June 8, 2015

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REGULAR MEETING

1. CALL TO ORDER - The meeting of the City Council/Livermore Successor Agency was called to order by Mayor John Marchand at 7:05 pm, in the City Council Chambers, 3575 Pacific Avenue, Livermore, California.

1.01 ROLL CALL - Present: Mayor John Marchand, Vice Mayor Laureen Turner, and Council Members Stewart Gary, Steven Spedowfski, and Bob Woerner.

1.02 PLEDGE OF ALLEGIANCE

2. PROCLAMATIONS AND PRESENTATIONS

2.01 Proclamation declaring June as Elder Abuse Awareness Month.

Mayor Marchand presented a proclamation to Cheryl M. Poncini, Alameda County District Attorneys Office, and Christina Cotton, Alameda County Social Services Agency - Adult Protective Services, declaring June as Elder Abuse Awareness Month.

2.02 Presentation by the Federal Emergency Management Association (FEMA) recognizing the City of Livermores achievement of meeting all requirements to enter the FEMA Region 9 Community Rating System.

Sarah Owen, FEMA Region 9 Planner, presented the plaque to Mayor Marchand on behalf of the City of Livermore.

3. CITIZENS FORUM

Don Meeker, Livermore, presented a historical overview of the Housing Authority.

John Stein, Livermore, spoke regarding the importance of the Airport Protection Area.

4. CONSENT CALENDAR

Item 4.05 John Stein, Livermore, spoke regarding the clean-up at Mills Square Park and objected to the removal of any trees at that location.

ON THE MOTION OF CM GARY, SECONDED BY CM WOERNER, AND CARRIED ON A 5-0 VOTE, THE CITY COUNCIL APPROVED THE CONSENT CALENDAR.

4.01 Approval of Minutes - May 11, 2015, regular City Council meeting and May 18, 2015, special City Council meeting.

4.02 Adoption of Ordinance 2024 amending residential, commercial, and institutional user charges (Chapter 13.36 - Sewer Service and Use Charges).

4.03 Resolution 2015-060 accepting Tract 8045 (Ponderosa-Phase 1) for permanent maintenance, accepting all real property offered for dedication, and authorizing release of securities; and Resolution 2015-061 accepting Tract 8091 (Vinsanto-Phase 2) for permanent maintenance, accepting all real property offered for dedication, and authorizing release of securities.

4.04 Resolution 2015-062 authorizing execution of an agreement with Sun Ridge Systems, Inc., in the amount of $1,075,000, for a computer aided dispatch records management system and related support services.

4.05 Resolution 2015-063 authorizing execution of an agreement with JR Structural Engineering, Inc., in an amount not to exceed $175,000, to provide project management services for the following projects: Railroad Depot Relocation and Rehabilitation, Livermorium Plaza and Mills Square Park Clean Up, and Arterial Street Rehabilitation.

4.06 Resolution 2015-064 authorizing execution of the Subdivision Improvement Agreement, approving Tract 8146 Final Map for recording, and accepting Tract Map 8146, Brighton Phase 2; rejecting public utility easement, emergency vehicle access easement, storm drain easement, and public access easement, reserving the right to accept at a future date.

4.07 Resolution 2015-065 approving the Measure BB Master Programs Funding Agreement with the Alameda County Transportation Commission.

4.08 Resolution 2015-066 authorizing the adjustment of airport rates and charges for Fiscal Year 2015-2016 by the regional Consumer Price Index increase of 2.5 percent and adjust certain airport operational use fees.

4.09 Resolution 2015-067 of intention to levy annual assessments for the Landscape Maintenance Districts for Fiscal Year 2015-2016, direct the filing of the annual Engineers Report, and establish a public hearing date of June 22, 2015, for the annual levy of assessments.

4.10 Resolution 2015-068 authorizing Alameda County Transportation Commission and Caltrans acquisition of portions of agricultural conservation easements held jointly by the Tri-Valley Conservancy and the City of Livermore.

4.11 Resolution 2015-069 of the City Council and Resolution LSA-2015-01 of the Livermore Successor Agency authorizing execution of a Bond Expenditure Agreement for the expenditure of remaining 2001 tax allocation bond proceeds for purposes originally intended.

