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Minutes 86-06-09119 MINUTES OF A REGULAR MEETING OF THE CYPRESS CITY COUNCIL HELD June 9, 1986 The regular meeting of the Cypress City Council was called to order at 7:35 p.m. on Monday, June 9, 1986, in the Cypress City Council Chambers, 5275 Orange Avenue, Cypress, California, by Mayor Otto Lacayo. PRESENT: Councilmembers Kanel, Mullen, Partin and Lacayo ABSENT: Councilman Coronado Also present were Darrell Essex, City Manager /City Clerk, Mark IHuebsch, City Attorney, and staff members Beardsley, DeCarlo, Eynon, Hurst and Lowenberg. PLEDGE OF ALLEGIANCE: The allegiance. ;"es> a ,frF, ^hot,l 'Varsity Song Leaders led the pledge of ORAL COMMUNICATIONS: The Mayor asked if anyone wished to speak in regard to any matter that was not on the agenda. Mr. Pat n'Hara, 9170 Whitney Way, Cypress, reported that homeowners are concerned about a large container labeled "hazardous waste" which is situated 50 feet away from their homes on the Hyatt Die Cast property. He also reported that Hyatt recently trimmed the trees on their property. The side growth on the trees was trimmed but not the height of the trees. Mr. O'Hara requested that staff investigate these concerns. Mayor Lacayo requested that staff prepare a report on these items for the next meeting. PRESENTATIONS: Mayor Lacayo read a Resolution commending the Cypress High School Varsity Song Leaders on being selected as the "1986 World International Pom Pon Champions" at the International Finals which were held in Chicago in April. The Councilmembers presented the Pesolutions to Amy Moyle, Karen Kluth, Miehe Lano, Jill Barrett, Linda Kaczorowski, Kim Lockett, Michelle Mullens, Anne Shisler and Rick Schlichting, their Advisor. The Song Leaders presented the Council with a Cypress Centurion Pep Squad award of commendation and a plaque in appreciation for the Council's support. STAFF REPORTS & DISCUSSION: The City Manager advised the Council that the dedication ceremony for the Challenger crew is scheduled for Monday, June 16, at 1:30 p.m. He also reported that the breakfast meeting with the Chamber of Commerce has been tentatively set for Thursday, June 26, at 7 :00 a.m. at Peahens Restaurant. At the City Manager's request, the Mayor added the following items to the agenda: Item #27a regarding the reappointment of George F -rallak to the Cypress Recreation and Community Services Commission: Item #34 regarding the flyover at Valley View and Katella; Item #35 regarding a meeting with the Business Park Traffic Consultant; and Item #36 regarding the Civic Center improvement project. CONTINUATION OF PUBLIC HEARING RE: URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CYPRESS ENACTING A ZONING MORATORIUM ON HOTELS /MOTELS IN THE CH COMMERCIAL HEAVY ZONE: Mayor Lacayo declared the hearing open. The City Manager read into the record a letter from Councilman Coronado dated June 9 in which he supported staff recommendation #1 calling for extension of the moratorium for a period of 10 months and 15 days. The City Manager reported that a petition with 171. signatures in favor of a motel at 5651 Lincoln Avenue, along with an affidavit, was submitted by Mr. Jerry Jehoich, 5622 Saint Ann Avenue, Cypress. Mr. Essex read into the record a letter from Mr. Jehoich which expressed support for building a nice, well maintained motel at 5651 Lincoln Avenue and indicated that he surveyed the residents of Cypress Manor and all were in favor of the motel. The Planning Director summarized a report dated June 2 outlining staff's findings to date on the impact of hotels /motels and addressing the issues of long -term occupancy, lack of overnight visitors, overcrowding, kitchenettes and parking. Responding to Council questions, Mrs. Eynon indicated that long -term residency is established when a tenant begins paying in advance for a specified time period. The City Attorney indicated that it would be possible for the Council to allow the moratorium to lapse, consider an application which is pending, and then r "eenaet the moratorium. 120 City Council Minutes June 9, 1986 Councilman Kanel recapped the events relating to submittal of the motel application and the moratorium. He reported that on a recent weekend he visited the Cypress Lodge, Cloud 9 and Peacock Motels which, based on the number of cars, appeared to be busy. The Manager of the Poyal Inn reported the motel is doing well and they have overnight visitors and some of the kitchenettes are rented. Councilman Kanel felt there was a lack of first class motels in Cypress and that the older motels do not attract visitors to Cypress but are used by persons who cannot get into a home. Councilman Kanel stated staff's recommendation #2 would hold up motel development and he expressed support for recommendation #3 and having staff complete their study. Councilman Partin asked if recommendation #2 would delay the pending application. Staff indicated that if the requirement for a market study was made part of the Zoning Ordinance then the pending application would probably be heard before the ordinance is enacted. Councilman Partin stated he wanted a study performed to demonstrate whether there is a real need for more motel development and he recommended that it include a survey of industrial users and family needs. He stated he would consider the pending application and see what can be worked out and then proceed with the study or an ordinance to give the Council guidance. Mayor Lacayo asked if anyone wished to speak in regard to the moratorium. Mr. Hank Hickey, 4322 Fontainbleau, Cypress, representing the Cypress Chamber of Commerce, reported that their Industrial and Commercial Committee held a meeting with the Planning Director who explained the motel issues. He reported that a vote was taken on whether the moratorium should he extended and there were no votes in favor out of the 18 persons present. On the question of whether the Council should be asked to let the moratorium lapse, there were 16 votes in favor. The Mayor asked if the committee had discussed the requirement for a market study by motel