Council Regular Meeting

MINUTES CITY COUNCIL REGULAR MEETING CITY OF MONTEREY Tuesday, March 3, 2026 4:00 PM COUNCIL CHAMBER, 580 PACIFIC ST. MONTEREY, CALIFORNIA Councilmembers Present: Barber, Garcia, Rasch, Smith, Williamson Absent: None City Staff Interim City Manager, Assistant City Manager, City Attorney, Finance Present: Director, Community Development Director, Police Chief, Human Resources Director, Library & Museums Director, Public Works Director, Parks and Recreation Director, City Clerk, Property Manager, Assistant Fire Chief, Deputy Public Works Director/City Engineer, Police Lieutenant, Recreation Manager, Senior Engineer, Acting Division Chiefs (x2), Fire Captains (x4), Parking Superintendent, Fleet Manager, Senior Administrative Analyst (Fire), Management Analyst (City Manager's Office/Recreation), Environmental Regulations Analyst, Finance Analyst, Police Officer, Legal Secretary, Lead Custodian, Fire Engineers (x2), Acting Fire Engineer, Firefighters (x3), Administrative Assistant (Fire) Call to Order Mayor Williamson called the meeting to order at 4:02 p.m. City Clerk Klein called the roll with the Council present as indicated above. AFTERNOON SESSION: 4:00 p.m. Presentations (Afternoon) 1. Recognize City Employees for Milestone Anniversaries in 2026 (Not a Project Under CEQA per Article 20, Section 15378, and Under General Rule Article 5, Section 15061) Action: Recognized employees Mayor Williamson honored City Attorney Davi for her 20 years of service with the City; Public Works Director Renny honored Parking Services Representative Pipes for her 20 years of service; Fire Chief Moore honored Fire Captains Sheldon and Tilly for their 25 years each of service; Police Chief Hober honored Police Officer Zook for her 20 years of service; Public Works Director Renny honored Lead Custodian Garcia for his 25 years of service; and Assistant City Manager Rojanasathira honored Monterey Conference Center Facility Attendant Solis for his 25 years of service. City Attorney Davi, Parking Services Representative Pipes, Fire Captain Sheldon, and Lead Custodian Garcia each made brief remarks. Public comment was received from: Bryan Rosen, who remarked negatively on the recognition; and Esther Malkin, who praised City employees for their dedication, professionalism, and character. General Public Comments Public comment on non-agendized matters was limited to two minutes per speaker and was received from: Justin Loza of Veterans for Peace, Dan Turner, Sherna Stewart, James MacFarlane, Lorna Moffat, and Bryan Rosen.  City Council Minutes March 3, 2026 Consent Agenda Public comment on the Consent Items was solicited but not received. On a motion by Councilmember Barber, seconded by Councilmember Smith, and carried by the following vote, the City Council approved the Consent Agenda except Item 4: AYES: 5 COUNCILMEMBERS: Barber, Garcia, Rasch, Smith, Williamson NOES: 0 COUNCILMEMBERS: (None) Consent: Resolutions 2. Authorize an Amendment to the Professional Services Agreement with Mar Jang Design for the Fire Station 12 Renovations to Increase the Not-to-Exceed Amount from $73,760.00 to $131,484.80 ***NCIP*** (Exempt from CEQA, Article 19, Section 15301, Class 1, Existing Facilities) Action: Adopted Resolution No. 26-033 C.S. 3. Award a Contract for Bulk Gasoline, Diesel and Red Dye Diesel Fuel to Merrimac Petroleum, Inc. DBA Merrimac Energy Group, in an Amount Not to Exceed $500,000 per Year for the Term of the Contract (Not a project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 26-034 C.S. Consent: Other 4. Authorize the Mayor to Sign a Comment Letter to the United States Army Garrison Presidio (USAG Presidio) about the Lower Presidio Historic Park Draft Environmental Assessment and Draft Finding of No Significant Impact for Implementing Slope Stabilization and Erosion Control Measures (Not a project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Pulled from Consent; Authorized letter On question from the Council about potential road closures, Library & Museums Director Edwards explained that City staff had not yet been involved in discussions about road closures and had requested the Presidio communicate clearly about closures, limit them, and time them reasonably as much as possible. Assistant City Manager Rojanasathira and Public Works Director Renny said that this was a first step toward a project that the U.S. Army would fully fund and design with the Army Corps of Engineers. Public comment was received from Lauren Sullivan of the Presidio of Monterey, who confirmed City staff's explanation and said that more information would come to the City as the project proceeded. On a motion by Councilmember Barber, seconded by Councilmember Rasch, and carried by the following vote, the City Council authorized the letter: AYES: 5 COUNCILMEMBERS: Barber, Garcia, Rasch, Smith, Williamson NOES: 0 COUNCILMEMBERS: (None) End of Consent Agenda Adjourn to Ocean View Community Services District Meeting The Council adjourned to the Ocean View Community Services District meeting. 