_________________________________________________________________________________________________________ City Council Special Minutes Page 1 of 3 June 14, 2023
LAGUNA NIGUEL CITY COUNCIL
Minutes of the Special City Council Meetings
June 14, 2023 – 4:00 p.m.
CALL TO ORDER – Mayor Jennings called the Special City Council meeting to order at 4:03 p.m.
ROLL CALL
Mayor Kelly Jennings – Present
Mayor Pro Tem Stephanie Oddo – Present
Council Member Ray Gennawey – Present
Council Member Stephanie Winstead – Present
PLEDGE OF ALLEGIANCE – Mayor Pro Tem Oddo
PUBLIC COMMUNICATIONS
There were no public comments.
CITY COUNCIL
1. Conduct Interviews to Fill the City Co uncil Vacancy, Unless Ot herwise Specified.
The City Council conducted interviews for the following applicants:
City Council Candidates (1 vacancy):
1. Kinney, John 4:10 p.m.
2. Moslehi, Shanana 4:20 p.m.
3. McGuire, J Tameron 4:30 p.m.
4. Frink, Cheryl 4:40 p.m.
5. Vinci, June 4:50 p.m.
6. Yazdi, Ramin 5:00 p.m.
7. Meister, Robert 5:10 p.m.
8. Levitin, Michael 5:20 p.m.
9. Riegle, Richard 5:30 p.m.
10. Glantz, James 5:40 p.m.
The City Council took a brief recess at 5:43 p.m. and reconvened at 6:03 p.m.
11. Greer, John 5:50 p.m. *Applicant Withdrew
12. Owen, Jim 6:00 p.m.
13. Herzbrun, Paul 6:10 p.m.
14. Gebhard, Emily 6:20 p.m.
15. Lambino, Christine 6:30 p.m.
16. Von Waldburg, Jeff 6:40 p.m.
17. Caldwell, Melissa 6:50 p.m.
_________________________________________________________________________________________________________ City Council Special Minutes Page 2 of 3 June 14, 2023
18. Johns, Foster “Gene” 7:00 p.m.
19. Fisk, Brian 7:10 p.m.
20. Workman, Vince 7:20 p.m.
21. Hersh, Peter 7:30 p.m.
Following the conclusion of the interviews , the City Council took a brief recess at 7:41 p.m. and reconvened at 7:48 p.m.
2. Discussion and Appointment of New City Council Member to Fill Vacancy.
The City Council thanked all who participated in the process and for their willingness to serve the community.
A br ief explanation of the nomination and appointment process was provided by City Attorney Scott Smith.
Mayor Jennings opened the floor to receive nominations from the City Council.
Council Member Gennawey nominated Foster “Gene” Johns and expressed his support for the appointment.
Mayor Pro Tem Oddo expressed her support of several applicants , and nominated Brian Fisk, Christine Lambino, Ramin Yazdi, June Vince, and John Kinney.
Mayor Jennings closed the floor to receive nominations.
Mayor Jennings expressed her support for the appointment of Foster “Gene” Johns.
Council Member Wi nstead also expressed her support for the appointment of Foster “Gene” Johns.
A MOTION was made by Council Member Gennawey , seconded by Mayor Jennings, to:
Appoint Foster “Gene” Johns to serve on the City Council, to fill the existing vacancy.
Motion carried 3-1, with Mayor Pro Tem Oddo voting no.
Mayor Jennings tha nked her colleagues for the di scussion and all the applicants for their willingness to serve the City of Laguna Niguel. She encouraged those not selected to consider serving the community as a member of a City Commission or Committee.
Mayor Jennings congratulated Foster “Gene” Johns for being appointed to serve on the City Council and announced that the formal oat h of office will take place at the regular City Council meeting scheduled for June 20, 2023.
ADJOURNMENT
Mayor Jennings adjourned the meeting at 8:16 p.m.
_________________________________________________________________________________________________________ City Council Special Minutes Page 3 of 3 June 14, 2023
Respectfully submitted,
_
Marissa J. Asistin, CMC, City Clerk
City Council Regular Meeting Minutes Page 1 of 8 June 20, 2023
LAGUNA NIGUEL CITY COUNCIL
Minutes of the Regular City Council Meeting
June 20, 2023
6:00 p.m. – Regular Meeting
CALL TO ORDER AND ROLL CALL – Mayor Jennings called the Regular City Council Meeting to order at 6:01 p.m.
