Anaheim City Council
January 9, 2024

ANAHEIM CITY COUNCIL
REGULAR MEETING OF JUNE 27, 2023
The regular meeting of June 27, 2023 was called to order at 1:32 p.m. in the Council Chamber of Anaheim City Hall, located at 200 S. Anaheim Boulevard. The meeting notice, agenda, and related materials were duly posted on June 22, 2023.

MEMBERS PRESENT: Mayor Ashleigh E. Aitken and Council Members Jose Diaz, Carlos A.

Leon, Norma Campos Kurtz, Stephen Faessel, and Natalie Meeks.

Mayor Pro Tem Natalie Rubalcava joined at 1:33 p.m.

STAFF PRESENT: City Manager Jim Vanderpool, City Attorney Robert Fabela, and City Clerk Theresa Bass
ADDITIONS/DELETIONS TO CLOSED SESSION: None
PUBLIC COMMENTS ON CLOSED SESSION ITEMS: None
CLOSED SESSION: At 1:33 p.m., Mayor Aitken recessed to Closed Session for consideration of the following:

1. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
(Subdivision (d)(1) of Section 54956.9 of the California Government Code) Name of Case: Grandma’s House of Hope v. City of Anaheim et al., Orange County Superior Court Case No. 30-2022-01241823

2. CONFERENCE WITH LABOR NEGOTIATORS
(Subdivision (a) of Section 54957.6 of the California Government Code) Agency Designated Representative: Linda Andal, Human Resources Director Name of Employee Organization: International Brotherhood of Electrical Workers (IBEW), Local 47; and IBEW, Local 47 Part-Time Customer Service Employees; International Brotherhood of Electrical Workers, Local 47 (Professional Management and Part-Time Management Units)
At 3:20 p.m., Mayor Aitken reconvened the Anaheim City Council.

MEMBERS PRESENT: Mayor Ashleigh E. Aitken and Council Members Natalie Rubalcava, Jose Diaz, Carlos A. Leon, Norma Campos Kurtz, Stephen Faessel, and Natalie Meeks.

WORKSHOP: Proposed Fiscal Year 2023/24 Budget (Community Services, Public Utilities, Public Works, Planning & Building, Economic Development, Housing & Community Development, and Convention, Sports, & Entertainment)
City Manager Vanderpool reported this is the final workshop in a series to introduce the Fiscal Year 2023/24 Budget. He noted various meetings were held throughout the City to receive the community’s input on the proposed budget. The Budget, Investment, and Technology Commission reviewed the proposed budget and will be providing a presentation at the meeting. He introduced Director of Community Services Sjany Larson-Cash to present the Community Services Department Budget.

ITEM # 14
City Council Minutes of June 27, 2023

Community Services Department
Director of Community Services Larson-Cash highlighted the five divisions that comprise the Department, which include Golf, Library Services, Parks and Capital Development, Recreation Services, and Human and Neighborhood Services. She highlighted the importance of part-time and seasonal staff members to carry out the Department’s mission. The Department’s proposed budget is $77.6 million, making up 3.7% of the total City budget.

Director Larson-Cash detailed the $61.1 million proposed Operating Budget. There was a significant increase in the Library Services division to represent the expansion in library hours and services. 45% of the Operating Budget is allocated to personnel costs, 54% is other operating expenses, and 1% is allocated to Capital Debt Service and Capital Outlay.

The Community Services Administration budget is over $1 million. The division is responsible for the oversight of the Department and provides innovative and creative programs, services, and facilities that are designed to meet the diverse needs of the community to improve life in Anaheim.

Director Larson-Cash highlighted the City’s two golf courses, Dad Miller Golf Course and the Anaheim Hills Golf Course. The Golf Operations budget of $12.7 million is a fully self-supported Enterprise fund. Due to the pandemic, popularity of the sport rose and since then the Department has continued to see high demand. She noted the increased demand and revenue allowed the Department to address deferred maintenance issues at the golf courses including renovation of the driving range and golf shop, new landscaping, and new special events.

She highlighted the $13 million Parks Division budget. The Parks Division provides clean, safe parks, trails, and recreational facilities. Park maintenance is an important responsibility with the upkeep of nearly 800 acres that make up the 67 City parks including 51 play areas. Through the Tree Power Program, 103 new trees and 600 new shade trees were planted in City parks. She highlighted the number of field permits and picnic shelter permits issued throughout the year.

Director Larson-Cash noted reduced operating costs for the Human and Neighborhood Services due to grant funding for the Senior Mobility program. The Human and Neighborhood Services division provides and facilitates resources to address needs that support the stability and healthy development of Anaheim’s youth, families, and seniors. She noted the division serves as a single point of contact for Anaheim residents in need of assistance. Human and Neighborhood Services connects with residents through regular District meetings, neighborhood resource fairs, and the Mobile Family Resource Center Project. She highlighted the Active Older Adult programs, which partner with 60 local community-based organizations, to provide support to seniors with opportunities to engage, socialize, and thrive to help deter loneliness and isolation.

Director Larson-Cash highlighted Family Services which addresses food insecurity through Family Resource Centers, Senior Center, and the Mobile Family Resource Center Program with support from community collaborations. The Anaheim Family Mobile Resource Center Program partners with community organizations to link underserved residents with much-needed resources. She highlighted the program’s 84 events in 28 key neighborhoods.

Library Services' $16.2 million budget represents the additional funding approved by the City Council to expand library hours across the City. The City operates seven (7) branch libraries, Heritage Services, Founders Park, Mobile Library Services, and ARTIC’s Books on the Go. Director Larson- Cash noted that 2.5 million patrons visited Anaheim libraries and 845,000 pieces including books, virtual reading materials, and DVD’s were circulated. She added 130,000 participants attended specialized library programs for all ages. Additional funding received for the Fiscal Year will increase City Council Minutes of June 27, 2023

the access to libraries to seven (7) days a week across the City. She highlighted the Central Library will celebrate its 60th Anniversary in August and the creation of a Marker Space and Media Lab at Haskett Library.

Director Larson-Cash presented the Recreation Services' $10.5 million budget. Recreation Services provides opportunities for personal growth through a variety of leisure activities and programs for all ages, abilities, and economic levels throughout the city in our parks, community centers, and neighborhoods. She noted over 5,000 participants swam at pools throughout the City and over 30,000 youth participated in afterschool programs and activities. She highlighted Park Rangers and the role they serve in keeping parks and events safe and secure.

She highlighted various Capital Improvement Projects (CIP) including Aloe Promenade, Peralta Park’s new pickleball court, Center Green's new play area, fitness stations at Maxwell Park, and replacing a 20-year old play structure at Citrus Park. The proposed CIP budget is $16.5 million which will be used to transform Boysen Park and expand it by 2.5 acres with a $15 million State earmark.

She noted Phase I improvements at La Palma Park will continue focusing on pedestrian safety and connectivity throughout the area. The second phase of the project to provide three much-needed, natural turf soccer fields will begin in 2025.

In conclusion, Director Larson-Cash detailed staff’s efforts to transform the Santa Ana River into the OC Riverwalk. Staff is working on design documents, permitting, and environmental clearances in coordination with other agencies. She highlighted a partnership with the County of Orange to acquire and improve the west area of Yorba Regional Park with recreational amenities and the installation of a new splash pad for Brookhurst Park.

DISCUSSION: In response to Council Member Faessel, Director Larson-Cash clarified the City has retained the same golf contractor for the operations of the Golf facilities. She noted the expansion to include food and beverage services at the Anaheim Hills Golf Course has been successful. Director Larson-Cash explained the additional $500,000 funding for senior citizen programming will be presented for City Council approval during the budget adoption.

Council Member Faessel confirmed the Samueli Foundation provides additional funding for emergency funding assistance for programs such as the Mobile Family Resource Centers. Director Larson-Cash noted the funds pay for the resources and do not fund staff costs and the City’s support.

In response to Council Member Faessel, Director Larson-Cash stated in partnership with the Anaheim Family YMCA, if there is demand for an additional pool the City can explore a partnership with the Anaheim Union High School District (AUHSD) for the use of the Katella High School pool.

City Manager Jim Vanderpool noted he met with one of the Anaheim Elementary School Superintendents to discuss the expansion of potential partnerships to utilize district properties for recreational programs.

Council Member Kurtz thanked staff for the opportunity to vote for additional funding for senior services. She appreciated the allocation of a permanent staff member dedicated to providing services to seniors across the City. She mentioned a $100,000 funding allocation for removal of a volleyball sand area at Paul Revere Park.

Council Member Diaz commended the good initiatives brought forward by the department and how the department is well managed. He highlighted the $1.5 million funding allocation to the AUHSD for joint use of District athletic fields.

City Council Minutes of June 27, 2023

In response to Council Member Diaz, Director Larson-Cash confirmed the extension of operation hours for Library Services. Director Larson-Cash explained during the budget adoption, additional funding can be included for increased programming and staff for senior programs. The additional two (2) full-time and five (5) part-time staff members will establish a single point of contact for seniors at the Senior Centers, Family Resource Centers, West Anaheim Youth Center, and Miraloma Family Resource Center.

In response to Council Member Leon, Director Larson-Cash explained the decrease in operating costs in the Human and Neighborhood Services division is due to an OCTA grant for the Senior Mobility Program. The funds will be carried over into the next Fiscal Year.

Council Member Leon requested including additional operation hours at the Euclid Branch Library, installation of a splash pad at Modjeska Park for next Fiscal Year, additional mobile services around the ABC neighborhood, and additional programming in District 2 parks. In response to Council Member Leon, Director Larson-Cash noted Park Rangers work closely with the Police Department.

She mentioned although they are two different entities, they work in collaboration to support the City’s parks.

In response to Mayor Pro Tem Rubalcava’s inquiries, Director Larson-Cash noted the Department’s good staffing levels for programs that are provided, however, if there is program expansion additional staffing would be required. She provided examples of deferred maintenance to parks and fields that were not included in the proposed Budget. She explained the Department’s high number of part-time staff compared to full-time and expressed satisfaction with current staffing levels. Director Larson- Cash highlighted Project S.A.Y. (Support Anaheim’s Youth) which assigns staff to AUHSD schools, if there was additional staff, the Department could allocate one staff member to each school.

Council Member Meeks requested exploring additional incorporations into the Strategic Plan. She recommended tracking non-urgent deferred maintenance projects that could be funded with excess TOT funds.

In response to Mayor Aitken, Director Larson-Cash confirmed the City does have a process to track facility rentals by group type and resident fees versus non-resident fees. She added the golf rates would be provided during the Public Hearing. Mayor Aitken requested that the third party management company track golf course reservations for residents and non-residents.

Mayor Aitken thanked staff for including a pickleball court at Peralta Park.

Public Utilities Department
Anaheim Public Utilities (APU) General Manager Dukku Lee highlighted the six (6) strategic priorities of the Department including safety; reliability; sustainability; risk mitigation; affordability; and customer focus. He noted the position count remains the same in the proposed budget with 353 full-time and 39 part-time employees. He reported the proposed $633.5 million budget comprises 30% of the total City budget. He shared a breakdown of the proposed budget and noted the decrease in Capital Improvements is due to the amended budget including multi-year projects that have been encumbered. Operationally, the Power Supply budget was amended due to the sharp increase in gas prices over the winter. APU was able to recover costs through wholesale sales and the proposed budget reflects more normalized energy prices. General Manager Lee explained water supply costs reflect a decrease due to the use of groundwater systems compared to importing water. General Manager Lee mentioned APU’s debt profile includes prudent long-term borrowings that have helped stabilize customer rates and healthy credit ratings of AA- for electric and AA+ for water.

City Council Minutes of June 27, 2023

General Manager Lee covered APU’s Administration & Risk Services division. The division includes customer service, billing and credit services, enterprise risk management, safety, and environmental compliance. He noted the call center answers 500 to 1,000 calls per day in both English and Spanish.

The Department has partnered with Community Services to attend outreach events to bring the call center to residents to provide on-the-spot bill assistance and program information. He highlighted the division’s ability to utilize funds from federal, state, Housing & Community Development, and APU’s utility program to assist over 7,000 households in paying utility bills.

Water Services is responsible for getting water to Anaheim, ensuring water quality, and then delivering it to customers. General Manager Lee highlighted the City’s water main break reliability was in the top 25% nationally. Electric Services require effective operations and maintenance, inspection, engineering, infrastructure planning, new development support, and metering services.

APU was among the top 25% of public utilities across the country for reliability metrics. The Finance and Energy Resources Division focuses on the long-term fiscal health of APU. The division manages the debt portfolio, power resource procurement, accounting, warehousing, technology development, and compliance with energy regulations. General Manager Lee noted the group is accelerating renewable power investments to meet state mandates for 60% renewables by 2030 and to be carbon-free by 2045 while remaining cost-effective to customers. The General Services division includes communications, records and contract management, employee development, and internship programs.

General Manager Lee covered the current year's highlights including groundwater treatment operations, infrastructure investments, the 8th year of the AUHSD high school mentoring program, and a $3 million federal earmark from Congressmember Lou Correa for the Sustainability Education Center. For the upcoming year, APU will begin construction for the Sustainability Education Center, security improvements at critical high voltage substations, undergrounding of Beach Boulevard and wildfire threat areas, and increasing electrifying their fleet.

DISCUSSION: Council Member Diaz highlighted APU’s initiatives and department management. He emphasized the Department’s ability to adapt to needs for water services such as PFAS treatment plants and noted the City has the lowest electrical rates in Orange County.

Council Member Leon echoed Council Member Diaz’s comments and thanked staff. In response to Council Member Leon, General Manager Lee referenced the City’s agreement with the State to administer federal funds for utility bill assistance for residents. Council Member Leon commended APU’s quick response to an outage in District 2 near Katella Avenue and Orangewood Avenue and thanked staff for their work.

Mayor Pro Tem Rubalcava highlighted APU’s operations as an Enterprise department and its unique ability to fund itself.

In response to Mayor Pro Tem Rubalcava, General Manager Lee explained the two different types of theft the Department experiences and revenue loss. The first is break-ins to City facilities to steal salvaged materials with an estimated cost of tens of thousands of dollars. The second is the theft of wires from street lights and the inconvenience to residents with outages.

