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HomeMy WebLinkAbout10-01-2007 MinutesSan Bernardino CITY OF SAN BERNARDINO 300 N. "D "Street San Bernardino, CA 92418 Website: www.sbcity.org Mayor Patrick J. Morris Council Members: Esther Estrada Dennis J. Baxter Tobin Brinker Neil Derry Chas Kelley Rikke Van Johnson Wendy McCammaek MINUTES MAYOR AND COMMON COUNCIL AND COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO JOINT REGULAR MEETING OCTOBER 1, 2007 COUNCIL CHAMBERS The joint regular meeting of the Mayor and Common Council and Community Development Commission of the City of San Bernardino was called to order by Mayor/Chairman Morris at 1:34 p.m., Monday, October 1, 2007, in the Council Chambers of City Hall, 300 North "D" Street, San Bernardino, California. Roll Call Roll call was taken by City Clerk Clark with the following being present: Mayor/Chairman Morris; Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Johnson, McCammack; City Attorney Penman, City Clerk Clark, City Manager Wilson. Absent: Council Member/Commissioner Kelley. Council Member/Commissioner Kelley Arrived At 2:03 p.m., Council Member/Commissioner Kelley arrived at the Council/ Commission meeting. 1. Closed Session A. Conference with legal counsel - existing litigation - pursuant to Government Code Section 54956.9(a): 011ie Dean Harris v. City of San Bernardino - San Bernardino Superior Court Case No. 143684; Michael Negrete v. City of San Bernardino - United States District Court Case No. EDCV 06-01047 VAP (OPx); 1 10/01/2007 Kimberly Smith v. City of San Bernardino - San Bernardino Superior Court Case No. SCVSS 139188. B. Conference with legal counsel - anticipated litigation - significant exposure to litigation - pursuant to subdivision (b) (1), (2), (3) (A-F) of Government Code Section 54956.9: James Black - Disability Evaluation Unit Rating No. SBR G25129 C. Conference with legal counsel - anticipated litigation - initiation of litigation - pursuant to subdivision (c) of Government Code Section 54956.9. D. Closed Session - personnel - pursuant to Government Code Section 54957. E. Closed session with Chief of Police on matters posing a threat to the security of public buildings or threat to the public's right of access to public services or public facilities - pursuant to Government Code Section 54957. F. Conference with labor negotiator - pursuant to Government Code Section 54957.6: Negotiator: Linn Livingston, Human Resources Director Employee Organizations: Fire Fighters Association Local No. 891 San Bernardino Confidential Management Association Mid -Management Unit General Unit G. Conference with real property negotiator - pursuant to Government Code Section 54956.8. Reading of Resolutions & Ordinances Deputy City Clerk Hartzel read into the record the titles of all the resolutions and ordinances on the regular agenda of the Mayor and Common Council and Community Development Commission. Invocation/Pledge of Allegiance The invocation was given by Reverend David Starr, Pastor of St. John's Episcopal Church, followed by the pledge of allegiance, led by Council Member Dennis Baxter. 2 10/01/2007 Moment of Silence Mayor Morris extended condolences to the family and requested a moment of silence in memory of Clifford Brown, who recently passed away and served as a deacon of Bethesda Baptist Church. 2. Appointments Re -Appointments - Council Member Brinker • Jerry A. Moya - Board of Fire Commissioners • Jane Messer - Fine Arts Commission • Willie M. Brue - Senior Affairs Commission • James J. Eble - Board of Building Commissioners Appointments - Mayor Morris • Suzie Earp - Historical Preservation Commission • Cherstin M. Lyon - Historical Preservation Commission Council Member/Commissioner Estrada made a motion, seconded by Council Member/Commissioner Baxter, that the re -appointments of Jerry Moya, Jane Messer, Willie Brue, and James Eble, as requested by Council Member Brinker, and the appointments of Suzie Earp and Cherstin Lyon, as requested by Mayor Morris, be approved. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 3. Proclamations & Presentations County Supervisor Josie Gonzales presented a check in the amount of $15,000 to Mr. Art Solis, President of the Inland Empire Pony League. Wayne Austin, President and CEO of the San Bernardino Convention and Visitors Bureau, provided a report on this year's Route 66 Rendezvous and presented a check in the amount of $3,437 to the Boys and Girls Club. Mayor Morris and Assistant to the Mayor Nick Gonzales acknowledged the following residents and businesses who participated in the City-wide cleanup in preparation for the Route 66 Rendezvous: • Home Depot for donating $3,300 worth of tools; • Caltrans personnel, who gave the City access to the freeways and spent six weeks working with City personnel in the cleanup of the freeways and the freeway on- and off -ramps; 3 10/01/2007 4 5 • Deputy Dye from Glen Helen, whose workers contributed over 3,390 hours of work, equating to $35,000; • Youth from the Church of Jesus Christ of Latter -Day Saints; • Neighborhood Cluster Associations & Neighborhood Watch Groups; • Public Safety Academy; • Los Padrinos. Henry Duro, Chairman of the San Manuel Band of Mission Indians, Jerry Paresa, Executive Director of Intergovernmental Affairs, and Mike Smith, San Manuel Fire Chief, presented a check for $2.2 million to Mayor Morris and Fire Chief Michael Conrad to be used to purchase two new, fully -equipped ladder trucks and fund two new positions —a dispatcher and a mechanic. Announcements Announcements were made by the Mayor, members of the Common Council, elected officials, and a representative from the Chamber of Commerce regarding various civic, community, and chamber events and activities. Waive full reading of resolutions and ordinances Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that full reading of the resolutions and ordinances on the regular agenda of the Mayor and Common Council and Community Development Commission, be waived. The motion Commission McCammack. Commissioner carried by t Estrada, Nays: None. 6. Council Minutes he following vote: Baxter, Brinker, Absent: None. Ayes: Council Members/ Derry, Kelley, Johnson, Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that the minutes of the following meeting(s) of the Mayor and Common Council/Community Development Commission of the City of San Bernardino, be approved as submitted in typewritten form: July 16, 2007; August 13, 2007. The motion carrie Commissioners E McCammack. Nays d by the following vote: strada, Baxter, Brinker None. Absent: None. Ayes: Council Members/ Derry, Kelley, Johnson, 4 10/01/2007 7. Claims and Payroll Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that the claims and payroll and the authorization to issue warrants as listed in the memorandum dated September 13, 2007, from Barbara Pachon, Director of Finance, be approved. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 8. Personnel Actions Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that the personnel actions, as submitted by the Chief Examiner, dated September 26, 2007 in accordance with Civil Service rules and Personnel policies adopted by the Mayor and Common Council of the City of San Bernardino, be approved and ratified. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 9. RES. 2007-406 - Resolution of the Mayor and Common Council of the City of San Bernardino authorizing the City Manager to execute a lease agreement between the City of San Bernardino and Omnipoint Communications Inc. for the lease of three hundred ten (310) square feet of land at Colony Park, located at the intersection of E. Harwick Drive and Weir Road. Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that said resolution be adopted; and that the Director of Finance be authorized to amend the FY 2007/08 adopted budget and increase General Fund revenues by $12,000 (Account No. 001-000-4520 "Land & Building Rental") and also increase the Parks and Recreation expenditure budget in a corresponding amount of $12,000 (Account No. 001-382-5706-7756 "Colony Park Picnic Shelter PR08-11"). The motion carried and Resolution No. 2007-406 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 5 10/01 /2007 10. RES. 2007-407 - Resolution of the City of San Bernardino authorizing execution of a Cooperative Agreement with the San Bernardino County Flood Control District and the City of Colton for construction of Randall Basin (SD08-03). Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that said resolution be adopted. Resolution No. 2007-407 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 11. RES. 2007-412 - Resolution of the City of San Bernardino adopting the Three -Year Capital Improvement Program (2007-2010) for Measure "I" Local Expenditures. Mayor/Chairman Morris explained that due to potential conflicts of interest which require certain Council members to recuse themselves from voting on Measure "I" Capital Improvement Projects located within 500 feet of real property which they own, or in which they have an interest, there would be two separate actions to approve the resolution. He indicated that all members of the Council would participate in the first vote to approve the resolution and those projects listed on Exhibits A and B. On the second vote, Council Members Baxter and Brinker would leave the Chambers, and the remaining members would vote on Exhibit C—those projects which present a conflict to Mr. Baxter and Mr. Brinker. Council Member/Commissioner Kelley made a motion, seconded by Council Member/Commissioner Brinker, that said resolution be adopted with Exhibits A and B. Resolution No. 2007-412 and Exhibits A and B were adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. Council Member/Commissioner Baxter stated that because he owns or has an interest in real property located within 500 feet of CIP No. SSO4-116, he would abstain on the next motion. He left the Council Chambers and returned after the vote was taken. 6 10/01/2007 Council Member/Commissioner Brinker stated that because he owns or has an interest in real property located within 500 feet of CIP No. SS06-102, he would abstain on the next motion. He left the Council Chambers and returned after the vote was taken. Council Member/Commissioner Kelley made a motion, seconded by Council Member/Commissioner Estrada, that Exhibit C to the resolution be adopted. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Derry, Kelley, Johnson, McCammack. Nays: None. Abstentions: Council Members/Commissioners Baxter, Brinker. Absent: None. 12. RES. 2007-413 - Resolution of the Mayor and Common Council of the City of San Bernardino approving Amendment No. 1 to Agreement with GFR Enterprises, Inc. for the dedication and improvement of a 4-acre park at the southwest corner of Irvington Avenue and Chestnut Avenue. Council Member/Commissioner Kelley made a motion, seconded by Council Member/Commissioner Estrada, that said resolution be adopted. Resolution No. 2007-413 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Kelley, Johnson, McCammack. Nays: None. Absent: Council Members/Commissioners Brinker, Derry. 13. Authorization to proceed and approval of Plan No. 12291 — proposed vacation of a portion of Crescent Avenue between Huff Street and College Drive Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that the Director of Development Services and the City Clerk be authorized to proceed with the proposed vacation of a portion of Crescent Avenue between Huff Street and College Drive; and that Plan No. 12291 showing the proposed vacation of a portion of Crescent Avenue between Huff Street and College Drive, be approved. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 14. Set public hearing for adoption of Master Facilities Plan Regional Circulation System Update to adjust the Regional Traffic Systems Fee and Amendment to Resolution No. 2006-97 7 10/01 /2007 Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that the Mayor and Common Council set a public hearing for October 15, 2007, at 4:00 p.m. to adopt the updated Master Facilities Plan Regional Circulation System and set the new amount of the Regional Circulation System Development Impact Fee. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 15. Reject all bids for Sewer Improvements in Industrial Parkway (SW05-05), Tippecanoe Avenue (SW05-06) and "I" Street (SW04-36) & Pavement Rehabilitation of Tippecanoe Avenue (SW05-06), "I" Street (SW04-36) and Sterling Avenue (SS06-56), per Plan No. 11923 Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that the Mayor and Common Council reject all bids for Sewer Improvements in Industrial Parkway (SW05-05), Tippecanoe Avenue (SW05-06) and "I" Street (SW04-36) & Pavement Rehabilitation on Tippecanoe Avenue (SW05-06), "I" Street (SW04-36) and Sterling Avenue (SS06-56), per Plan No. 11923. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 16. Resolution authorizing an agreement with MuniServices, LLC to provide analysis and audit services for the Transactions and Use Tax collected by the State Board of Equalization & a Resolution authorizing a designated representative to receive the Transactions and Use Tax records from the State Board of Equalization and rescinding Resolution No. 87-130. Resolution of the City of San Bernardino authorizing the execution of an agreement with MuniServices, LLC to provide analysis and audit services for the City of San Bernardino's Transactions and Use Tax collected by the State Board of Equalization. (16A) RES. 2007-414 - Resolution of the Mayor and Common Council of the City of San Bernardino designating MuniServices, LLC as the authorized City representative to examine transactions (sales) and use tax records, and designating the City Manager, the Director of Finance and the Deputy Director of Finance as the City Officers authorized to receive information contained in, or derived from, the Transactions (sales) and Use Tax records, and rescinding Resolution 87-130. (16B) 8 10/01/2007 Council Member/Commissioner McCammack pointed out that Progressive Solutions, a company already under contract to the City, has a module that does almost the same thing as MuniServices was proposing to do; and Progressive currently charges the City only half of what MuniServices is proposing to charge. She stated that she thought this proposed contract would be a duplication of some of the services we are already paying for; therefore, staff should first check with Progressive to see if they could provide this same service. City Manager Wilson answered that MuniServices has been auditing the City's records since 1987 and has done an excellent job at auditing sales tax services. He stated that their client list probably runs about 200 cities in California. As to whether or not Progressive, with the help of the Finance Director, could do the same thing —it was his opinion that the audit work associated with sales tax is fairly complicated, involving not only the point of sale transactions, but also the issue of how sales tax is allocated within that pool. Mayor/Chairman Morris asked whether it would be helpful to make an inquiry as to what services Progressive could provide and take this matter off the calendar for today until staff had obtained that information. City Manager Wilson suggested that the Council adopt Resolution B today and continue Resolution A to the next meeting. Council Member/Commissioner Kelley made a motion, seconded by Council Member/Commissioner Estrada, that said resolution A, be continued to the Council/Commission meeting of October 15, 2007. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. Council Member/Commissioner Baxter made a motion, seconded by Council Member/Commissioner Kelley, that said resolution B, be adopted. Resolution No. 2007-414 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 17. Establish salaries - Police Department ranges P-1, P-2, P-3, and Law Enforcement Trainee, effective August 1, 2007 9 10/01 /2007 Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that the salaries for Police Department Ranges P-1 (Police Officer), P-2 (Detective/Corporal), P-3 (Sergeant) and Law Enforcement Trainee be established, effective August 1, 2007; that the Human Resources Department be authorized to amend Resolution No. 6429 to reflect the above action; and that the Director of Finance be authorized to amend the FY 2007/08 budget by increasing the Police Department General Fund budget for Charter 186 costs by transferring $923,700 from the General Government budget into Account No. 001-092-5011 and also make the appropriate adjustments to the various Police Grants as allowed by the Grants for the Charter 186 costs. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 18. RES. 2007-408 - Resolution of the Mayor and Common Council of the City of San Bernardino authorizing the issuance of annual purchase orders in an amount not to exceed $108,889 in the aggregate to purchase food from Sysco Foods, Merit Day, Ross Swiss and Second Harvest Food Bank for the Senior Nutrition Program for FY 2007/08 through FY 2009/10. Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that said resolution be adopted. Resolution No. 2007-408 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 19. Item Deleted 20. RES. 2007-409 - Resolution authorizing the execution of an agreement and issuance of a purchase order in the amount of $61,482.57 to Fairview Ford of San Bernardino pursuant to Section 3.04.010-B3 of the Municipal Code for the purchase of (3) three 2008 Ford F-250 pick up trucks with liftgates, to be utilized by the Parks and Police Departments. Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that said resolution be adopted. Resolution No. 2007-409 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 10 10/01/2007 21. RES. 2007-410 - Resolution of the Mayor and Common Council of the City of San Bernardino authorizing the execution of a purchase order in the amount of $245,300.00 by exercising its first year option with Pavement Recycling Systems, Inc., pursuant to Section 3.04.010 B-3 of the Municipal Code for cold planing services, labor and equipment rental for City street repairs and ratifying action taken from July 1, 2007 through approval by the Mayor and Common Council. Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that said resolution be adopted. Resolution No. 2007-410 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 22. RES. 2007-411 - Resolution of the Mayor and Common Council of the City of San Bernardino authorizing the execution of a purchase order in the amount of $1,586,560.00 by exercising its final contract option between the City of San Bernardino and Matich Corporation pursuant to Section 3.04.010 B-3 of the Municipal Code for street paving services utilized by the Public Services Department, Streets Division. Council Member/Commissioner Johnson made a motion, seconded by Council Member/Commissioner Baxter, that said resolution be adopted. Resolution No. 2007-411 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 23. Request for Civic and Promotional funding for the Fiesta de la Familia at Arrowhead Credit Union Park Council Member/Commissioner Estrada made a motion, seconded by Council Member/Commissioner Derry, that the request for a waiver of fees in the amount of $12,580.74 for department personnel costs associated with the 10' Annual Fiesta de la Familia scheduled for October 20-21, 2007, be approved; and that $12,580.74 be transferred from the Civic and Promotional fund into the Police Department account to recover their costs incurred for the Fiesta de la Familia event. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 10/01/2007 24. Public hearing - Resolution authorizing the execution of an Agreement and Resolution Ordering Work relative to proposed Cajon Boulevard and University Parkway Area Landscape Maintenance Assessment District No. 1057 (Parcel Map No. 17375) (Continued from September 17, 2007) Resolution of the Mayor and Common Council of the City of San Bernardino authorizing and directing the execution of a Landscape Maintenance Services Agreement relative to the proposed Assessment District No. 1057 (Cajon Boulevard and University Parkway Area Landscape Maintenance Assessment District). (24A) Resolution of the City of San Bernardino finding and determining the existence of less than a majority protest, that ballots submitted in favor of the assessment exceed the ballots submitted in opposition to the assessment and that the public convenience and necessity require the maintenance of landscaping in the Cajon Boulevard and University Parkway area, approving the final Engineer's Report, creating an assessment district to cover the costs of said maintenance, known as Assessment District No. 1057, ordering the work, confirming the 2008-2009 Assessment Roll, and determining that the Special Assessment Investigation, Limitation and Majority Protest Act of 1931 shall not apply. (24B) Note: The resolutions were not distributed with the backup materials. The hearing remained open. Mayor/Chairman Morris advised that staff had requested a continuance to October 15, 2007. Council Member/Commissioner Baxter made a motion, seconded by Council Member/Commissioner Johnson, that the matter be continued to the Council/Commission meeting of October 15, 2007. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 25. Public hearing - Resolution authorizing the execution of an Agreement and Resolution Ordering Work relative to the proposed Central Avenue and Lena Road Area Landscape Maintenance Assessment District No. 1063 (Parcel Map No. 17721) 12 10/01/2007 Resolution of the Mayor and Common Council of the City of San Bernardino authorizing and directing the execution of a Landscape Maintenance Services Agreement relative to the proposed Assessment District No. 1063 (Central Avenue and Lena Road Area Landscape Maintenance Assessment District). (25A) Resolution of the City of San Bernardino finding and determining the existence of less than a majority protest, that ballots submitted in favor of the assessment exceed the ballots submitted in opposition to the assessment and that the public convenience and necessity require the maintenance of landscaping in the Central Avenue and Lena Road Area, approving the final Engineer's Report, creating an assessment district to cover the costs of said maintenance, known as Assessment District No. 1063, ordering the work, confirming the 2008-2009 Assessment Roll, and determining that the Special Assessment Investigation, Limitation and Majority Protest Act of 1931 shall not apply. (25B) Note: The resolutions were not distributed with the backup materials. Mayor/Chairman Morris opened the hearing. Mayor/Chairman Morris advised that staff was requesting a continuance of this matter to October 15, 2007. Council Member/Commissioner Baxter made a motion, seconded by Council Member/Commissioner Estrada, that the matter be continued to the Council/ Commission meeting of October 15, 2007. The motio❑ carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 26. Public hearing - Resolution Ordering Work - 48`h Street and Little Mountain Drive Area Landscape Maintenance Assessment District No. 1065 (Tract No. 17038) RES. 2007-415 - Resolution of the City of San Bernardino finding and determining the existence of less than a majority protest, that ballots submitted in favor of the assessment exceed the ballots submitted in opposition to the assessment and that the public