Mayor Kelly Jennings – Present
Mayor Pro Tem Stephanie Oddo – Present
Council Member Ray Gennawey– Present
Council Member Gene Johns – Present
Council Member Stephanie Winstead – Present
CLOSED SESSION
PUBLIC COMMENTS ON CLOSED SESSION
There were no public comments.
RECESS TO CLOSED SESSION ITEMS
1. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Significant Exposure to Litigation Pursuant to Government Code Section 54956.9(d)(2)
Number of Potential Cases: 1
2. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Initiation of Litigation Pursuant to Government Code Section 54956.9(d)(4)
Number of Potential Cases: 1
City Council conducted Closed Session.
Mayor Jennings called the regular meeting back to order at 7:00 p.m.
CLOSED SESSION REPORT
City Attorney Smith reported that there was no reportable action taken during C losed Session.
INVOCATION – Pastor Jim Szeyller, Laguna Niguel Presbyterian Church
PLEDGE OF ALLEGIANCE – Boy Scout Troop 705
PUBLIC COMMENTS
Roberto Caudillo spoke on working to improve bicycle infrastructure.
City Council Regular Meeting Minutes Page 2 of 8 June 20, 2023
CITY COUNCIL PRESENTATIONS
1. Administration of Oath of New City Council Member
City Clerk Asistin administered the Oath of Office to Council Member Gene Johns.
2. Comments by Newly Appointed Council Member
Council Member Johns expressed his gratitude for his appointment and for the opportunity to serve on the City Council. He thanked the Mayor and the Council Members for their trust in him and stated that they would collectively make a strong team. He thanked his family and friends for their encouragement and support. He thanked his wife for her support throughout the process. He expressed his gratitude for the opportunity to represent the residents of Laguna Niguel for the next seventeen months and stated that he is confident that through his actions and votes , the residents will agree that he has their best interests at heart.
CONSENT CALENDAR
Consent calendar Item No. 8 was pulled from the consent calendar.
Council Member Johns stated that he would abstain from Item No. 3.
A MOTION was made by Council Member Gennawey , seconded by Mayor Pro Tem Oddo, to approve the remainder of the Consent Calendar as presented.
Motion carried 5-0 with Council Member Johns abstaining on Item No. 3.
1. Warrants of June 20, 2023
Approved as written.
2. Payroll Summary Register
Approved as written.
3. Minutes of the Special City Council Meeting on May 30, 2023, and Minutes of the Regular City Council Meeting on June 6, 2023
Approved as written.
4. Approval of Maintenance Services Agreement for City Wide HVAC Maintenance and Repair Services with First Response Air Conditioning & Heating, Inc.
1. Approved the Maintenance Services Agreement for Citywide HVAC Maintenance and Repair Services in the not-to-exceed amount of $75,000 per year for Fiscal Years 2023- 24 through 2025- 26, subject to extension administratively for two additional one-year periods;
City Council Regular Meeting Minutes Page 3 of 8 June 20, 2023
2. Approved a not-to-exceed 20% contingency per year of the total contract value in the amount of $15,000 for unforeseen conditions or extra work and authorize the Public Works Director/City Engineer to approve additional work with First Response Air Conditioning & Heating Inc. for a total not -to-exceed amount of $90,000 per year, if needed; and,
3. Authorized the City Manager to execute the agreement and future amendments to the Maintenance Services Agreement with First Response Air Conditioning & Heating Inc., subject to the City Attorney making non-substantive changes.
5. Approval of Amendments to Maintenance Services Agreement with Coastal Building Services, Inc. for Janitorial Services at City Parks and Metrolink Station; Commercial Building Management Services, Inc. for Janitorial Services at City Facilities; Sage Environmental Group LLC for City Wide Weed Abatement Services; and SCA of CA LLC for Citywide Street Sweeping Services
1. Approved Amendments to the subject Maintenance Services Agreements to exercise an optional one-year term extension and increase the total annual not- to-exceed contract amount by three percent (3%) for Fiscal Year 2023-24;
2. Approved the addition of a not-to-exceed 20% contingency of the total contract amount equal to $15,776 on Amendment No. 2 with Sage Environmental Group LLC, as included in the table above, for unforeseen conditions or extra work and authorize the Public Works Director/City Engineer to approve additional work;
3. Approved the assignment of all rights and obligations under the Agreement with Jonset Corporation dba Sunset Properties to SCA of CA LLC in Amendment No. 1;
4. Approved the addition of a price escalation clause applicable to the remaining future option year extension in the Amendments to the Maintenance Services Agreements with Commercial Building Management Services, Inc. and SCA of CA LLC; and,
5. Authorized the City Manager to execute the Maintenance Services Amendments, and future amendments to the agreements, subject to the City Attorney making non-substantive changes.
