City Council Meeting
August 5, 2025
142 Dwelling Unit Development
Meritage Homes - 3150 Bear Street
2 Site Location – 3150 Bear Street
3 Project Description
• 142 residential ownership
units (including a minimum
of 7 very low-income units)
with 20 single family
dwellings and 122
townhomes
• 93,500 square feet of on-
site open space with
13,278 square feet of off-
site open space
• New signalized
intersection
4 Background
• September 3, 2024 City Council Meeting for General Plan Amendment Screening:
o City Council provided feedback relating to the orientation of the dwellings, sidewalks, and discussed off site
improvements including Shiffer Park improvements
o Applicants have incorporated changes into the design to address feedback
• Airport Land Use Commission determined that the project is consist with the Airport Environs Land Use Plan on July 17, 2025
• Project site is located within a Measure K Corridor
5 Applications
• General Plan Amendment
o Existing Land Use Designation: General Commercial
o Proposed Land Use Designation: High Density Residential • Zone Change
o Existing Zoning District: Institutional and Recreational o Proposed Zoning District: R3 – Multiple Family Residential • Design Review – Required for construction of three or more dwelling units on residential zones
• Tentative Tract Map – Proposed to allow for individual ownership of the units. • Density Bonus– Request to provide 122 units, with 5% affordable income units at the very low-income level (7 units proposed) for a 20% density bonus. • Mitigated Negative Declaration – Environmental analysis stating that the project will not have significant environmental impacts after specific mitigation measures are implemented pursuant to California Environmental Quality Act (“CEQA”). 6 General Plan Amendment
General Commercial
High Density Residential
Land Use Designation
7 Rezone
AP- Administrative and Professional
R3- Multiple-Family Residential
Zoning Designation
8 July 14, 2025 Planning Commission Meeting
• Public Comments received regarding:
o Parking and Vehicle Overflow;
o Density and Scale of the Project;
o Traffic, Safety, and Community Impacts; and
o Pedestrian Gate Opposition.
• Planning Commission voted 5-0 (Zich and Dickson absent) to recommend that City Council approve the project based on the following:
o The project addresses the housing crisis;
o Provides homeownership opportunities; and
o Exudes good design and land use.
9 Design Review
10 Detached Units
11 Attached Units
12 Traffic and Circulation
• Proposed Drive Approach
in same general location
• Trip Generation – Project
generates less than 50
peak hour trips. No Traffic
Impact Analysis required
• Traffic fees to be assessed
• Pedestrian access and
connectivity throughout the
project site
• Pedestrian gate at Olympic
Avenue
13 Signalized Intersection
Install Signal
and Crosswalk
14 Open Space
• 93,500 square feet of public
and private open space on
site
• 13,278 additional square
feet of open space in
maintenance agreement
area
• Approximately 10,000 SF tot
lot and BBQ area
• Approximately 12,000
square feet of on-site
passive open space
• All units have either
balconies or private yards.
15 Park Improvements
• Parkland Impact Fees
• Signalized Intersection to
increase pedestrian safety
crossing Bear Street to
Shiffer Park
• Pedestrian access from
adjacent neighborhood
through development to
access park
• $250,000 one-time
community benefit payment
to the City for Shiffer Park
improvements to be used at
the City’s discretion
16 Landscaping
• 186 trees including street trees,
shade trees, specimen and
flowering trees, hedge trees.