convenience and necessity require the maintenance of landscaping in the 48`h Street and Little Mountain Drive Area, approving the final Engineer's Report, creating an assessment district to cover the costs of said maintenance, known as Assessment District No. 1065, ordering the work, confirming the 2008-2009 13 10/01 /2007 Assessment Roll, and determining that the Special Assessment Investigation, Limitation and Majority protest Act of 1931 shall not apply. Mayor/Chairman Morris opened the hearing. No public comments were received. City Clerk Rachel Clark advised that one ballot had been received; and was in favor of the proposed assessment. Council Member/Commissioner Kelley made a motion, seconded by Council Member/Commissioner Baxter, that the hearing be closed; and that said resolution be adopted. The motion carried and Resolution No. 2007-415 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None 27. ORD. MC-1257 - An Ordinance of the City of San Bernardino establishing a temporary moratorium on the establishment and operation of new parolee/probationer group homes, registered sex offender group homes and unlicensed group homes. FINAL READING Joe Ortiz, 387 West 25"' Street, San Bernardino, CA, spoke about City Attorney Penman's efforts to regulate unlicensed, unsupervised, and substandard parolee housing; and the editorial in The Sun newspaper on September 19, 2007, regarding this matter. Council Member/Commissioner Derry made a motion, seconded by Council Member/Commissioner McCammack, that said ordinance be adopted. Ordinance No. MC-1257 was adopted by the following vote: Ayes: Council Members/Commissioners Brinker, Derry, Kelley, Johnson, McCammack. Nays: Council Members/Commissioners Estrada, Baxter. Absent: None. 28. RES. 2007-416 - Resolution of the Mayor and Common Council of the City of San Bernardino ratifying the retention of Atkinson, Andelson, Loya, Rudd & Romo for legal services provided in the case of Evlyn Wilcox v. Kari Verjil (Marianne Milligan, Real Party in Interest), San Bernardino County Superior Court, Case No. CIVSS 705111. (Continued from September 17, 2007) 14 10/01/2007 City Attorney Penman stated that since this item involves an election he is in, to avoid a perceived conflict he would leave the dais and Assistant City Attorney Easland would take his place and answer any questions the Mayor or Council may have. Council Member/Commissioner McCammack questioned why the City had needed to hire a lawyer if this was simply a subpoena to request personnel records. City Manager Wilson answered that when such a document comes in, if you are not an attorney, you may not really understand what is involved. Staff was looking for someone to simply say that this is how you should respond to this kind of a document. Ms. McCammack stated that she saw the subpoena and it said, "Turn over the records," and consisted of about three paragraphs. Mr. Wilson replied that when you receive something from an attorney, there is a comfort level that has to be there for the staff responding to those kinds of things. Council Member/Commissioner Estrada made a motion, seconded by Council Member/Commissioner Baxter, that said resolution be adopted. Resolution No. 2007-416 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 29. An Ordinance of the City of San Bernardino amending Section 3.44.030 of the San Bernardino Municipal Code Chapter 3.44, Telephone User's Tax to clarify original intent. FIRST READING (Continued from September 17, 2007) Council Member/Commissioner McCammack made a motion, seconded by Council Member/Commissioner Estrada, that the matter be tabled. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 30. Discussion regarding Utility User's Tax (UUT) City Manager Wilson provided an overview of the staff report, noting that a reduction in the UUT rate would likely be needed to ensure passage by the 15 10/01/2007 voters of an updated utility tax ordinance. He stated that if the Council's desire was to incorporate a rate reduction into the measure, there were essentially two main options, as follows: Option 1: Reduce UUT rate across all utilities - A rate reduction from 7.83% to 7.75% across all utilities could result in a $258,000 reduction in UUT revenue annually. Option 2: Reduce UUT rate only on telecommunications - A rate reduction from 7.83% to 7.75% on telecommunications only could result in a $91,600 reduction in UUT annually. Mayor/Chairman Morris advised that the City had done some polling on this matter that had showed a substantially favorable response from the electorate for an updated ordinance, even without the rate reduction. Council Member/Commissioner McCammack made a motion, seconded by Council Member/Commissioner Kelley, that the Mayor and Common Council consider and provide direction concerning possible UUT ordinance options, and direct the City Attorney's Office to prepare a draft revision of the UUT ordinance, along with other necessary documents, based on Option 1 in the staff report (reduce UUT rate across all utilities from 7.83% to 7.75%), in order to place the matter on the February 2008 ballot. The motion carried by the following vote: Ayes: Council Members/ Commissioners Brinker, Derry, Kelley, McCammack. Nays: Council Members/Commissioners Estrada, Baxter, Johnson. Absent: None. 31. An Ordinance of the City of San Bernardino Municipal Code adding Chapter 9.93 to the San Bernardino Municipal Code and establishing Administrative Civil Penalties for violations of the Municipal Code. FIRST READING Note: No ordinance was distributed with the backup materials. Council Member/Commissioner McCammack made a motion, seconded by Council Member/Commissioner Kelley, that the matter be referred to the Legislative Review Committee. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 16 10/01/2007 32. Request for the purchase and installation of banner poles on University Parkway Council Member/Commissioner Kelley noted that for quite some time the City has had banner poles that market the venues in our city on Hospitality Lane, Highland Avenue, "E" Street, and Mt. Vernon Avenue; and for quite some time there has been a disconnect between the north end of our city and the rest of the city. He stated that he could think of no other street that has the volume of traffic that University Parkway does, including the commuter traffic going to the University. He read a letter from Al Karnig, President of Cal State University, in which he thanked Mr. Kelley for his enthusiastic support for creating a banner on University Parkway that would signal the presence of the University District as well as identify other events in our city such as the Little League Tournament, Route 66, etc. Mayor/Chairman Morris inquired about the cost and the source of funding. City Manager Wilson stated that the cost would be approximately $76,000, and he believed the recommendation was for the funds to come from the Community Development Commission. Maggie Pacheco, Executive Director of the Economic Development Agency, advised that the EDA budget was approved in June, that all the line items in the budget were spoken for, and this was a new item that had arisen after the EDA budget had been approved. She stated that in order for the Economic Development Agency to fund this item, her recommendation would be that the Council look to the reserve fund that they had all agreed at the last workshop that they would not tap into until they came up with a city-wide strategy on economic development activities. She stated that this item would be a matter for the Commission to discuss and that perhaps it would be appropriate to forward the item to the Redevelopment Committee. Council Member/Commissioner Kelley stated that this was the right thing to do for the entire city and urged his colleagues to support this proposal. Council Member/Commissioner Estrada noted that the Council has talked about the need to market different parts of the city, and obviously this is a very important part of our community. She stated that she totally agreed that they ought to do something, that the cost was not an insurmountable amount, and she thought they could find the money in salary savings or project savings, or unused CDBG monies. 