Public Works Department
Director of Public Works Rudy Emami highlighted the Department’s core services including planning, building, and preserving the community. To maximize those efforts the Department seeks grant opportunities from a wide range of resources to leverage local funds. Efforts include the implementation of new environmental policies to meet changing regulations ranging from water City Council Minutes of June 27, 2023

quality to recycling. The proposed budget includes 241 full-time and 42 part-time employees, an additional full-time position in the Sanitation division was included to provide support for the new SB 1383 Organics program. Director Emami detailed the proposed $263.3 million budget. He noted that significant funding sources include restricted funds such as Sanitation, Transportation, and Internal Services funds for fleet and facility maintenance. Of the Department’s $174 million operating budget, 85% is spent on Public Works Operations, and Fleet and Facility Services.

Director Emami covered the Department’s divisions beginning with Administration and Fiscal Services which provides planning and management for the Department including policy direction, program evaluation, budgeting, accounting, special analyses, and administrative support services including Engineering Records and Commuter Services. Engineering Services provide design services, development services, and include traffic and transportation. Public Works Operations performs maintenance of streets, sidewalks, sewer systems, street trees and landscape, and the street sweeping program. The division also provides administration of the solid waste collection and disposal contract and administers the Anaheim Resort Maintenance District. He covered the functions of the Fleet and Facility Services division and Construction Services.

Director Emami highlighted a few Fiscal Year 2023/24 projects including the Amboy Neighborhood, Phase 8 and 9 of the Arterial Sidewalk Project, Beach Boulevard, Harbor Boulevard, and the Sabina Neighborhood. Sidewalk Improvements are a major component of the Department’s work and a vital component of the City’s infrastructure. Director Emami mentioned the proposed budget includes a request for the second installment of a 5-year commitment to improve sidewalks Citywide. He referenced the City’s ability to leverage grant funds such as Clean CA to keep the City litter-free and the Staff’s assistance with right-of-way rehabilitation and encampment cleanouts. He highlighted the City’s Street Tree Maintenance Program which pruned nearly 10,000 trees for safety and tree health, and 11,000 trees for Power Line Clearance in Fiscal Year 2022/23. Additionally, the program plans to plant 350 trees and participates in an annual Arbor Day Tree Planting Ceremony. Residents can interactively engage with using a GIS map available on the City’s website to navigate to specific trees in their neighborhood and the City. The Amboy Neighborhood Rehabilitation Project consists of improving existing public right-of-way, concrete, and asphalt in Central Anaheim. The project includes the removal of unhealthy trees, planting new parkway trees, installing new pavement markings, and new street signs.

Director Emami featured Engineering Services projects including road rehabilitations including Weir Canyon Road, Euclid Street, and Orangewood Avenue; neighborhood programs including the Neighborhood Traffic Management Program and Residential Parking Program; Sabina Phase 4 and 5 and Sycamore Neighborhood Projects; Lincoln Widening from East Street to Evergreen Street; and a Stormwater Credit Program.

DISCUSSION: Council Member Faessel confirmed Police Department fleet is covered under the Public Works Department budget. He applauded the Department for its publicly accessible interactive GIS Street Tree Maintenance Program map. In response to Council Member Faessel, Director Emami mentioned pavement projects are included in the City’s Project View Finder.

Council Member Kurtz thanked staff for the Street Tree Maintenance Program and their response to residents' concerns.

Council Member Diaz applauded the Department for their 24-hour customer service. He provided examples of their services including sidewalk maintenance, traffic management, storm drains, and the implementation of the new State-mandated organics program. He added the budget includes City Council Minutes of June 27, 2023

additional funding in the amounts of $300,000 for tree trimming services and $2 million for sidewalk maintenance/replacement.

Mayor Pro Tem Rubalcava thanked staff for their reactive responses to residents' concerns and the transparency the Tree Maintenance Program brings. She requested information on projects not included in the budget.

In response to Mayor Pro Tem Rubalcava’s inquiries, Director Emami noted additional requests were conducted through the supplemental process.

Council Member Meeks applauded the Department for their services and echoed her recommendation provided to the Community Services Department to create a list of projects not included in the Budget.

In response to Mayor Aitken, Director Emami provided examples of the measures used to address traffic calming and bike concerns including installing medians, traffic signal installation, and lane spacing.

Planning and Building Department
Director of Planning and Building Ted White presented the core services divisions: Planning, Building, and Community Preservation & Licensing. The Planning Division is responsible for services and programs that facilitate the land development and business including the work of the Planning Commission, administering the general plan and zoning code, and managing the City’s historic preservation efforts. The Building Division ensures high standards of safety for all construction in the City through the review of plans, issuance of building permits, and performance of building inspections. The Community & Licensing Division helps maintain a high quality of life for the community through enforcement of the Municipal Code, issuance of business licenses, and collection of transient occupancy taxes. The services are provided by 84 full-time and 27 part-time employees which are supplemented by consultants who assist with building plan checks and inspections.

Director White reported the Department’s proposed budget is $32.2 million which is supported by the General Fund, fees of building permits and land use entitlements, restricted grant funding, Community Development Block Grant (CDBG) funds, and state grants. He added approximately half of the Department’s budget, $17 million, is allotted to Code Enforcement efforts.

He noted that 54% of the Department’s expenses are for labor while operations account for 43%.

Director White provided an overview of the budgets, functions, and highlights of the Administration Division, Planning Services, Building Services, and Community Licensing & Preservation. The Planning Services budget experienced a 9% reduction from last year reflective of the anticipated completion of the grant-funded Housing Element. Planning Services assisted over 9,300 customers at the public counter, completed 3,700 plan checks, and coordinated 39 land use entitlements.

Building Services issued nearly 6,000 building permits, performed 8,600 building plan checks, and conducted over 38,000 building inspections. Code Enforcement responded to 7,500 Code Enforcement cases and 13,00 Anaheim Anytime requests, removed over 3 million square feet of graffiti, issued more than 35,000 parking citations, and processed 21,000 business licenses.

Director White provided an overview of the Department’s accomplishments and upcoming projects including: ocV!BE, the Platinum Triangle A-Town project, Disneyland Forward, the third draft of the Housing Element, Rebuild Beach project, proactive Pro-Active Quality Corridors Enforcement efforts, street vending enforcement, and Organic Waste Enforcement. He highlighted two customer service enhancements at the Permit Assistance Center including a new look to the lobby and new USB City Council Minutes of June 27, 2023

charger outlets. He featured a new program called ‘ADUHeim’ which provides property owners with a catalog of preapproved plans for Accessory Dwelling Units (ADU) to expedite the plan check process, review time, and issuance of building permits.

DISCUSSION: In response to Council Member Kurtz, Director White confirmed additional Code Enforcement Officers were included in the supplemental budget.

Council Member Faessel confirmed the amount of the City’s contracted graffiti removal company. He expressed appreciation for their efforts and the efforts of the Department.

Council Member Diaz expressed appreciation for the ADU program, and the Department’s efforts on Beach Boulevard, ocV!BE, Disneyland Forward, and the Housing Element. He noted the budget includes an $800,000 allocation to upgrade the permitting system.

In response to Mayor Pro Tem Rubalcava’s inquiries, Director White explained the City received grant funds to assist with preparing the Housing Element. She requested further information related to Code Enforcement hours and reactivity.

Director White noted various Code Enforcement teams work nights and weekends including Vendor Enforcement, Parking Enforcement, and the Short-Term Rental Enforcement Team. He explained the standard enforcement team works from 7 a.m. to 6 p.m., however, if special enforcement is required the schedules can be altered. He stated the policy direction over the last decade has been to be reactive, however, there has been a transition to a proactive approach in the commercial corridors.

Mayor Pro Tem Rubalcava thanked Staff for resolving parking issues in District 3.

In response to Council Member Leon, Director White explained the Pro-active Quality Corridors Enforcement involves Code Enforcement officers taking a proactive approach in citing egregious violations in the commercial corridors. He mentioned flyers were being distributed to property owners to educate them on the expectations of property maintenance. He noted a small percentage of overall violations occur in District 2. Director White provided an update on the ongoing partnership with the County of Orange to confiscate food from food vendors and mentioned the City is proactively citing vendors. He added that there is still consideration to share costs with the County to increase enforcement.

Council Member Leon echoed the appreciation of his colleagues and thanked the Public Works Department as well.

Council Member Meeks requested a residential property standards handout to educate tenants.

In response to Mayor Pro Tem Rubalcava, Director White stated additional officers would be required in upcoming years to provide additional responsiveness and proactive efforts.

Mayor Pro Tem Rubalcava encouraged consideration to explore the establishment of a City Health Department during the Strategic Plan process.

Council Member Diaz supported proactive initiatives in the commercial corridors, however, advised against those measures for residential properties.

Mayor Aitken encouraged residents to download the Anaheim Anytime app or visit the My Anaheim website for a quick response to any concerns or issues.

City Council Minutes of June 27, 2023

Economic Development Department
Director of Economic Development Sergio Ramirez highlighted the mission of the Department including to identify and support goals, initiatives, and targeted strategies that attract investment, generate revenue, and propel the City of Anaheim forward as a leading hub of business innovation, model of economic vitality, world-class destination, and vibrant community for people to live, work, play, prosper and thrive. For Fiscal Year 2023/24, the Department seeks to increase the number of Full-Time employees from seven (7) to ten (10). Director Ramirez detailed the $44 million proposed budget, a 10% decrease from the prior fiscal year due to a one-time project cost for the 39 Commons Project. He covered the Administration division’s approximately $1.5 million budget which is responsible for the management and operations of the Department. The Business Development division is responsible for business attraction, retention, and expansion. The division’s budget for Fiscal Year 2023/24 is $1.68 million. Director Ramirez mentioned a one-time request of $2 million was included in the proposed budget. He covered the $6.5 million Property Development budget and the proposed $32.7 million budget for Successor Agency obligations. Project highlights for the department include the redevelopment of the 39 Commons Project, Emprendedores Program, disposition of the Rancho Del Rio property, ocV!BE, Brookhurst Corridor Study and Little Arabia Designation, a new Tesla Car dealership in the Anaheim Canyon, identity signage in the Anaheim Canyon, redevelopment efforts of the Successor Agency site located at Anaheim Boulevard and Ball Road, and the Rebuild Beach Boulevard project. He highlighted the Business Development Team that assisted 150 businesses with ombudsman services including Solita Tacos and Bainni’s Coffee.

He presented upcoming projects for the next fiscal year including exploring new business opportunities, a new partnership with SBDC/California State University, Fullerton, expanding the Storefront Improvement Program, restaurant attraction initiative, and expediting the disposition of Successor Agency properties.

DISCUSSION: Council Member Faessel complimented Staff on the Emprendedores Program and expressed appreciation for the partnership.

Mayor Aitken echoed Council Member Faessel’s comments and expressed appreciation for the Department working with small businesses.

Council Member Leon expressed appreciation for the Department’s work in District 2.

In response to Council Member Leon’s inquiries, Director Ramirez clarified the budget request for the Commercial Storefront Improvement Program was for $2 million compared to $500,000 in the previous fiscal year to focus on larger shopping centers. He mentioned the program received over 300 applicants. He explained next fiscal year the Department will be targeting strip malls and small businesses, however, focus on larger shopping centers. He advised the application process will begin following the approval of the budget.

In response to Mayor Pro Tem Rubalcava, Director Ramirez explained the 11% increase in the Administration budget was due to increased staffing. Director Ramirez explained the function of the Business Development division and that the division assisted over 150 businesses. He provided examples of businesses that generate tax revenue for the City including hotels and car dealerships.

He confirmed the number of vacant properties that were part of the Successor agency portfolio Mayor Pro Tem Rubalcava recommended partnering with the Housing and Community Development Department to attract and retain businesses.

City Council Minutes of June 27, 2023

Housing and Community Development Department
Director of Housing and Community Development Grace Ruiz-Stepter highlighted the Department’s responsibility of working to address current community issues, the provision of affordable housing, and addressing homelessness. The Department’s activities fall into four main categories including expanding access to housing options, workforce development, community initiatives, and homeless services. Director Ruiz-Stepter noted the Department is comprised of 79 full-time and under 10 part- time employees. The $202 million proposed budget represents 9.6% of the total budget, $9.5 million from Emergency Rental Assistance Program funds, Homeless Housing Assistance and Prevention funds, and Opioid settlement funds. The remaining 95.3% of the budget includes all funding from the U.S. Department of Housing and Urban Development. Director Ruiz-Stepter noted $149 million of the budget is dedicated to housing with $96 million being paid directly to area landlords. $44 million is dedicated to grants and homeless services. She mentioned while the Department is responsible for coordinating homeless services, the budget does not represent the total investment in addressing homelessness. 88% of the Department’s resources are deployed directly into the community, 1% for debt service, 5% for Capital Outlay, and the remaining 7% for staffing and supplies.

Director Ruiz-Stepter presented the divisions of the Department including Community Development Administration, Workforce Development, Housing Authority and Development, and Grants Management and Homeless Services. She highlighted the Department’s largest operational unit, the Housing Authority and Development Department, and the Housing Choice Voucher Program which represents over 30,000 households. The Grants Management and Homeless Services division oversees the output of over $46 million.

Director Ruiz-Stepter highlighted the Workforce Development team which continues to maximize the State’s Youth Job Corp grant to provide paid work experience to youth, a job fair at the Downtown Community Center, homeless services, ACCESS pilot program, Section 8 Housing Choice Voucher program, and Finamore Place. Additional project highlights include the opening of 70 permanent supportive housing units at the Center of Hope campus, the North Harbor site transforming from interim shelter to permanent supportive housing, and the construction of the Miraflores Muti-Family Development. Once construction concludes on the three developments an additional 245 affordable housing units to Anaheim bringing the total number of units to 4,137.

In conclusion, Director Ruiz-Stepter presented upcoming development projects involving motel acquisitions, which include the Tampico Motel and the revitalization of Beach Boulevard. Director Ruiz-Stepter shared images of families the Department assisted throughout the year.

DISCUSSION: Council Member Faessel complimented the Department and their various projects including the partnership with the Orange County Housing Finance Trust, Hope Now formerly BeWell OC, the Center of Hope, and the Tampico Motel.

