Council Regular Meeting

MINUTES CITY COUNCIL REGULAR MEETING CITY OF MONTEREY Tuesday, February 20, 2024 4:00 PM 7:00 PM COUNCIL CHAMBER, 580 PACIFIC ST. MONTEREY, CALIFORNIA Councilmembers Present: Barber, Garcia, Haffa, Smith, Williamson Absent: None City Staff City Manager, Assistant City Manager, City Attorney, Community Present: Development Director, Police Chief, Parks and Recreation Director, Finance Director, Human Resources Director, Library & Museums Director, Public Works Director, City Clerk, Recreation Manager, Deputy Public Works Director/City Engineer, Housing Manager, Deputy Human Resources Manager, Police Lieutenant, Senior Engineer, Management Analyst ***Afternoon Session Agenda *** CALL TO ORDER Mayor Williamson called the meeting to order at 4:01 p.m. City Clerk Klein called the roll with the Council present as highlighted above. GENERAL PUBLIC COMMENTS Public comment on non-agendized matters was received from Steve Lightfoot and Martine Watkins. CONSENT AGENDA Public comment on the Consent Agenda was received from Bob Faulis, who spoke in favor of approving the letter agendized as Item 8, and Mitchell Sawhney, who urged timeliness with labor contracts (Item 12). Councilmembers made comments in favor of using stronger language in Item 8. On a motion by Councilmember Smith, seconded by Councilmember Barber, and carried by the following vote, the City Council approved the CONSENT AGENDA, except Item 9, and directing that Mayor and City Manager use stronger language for Item 8: AYES: 5 COUNCILMEMBERS: Barber, Garcia, Haffa, Smith, Williamson NOES: 0 COUNCILMEMBERS: (None) ABSENT: 0 COUNCILMEMBERS: (None) ABSTAIN: 0 COUNCILMEMBERS: (None) RECUSED: 0 COUNCILMEMBERS: (None) Approval of Minutes 1. February 6, 2024 Regular Meeting (Not a project under CEQA per Article 20 Section 15378 and under General Rule Article 5 Section 15061) Action: Approved  City Council Minutes February 20, 2024 Award of Construction Contracts 2. Award a Construction Contract in the Amount of $494,500 to TYMAN Construction, Inc. for the Municipal Wharf 2 Deck Repairs 2023-2024 (Initial Study Mitigated Negative Declaration) Action: Adopted Resolution No. 24-016 C.S. Resolutions 3. Award a Contract in the Amount of $609,610 to SDI Presence, LLC for Advisory and Project Management Services for Enterprise Resource Planning System Selection and Implementation (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 24-017 C.S. 4. Amending and Restating Resolution 23-140, The Master Fee Schedule, to update the City Clerk’s Office, Community Development, Parks and Recreation, Library and Museums, Police Department, Public Works Department, Parking Division, and Harbor Division Fee Schedule (Not a Project under CEQA per Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 24-018 C.S. 5. Authorize the Finance Director to Appropriate a Total of $76,000 from the Neighborhood and Community Improvement Program (NCIP) Contingency Account to Two Previously Approved NCIP Projects ***NCIP*** (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 24-019 C.S. 6. Order Engineer’s Report for Fiscal Year 2024-2025 Alvarado Street Maintenance District No. 85-1 (Not a Project Under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 24-020 C.S. 7. Order Engineer’s Report for Fiscal Year 2024-2025 Calle Principal Maintenance District No. 00- 1 (Not a project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 24-021 C.S. 8. Approve Letter to California Coastal Commission Supporting the Re-Issuance of the Coastal Development Permit for the Cannery Row Plaza Project (Ocean View Plaza Project ) Located at 457, 465, 470, 484, 565 and 570 Cannery Row (Not A Project Under CEQA) Action: Approved letter, to be amended by the Mayor and City Manager to use stronger language in support of the re-issuance of the Coastal Development Permit 9. Authorize the City Manager to Enter Into a Partnership Intermediary Agreement with the Naval Postgraduate School Foundation and Appoint the City Manager as the City’s Representative to the Naval Postgraduate School Foundation Board of Directors (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Pulled from Consent; Adopted Resolution No. 24-022 C.S. Public comment was received from Bob Faulis, in favor of the agreement, and Nina Beety, who shared environmental concerns relating to the Navy's presence in the Monterey area. 2  City Council Minutes February 20, 2024 On a motion by Mayor Williamson, seconded by Councilmember Barber, and carried by the following vote, the City Council adopted Resolution No. 24-022 C.S. to Authorize the City Manager to Enter Into a Partnership Intermediary Agreement with the Naval Postgraduate School Foundation and Appoint the City Manager as the City's Representative to the Naval Postgraduate School Foundation Board of Directors: AYES: 5 COUNCILMEMBERS: Barber, Garcia, Haffa, Smith, Williamson NOES: 0 COUNCILMEMBERS: (None) ABSENT: 0 COUNCILMEMBERS: (None) ABSTAIN: 0 COUNCILMEMBERS: (None) RECUSED: 0 COUNCILMEMBERS: (None) 10. Amend the Permanent Local Housing Allocation (PLHA) Grant Activities Plan to Reallocate Fiscal Year 2019-2020 Funding to Predevelopment Costs for Affordable Rental Housing and Authorize the City Manager to Increase the Secured Loan to MidPen Housing by $53,844.05 and Sign Loan and Deed Documents (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Adopted Resolution Nos. 24-023 and 24-024 C.S. 11. Adopt a Resolution to Authorize an Amendment to the Contract with Farber Specialty Vehicles, and Appropriate up to an Additional $4,400 in Bookmobile Reserve Funds towards the Purchase Price of the Library’s 2022 Mercedes Sprinter Van Bookmobile(Not a project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 24-025 C.S. 12. Approve the Memorandum of Understanding (MOU) for the Monterey Fire Chief Officers’ Association (MFCOA) for the period of July 1, 2022 through June 30, 2024 (Not a Project under CEQA per Article 20, Section 15378 and General Rule Article 5 Section 15061) Action: Adopted Resolution No. 24-026 C.S. Other 13. Receive Mayor’s Recommendation and Appoint John Sovereign to the Neighborhood and Community Improvement Program Committee (Not a Project under CEQA per Article 20, Section 15378 and Under General Rule Article 19, Section 15061) Action: Appointed John Sovereign as NCIP Committee Alternate (Monterey Vista neighborhood) for a term ending June 30, 2028 *** End of Consent Agenda *** PUBLIC APPEARANCE 14. Provide Direction on Potential Charter Amendments for November 2024 Election (Not a Project Under CEQA Article 20, Section 15378 and Under General Rule Article 5, Section 15061) Action: Provided guidance as seen in the discussion below City Manager Uslar gave the staff presentation and answered Councilmembers' questions together with City Attorney Davi. Public comment was received from: Jayme Fields, of Neighborhood and Community Improvement Program (NCIP) Committee, who noted that following the math before and after Measure Y's Transient Occupancy Tax (TOT) increase, reducing the NCIP allocation from 16% of the previous TOT to 13 1/3% of the current TOT would keep NCIP whole and allow the 3 City Council Minutes February 20, 2024 program to continue working as it has been working; Jean Rasch, who suggested a ballot initiative on the future of NCIP and the allocation of its 16% of TOT including to initiatives such as undergrounding and facility maintenance; Pat Venza, who echoed the need for a ballot measure to dedicate NCIP dollars to utility undergrounding and capital improvements and suggested a Charter amendment committee could be formed; Bob Faulis, who said that more controversial Charter amendment proposals should be heard at a forum; John Sovereign, who spoke against the proposed Charter amendments and said that the City Manager should have term limits; Tom Reeves, who disagreed that the NCIP had grown to be too big and said that the matter should be referred to the NCIP Committee for input; Richard Ruccello, who asked for transparency into where funds were going while infrastructure was falling apart; Esther Malkin, who spoke in favor of term limits, fixing the timing issue for term ends of Councilmembers running for Mayor, temporarily lowering NCIP's TOT percentage to catch up with deferred infrastructure maintenance, and allowing housing use in VAF zones; and Rick Heuer, who said that Measure Y had specified in the ballot language that 16% would be allocated to the NCIP and agreed that infrastructure issues should be brought to the NCIP Committee. The Council discussed the matter. Input was provided as follows on the potential charter amendments that staff presented for discussion:  Charter, General - Gender Neutral Language: A majority of the Council agreed terminology should be changed throughout the Charter to make it gender-neutral.  Charter Section 2.7 - Voter Approval Required for Eminent Domain Actions: A majority of the Council did not favor a change to existing Charter language. Comments in favor of modifying the language cited vacant lots in the North Fremont area that were not benefiting the community, and stated that the public participation process included electing capable Councilmembers to do the business of the City.  Charter Section 2.8 – Term of Office of Councilmember Filing as Candidate for Mayor: A majority of the Council agreed the timing should be changed for term expirations of Councilmembers running for Mayor. It was stated this change would avoid the quorum issues and complications experienced in November 2022 when two Councilmembers running for Mayor lost their Council seats on Election Day, leaving only three Councilmembers for nearly a month until the election results were certified.  Charter Section 2.8 - “Unsafe” or “Safe” Seat for Councilmember Filing as Candidate for Mayor: A majority of the Council did not favor a change to existing Charter language. It was stated that the existing "unsafe seat" system, whereby a mid- term Councilmember who unsuccessfully runs for Mayor loses their Council seat, was better for a productive working dynamic on the Council.  