applicants. Mr. Hickey indicated it was not addressed. Mr. Hickey reported it was their general feeling that the owners have had 25 years to do something with the old motels and what will another six months accomplish. He stated the businessmen are in favor of good commercial or industrial development on Lincoln in accordance with the zoning. Mrs. Carol Pomeroy, 5651 Lincoln, Cypress, the motel applicant, stated they would like to sell their property because this is the opportune time and they plan a quality motel which will be an asset and bring revenue to the City. Mrs. Pomeroy stated if they had not needed to revise their plans the plans would have been approved before the moratorium was enacted. She discussed personal reasons why they wish to sell the property. Mrs. Pomeroy reported she surveyed Lincoln Avenue businesses and tracts between Valley View and Bloomfield and Crescent and Cerritos and collected 300 signatures in favor of their project. She stated a record summer for tourists is predicted in Orange County and they will need a place to stay. Mrs. Pomeroy stated their buyer wants to move now with the plans they've had for years. Mayor Lacayo stated for the record that Mrs. Pomeroy is in favor of lifting the moratorium. Councilman Mullen stated he supported recommendation #3 and he felt it would address the needs of the City. He indicated that since this is the only pending motel application there would be no harm in allowing the moratorium to expire and then consider each future application on its merits. Mayor Lacayo asked what mechanism other cities use to deny kitchenette units or to require a market study. Staff reported that applications can be addressed individually and conditioned via the conditional use permit process to require the market study or prohibit kitchenettes, but the processing of applications would be more expedient if these requirements were contained in the Zoning Ordinance. Mayor Lacayo stated he was concerned about approving a surplus of motel units and having existing or new motels suffer from a lack of business. He indicated he would support the testimony heard tonight and agree with lifting the moratorium but asked that the Council proceed with a policy that requires a market study from each motel applicant to justify the need for motels. He stated the Council recognizes that kitchenettes promote long term use and that he would oppose kitchenettes in motels. Councilmembers Mullen and Kanel felt the issue of kitchenettes should be addressed with each specific application. Councilman Kanel stated the current application proposes 10 kitchenettes out of 52 units which is the lowest ratio and he indicated there is a need for kitchenettes by persons who may be in the process of job relocation or changing homes. Councilman Kanel felt a City required market study would be a precedent in the free enterprise system and indicated that developers will independently check out the market to determine if a project will be viable. Councilman Mullen agreed that kitchenettes need more study but indicated kitchenette facilities may be preferable to motel tenants bringing in unsafe cooking appliances like hot plates or oil burners. -2- 121 City Council Minutes June 9, 1986 It was moved by Councilman Mullen and seconded by Councilman Kanel to deny the Urgency Ordinance extending the hotel /motel moratorium and review all projects based on their own merit by applying the required development standards of the Zoning Ordinance and standard conditions of approval for hotel /motel uses. Councilman Partin stated he strongly supported property rights and allowing property owners to proceed with development of their property and that he would support the motion. Mayor Lacayo stated he would support it also. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBER.S: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado Mayor Lacayo asked that the Council authorize staff to proceed immediately with a market study to determine the need for motels on Lincoln Avenue. Mr. Essex stated a consultant may be needed and he suggested that staff return with a report relating to the consultant's study. Councilman Mullen questioned whether a market study was a proper matter for the Council to consider. He reported that the issue arose some years ago with a 7 -11 development and the former City Attorney ruled it to be unconstitutional and the Zoning Ordinance was changed to delete that requirement. He asked that staff research the history on this matter. The Council requested that staff submit a report on the market study and hiring of a consultant. The City Manager indicated that the public hearing notice on the pending motel application will be submitted tomorrow and the hearing will be held at the June 23 meeting. PUBLIC NEARING RE: AMENDMENT TO CONDITIONAL USE PERMIT NO. 82 -18, H & M RECREATIONAL VEHICLE STORAGE YARD (HYATT DIE CAST), 4656 LINCOLN AVENUE: Mayor Lacayo opened the public hearing. The City Manager read a petition signed by all residents on Julie Beth Street and some residents on Newman which requested that the amendment be denied based on their feeling that it would be detrimental to the health, welfare and safety of the residents. The Planning Director presented a report dated May 29 describing the request by H & M Recreational Vehicle Storage Yard to change their hours of operation from 9 a.m. - 5 p.m. to 7 a.m. - 10 p.m. Dr. John Meschuck, the applicant, reported that the storage yard operators requested the removal of 14 vehicles which they felt were unsightly. He indicated that all 22 conditions of the original C.U.P. have been met and they are trying to have a good relationship with their neighbors. Dr. Meschuck reported that they document any noise which occurs in the vicinity and submit a monthly report to the Cypress Police Department. He indicated that residents automatically assume noise is attributable to Hyatt or the RV yard and this is not necesssarily true since there are other noise sources such as the two adjacent businesses on Lincoln. Dr. Meschuck reported the RV yard stores over 