17 10/01/2007 Council Member/Commissioner McCammack suggested the possibility of using Civic and Promotion funding, Charter 186 salary savings, or leftover, un- programmed CDBG money. Ms. Pacheco advised that this was not an eligible use for CDBG funding —that installation of a banner is not considered a capital improvement per se. She stated that if the Council wanted her to look for other resources in the EDA budget, she was scheduled to come back before the Community Development Commission to present a budget amendment that they had previously authorized, and at that time she could address the appropriate funding source. Ms. McCammack stated that she was not talking about the actual expenditure for the banner with CDBG money, but there was some installation that would be required that would be more permanent; and that was the part she was talking about as far as CDBG money was concerned. Council Member/Commissioner Estrada stated that the only reason that she supported the Economic Development Agency footing the bill for this was that that particular part of the community does generate quite a bit of tax increment, and there are a lot of reasons why they should be doing other things to promote different parts of the city. Council Member/Commissioner Kelley made a motion, seconded by Council Member/Commissioner Brinker, that the Community Development Commission authorize the request for $76,000 for the purchase and installation of banner poles on University Parkway. The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. COMMUNITY DEVELOPMENT COMMISSION Staff Present: Mayor/Chairman Morris; Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack; Economic Development Agency Executive Director Pacheco and Special Counsel Sabo, City Clerk Clark. Absent: None. 18 10/01/2007 R33. RES. CDC/2007-28 - Resolution of the Community Development Commission of the City of San Bernardino approving and authorizing the Executive Director of the Redevelopment Agency of the City of San Bernardino ("Agency") to execute (1) a Redevelopment Cooperation Agreement by and between the Agency and the Inland Valley Development Agency ("IVDA") and (2) a Single Family Inclusionary Housing Owner Participation Agreement ("OPA") by and between the Agency and GFC Enterprises, LLC, for the development of Lynwood Housing Development (IVDA Redevelopment Project Area). Council Member/Commissioner McCammack made a motion, seconded by Council Member/Commissioner Estrada, that said resolution be adopted. Resolution No. CDC/2007-28 was adopted by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. PLANNING 34. Public hearing - an ordinance amending Chapter 19.08 of the Development Code to permit social service centers as a conditional use in the IL, Industrial Light, land use district & Conditional Use Permit No. 07-03 to construct a 2-story, 34,833 square foot men's rehabilitation center on the east side of Doolittle Road approximately 400 feet north of Mill Street. An Ordinance of the City of San Bernardino amending Chapter 19.08 (Industrial Districts), Section 19.08.020, Table 08.01 (34) of the San Bernardino Municipal Code (Development Code) related to social service centers. FIRST READING Mayor/Chairman Morris opened the hearing. Valerie Ross, Director of Development Services, provided background information. Council Member/Commissioner Derry expressed concern that this matter was not considered by a Council committee prior to coming to the full Council, especially since it falls into the parolee housing issue and opens the door for such potential uses in the area. He stated that he was originally going to recommend that the matter be continued; however, he did not want to hold up the Salvation Army on their project. He stated that his main concern was that currently such CUPS only go 19 10/01/2007 to the Planning Commission for approval and he thought they needed the scrutiny of the Council also —that all CUPS regarding social service centers, as in this particular development code amendment, should be approved by the Council. Senior Deputy City Attorney Empeno distributed an amended copy of the ordinance that contained language requiring that social service center CUPS would require approval of the Mayor and Common Council as part of the approval process. Council Member/Commissioner Estrada stated that she, also, did not want to hold up the Salvation Army project; however, it looked a little like spot zoning by changing the rule to do this. She stated that she had a concern relative to social service centers —that it is a very broad term that covers quite a lot —and she was not quite sure how to resolve that. Council Member/Commissioner Derry stated that this was only regarding residential —people staying overnight and residing in the facilities. Ms. Estrada stated that her concern was as it mentions "social service centers." She questioned how it could be so defined that it is particular to the Salvation Army and yet it is not spot zoning, and at the same time it is not being unfair to social service centers. City Attorney Penman advised that this was a difficult issue —that Ms. Estrada was correct, this is very broad. He noted that the definition of a social service center does not have to be residential, and read Municipal Code Chapter 19.02.050, as follows: "A building or buildings used for recreational, educational, cultural, or religious activities operated by nonprofit groups or agencies that are open to the public. Related uses may include food service, childcare facilities, job training programs, after school programs, medical clinics, and other similar uses or activities. Residential facilities may be established as part of the use. Drug and alcohol recovery facilities (outpatient or residential) may be a component of the social service use." He stated that for the first time this would open the door for parolee group homes in the city, which is not the intent, because here the focus is the Salvation Army. However, Ms. Estrada is correct, it is almost like spot zoning; and in order to get the Salvation Army in to do what they want to do, we are having to open the door to a very broad category. He posed the question as to whether something like this would impact a group such as the Boys and Girls Club, Casa Ramona, or Home of Neighborly Services if they wanted to open up another such facility in an Industrial Light area, and the answer was yes, it would —so it is quite broad from that perspective. 