Charter Section 3.1 - Start and End of the Mayoral Office Term: A majority of the Council agreed that the language should be clarified to specify that a Mayor shall be elected every two years at each general election and shall hold office until his/her successor is elected and qualified.  Charter Section 4.1 - Term Limits for Mayor and Council: A majority of the Council agreed on proposing term limits, with the majority only reached with the inclusion of a mechanism by which an elected official reaching the end of their term limit could be appointed to fill the seat if no other candidates ran in a district. The Council requested more research from City staff on the appointment matter. In favor of term limits, it was expressed that eight years would make a good limit and that having to run against incumbents had the effect of discouraging competition. Against term limits, it 4 City Council Minutes February 20, 2024 was stated that members tended to end their service at around the 12 year mark naturally, that there was a concern about unnecessarily losing talent, and that voters had the choice whom to elect.  Charter Section 4.1 - Start and End of the Council Office Term: Not discussed.  Charter Section 4.1 - Mayor or Councilmember Holding Compensated Appointive City Office or Employment Within One Year After Elected Term: Not discussed, except as part of the term limit discussion (see above).  Charter Section 4.2 - Council Meeting Frequency: A majority of the Council did not favor a change to existing Charter language.  Charter Section 4.25 - Closed Session Recordings: A majority of the Council did not favor a change to existing Charter language.  Charter Section 4.4 - Newspaper Publication of Ordinances: A majority of the Council agreed that a change to existing Charter language could be made, and asked to receive information on middle-ground options for making the public aware of Council ordinances, such as summary publication instead of full-text publication. It was stated that if the requirement were changed, it would need to be a very clear process through which transparency to the public was improved and not worsened. It was stated that some level of newspaper publication should be required. In favor of changing the language it was stated that people have changed how they receive information over time and that people who subscribed to the newspaper might not be members of unrepresented groups.  Charter Section 4.4 - Reading of Ordinances and Resolutions: A majority of the Council agreed the language should be modified to specify that the written publication of an ordinance/resolution shall be considered a "reading" and would not need to be read aloud.  Charter Section 5.1 - City Manager Appointments: A majority of the Council agreed the language should be revised to reflect that the Library Board appoints and removes the Library Director.  Charter Section 6.4 - Leases of City Property to Qualified Non-Profits at less than Fair Market Rent: Consensus was not reached, and the Council requested more information from City staff on the matter before deciding. A question was posed regarding the definition of "qualified." Comments against changing the current Charter language to allow leasing to qualified non-profits at less than fair market rent included stating that the term "non-profit" was somewhat ambiguous and that the situation could create a potential for abuse. Comments in favor of changing the language included stating that such leasing would be acceptable if accepting less than fair market rent for the lease was clearly in the community's interest, and stating that the change would eliminate "red tape" and allow flexibility.  Charter Section 6.6(b) - NCIP Capital Projects Definition Update: A majority of the Council agreed the definition should be updated.  Charter Section 6.6(c) - NCIP Percentage of TOT: A majority of the Council did not favor a change to existing Charter language. Some requested that City staff conduct more outreach with the NCIP Committee and neighborhood associations, stating that a 5 City Council Minutes February 20, 2024 lot more conversation was needed and that there would need to be buy-in from these groups before the matter could be considered by the Council. Comment against changing the percentage of allocated TOT funds cited the language used in prior ballot measures. Comments in support of changing the percentage included favoring a percentage of TOT instead of a specific dollar amount cap, and appreciating creative solutions such Jayme Fields’ suggestion. It was stated that a clear process was needed for how Council and City staff would bring issues, projects, and suggestions to the NCIP. It was stated that undergrounding utilities needed a final and more permanent designation of funds.  