CITY OF CARMEL-BY.THE.SEA
CITY COUNCIL
REGULAR MEETING MINUTES
April7,2026
CALL TO ORDER AND ROLL CALL
Mayor Byrne called the meeting to order in the Chambers at 4:30 p.m.
Roll call: Councilmembers Jeff Baron, Hans Buder, Robert Delves, Alissandra Dramov, and Mayor Dale Byrne were present.
PLEDGE OF ALLEGIANCE
Acting City Administrator Swanson led the pledge of allegiance A. Carmel High School Report Out - Drew Galy, ASB Student President, provided an update on recent school events, sports, and programs.
B. Proclamation recognizing American Red Gross Month - Mayor Byrne presented the proclamation to local American Red Cross representatives John Cromwell and Patty Montmorency.
C. Non-Profit Spotlight: Gommunity Human Services, Gasa De Noche Buena and Shuman HeartHouse - Shawn Stone, CEO of Community Human Services, presented on the programs provided included the homeless facilities, and requested community support for a funding shortfall.
D. Recognition of the Clean Galifornia designation awarded to Carmel-by-the-Sea - Margaret Byrne, Executive Director of Carmel Cares summarized how the City received the statewide recognition as a clean California city. She said that Carmel was one of the first cities in California to earn this designation.
PUBLIC APPEARANCES
Vince Koller
Meredith Nowell
James Morgan
Mark Stillwell
Cindy Lloyd
Maria Ruess
Joe DiNucci
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City Council Regular Meeting Minutes - April 7,2026
ANNOUNCEMENTS
Acting City Administrator Brandon Swanson announced the rollout of an enhanced parking enforcement program and commended police, fire, CERT, and the Hofsas House for their exceptional response to a recent structure fire.
City Attorney Brian Pierik announced that there was no reportable action from closed session yesterday.
Councilmember Dramov gave condolences to the family and friends of Ken Spilfogel, who passed away last week. She said he was a big part of the community and will be missed.
Mayor Pro Tem Delves announced that the Council is in budget season and encouraged the residents to get involved and come to the budget meeting and provide their input.
Mayor Byrne added his condolences overthe loss of Ken Spilfogel. He also encouraged residents to rewatch the budget discussion from the previous night's meeting. He thanked the Lyon's Club for the "Breakfast with the Bunny" event and announced the Fire Department received a new ambulance.
PUBLIC HEARINGS
Item 1 - Consideration of two consolidated appeals, APP 26070 (Hudson and Martin PC, TSD Properties, L.P.) and APP 26071(Fenton and Keller, A.W. Shucks, LLC), appealing the Planning Commission Resolution No. 2026-04 determining that the "drinking establishment" use (UP 93- 45) forA.W. Shucks has been abandoned.
City Attorney Pierik reported that both appellants submitted letters on April 3,2026, requesting a continuance of the appeal hearing based on the City's production of records related to a public records act request submitted by Fenton and Keller on Feburary 24,2026. Mr. Pierik stated the City complied with its obtigations and recommended the Council hear comments from the appellants and the public before deciding on the continuance.
Public comment on the continuance request:
Derric Oliver, representing the owner's of AW Shucks restaurant (appellant) Christina Goebelsmann, representing the property owners (appellant) Council unanimously denied the continuance request, opting to proceed with the appeal hearing after agreeing with the City Attorney that a diligent and thorough records search had provided appellants with sufficient documentation and time.
Planning and Building Director Anna Ginette presented an overview of the consolidated appeals and summarized the history of A.W. Shucks and Use Permit 93-45, which was approved in 1993 for a primarily established drinking place with ancillary restaurant use. She summarized the Planning Commission's determination that the drinking establishment use had been abandoned
City Council Regular Meeting Minutes - April 7,2026
in 2023, when they applied for and were approved as a primarily restaurant with drinking establishment as an ancillary use. She stated that both appellants contend the drinking establishment use was not abandoned and request that the City Council overturn the Planning Commission's decision.
Derric Oliver presented A.W. Shucks' appeal, arguing the owner believed their drinking establishment use permit was affirmed in writing, and the Planning Commission improperly overturned its own 1993 decision. He calculated the loss from revoking the permit, factoring in business valuation and competitive advantage, at $1.3 million, covering lost profits, rebranding, remodeling, and loss of investment.
Christina Goebelsmann presented the appeal on behalf of TSD Properties, citing a potential due process violation against the property owner (TSD) and a potential conflict of interest requiring the Mayo/s recusal. She stated TSD acted in good faith, having operated the business and confirmed with the City that they possessed the necessary permit for their 30+ years of operation.
Public comment:
John Plastini
Bob Rosenthal
John Atwell
MichaelSepon
Jason Retterer
No name (red blazer)
David Fink
Rowena Waters
Mickey Ford
John
Amy
Greg Cole
Julie Wendt
Todd Tyson
CherylJimez
Joe DiNucci
Cindy Lloyd
Karen Looper
AndiCarr
Randy Basi
Patrick
Kristi Reimers
RECESS
Counciltook a recess at 7:35 pm, and returned at 8:00 pm Page4 of 7
Ci$ Council Regular Meeting Minutes - April 7,2026
Council resumed item #1.
Public Comment:
Derric Oliver
Christina Goebelsmann
John Plastini
Mayor Pro Tem Delves supported upholding the appeals, noting that the Planning Commission correctly applied the existing ordinance limiting the town to three drinking establishments (Barmel, Sade's, and AW Shucks). He emphasized that the Basi's (owners of A.W. Shucks) bought an existing bar in good faith based on past city approvals.
Councilmember Baron agreed, stressing that the appeals should be upheld. He noted that the city should have defened to historical decisions, as the owners relied on the city's guidance and assurances. He argued that the owners have vested property rights and would have acted differently had they been notified that changing seating would risk their use permit.