20 t 0/01 /2007 Ms. Ross stated that she would think that having the ability to file an application for a social service center could not include parolee facilities because there is a moratorium in place specifically prohibiting such facilities. She stated that social service centers were established by the Council five or six years ago, and this was in response to Central City Lutheran Mission and Mary's Mercy Center, two organizations in the city, both in residential neighborhoods, that are similar to the Salvation Army in that they provide a range of programs. She stated that when the Salvation Army came to the Development Services Department, it made sense to consider it non-residential because they frequently have issues with how much density is enough versus too much when they are getting into residential areas. So by allowing social service centers in non- residential, i.e., light industrial, staff has the ability to approve or deny depending on the specific location, the availability of services, etc. She added that each use, in addition to the Salvation Army, would have to come in and file a conditional use permit, and that individual application would be evaluated on its own merits. Mr. Derry clarified that he was not discussing this specific project, he was discussing the development code amendment —he would like the ordinance to require that the CUP would have to go to the Council for approval as it relates to this specific development code amendment. He pointed out that the Council was taking action on the development code amendment; however, it affects more than just the Salvation Army, it affects any applicant. What he was saying is that any applicant for social service centers providing these same services, if they have to go to Planning Commission anyway, should also have to come before the Council. City Attorney Penman noted that under Development Code Section 19.04.030 (2), Social Service Uses/Centers, there are 15 provisions applicable to social service uses/centers; and presently, one of those would prevent just a parolee group home from opening up, although if this is to be adopted, it would be a simple matter to eliminate this one exception. Mr. Penman read Development Code Section 19.04.030 (2) (15), as follows: "Single room occupancy facilities, boarding houses, parolee facilities, and detention correctional facilities are not included in the definition of Social Service Use." He noted that this was an important factor; however, the other nonprofits are included —this does not exclude them. He stated that if this is passed, it's one step away from the repeal of 19.04.030 (2) (15), which would then allow for parolee facilities. Council Member/Commissioner Kelley asked if what he was hearing was if they should approve this without Mr. Derry's concern being addressed, then they could have group homes open up on Hallmark Parkway without coming before the Council and without the Council weighing in. 21 10/01 /2007 Ms. Ross answered that that was correct. Council Member/Commissioner Derry made a motion, seconded by Council Member/Commissioner McCammack that the hearing be closed; that said amended ordinance be laid over for final adoption (amended to require that all conditional use permits to allow social service centers in the IL, Industrial Light, land use district are subject to approval of the Mayor and Common Council); and that the Mayor and Common Council independently review, analyze and exercise independent judgment in consideration of the initial study and in making a determination, and adopt the Mitigated Negative Declaration and Mitigation Monitoring/Reporting Plan and approve Conditional Use Permit No. 07-03, based upon the Findings of Fact contained in the Planning Commission Staff Report, subject to the Conditions of Approval and Standard Requirements (Exhibit 2). The motion carried by the following vote: Ayes: Council Members/Commissioners Estrada, Baxter, Brinker, Derry, Kelley, Johnson, McCammack. Nays: None. Absent: None. 35. Appeal Hearing - Appeal of the Planning Commission's denial of Conditional Use Permit No. 05-17 (Amendment to Conditions No. 07-03) to convert 12 three-story live/work units into mixed -use units - north side of 3rd Street, approximately 240 feet east of Sierra Way in the CG-2, Commercial General, land use district Mayor/Chairman Morris opened the hearing. Valerie Ross, Director of Development Services, advised that this project was located on Third Street adjacent to the City fire station, was originally approved as a live/work facility, and was now nearing completion. She stated that initially the live/work proposal was that an individual would buy a unit, live upstairs, and have their business on the ground floor; however, at this time, ANR is requesting that it be mixed use, meaning the owner of the residential facility does not have to be the owner of the business that is on the first floor. She stated that when the Planning Commission considered this they had concerns because they thought it was a change in the policy direction as approved by the Council. She indicated that ANR would probably tell the Council that the reason for the change is the slowdown in the housing market; and that they have re-evaluated the feasibility of the live/work product and feel that it doesn't make sense right now, or in the near future, to proceed with that type of a product. Therefore, the request for the change. 22 10/01/2007 Ms. Ross stated that the design of the units would not change —that a person would not be able to tell by looking at them that there was a change —the difference being that there will not be interior access from the commercial portion into the residential area. She explained that the permitted uses for live/work and mixed use were very similar, low -intensity commercial and office -type uses, so the change would not be readily noticeable. She advised that although the Planning Commission had recommended denial, in the Planning Commission staff report were findings of fact to support approval of the request by ANR along with conditions of approval and standard requirements. Pursuant to Resolution No. 2000-279, City Clerk Clark administered an oath to George Jordan of ANR Homes, Inc. that he would provide true and honest testimony. George Jordan, Vice -President, ANR Homes, 357 West 2"d Street, San Bernardino, CA, stated that ANR appreciated Development Services' support of the change of use request from live/work to mixed use. He stated that he would also like to note that in the Planning Commission's denial, they had actually recommended that ANR come to the City Council for a rendering of an opinion on this matter. Mr. Jordan stated that as one of the pioneering projects in the Mayor and City Council's vision for the renaissance of downtown San Bernardino, ANR recognized that a lot of eyes of the development community were on the success of this project, despite the fact that it is only 12 units. He stated that ANR believed there were several reasons to support the change of use from live/work to mixed use, and the most compelling reason was the appropriateness of the designation. He pointed out that one of the significant differences between live/work and mixed use is that with the current designation as live/work, it would permit a family who bought one of the units to use the downstairs area purely as residential. He stated that it was their belief, due to the way the building is laid out, and in its setting in a commercial area with the colonnade covering the entrances of all of the ground floor work spaces, that using the units as a purely residential use, with somebody using the downstairs as just another bedroom, or something like that, would be an inappropriate use of that space. He stated that they also think that the change of use would expand the potential market for these homes, not only to include the small business owners who want to live above their businesses, which is their primary market and continues to be their primary market, but it would also open it up to singles, couples, or families who would see this project as the first opportunity for them to live in an 23 10/01/2007 urban housing product -type in the City of San Bernardino; and yet they don't have their own business and they see the ground floor retail or office space as an opportunity for them to lease that space out to business to help offset their housing cost while still living in downtown San Bernardino. He stated that they have also had several prospects who are families, and who are excited about the prospect of opening a new business in San Bernardino and look at this as an opportunity to open a new business; and they would like those people to be able to move forward with the process without the concern