• 29 Bear Street slope trees to be
retained
• Additional backyard trees
planted to screen development
from existing neighborhoods
• Drought tolerant shrubs and
ground cover throughout
• Landscaping between garage
doors
• Plantings provided between
freeway and dwellings
17 Density Bonus
Requested Waivers
• Maximum Building Height
• Front Setback
• Landscaped Parkways
• Open Space
• Individual dwelling unit minimum
lot size
• Side by side unit standards
Category Value
Base Project Units (20
du/acre)
122 Units
Affordable Units Provided 7 units (5% of base units, very low- income)
Applicable Density Bonus 20% (Per CA Gov. Code §65915)
Bonus Units Allowed 25
Total Units Allowed 147
Total Units Proposed 142
Requested Concession
• Detached Unit Second-Story
Design
18 Initial Study/Mitigated Negative Declaration (MND)
• Information document that examines the potential environmental impacts of the project and focuses on the changes to the existing environment that would result from the proposed project • IS/MND was made available for a public comment period beginning on May 1, 2025, and ending at 5PM on May 31, 2025
• Mitigation measures related to: Geology and Soil, Cultural Resources, Transportation, Hazards and Hazardous Materials, and Tribal Cultural Resources
• Comments Received from CA Department of Transportation and CA Department of Toxic Substances Control
• One additional comment provided by a resident
• Responses to comments provided
Recommendation
Planning Commission recommends that the City Council:
1. Adopt a Mitigated Negative Declaration and Mitigation Monitoring and Reporting Program; and,
2. Adopt a Resolution approving:
a) General Plan Amendment (PGPA-24-0002): Amend the General Plan Land Use Element including changing the Land Use Designation of the project site from General Commercial to High Density Residential;
b) Design Review: Approve the Design Review for the development of the project including 142 dwelling units with a maximum height of 4 stories/52 feet; c) Tentative Tract Map No. 19334: Approve the Tentative Tract Map to subdivide the property into a residential common interest development; and
d) Density Bonus: Approve the density bonus which will provide seven very low-income units in exchange for a 20 percent density bonus resulting in an additional 20 units.
3. Give First Reading to an ordinance for the rezone of the project site from Administrative and Professional (AP) to Multiple Family Residential (R3)
19 August 5, 2025
RESOLUTIONS AFFIRMING THE CITY’S CORE VALUES AND
SUPPORT FOR SENATE BILL 805, NO VIGILANTES ACT
City Council Meeting
2 Background
• At the July 15 City Council Meeting it was requested that staff bring to the August 5th Council Meeting the following items for discussion:
• Explore partnerships with community-based organizations to provide support services to impacted residents
• Resolution affirming the City’s Core Values in response to the Federal immigration enforcement activity
• Letter of Support for SB 805
3 Current City Efforts
• Ongoing communication with community partners to better understand the concerns, needs, and impacts on the community
• Developed and launched the Community Resources webpage on the City’s website. The webpage includes the following support service(s) areas:
• Created Costa Mesa Cares Family Preparedness packets
• Emergency & Crisis Support • School Resources
• Legal Services & Representation • Workplace & Employer Guidance • Know Your Rights & Legal
Education
• Support Services & Advocacy
• Immigration Services • Help With A Federal Agency
4 Proposed Resolution
Affirming Core Values
• Notes enforcement activity within the City and surrounding area are disruptive and instill fear through the use of aggressive tactics • Acknowledges Federal authority over immigration enforcement while reaffirming that the City and Police Department do not participate or assist • Calls on Federal representatives to ensure ICE follows due process, acts with transparency, and focuses enforcement on criminals
5 Senate Bill 805 – The No Vigilantes Act
• Impersonation: Expands existing misdemeanor offense of impersonating a peace officer to include “by any other means” in addition to use of the internet, or other electronic means
• “Bounty Hunters”: Prohibits bail agents using their position for immigration enforcement
• Visible Identification: Requires law enforcement officers to display their agency, name, and badge number (Exempts undercover personnel) • Requesting Identification: Allows a peace officer to request identification from an “alleged” law enforcement officer
6 Existing Law
State
• Prohibits impersonation of a Peace Officer
• California Values Act- Prohibits cooperation with immigration enforcement • Defines Bail Agents (“Bounty Hunters”) and their powers • Requires uniformed Peace Officers to wear badge and nameplate
Federal
• Prohibits requiring local authorities to enforce federal law or regulatory programs
• Forbids interference with ICE obtaining information on immigration status • Requires ICE to identify themselves at the time of arrest or as soon as it is practical and safe to do so
7 Actions for City Council consideration:
1. Adoption of Proposed Resolution No. 2025-XX affirming the City’s Core Values
2. Adoption of Proposed Resolution No. 2025-XX supporting California Senate Bill 805 (Perez), “No Vigilantes Act”
3. Approval of the proposed Letter of Support for SB 805 Alternatives
1. Direct changes to be made to the proposed resolutions and/or letter
2. Choose not to approve the resolutions and/or letter
3. Adopt a “Support if Amended” position on SB 805 (Perez) to request that portions of the bill in conflict with federal law be removed Questions?