Councilmember Buder supported upholding the appeals, suggesting a future discussion on the city's policy for the number of drinking establishments. He cited code sections (17.68.050 and
17.14.040(i)) highlighting the thin distinction between bars and restaurants. He noted that the Director of Community Planning and Building never determined the use was abandoned over 30+ years, and the city was aware of and approved AW Shucks' business changes as a legal nonconforming use. He proposed amending UP 93.45 to omit food service and allow it to exceed 1oo/o.
Councilmember Dramov also supported granting both appeals and adopting Resolution #2, noting key city actions in 1993, 2015, and 2023 reaffirmed AW Shucks' status. She stated that AW Shucks clearly operates as a bar/seafood pub and its use has not been abandoned, with the owners acting in good faith.
Mayor Byrne said that although he doesn't like the idea of overturning a Planning Commission decision, there is an issue of fairness, and forthe reasons already stated by the Counci!, he added his support for granting both appeals.
Council discussed the language of Resolution #2, which would allow A.W. Shuck to amend Use Permit 93-45 to keep its cunent use as a drinking establishment with ancillary restaurant use.
Gouncilmember Dramov suggested adding language to refund both appellants' appeal fees, which the City Attorney confirmed could be added as Section 6.
Motion by Gouncilmember Baron to approve Resolution 2026-023,labeled as Resolution #2 in the packet, granting both appeals, overturning the Planning Gommission's decision, authorizing a refund of both appealfees paid, and conditionally allowing an amendmentto Use Permit 93,[5 to add a full line restaurant as an ancillary use that is greater than 10%
City Council Regular Meeting Minutes - April 7,2026
of the primary use as a drinking establishment for the property, seconded by Councilmember Dramov, and approved 5-0-0-0 by the following roll call vote:
AYES: Councilmemberc Baron, Buder, Delves, Dramov, and Mayor Byrne NOES: None
ABSENT: None
ABSTAIN: None
ORDERS OF BUSINESS
Item 2 - Discussion of draft resolutions and ordinance relating to a potential ballot measure to increase the City's Transient Occupancy Tax from 10% to 12o/o and Direction regarding the submission of such ballot measure to the City's voters at the November 3,2026, general municipal election
City Attorney Pierik presented draft resolutions and ordinance language related to a potential ballot measure to increase the City's Transient Occupancy Tax from 10olo to 12o/o atthe November 3,2026, General Municipal Election. He reviewed the ballot measure process, summarized the draft language, and noted that the Carmel lnnkeepers Association submitted written opposition included in the packet.
Public Comment:
AndiCarr
Carrie Theis
Mark Watson
No name
Mark Stillwell
Nancy Twomey
Kristi Reimers
Councilmember Baron suggested removing the redlined "rent includes...." language from the draft Ordinance and supported the City Attorney's revised ballot question language as presented in the power point slides. Councilmember Buder supported continuing to evaluate the TOT increase as one possible revenue option to address deferred maintenance and capital needs.
Councifmember Dramov said she supports the 2o/o TOT increase, but she also wants to explore other incentives for hotel owners, such as lowered permit fees for hotel renovation. Mayor Pro Tem Delves supported the increase while acknowledging hotelier concerns and noted the City would also continue exploring other revenue options, including paid parking. Mayor Byrne stated he was more supportive of a sales tax measure and paid parking than a TOT increase.
Ci$ Council Regular Meeting Minutes - April 7,2026
Motion by Councilmember Baron, directing staff to return in May with amended ballot language for a TOT ballot measure, a resolution with alternative Ianguage, and a revised draft ordinance removing the redlined language regarding the definition of rent, seconded by Mayor Pro Tem Delves and approved 4-1-0-0 by the following roll call vote:
AYES: Gouncilmemberc Baron, Buder, Delves, Dramov
NOES: Mayor Byrne
ABSENT: None
ABSTAIN: None
Item 3 - Receive an update on the Design Traditions 1.5 project, and review the proposed Plan, defined Scope of Work, and Proposed Timeline to finalize the Residential Design Guidelines 1.5 Council gave consensus direction to continue this item to May due to the lateness of the evening.
FUTURE AGENDA ITETIIS
Councilmember Dramov requested bringing in an expert to give info to Council regarding a city issued bond. Councilmember Baron requested a follow up on the Mills Act moratorium.
Councilmember Buder requested a future item on an Urgency Ordinance regarding gravelfor site coverage and other measures, based on his meetings with the Fire \A/ise group for home hardening and wildfire preparedness. Mayor Byrne asked for a presentation on the city's practices for hiring and hiring challenges.
CLOSED SESSION
Council gave consensus direction to continue Closed Session items 4 and 5 to a future date.
City Attorney Pierik read the closed session titles.
Public comment on closed session: None
Closed Session, ltem 4 - PUBLIC EMPLOYEE PERFORMANCE EVALUATION PURSUANT TO GOVERNMENT CODE SECTION 54957 Title: Acting City Administrator - continued to a future date
Closed Session, ltem 5 - CONFERENCE WTH IABOR NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54957.6 Title of unrepresented employee: Acting City Administrator - continued to a future date
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City Council Regular Meeting Minutes - April 7,2026
Closed Session, ltem 6 - CONFERENCE WTH LABOR NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54957.6; Agency Designated Representatives: Acting Assistant City Administrator Marisa Bermudez, Police Chief Todd Trayer, and Zachery Lopes, Burke \A/illiams & Sorensen; Employee Organization: General Employees Unit, an Affiliated Unit of L|UNA, and Management Employees Unit, an Affiliated Unit of LIUNA
ADJOURNMENT
Counci! adjourned to Closed Session at 10:25 p.m
APPROVED
Dale Byrne, Mayor