CITY OF DEL MAR
CITY COUNCIL REGULAR MEETING MINUTES
MARCH 3, 2026
City of Del Mar Town Hall
1050 Camino del Mar, Del Mar California 92014
The minutes set forth the actions taken by the City Council on the matters stated. Audio/video recordings of the City Council proceedings are retained for a period of ten years, in accordance with the City's Records Retention Schedule. Audio/video recordings, as well as written materials presented to the City Council, including Red Dots (materials provided to the City Council after the agenda has published), are available on the City’s website at www.delmar.ca.us/AgendaCenter or by contacting the Administrative Services Department at (858) 755-9313.
CALL TO ORDER
Mayor Tracy Martinez called the Regular Meeting to order at 4:35 p.m.
ROLL CALL
Present: Mayor Tracy Martinez; Deputy Mayor John Spelich; Councilmembers Terry Gaasterland (arrived at 4:54 p.m.) and Dan Quirk
CITY ATTORNEY CLOSED SESSION REPORT
City Attorney Christina Cameron reported that there were no reportable actions from the March 3, 2026, Closed Session.
PLEDGE OF ALLEGIANCE
Mayor Martinez led the Pledge of Allegiance.
PUBLIC ORAL COMMUNICATIONS
Mayor Martinez opened public oral communications and the following people spoke:
1) Janet Wilson
2) Shirli Weiss with one donation of time from Camilla Rang Mayor Martinez closed public oral communications.
CITY COUNCIL COMMUNITY ANNOUNCEMENTS
None.
CITY MANAGER’S REPORT
City Manager Ashley Jones reported on the Del Mar Bluffs Stabilization project absolute work window scheduled during a maintenance-related rail closure beginning around 5:00 a.m. on Saturday, March 7, through 7:00 p.m. on Sunday, March 8, 2026, with work primarily occurring in the railroad right-of-way between 6th Street and Coast Boulevard.
CONSENT CALENDAR
Administrative Services Manager/City Clerk Sarah Krietor read the titles of the items included on the Consent Calendar. There were no public speakers for the consent calendar items.
City Council Regular Minutes
March 3, 2026
IT WAS MOVED BY DEPUTY MAYOR SPELICH, SECONDED BY COUNCILMEMBER QUIRK TO APPROVE THE CONSENT CALENDAR ITEMS 1 THROUGH 8. (VOTE 3-0-1 WITH
COUNCILMEMBER GAASTERLAND ABSENT)
Ayes: Mayor Martinez; Deputy Mayor Spelich; and Councilmember Quirk; Noes: 0; Recuse: 0; Absent:
Councilmember Gaasterland; Abstain: 0.
ITEM 1: APPROVAL OF MINUTES: FEBRUARY 17, 2026, REGULAR MEETING (CLERK’S
MINUTES BOOK)
Council approved the minutes, on consent.
ITEM 2: RATIFICATION OF LIST OF DEMANDS, DATED MARCH 3, 2026 (CLERK’S FILE NO. 201-3)
Council approved the list of demands, on consent.
ITEM 3: WAIVER OF READING OF ORDINANCES ON AGENDA (CLERK’S FILE NO. 401-4) Council waived the reading of ordinances, on consent.
ITEM 4: AGREEMENT WITH CIVIC SOLUTIONS, INC. FOR CONTRACT PLANNING SERVICES (CLERK’S FILE NO. 406-1)
Council approved a Professional Services Agreement with Civic Solutions, Inc. to continue providing contract as-needed planning services from February 4, 2026, through February 4, 2027; and authorized the City Manager to execute the Agreement and any subsequent amendments provided for under the Agreement contingent upon satisfactory performance by the consultant, on consent.
ITEM 5: AGREEMENT FOR AS-NEEDED HOUSING LEGAL SERVICES (CLERK’S FILE NO. 406-1)
Council approved a professional services agreement with Goldfarb & Lipman, LLP (Goldfarb & Lipman) to provide as-needed housing legal services for an initial three-year period March 3, 2026, through March 3, 2029; and authorized the City Manager to execute the Agreement and any subsequent term extension amendments provided for under the Agreement contingent upon satisfactory performance by the consultant firm, on consent.