5. PUBLIC HEARINGS

5.01 Hearing to consider changes and annexations to Community Facilities District No. 2009-01 (El Charro) pursuant to the Mello-Roos Community Facilities Act of 1982 and authorizing execution of a loan agreement with Livermore Premium Outlets, LLC.

Recommendation: Staff recommended the City Council:

a. Conduct a public hearing for change proceedings to modify the rate and method of apportionment and to increase the authorized principal amount of bonded indebtedness for Improvement Area No. 1 of the El Charro Community Facilities District (CFD) 2009-01, hereafter IA1, and to consider protests.

b. Conduct a public hearing for annexation proceedings to annex territory from Improvement Area No. 4 of the El Charro CFD 2009-01, hereafter IA4, into IA1 and to consider protests.

c. Adopt a resolution calling for two special elections: (1) for changes to amend and restate the rate and method of apportionment of special tax, to increase the authorized principal amount of bonded indebtedness; (2) to annex IA4 into IA1.

d. Call for the special elections.

e. Adopt a resolution declaring the results of each special election and directing recordation of the amended notice of special tax lien.

f. Adopt the resolution of change approving the Amended and Restated Rate and Method of Apportionment and increased authorized principal amount of bonded indebtedness and directing recordation of special tax lien.

g. Introduce an ordinance ordering the levying of the special taxes in IA1.

h. Adopt a resolution making certain findings that the proposed loan is in compliance with the Mello Roos Act and applicable provisions of the City of Livermore Goals and Policies for Land Secured Financing, and authorizing execution of the loan agreement with Livermore Premium Outlets, LLC on behalf of the City of Livermore Community Facilities District No. 2009-01 with respect to IA1 in substantial conformance with the attached loan agreement, and approving issuance of a note on behalf of the district with respect to IA1, in an amount not to exceed $20,000,000 for the purpose of refinancing the outstanding loan agreements for IA1 and IA4.

City Engineer Cheri Sheets presented the staff report.

Mayor Marchand opened the public hearing to change proceedings to modify the rate and method of apportionment and to increase the authorized principal amount of bonded indebtedness to Improvement Area No. 1 of CFD 2009-01.

There were no speakers and the hearing was closed.

Mayor Marchand opened the public hearing for annexation proceeds to annex territory from Improvement Area No. 4 of CFD 2009-01 into Improvement Area No. 1.

There were no speakers and the hearing was closed.

ON THE MOTION OF CM GARY, SECONDED BY CM SPEDOWFSKI AND CARRIED ON A 5-0 VOTE, THE CITY COUNCIL ADOPTED THE FOLLOWING RESOLUTION:

Resolution 2015-070 calling special elections to amend and restate the rate and method of apportionment of special tax and increase the authorized principle amount of bonded and other indebtedness, and to annex territory. Improvement Area No. 1 of the city of Livermore Community Facilities District No. 2009-1 (El Charro).

Mayor Marchand directed the City Clerk to open and tabulate the ballots.

City Clerk Susan Neer announced the results of the election.

Election #1 - For changes to amend and restate the rate and method of apportionment of special tax, to increase the authorized principal amount of bonded indebtedness.

Ballots cast: 1
# of YES votes: 44
# of NO votes: 0

Election #2 - To annex Improvement Area No.1 into Improvement Area No. 4.

Ballots cast: 1
# of YES votes: 17
# of NO votes: 0

ON THE MOTION OF CM SPEDOWFSKI, SECONDED BY CM GARY AND CARRIED ON A 5-0 VOTE, THE CITY COUNCIL ADOPTED THE FOLLOWING RESOLUTION:

Resolution 2015-071 declaring results of special elections to amend and restate the rate and method of apportionment of special tax and increase the authorized principal amount of bonded indebtedness, and to annex territory and directing recording of amended notice of special tax lien. Improvement Area No. 1 of the city of Livermore Community Facilities District No. 2009-1 (El Charro).