6. Adoption of Resolution No. 2023 -1435, Adopting a List of Projects for Fiscal Year 2023-24 Funded by SB 1: The Road Repair and Accountability Act of 2017
1. Approved the recommended list of projects for Fiscal Year 2023- 24 to be funded by SB 1: The Road Repair and Accountability Act of 2017; and,
2. Adopted Resolution No. 2023-1435, Adopting a List of Projects for Fiscal Year 2023-24 Funded by SB 1: The Road Repair and Accountability Act of 2017.
City Council Regular Meeting Minutes Page 4 of 8 June 20, 2023
7. Adoption of Resolution No. 2023-1442, Reaffirming and Extending the Existing Proclamation of Local Emergency in Connection with the Recent Earth Movement Under La Paz Road
Adopted Resolution No. 2023-1442, reaffirming and extending the proclamation of local emergency in connection with the recent earth movement under La Paz Road.
9. Second Reading and Adoption of Ordinance No. 2023-223, An Ordinance Amending Zoning Provisions Pertaining to Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs) in Conformance with State Law
1. Conducted a second reading, by title only, and adopt ed Ordinance No. 2023- 223:
ORDINANCE NO. 2023-223
AN ORDINANCE OF THE CITY OF LAGUNA NIGUEL, CALIFORNIA,
ADOPTING ZONING CODE AMENDMENT ZCA 23-01 AMENDING THE
LAGUNA NIGUEL MUNICIPAL CODE ZONING CODE PROVISIONS
PERTAINING TO ACCESSORY DWELLING UNITS AND JUNIOR
ACCESSORY DWELLING UNITS TO CONFORM WITH REVISIONS TO
STATE LAW, AND MAKING A DETERMINATION OF EXEMPTION UNDER CEQA
ITEM PULLED FROM CONSENT CALENDAR
8. Orange County Transportation Authority OC Go (Measure M2) Eligibility Package Submittal
Council Member Winstead share her support of the seven -year capital program that includes Crown Valley Parkway Road widening, remediating the earth movement under La Paz Road, a bicycle green zone pilot project around the Federal building property, and catch basins for the storm water runoff which would further prevent pollution getting into the ocean. She shared that a large portion of the projects are funded by state and federal funds including SB1, gas tax, and Measure M2.
A MOTION was made by Council Member Winstead, seconded by Mayor Pro Tem Oddo, to:
1. Adopt Resolution No. 2023-1436, adopting a Seven-Year Capital Improvement Program for Fiscal Years 2023- 24 through 2029- 30 for compliance with the Measure M2 eligibility requirements;
2. Adopt Resolution No. 2023- 1437, concerning the status and update of the Circulation Element and Mitigation Fee Program for the City of Laguna Niguel;
City Council Regular Meeting Minutes Page 5 of 8 June 20, 2023
3. Adopt Resolution No. 2023- 1438, concerning the update of the Local Signal Synchronization Plan Update for the City of Laguna Niguel; and,
4. Direct staff to submit the City’s OC Go (Measure M2) Eligibility Package to the Orange County Transportation Authority prior to June 30, 2023.
Motion carried 5-0.
PUBLIC HEARING
1. Adoption of Fiscal Year 2023-2024 Operating and Capital Budget, and Approval of Updates to Fee Schedule for Community Development Services and Amending the Fee for Usage of Credit and Debit Cards
City Manager Letourneau introduced the item with a report and Finance Director Agrelius and Public Works Director Scott both provided a presentation on the Fiscal Year 2023- 2024 Operating and Capital Budget , the approval of updates to the fee schedule for Community Development Services and amendments to the fee for the usage of credit and debit cards.
COUNCIL QUESTIONS
Council Member Gennawey thanked City Manager Letourneau and staff for answering all of his questions prior to tonight’s meeting.