ITEM 6: PARKS AND RECREATION COMMITTEE APPOINTMENTS (CLERK’S FILE NO. 401- 5)
Council reappointed Lynn Gaylord as a voting member to the Committee to serve a second full three-year term starting March 3, 2026, and ending on March 31, 2029; and appointed Rebecca Dembitsky to serve a first term as a voting member to the Committee for a full three-year term starting March 3, 2026, and ending on March 31, 2029, on consent.
ITEM 7: UNDERGROUNDING PROGRAM ADVISORY COMMITTEE APPOINTMENTS (CLERK’S FILE NO. 401-5)
City Council Regular Minutes
March 3, 2026
Council reappointed Shirli Weiss and Tom McGreal to the Undergrounding Program Advisory Committee (UPAC) as voting members to serve full three-year terms starting March 3, 2026, and ending on March 31, 2029, on consent, on consent.
ITEM 8: SEWER SYSTEM MANAGEMENT PLAN (SSMP) UPDATE (CLERK’S FILE NO. 906-1) Council adopted Resolution 2026-14 “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DEL MAR, CALIFORNIA APPROVING THE CITY OF DEL MAR’S UPDATED
SEWER SYSTEM MANAGEMENT PLAN (SSMP), AND AUTHORIZING THE CITY
MANAGER OR THEIR DESIGNEE TO CERTIFY AND UPLOAD THE APPROVED SSMP IN THE STATE WATER RESOURCES CONTROL BOARD’S ONLINE DATABASE” and authorized the City Manager to approve future administrative clarifications/updates to the Sewer System Management Plan, on consent.
ITEM 9: AFFORDABLE HOUSING REGULATORY AGREEMENT WITH WATERMARK DM, L.P., AN ARIZONA LIMITED PARTNERSHIP, FOR THE WATERMARK DEL MAR MULTI-UNIT RESIDENTIAL DEVELOPMENT AT 2250 SAN DIEGUITO DRIVE (APN:
299-100-51-00) (CLERK’S FILE NO. 303-1)
City Attorney Cameron announced that both Mayor Martinez and Deputy Mayor Spelich were both recused from the item due to living within 500 feet of the property. In order to have a quorum (three members) to vote on the item, a straw vote was conducted and Mayor Martinez was selected to participate in the item.
There were no public speakers for the item.
IT WAS MOVED BY COUNCILMEMBER GAASTERLAND AND SECONDED BY COUNCILMEMBER QUIRK TO ADOPT RESOLUTION 2026-15 “A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF DEL MAR, CALIFORNIA, AUTHORIZING THE
CITY MANAGER TO EXECUTE AN AFFORDABLE HOUSING REGULATORY AGREEMENT WITH WATERMARK DM L.P., AN ARIZONA LIMITED PARTNERSHIP, FOR THE WATERMARK DEL MAR MULTI-UNIT HOUSING DEVELOPMENT AT 2250 SAN DIEGUITO DRIVE (APN: 299-100-51-00)”, RESTRICTING 10 OF THE 50 UNITS
IN THE APPROVED WATERMARK DEL MAR PROJECT AS LONG-TERM
AFFORDABLE HOUSING. (3-0-1 WITH DEPUTY MAYOR SPELICH RECUSED) Ayes: Mayor Martinez; Councilmembers Gaasterland and Quirk; Noes: 0; Recused:
Deputy Mayor Spelich; Absent: 0; Abstain: 0.
BOARD AND COMMISSION APPOITMENTS
ITEM 10: DESIGN REVIEW BOARD INTERVIEWS AND APPOINTMENT (CLERK’S FILE NO. 401-5)
Administrative Services Manager/City Clerk Sarah Krietor provided an overview of the Design Review Board interview and appointment process. The City Council interviewed Caitlin Laipenieks and received notification from Dolores Davies Jamison that she was unable to attend the meeting and she encouraged the Council to appoint a qualified candidate and to consider her application for this vacancy or a future vacancy.