ON THE MOTION OF CM WOERNER, SECONDED BY VM TURNER AND CARRIED ON A 5-0 VOTE, THE CITY COUNCIL ADOPTED THE FOLLOWING RESOLUTION:

Resolution 2015-072 of change approving Improvement Area No. 1 of the City of Livermore Community Facilities District No. 2009-1 (El Charro).

ON THE MOTION OF VM TURNER, SECONDED BY CM WOERNER AND CARRIED ON A 5-0 VOTE, THE CITY COUNCIL INTRODUCED THE FOLLOWING ORDINANCE:

Ordinance introduced levying special tax within Improvement Area No. 1 of the City of Livermore Community Facilities District No. 2009-1 (El Charro), including certain annexation territory.

ON THE MOTION OF CM GARY, SECONDED BY CM SPEDOWFSKI AND CARRIED ON A 5-0 VOTE, THE CITY COUNCIL ADOPTED THE FOLLOWING RESOLUTIONS AND INTRODUCED THE FOLLOWING ORDINANCE:

Resolution 2015-073 authorizing a loan and the issuance of a related note, and approving and authorizing related documents and actions. Improvement Area No. 1 of the city of Livermore Community Facilities District No. 2009-1 (El Charro).

5.02 Hearing to consider an appeal of the Planning Manager and Planning Commissions determination that the Appellants business, A-Rent, is not consistent with the zoning for the Downtown Core - Subarea 1 District of the Downtown Specific Plan.

Recommendation: Staff recommended the City Council adopt a resolution denying Appeal 15-002 and affirming the Planning Commission and Planning Manager determination that party supply rental is not consistent with the zoning for the Downtown Core - Subarea 1 District of the Downtown Specific Plan.

City Attorney Jason Alcala and Assistant City Attorney Robert Mahlowitz reviewed the purpose of the appeal and outlined the process.

Senior Planner Benjamin Murray presented the staff report.

Mayor Marchand opened the public hearing.

Peter McDonald, attorney for the appellant, read a letter from Cole Strombom, Development Manager, Barry Swenson Builder, supporting approval of the appeal. Mr. McDonald presented arguments for approval of the appeal by Russ Morgan, A-Rent.

Russ Morgan, A-Rent, appellant, spoke in support of approving the appeal.

Dennis Swanson, Livermore, downtown business owner, spoke in support of approving the appeal.

Connie Kopps, Livermore, spoke in support of approving the appeal.

John Stein, Livermore, spoke in support of approving the appeal.

There were no more speakers and the hearing was closed.

In response to questions by CM Woerner, Mr. Murray said the Council was being asked to make a decision on whether rental was a permitted use in the party supply category in the Downtown Specific Plan (DSP). He clarified for CM Woerner that the uses specifically listed in the DSP were the only uses permitted; however, there was a category for any decision-making body to determine similar and compatible uses. Mr. Mahlowitz clarified that zoning law applied a list of things that were allowed; anything not listed as allowed was not allowed.

In response to questions by CM Gary, Planning Manager Paul Spence said it was staffs understanding of the business that a wide variety of products were rented, many that required a truck for delivery. He said that issue was at the heart of the determination; there was a pedestrian oriented district in the downtown. He said when there was a business or rental service that frequently involved the loading/unloading of a truck to deliver products to a customer, that would be inconsistent with the intent of the downtown core.

Mr. McDonald said the location was a former auto dealership with a small showroom for the retail; there was a 10,000 square foot warehouse where all rental transactions would take place.

Mr. Alcala reminded the City Council that the determination to be made was if a party supply rental use was permitted in Subarea 1 of the Downtown Specific Plan. What was not being considered was whether the Council wanted to change the use at the location to something new or as conditioned or otherwise. He said the question was whether or not it was a permitted use based upon the existing law in the Downtown Specific Plan area.

VM Turner said there was ambiguity in the Downtown Specific Plan which should be addressed in the future. She said there was a difference between retail (the sale of goods) and rental (engaged in the business of providing rentals). The Citys DSP clearly stated retail and did not state rental.

In response to CM Woerners question, Mr. Alcala said a future project could apply for a specific plan amendment to allow for a change of use for a specific location. Specific plan amendments were considered by the Planning Commission and the City Council.