100 vehicles belonging to Cypress residents and the change in hours is requested to accommodate a small percentage (1 %). He reported the yard is 75% full, there is a need for the storage yard, and last month they had 10 new tenants. Dr. Meschuck stated they would be flexible about having extended hours during daylight savings time and don't need to be open until 10 p.m. in winter. He reported that most in and out traffic occurs on weekends. The Security Manager of H & M, Mr. Steve Bascal, reported that about 25% of the tenants store their cars in the yard and leave in their motor homes. Other tenants tow the family car with RVs. He indicated that some persons returning from a trip in their RVs have another family member pick them up in a car. The Mayor asked if anyone wished to speak in support of the amendment to change the hours. No one wished to speak in support. He asked if anyone wished to speak in opposition. Mrs. Ann Marie McLaughlin, 9161 Julie Beth, Cypress, stated the residents previously expressed concerns about the RV yard operating in violation of their approved hours. She reported her weekend hours before 8 a.m. are disrupted by idling RV engines and clanging noises when RVs are backing up. She stated that on many Sunday evenings after 6 p.m. they are subjected to loud or offensive language as RV owners clean their vehicles. She stated that because of her husband's work she is alone often at night and feels her safety and security are threatened because people may have access to her yard. She requested that the Council maintain the hours originally set in the C.U.P. which are normal business hours. -3- 122 City Council Minutes June 9, 1986 Mr. Howard Neal, 9171 Julie Beth, stated that during the 20 years he has lived here the quality of the neighborhood has been diminished because of the interference of the businesses which should not be there in the first place. He stated the neighbors have made compromise after compromise and it is time for the storage yard to compromise. He requested that the current hours remain in effect and he asked what happened to the proposal for valet parking. Mr. Jack Wannabu, 9141 Julie Beth, stated he saw no reason to extend the hours and that there was no need for valet parking. He stated he did not want to hear loud noises and talking, and he reported that beer bottles have been thrown into his yard. Staff indicated they were unaware whether valet parking has been implemented and reported that there was a C.T.J.P. provision for it but not a requirement. Mr. Wayne Stallnecker, 4811 Fieldbrook Lane, president of the board of directors of Influential Townhomes, stated their residents are concerned about extended hours because of the noise factor and unsightliness of the RV yard. He stated that if the hours are extended to 10 p.m. they would he violently opposed to the installation of floodlights which might shine into the second -story windows that look down into the storage yard. Mr. Fred Glass, 9210 Whitney Way, expressed objection to the property owner continually violating the C.U.P. He stated the homeowners are still interested in getting trees to shield their property, and many of the trees which were bushy were recently cut back and are in sad shape. He indicated the landscaping should have provided screening years ago. Mr. Glass questioned why the hours should be extended for a small percentage of the business. Mr. Les Wilson, 9190 Whitney Way, stated he opposes an extension of hours. He stated he is retired and hears noise every day of the week. He indicated that at the time of the C.U.P. application, it was agreed the hours would be retricted to normal business hours so they would not impact the neighbors. Mrs. Wilma Wilson, 9190 Whitney Way, stated if people bring in their RVs at 5 p.m. it does not mean they will leave immediately and they may remain on the property until late at night. Dr. Meschuck spoke in rebuttal. He reported that when the problem of had language and clanging noise came up he requested the security manager to begin monitoring the noise and it has been monitored for the last six months and documented to the Police Department. Dr. Meschuck stated the RV yard is always blamed for noise and often it is created by Cypress Auto Tow or Systems Reefer which has large trucks moving seven days a week at all hours. He stated it is not the RV people making the noise. Dr. Meschuck reported the RV yard is 35 to 40 yards from the homes and he did not feel the beer bottles were thrown from the RV yard. He stated valet parking was discussed hut nothing came of it. Dr. Meschuck stated there has never been an RV arriving at 10 p.m. or later and they cannot get in because of the gate. He stated the cars are brought in late by Cypress Auto Tow. Chief Lowenberg stated he did not believe the Police Department had received any complaints from residents concerning Hyatt, Cypress Auto Tow or Systems Reefer. It was moved by Councilman Kanel and seconded by Councilman Mullen to close the hearing and adopt the Resolution by title only, title as follows, denying, the Amendment to Conditional Use Permit #82 -18 and retaining the existing operating hours of 9 a.m. to 5 p.m.: RESOLUTION NO. 3096 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS DENYING AMENDMENT TO CONDITIONAL USE PERMIT NO. 82 -18. Councilman Kanel stated he could not approve a change in hours and hoped that it would not hurt business. Councilman Mullen stated he could not support the change without the business's support from its neighbors. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILVEMi3FRS: Kane!, Mullen, Partin N I,aeavo NOES: 0 COUNCll MEMBE 0:: "'one ABSENT: 1 CO1JN rif, w17iF } <;-: /nrivl 123 City Council Minutes June 9, 1986 PUBLIC HEARING RE: AMENDMENT TO THE ZONING ORDINANCE NO. 86 -3, OFF - STREET PARKING: Mayor Lacayo opened the public hearing. The Planning Director summarized a report dated June 3 indicating the amendment will allow required off - street parking spaces in the BP- 20,000 Business Park Zone to be permitted off -site as an accessory use subject to City regulations. Off -site parking located within 300 feet of the primary site will be subject to Design Review and off -site parking spaces located between 300 to 600 feet from the primary site shall be permitted subject to a conditional use permit. Accessory parking spaces located further than 600 feet are prohibited. The Mayor asked if anyone wished to speak in support of the proposed amendment. Mr. Jeff Smith, representing Cabot, Cabot & Forbes, stated they are in favor of the amendment. He stated they will be applying for a conditional use permit on behalf of McDonnell Douglas which needs an additional parking lot. There were no speakers in opposition. It was moved by Councilman Mullen and seconded by Councilman Partin to close the hearing and approve the first reading of the Ordinance by title only, title as follows: ORDINANCE NO. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CYPRESS AMENDING SECTION 14.2.A.4 OF ORDINANCE NO. 640, OF THE ZONING ORDINANCE OF THE CITY OF CYPRESS, KNOWN AS AMENDMENT TO THE ZONING ORDINANCE NO. 86 -3. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado RECESS: The Mayor called a recess at 9:45 p.m. The meeting reconvened at 9:53 p.m. with Councilman Coronado absent. CONSENT CALENDAR: All items listed on the agenda under "Consent Calendar" are to be considered by the Council as routine and enacted by one motion approving the recommendations on the agenda. It was moved by Councilman Kanel and seconded by Councilman Mullen to approve Consent Calendar Items #16 through #27a. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado Item #16: Motion to Approve City Council Minutes of the Regular Meeting of May 27, 1986. Recommendation: That the City Council approve the Minutes of May 27, 1986 as submitted, with Councilmembers Coronado and Lacayo abstaining due to their absence at the meeting. Item #17: Motion to Introduce and /or Adopt All Ordinances Presented for Consideration by Title Only and to Waive Further Reading. Item #18: Consideration of Employment List - Administrative Services Secretary. Recommendation: That the City Council certify the employment list for the position of Administrative Services Secretary as submitted. Item #19: Consideration of Employment List - Assistant Civil Engineer. Recommendation: That the City Council certify the employment list for the position of Assistant Civil Engineer as submitted. Item #20: Consideration of .Appropriation of 1968 Drainge Bond Debt Service Fund. Recommendation: That the City Council authorize an appropriation of $208 from the fund balance of the 1968 Drainge Bond Debt Service fund and appropriate $5 to Account 4208 -51- 361-15 and $203 to Account 4212 -51-- 361 -15. 124 City Council Minutes June 9, 1986 Item #21: Consideration of a New Off -Sale Beer and Wine License at AM -PM Mini -Mart, 5012 Lincoln Avenue, Cypress. Recommendation: Receive and file. Item #22: Consideration of Recommendations of Traffic Commission Meeting of May 20, 1986. Recommendation: That the City Council: (1) adopt the Resolution by title only, title as follows, establishing a "No Parking" zone on the east side of Walker Street from 10 feet north of the northerly drive approach of Casa Walker Apartments to 80 feet south of Walker Court; and (2) approve the concept for an opening in the median island on Lincoln Avenue allowing left -turn access into Cypress Nissan and direct the City Engineer to modify the median as part of the island landscaping project on Lincoln Avenue: RESOLUTION NO. 3097 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS ESTABLISHING ONE CONTINUOUS "NO PARKING ANY TIME" AREA ON THE EAST SIDE OF WALKER STREET FROM 10 FEET NORTH OF THE NORTHERLY DRIVE APPROACH OF CASA WALKER APARTMENTS, LOCATED AT 9622 -8642 WALKER STREET, TO 80 FEET SOUTH OF WALKER COURT. Item #23: Consideration of Annual Requalification of Participating Cities in the County of Orange Arterial Highway Financing Program (AHFP). Recommendation: That the City Council adopt the Resolution by title only, title as follows, informing the AHFP Advisory Committee that the Circulation Element of the Cypress General Plan conforms to the County Master Plan of Arterial Highways: RESOLUTION NO. 3098 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CYPRESS INFORMING THE ORANGE COUNTY ARTERIAL HIGHWAY FINANCING PROGRAM ADVISORY COMMITTEE THAT THE CIRCULATION ELEMENT OF THE CYPRESS GENERAL PLAN CONFORMS TO THE COUNTY MASTER. PLAN OF ARTERIAL HIGHWAYS. Item #24: Consideration of Dedication of MDC Sewer Main to the City of Cypress. Recommendation: That the City Council accept the easement and dedication of the described sewer main to the City and authorize the City Clerk to execute and record the easement deed. Item #25: Consideration of a Request to Newly Appoint One Representative and One Alternate to Serve on the Advisory Committee of the Orange County Housing Commission. Recommendation: That the City Council appoint Cary Abbott as the City's representative and Vern Jones as alternate to the Orange County Housing Commission. Item #26: Consideration of Reassignment of Budgeted Capital Funds. Recommendation: That the City Council, acting as the ex officio governing Board of Directors of the Cypress Recreation & Park District, approve reassignment of $685 from the purchase of dance mirrors to purchase four 15 foot ballet barres from Ballet Barres, Inc. of Arcadia, Florida, as recommended by staff. Item #27: Consideration of Donation of $500 from Briggeman Disposal Services, Inc. Recommendation: That the City Council, acting as the ex officio governing Board of Directors of the Cypress Recreation & Park District, formally accept the donation in the amount of $500 from Briggeman Disposal Services, Inc. Item #27a: Consideration of Reappointment of George Hallak to the Cypress Recreation and Community Services Commission. Recommendation: That the City Council approve the reappointment of George Hallak to the Cypress Recreation and Community Services Commission to serve a term of four years. -6- 125 City Council Minutes June 9, 1986 CONTINUATION OF CONSIDERATION OF ENFORCEMENT OF CONDITIONS