City Council Regular Minutes
March 3, 2026
Council disclosures were as follows: Councilmember Gaasterland disclosed that she met with Caitlin Laipenieks prior to the interviews and knows Dolores Davies Jamison; Councilmember Quirk had no disclosures; Deputy Mayor Spelich disclosed that he met with both candidates prior to the interviews; and Mayor Martinez disclosed that she also met with both candidates.
Council interviewed Caitlin Laipenieks.
There were no public speakers.
Council voted unanimously to appoint Caitlin Laipenieks to the Design Review Board for a full term beginning on March 3, 2026, and expiring on March 31, 2030.
COUNCIL MEETING RECESS:
The City Council took a meeting recess from approximately 7:15 to 7:20 p.m.
CITY COUNCIL OTHER BUSINESS
ITEM 11: AUTHORIZATION TO SUBMIT 2025 HOUSING ELEMENT ANNUAL PROGRESS REPORT (CLERK’S FILE NO. 304-7)
A presentation was provided by Associate Planner Nicole Marrow and Principal Planner Amanda Lee.
Planning and Community Development Director Karen Brindley was available to answer questions.
Council questions focused on the red dot public comments regarding the use of the 10th Street property for housing; clarification that placement of the Alvarado House at the Shores Park Property is being evaluated as part of the Shore Parking Master Planning process currently under consideration by the Shores Park Advisory Committee; whether the number of affordable units included in the Seaside Ridge Project would satisfy the City’s low and very low quota in the 6th Cycle Housing Element; timing for the City’s adoption of the 6th Cycle Housing Element; clarification that many cities throughout the state and County faced delays receiving California Department of Housing and Community Development (HCD) certification; City’s efforts to implement the 6
th Cycle Housing Element Programs timely; whether there were substantives changes to the 6th Cycle Housing Element between the Council’s initial adoption and HCD certification; and whether Accessory Dwelling Units (ADUs) can be counted towards affordable units.
There were no public speakers for this item.
Council discussion focused on appreciation to staff for their work on this item and for navigating the evershifting housing legislative landscape; satisfaction on the City’s progress with production of affordable housing units; challenge of producing low and very low units that many cities are facing; and desire the maximize low and very low units while minimizing community impacts.
IT WAS MOVED BY DEPUTY MAYOR SPELICH AND SECONDED BY COUNCILMEMBER QUIRK TO AUTHORIZE STAFF TO SUBMIT THE CITY OF DEL MAR 2025 HOUSING ELEMENT ANNUAL
PROGRESS REPORT (APR) TO THE STATE DEPARTMENT OF HOUSING AND COMMUNITY
DEVELOPMENT (HCD), SAN DIEGO ASSOCIATION OF GOVERNMENTS (SANDAG) AND GOVERNOR’S OFFICE OF LAND USE AND CLIMATE INNOVATION (LCI) (VOTE 4-0) Ayes: Mayor Martinez; Deputy Mayor Spelich; Councilmember Gaasterland and Quirk; Noes: 0; Recuse: 0; Absent: 0; Abstain: 0.
City Council Regular Minutes
March 3, 2026
ITEM 12: FISCAL YEAR 2024-25 FINAL FINANCIAL REPORT AND FISCAL YEAR 2025-26 MIDYEAR FINANCIAL REPORT (CLERK’S FILE NO. 202-5) An introduction to the item was provided by City Manager Jones. A presentation was provided by Finance Manager Marco Camacho. Finance Officer Monica Molina was available to answer questions.