Mayor Jennings opened the Public Hearing.
There were no public comments.
Mayor Jennings closed the Public Hearing.
COUNCIL COMMENTS
Mayor Pro Tem Oddo shared that she had gone line by line through the budget and had 50 questions for staff, and that she enjoys studying the budget. She shared that many of the increases in the budget are due to inflation and the increase of cost of goods. She shared that there were some decreases to line items that have offset some of the increases, which she appreciates. She shared that the Orange C ounty Sheriff ’s Department contract came in lower than the prior year, but because the employment agreements are being negotiated, a buffer of about 8.1% was added to cover the City depending on where and when the negotiations conclude. She shared that employee salaries and benefits were increased in order to retain current employees and attract new employees. She shared that the City has the cost of doing business such as software upgrades and Mission Viejo Animal Services whose contract increased 14%. She stated that even with all the factors challenging the local economy , the City did a great job in balancing the budget. She shared that she is very excited about the bicycle green zone pilot project included in this year’s CIP. She shared that there are tw o big projects that are coming up that have not yet been funded, the Crown Valley Parkway Widening which
City Council Regular Meeting Minutes Page 6 of 8 June 20, 2023
is a $15 million project and the La Paz Road Rehabilitation which is a $16 million project.
She shared that neither of the projects currently have funding but have excellent funding potential, which is why she is supportive of putting the $0.5 million surplus to the infrastructure reserve fund. She shared that the planning fees have been changed to stop subsidizing developers and to plan and save for the next general plan in 20 years. She shared that the City’s General Plan should be updated every 20 years and encouraged her colleagues to help make this a policy. She thanked Finance Director Agrelius for his work on the budget. Mayor Pro Tem Oddo stated her support of the proposed Fiscal Year 2023-2024 budget.
Council Member Winstead stated her concurrence with Mayor Pro Tem Oddo and shared that she also agreed that the $2.6 million should be put into the deferred maintenance capital assets and infrastructure reserve. She shared that after looking at the five- year financial forecast, the conservative revenue estimates compared with inflation and increasing expenses has the City at a near break even point , which is concerning and highlights the need for the City to remain conservative in its budgeting to maintain the City’s longstanding financial sustainability. She thanked staff for their efforts in the budget process.
Council Member Gennawey shared that the Federal Government is running a deficit of about $1.5 trillion this year and the State of California is projected to run a deficit of $31 billion this year. He shared that it is unacceptable, and the people deserve a government that operates within its means. He stated that the City is proud to deliver to the residents of Laguna Niguel a balanced budget, one where revenues exceed expenditures, where the police are fully funded, where 141 miles of road and 76 intersect ions are well maintained, where parks and sport facilities are safe, clean and fun. He stated that the City continues to provide the residents with the year round events that bring the community together; the Sea Country Festival, the Concerts in the Park, the Holiday Parade, and the 4
th of July festivities. He shared that the budget is a yearlong process and that a lot of time has been spent with staff discussing priorities. He shared that the budget reflects the priorities of safety first, having safe streets, clean parks, and wonderful events while meeting the long- term goals. He shared that there was a Strategic Goal workshop for the Strategic Plan in March where a majority of the priorities were laid out and a majority of them were adopted in the propos ed budget. He shared that there was a Budget Workshop where the finer points of the budget were discussed and those were adopted in the proposed budget. He shared that the General Plan Update was ongoing and that the expenditure will be included for the following two years. He shared that at the June 6, 2023 meeting the Council approved the contract for a firm to help the City update the General Plan which has not been updated in over 30 years. He shared that an update to the Municipal Code which has not been updated in over 30 years has also been added to the proposed budget this year. He shared the City is balancing long term goals with immediate needs and looking at the $2.6 million surplus and what to do with it. He stated that he is satisfied with putting the $2.6 million surplus towards infrastructure. He shared that there is earth movement on La Paz Road to the point that half the road is shut down and the City needs to be able to have the funding and liquidity to tackle the problem. He shared that the City is moving forward in seeking a $16 million grant from the Federal Government to tackle the La Paz Road repair project. He shared that the City will need to put some cash up front to make sure the City can remediate and rehabilitate the road
City Council Regular Meeting Minutes Page 7 of 8 June 20, 2023
and the C ity will get reimbursed once the grant is received. He asked the residents for their patience on the La Paz Road fix and that it would be taking a couple of years. He shared that page 84 in the budget is the road map for the next five years with Capital Improvements. He stated that the proposed budget is solid and balanced and stated his support of the proposed Fiscal Year 2023-2024 budget.
