HomeMy WebLinkAboutMinutes 06/26/1978F
MINUTES OF MEETING
OF CITY COUNCIL
PETALUMA, CALIFORNIA
JUNE 26, 1978
ADJOURNED MEETING An adjourned meeting of the•City Council was called to
order by Mayor Helen Putnam at 7:35 p.m.
ROLL CALL Present: Councilmen Bond, Cavanagh, Harberson, Hilligoss,
Perry and Mayor. Putnam. -
Absent: Councilman Balshaw.
APPROVAL OF MINUTES The minutes of the adjourned meeting of May 22, 1978
were approved as amended. The minutes of the regular
meeting of June 5, 1978 were approved as amended. The minutes of the adjourned
meeting of June 7, 1978 were approved as mailed.-
STATUS REPORT ON FEES Finance Director John Scharer reviewed the schedule
for building-permit-valuation fees which had been
approved by the Code Changes Committee of Sonoma County and submitted to the
International Conference of Building Officials without challenge. A copy of
the fee proposal is on file with the City Clerk. In addition, Mr. Scharer
reviewed a report prepared by the staff at the direction of the Council set-
ting forth licenses and fees as they relate to identifiable costs. After
discussion by the Council, the staff was requested to have the proper legis-
lation prepared for Council's consideration at the July 3, 1978 Council
meeting.
AUTHORIZE INCREASE A memorandum dated June 23, 1978 from the City Engineer
IN CONTRACT to the City Manager submitted and filed. The proposal
ENGINEERING SERVICES from TJKM Planning and Transportation Consultants
OLD REDWOOD M & outlining the additional fee for services submitted
STONY POINT ROAD and filed. After a brief discussion, the Council
RES #8227 NCS agreed the contract should be increased in the amount
of $2,500 which would make the total maximum contract
$7,000'for the engineering services for the traffic signal and channelization
design for -the intersection of Old Redwood Highway and Stony Point Road.
Resolution No. 8227 N.C.S. permitting increase in contract price for engineer-
ing services (Old Redwood Highway and Stony Point Road) for traffic signal and
channelization design was introduced by Vice -Mayor Perry seconded by Mayor
Putnam and adopted by six affirmative and one absentee votes.
DISCUSSION REGARDING Community Development and Services Coordinator Frank
RESIDENTIAL DEVELOP Gray.discussed agenda items three, four,.five and - -
MENT CONTROL SYSTEM seven simultaneously Tin order to show the relationship
& ANNEXATION POLICY of one to the other. Mr. Gray reviewed the proposed
ordinance.establishing the Residential Development
Control System which had previously been discussed with the Council, and he
pointed out changes for the Council to consider. Mr. Gray stated there are
two basic costs which should be considered before development occurs. One is
the cost for capital improvements such as traffic signals, possible inter -
change connections to the freeway,. the purchase of police vehicles, etc.:
These costs are identifiable under the environmental review process. The
ordinance providing for collection of. impact fees would be a mechanism to
provide funds for these capital costs.. Secondly, but more illusive are the
costs incurred from maintenance and operation. Mr. Gray recommended the City
not place a moratorium on the Residential Development Control System but
instead require each development to .prepare a cost revenue analysis. Those
developments which can maintain the cost of maintenance and operation of
essential public services over .a five -year period should.be_cofts. dered under
the Residential Development Control Syste Those developments which represent
an increased burden to the existing residents of the City should not be permitted
to proceed under the Residential Development Control System until such time as
alternate financial mechanisms for maintenance and operation costs can be
explored.
Mr.:.:Gray stated in conversations with the developers and the Construction
ndustry of America, they_":agree'�there be some method for developments
to pay their own way.
26 June 26, 1978
DISCUSSION REGARDING Mr. Gray next discussed the proposed resolution re-
RESIDENTIAL DEVELOP- garding the residential annexation policy for the
MENT CONTROL SYSTEM 1978 -79 fiscal year. When an annexation is filed with
& ANNEXATION POLICY LAFCO the City is required to file a statement indicat-
(Continued) ing adequate services can be provided for the land.
Mr. Gray stated he did•not.feel this statement could
be made unless alternate financial mechanisms are
developed.
The Council discussed the proposed ordinance for the Residential Development
Control System and the resolutions prepared for them. Mayor Putnam asked for
comments from the audience. The following persons spoke in opposition to
impact fees and asked for additional time to study the Residential Development
Control System Ordinance and other resolutions under consideration: Mr. Art
Lafranchi, representing .the Industry of Sonoma County; Mr. Larry
Smith, Executive - Officer, Construction Industry of Sonoma County; Mr.-Fred
Strong, Legislative Consultant to the Sonoma County-Board of Realtors; Mr.
Skip Sommer, Developer; Mrs. JoAnn Pozzi, President of the Chamber of Com-
merce; Mrs. Lucy Webb, Realtor; Mr. Barry Parkinson, Attorney; Wayne Lepori,
Manager, Diamond International, Petaluma; and,_Matthew L. Hudson,.representing
the Construction Industry of Sonoma County.
At the end of the di•scussion,•it was decided by the Council to continue
Agenda Items three, four and five until the meeting of July 17, 1978, and no
action was taken.
EXECUTIVE SESSION The Council convened to an Executive Session in the
conference room at 10:40 p.m. and returned to the
Council Chambers at 11:00 p.m.