In response to Council Member Meeks, Director Ruiz-Stepter explained the First Time Homebuyers program and mentioned the current applications for the 100 West Development. The program prioritizes Anaheim residents or individuals who work within City limits and eligible households can receive up to $100,000 in financial assistance. The Department is looking to expand the program by partnering with other opportunities in the future to expand the program.

Council Member Meeks confirmed the opportunities are only open to new housing developments due to limited funds. She commented on the importance of homeownership and expressed interest in having discussions in the future.

City Council Minutes of June 27, 2023

In response to Council Member Leon’s inquiry on the ACCESS pilot program, Director Ruiz-Stepter explained the Department provides a one to two-year timeframe for pilot programs to assess the success of the program and funding. She clarified the ACCESS pilot program is funded through Opioid settlement funds and other departments' revenue sources.

City Attorney Robert Fabela added that portions of the program related to the City Attorney’s Office are funded through their budget. Specialized uses of the program are also funded through the Police Department.

In response to Council Member Leon, Director Ruiz-Stepter explained due to the State’s surplus budget Home Key funding became available.

Council Member Leon expressed appreciation for the Department’s efforts related to homelessness in District 2.

Council Member Diaz emphasized the impact of the Housing and Community Development Department. He noted the majority of City budgets cover labor costs, however, 88% of the Department’s budget covers service to the community.

In response to Mayor Pro Tem Rubalcava, Director Ruiz-Stepter explained prior to the dissolution of the Redevelopment Agency, the City received $14 million in revenue for flexible uses including the First Time Homebuyers program. Director Ruiz-Stepter added the $14 million included gap financing for affordable housing developments.

Mayor Pro Tem Rubalcava thanked staff for their work in the community and provided an example of a resident who received housing assistance.

Council Member Kurtz thanked staff for the Finamore Place development to provide housing for families and additional community services to the neighborhood. She praised the quality of housing standards set by the Department in new developments.

In response to Mayor Pro Tem Rubalcava, Director Ruiz-Stepter stated after the dissolution of the Redevelopment Agency, the department lost 26 staff members.

Convention, Sports, and Entertainment Department
Convention, Sports, and Entertainment Executive Director Tom Morton reported the department operates as an Enterprise Fund that is responsible for managing the daily operations of the Convention Center and administers the agreements for Angels Stadium, the Honda Center, the City National Grove, ARTIC, Visit Anaheim, and the Sportstown HomeOwners’ Association. The department budget includes 86 full-time employees and 207 full-time equivalent employees. He detailed the department’s $88.1 million proposed budget which composes 4.2% of the overall City budget. Operations represent 67% of the department’s overall budget and Visit Anaheim receives approximately 26% of the budget for pass-through funding of the Anaheim Tourism Improvement District (ATID). Increases in the Operations budget represent increased event activity. He noted the Convention Center hosted returning events including the NAMM show, Natural Products, Cal Dental, and Keller Williams.

Director Morton announced the Convention Center was named a 2023 Center of Excellence by Exhibitor Magazine and a 2023 Best Convention Center by Smart Magazine. In the upcoming fiscal year, the Convention Center will host the Mens Nations Volleyball League, Produce Marketing Association, the United States Soccer Coaches, Blizzcon, and other annual returning shows.

City Council Minutes of June 27, 2023

Director Morton reported the Visit Anaheim budget increased due to increases in the Transient Occupancy Tax (TOT) revenues. He highlighted Stadium Operations and projected an estimated three million visitors at the Stadium in 2023. He noted the Honda Center and The Grove restored attendance and the number of events held compared to the previous fiscal year. The Grove hosted a number of events throughout the fiscal year including Peppa Pig. He provided background information for ARTIC operation and noted in 2018 the City partnered with ATCM, a subsidiary of H&S Ventures, to provide day-to-day management and cover any annual operating losses. If operations are able to generate a profit, the City will receive 60% of the proceeds.

DISCUSSION: Council Member Faessel confirmed the City government does not promote the Convention Center or hotels. Executive Director Morton added Visit Anaheim serves as the City’s destination marketing organization. Executive Director Morton confirmed funds for Visit Anaheim are a pass-through of ATID funds collection. He added the City does not have a funding commitment to Visit Anaheim.

In response to Council Member Kurtz, Executive Director Morton explained the department projected a loss for the upcoming fiscal year for The Grove operations. He anticipates The Grove making revenue in the next fiscal year and this upcoming fiscal year resulting in decreased expenses.

Mayor Aitken confirmed the increase in the department’s upcoming budget. Executive Director Morton noted the department’s revenue covers operation expenses.

In response to Mayor Aitken, Executive Director Morton explained if the Convention Center generates a profit, the funds are allocated toward Capital Improvement projects.

PUBLIC COMMENTS ON WORKSHOP: City Clerk Theres Bass reported there were no in-person speakers or electronic public comments received related to the Budget Workshop.

At 5:37 pm, Mayor Aitken concluded the budget workshop and continued with the regular meeting.

INVOCATION: Council Member Stephen Faessel
Prior to the Flag Salute, Council Member Meeks thanked all military service members for their dedication and service to the country.

FLAG SALUTE: Council Member Natalie Meeks
PRESENTATIONS: Recognizing the Canyon High School Comanches Baseball team on winning the CIF Southern California Division IV Regional Championship Mayor Aitken announced the team won the CIF Championship for the first time in 26 years. She presented the recognition to Coach Jason Smith and the Canyon High School Comanches Baseball team. Coach Jason Smith thanked the City Council for recognizing and supporting the team. He recognized the team for their dedication to the school’s core values and their hard work.

Recognizing Anaheim student Casey Ortiz for receiving a $50,000 scholarship from Southern California Edison to pursue Civil Engineering Mayor Aitken presented the recognition to recent Esperanza High School graduate Casey Ortiz. She noted the Edison International (a parent company to Southern California Edison) $50,000 scholarship was awarded to 30 California STEM students attending university. Ms. Ortiz plans to attend California City Council Minutes of June 27, 2023

State University, Fullerton to become a Civil Engineer. Mayor Aitken highlighted Ms. Ortiz’s goals to integrate transit into all communities to create access to equal job opportunities.

Budget, Investment, and Technology Commission Presentation Budget, Investment, and Technology Chair Jorge Gavino and Vice Chair Ryann Higgins presented an overview of the Budget, Investment, and Technology Commission. He acknowledged the hard work of Director of Finance Debbie Moreno and the Finance Department. He expressed appreciation for the thoughtful planning of the City Departments related to the City Budget adoption. He provided a brief history of the Commission and noted their monthly meeting schedule from September through June despite the requirement to only meet quarterly. He highlighted the Commission’s dynamic conversations and the leadership standard set by former Chair Noteboom. He introduced each Commission member: Paul D’Allura (District 1); Jaime Naranjo (District 2); John Noteboom (District 4); Christopher Nguyen (District 6); Peter Duncan (Mayoral Appointee); himself; and Vice Chair Ryann Higgins (District 5). He outlined the responsibilities of the Committee including reviewing the annual budget, General Fund, and proposals and exploring alternative approaches for financing future Capital Improvement Projects. Additional responsibilities include reviewing investment reports, providing recommendations on investment strategies, acting in an advisory capacity concerning investment of City funds, and recommending technologies. Vice Chair Higgins presented Commission highlights including supporting the transition of the City’s ambulance program to in-house, support of IT upgrades, increasing funding of the Public Library, and enhancement of local parks. She highlighted the Commission’s recommendations to support the Economic Development Department, outreach and education of City resources and technology platforms, maintenance and infrastructure, supporting homelessness, mental illness, and substance abuse efforts, and preparing for wildfire season.

Vice Chair Higgins requested a moment of silence for former Commissioner Member David Klawe who recently passed away. She thanked Commissioner Klawe for his years of service and dedication to the City of Anaheim and expressed condolences to his friends and family.

DISCUSSION: Mayor Aitken requested a round of applause for the Commission members. She thanked the Commission members for their service.

ACCEPTANCE OF OTHER RECOGNITIONS (To be presented at a later date):

Recognizing July 2023, as Muslim American Heritage Month Council on American-Islamic Relations – Los Angeles (CAIR-LA) Policy Coordinator Hadir Azab accepted the proclamation and expressed appreciation for the recognition. She explained the importance of Muslim American Heritage Month to promote equity and diversity and the experiences of the Muslim community.

Recognizing July 2023, as National Parks and Recreation Month Community Services Parks Manager JJ Jimenez accepted the proclamation for National Parks and Recreation Month and encouraged the public to attend City parks and recreation classes. He noted the community can visit www.anaheim.net/play to learn about Community Services events and facilities.

At 5:58 p.m., Mayor Aitken called to order the Anaheim Housing Authority (in joint session with the City Council)
City Council Minutes of June 27, 2023

ADDITIONS/DELETIONS TO THE AGENDA:

City Clerk Theresa Bass announced that for Item No. 17, the reimbursement amount to the Agreement with The Salvation Army, First Amendment, is $706,000, not $632,000 as identified on the agenda.

PUBLIC COMMENTS (all agenda items, except public hearings): Prior to receipt of public comments, City Clerk Theresa Bass provided an outline of procedures for public comments, notice of translation services, and a brief decorum.

City Clerk Theresa Bass reported a total of 43 public comments were received electronically prior to 1:00 p.m. related to City Council agenda items and matters within the jurisdiction of the Anaheim City Council. [A final total of 46 public comments were received electronically, distributed to the City Council, and made part of the official records]. – See Appendix.

Duane J. Roberts commented on Item No. 4, offering support for the Anaheim Public Library and congratulating the efforts of his news outlet which exposed alleged corruption in the community.

Mark Richard Daniels commented on Item No. 25 requesting the City address housing, food insecurity, and homelessness issues, supporting the Anaheim Anytime app, and requesting the City revisit the entertainment tax initiative.

Parker Shea commented on Item No. 25 requesting placement of the matter on a general election ballot and expressing concern regarding lack of transparency and costs for a special election.

Rachael Rutkowski commented on Item No. 25 expressing concerns the City is violating the State Elections Code related to selection of the special election date for the proposed initiative and requesting placement of the matter on a general election ballot.

Wes Jones commented on Item No. 26 expressing concern regarding meeting participation protocols, requesting advertising of extended library hours and other community programming, and expressing concern regarding the costs of a special election.

Susana Galan commented on Item No. 26 requesting the City consider the wages required for families like her to live in the new developments in the community.

Paul Hyek commented on Item Nos. 1, 16, and 17 requesting clarification on substandard inspections, establishment of a pilot program with the Salvation Army, and homelessness initiatives.

Bridget McConaughey commented on Item No. 25 requesting placement of the proposed initiative on a general election ballot.

Adam Wood commented on Item No. 26 expressing concern as to the process by which the item was placed on the agenda and requesting additional public participation regarding the City’s approach to affordable housing initiatives and policy.

Kourosh Karimi commented on Item No. 25 requesting placement of the proposed initiative on a general election ballot.

City Council Minutes of June 27, 2023

Cesar Covarrubias commented on Item No. 26 citing the need for additional housing options services for community residents and offering recommendations from his organization to the subject commission.

Kate Gonzalez commented on Item No. 26 expressing support for affordable housing opportunities, citing the need for services in underserved communities.

Rachel Pozos commented on Item No. 26 expressing support for affordable housing opportunities, citing the need for services in underserved communities.

Vern Nelson commented on Item No. 25 requesting placement of the proposed initiative on a general election ballot citing low voter turnout in special elections.

Jeanine Robbins commented on Item No. 25 expressing concerns regarding the wording of the proposed initiative as submitted by the proponents and concerns regarding the transparency of actions taken by the Mayor as related to the item. She requested clarification regarding the results of the audit report.

Mike Robbins commented on Item No. 26 expressing concerns with the economic impacts of increasing worker wages related to the proposed initiative as submitted.

Greg Eisenman commented on Item No. 25 thanking the City Council for placing the proposed initiative before the voters for consideration and expressing concern regarding the economic impacts the initiative may have on workers. He requested clarification on the type of voter education the City will conduct on the proposed initiative.

Samantha Marquez commented on Item No. 25 expressing support for the upcoming special election date for the proposed initiative measure.

Kelly Laimana commented on Item No. 25 expressing support for the upcoming special election date for the proposed initiative measure.

Daisy Chavez commented on Item No. 26 expressing support for affordable housing opportunities, citing the need for services in underserved communities.

Dara Maleki commented on Item Nos. 25 and 26 expressing support for the upcoming special election date for the proposed initiative measure and requesting the City Council seek input from industry partners related to affordable housing strategies before utilizing outside consultants.

Cecil Jordan Corkern commented on various matters related to homeless services, the Disneyland Resort, his personal faith beliefs, and gun laws.

John Baca commented on various matters related to the status of IBEW contracts.

David Aguon commented expressing concerns related to the status of IBEW contracts and wages.

Brian Olson commented expressing concerns related to the status of IBEW contracts and wages.

Christine Gallardo commented on various matters related to public safety in District Four and expressed concern regarding the lack of responsiveness from District Four’s Council representative, Councilmember Kurtz.

City Council Minutes of June 27, 2023

Bryan Kaye commented expressing concerns regarding alleged actions taken by the Anaheim Police Department
Jose De La Torre commented expressing concerns related to the status of IBEW contracts and wages.

Len Beckman commented expressing his personal views on youth and adult gender-related health matters.

Cecilia Flores commented expressing concerns related to potential negative impacts on adjacent neighborhoods of proposed development of a charter school on a property formally occupied by a church.

Jonathan Alvarez commented expressing concerns related to the status of IBEW contracts and wages.

Dinorah E. commented expressing concerns related to the Federal court complaint she filed against the Orange County Housing Authority.

Marc Herbert commented expressing concerns regarding meeting participation protocols, wi-fi access in the Council Chamber, and budget allocations for homelessness services and requesting a status update on the construction of Fire Station 12.

Jim Nelson commented expressing concerns related to the status of IBEW contracts and wages.

Mark Lopez commented on Item No. 26 thanking the City Council for their support of schools and requesting the City Council adopt policies that support students and families citing the need to address housing assistance for same.