that if for some reason their business did not succeed in a year or two years from now, that they wouldn't be forced to leave that project but would have the opportunity to lease out the ground floor space to another business. Mr. Jordan acknowledged that some concerns had been expressed that a change in use might result in the lots becoming a rental project, which carries connotations of distressed rental housing in other parts of the city. He stated that ANR appreciated these expressed concerns and wanted the City Council to feel very comfortable that this would not happen in the Meadowbrook Park Lofts —and they feel there are several reasons for this. First of all, in consideration of rental rates for housing and the fact that the sales prices of these lofts are in the $400,000 range, they don't believe that this would be an economically viable investment for somebody who is looking for income property in the city. Additionally, the development is governed by CC&Rs and will be managed by a professional management company, who will ensure that the property and the exterior of the property is maintained in a way that benefits all of the homeowners. Finally, language has already been drafted to include in the CC&Rs that will be implemented upon the approval by Council, that would require that an owner of the property occupy either the residential portion of this phase or the ground portion of this phase; and with the current designation of use as live/work, realistically an owner would be able to lease out the entire unit if that was what they so desired. Council Member/Commissioner Estrada stated that she had spoken to the developers and had toured the facility because it is absolutely vital that the City minimize the building of apartment units that could eventually go low-income. She stated that the units are very nice, and she wants to make sure that the covenants are in place that will ensure that won't happen. She stated that in discussions with ANR, they have tried to reassure her that will not happen —that they have had very successful projects in San Bernardino and they continue to be committed to the City and doing projects in our community. Ms. Estrada stated she was committed to supporting the project, but had raised this issue because others had raised the issue with her, telling her to make sure 24 10/01/2007 that these very nice units do not go low income. She pointed out that there are no funds in the project at this time that would force the project to set aside any units for low income, and the prices are about $400,000. She stated that she had looked very carefully at the design of the structures to make sure that they still have an office that is completely separate from the residential area above it. She stated that these are the things she stressed in her discussions with the developer, and she has received assurance from them that that is not going to happen and the City is protected. She advised that she was ready to move forward and let them complete the project. Council Member/Commissioner Kelley stated that he did have some concerns. He stated that he assumed the reason ANR was now asking for a change to mixed use was because of the downturn in the housing market. He asked whether ANR had any other projects surrounding the area that they were going to break ground on soon that would help ensure that those families moving into these units don't get frustrated by the challenges that surround the neighborhood and ultimately decide that maybe it wasn't such a good idea and decide to rent their unit out. Mr. Jordan responded that they are actively building homes in the surrounding area and working on additional projects in the area. He stated that for several years they have been working in cooperation with the Economic Development Agency on building detached homes, with their primary efforts focused on the two -block area that's bounded by Second Street on the north, Rialto on the south, Sierra on the west, and Allen on the east. He advised that they have worked independently and now continue to work with the Economic Development Agency on expanding the boundaries of that single-family home construction to the surrounding northern areas, moving east towards Waterman and up towards Fifth Street. They have built approximately 55 houses and are getting ready to start construction on three or four more within the next 30 days; and some that are already in construction that will be completed within the next 30 days. In addition to that, ANR Homes has exclusive rights to negotiate for development proposals on both the Rudy Hernandez Center, which is directly across the street from where the site of the Meadowbrook Park Lofts is, and also for the Seccombe Lake area on the north side of Seccombe Lake. They are also exploring and working with the EDA on continuing the work that they are doing in Meadowbrook Park Lofts to continue to wrap around the corner of Third Street and Sierra Way. Council Member/Commissioner Kelley asked if he heard correctly that if he was an owner of one of these new properties, it would be possible for him to lease the entire unit out. 25 10/01/2007 Mr. Jordan stated that the language that would be provided in the CC&Rs would require that an owner occupy either the residential portion or the commercial portion. Mr. Kelley inquired whether there would be a condition as to how long somebody has to live there —could a person buy the unit, lease out the bottom portion to a business owner, and then after six months or a year and six months, if they decided they wanted to move out, at that point in time could they lease the upstairs portion as well? Mr. Jordan answered that he didn't have all the information from the CC&Rs memorized, but they wouldn't be able to lease out both portions —that would be a conflict. He added that the CC&Rs would prohibit this, and it would be up to the enforcement of the board of directors to ensure that that didn't happen. Council Member/Commissioner McCammack stated that the Council opened the door to this project when Mr. Funk (previous director of development services) originally proposed this change of zoning to allow live/work—that if she remembered correctly, live/work was not part of the City's development code at that time. So they already have made the move to help promote this project in the first place. She stated that she thought ANR's vision was admirable; however, it has been a policy of hers since she has been on the Council that the Council cannot add to rental housing —potential residential rental housing —in this community until they have cleaned up what they have. She stated she worried not so much about the rents in this particular project, but about the homeowners who are just adjacent and all the homes that ANR just built where it is supposed to be owner occupied. She stated that if the Planning Commissioners decided to deny it 5 to 2, then she was going to have to stick with her planning commissioner's majority, as they would expect the Council to do. Council Member/Commissioner Johnson asked how much the units would be sold for individually, and if somebody was to lease the residential portion, how much would that be monthly? Mr. Jordan stated that the units would sell for approximately $400,000 each. He added that it would be a bit challenging to assess the monthly lease because this is a very unique product type, so it's not like you can go down the street and say this is how much it leases for. However, generally it appears the residential housing in this area leases for about 80 cents per square foot, so he would guess that the residential portion would lease for about $1500 a month. He stated that if you look at the monthly payments required on a $400,000 house with property taxes, HOA dues that run $300 per month, and assuming