ON CONDITIONAL USE PERMIT #C -224 - ROYAL GARDEN APARTMENTS, 9352 HOLDER STREET, CYPRESS: The City Manager presented a report dated June 4. Councilman Kanel reported that he met with Mrs. Williams and her next door neighbor and saw several other homes. He stated he checked the sight lines from inside her patio and found that apartment residents can view her patio from the second -story windows. He stated the sight line decreases as you approach her wall which is actually the back of a large carport. He reported there have been occasions when young men were on top of the carport looking into the yards. Councilman Kanel reported that lights were attached to the top rim of the apartments and bother some people although they also illuminate the carport roof which could be of benefit. He reported that the carport wall is large but when it approaches Holder Street it is very low where there is no carport and you can look right over the wall to the adjacent home. Councilman Kane] stated the proposal to put up chain link is not a good one and it wouldn't look right. He reported the shrubs which management was required to plant were not planted and management has not lived up to expectation. He suggested that the management screen the apartment windows with blinds or louvers. Councilman Kanel recommended that the City Attorney be instructed to advise the apartment owner of the C.U.P. requirements and how they have not been met with respect to landscaping and to request that the owner plant the shrubs, install window blinds or louvers, raise the wall and diffuse the lights. Mr. Essex stated staff will discuss these items with the owner and report at the next meeting on what evidence of cooperation they receive. Mayor Lacayo recommended that if the problems are not resolved with the owner /manager by the next meeting that staff be instructed to return with a mechanism to hold a public hearing to revoke the C.U.P. Mrs. Cathy Williams, 6613 Via Gancho Circle, Buena Park, thanked Councilman Kanel for visiting her home to see what problems they have. She stated the discussions have been going on for two months and there should be a public hearing. She said the owner has had plenty of time to correct the problems and was advised of them at the meeting in Buena Park. She reported that in addition to her patio the apartment residents can also see her living room and kitchen. Mrs. Williams thought that the results of discussions with the owner were to be considered at the April 28 meeting and if there was no progress that the Council would discuss revocation of the permit. Councilman Mullen stated he could not support revocation of the permit tonight since the Council must make specific demands of the owner and this will require additional time. Councilman Kanel indicated that the negotiations are a slow process but he assured her that if there is no response the Council will hold the public hearing on revocation of the permit. CONSIDERATION OF STATUS REPORT ON THE CYPRESS SENIOR AFFORDABLE HOUSING PROJECT: Mr. Essex presented a report dated June 4 which indicated that the City Manager, City Attorney and Planning Director met with Mr. Reed Flory on June 4. He indicated that as a result of the meeting agreement was reached regarding the Council's policies and requests made by staff. Mr. Essex read into the record a letter from Councilman Coronado dated June 9 addressing the housing project and emphasizing that the Council is committed to provide affordable senior housing in Cypress in perpetuity and he hoped the Council would act to ensure that affordable senior housing is brought about for a binding period of perhaps 100 years or the useful life of the building. The City Attorney stated that five basic points were discussed at the June 4 meeting and progress was made. The first issue related to NCR's request for Agency /City assistance for offsites or amenities and NCR was advised that the City needed more definitive data supporting the request and the City Engineer needed plans to review. Any Agency or City contribution on offsites and amenities would be called Agency assistance and would be arrived at with more definitive breakdowns and assurance that HUD decides they are not reimbursable. If reimbursable they will be included in the loan and would not require any assistance. Mr. Huebsch stated Agency assistance would be potentially repaid to the Agency or City out of excess revenues. He indicated that if there is an excess of funding necessary to debt service the mortgage, that would be the only income available to repay the Agency or City during the 40 year mortgage period. After the 40 years or if the mortgage is paid off earlier, the Agency, if it can successfully negotiate with HUD, would have a second deed of trust. Mr. Huebsch reported this was acceptable to NCR but there was no guarantee of approval by HUD. 126 City Council Minutes June 9, 1986 The second issue related to the period of affordable senior housing and while NCR is agreeable in concept to affordable senior housing in perpetuity, staff felt a definition of affordability was needed for the period after the HUD Section 8 assistance ends. The City Attorney stated that staff would like a standard similar to what is being used now and suggested that rents be based on 30% of the 50 -80% of median. The City Attorney stated that although the City anticipates affordable senior housing in perpetuity, another issue relates to whether there is a change in use and whether any economic return would benefit NCR of Cypress or Ohio. He stated a possible resolution was that, if any change in use from affordable housing was proposed, the Agency would be entitled at its option to be a 50% participant in revenues. He stated the intent was not that the Agency make a profit but this is an additional mechanism to encourage senior housing in perpetuity. He stated staff will look at other mechanisms such as a purchase option. The City Attorney indicated that NCR has agreed that any proceeds from the Cypress project will stay with this land and project and no money will go to NCR of Ohio. According