Mr. Mahlowitz reviewed the procedures. He said business licenses were reviewed by the Planning Department to determine that the business was compatible with the land use in which it proposed to be operating. This business license application did not meet the zoning in its current location. He said that the determination to be made was whether that decision was appropriate. All other issues discussed that evening would be appropriate at a future day or in another context. He said the appellant had not demonstrated that the operation of a rental business for a party supply rental business was a permitted use of the property and was an appropriate finding.

Mr. McDonald made his closing remarks.

CM Spedowfski said Council was being asked a very specific question and that was if a party supply rental business a permitted use in the downtown core. Based on the facts presented, he supported the decision of the Planning Manager that this was not a permitted use. He agreed with VM Turner and CM Woerner that there was ambiguity in the DSP that needed to be addressed in a separate forum.

CM Gary said he agreed with his fellow council members. He said rental was a broad term; this was not about the businesses or the needed uses but rentals in the sub area of the DSP and what was allowed. He said this would not be an issue if this was small, ancillary carry-out-item sort of business, but this was warehouse distribution of large items, a rental yard, and cargo trucks which was not consistent with the intent of the DSP. He said he supported denying the appeal.

IT WAS MOVED BY CM GARY, SECONDED BY VM TURNER TO ADOPT THE RESOLUTION DENYING THE APPEAL.

Mayor Marchand said the rental of event and party supplies was an inherent and inseparable element of the business and was not an approved use in the DSP. He said there were other avenues for the appellant to proceed with; however, this meeting was not the appropriate place for that.

THE MOTION CARRIED ON A 5-0 VOTE AND THE CITY COUNCIL ADOPTED THE FOLLOWING RESOLUTION:

Resolution 2015-074 denying appeal of zoning consistency determination (Appeal 15-002).

5.03 Hearing to consider adjusting rates charged by Livermore Sanitation, Inc. for solid waste and recycling collection services effective July 1, 2015; and authorize execution of a Special Rate Review Amendment to the Livermore Sanitation Franchise Agreement. (Continued from May 11, 2015)

Recommendation: Staff recommended the City Council adopt a resolution authorizing and updating Exhibit H of the second amended and restated agreement to include rate year six rate adjustments and authorizing the execution of a special rate review agreement with Livermore Sanitation, Inc., regarding solid waste and recycling services.

Public Works Manager Judy Erlandson presented the staff report.

Mayor Marchand opened the public hearing.

H. Robinson, Livermore, spoke in opposition to the rate adjustment.

M. Robinson, Livermore, spoke in opposition to the rate adjustment.

Connie Kopps, Livermore, spoke in opposition to the rate adjustment.

Agustin Ramirez spoke in support of the rate adjustment.

Bernie Larrabe, Livermore Sanitation, Inc., spoke in support of the rate adjustment.

There were no more speakers and the hearing was closed.

In response to questions by Mayor Marchand, Ms. Erlandson reviewed the request for proposal process and the public hearings. She verified that Waste Management did not submit a proposal.

In response to questions by VM Turner, Ms. Erlandson said the contract included an annual cost of living increase plus the increase for the recycling workers. She said raising rates at the beginning of a contract was difficult as it was hard to predict future costs over ten years. She said smoothing rates was more comfortable for the customers. City Manager Marc Roberts said customers had told staff they preferred smaller rate increases over a period of time rather than one-time lump sum increases.

In response to questions by CM Spedowfski, Ms. Erlandson said Livermore was the biggest user of the recycling facility. She confirmed the three primary users were San Leandro, Alameda, and Livermore.

ON THE MOTION OF CM WOERNER, SECONDED BY VM TURNER AND CARRIED ON A 5-0 VOTE, THE CITY COUNCIL ADOPTED THE FOLLOWING RESOLUTION:

Resolution 2015-075 authorizing and updating Exhibit H of the Second Amended and Restated Agreement to include rate year six rate adjustments and authorizing execution of a Special Rate Review Agreement between the City of Livermore and Livermore Sanitation, Inc. regarding solid waste and recycling services.