AMEND MUNICIPAL
Discussion was held preceding the adoption of the
CODE, -TO INCREASE
ordinance. Art 'Lafranchi opposed ordinance stat-
BUSINESS LICENSE
-ing he did not feel it'was proper to increase fees in
FEES
light of the-:constitutional amendment recently passed
ORD 41307 NCS
by the electorate. JoAnn Pozzi, President of the
(SECOND. READING)
Chamber.of Commerce, raised a.question regarding
Section B of the ordinance which would permit fees to
escalate on an annual
basis by using the consumer price index. She did not
feel increases should
be automatic. Mr. Byron Fauss also opposed the ordinance.
Mr. Robert Rose did not specifically oppose the increase in the business
license fee but felt
it should be looked into.
Council discussed the adoption of the ordinance as an emergency measure but
asked the staff to prepare legislation to be brought back to them for review
which could repeal Section B of the ordinance. City Attorney advised the
ordinance, as.it.stands, could be adopted and•then amended the fees
downward or eliminate the-escalation clause at any time.
Ordinance No. 1307 N.C.S. adding Section 6.04.310 to the Petaluma Municipal
Code to increase business license fees was adopted four affirmative., two
negative and one absentee vote-. Councilmen Cavanagh and Perry voted "no ".
IMPOSE IMPACT FEES Community Development and Services Coordinator Frank
FOR PUBLIC IMPROVE- Gray reviewed the purpose of the-proposed ordinance
MENTS which would impose impact fees for new,development in
ORD #1309 NCS this city in order to.provide funds for capital im-
(SECOND READING) provement projects. He explained the City had a
DEFEATED policy. -of collecting -funds for water and sewer improve-
merits for many years. The new impact fees-would
continue this policy; however, the benefits would go toward such large capital
investment items as traffic�.signals, fire stations, new interchanges to the
freeway, storm drain facilities, etc., as they are needed. The impact fee is
the system whereby the'assessment can be spread over entire area which
would.benefit from the public-improvements. The ordinance would also assist
developers who may be the first in an area and relieve them of the total
burden of providing off -site improvements to mitigate requirements set forth
in an environmental impact report. Developers would be contributing to the
improvements but would not- bear the entire cost.
June 26, 1978
IMPOSE IMPACT FEES
FOR PUBLIC IMPROVE-
MENTS
ORD #1309 NCS
(SECOND READING
DEFEATED
(Continued)
Finance Director explained the financial situation in
the City with regard to being able to provide large
capital improvements. Primarily, the funds are de-
rived from gas tax and generate only about $300,000
per year. Mr. Scharer also advised that since the
City has been fiscally sound and has a surplus,
Petaluma. would not receive any funds from the state
under the provisions of SB 154. This bill divides the
state surplus between the various agencies according
to need.
Speaking in opposition to the ordinance were: Matthew L. Hudson, representing
the Construction Industry Association of Sonoma County; Mike Serpilio, Bank of
America; and, Wayne Lepori of -the Diamond International Company. Lucy Webb
also stated she was representing Mr. Benny Friedman. She was not really
opposed to an impact fee but had questions regarding the actual fee of from
$500 to $10,000 per acre.
Discussion was held by the Council on the alternatives available if the ordi-
nance is not adopted. Mr. Gray advised there are two mechanisms available to
the Council, i.e., the Subdivision Map Act and the California Environmental
Quality Act Guidelines. If the Council determines they could not meet miti-
gating measures, they could pass statements of overriding concern indicating
why the City cannot provide needed improvements to protect the public health,
welfare and safety of the community. Mr. Gray pointed out such statements may
cause increased costs for the consumer by way of increased fire premiums.
Fire Chief Robert Sharps advised any changes in the fire insurance rating
would be spread throughout the community. Mr. Gray stated the developer could
be subject to challenge by the people in the community whose fire service
would be deleted by new development taking place.
Councilman Harberson called for a vote on the issue.
Ordinance No. 1309 N.C.S. imposing impact fees:for necessary public improve-
ments made necessary by development was DEFEATED by one affirmative, five
negative and one absentee votes. Councilmen Bond, Cavanagh, Harberson,
Hilligoss and Perry voted "no ".
Community Development and Services Coordinator Frank Gray advised a meeting
has been scheduled with Larry Smith of the Construction Industry Association
to discuss the matter further on Thursday, June 29, 1978 at 1:00 p.m., and
members of the Council, the City staff, developers and representatives from
the Construction Industry of America would be present at the meeting.
REVENUE SHARING FUNDS Report prepared by Council Revenue Sharing Committee
1978 -79 ANNUAL BUDGET recommended the following expenditures for non - profit
organizations for 1978 -79 Budget: Boy Scouts of
America, $2,500; Petaluma Boys' Club, Inc., $2,500; Petaluma People Services
Center, $15,360; YWCA Shelter Program, $1,875; and, Petaluma Seniors Involved,
$2,250; or, a total of $24,485. The Committee had been chaired by Councilman
Bond, with Councilmen Cavanagh and Hilligoss as members.
A motion was made by Councilman Bond, seconded by Vice -Mayor Perry to approve
the report. Motion carried unanimously.
a
A motion was made by Vice -Mayor Perry, seconded by Councilman Harberson to
approve assignment of $20,000 in revenue sharing funds for the housing admin-
istration and $3,500 to rebuild fire equipment to provide back -up service for
the Fire Department. Motion carried unanimously.
ADJOURNMENT There being no further business to come before the
Council, the meeting was adjourned at 12:47 a.m., June
27, 1978, to 8:00 a.m., Friday, June 30, 1978.
Mayor
27
Attest:
Cffy Clerk