9 Overview of SB 54 - The California Values Act
• Enacted in 2017
• Limits involvement of state and local law enforcement in federal immigration enforcement.
• Key Provisions
• Restricts state and local law enforcement agencies from using resources for:
• Investigating immigration status.
• Enforcing immigration laws.
• Detaining individuals based solely on immigration holds. • Prohibits transfer of individuals to federal immigration authorities without a judicial warrant.
• Prevents law enforcement from inquiring about immigration status during routine interactions.
10 Law Enforcement Restrictions
State and local agencies cannot:
Participate in joint task forces primarily focused on immigration enforcement Make arrests based solely on civil immigration warrants Use resources to detain individuals based on immigration detainers or administrative warrants
Share non-public personal information with federal immigration authorities (e.g., home/work addresses)
Prohibits questioning or detaining individuals based on their immigration status
Prevents federal agents from accessing non-public areas of facilities without a judicial warrant
11 Exceptions to SB 54
Cooperation is allowed if the individual:
• Has been convicted of serious or violent felonies
• Is a registered sex offender
Sharing publicly available information, such as criminal conviction records, is permitted
Participation in task forces is allowed if immigration enforcement is incidental to the primary felony law violations
City Council Meeting
August 5, 2025
Finance
Enterprise Resource Planning (ERP)
2 BACKGROUND
• City's Financial and Human Resources ERP is over 28 years old. • The current system relies on a third-party provider for ongoing technical support.
• Staff manually maintains key functionalities and reporting due to the limitations of the current system.
• City conducted an assessment of the current system and technical environment to evaluate the most efficient ERP system.
• Business process road mapping
• 190+ business challenges related to current process
• 500+ functional requirements identified
• 150+ reporting requirements (Ex: GASB, Budget, Procurement, etc.) • 20+ interfaces identified
• Data Migration Requirements
3 ORACLE FUSION
• A modern system with flexibility,
reliability, redundancy and
capabilities to meet the City’s
current and future business
functions.
• All functions are integrated into a
single computing environment
• Key priorities in the selection
include:
• Customer Service
• Cybersecurity measures
• Enhanced end-user capabilities
• Long term sustainable infrastructure
4 CONNECTIVITY AND ACCESSIBILITY
60+ users 800+ users
5 DENOVO VENTURES, LLC AND ORACLE AMERICA, INC.
• Denovo is a Certified Authorized Reseller and an Implementation Partner for Oracle ERP solutions.
• Five-year contract term with a two-phase project implementation approach, subscription for Oracle Fusion platform and a Post Go-Live Managed Services Contract.
• Cloud Services Agreement with Oracle America
6 SCOPE OF IMPLEMENTATION
Modules to be Implemented
Phase II
HR Functions
Position
Management
Controls
Benefits
Time & Labor
Phase I
General
Accounting
Cash
Management/
Treasury
Budget &
Controls
General
Ledger
Project &
Grants
Accounting
Fixed Assets
Accounts
Payable
Purchasing
GASB
Reporting
Accounts
Receivable
Inventory
Year End
Closing
Position &
Capital
Budgeting
Payroll
Finance Management
Human Resources
7 RECOMMENDATIONS
1. Approve and authorize the Master Services Agreement and Statement of Work, to Denovo Ventures, LLC, for Oracle ERP implementation services for $2.9 million, for a five-year term, effective August 5, 2025 – August 4, 2030; a Managed Services Service Order for a Managed Services Post Go-Live for $0.2 million per term, with an additional term; if needed.
2. Approve and authorize the Ordering Document with Denovo Ventures, LLC for Oracle Cloud ERP subscription licensing, $285,000 annually per year, for $1.4 million, for a five-year term, effective August 5, 2025 – August 4, 2030, with an option for two (2) one- year renewals.
3. Approve and authorize the Cloud Services Agreement with Oracle America, Inc.
4. Authorize a ten percent (10%) contingency in the amount of $310,000 for unforeseen costs related to the project.
5. Authorize the Interim City Manager and the City Clerk to execute the PSA and within budget limits any future amendments to the agreement.
8 Questions?