
CORNER OF ORANGE AVENUE AND GRINDLAY STREET.
Item No. 7: SECOND READING OF ORDINANCE AMENDMENT NO. 2003 -03, A
PROPOSAL TO AMEND SECTION 9 -8(B) OF THE CYPRESS CITY CODE
REGARDING LOCATIONAL AND OPERATIONAL REQUIREMENTS FOR LIVE
ENTERTAINMENT USES.
It was moved by Council Member Sondhi and seconded by Council Member Piercy, to
adopt the Ordinance by title only, amending Section 9 -8(b) of the Cypress City Code
regarding locational and operational requirements for live entertainment uses.
The motion was unanimously carried by the following roll call vote:
AYES: 4 COUNCILMEMBERS: McGill, Piercy, Sondhi and McCoy
NOES: 0 COUNCILMEMBERS: None
ABSENT: 1 COUNCILMEMBERS: Keenan
6
CITY COUNCIL MINUTES MARCH 10, 200
ORDINANCE NO. 1040
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CYPRESS,
CALIFORNIA, AMENDING SECTION 9 -8(B) OF THE CYPRESS CITY CODE
REGARDING LOCATIONAL AND OPERATIONAL REQUIREMENTS FOR
LIVE ENTERTAINMENT USES.
UNFINISHED BUSINESS
No items.
NEW BUSINESS
No items.
RECREATION & PARK DISTRICT MATTERS: The Cypress City Council, Acting as
the Ex Officio Governing Board of Directors.
No items.
The City Council meeting was recessed at 8:47 p.m.
CYPRESS REDEVELOPMENT AGENCY MATTERS: The Cypress City Council,
Acting as the Cypress Redevelopment Agency.
The Redevelopment Agency was called to order at 8:47 p.m.
PRESENT: Agency Board Members McGill, Piercy, Sondhi, Chairperson
McCoy
ABSENT: Agency Vice Chair Keenan
Item No. 8: CONSIDERATION OF EXCLUSIVE NEGOTIATION AGREEMENT
BETWEEN THE CYPRESS REDEVELOPMENT AGENCY AND COSTCO
WHOLESALE CORPORATION.
The Deputy Executive Director provided background information on this item.
It was moved by Agency Board Member Piercy and seconded by Agency Board
Member McGill, to approve the Exclusive Negotiation Agreement between the Agency
and Costco Wholesale Corporation for the approximately 18 acre site at the northwest
corner of Walker Street and Katella Avenue and authorize the Agency Chairman to
execute the Agreement.
The motion was unanimously carried by the following roll call vote:
AYES: 4 AGENCY MEMBERS: McGill, Piercy, Sondhi and McCoy
NOES: 0 AGENCY MEMBERS: None
ABSENT: 1 AGENCY MEMBERS: Keenan
The Redevelopment Agency was adjourned at 8:53 p.m.
The City Council reconvened at 8:53 p.m.
ORAL COMMUNICATIONS: For Matters Not on the Agenda.
None.
ITEMS FROM CITY COUNCIL MEMBERS:
Mayor McCoy requested reports from the Council Members on their respective
committee assignments.
7
CITY COUNCIL MINUTES MARCH 10, 200
Council Member Piercv:
Attended an O.C. Sanitation District meeting where a Fats, Oils and Greases (F.O.G.)
Impact Study was discussed. Attended a special meeting of the O.C. Sanitation District
where a report was provided on the monitoring of the coastal waters from Point
Concepcion to San Diego.
Mayor McCoy:
Attended a meeting with members of Cottonwood Christian Center regarding church
outreach in the community. Attended a meeting with the Financial Director for the State
of California regarding the budget.
ITEMS FROM CITY MANAGER:
No items.
ADJOURNMENT: Mayor McCoy adjourned the meeting at 8:58 p.m. in memory of John
Paul McGill, Council Member Mike McGill's father, to Monday, March 17, 2003,
beginning at 5:00 p.m. in the Executive Board Room.
MAYOR OF THE CITY or 'AIRIRESS
ATTEST:
CLER OF THE Y OF CYPRESS
8