COUNCIL COMMUNICATIONS:

Council Member Faessel requested the meeting adjourn in remembrance of Anaheim resident Lucy M. Hernandez, a direct descendant of Jose Antonio Yorba. He noted that Ms. Hernandez retired from the Anaheim Elementary School District in 2002. He congratulated Senior Administrative Analyst Lylyana Bogdanovich on her new position with a different local community, thanked her for her service to the City of Anaheim and its residents, and shared that he will miss her.

Council Member Kurtz highlighted Ted’s Burgers and The Anaheim White House Restaurant and encouraged everyone to visit both restaurants as she believes they are icons in the City of Anaheim.

She thanked the Planning and Building and Housing and Community Development Departments for working with the developer to complete Finamore Place, an affordable housing community. Council Member Kurtz thanked the Anaheim Senior Commission for allowing her to visit with them to discuss the availability of present and future senior resources.

Council Member Diaz highlighted MJ’s Pinoy Fiesta, a Filipino restaurant and market, and asked that everyone visit and support a local business. He shared that Northeast of the Well is a church and non-profit organization that fights against prostitution and human trafficking. He encouraged everyone to support the organization. Council Member Diaz noted that the next Rebuild Beach Boulevard community meeting will be Thursday, June 29th at 6:00 p.m. at the West Anaheim Youth Center.

City Council Minutes of June 27, 2023

Council Member Leon invited everyone to the upcoming Health and Resource Fair at Savanna High School, in partnership with Senator Tom Umberg’s Office. The event will take place on July 8th from 10:00 a.m. to 2:00 p.m. There will be a number of free resources and services available including general health screenings, dental services, vision, and food distribution. He thanked the Orange County Heritage Council for organizing the Juneteenth Festival on June 17th and shared that it was great coming together as a community to celebrate freedom for all. He welcomed AFC Urgent Care to the community and congratulated them on their grand opening. Council Member Leon highlighted Linbrook Bowling Center as the June 2023 Business of the Month and noted they will be celebrating 65 years in West Anaheim later this year. He highlighted Zait and Zaatar as the June 2023 Restaurant of the Month located at 510 N. Brookhurst St., Suite 106.

Mayor Aitken noted that she attended District 4’s Community Services meeting, along with Council Member Kurtz. She thanked staff for attending and answering questions from residents. She attended, along with Council Member Faessel, a Neighborhood Clean-up for the Anna Drive community. She highlighted Finamore Place, the City’s 42nd affordable housing community. Mayor Aitken shared that she had the opportunity to support Chance Theater’s 2023 Chance-a-thon fundraiser and it was fun to see all the performers. She also attended the OC Pride Parade in Santa Ana. Mayor Aitken mentioned that the City of Anaheim will be celebrating the Fourth of July with its annual Firecracker 5K/10k run, Yankee Doodle Dog Show, Fourth of July Parade, Community Festival, and Fireworks Show. She invited everyone in the community to all the events.

CITY MANAGER’S UPDATE:

City Manager Jim Vanderpool announced that the Anaheim Public Libraries expanded hours begin July 1st. Each region (East, West, and Central) will now have seven days of service. For more information regarding the new hours at Central Library, East Anaheim Library, and Haskett Library please visit the City of Anaheim Public Library webpage. He provided an update regarding the Chief of Police recruitment process and noted that the City secured the professional services of Bob Murray and Associates to conduct a national executive search. The recruitment was open for five weeks, ads were placed in 11 national law enforcement professional organizations and outlets, and a public awareness campaign was coordinated by the City’s Public Information Officer. Meetings and participation options were advertised on social media, the web, and Channel 3. The City also encouraged each Council Member, Commissioner, and Board Member to get the information out on their social media outlets. Community Services shared the recruitment with non-profits, religious organizations, and school districts. The City conducted six community meetings Citywide. The executive recruiter met with Board Members as well as the Anaheim Police Association (APA), Anaheim Police Management Association (APMA), and the Anaheim Management Employees Association (AMEA). The recruiter also conducted open house and open door hours at the Police Department for personnel to drop in and provide input on the process. In addition, the executive recruiter met with the Mayor and each Member of the City Council for one-on-one input on their expectations for our next Chief of Police. City Manager Vanderpool noted that he has been thoroughly briefed by the recruiter on all interactions with the public, labor groups, and elected officials. Although there was a robust pool of applicants, a smaller highly qualified group will be interviewed on June 28th. There will be four professional panels made up of law enforcement executives and law enforcement professionals. There will be a peer department head panel, a labor panel comprised of APA, APMA, an AMEA, and community panel with representatives from education, non-profits, health care, business, and a member from the Police Review Board. City Manager Vanderpool will then meet which each panel and be briefed on their input from the finalist.

Based on input, he will interview a select group of finalists on Thursday, June 29th. The top candidate will move forward with the pre-employment process including a background and reference check.

City Council Minutes of June 27, 2023

Once completed, City Manager Vanderpool will present his appointment to the City Council for ratification and contract approval 30-45 days from today.

At 7.57 p.m., Mayor Aitken recessed the Anaheim City Council meeting to address the Anaheim Housing Authority agenda and convened at 7:58 p.m.

CONSENT CALENDAR: At 7:58 p.m., the Consent Calendar was considered with Council Member Leon pulling Item Nos. 7, 16, and 17, Council Member Kurtz pulling Item Nos. 14 and 19, and Council Member Meeks pulling Item No. 18.

MOTION: Council Member Faessel moved to waive reading of all ordinances and resolutions and adopt the balance of the consent calendar in accordance with reports, certifications, and recommendations furnished each City Council Member and as listed on the consent calendar, seconded by Council Member Leon. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, Faessel, and Meeks); NOES – 0. Motion carried.

4. Receive and file minutes of the Library Board meeting of May 8, 2023.

5. Receive and file the Budget, Investment, and Technology Commission’s recommendation letter dated June 21, 2023 regarding the Fiscal Year 2023/24 proposed budget.

6. Approve recognitions recognizing Carla Roque and Dr. Yadira Moreno for their work on creating murals for all 23 Anaheim Elementary School District schools.

8. Accept the bid from H&H Auto Parts Wholesale, in the amount of $29,035.35 plus applicable sales tax and a 20% contingency, to provide General Motors (GM) automotive parts on an as- needed basis for a one-year period, with four one-year optional renewals; and authorize the Purchasing Agent to execute the renewal options in accordance with Bid #9693.

9. Waive the sealed bidding requirement of Council Policy 4.0 and authorize the Purchasing Agent to issue purchase orders to West Coast Lights & Sirens, Inc. and Lehr Auto Electric, in a combined not-to-exceed amount of $50,331.35 plus applicable tax, for installation of city supplied police vehicle equipment on nine new police vehicles.

10. Accept the bid from Gunner Concrete, in the amount of $242,853 plus a 20% contingency, to provide volumetric concrete mix and delivery services for the Public Works Department for a one-year period with four one-year optional renewals; and authorize the Purchasing Agent to execute the renewal options in accordance with Bid #9698.

11. Accept the bid from Service First, in the amount of $131,834.12, to provide maintenance and repair services for water features at three parks for a one-year period with up to four one-year optional renewals; and authorize the Purchasing Agent to exercise the renewal options in accordance with Bid #9657 (Colony, Ponderosa, and Miraloma parks).

City Council Minutes of June 27, 2023

12. Waive the sealed bidding requirement of Council Policy 4.0 and authorize an extension to the master agreement with BrightView Landscape Services, in an increased amount not to exceed $253,286, for up to three additional months ending September 30, 2023, for landscape maintenance services covering west and southwest area parks.

13. Waive the sealed bidding requirement of Council Policy 4.0 and authorize the Purchasing Agent to issue a purchase order to 908 Devices Inc., in the amount of $302,286.60 plus applicable tax, for the purchase of three handheld mass spectrometer chemical detection systems for use by the Orange County Hazardous Materials teams.

15. Waive Council Policy 4.1 and approve an agreement with Savage Training Group, in an amount not to exceed $192,000, for training services, and authorize the Chief of Police, or designee, to administer the agreement and execute any amendments under the terms and conditions of the agreement.

20. RESOLUTION NO. 2023-041 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a Memorandum of Understanding establishing terms and conditions of employment for employees in classifications represented by Teamsters, Local 952 (effective January 2, 2023 through December 19, 2024).

21. RESOLUTION NO. 2023-042 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending Resolution No. 2021-119 for the purpose of creating, deleting and/or modifying certain classifications represented by the American Federation of State, County, and Municipal Employees, Local 2002, General Management Unit (effective July 7, 2023).

RESOLUTION NO. 2023-043 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending Resolution No. 2022-139, as amended, for the purpose of creating, deleting and/or modifying certain classifications, rates of compensation, and pay policies for classifications designated as Non-Represented Full-Time and Part-Time Employees (effective July 7, 2023).

22. ORDINANCE NO. 6557 (ADOPTION) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adding Chapter 10.13 (Stormwater Credit Program) of Title 10 (Public Services and Utilities) to the Anaheim Municipal Code establishing a Stormwater Credit Program and based upon the finding and determination that said ordinance is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the State CEQA Guidelines. (introduced at the City Council meeting of June 13, 2023, item No. 26).

23. ORDINANCE NO. 6558 (ADOPTION) AN ORDINANCE OF THE CITY COUNCIL OF ANAHEIM CALIFORNIA, adding Chapter 6.101 (Hotel Worker Protections) to Title 6 of the Anaheim Municipal Code to provide safety and security measures for hotel workers in Anaheim (introduced at the City Council Meeting of June 13, 2023; Item No. 28).

City Council Minutes of June 27, 2023

24. Approve minutes of the City Council meeting of March 28, 2023.

BUSINESS CALENDAR:

7. Approve the Anaheim Tourism Improvement District Fiscal Year 2021/2022 Annual Reports for Marketing and Transportation Component Funds.

Director of Public Works Rudy Emami noted a tax is applied to guests in the Resort area, 75% of which is distributed to the marketing component of the Anaheim Tourism Improvement District (ATID) contracted through Visit Anaheim. The other 25% is for transportation improvements within the Resort. He noted it functions as a pass-through between Visit Anaheim and the Transportation Committee.

DISCUSSION: Council Member Leon clarified businesses focused on the Resort area such as Visit Anaheim are not funded by the General Fund. Mr. Emami added the tax is added to the visitor's hotel stay and allocated accordingly. He described the structure of a Board comprised of a member from Visit Anaheim, a member from The Walt Disney Company as the City’s largest contributor, and a staff member from the City.

In response to Council Member Leon, Director Emami explained if the City brings forward a project the City would serve as the leading agency and those projects would be awarded by the City Council.

For example, street widening projects in the Resort area. Other sources include operations for the Anaheim Transportation Network.

MOTION: Council Member Leon moved to approve the Anaheim Tourism Improvement District Fiscal Year 2021/2022 Annual Reports for Marketing and Transportation Component Funds, seconded by Council Member Faessel. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, Faessel, and Meeks); NOES – 0. Motion carried.

14. Waive the bidding requirement of Council Policy 4.0 and approve the Second Amendment to Agreement, in substantial form, with American Guard Services, Inc., to extend the contract term by one year and increase the compensation by an amount not to exceed $1,200,000 for the period of July 1, 2023 to June 30, 2024 for school crossing guard services; and authorize de minimis changes to the Amendment that do not substantially change the terms and conditions as determined by the City Attorney’s Office.

DISCUSSION: In response to Council Member Kurtz, Police Captain Trapp confirmed for the 2022/23 school year, 39 schools in seven (7) separate school districts and 63 intersections were assisted. He added the intersections are selected by Traffic Engineering to determine safety. Captain Trapp mentioned if a school principal contacted the City with safety concerns, staff members from the Police Department including motorcycle officers and civilian staff would assist.

MOTION: Council Member Kurtz moved to waive the bidding requirement of Council Policy 4.0 and approve the Second Amendment to Agreement, in substantial form, with American Guard Services, Inc., to extend the contract term by one year and increase the compensation by an amount not to exceed $1,200,000 for the period of July 1, 2023 to June 30, 2024 for school crossing guard services; and authorize de minimis changes to the Amendment that do not substantially change the terms and conditions as determined by the City Attorney’s Office, seconded by Council Member Meeks. ROLL City Council Minutes of June 27, 2023

CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, Faessel, and Meeks); NOES – 0. Motion carried.

Discussion for Item Nos. 16 and 17 were conducted together.

16. Approve the Third Amendment to Agreement Regarding Homeless Shelter with The Salvation Army for the continuation of (224-bed) shelter services, and update the shelter’s address of record to 1455 S. Salvation Place (previously 1340 S. Lewis Street); extend the term of the agreement for one additional year to expire on June 30, 2024; approve an additional funding reimbursement amount up to $6,768,000; and authorize the City Manager, or designee, to execute the amendment and subsequent amendments or documents necessary for the continuation or administration of shelter services at 1455 S. Salvation Place, provided they are approved by the City Attorney and do not increase the total maximum reimbursement amount payable to The Salvation Army.

17. Approve the First Amendment to Agreement with The Salvation Army for the for the continuation of (101-bed expansion) emergency shelter services and approve an additional funding reimbursement amount of $632,000 for a total agreement amount of $4,158,000; update the shelter’s address of record to 1455 S. Salvation Place (previously 1340 S. Lewis Street); and authorize the City Manager, or designee to execute the amendment and subsequent amendments or documents necessary for the continuation or administration of shelter services at 1455 S. Salvation Place, provided they are approved by the City Attorney and do not increase the total compensation amount payable to The Salvation Army.

DISCUSSION: Council Member Leon clarified both items are for reimbursements to The Salvation Army for their services.

In response to Council Member Leon, Director Stepter clarified The Salvation Army permitted the construction of a homeless shelter on their site. The City established contractual relationships to reimburse The Salvation Army for construction and ongoing services. She added funds from the State and Federal governments are scarce, however, when funds are available the Department will supplant the General Fund.

MOTION: Council Member Leon moved to approve Item No. 16, the Third Amendment to Agreement Regarding Homeless Shelter with The Salvation Army for the continuation of (224-bed) shelter services, and update the shelter’s address of record to 1455 S. Salvation Place (previously 1340 S.