Charter Section 6.6(c) - NCIP Allocation for Maintenance: A majority of the Council agreed that allocating NCIP funding for maintenance would make sense. Comments included suggesting that maintenance could be added to the definition of capital projects (Charter Section 6.6(b), and that the City should ask the NCIP Committee and neighborhood associations for suggestions on how to solve the deferred maintenance problem.  Charter Section 6.6(c) - NCIP Inclusion of Ordinary Services as Authorized Expenditure: A majority of the Council did not favor a change to existing Charter language.  Charter Section 7.1 - Board of Library Trustees Appointments: A majority of the Council agreed the language should be revised to indicate that the Library Director, and not the Board of Library Trustees, appoints and removes library personnel.  Charter Section 8.1 - Housing/Shelter Uses in Visitor Accommodation Facility (VAF) Zones: A majority of the Council agreed the language should be amended to authorize additional uses/development in certain portions of VAF zones, such as conversion of hotels into housing or homeless shelters. Preference was expressed for language that would specify that any VAF conversion would require Council approval. It was stated that more productive hotels would not be likely to change their use. Comments in favor of amendment stressed the need to create more housing and stated that the change would be acceptable as-is or if done in a way that specified a percentage of neighborhoods. Comment against amendment included stating that owners of failing hotels could sell to more successful operators; that VAF zoning was a safeguard for the community and removing it would be dangerous; and that individuals already had the right to place a VAF use change initiative on any City ballot. *** Adjourn to Closed Session (See additional agenda) *** Public comment on the closed session was not received. The Council adjourned to closed session at 6:06 p.m. in memory of Parking Services Representative Cesar Lopez. RECESS / RECONVENE The Council recessed at 6:57 p.m. and reconvened at 7:03 p.m. *** Evening Session Agenda *** 6  City Council Minutes February 20, 2024 PLEDGE OF ALLEGIANCE Councilmember Haffa led the Pledge. GENERAL PUBLIC COMMENTS CONTINUED Continued public comment on non-agendized matters was not received. ANNOUNCEMENTS FROM CLOSED SESSION Mayor Williamson announced: cs1. Public Employee Performance Evaluations pursuant to Government Code section 54957(b)(1): City Manager and City Attorney (Not a Project Under CEQA, per Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: No reportable action taken PUBLIC APPEARANCE (EVE) 15. Provide Feedback to Staff on Areas of Focus for the 2024 City Staff Work Program (Not a Project Under CEQA Article 20, Section 15378 and Under General Rule Article 5, Section 15061) Action: Provided guidance including designating housing and economic development as shared top priorities of a majority of the Council Assistant City Manager Rojanasathira gave the staff presentation and answered Councilmembers' questions. Public comment was received from: Eric Palmer, who indicated many priorities, with a strong emphasis on increasing economic development, revitalization, and housing; and Esther Malkin, who echoed the need for housing and for revitalizing North Fremont district including with PG&E funding for undergrounding utilities. Both praised and encouraged the City's outreach efforts. On question from Council, Community Development Director Cole spoke about the status of the Van Buren/Madison Street affordable housing project. She explained that because of the plan to receive pass-through funds from the County (housing vouchers) to assist with housing costs, historic preservation clearance was required. She said that although MidPen Housing and City submitted Native American consultation initial evaluations and found the structures not to be historic, the California Office of Historic Preservation (SHPO) had requested full archaeological testing at a level 2 analysis, which she explained was more stringent than what was usually used in Monterey. She stated that Native American tribes had requested to participate more fully in the archaelogical evaluation. She explained that if SHPO determined that the buildings could not be demolished, it would not be possible to use housing vouchers for the project and it would ruin the project financing. She estimated that it would cost $250,000 of predevelopment funds to pay for the archaelogical work. She provided an update regarding the Planning Department's work plan and heavy lifting on the Housing Element. She said that 54 new programs in the Housing Element would require new laws or efforts by the City that would impact their work plan for the next eight years. On question from Council, Public Works Director Renny provided an update on the "Dig Once" policy regarding utility undergrounding as relates to street reconstruction and pavement work. She stated that all streets were being reassessed including the schedule and explained that a new software solution would help with planning. 