to Mr. Flory, he stated NCR routinely has annual audits, they are agreeable to audits during the HUD period, and Mr. Flory felt they would continue the audits after the mortgage is paid off which would allow the Agency to review their operations. The fifth issue related to the management fee and how the operator would be compensated for managing the project when HUD is no longer involved. Mr. Huebsch reported that different possibilities and figures were discussed. Staff felt NCR's proposal was reasonable that some parameters would be set hut the parties would basically rely on an accounting firm to advise on what is a reasonable management fee. Mr. Reed Flory, consultant to NCR, suggested that the maximum expenditure for rent be 30% of gross income for those earning incomes in the range 50 to 80% of median income which is the same formula HUD uses now. Regarding the 50 -50 sharing of revenues, Mr. Flory stated his feeling is that there would never be a violation of the 75 units but he foresaw a situation where in 40 years there may be a need for increased parking and they may want to build a parking structure. He stated in that situation they would be willing to commit to a 50 -50 share of any revenues. He stated they are agreeable to any language the Council suggests that would lock them in perpetuity on low income residential units. He stated he was not suggesting that they would convert that use but was addressing the use of residual property on the site. in response to questions from the Mayor, Mr. Flory stated he was negotiating for NCR in making his statements. He indicated that NCR's attorney, and not he, would be signing the document. He stated he is still a consultant to the City, the Cypress Affordable Development Corporation and NCR. The City Attorney stated that Mr. Flory's description on income determination was more detailed and accurate than his. He stated his position on the 50 -50 sharing was that the City /Agency was not looking at it as a revenue generating opportunity but as a control device to prevent a change in uses. He stated Mr. Flory does not anticipate any changes in use but it is possible that some residual or small portion of the area could be devoted to an accessory type use which might provide some revenues and that is what Mr. Flory proposes to share. The Planning Director reviewed a summary of actions requested by NCR of Cypress which was submitted after the June 4 meeting. She reported they requested immediate Council action on Items #1, a waiver of all City filing fees, #3, approval of CDBG funds for pre - development expenses, and #6, designating the Redevelopment Agency as co-applicant with NCRC for the conditional use permit and tentative parcel map. Staff indicated that the Council could act on Items #2, 4 and 5 at the time they consider the conditional use permit. The City Attorney recommended on Item #1 that instead of waiving the fees the Redevelopment Agency assume the obligation to pay the fees. In regard to Item #3, the pre - development expenses, the Planning Director recommended that NCR bill the City for the expenses so that the City has a record to submit to the County; the City Attorney recommended including in the motion that, in addition to the billing, staff confirm with HUD or the County as administrator of the CDBG funds that these are all allowable according to the practices of the local office and there are no circumstances that cause any problems. The City Manager recommended that the Council proceed with approval of Items #1, 3 and 6 and stated staff will finalize the documents outlined by the City Attorney and they can be considered when the conditional use permit is submitted. He recommended that the Redevelopment Agency act on Items #1 and 6. It was moved by Councilman Mullen and seconded by Mayor Lacayo to approve the expenditure of Community Development Block Grant Funds in the amount of $32,650 and request that NCR of Cypress bill the City, and further direct staff to confirm with HUD or -8- 127 City Council Minutes June 9, 1986 the County as administrator of the CDBG funds that these are all allowable according to the practices of the local office and there are no circumstances that cause any problems. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Karel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado RECESS: Mayor Lacayo recessed the meeting at 10:29 p.m. to allow the Council to convene as the Cypress Redevelopment Agency. The meeting was called back to order at 10:30 p.m. with Councilman Coronado absent. Mr. Morris Spatz and Mrs. Grace Lachina thanked the Council for their actions this evening. CONSIDERATION OF AWARD OF CONTRACT TO INSTALL WATER LINE FOR EXISTING HYDRANT, REQUEST FOR QUOTATION #8586 -47: Mr. Essex presented a report from the Finance Director dated June 2 indicating the one bid received was $27,295.00 above the Engineer's cost estimate. It was moved by Councilman Mullen and seconded by Councilman Kanel to reject the hid received from Doty Brothers pursuant to City Code Section 21A -11d and authorize the Engineering Division to review the project to explore other solutions to servicing the fire hydrant. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMRERS: Coronado CONSIDERATION OF AWARD OF CONTRACT FOR STOP SIGNS, REQUEST FOR QUOTATION #8586 -48: Mr. Essex presented a report from the Finance Director dated June 2 listing four bids received. It was moved by Councilman Mullen and seconded by Councilman Kanel to accept the hid from Zumar Industries, Inc., 2828 Stanford Avenue, Los Angeles, California, as the lowest responsible bidder and award them the contract for 170 stop signs in the amount of $6,081.75. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado CONSIDERATION OF AWARD OF CONTRACT FOR COMMUNICATIONS EQUIPMENT FOR EOC CENTER, CYPRESS POLICE DEPARTMENT: The City Manager presented a report from the Finance Director dated June 2 recommending purchase of a Motorola Remote Console HT- 1602 -M and Motorola Remote Console T- 1602 -M from the sole vendor. It was moved by Councilman Mullen and seconded by Councilman Partin to: (1) dispense with formal competitive bidding for the reasons outlined in the report pursuant to City Code Section 21A -8f and (2) authorize the purchase of EOC communications equipment from Motorola Communications and Electronics, Inc., 171 S. Anita, Suite 201, Orange, California, in the amount of $2,756.54. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBER.S: None ABSENT: 1 COUNCIL MEMBERS: Coronado CONSIDERATION OF AWARD OF CONSTRUCTION SURVEY CONTRACT FOR THE COMMUNITY DEVELOPMENT PROJECT, ELEVENTH YEAR PROGRAM, DANNY AVENUE FROM WALKER STREET TO LOS ALTOS DRIVE IN THE CITY OF CYPRESS - PROJECT #8662 -20: The City Manager presented a report from the Public Works Director dated May 28 listing six kids received. It was moved by Councilman Mullen and seconded by Councilman Partin to determine that the preferred proposal for professional services for H /CD Project #8662 -20 is from Adkan Engineers, 6859 Airport Drive, Suite 302, Riverside, California, and award them the contract for construction survey for Project #8662 -20 in the amount of $900.00. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin do Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado -9- 128 City Council Minutes June 9, 1986 CONSIDERATION OF AWARD OF CONTRACT FOR THE CONSTRUCTION OF A STORM DRAIN FOR THE COMMUNITY DEVELOPMENT PROJECT, ELEVENTH YEAR PROGRAM, DANNY AVENUE FROM WALKER STREET TO LOS ALTOS DRIVE IN THE CITY OF CYPRESS - PROJECT 8662 -20: Mr. Essex presented a report from the Public Works Director dated May 29 outlining five bids received. It was moved by Councilman Mullen and seconded by Councilman Partin to: (1) authorize a budget transfer of $9,746.00 from the Drainage Fund to the General Fund and appropriate $9,746.00 to the following accounts: $7,046.00 to Account 4186 -11- 457.21 $2,700.00 to Account 4018 -11- 457.21 (2) authorize an appropriation from the fund balance of the General Fund and appropriate $12,766.00 to the following accounts: $12,376.00 to Account 4186 -11- 457.21 $ 90.00 to Account 4189 -11- 457.21 $ 300.00 to Account 4018 -11- 457.21 (3) determine that the lowest responsible bidder for Ti/CD Project #8662 -20 is C. K. Construction, P. O. Box 2800, Long Beach, California, and award them the contract for construction of the storm drain in the amount of $209,216.00. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCIL MEMBERS: Coronado CONSIDERATION OF AWARD OF CONTRACT FOR THE IMPROVEMENT OF WALKER STREET FROM LINCOLN AVENUE TO 400 FEET NORTH OF LINCOLN AVENUE IN THE CITY OF CYPRESS - PROJECT #8133 -10 -1158: Mr. Essex presented a report from the Public Works Director dated June 4 listing two bids received. It was moved by Councilman Mullen and seconded by Councilman Partin to: (1) authorize the closure of Walker Street from Lincoln Avenue to Danny Street from July 14 to August 4, 1986; (2) authorize an appropriation from the fund balance of the Gas Tax (2106) Fund and appropriate $102,600.00 to Account 4186 -22- 405.21; and (3) determine that the lowest responsible bidder for Project #8133 -10 -1158 is Bruce Paving Company, Inc., 313 W. Gardena. Boulevard, Gardena, California, and award them the contract for the Walker Street improvements in the amount of $133,559.10. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCIL MEMBERS: Coronado CONSIDERATION OF AWARD OF CONTRACT FOR 5K /10K RUN T- SHIRTS, REQUEST FOR QUOTATION #8586 -43: Mr. Essex presented a report from the Finance Director dated June 2 outlining eight bids received. Staff recommended award of contract to the third lowest bidder who met all of the specifications. Acting as the ex officio governing Board of Directors of the Cypress Recreation & Park District, it was moved by Councilman Mullen and seconded by Mayor Lacayo to: (1) reject the bids received from vendor #1, Orange Sporting Goods, and vendor #2, Expressions to Wear, pursuant to City Code Section 21A -11d for the reasons given in the report; and (2) award the contract for the 5K /10K run T- shirts to Golden Coast Sportswear, 1750 E. Anaheim Boulevard, Unit G, Anaheim, California, in the amount of $5,030.76. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado CONSIDERATION OF RETENTION OF PROFESSIONAL INSPECTION SERVICES FOR WALKER STREET FROM LINCOLN AVENUE TO 400 FEET NORTH OF LINCOLN AVENUE, CITY OF CYPRESS PROJECT #8133 -10 -1158: The City Manager presented a report from the Public Works Director dated June 3 recommending that Mr. Taylor Moore perform the inspection services. -10- /a9 City Council Minutes June 9, 1986 It was moved by Councilman Mullen and seconded by Councilman Partin to: (1) authorize an appropriation from the fund balance of the Gas Tax (2106) Fund and appropriate $2,100.00 to Account 4018 -22- 405.21; and (2) retain the professional inspection services of Taylor Moore, Kern Canyon Road, Sp. 232, Bakersfield, California, in an amount not to exceed $2,100.00. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado CONSIDERATION OF RETENTION OF PROFESSIONAL SURVEYING SERVICES FOR WALKER STREET FROM LINCOLN AVENUE TO 400 FEET NORTH OF LINCOLN AVENUE, CITY OF CYPRESS PROJECT #8133-10-1158: Mr. Essex presented a report from the Public Works Director dated June 4 listing 12 bids received. It was moved by Councilman Kanel and seconded by Councilman Partin to: (1) authorize an appropriation from the fund balance of the Gas Tax (2106) Fund and appropriate $1,360.00 to Account 4189 -22- 405.21; and (2) retain the professional services of Gilbert Engineering, 4552 Lincoln Avenue, Suite 201, Cypress, California, for the construction survey of Walker Street, City Project #8133 -10 -1158, per their proposal in the amount of $1,360.00. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCIL MEMBERS: Coronado CONSIDERATION OF RETENTION OF PROFESSIONAL INSPECTION SERVICES FOR COMMUNITY DEVELOPMENT STORM DRAIN PROJECT, ELEVENTH YEAR PROGRAM, DANNY AVENUE FROM WALKER STREET TO LOS ALTOS DRIVE, CITY OF CYPRESS PROJECT #8662 -20: Mr. Essex presented a report from the Public Works Director dated May 28 recommending that Mr. Taylor Moore perform the inspection services. It was moved by Councilman Mullen and seconded by Councilman Kanel to retain the professional inspection services of Taylor Moore, Kern Canyon Poad, Sp. 232, Bakersfield, California, per his proposal in an amount not to exceed $3,000.00. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCIL MEMBERS: Coronado CONSIDERATION OF PURCHASE OF TRAFFIC ACCIDENT FILE COMPUTER PROGRAM: The City Manager presented a report from the Public Works Director dated June 3 recommending the purchase of software for a computerized accident filing system. It was moved by Councilman Mullen and seconded by Councilman Kanel to: (1) approve a transfer of $2,544.00 from the fund balance of the General Fund to Account 4104 -11- 264.07; and (2) approve purchase of a Traffic Accident File Program from Gordon Young Associates of Corona, California, in the amount of $2,544.00 including tax. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCIL MEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado CONTINUATION OF CONSIDERATION OF REVIEW OF THE TAXICAB ORDINANCE: Mr. Essex presented a report dated June 4 requesting that this item be continued to the June 23 meeting. It was moved by Councilman Mullen, seconded by Councilman Partin and unanimously carried to continue the item to the June 23 meeting. CONSIDERATIONN OF REMOVAL OF "NO RIGHT TURN" SIGN ON EASTBOUND KATELLA AVENUE AT VALLEY VIEW STREET: Mr. Essex presented a report from the Public Works Director dated June 3 outlining staff's rationale for posting the "no right turn" sign. Councilman Partin stated he brought this matter up because several of his neighbors voiced concerns about placement of the sign and wanted the option of making a right turn at the /30 City Council Minutes June 9, 1986 corner. He indicated they were concerned about using the free right turn and having to cross several lanes of Valley View traffic to make a left turn at Orangewood, especially during rush hour traffic. Councilman Partin indicated he spoke to staff about the sign and that initially it may have seemed like a good idea. He stated there are many people turning at Orangewood who must cross the traffic and the "no right turn" sign is a great inconvenience. It was moved by Councilman Partin and seconded by Councilman Kanel to remove the "no right turn" sign and instruct staff to maintain ongoing surveillance of the intersection. Councilman Partin stated that if removal of the sign is found to be hazardous the Council will review the situation in six months. Councilman Mullen asked for comments from the City Attorney and Police Chief. The City Attorney stated the only inquiry he made related to temporarily bagging the sign and he could not comment on issues of traffic safety. Chief Lowenberg reported that the traffic officer who made the recommendation was concerned that right turns at the intersection might interfere with U- turns. He stated his only concern was with the possibility of a serious accident occurring and someone might make issue of the fact that there was a sign prohibitng the turn and it was later removed. He stated, however, that an accident could occur because of a driver trying to merge into traffic and the driver might feel the accident could have been prevented if he was allowed to make the right turn at Valley View. He stated the Police Department had no preference for either option. Councilman Kanel stated that an eastbound driver can make the turn at the corner on a green light or else wait on a red light and make the turn when there is a safe opening in traffic. He stated he favored removing the sign and felt an alternative should be provided for motorists who don't want to run the risk of using the free right turn "speedway" and cross over the lanes of traffic. The Public Works Director stated the intersection will not be made unsafe by permitting the right turns but staff's concern is with the operational characteristics of the intersection. Staff projected that the intersection will be at 200% capacity at ultimate build -out and will need whatever remedies are available. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado CONSIDERATION OF APPROVAL OF COMMERCIAL WARRANT LIST FOR WARRANTS #15198 - 15412: It was moved by Councilman Mullen and seconded by Mayor Lacayo to approve the Warrant List for Warrants #15198 through #15412 in the amount of $590,077.12. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin 6c Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado SECOND READING OF ORDINANCE RE: AMENDMENT TO THE ZONING ORDINANCE NO. 86 -2: It was moved by Councilman Mullen and seconded by Councilman Partin to adopt the Ordinance by title only, title as follows: ORDINANCE NO. 760 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CYPRESS AMENDING SECTION 7(A) DEVELOPMENT STANDARDS OF THE PLANNED COMMUNITY COMMERCIAL /LIGHT INDUSTRIAL ZONE NO. 2 OF ORDINANCE NO. 640 OF THE ZONING ORDINANCE OF THE CITY OF CYPRESS, KNOWN AS AMENDMENT TO THE ZONING ORDINANCE NO. 86 -2. The motion unanimously carried by the following roll call vote: AYES: 4 COUNCILMEMBERS: Kanel, Mullen, Partin & Lacayo NOES: 0 COUNCILMEMBERS: None ABSENT: 1 COUNCILMEMBERS: Coronado In regard to added Item #34, Mr. Essex reported that the City is moving up on the list for consideration of a flyover at Valley View /Katella. The Council authorized the Mayor to transmit a letter reaffirming the Council's interest in the flyover. -12- 131 City Council Minutes June 9, 1986 In regard to added Item #35, Mr. Essex reported that the Business Park traffic consultant requested a workshop meeting with the Council to review preliminary findings of his traffic study. The Council decided to schedule the workshop with the consultant at the July 14 Council meeting. In regard to added Item #36, the Mayor inquired when the Council would like to schedule the breakfast meeting to discuss the Civic Center improvement project. The Council decided to invite the community groups to a weekday meeting in the near future. ADJOURNMENT: The Mayor adjourned the meeting at 10:52 p.m. ATTEST: CITY CLERK THE ,ITY OF CYPRESS