2  City Council Minutes March 3, 2026 Ocean View Community Services District Meeting: Consent Agenda 5. Receive Ocean View Community Services District Quarterly Report (Not a Project under CEQA per Article 20, Section 15378 and General Rule Article 5, Section 15061) Action: Received report City Attorney Davi informed the Ocean View Community Services District board that there was no report to provide other than that in the agenda report. Public comment was solicited but not received. Adjourn to City Council Meeting The Ocean View Community Services District directors adjourned to the City Council meeting. Afternoon Session Items Public Appearance (Afternoon) 6. Suspend the City’s Special Event Support Program for Events Taking Place in Fiscal Years 2026-27 and 2027-28 and Direct Staff to Design a Fiscally Sustainable Special Event Approval and Funding Policy (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 26-035 C.S., as amended to suspend the program for events taking place in FY 2026-27 (funded in FY 2025-26) only Management Analyst Ackermann gave the staff presentation about the Special Event Support Program (SESP) and answered Councilmembers' questions together with Recreation Manager Leon and Assistant City Manager Rojanasathira. Public comment was received from: Antoinette Saylor and Wendy Brickman of Whalefest Monterey, who said the City should support local events; and Justin Loza of Veterans for Peace, who noted that this was an example of governments cutting services to balance their budgets. The Council discussed the matter. It was stressed that while these events were important to the community, their importance was not what the Council's proposed action was about and that the Council had the responsibility to carefully examine the City’s budget and make difficult choices. It was noted that non-profits and public agencies alike were currently in the position of needing to adjust to doing more with less. It was noted that City staff had been charged with finding ways to reduce expenditures and that they had done so with this proposal. It was suggested that perhaps the SESP could be paused for the upcoming cycle only, with the Council observing how ballot measures play out and reevaluating the program for the following cycle. It was noted that the intent of the SESP was to help newer organizations and events establish themselves, and that organizations were not intended to become dependent on the City's budget. City staff was encouraged to consider this concept as they worked on the future iteration of the program. On a motion by Councilmember Smith, seconded by Councilmember Barber, and carried by the following vote, the City Council adopted Resolution No. 26-035 C.S., as amended to suspend the program for events taking place in FY 2026-27 (funded in FY 2025-26) only: AYES: 5 COUNCILMEMBERS: Barber, Garcia, Rasch, Smith, Williamson NOES: 0 COUNCILMEMBERS: (None) 3  City Council Minutes March 3, 2026 7. Cancel the City’s December 1, 2025 Request for Waitlisted Cannabis Storefront Retail Business Permits Pursuant to City Code Section 7-7.09(f) and Approve a 180-Day Pause on Processing Additional Applications (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Directed staff to bring back the waitlisted permittees for future action and not pause the program Management Analyst Ackermann gave a verbal staff presentation and answered Councilmembers' questions. Public comment was received from: Justin Loza, Jenna Patton of Monterey Organic LLC, and Chris Hester of Infinity Assets Monterey LLC, who all urged the Council not to approve the staff recommendation. The Council discussed the matter. On question from the Council, Management Analyst Ackermann said that the City's revenues from cannabis were about $200,000 for the current fiscal year. He provided further context about cannabis businesses being unsuccessful in finding proper locations. Community Development Director Cole provided a brief answer confirming that cities have the ability to review land uses. City Attorney Davi explained the process regarding issuing invitations to waitlisted applications and said that the staff recommendation was a lawful option within the code and had been made clear to applicants as part of the request for proposal process. It was stated by the Council that no safety or zoning concerns had led to the staff's recommendation, and that predictions were not enough to merit a pause. It was urged that the Council should support the waitlisted businesses within the Council's approved process, and it was stated that the businesses should be able to make their own professional judgments about market conditions and risk. It was asserted that keeping application processing moving forward (not instituting a pause) would allow the waitlisted businesses to compete with dispensaries in the City of Pacific Grove. On the other hand, it was stated that staff's concerns and recommendation for the pause were valid, noting that the Pacific Grove dispensaries could heavily impact the proposed dispensary on Wave Street, and that this needed to be considered, along with the complications of the industry, and the fact that sales have not been what was expected. It was stated that if applications were paused, in six months City staff would have more data to present to the Council for a decision. A motion was introduced by Mayor Williamson, and seconded by Councilmember Garcia, to direct staff to bring back the waitlisted permittees for future action and not pause the program. On question from the Council, City Attorney Davi explained the code requirements that had been completed prior