Council Member Johns stated his support of the proposed Fiscal Year 2023-2024 budget.
He shared that he has lived in cities that do not have a surplus and that it is wonderful to know that the foundation of the City of Laguna Niguel started with a balanced budget and still continues. He thanked staff for their work with the proposed budget.
Mayor Jennings ex pressed her appreciation for the staff, City Manager, and Finance Team for their work with the proposed Fiscal Year 2023- 2024 budget. She shared that the task of balancing a budget is not easy as it requires making difficult decisions, prioritizing competing demands, and seeking creative solutions to address the challenges the City faces. She stated that the budget reflects the commitment to responsible financial stewardship as well as the wellbeing of the residents all with zero debt.
A MOTION was made b y Council Member Gennawey , seconded by Mayor Pro Tem Oddo, to:
1. Adopt Resolution No. 2023- 1439, Approving the City of Laguna Niguel Fiscal Year 2023-2024 Operating and Capital Improvement Budget;
2. Adopt Resolution 2023- 1440, Amending the Community Development Fee Schedule and Amend the Fee for the Use of City Credit/Debit Cards for Payments to the City, and Making a Finding of Exemption Under CEQA in Connection Therewith;
3. Adopt Resolution No. 2023- 1441, Establishing the Appropriation Limit (Gann Limit) for the City of Laguna Niguel for the Fiscal Year 2023-2024;
4. Commit the Fiscal Year 2023-2024 $0.5 million budget surplus to the Deferred Maintenance, Capital Assets, and Infrastructure Replacement reserve; and,
5. Commit the Fiscal Year 2021- 2022 $2.1 million surplus to the Deferred Maintenance, Capital Assets, and Infrastructure Replacement reserve.
Motion carried 5-0.
OTHER BUSINESS/COUNCIL REPORTS
1. Council Reports
Council Member Winstead shared information about the City ’s mobile app and encouraged the community to download the app and use it to keep up with the City events.
City Council Regular Meeting Minutes Page 8 of 8 June 20, 2023
Mayor Pro Tem Oddo provided updates on the budget and the open bond buyback program from t he Transportation Corridor Agencies. She provided updates on the California Property Insurance market. She spoke on Juneteenth and expressed her desire to be able to close City Hall and recognize the holiday and inquired with the City Attorney about it. City Attorney Smith stated that the City would need to re-open negotiations with the Union for consideration of such an action . Mayor Pro Tem Oddo welcomed Council Member Johns to the Council and stated that the Council is better than when she was first elected.
Council Member Johns expressed his gratitude for the Council’s support and trust in him.
He shared that he attended the Meet the Goats event and enjoyed himself . He shared that it was National Vanilla Milkshake Day and encouraged the residents to go out an d get a milkshake.
Council Member Gennawey thanked the residents who applied for the City Council vacancy and attended the interview. He congratulated Council Member Johns and his wife. He stated that the C ouncil is now strong and that he is pleased with the group. He provided updates on the visa waiver program with Chile. He shared that on June 27 th,
Police Services will be having a Neighborhood Watch Open House meeting at the Crown Valley Community Center at 6 p.m. He encouraged the community to come out on Friday night to the Summer Concert at Crown Valley Park featuring Yachty by Nature.
Mayor Jennings welcomed Council Member Johns and thanked him for serving.
2. City Manager/Department Reports
Parks and Recreation Director Ron Rivera announced the Fourth of July events. He shared that the day kicks off with a 5k hosted by YMCA and includes an expo and pancake breakfast hosted by the Laguna Niguel Chamber of Commerce. He shared that there will be open swim at the Laguna Niguel Aquatics Center from 9 a.m. to 12 p.m. followed by a pool party from 1 p.m. to 4 p.m. At 5:30 p.m. there will be a patriotic fly over and the Elton John Experience concert will be from 6 p.m. until 8 p.m. The sky will light up at 9 p.m. with the fireworks show.
ADJOURNMENT
Mayor Jennings adjourned the Regular City Council Meeting at 8:13 p.m.
Respectfully submitted,
__
Marissa J. Asistin, CMC, City Clerk