7 City Council Minutes February 20, 2024 The Council discussed the matter. City staff were praised for efforts and accomplishments in numerous categories. The following were areas of focus identified by the Council:  Arts: Increasing the presence of visual and performing arts in the community, and collaborating with the Arts Council for Monterey County.  Economic Development: An identified top priority of a majority of the Council. Focus on the North Fremont area was also made by a majority of the Council, including revisiting and potentially revising the North Fremont Specific Plan (NFSP), looking at the implementing bits and pieces of the NFSP as a jump start on revitalization. Additionally, hiring a dedicated economic development coordinator to interact with all business districts, pay attention to opportunities for potential development and ways for the City to change land use to revitalize business areas, and make connections between people and resources and processes; and determining what assistance staff needs and whether models exist in other cities.  Fire Department Facilities: An identified top priority of a minority of the Council. Focus items: Fixing damaged infrastructure and taking a longer term look at public safety facility needs.  Fort Ord Specific Plan: Upgrading South Boundary Road eventually, and collaborating with the City of Del Rey Oaks.  Highway 68/Tarpey Flats Potential Annexation: Not placing on a ballot prematurely but continuing to monitor the situation and the many unknowns, and receiving continued updates from staff.  Housing: An identified top priority of a majority of the Council. Focus items: Receiving quarterly updates on Housing issues; Staff's need for breathing room to complete Housing Element; Seeking legislative support to move forward with housing projects; and requesting a status update on Garden Road corridor projects. Regarding the Van Buren and Madison Street project in particular: Prioritizing discussion with State and Federal legislatures to find ways to remove barriers for housing projects, and being open to mixed income housing if it became the only way to allow the project to go forward. Regarding the potential for housing at the Adams Street site: Supporting revisiting the topic, but mindful of timing and staff capacity concerns.  Monterey Sports Center (MSC): Requesting a Council field trip meeting to the facility.  Rental Inventory: Receiving an update partway through year regarding the status versus expectations, and what policy changes may be desirable for year two; and spending resources to collect anecdotal experiences from stakeholders, particularly renters.  Resident Engagement: An identified top priority of a minority of the Council. Focus items: Using grant funding (if received) for resident education such as rental rights and home budgeting workshops, and deepening and building relationships with DEI-focused organizations.  Undergrounding Utilities: An identified top priority of a minority of the Council. Focus items: Putting forth a focused effort; Prioritizing undergrounding in critical evacuation 8 City Council Minutes February 20, 2024 routes; and receiving a breakdown of costs to customers and how customers' costs would be impacted by grants and collaborations.  Water: An identified top priority of a minority of the Council. Focus items: Asking legislatures for additional funding for additional water projects, and receiving a status update from staff on a potential Lake El Estero water project.  Wildfires, Forest and Fuel Management: Acting on residents' serious concerns around safety and insurability. At the request of Mayor Williamson, the Councilmembers indicated their top priorities, seen as indicated in the bulleted list above. City Manager Uslar confirmed to the Council that staff would return to them at a future meeting with the requested updates and information on the various identified areas of focus. COUNCIL COMMENTS Councilmember Haffa reminded the public to vote by March 5, 2024 (Election Day). Councilmember Smith reported that he had attended a Monterey-Salinas Transit (MST) meeting earlier in the week. He asked for a status update to the Council regarding undergrounding and the PG&E Rule 20A. He said he had been happy to attend the League of California Cities conference at the Marriott Hotel in Monterey a few weeks prior, and that City Manager Uslar and Mayor Williamson presented at one of the workshops. He reported that other elected officials had enjoyed their time in Monterey. He reminded Council that the League of California Cities has available advocacy resources to help support cities. CITY MANAGER REPORTS None made. ADJOURNMENT The Council adjourned at 8:48 p.m. Respectfully Submitted, Approved, Clementine Bonner Klein Tyller Williamson City Clerk Mayor 9