to the expiration of the waitlist. She explained that the City would need to proceed with considering permits for the current wait listed business unless the Council opted to pause the process. Comments were made in favor of the motion as a policy, but against cannabis as an industry, and members of the public were urged to educate themselves on the dangers of marijuana. The motion carried by the following vote: AYES: 5 COUNCILMEMBERS: Barber, Garcia, Rasch, Smith, Williamson NOES: 0 COUNCILMEMBERS: (None) 4  City Council Minutes March 3, 2026 Adjourn to Closed Session Public comment on the closed session was received from: Cathy Giammanco re: closed session Item 8, who spoke about and asked for help with the condition of Lake El Estero. The Council adjourned to closed session at 6:25 p.m. Closed Session (Afternoon) 8. Closed Session Conference with Real Property Negotiators Pursuant to Government Code Section 54956.8 Property: 798 Del Monte Avenue Agency Negotiators: Kimberly Cole and Janna Aldrete Negotiating Parties: Anthony Giammanco (El Estero Boating) Under Negotiation: Price and Terms of Payment for Lease Amendment (Not a Project under CEQA per Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: On a unanimous roll-call vote, confidential direction was given to property negotiators 9. Conference with Legal Counsel, Existing Litigation Pursuant to Government Code section 54956.9(d)(1): City of Monterey v. Leslie J. Flores, Trustee (Monterey County Superior Court Case No. 24CV000750) (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Heard in the evening; On a unanimous roll call vote, confidential direction was given to legal counsel 10. Conference with Legal Counsel: Anticipated Litigation, Significant Exposure to Litigation Pursuant to Government Code section 54956.9(d)(2), (e)(3): Café Fina and Domenico’s Re: Trash Porter Services (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: On a unanimous roll-call vote, confidential direction was given to legal counsel 11. Closed Session Conference with Real Property Negotiators Pursuant to Government Code Section 54956.8 Property: 886 Cannery Row Agency Negotiators: Kimberly Cole and Janna Aldrete Negotiating Parties: Monterey Bay Aquarium Foundation Under Negotiation: Review of Rent (Not a Project Under CEQA Article 20, Section 15378 and Under General Rule Article 5, Section 15061) Action: Heard in the evening; No reportable action taken 12. Conference with Legal Counsel, Significant Exposure to Litigation Pursuant to Government Code section 54956.9(d)(2), (e)(1) (One Case) (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Heard in the evening; No reportable action taken The Council recessed at 7:01 p.m. and reconvened at 7:08 p.m. 5  City Council Minutes March 3, 2026 EVENING SESSION AGENDA Pledge of Allegiance Councilmember Barber led the Pledge. General Public Comments, Continued Continued public comment on non-agendized matters was received from Esther Malkin and Nina Beety. Announcements from Closed Session City Attorney Davi reported out from the closed session as indicated in the actions recorded for closed session Items 8 and 10, above, and reported that the remaining items would be taken up at the end of the evening session. Evening Session Items Public Appearance (Evening) 13. Ask the Voters to Approve a Proposed Parking Lot Tax at the Rate of 8% at the June 2, 2026 Special Election (Not a Project Under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061) Action: Directed staff to review questions that were posed and prepare for more discussion to be held about a potential parking tax for November ballot Finance Director King gave the staff presentation and answered Councilmembers' questions with additional input provided by City Attorney Davi and Interim City Manager Bauman. Public comment was received from: Marta Kraftzeck, who provided public outreach suggestions; Tom Gowing, who shared his thoughts regarding taxation; Mike Zimmerman of the Cannery Row Company, who said that the revenue projected by staff was inaccurate; Janine Chicourrat of the Portola Hotel & Spa, who echoed the concern about estimated revenue and spoke about alternative ways to raise revenue; Vince Balestreri of the Cannery Row Company, who spoke against the proposed tax; Daniel Armendariz, who expressed concern about impacts on disabled people; Tom Reeves, who said that in fairness any parking tax should affect both private and public lots; and Esther Malkin, who echoed public outreach suggestions and said residents should pay a lower rate. On question from the Council, Management Analyst Ackermann, Finance Director King, Interim City Manager Bauman, and City Attorney Davi provided information on estimated revenues, issues such as special events and educational facilities, how auditing would be conducted, the legality of fees for Americans with Disabilities Act (ADA) compliant parking, and the use of parking fees to offset operating costs and provide for infrastructure repairs. The Council discussed the matter. It was agreed that there would be a significant need for voter education. Concern was expressed about there being too many questions and not enough data about issues such as parking spaces and revenue projections, public parking lots, special events, and educational facilities such as Monterey Peninsula College. Equity was cited as a concern, specifically relating to fairness between private and public parking lots. Parking rates in the City's public lots were discussed, including the potential for local discounts, and State law that limited the City's ability to set higher rates. 