Lewis Street); extend the term of the agreement for one additional year to expire on June 30, 2024; approve an additional funding reimbursement amount up to $6,768,000; and authorize the City Manager, or designee, to execute the amendment and subsequent amendments or documents necessary for the continuation or administration of shelter services at 1455 S. Salvation Place, provided they are approved by the City Attorney and do not increase the total maximum reimbursement amount payable to The Salvation Army, seconded by Council Member Faessel.

ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, Faessel, and Meeks); NOES – 0. Motion carried.

MOTION: Council Member Leon moved to approve Item No. 17, the First Amendment to Agreement with The Salvation Army for the for the continuation of (101-bed expansion) emergency shelter services and approve an additional funding reimbursement amount of $706,000 for a total agreement City Council Minutes of June 27, 2023

amount of $4,158,000; update the shelter’s address of record to 1455 S. Salvation Place (previously 1340 S. Lewis Street); and authorize the City Manager, or designee to execute the amendment and subsequent amendments or documents necessary for the continuation or administration of shelter services at 1455 S. Salvation Place, provided they are approved by the City Attorney and do not increase the total compensation amount payable to The Salvation Army, with a correction to reflect a reflect a reimbursement amount of $706,000, not $632,000 as identified on the agenda, seconded by Council Member Faessel. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, Faessel, and Meeks); NOES – 0. Motion carried.

18. Approve an agreement with Be Well OC, in an amount not to exceed $1,300,000, for mobile mental health crisis response services for one year, and authorize the City Manager, or designee, to execute and administer the agreement under its terms and conditions.

DISCUSSION: In response to Council Member Meeks, Senior Administrative Analyst Lylyana Bogdonavich provided background information related to the Be Well OC contract. She added under Be Well OC, a mobile response team named Hope Anaheim was a team established using COVID funds for the diversion of calls for service for nonviolent mental health calls. During the initial pilot program, more than 2,200 calls for service were diverted to Hope Anaheim. Ms. Bogdonavich added as the program evolves, new measurables that will be considered including enhancements with a Data Analyst. Measurables that will be tracked include outcomes for hospitalizations, treatments, emergency room transportation, and residential care. She noted Be Well OC provides services to housed and unhoused individuals. She highlighted moving forward there will be clearer data regarding outcomes for individuals who made contact with Be Well OC to identify gaps in service and potential enhancements.

Director of Housing and Community Development Grace Ruiz-Stepter added Be Well OC works in conjunction with the ACCESS pilot program to divert individuals with mental health needs from incarceration. She mentioned additional providers such as CCRT have been notified to work collaboratively to address homeless concerns.

In response to Council Member Meeks, Ms. Bogdnoavich noted Be Well OC is integral in case management. She provided an example concerning a housed individual with a mental health crisis who would receive assistance from Be Well OC, if the individual is unhoused, Be Well OC would collaborate with CCRT for services. She added Year 2 of the pilot program would continue the 12- hour, seven-day-a-week model with the ability to extend the operations to 16 hours a day. Be Well OC secured a $3 million donation to work directly with the City to enhance the program. Ms.

Bogdonavich explained the donation will work toward expanding the collaboration with the ACCESS program to include curriculum at the Family Justice Center and additional partnerships with Be Well OC.

Council Member Faessel provided an example of a situation he encountered a few years ago with an individual requiring mental health services. He noted at the time the City did not have an established program to assist individuals requiring mental health services. He expressed support for the program and the additional funding for the contract. He highlighted the program’s ability to collaborate with programs such as CCRT to expand services to the community. He encouraged his Council colleagues to support the item. He highlighted Be Well OC’s expanding services to other cities including the City of Irvine.

In response to Mayor Pro Tem Rubalcava, Ms. Bogdanovich noted Be Well OC works collaboratively with CCRT and the Housing and Community Development Department to activate services. She City Council Minutes of June 27, 2023

noted Be Well OC received a map tracking calls for service and will proactively explore areas for individuals in need. She highlighted if they are not responding to calls they are conducting outreach in the community. Expansion of the contract will include additional case management services and collaboration with the Police Department and the PERT team.

Mayor Pro Tem Rubalcava provided a recommendation from the Ad-Hoc Committee to follow the individual's journey until they receive the services they require.

Director Ruiz-Stepter noted Year 2 projections will include tracking from the ACCESS pilot program and Be Well OC will be utilizing the Homeless Management Information System to track progress for individuals.

Mayor Pro Tem Rubalcava requested additional clarity on the needs of individuals.

City Manager Vanderpool added the Budget Public Hearing includes a supplemental to double resources dedicated to homeless outreach.

Mayor Pro Tem Rubalcava appreciated the request for additional funding and reiterated her request to track results.

City Manager Vanderpool noted a memo can be distributed to the City Council with current data from City Net and CCRT.

In response to Mayor Aitken, Ms. Bogdonavich stated cost savings information for Police time and labor can be provided at a later date.

MOTION: Council Member Meeks moved to approve an agreement with Be Well OC, in an amount not to exceed $1,300,000, for mobile mental health crisis response services for one year, and authorize the City Manager, or designee, to execute and administer the agreement under its terms and conditions, seconded by Council Member Faessel. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, Faessel, and Meeks); NOES – 0. Motion carried.

19. Approve a Notice of Intent with the County of Orange, in an estimated cost of $4,845,736, for animal care and shelter services for the period of July 1, 2023 through June 30, 2024 (continued from the City Council meeting of June 13, 2023, Item No. 16).

DISCUSSION: Council Member Kurtz requested the list of services provided by the County be distributed to residents and posted on the City’s website.

Community Preservation and Licensing Manager Brittney Malenofski introduced Dylan Wright and Monica Schmidt from OC Animal Care Services. Ms. Malenofski confirmed the list can be posted on the City’s website and is currently posted on the County’s website.

In response to Council Member Kurtz, Ms. Malenofski confirmed residents can contact Code Enforcement for animal care concerns. Code Enforcement will coordinate with the County to address concerns or delays.

Council Member Kurtz reiterated her request to publish the information on the City’s website.

City Council Minutes of June 27, 2023

MOTION: Council Member Kurtz moved to approve a Notice of Intent with the County of Orange, in an estimated cost of $4,845,736, for animal care and shelter services for the period of July 1, 2023 through June 30, 2024, seconded by Council Member Meeks. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, Faessel, and Meeks); NOES – 0. Motion carried.

25. RESOLUTION NO. 2023-044 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, calling and giving notice of the holding of a special municipal election to be held on Tuesday, October 3, 2023 and ordering the submission to the qualified electors of the City of Anaheim an initiative measure increasing the minimum wage payable to hotel and event center workers in Anaheim to twenty-five dollars per hour with a minimum annual cost of living increase of three percent beginning on January 1, 2026, requiring temporary retention of such workers during a change of ownership/control, and providing for workload regulations and safety measures for hotel workers; requesting that the Orange County Board of Supervisors direct the Orange County Registrar of Voters to render services to the City relating to the conduct of a special municipal election; establishing the deadlines for the filing of arguments and rebuttal arguments; and directing the City Attorney to prepare an impartial analysis.

Decide whether to submit an argument against the ordinance proposed by the initiative measure as provided in California Elections Code 9282, and if submitting an argument against the ordinance, designate the author of the argument.

City Clerk Theresa Bass reported the resolution for City Council consideration is to call and give notice to hold a special municipal election on October 3, 2023 for the Hotel and Event Center Minimum Wage, Worker Retention, and Hotel Worker Safety and Workload Initiative. She added consideration of the item includes rendering election services to the Orange County Registrar of Voters, establishing deadlines for rebuttals and arguments in favor and against the ordinance, and directing the City Attorney to prepare an impartial analysis. She noted at the June 13th Council meeting, the City Council voted to submit the initiative measure without alteration to voters via a special election to be held on September 12th. City Clerk Bass reported the Registrar of Voters expressed challenges with the September 12th regarding federally-mandated elections code requirements and printing deadlines for the voter information guide. City Clerk Bass noted the special election date for Council consideration is Tuesday, October 3, 2023. Pursuant to Elections Code Section 9282(a), proponents of the initiative measure may file a written argument in favor and the City Council may file a written argument against the ordinance. She added in consultation with the City Attorney’s Office, the City Council may designate three or fewer of its members to author the argument against the ordinance.

DISCUSSION: Council Member Meeks requested additional information related to the proposed special election date and compliance with the Elections Code.

City Attorney Fabela confirmed the proposed date is compliant with the Elections Code. Pursuant to the Elections Code, the special election must take place between 80 to 103 days from the date the election is called. He clarified in consultation with outside Counsel the action presented is standard practice.

Council Member Meeks requested the ballot language include additional clarification that the hourly wage becomes effective immediately and with a 3% annual increase commencing in 2026.

City Council Minutes of June 27, 2023

City Attorney Fabela confirmed the ballot title can be revised as long as it does not exceed 75 words.

Council Member Meeks recommended the title read: Shall an ordinance be adopted to immediately increase the hourly minimum wage payable to hotel and event center workers to $25 and with a 3% minimum annual increase beginning in 2026, to afford temporary retention rights to such workers, and to require safety measures and workload restrictions for hotel workers? City Attorney Fabela noted if the measure is approved by the voters it would become effective ten days following approval as declared. He advised the language proposed by Council Member Meeks is compliant with the terms of the ordinance unless there is other language proposed that may be more reflective of the ordinance.

Council Member Meeks commented on the submittal of arguments in favor or against and mentioned a committee formed against the ballot initiative. She volunteered to work with the committee to submit an argument opposed to the issue.

City Attorney Fabela explained authors of the arguments against the initiative are limited to members of the City Council. He added outside counsel advised that the authors for the arguments in should be exclusive to members of the City Council.

Mayor Aitken requested additional clarification on the authors for the opposition.

City Attorney Fabela elaborated the argument can be drafted by an individual member of the City Council or no more than three (3) members. He added the alternative would be to present the argument at a City Council meeting for discussion. He noted the alternative would not be feasible due to the deadline for the argument in opposition falling on July 11th, the same date as the next scheduled City Council meeting. He suggested a special meeting can be held to discuss, however, he reiterated staff’s recommendation to appoint an Ad-Hoc Committee to compose an argument in opposition to the measure.

In response to Mayor Aitken, City Attorney Fabela reported the proponents have not initiated or suggested future litigation over the election date. He noted outside counsel has communicated with the proponents and staff supports the proposed date selected.

Council Member Faessel expressed concern over the legality of the proposed special election date.

He requested clarification on whether the timeline begins on the date the City Council received the fiscal impact report or the date the Council is taking action to set the election.

City Attorney Fabela clarified on June 13th, the City Council directed staff to target a special election date in September. He noted the City Council did not order the special election for September and as stated in the June 13th staff report, staff would return with a resolution placing a measure to a vote on a specific date. He clarified the City Council adopts a resolution ordering a special election at a subsequent meeting. He emphasized the Registrar of Voters notified the City that the September date was a challenge and instead proposed one of two October dates. The resolution permitting the proposed October date is permitted by Elections Code Sections 9212 Subsection (b) and (c) and 1405 Subsection (b).

Council Member Faessel confirmed the timeline for the election date would begin on the date the Council takes action.

City Council Minutes of June 27, 2023

In response to Mayor Pro Tem Rubalcava, City Clerk Bass noted the special election would follow the standard election processes. The voter information guide would be mailed to voters with the initiative title, full text of the ordinance, and the arguments for or against the measure. She confirmed the number of vote centers, hours of operation, and days of operation would mirror the timelines for general municipal elections. Vote centers would remain open for early voting, ten days prior to the election date, and on the election date. Ballot boxes would remain open thirty days prior to the election date.

In response to Mayor Pro Tem Rubalcava, City Attorney Fabela explained the City can provide neutral information to the public similar to Measure J, however, cautioned against the use of the word campaign and recommended the information be provided in a way that would not suggest an influence of the outcome or expenditures in an unusual way.

Mayor Pro Tem Rubalcava confirmed the requirements and timelines for calling and ordering the elections. City Attorney Fabela added the City Council submitted the measure to the voters on June 13th and the action presented before the Council is to call and order the special election.

MOTION: Council Member Diaz moved to approve RESOLUTION NO. 2023-044 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, calling and giving notice of the holding of a special municipal election to be held on Tuesday, October 3, 2023 and ordering the submission to the qualified electors of the City of Anaheim an initiative measure increasing the minimum wage payable to hotel and event center workers in Anaheim to twenty-five dollars per hour with a minimum annual cost of living increase of three percent beginning on January 1, 2026, requiring temporary retention of such workers during a change of ownership/control, and providing for workload regulations and safety measures for hotel workers; requesting that the Orange County Board of Supervisors direct the Orange County Registrar of Voters to render services to the City relating to the conduct of a special municipal election; establishing the deadlines for the filing of arguments and rebuttal arguments; and directing the City Attorney to prepare an impartial analysis and create an Ad-Hoc Committee consisting of Mayor Pro Tem Rubalcava, Council Member Meeks, and Council Member Diaz to submit an argument against the measure, seconded by Council Member Meeks.

DISCUSSION: Mayor Aitken clarified if the actions should be voted on separately. City Attorney Fabela recommended the vote be held separately.

Council Member Diaz moved to approve the resolution calling the special election.

City Clerk Bass requested direction regarding Council Member Meeks’s recommendation to include the word immediately or within ten days in the ballot title. Both options were provided to the City Council for review and consideration:

Option 1, the proposed title including the word “immediately”:

HOTEL AND EVENT CENTER MINIMUM WAGE, WORKER RETENTION, AND HOTEL WORKER SAFETY AND WORKLOAD INITIATIVE ORDINANCE - Shall an ordinance be adopted to immediately increase the hourly minimum wage payable to hotel and event center workers to $25 and a 3% minimum annual increase beginning in 2026, to afford temporary retention rights to such workers, and to require safety measures and workload restrictions for hotel workers? City Council Minutes of June 27, 2023

Option 2, the proposed title including the words “ten days”:

HOTEL AND EVENT CENTER MINIMUM WAGE, WORKER RETENTION, AND HOTEL WORKER SAFETY AND WORKLOAD INITIATIVE ORDINANCE - Shall an ordinance be adopted to increase the hourly minimum wage payable to hotel and event center workers to $25 within ten days after voter approval is declared with a 3% minimum annual increase beginning in 2026, to afford temporary retention rights to such workers, and to require safety measures and workload restrictions for hotel workers?
Council Member Faessel supported the ballot language with the ten-day language to be consistent with the language included in the ordinance.