Council questions and discussion focused on the sources of “Other Revenue” referenced in the tables in the agenda report; City’s Transnet debt; whether Measure Q tax revenue is general fund monies; FY 2024-25 budget surplus and potential uses of the surplus and timing for making those allocations; current City resources dedicated to paving; appreciation to staff for their work on this item; planned San Dieguito Drive and Oribia Road repaving and sealing; City pension reserve policy and Finnell Plan (Capital Project funding) and process and timing for the Finance Committee and City Council to review the policies.
There were no public speakers for the item.
IT WAS MOVED BY COUNCILMEMBER GAASTERLAND AND SECONDED BY COUNCILMEMBER QUIRK TO 1) RECEIVE AND FILE THE JUNE 30, 2025 ANNUAL COMPREHENSIVE FINANCIAL REPORT (ACFR) AND FISCAL YEAR 2024-25 FINAL FINANCIAL REPORT; 2) RECEIVE AND FILE THE FISCAL YEAR 2025-26 MID-YEAR FINANCIAL REPORT; AND 3) ADOPT RESOLUTION 2026- 16, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DEL MAR, CALIFORNIA, AMENDING THE FISCAL YEAR 2025-2026 OPERATING AND CAPITAL BUDGET” INCLUDED IN EXHIBIT A, AUTHORIZING NET REVENUE ADJUSTMENTS TOTALING $5,673,620 MILLION AND NET EXPENDITURE ADJUSTMENTS TOTALING $1,325,660, AND AUTHORIZING UNSPENT FY 2024-25 ENCUMBRANCES AND CONTINUING APPROPRIATIONS TO BE CARRIED OVER TO FY 2024-25 AS INCLUDED IN ATTACHMENT B TOTALING $9,071,519 IN EXPENDITURES AND $3,924,755 IN REVENUES, EXCLUDING THE $425,000 TRANSFER TO THE PENSION RESERVE FUND RECOMMENDED BY STAFF WITH THE FUNDS REMAINING IN THE GENERAL FUND. (VOTE 4-0) Ayes: Mayor Martinez; Deputy Mayor Spelich; Councilmembers Gaasterland and Quirk; Noes: 0; Recuse: 0; Absent: 0; Abstain: 0.
IT WAS MOVED BY DEPUTY MAYOR SPELICH AND SECONDED BY MAYOR MARTINEZ TO TRANSFER $425,000 TO THE PENSION RESERVE FUND (VOTE 2-2-0 WITH COUNCILMEMBERS GAASTERLAND AND QUIRK VOTING NO; MOTION FAILED)
Ayes: Mayor Martinez and Deputy Mayor Spelich; Noes: Councilmembers Gaasterland and Quirk; Recuse: 0; Absent: 0; Abstain: 0.
ITEM 13: UNDERGROUNDING PROGRAM UPDATED LONG-TERM CASH FLOW ANALYSIS (CLERK’S FILE NO. 1001-1)
City Attorney Christina Cameron provided an overview on format for the agenda item due to Mayor Martinez and Councilmember Quirk being recused on the portion of the item related to the Beach Colony (District 2) due to living within 500 feet of the subject matterof the discussion. A straw vote was conducted and Councilmember Quirk was selected to participate in the portion of the discussion related to the Beach Colony (District 2).
An introduction to the item was provided by City Manager Jones. A presentation was provided by Principal Engineer Martin Boyd and Finance Manager Marco Camacho. Finance Officer Monica Molina was available to answer questions.
City Council Regular Minutes
March 3, 2026
Following staff’s presentation Mayor Martinez recused from the discussion related to Beah Colony (District 2).
Council questions and discussion on Beach Colony (District 2) and 25th Street focused on clarification on the staff’s recommended action and whether the Council could proceed with unified construction in the future; timing and budget considerations related to project construction; inclusion of cable poles in the project; financial modeling conducted by Councilmember Quirk; whether the Council could give direction to evaluate financing for Beach Colony (District 2) and provide additional direction to staff to evaluate future financing, if that is the Council consensus.
There were no public speakers for the portion of the discussion related to Beach Colony (District 2).