a 5 percent down payment, it works out to about $3300 per month, which is why 26 10/01 /2007 he said it is probably not economically viable for somebody to purchase this as an income producing unit. Council Member/Commissioner Derry noted that in the design for the live/work units there is no barrier between the residential quarters and the commercial area, so the resident would typically be an owner/operator of the business. Therefore, for mixed use they would have to modify the design. Mr. Jordan ascertained that the units have already been constructed with the physical barrier between the residential and commercial spaces. Ms. Ross stated that her understanding was that the permits were issued for the live/work concept, which had the connection between the residential portion and the office portion; however, they haven't requested a final review yet, so if this amendment is not approved and the opening doesn't exist, it's really a simple matter to add it. Mr. Jordan explained that the way the units have been constructed is the division between the residential portion and the commercial portion is a wall with a door in it, and the door can be locked, so that provides either access or a barrier. Council Member/Commissioner Kelley stated he was very excited about this concept, and he knew that the same concept was being proposed in the north end by the university. He asked staff whether this request was specific to this development only, or could this happen with the live/work lofts that are being proposed in the university district. Ms. Ross answered that the same request had been made for the ones in the University District; however, the applicant had requested that it be tabled by the Planning Commission until further notice. Council Member/Commissioner Kelley asked Mr. Jordan how many folks had actually been in and said they wanted to buy one of the units —not as a mixed use, but as a live/work situation. How many have said, Yes, I'm going to buy this, start the process, they have been approved for their loan, and they are going to be living there and opening a business. Mr. Jordan stated that the majority of the prospects that they have been talking to are interested in both occupying the unit above and running their own business out of the ground floor. He added that they have only been able to represent that as an option given the current designation. He added that they don't have any units currently under contract. Council Member/Commissioner Kelley stated that he wanted every business to be successful. He noted that ANR took a risk in the city of San Bernardino and 27 t 0/0 t /2007 he appreciated that. He stated that what they have done in the area has been successful, and he would like to see them continue to succeed, but he was hesitant at this point in time to grant this request; and he was sorry. Council Member/Commissioner Brinker stated that it seemed to him that being a developer was kind of a risky business —you put a lot of money out there, you build a product, and you've got to sell it to get the return on the money that you have already invested. He noted that the Council has talked about trying to create a city that is business friendly and inviting, and here they have a developer who has done numerous projects in the city and is committed to doing some other very important projects—Seccombe Lake and others. He stated that it seemed to him that the Council needed to listen to the professionals here who are telling them that this is the change they need to be able to sell this project. He noted that the alternative would be for the Council to stick to their guns and say, no, that's not what we originally approved. However, this could result in that product sitting empty for a long time and the developer losing a lot of money, resulting in the developer being unable to do these other projects that we are counting on in our city; and it leads into that perception that this is not a city that is very friendly to developers. He stated that he had a problem with that —he thought they should listen to the professionals. He asked for verification from Ms. Ross that when this was sent to the Planning Commission asking them to approve it, that it was staff's recommendation that ANR's request be approved, and she answered that that was correct. Mayor/Chairman Morris stated that for the record, ANR has been the single most devoted and long-term partner to this city in the downtown development. Others have come and gone; others have come, and they are here, but they have not yet developed. He pointed out that ANR has in every single instance kept its word; and they have been the most vigorous in helping us re -articulate a beautiful downtown. He stated that what they have done in Meadowbrook is a magnificent transformation of a blighted area of our city into an elegant detached home section of our town; and they are now stretching all the way up to the base of Seccombe Lake Park. In addition, their partnership has been so vibrant, and they have delivered in such an elegant way, that the City has given them an exclusive on the Seccombe Lake Park development. He stated that this articulation of a live/work environment is the first of its kind anywhere in our city, or indeed in the east valley, and he thought, as Councilman Brinker pointed out, that the Council had to trust the judgment of this development group, who has been such a loyal and successful partner, with their judgment as to what is required to allow them to move along with their projects and not stall out midstream. 28 10/01/2007 Council Member/Commissioner Estrada made a motion, seconded by Council Member/Commissioner Baxter, that the hearing be closed; and that the Mayor and Common Council grant Appeal No. 07-05 and approve Conditional Use Permit No. 05-17 (Amendment to Conditions No. 07-03) based on the previously adopted Findings of Fact and Revised Conditions of Approval (Exhibit 3). The motion carried by the following vote: Ayes: Council Members/ Commissioners Estrada, Baxter, Brinker, Johnson. Nays: Council Members/ Commissioners Derry, Kelley, McCammack. Absent: None. 36. Public Comments Roger Henderson, 2516 Valencia Avenue, San Bernardino, CA, stated that three more killings had taken place in San Bernardino, which was unacceptable; asked when the Council was going to do something about the parolee problem; and noted that crime statistics indicate that crime in 2007 has increased over 2006. Joe Ortiz, 387 West 25' Street, San Bernardino, CA, spoke about the development of our city, and stated that Jim Penman had ended corruption at City Hall and described him as the gatekeeper of the City's best interests. Anthony Garacci, 966 N. Crescent Avenue, San Bernardino, CA, stated that he was a parolee. He asked that the City quit blaming everything on the parolees, and challenged the Mayor and Council to come out and get to know the parolees and not to deny them jobs. Jim Penman, 221 East Marshall Blvd., San Bernardino, CA, speaking as a candidate, related the story of the train derailment in 1989, and his part in seeking an injunction and negotiating a settlement with the railroad. Mayor Morris stated that insofar as the crime rate is concerned, we are in the middle of a reporting period which will end December 31, 2007. However, for 18 months the city's Part I crimes are down 14 percent —with all categories down 12 percent. 29 10/01/2007 37. Adjournment At 6:12 p.m. the meeting adjourned. The next joint regular meeting of the Mayor and Common Council/Community Development Commission is scheduled for 1:30 p.m., Monday, October 15, 2007, in the Council Chambers of City hall, 300 North "D" Street, San Bernardino, California. No. of Items: 37 No. of Hours: 4.5 RACHEL G.CLARK City Clerk By: ? 14"��v Linda E. Hartzel Deputy City Clerk 30 10/01 /2007