City Attorney Fabela reread the proposed language to restructure the placement of the added language:

HOTEL AND EVENT CENTER MINIMUM WAGE, WORKER RETENTION, AND HOTEL WORKER SAFETY AND WORKLOAD INITIATIVE ORDINANCE - Shall an ordinance be adopted to increase, within ten days after voter approval is declared, the hourly minimum wage payable to hotel and event center workers to $25, and with a 3% minimum annual increase beginning in 2026, to afford temporary retention rights to such workers, and to require safety measures and workload restrictions for hotel workers?
MOTION: Council Member Diaz moved to approve RESOLUTION NO. 2023-044 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, calling and giving notice of the holding of a special municipal election to be held on Tuesday, October 3, 2023 and ordering the submission to the qualified electors of the City of Anaheim an initiative measure increasing the minimum wage payable to hotel and event center workers in Anaheim to twenty-five dollars per hour with a minimum annual cost of living increase of three percent beginning on January 1, 2026, requiring temporary retention of such workers during a change of ownership/control, and providing for workload regulations and safety measures for hotel workers; requesting that the Orange County Board of Supervisors direct the Orange County Registrar of Voters to render services to the City relating to the conduct of a special municipal election; establishing the deadlines for the filing of arguments and rebuttal arguments; and directing the City Attorney to prepare an impartial analysis including approval of the ballot language to read: “HOTEL AND EVENT CENTER MINIMUM WAGE,

WORKER RETENTION, AND HOTEL WORKER SAFETY AND WORKLOAD INITIATIVE ORDINANCE - Shall an ordinance be adopted to increase, within ten days after voter approval is declared, the hourly minimum wage payable to hotel and event center workers to $25, and with a 3% minimum annual increase beginning in 2026, to afford temporary retention rights to such workers, and to require safety measures and workload restrictions for hotel workers?”, seconded by Council Member Meeks.

DISCUSSION: Council Member Faessel reconfirmed the language of the ballot language. City Clerk Bass confirmed the language proposed by City Attorney Fabela will be forwarded to the Orange County Registrar of Voters.

MOTION: Council Member Diaz moved to approve RESOLUTION NO. 2023-044 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, calling and giving notice of the holding of a special municipal election to be held on Tuesday, October 3, 2023 and ordering the submission to the qualified electors of the City of Anaheim an initiative measure increasing the minimum wage payable to hotel and event center workers in Anaheim to twenty-five dollars per hour with a minimum annual cost of living increase of three percent beginning on January City Council Minutes of June 27, 2023

1, 2026, requiring temporary retention of such workers during a change of ownership/control, and providing for workload regulations and safety measures for hotel workers; requesting that the Orange County Board of Supervisors direct the Orange County Registrar of Voters to render services to the City relating to the conduct of a special municipal election; establishing the deadlines for the filing of arguments and rebuttal arguments; and directing the City Attorney to prepare an impartial analysis including approval of the ballot language: “HOTEL AND EVENT CENTER MINIMUM WAGE,

WORKER RETENTION, AND HOTEL WORKER SAFETY AND WORKLOAD INITIATIVE ORDINANCE - Shall an ordinance be adopted to increase, within ten days after voter approval is declared, the hourly minimum wage payable to hotel and event center workers to $25, and with a 3% minimum annual increase beginning in 2026, to afford temporary retention rights to such workers, and to require safety measures and workload restrictions for hotel workers?”, seconded by Council Member Meeks. ROLL CALL VOTE: AYES – 6 (Mayor Aitken and Council Members Rubalcava, Diaz, Kurtz, Faessel, and Meeks); NOES – 1 (Council Member Leon). Motion carried.

Upon approval of the resolution calling and giving notice of a special municipal election, the City Council considered action to submit an argument against the ordinance proposed by the initiative measure as provided in California Elections Code 9282, and if submitting an argument against the ordinance, designate the author of the argument.

DISCUSSION: Council Member Diaz explained his designations for the Ad-Hoc Committee noting it does not pertain to political party.

MOTION: Council Member Diaz moved to approve the submission of an argument against the ordinance proposed by the initiative measure as provided in California Elections Code 9282 and designating Mayor Pro Tem Rubalcava, Council Member Meeks, and Council Member Diaz as authors to submit the argument against the ordinance proposed by the initiative, seconded by Council Member Meeks.

DISCUSSION: Council Member Leon requested clarification on how the author's names would appear on the ballot.

City Clerk Bass explained the authors would be listed as Anaheim City Council and proceed to list the three names of the authors.

Council Member Leon explained he voted no on the previous action for consistency purposes. He explained the importance of providing factual information to residents to ensure trust within the community.

Mayor Aitken expressed reservations about the City Council submitting an argument in opposition to the initiative. She noted she would not support submitting an argument against the proposed initiative.

City Clerk Bass confirmed the Ad-Hoc Committee would consist of Mayor Pro Tem Rubalcava, Council Member Meeks, and Council Member Diaz.

MOTION: Council Member Diaz moved to approve the submission of an argument against the ordinance proposed by the initiative measure as provided in California Elections Code 9282 and designating Mayor Pro Tem Rubalcava, Council Member Meeks, and Council Member Diaz as authors to submit the argument against the ordinance, seconded by Council Member Meeks. ROLL CALL VOTE: AYES – 5 (Mayor Pro Tem Rubalcava and Council Members Diaz, Kurtz, Faessel, and Meeks); NOES – 2 (Mayor Aitken and Council Member Leon). Motion carried.

City Council Minutes of June 27, 2023

26. Receive an update from the City’s Housing Affordability Ad Hoc Committee and as deemed appropriate, provide direction to City staff.

Director of Housing and Community Development Grace Ruiz-Stepter noted on behalf of the Ad-Hoc Committee consisting of Mayor Aitken, Mayor Pro Tem Rubalcava, and Council Member Faessel provided an update on the Ad-Hoc Committee’s background. She noted the Committee formed in 2019 and again in 2021 to continue dialogue and discussion of affordable housing production tools. In 2021, the Housing Ad Hoc Committee formulated a draft Housing Strategy for the City’s draft Housing Element proposing an “Affordable Housing Development Fee” to apply to certain housing projects that require a City-initiated General Plan Amendment and Zone Change. She noted that during the planning period of the fifth cycle, the City issued permits for housing development that exceeded its total Regional Housing Need Allocation but struggled in the area of the production of housing. The Housing Strategy included a statement the City will establish an Affordable Housing Development Fee to support an Affordable Housing Trust Fund and Production Program, described below in Housing Production Strategy 1A(ii) Affordable Housing Trust Fund and Production Program. In December 2022, a new Ad-Hoc Committee was established consisting of Mayor Aitken, Mayor Pro Tem Rubalcava, and Council Member Faessel to continue the work of the previous Council and committees regarding affordable housing production, review the draft Affordable Housing Development Fee Study, and consider other tools the City can utilize to facilitate affordable housing development. She detailed the Committee’s March 9th meeting including discussions on current Council policy for affordable housing production programs, Regional Housing Needs Assessment (RHNA) housing production goals for the 6th Housing Element Cycle, and the Housing Strategy 1A(1):

Affordable Housing Development Fee. At the May 10th meeting, staff provided information on neighboring cities' and State housing programs, guest speaker Kathe Head from Keyser Marston’s overview of housing policies adopted throughout the State, and the Committee’s desire to evaluate options including an Affordable Housing Development Fee and Inclusionary Housing Program.

DISCUSSION: Council Member Faessel noted he was a member of the prior Ad-Hoc Committee and stressed the importance of continuing research. He noted the Committee recommended staff contact a consultant to conduct a study to evaluate communities that have added additional affordable housing, success of current programs, and contributions by the building community. He clarified the Ad-Hoc Committee is not providing a recommendation to the City Council. He addressed the work conducted by Keyser Marston and reiterated the importance of additional research that can be presented to the City Council.

Mayor Aitken agreed with Council Member Faessel’s comments and explained Keyser Marston was selected to conduct the study due to their history with the City.

Mayor Pro Tem Rubalcava highlighted the City’s leadership in affordable housing and development in the County. She expressed concerns with the consultant due to inclusionary housing being the only proposed solution in previous reports. She recommended a comprehensive overview of affordable housing solutions such as a multi-prong first-time homebuyer program and initiating a competitive bid to hire a consultant.

Director Stepter referenced previous testimony from Keyser Marston and their position on inclusionary housing as a solution. They indicated inclusionary housing is one of multiple solutions for affordable housing. She referenced their experience conducting studies throughout the State. She noted the Council is presented with the affordable housing strategy in the Housing Element. She clarified Keyser Marston was invited to inform the Committee about other cities' programs and fact- finding. Director Stepter noted the item presented before Council is the affordable housing strategy in City Council Minutes of June 27, 2023

the Housing Element. The proposed strategy is a fee that would be initiated through a study. She clarified the fee proposed in the Housing Element is not inclusionary.

Director of Planning and Building Ted White added the policy included in the draft Housing Element proposes an Affordable Housing Development Fee. It does not establish an amount but is subject to consideration by the Council. He explained the policy outlines the policy which projects may be applicable to the fee.

Mayor Pro Tem Rubalcava recommended the study include how an inclusionary fee has been applied in other cities.

Mayor Aitken added the consultant provided the information at the Committee’s meeting on May 10th.

She expressed concern regarding delaying the process.

Mayor Pro Tem Rubalcava expressed concerns about rushing the study. She proposed directing staff to return with consultant options.

Council Member Meeks congratulated staff on current affordable housing assistance. She expressed her expectations for a consultant conducting a study and the factors they would need to consider that make the City unique. She echoed Mayor Pro Tem Rubalcava’s interest for staff to return with more options at a potential workshop.

Council Member Kurtz concurred with Council Member Meeks and expressed hesitation with comparing other cities to Anaheim. She expressed interest in obtaining data and ingenuity for solutions. She provided examples including establishing a housing trust. She expressed interest in Council Member Meeks’ idea to conduct a Workshop.

Director Stepter expressed excitement over the Affordable Housing Trust fund. She attributed the Department’s success due to the land left over from the former Redevelopment Agency.

Council Member Kurtz acknowledged the property and funds used for affordable housing, however, expressed concerns about rushing into anything.

Council Member Diaz noted his membership on the previous Ad-Hoc Committee that adopted the Affordable Housing Development Fee. He explained the purpose of the fee was to have staff establish the appropriate fee for developers. He discussed inclusionary housing and noted no agency that has adopted inclusionary housing has solved the housing crisis. He stated the solution begins with reducing regulations Statewide. He added a solution could be to revitalize the Redevelopment Agency at the state level which produced substantial affordable housing units. He recommended considering CEQA regulations as well.

In response to Council Member Leon, Director Stepter confirmed the action would include direction to conduct a study on affordable housing that could be implemented in the City.

Mayor Aitken added the intention for the Committee would be to contract with a consultant to direct staff to address all options for housing solutions and return to the City Council to evaluate the Committee’s recommendation after the study.

Council Member Leon expressed support for discussing affordable housing options to ensure proactivity in the future and initiating the study.

City Council Minutes of June 27, 2023

In response to Mayor Aitken, Director Stepter confirmed staff can broaden the search for consultants.

Director White clarified if the action would be returning to the Ad-Hoc Committee. Mayor Aitken noted the process does not need to be set through an RFP process. She confirmed approval of an amount that would allow exploration for future options.

Mayor Pro Tem Rubalcava clarified the discussion item was to contract with a specific consultant.

She explained her request to present a scope to the City Council for review to begin the RFP process.

Council Member Leon thanked Mayor Pro Tem Rubalcava for clarifying. He cited a need for proactivity and expressed support for the item.

Council Member Meeks reiterated the request to broaden the scope of work and search for additional consultant options.

Council Member Faessel concurred with his Council colleagues, however, he insisted that the report generated by the consultant be reviewed by the Ad-Hoc Committee first.

Mayor Aitken agreed with directing staff to develop a scope of work and expressed hesitations with the Committee overstepping staff’s work.

Mayor Pro Tem Rubalcava requested concessions involved by incorporating inclusionary housing including parking compromises, in the scope of work.

Director Stepter mentioned the density bonus program impacts parking. Mayor Pro Tem Rubalcava requested the study include the effects of density bonus programs.

In response to Mayor Aitken and Mayor Pro Tem Rubalcava, Director White clarified there are minimum requirements for density bonus programs are state law. He added if inclusionary housing was mandated affordable housing would be included in developments. A cost-benefit of inclusionary housing would be that developments would be subject to the density bonus. He clarified the Council’s intent is to receive an overview of policy options available to the City Council to create additional affordable housing in the City (not limited to inclusionary).

Mayor Pro Tem Rubalcava confirmed the Council’s direction is to receive an overview of policy options to create additional affordable housing not limited to inclusionary.

City Manager Vanderpool confirmed the Council’s request and confirmed staff would select a consultant for the study.

Mayor Aitken clarified the direction provided to staff will be the scope of work and select the most qualified consultant.

In response to Council Member Meeks, Director White noted the contract may not exceed $50,000, which will not require the contract to return to Council.

Council Member Meeks confirmed direction includes presenting the report to the Ad-Hoc Committee for preliminary review and presenting the report to the City Council at a public workshop.

City Council Minutes of June 27, 2023

City Manager Vanderpool noted upon consultation with the City Attorney the item is not agendized for Council direction. He requested confirmation by the Council to work off the input provided by the City Council.

Informational item; Direction provided to staff to prepare a scope of work, select the most qualified consultant to conduct a study to be presented to the Ad-Hoc Committee for preliminary review, and present to the City Council at a future public workshop.

27. Consider (re)appointments to fill a scheduled vacancy, term ending June 30, 2027, and an unscheduled vacancy, term ending June 30, 2025, on the Library Board.