IT WAS MOVED BY COUNCILMEMBER GAASTERLAND AND SECONDED BY DEPUTY MAYOR
SPELICH TO DIRECT STAFF TO PROCEED WITH SCENARIO TWO, ADVANCING THE DESIGN OF BEACH COLONY (DISTRICT 2) AND 25TH STREET AND PHASED CONSTRUCTION AND PROVIDE
DIRECTION TO STAFF TO EVALUATE OPTIONS TO COMPLETE CONSTRUCTION OF THE ENTIRE DISTRICT 2 BY 2030 INCLUDING EXPLORING FINANCING OPTIONS FOR COUNCIL CONSIDERATION (3-0-1 WITH MAYOR MARTINEZ RECUSED)
Ayes: Deputy Mayor Spelich; Councilmembers Gaasterland and Quirk; Noes:0 Recused: Mayor Martinez; Absent: 0; Abstain: 0.
Mayor Martinez rejoined the meeting.
Council questions on the remaining recommended actions focused on the assumptions in the modeling prepared by staff and City consultant NHA Advisors and the modeling prepared by Councilmember Quirk; staff best practice to avoid dedicating project contingency towards other projects until the project is complete due to change orders; clarification on annual interest earnings of the Measure Q fund; and market condition impacts on the financial modeling.
Mayor Martinez opened public oral communication and the following people spoke:
1) Tate Scott
2) Tom McGreal
Mayor Martinez closed public communication.
Council discussion focused on economic factors that could impact the cash flow analysis and financial modeling; current City debt obligations; assumptions used in the financial model prepared by staff; whether cost estimates for District 2 include 25th Street; mechanism for drawing down IBank loan funds for Districts X1A/1B on a reimbursement basis; frequency for Council to receive Measure Q revenue updates; and clarifications on the cash flow analysis for Scenario 2 prepared by staff.
A MOTION WAS MADE BY COUNCILMEMBER GAASTERLAND AND SECONDED BY MARTINEZ
TO DIRECT STAFF TO UPDATE THE FINANCE-AS-YOU-GO MODELING PREVIOUSLY PRESENTED IN NOVEMBER 2024, TO EVALUATE FUTURE OPPORTUNITIES FOR STRATEGIC
AND FISCALLY RESPONSIBLE FINANCING TO ACCELERATE UNDERGROUNDING PROGRAM COMPLETION AND REDUCE OVERALL COSTS. (VOTE 4-0)
Ayes: Mayor Martinez, Deputy Mayor Spelich, Councilmembers Gaasterland and Quirk Noes: 0 Recused: 0; Absent: 0; Abstain: 0.
City Council Regular Minutes
March 3, 2026
IT WAS MOVED BY COUNCILMEMBER GAASTERLAND SECONDED BY DEPUTY MAYOR
SPELICH TO DIRECT CITY STAFF TO EVALUATE CASH FLOWS AND PHASED CONSTRUCTION FOR ALL UPCOMING DISTRICTS (VOTE 3-1-0 WITH COUNCILMEMBER QUIRK OPPOSED) Ayes: Mayor Martinez, Deputy Mayor Spelich, and Councilmembers Gaasterland Noes:
Councilmember Quirk; Recused: 0; Absent: 0; Abstain: 0.
Council consensus regarding the process for implementing the Council’s direction regarding project financing was for the Undergrounding Program Advisory Committee (UPAC) Finance Subcommittee to make an initial recommendation on the financing guidelines. This recommendation will be presented to UPAC and the Finance Committee in a recorded joint meeting. The committees’ recommendation will then be provided to the City Council for consideration.
REGIONAL ORGANIZATION AND COUNCIL COMMITTEES/SUBCOMMITTEES/COMMUNITY
ORGANIZATION REPORTS
City Council representatives reported on the San Diego Association of Government (SANDAG) Board of Directors.
ADJOURNMENT
Mayor Martinez adjourned the meeting at 9:28 p.m.
______________________________________
Sarah Krietor, Administrative Services Manager/
City Clerk