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Costa Mesa City Council
September 3, 2024

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Presentations
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September 3, 2024
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Costa Mesa City Council
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September 3, 2024
City Council
Second Reading of Ordinance for
First Amendment (DA-20-05) to
AAA Development Agreement (DA-94-01)
2 REQUESTS
• AAA requested a 20-year time extension to the Development Agreement that will expire October 31, 2044, to complete Phase II improvements.
• To date, AAA has completed Phase I improvements, which total 235,825 square feet of the 500,000-square-foot expansion. • Amend setback related to a future parking structure.
3 PROPOSED DEVELOPMENT
Future Parking
Structure
Phase II
Office
Building
4 City Council voted unanimously to:
• Find, pursuant to CEQA Guidelines Section 15162, that the project is within the scope of the June 20, 1994 - Certified Final Environmental Impact Report #1045 (State Clearinghouse No. 94021036)
• Introduce for first reading an ordinance to approve the First Amendment (DA- 20-05) to the Automobile Club of Southern California Development Agreement (DA-94-01) that:

1. Allows for a 20-year time extension that would expire October 31, 2044.

2. Amends provisions pertaining to the rate and methodology for calculating traffic impact fees.

3. Amends provisions related to the setback of a future parking structure.

AUGUST 6, 2024, CITY COUNCIL ACTION
5 Staff recommends the City Council:
• Find, pursuant to CEQA Guidelines Section 15162, that the project is within the scope of the June 20, 1994 - Certified Final Environmental Impact Report #1045 (State Clearinghouse No. 94021036); • Give second reading to and adopt, by title only, Ordinance 2024-XX approving the First Amendment (DA-20-05) to the Automobile Club of Southern California Development Agreement (DA-94-01) to allow for a 20-year time extension that would expire October 31, 2044; amend provisions pertaining to the rate and methodology for calculating traffic impact fees; and amend provisions related to the setback of a future parking structure.

ORDINANCE SECOND READING
September 3, 2024
City Council
Second Reading of Ordinance for
First Amendment (DA-20-05) to
AAA Development Agreement (DA-94-01)
September 3, 2024
3150 Bear Street
Screening for 146 Residential Units
City Council
2 SCREENING REQUEST
• Pursuant to Policy 500-2, privately-initiated General Plan Amendments require screening by City Council before project submitted. • The General Plan Screening is an opportunity for the City Council to:

1. Decide if the project should proceed or not, and

2. Offer early input on project design/features.
• General Plan Screening is the first step in the process of amending the project General Plan Land Use Designation for the proposed residential development from General Commercial to High Density Residential with a density of 23.8 du/acre.
3 PROPOSED PROJECT
• 6.125 Acre Site
• Current Development:
65,924-square-foot office
constructed in 1978
• Proposed Development:
146 for-sale dwelling units
including 20 detached units
and 126 attached,
townhome units.

4 PROPOSED PROJECT

1. General Plan Amendment – General Commercial to High Density Residential

2. Zone Change – Administrative Professional to High Density Residential

3. Density Bonus – 8 very-low income for-sale units (5%) allows for a 20% density bonus to allow for 146 units (base units 122)

4. Tentative Tract Map – Allow for condominium units

5. Design Review – Required for all residential developments with 3+ in residential zones (except planned development)

6. CEQA Review – Initial Study will be conducted and will determine further environmental review
5 PROJECT SITE
• 6.125 Acre Site
• General Commercial
Land Use
• AP- Administrative
Professional Zoning
• Measure K site
Project Site
405 FWY
South Coast Plaza
Metro Pointe
Shiffer Park
Life Styles
Bear Street
6 EXISTING STREETSCAPE

7 SURROUNDING NEIGHBORHOOD
Project Site
Shiffer Park
South Coast Plaza
Metro Pointe
Life Styles
Single Family Dwellings
Single Family Dwellings
South Coast Metro

8 SITE PROXIMITY

9 EXISTING SITE

10 CONCEPT DESIGN – SITE PLAN
• 20 two-story
detached units
• 126 four-story
attached units
• 372 total
parking spaces
11 DETACHED UNIT FLOOR PLANS

12 ATTACHED UNIT FLOOR PLANS

13 ARCHITECTURE

14 OPEN SPACE
Passive Recreation Area
Active
Recreation
Area
Active Recreation Area

15 DENSITY BONUS
• Project site is not listed as a Housing Opportunity
Site
• 8 very-low income for-sale units (5%) are proposed
which allows for a 20% density bonus.
• High Density Residential Permitted Base Density –
20 du/acre
• Density Bonus – 24 du/acre
16 DENSITY BONUS BENEFITS
• Concession - Maximum height
 Permitted - 27 FT/2 stories
 Proposed- 52 FT/4 stories
• Waiver - Open space
 Required – minimum 40%
 Proposed – 27%
• Reduced Parking – 372 parking spaces proposed
• State Density Bonus requires 228 parking spaces
• CMMC requires 477 parking spaces
17 OFF-SITE IMPROVEMENTS
• Shiffer Park Improvements
• Olympic Avenue pedestrian access through the site to access Bear Street and Shiffer Park
• New signaled intersection on Bear Street
• Circulation improvements on Bear Street
• City and staff will continue to work with the applicant to advance these public benefits “offered by the developer”. 18 GENERAL PLAN POLICIES
Policy LU-1.3: Strongly encourage the development of residential uses and owner-occupied housing (single-family detached residences, condominiums, townhouses) where feasible to improve the balance between rental and ownership housing opportunities.