DISCUSSION: In response to Mayor Pro Tem Rubalcava, City Clerk Bass read the list of the individuals who applied: Steven Franklin (District 3), Shelby Hogan (incumbent, District 3), Elia Renteria (District 3), Sandra Song (District 6), and Jackie Filbeck.

NOMINATION: Mayor Pro Tem Rubalcava nominated Jackie Filbeck.

DISCUSSION: Mayor Aitken requested clarification on the two vacancies.

City Clerk Theresa Bass confirmed the first appointment is for the scheduled vacancy for the term ending June 30, 2027 and the second is the unscheduled vacancy for the term ending June 30, 2025.

APPOINTMENT: Jackie Filbeck (term ending June 30, 2025) (unscheduled vacancy, David Laviguer)
NOMINATION: Mayor Pro Tem Rubalcava nominated Jackie Filbeck to fill the unscheduled vacancy on the Library Board for a term ending June 30, 2025, seconded by Council Member Faessel. ROLL CALL VOTE: 6-0-1. AYES – 6 (Mayor Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, and Faessel); NOES – 0; ABSTAIN – 1 (Council Member Meeks). Nomination approved.

DISCUSSION: In response to Council Member Leon, City Clerk Bass and Council Member Faessel clarified the Library Board is a Charter Commission with an established membership of five (5) individuals. City Clerk Bass noted a Charter Amendment would need to be presented to the voters at an election.

Mayor Pro Tem Rubalcava clarified the position is at-large.

NOMINATION: Mayor Aitken nominated Shelby Hogan, seconded by Council Member Faessel.

NOMINATION: Council Member Meeks nominated Elia Renteria, seconded by Council Member Diaz.

DISCUSSION: In response to Council Member Kurtz, City Clerk Bass reported the terms for Library Board members are four year terms and members can serve two consecutive terms.

NOMINATION: Mayor Aitken nominated Shelby Hogan, seconded by Council Member Faessel.

ROLL CALL VOTE: 4-0-3. AYES – 4 (Mayor Aitken and Council Members Leon, Kurtz, and Faessel); NOES – 0; ABSTAIN – 3 (Mayor Pro Tem Rubalcava and Council Members Diaz and Meeks).

Nomination not approved.

City Council Minutes of June 27, 2023

NOMINATION: Council Member Meeks nominated Elia Renteria, seconded by Council Member Diaz.

ROLL CALL VOTE: 5-0-2. AYES – 5 (Mayor Pro Tem Rubalcava and Council Members Diaz, Leon, Kurtz, and Meeks); NOES – 0; ABSTAIN – 2 (Mayor Aitken and Council Member Faessel).

Nomination approved.
[RE]APPOINTMENT : Elia Renteria (term ending June 30, 2027) (incumbent, Shelby Hogan)
City Clerk Bass confirmed the appointed members and their terms.

PUBLIC HEARINGS:

28. Public hearing on the Fiscal Year 2023/24 budget and budget appropriations limits for the City and its Community Facilities Districts, and changes in various fee schedules.

A. RESOLUTION NO. 2023-045 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the Fiscal Year 2023/24 Budget.

Approved, as amended including three firefighter positions, adding $100,000 to the Community Services budget for Paul Revere Park, approving supplemental requests (ongoing service enhancements), and implementing a two-year cycle for the storage facility project (relocation this year and tenant improvements next year) reducing the Public Works Department budget by $1 million.

B. RESOLUTION NO. 2023-046 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the annual appropriations limit for the Fiscal Year 2023/24.

RESOLUTION NO. 2023-047 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the Community Facilities District No. 06-2 (Stadium Lofts) annual appropriations limit for the Fiscal Year 2023/24.

RESOLUTION NO. 2023-048 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the Community Facilities District No. 08-1 (Platinum Triangle) annual appropriations limit for the Fiscal Year 2023/24.

C. RESOLUTION NO. 2023-049 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing fees to be charged for Community Services Department programs and services [includes determination that the adoption of the fee schedule is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code].

D. RESOLUTION NO. 2023-050 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the green fees to be charged at the Dad Miller Golf Course and the Anaheim Hills Golf Course [includes determination that the adoption of this fee schedule is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080 (b)(8) of the Public Resources Code and Section 15273 California Code of Regulations].

E. RESOLUTION NO. 2023-051 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the schedule of rates, fees and charges for rental of space, parking and for certain labor, equipment and services at the Anaheim City Council Minutes of June 27, 2023

Convention Center effective July 1, 2023 [includes determination that the adoption of the schedule of rates is exempt from the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code and Section 15273 of the California Code of Regulations].

F. RESOLUTION NO. 2023-052 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing Life Safety Division fees to be charged by the Fire and Rescue Department of the City of Anaheim and rescinding Resolution No. 2019- 066 [includes determination that the adoption of this fee schedule is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code].

RESOLUTION NO. 2023-053 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing paramedic fees in connection with emergency medical services to be charged by the Fire and Rescue Department of the City of Anaheim and rescinding Resolution No. 2019-067 [includes determination that the adoption of this fee schedule is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code].

RESOLUTION NO. 2023-054 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM relating to fees and penalties in connection with implementing the Unified Hazardous Waste and Hazardous Material Management Regulatory Program Act and rescinding Resolution 2019-068 [includes determination that the adoption of this fee schedule is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code and California Code of Regulations Section 15273].

G. RESOLUTION NO. 2023-055 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending and restating fee and rate schedules for planning, zoning, and environmental petitions, applications, permits, approvals, appeals and inspections [includes the determination that amending and restating the planning, zoning and environmental fees and rates is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080 (b)(8) of the California Public Resources Code].

RESOLUTION NO. 2023-056 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a new schedule of fees, charges and rates for building, construction, and National Pollutant Discharge Elimination System (NPDES) permits, services and activities [includes determination that amending the fees, charges and rates is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080 (b)(8) of the California Public Resources Code].

RESOLUTION NO. 2023-057 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending and restating fee and rate schedules for the Community Preservation & Licensing Division of the City of Anaheim [includes determination that amending and restating the planning, zoning and environmental fees and rates is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080 (b)(8) of the California Public Resources Code].

City Council Minutes of June 27, 2023

H. RESOLUTION NO. 2023-058 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting new fee schedules for the Public Works Department of the City of Anaheim.

I. RESOLUTION NO. 2023-059 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a revised schedule of sanitation fees for wastewater and solid waste and rescinding Resolution Number 2022-067 and determining such actions are exempt from the California Environmental Quality Act pursuant to Public Resources Code Section 21080 (b)(8) and guideline Section 15273 (a).

J. RESOLUTION NO. 2023-060 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing the Anaheim Stormwater Credit Program credit price and adding said credit price to the Public Works fee schedule.

City Manager Vanderpool introduced the item and noted the City Budget is consistently the recipient of the Government Finance Officers Association Distinguished Budget Presentation Award. He acknowledged the work of the Finance Department on the $2.1 billion budget and thanked members of the Budget, Investment, and Technology Commission for their dedication to the City. He thanked the members of the public who engaged in the eight community meetings and workshops. He noted public safety is one of the City’s top priorities to focus on the safety of residents, visitors, and businesses. He highlighted the Fire and Rescue Department’s increased budget to include six firefighter positions and cost savings from the Department’s Ambulance Program. He noted the Police Department’s ongoing efforts to ensure safety in the community and current staffing levels. He noted the budget includes eight additional officers and twelve one-time officers. He highlighted the Police Department’s innovative use of technology including the Drone First Responder Program and the Real Time Crime Center. He detailed additional items included in the budget such as the Housing and Community Development Department’s homeless outreach and workforce efforts, the Rebuild Beach Boulevard improvements and expansion to other arterial roadways, and expanding grant programs through the Economic Development Department. He reported additional items such as the Library’s extended operating hours, the Brookhurst Teen Center expansion, Project S.A.Y’s service to Anaheim youth, the Mobile Family Resource Center, expansion of Senior Services, and doubling homeless outreach services. The proposed budget will include improvements to infrastructure such as maintaining and improving sidewalks and Citywide landscaping improvements. He highlighted the Public Utilities Department program, investment in businesses, major developments such as ocV!BE, Disneyland Forward, and adding additional staff to focus on business retention to promote business growth. He concluded the budget recommends important investments and balances resources that protects the City’s General Fund reserves while enhancing services to the community.

Finance Director Moreno noted the proposed Budget includes Citywide Expenditures totaling $2.1 billion. She reported the largest portion of the budget, 39%, belongs to Enterprise funds. She referenced the June 13th workshop and noted the $6 million budget for ongoing service enhancements to maintain adequate reserves, one-time service enhancements, and deplete bond proceeds by FY 2027/28. She detailed the recommended one-time enhancements budget of $16.6 million to include funding for the special election and expansion of services to the community using the current year’s surplus. She noted the recommended budget includes funding for 20 police officers, 6 firefighters, 4 Code Enforcement Officers, and additional staff to support homeless efforts and senior programs. She added the budget includes sidewalk and business storefront improvement programs, upgrades to parks and Citywide landscaping, and a strategic planning effort to identify and prioritize future needs. She displayed a breakdown of the department’s individual budgets and the Proposed General Fund Five-Year Forecast. She noted the General Fund’s operating sources total $564.2 million and the proposed operating uses total $568 million based on existing service levels.

City Council Minutes of June 27, 2023

She reported the City relies on bond proceeds to balance the forecast until year five when the proceeds are exhausted. She noted if revenue projections are consistent, the Lease Payment Measurement Revenues (LPMR) bonds will be paid off around 2028. She added, in accordance with the California State Constitution, the Annual Appropriation Limits for FY 2023/24 for the City and two community facilities districts are presented for approval. Limits are based upon the previous Fiscal Year, adjusted for growth factors in City population and California per capital personal income growth.

Proposed fee changes for FY 2023/24 for enterprise fees to the Convention Center, Golf, and Public Works and General Fund user fee increases for Planning & Building, Public Works, Fire & Rescue, and Community Services. She reported the Convention Center's proposed rates are an effort to develop fair and equitable charges for the facilities. Public Works is proposing a 5% increase to Solid Waste Collection fees, and a 3% rate increase to support wastewater collection and disposal service to customers. The Program provides public and private projects the opportunity to purchase stormwater credits allowing for offsite stormwater treatment, rather than treating stormwater on-site.

The Credit Price is based on the actual cost for the design and construction of the Credit Generator as well as the projected cost for operation and maintenance. The credit price is $32.79/Credit for the Anaheim Bay Watershed and $26.88/Credit for the Santa Ana River Watershed. She added the Dad Miller Golf Course and Anaheim Hills Golf Course propose a fee to offset escalating operational costs by implementing a Dynamic Pricing strategy to replace the fixed senior green fees. She detailed the action items for the FY 2023/24 Budget Adoption, Appropriation Limits, and Fee Changes.

DISCUSSION: In response to Mayor Aitken, Director Moreno confirmed to include the supplemental requests and proposed changes to the Budget they would need to be included with the motion.

Mayor Pro Tem Rubalcava requested additional information on the supplemental requests and her previous budget requests for additional Police Officers and additional personnel for the Fire & Rescue Department.

City Manager Vanderpool a memo was distributed to the City Council to outline the requests mentioned from the previous Budget Workshop.

Mayor Pro Tem Rubalcava recommended the City Council take a brief recess.

Mayor Aitken recessed the meeting at 10:11 p.m. and reconvened at 10:22 p.m.

City Manager Vanderpool outlined the memo distributed to the City Council. He provided information related to the base budget information. He noted current labor contracts currently under negotiation have not been incorporated into the five-year forecast.

Director Moreno added if there was a 1% increase for labor contracts under negotiation the budget would increase by $3.6 million.

City Manager Vanderpool reiterated future labor contract costs were not included in the forecast. He noted structural deficits in the General Fund, however, borrowed bond proceeds allow the City to balance the operating plan across all five years. Due to the strength of the Transient Occupancy Tax (TOT) and the sales tax revenue, the LPMR may be retired as early as 2028. He reported Staff’s recommendation for the bond proceeds is to support limited ongoing enhancements to maintain adequate reserves and one-time service enhancements. He outlined the ongoing service enhancements including six (6) School Resource Officers for the Police Department, 6 Firefighters for the Fire and Rescue Department, a second multi-departmental homeless task force, preservation of Be Well OC services, additional staff for senior programming, and additional street tree maintenance.

He noted the one-time funding opportunities that total $16.6 million. He outlined the risks of the five- City Council Minutes of June 27, 2023

year forecast including recession or slowdown possibilities, the cost of expiring labor contracts, increases to personnel costs from the Class and Compensation study, and homeless shelter operations. He noted the options provided were not part of the recommendation but could be included at the City Council’s direction. He outlined additional Public Safety Enhancements including the restoration of 15 frozen positions in the Police Department over a four-year period beginning in FY 2024/25 and three additional firefighter positions.

DISCUSSION: Council Member Faessel expressed appreciation for reviewing and explaining the supplemental request.

Mayor Pro Tem Rubalcava echoed Council Member Faessel’s comments and thanked staff for including a plan for the Police Department’s supplemental budget. She requested if the three positions discussed could be included in the proposed Fiscal Year. She noted cost savings for the School Resource Officers and the Business Storefront Improvement Program.

City Manager Vanderpool noted he communicated with the Anaheim Firefighters Association (AFA) regarding the potential to include the additional positions, if the Council pursued that direction. He noted that half of the funding for the budgeted storage facility for the Police Department and Public Works can be pushed to the next Fiscal Year. He added funding from the Business Storefront Improvement Program can be used to fund the extra positions requested. He recommended utilizing those programs for cost savings compared to the other programs from the one-time enhancements.

In response to Mayor Aitken, City Manager Vanderpool noted revenues for the Ambulance Program are returned to fund the program. He mentioned cost savings per firefighter for the Ambulance Program are not monitored.

Mayor Pro Tem Rubalcava recommended tracking the cost savings per firefighter for the Ambulance Program.

City Manager Vanderpool recommended listing the additional items to create an amendment to the staff recommendation.

In response to Council Member Faessel, Director Moreno provided examples of potential threats to paying off the LPMR including another pandemic or a general slowdown in the economy. She cited a Chapman University study that predicted a slowdown in the last part of the year.