6. MATTERS FOR CONSIDERATION

6.01 Discussion and direction regarding City Council appointments to Intergovernmental Agencies. None.

6.02 Discussion and direction regarding pending State or Federal legislation.

Senior Management Analyst Donna Pontau presented an update regarding pending legislation.

7. COUNCIL COMMITTEE REPORTS AND MATTERS INITIATED BY CITY MANAGER, CITY ATTORNEY, STAFF AND COUNCIL MEMBERS

7.01 Council Committee Reports and Matters Initiated by City Manager, City Attorney, Staff, and Council Members.

Tri-Valley Non-Profit Alliance CM Spedowfski said on May 14, 2015, he attended the event at the Bankhead Theater.

Wings of Freedom Tour CM Spedowfski said on May 25, 2015, he attended the 23rd annual event at the Livermore Airport.

Tri-Valley Cities Council CM Spedowfski said on May 27, 2015, he attended the meeting in Pleasanton. There was a presentation on regional transportation projects and a briefing on the Association of Bay Area Governments (ABAG) One Bay Area plan.

Livermorium Day CM Spedowfski said on May 29, 2015, he attended the event at Mills Square Park.

Wheels CM Spedowfski said on June 1, 2015, he attended the board of directors meeting. He said the budget for the next fiscal year was adopted.

Bus Shelter Art Mural CM Spedowfski said on June 4, 2015, he attended the dedication ceremony.

Recycled Water CM Spedowfski said he had noticed an increase in residents utilizing the recycled water program.

Pedrozzi Scholarship CM Gary said on June 4, 2015, he represented the Mayor at the awards ceremony.

Tri-Valley Cities Council CM Woerner said on May 27, 2015, he attended the meeting in Pleasanton.

Intergovernmental Committee CM Woerner said on May 19, 2015, he attended the meeting between the park district and the school district. He said there was a discussion on strategic alignment for enhanced funding. Wheels VM Turner said she attended the May 26, 2015, Finance Committee meeting; the budget was finalized for submission to the Board for approval.

Stopwaste.org VM Turner said on May 27, 2015, she attended the meeting; the budget was approved.

Tri-Valley Cities Council VM Turner said on May 27, 2015, she attended the meeting in Pleasanton.

League of California Cities (LOCC) VM Turner said on May 28, 2015, she attended the East Bay Division meeting; there was a discussion on economic development for the region.

Tri-Valley Cities Council Mayor Marchand said on May 27, 2015, he attended the meeting in Pleasanton.

Lawrence Livermore National Lab (LLNL) Mayor Marchand said on May 28, 2015, he attended the groundbreaking ceremony for Building 654, the new open high-speed computing building.

Alameda County Transportation Commission (ACTC) Mayor Marchand said on May 28, 2015, he attended the meeting.

Tri-Valley Athlete of the Week Mayor Marchand said on May 28, 2015, he attended the award ceremony.

Livermorium Day Mayor Marchand said May 29, 2015, he attended the ceremony.

Health and Safety Fair Mayor Marchand said on June 3, 2015, he attended the annual event.

East Bay Economic Development Alliance Mayor Marchand said on June 4, 2015, he attended the retreat. There was discussion on how best to partner with stakeholders for continued growth.

Bus Shelter Art Mural Mayor Marchand said on June 4, 2015, he attended the dedication ceremony.

East Bay Regional Communication Systems Authority (EBRCSA) Mayor Marchand said on June 5, 2015, he attended the meeting. There was discussion on the budget and purchases for Oakland and Piedmont.

Alameda County Transportation Commission (ACTC) Mayor Marchand said on June 8, 2015, he attended the meeting. There was an update on the I-580 Express Lane project and a legislative update at the Planning and Policy Committee.

8. ADJOURNMENT - at 9:07 pm in honor and memory of former mayor Archer H. Futch to a regular City Council meeting on Monday, June 22, 2015, at 7:00 pm, Council Chambers, 3575 Pacific Avenue, Livermore.

APPROVED:
JOHN P. MARCHAND, MAYOR

ATTEST:
SUSAN NEER, CITY CLERK