6  City Council Minutes March 3, 2026 Comments were made in favor of waiting and considering the matter more in the lead-up to the time period for potentially placing a parking tax onto the November 2026 ballot, rather than the June 2026 ballot, stating that more time was needed to collect information and create a clearer message for voters. Concern was also expressed about overwhelming voters with multiple tax measures in November. On a motion by Mayor Williamson, seconded by Councilmember Barber, and carried by the following vote, the City Council directed staff to review questions that were posed and prepare for more discussion to be held about a potential parking tax for the November ballot: AYES: 5 COUNCILMEMBERS: Barber, Garcia, Rasch, Smith, Williamson NOES: 0 COUNCILMEMBERS: (None) The Council recessed at 8:23 p.m. and reconvened at 8:39 p.m. 14. Reauthorize Initiation of a Proceeding to Obtain Voter Approval for the City's Stormwater Fee at a Lower Rate to Mitigate Flood Risks and Reduce Pollutants in Stormwater Runoff into the Monterey Bay and Adopt Ballot Procedures for the Submission and Tabulation of Protests in Connection with Rate Hearings Conducted Pursuant to the California Constitution (Proposition 218) (Not a Project Under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061) Action: Adopted Resolution Nos. 26-036 and 26-037 C.S. (3-2, Councilmember Garcia and Mayor Williamson voting no) Environmental Regulations Analyst Baggott gave the staff presentation and answered Councilmembers' questions. Public comment was received from: Daniel Armendariz, who asked about pollutants in the City's stormwater; and Esther Malkin, who said that it seemed that Prop 218 processes did not get a lot of resident engagement. On question from the Council, Environmental Regulations Analyst Baggott; Chris Coulter, consultant with SCI Consulting Group; and City Engineer/Deputy Public Works Director Easterling provided information about pollutants in the City's stormwater, the polling on the subject of stormwater fees that was conducted in late 2025, the intended use of stormwater fees for regular operations and maintenance of the storm drain program, and how improvement projects could be funded in the future. The Council discussed the matter. It was stressed that due to the City's current financial situation, the staff's recommendation of a lower fee could sell the City short and result in a lower rate of cost recovery. On the other hand it was posited that putting the higher rate on the ballot could result in a lack of voter support. A motion was introduced by Mayor Williamson, and seconded by Councilmember Garcia, to return to the previous (higher) fee and make any revisions needed to the fee report to document returning to the previous (higher) fee. In opposition to the motion, it was noted by the Council that it was important to be cautious with asks of the public, and it was stated that the Council was making good decisions overall to address the City's deficit but that there was some concern in the public about overreach. 7  City Council Minutes March 3, 2026 On a substitute motion introduced by Councilmember Rasch, seconded by Councilmember Barber, and carried by the following vote, the Council approved the staff recommendation and adopted Resolution Nos. 26-036 and 26-037 as presented: AYES: 3 COUNCILMEMBERS: Barber, Rasch, Smith NOES: 2 COUNCILMEMBERS: Garcia, Williamson City Manager Reports Interim City Manager Bauman noted that the second First City Academy for residents would begin later in the week and that participants were included in a University of North Carolina study about public engagement. He thanked City staff for their efforts relating to the recent Panetta lecture. He said that the Laguna Grande Park JPA would sponsor an event in the park on April 19, 2026. Council Comments Councilmember Garcia invited all to an upcoming Community Human Services outreach event at Custom House Plaza. Councilmember Rasch reported on a legislative affairs breakfast put on by the Salinas Valley Chamber of Commerce and shared that she had learned that public high school enrollment had gone down from 78,000 to 72,000. She said that Monterey High School had added beach volleyball as a team sport and had upcoming games scheduled at Del Monte Beach. She announced that there was still time to comment on the federal government's outer shelf oil and gas proposal for the California coast. Mayor Williamson reported from Monterey One Water (M1W), saying that the board of directors had voted in support of an updated cost rate structure, and that General Manager Paul Sciuto would attend an upcoming Council meeting. He said that everyone remained hopeful in anticipation of an upcoming decision by the State Water Resources Control Board regarding condition two of the cease-and-desist order prohibiting California-American Water from diverting water from the Carmel River. Adjournment The Council adjourned at 10:28 p.m. Respectfully Submitted, Approved, Clementine Bonner Klein Tyller Williamson City Clerk Mayor 8