Council Member Kurtz thanked City Manager Vanderpool for reviewing the budget to consider the additional firefighter positions. She inquired about the improvements for Paul Revere Park being included in the Budget.

Director Moreno noted the Community Services budget can cover the costs for Paul Revere Park.

City Manager Vanderpool recommended $100,000 for the improvements.

Council Member Diaz noted he is not supportive of cutting the budgets for street tree maintenance, the Commercial Storefront Improvement Program, street and sidewalk maintenance, and Citywide landscape maintenance.

Council Member Faessel agreed with Council Member Diaz on supporting the Commercial Storefront Improvement Program.

City Council Minutes of June 27, 2023

Council Member Meeks expressed concerns with utilizing funds for one-time enhancements to fund ongoing labor costs.

Council Member Leon expressed appreciation for the breakdown costs for cameras on Brookhurst Street. He agreed with Council Member Diaz’s comments regarding the Commercial Storefront Improvement Program. He expressed support to increase staffing for the Fire and Rescue Department citing safety to the community. He echoed the comments of Council Member Meeks regarding utilizing one-time enhancement funds to support recurring costs.

Mayor Pro Tem Rubalcava noted historically the City’s economy has sustained itself due to the Resort District. She highlighted overall the County has fared well through recessions. She explained staffing the Ambulance Program well now will ensure the long-term success of the program.

In response to Council Member Faessel, Director Moreno noted the homeless shelters were limited- term. The forecast shows decreased funding for shelter operations, however, Director Moreno did note should shelter operations become permanent the budget would need to be amended.

Council Member Faessel clarified if shelter operations continue additional funding will need to be determined by the City Council.

In response to Council Member Leon, City Manager Vanderpool clarified the motion would include the adoption of the Budget and the supplemental requests and dispersing the funding for the storage facility for the Police Department.

In response to Mayor Pro Tem Rubalcava, City Manager Vanderpool noted the reimbursement for the School Resource Officers is included in the Budget.

MOTION: Mayor Pro Tem Rubalcava moved to approve RESOLUTION NO. 2023-045 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the Fiscal Year 2023/24 Budget, as amended, including three firefighter positions, adding $100,000 to the Community Services budget for Paul Revere Park, approving supplemental requests (ongoing service enhancements), and implementing a two-year cycle for the storage facility project (relocation this year and tenant improvements next year) reducing the Public Works Department budget by $1 million.

DISCUSSION: Council Member Leon requested if funding can be included to expand library hours.

City Manager Vanderpool reported it would cost $300,000 per year to expand library hours at all branches. He noted that funding the operational hours would cost $250,000 excluding programming.

Council Member Leon retracted his request, however, expressed interest in including expanded operating hours in the next fiscal year budget.

Mayor Aitken opened the public hearing.

City Clerk Bass reported the City did not receive any electronically submitted public comments related to Public Hearing Item No. 28 [A final total of one (1) public comment was received electronically, distributed to the City Council, and made part of the official record]. – See Appendix.

Bryan Kaye commented expressing concerns regarding his submitted petition and allegations of police corruption and abuse in the City.

City Council Minutes of June 27, 2023

Marc Herbert commented regarding budget allocations for homeless and affordable housing services and the design/build of Fire Station 12.

Jorge Gavino commented advocating for the recommendations forwarded by the Budget, Investment, and Technology Commission.

Mayor Aitken closed the public hearing.

MOTION: Mayor Pro Tem Rubalcava moved to approve RESOLUTION NO. 2023-045 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the Fiscal Year 2023/24 Budget, as amended, including three firefighter positions, adding $100,000 to the Community Services budget for Paul Revere Park, approving supplemental requests (ongoing service enhancements), and implementing a two-year cycle for the storage facility project (relocation this year and tenant improvements next year) reducing the Public Works Department budget by $1 million, seconded by Mayor Aitken.

DISCUSSION: Director Moreno requested clarification on the dollar amount for the firefighter positions.

Mayor Pro Tem Rubalcava confirmed the amount of $870,000.

City Manager Vanderpool clarified the funds would be relocated from the storage facility project and to implement a two-year cycle for the project.

Council Member Diaz confirmed the storage facility project has not moved into the design phase.

City Manager Vanderpool noted if the project ran according to schedule it would be carried over into the next fiscal year.

MOTION: Mayor Pro Tem Rubalcava moved to approve RESOLUTION NO. 2023-045 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting the Fiscal Year 2023/24 Budget, as amended, including three firefighter positions, adding $100,000 to the Community Services budget for Paul Revere Park, approving supplemental requests (ongoing service enhancements), and implementing a two-year cycle for the storage facility project (relocation this year and tenant improvements next year) reducing the Public Works Department budget by $1 million, seconded by Mayor Aitken. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, Faessel, and Meeks); NOES – 0. Motion carried.

Following approval of the Fiscal Year 2023/24 budget, as amended, the City Council considered budget appropriations limits for the Community Facilities Districts and changes in various fee schedules.

DISCUSSION: Mayor Aitken requested additional information regarding evaluation of the fee schedule and considering benefits for residents. She recommended a program that would benefit Anaheim residents.

Director of Community Service Sjany Larson-Cash clarified fee benefits for residents are in place, however, the Department can explore implementing early registration for residents. She added for the green fees at golf courses, the Department is proposing a program to provide passes to Anaheim seniors for free and increasing the rate for non-resident seniors. The program would provide access to discounted rates for Anaheim seniors.

City Council Minutes of June 27, 2023

Mayor Aitken requested future consideration to develop a program that would apply discounts to all Anaheim residents for all City facilities.

Council Member Faessel referenced Mayor Aitken’s previous comments regarding the park's fee schedule.

Mayor Pro Tem Rubalcava cautioned against providing discounts for sources of revenue such as the Golf courses. She recommended exploring options such as early registration or priority registration for tee times.

Mayor Aitken clarified her previous request regarding park-in-lieu fees. Council Member Faessel clarified if there were amendments to the fees, they would be considered during the budget process.

Council Member Diaz expressed concerns about subsidizing facility rental fees and golf fees.

Mayor Aitken clarified the request is not to subsidize the fees. She added the request is to allow Anaheim residents to have benefits for those facilities including early access tee times.

MOTION: Mayor Pro Tem Rubalcava moved to approve Item Nos. 28B through 28J relating to budget appropriations limits for the City and its Community Facilities Districts, and changes in various fee schedules, seconded by Mayor Aitken. ROLL CALL VOTE: AYES – 7 (Mayor Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, Faessel, and Meeks); NOES – 0. Motion carried.

B. RESOLUTION NO. 2023-046 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the annual appropriations limit for the Fiscal Year 2023/24.

RESOLUTION NO. 2023-047 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the Community Facilities District No. 06-2 (Stadium Lofts) annual appropriations limit for the Fiscal Year 2023/24.

RESOLUTION NO. 2023-048 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, adopting the Community Facilities District No. 08-1 (Platinum Triangle) annual appropriations limit for the Fiscal Year 2023/24.

C. RESOLUTION NO. 2023-049 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing fees to be charged for Community Services Department programs and services [includes determination that the adoption of the fee schedule is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code].

D. RESOLUTION NO. 2023-050 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the green fees to be charged at the Dad Miller Golf Course and the Anaheim Hills Golf Course [includes determination that the adoption of this fee schedule is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080 (b)(8) of the Public Resources Code and Section 15273 California Code of Regulations].

E. RESOLUTION NO. 2023-051 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending the schedule of rates, fees and charges for rental of space, parking and for certain labor, equipment and services at the Anaheim City Council Minutes of June 27, 2023

Convention Center effective July 1, 2023 [includes determination that the adoption of the schedule of rates is exempt from the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code and Section 15273 of the California Code of Regulations].

F. RESOLUTION NO. 2023-052 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing Life Safety Division fees to be charged by the Fire and Rescue Department of the City of Anaheim and rescinding Resolution No. 2019- 066 [includes determination that the adoption of this fee schedule is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code].

RESOLUTION NO. 2023-053 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing paramedic fees in connection with emergency medical services to be charged by the Fire and Rescue Department of the City of Anaheim and rescinding Resolution No. 2019-067 [includes determination that the adoption of this fee schedule is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code].

RESOLUTION NO. 2023-054 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM relating to fees and penalties in connection with implementing the Unified Hazardous Waste and Hazardous Material Management Regulatory Program Act and rescinding Resolution 2019-068 [includes determination that the adoption of this fee schedule is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080(b)(8) of the Public Resources Code and California Code of Regulations Section 15273].

G. RESOLUTION NO. 2023-055 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending and restating fee and rate schedules for planning, zoning, and environmental petitions, applications, permits, approvals, appeals and inspections [includes the determination that amending and restating the planning, zoning and environmental fees and rates is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080 (b)(8) of the California Public Resources Code].

RESOLUTION NO. 2023-056 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a new schedule of fees, charges and rates for building, construction, and National Pollutant Discharge Elimination System (NPDES) permits, services and activities [includes determination that amending the fees, charges and rates is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080 (b)(8) of the California Public Resources Code].

RESOLUTION NO. 2023-057 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM amending and restating fee and rate schedules for the Community Preservation & Licensing Division of the City of Anaheim [includes determination that amending and restating the planning, zoning and environmental fees and rates is exempt from the provisions of the California Environmental Quality Act pursuant to Section 21080 (b)(8) of the California Public Resources Code].

City Council Minutes of June 27, 2023

H. RESOLUTION NO. 2023-058 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting new fee schedules for the Public Works Department of the City of Anaheim.

I. RESOLUTION NO. 2023-059 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM adopting a revised schedule of sanitation fees for wastewater and solid waste and rescinding Resolution Number 2022-067 and determining such actions are exempt from the California Environmental Quality Act pursuant to Public Resources Code Section 21080 (b)(8) and guideline Section 15273 (a).

J. RESOLUTION NO. 2023-060 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM establishing the Anaheim Stormwater Credit Program credit price and adding said credit price to the Public Works fee schedule.

29. Public hearing to consider a resolution to confirm the diagram and assessment and provide for the levy of the annual assessment in and for the Anaheim Resort Maintenance District.

RESOLUTION NO. 2023-061 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM confirming the diagram and assessment and providing for the levy of the annual assessment in and for the Anaheim Resort Maintenance District.

Director of Public Works Rudy Emami reported at the May 16th City Council meeting, the Council initiated the proceedings for the FY 2023/24 Annual Levy proceedings by accepting the Assessment Engineers Report and scheduling the public hearing. He reported staff’s recommendation to confirm the Diagram and Assessment and provide for the levy of the Annual Assessment for the Resort Maintenance District for FY 2023/24. He provided a history of the Resort Maintenance District including its formation by the City Council in 1999 and its 2.2 square mile size. The proposed assessments for Fiscal Year 2023/24 is approximately $5.8 million. The current year’s assessments will increase the Consumer Price Index (CPI) by 7%. He reported to relieve the financial burden on property owners during the pandemic, the City waived increases in assessments. A 1.23% catch-up factor was included in the proposed assessments to account for rising maintenance and capital costs.

He noted the Resort Maintenance District has four (4) dedicated full-time Public Works staff to oversee operations and maintenance contracts. The five-year Capital Improvement Program addresses the replacement of fixtures and facilities within the District. He reported projects included in the FY 2023/24 budget are exchanging plant materials to opt for a more water-wise landscape, upgrading and replace existing irrigation to be more efficient and conserve water, and upgrading lighting in medians and parkways to energy-efficient lighting for improved performance and longer lifespan.

Mayor Aitken opened the public hearing.

City Clerk Bass reported that no public comments were received in-person or electronically related to Public Hearing Item No. 29.

There being no in-person speakers, Mayor Aitken closed the public hearing.

MOTION: Council Member Faessel moved to approve RESOLUTION NO. 2023-061 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM confirming the diagram and assessment and providing for the levy of the annual assessment in and for the Anaheim Resort Maintenance District, seconded by Council Member Diaz. ROLL CALL VOTE: AYES – 7 (Mayor City Council Minutes of June 27, 2023

Aitken and Council Members Rubalcava, Diaz, Leon, Kurtz, Faessel, and Meeks); NOES – 0. Motion carried.

REPORT ON CLOSED SESSION ACTIONS: None
PUBLIC COMMENTS (non-agenda items): None
COUNCIL COMMUNICATIONS: None
COUNCIL AGENDA SETTING:

Mayor Pro Tem Rubalcava requested a recognition for Jillian Albayati. She noted Mayor Aitken recognized Ms. Albayati at the State of the City, however, she has not been formally recognized by the City Council.

Mayor Aitken clarified the City Council did provide a recognition for Ms. Albayati, however, it was not presented to her due to her school schedule.

Mayor Pro Tem Rubalcava requested an agenda item to discuss and review the salary study for the Chief of Police. Mayor Pro Tem Rubalcava requested information on the reviews for the City Clerk, City Attorney, and City Manager and when they will take place.

Director of Human Resources Linda Andal responded that Council appointee reviews are conducted anywhere between June and September. She noted the reviews will be scheduled for the last meeting in August unless the Council decides to conduct them earlier.

Mayor Pro Tem Rubalcava requested copies of the evaluation forms and requested the City Manager’s review be conducted first.

Director of Human Resources Andal confirmed the forms will be distributed to the City Council by the end of the week with the evaluations being scheduled for Closed Session at the end of August.

Council Member Meeks requested a resolution recognizing September as Service Club Month. She requested agendizing a discussion to approve a resolution on the taking of a position on the initiative.

City Attorney Fabela clarified the Council can agendize an item taking a position on the initiative and then approve a resolution.

Council Member Leon requested a resolution recognizing Mama Cozza’s on their 58th anniversary and clarified the date of the previously requested Linbrook Bowl recognition.

Mayor Aitken stated she could collaborate with Council Member Leon to agendize the recognition for Linbrook Bowl for an earlier date.

City Council Minutes of June 27, 2023

ADJOURNMENT:

At 11:29 p.m., Mayor Aitken adjourned the City Council meeting in memory of Lucy M. Hernandez.

Respectfully submitted,
Theresa Bass, CMC
City Clerk