Policy LU-2.8: Limit building height to four stories above grade south of the I-405 Freeway, except for special purpose housing such as elderly, affordable, or student housing, unless otherwise approved by a General Plan amendment.

Policy C-6.12: Require that every new development project pay its share of costs associated with the mitigation of project generated impacts.

Policy HOU-3.4: Consider the potential impact of new housing opportunities and their impacts on existing residential neighborhoods when reviewing development applications affecting residential properties. 19 NEXT STEPS
• City Council to discuss project and provide feedback to the developer concerning:

1. Decide if the project should proceed or not, and

2. Offer early input on project design/features.
• If authorized to proceed, staff will work with applicant to submit a complete project application.
• Planning Commission will take action on the Density Bonus, Design Review, and Tentative Parcel Map.
• Following recommendation from the Planning Commission, City Council will take action on the General Plan Amendment and Rezoning.

September 3, 2024
3150 Bear Street
Screening for 146 Residential Units
City Council

CITY COUNCIL FIRST READING OF

ORDINANCE REGARDING CITY COUNCIL

COMPENSATION
September 3, 2024
Background
• The City Council’s current salary rate of $904.40 per month was last updated by Ordinance No. 09-5 fifteen years ago in May 2009.
• The City Council cut its salary by 5% in 2009 due to the Great Recession. It has remained the same ever since.
• There has been no salary adjustment for the City Council, since December 2010.

Analysis
• As part of the City Council’s Goal to “Recruit and Retain High Quality Staff,” one of the new objectives was to “perform a market analysis of City Council compensation for comparable agencies and special districts within the county and report results to the City Manager.”
• Below are the monthly salary and benefits provided to the City Council for our five contiguous agencies:

City Population Police/Fire Base Pay Health
Benefits*
Allowances
(Auto/Tech/
Expense)
Total
Costa Mesa 109,521 Police/Fire $ 904.40 $ 2,550.00 $ - $ 3,454.40 Fountain Valley 55,930 Police/Fire $ 500.00 $ - $ - $ 500.00 Huntington Beach 194,310 Police/Fire $ 2,055.54 $ 857.93 $ 1,705.54 $ 4,619.01 Irvine 313,685 Police (No Fire) $ 880.00 $ 2,638.63 $ 715.00 $ 4,233.63 Newport Beach 83,993 Police/Fire $ 1,605.00 $ 1,876.00 $ - $ 3,481.00 Santa Ana 308,189 Police (No Fire) $ 1,000.00 $ 2,080.00 $ 550.00 $ 3,630.00 Average $ 1,157.49 $ 3,319.67
Average (excl Fountain Valley) $ 1,385.14 $ 3,990.91
Percent below average - 15.5%
*Costa Mesa net value taking into account annual deferred compensation maximum.

Analysis
• California Government Code Section 36516 allows for City Councils to enact an Ordinance providing Council members a salary based on population. This Government Code Section was recently amended to increase the amount allowed for cities with over 75,000 up to and including 150,000 in population, to $1,900 per month.
• Previously, the amount for this population bracket was $600 but City Councils could increase their salaries beyond this amount by an amount up to a 5% increase per year from the date of the last adjustment. • Based on the original formula and City Council pay since December 2010, the law allows for an increase of approximately $45 per month ($21 per payroll) for each calendar year since 2010. This allows for the City Council salary to be increased by $587.86 per month for a new salary rate of $1,492.26 per month. • This amount is close to earning minimum wage at $16.00 per hour at 22 hours per week, or $1,525 per month.

Analysis
• Realigning the City Council’s salary to $1,492.26 per month would be more consistent with the cities of Huntington Beach and Newport Beach, which are also full-service (with both Police and Fire) and more similar in structure to Costa Mesa.
• Below is the monthly compensation provided to the Mesa Water District Board:

City Population Police/Fire Base Pay Health
Benefits
Allowances
(Auto/Tech/
Expense)
Total
Costa Mesa 109,521 Police/Fire $ 1,492.26 $2,550.00 $ - $ 4,042.26 Huntington Beach 194,310 Police/Fire $ 2,055.54 $ 857.93 $ 1,705.54 $ 4,619.01 Newport Beach 83,993 Police/Fire $ 1,605.00 $1,876.00 $ - $ 3,481.00 Average $ 1,717.60 $ 4,047.42
Agency Population Police/Fire Base Pay Health
Benefits
Allowances
(Auto/Tech/
Expense)
Total
Mesa Water District $ 3,520.00 $2,200.00 $ 5,720.00
Analysis
• Per California Government Code Section 36156.5, City Council compensation adjustments can be made effective following the next general election or November 5, 2024.

Recommendations
• Introduce for First Reading an Ordinance to bring City Council compensation to current 2024 levels as permitted by Government Code Section 36516. The increase would be
effective after the general election with the new City Council in December 2024.
• If approved, the second reading and adoption will be at the September 17, 2024, City Council meeting.
• The proposed increase would be effective in December 2024, after the next general election in November 2024. The pro- rated fiscal impact in FY 2024/25 is $3,527.16 for six months per member. There are sufficient salary savings citywide to cover the increase.

QUESTIONS?

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