PLACENTIA CITY COUNCIL
PLACENTIA CITY COUNCIL ACTING AS SUCCESSOR AGENCY TO THE
PLACENTIA REDEVELOPMENT AGENCY
PLACENTIA INDUSTRIAL COMMERCIAL DEVELOPMENT AUTHORITY
PLACENTIA PUBLIC FINANCING AUTHORITY
MINUTES
REGULAR MEETING
September 3, 2024
S:00 p.m. - City Council Chambers
401 E. Chapman Avenue, Placentia, CA
CALL TO ORDER: Mayor Yamaguchi called the meeting to order at 5:03 p.m.
ROLL CALL:
PRESENT: Councilmember/Board Member Shader, Smith, Wanke, Kirwin, Yamaguchi ABSENT: None
ORAL COMMUNICATIONS:
Mayor Yamaguchi opened Oral Communications for the Closed Session. City Clerk McKinnell stated that the City Clerk's Office had received no public comment for the Closed Session. Mr. McKinnell announced the Closed Session case.
The City Council and Boards of Directors recessed to the City Council Caucus Room for the purpose of conducting their Closed Session proceedings on the following:
1. Pursuant to Government Code Section 54956.9(d)(2)
CONFERENCE WITH LEGAL COUNSEL — Anticipated Litigation
1 case)
RECESS: The City Council and Boards of Directors recessed to their 7:00 p.m. Regular Meeting.
CALL TO ORDER: Mayor Yamaguchi called the meeting to order at 7:00 p.m.
ROLL CALL:
PRESENT: Councilmember/Board Member Shader, Smith, Wanke, Kirwin, Yamaguchi ABSENT: None
STAFF PRESENT:
City Attorney/Authority Counsel Christian Bettenhausen; Assistant City Attorney Kristi Smith, City Administrator Damien Arrula; Police Chief Brad Butts; Fire Chief Jason Dobine; Director of Finance Jennifer Lampman; Director of Development Services Joe Lambert; Director of Public Works Chris Tanio, Deputy Director of Administrative Services Jeannette Ortega; City Treasurer Kevin Larson; City Clerk Robert McKinnell; Deputy City Clerk Carole M. Wayman
INVOCATION: Chaplain Tony Mercado
PLEDGE OF ALLEGIANCE: Mayor Yamaguchi
PRESENTATIONS:
a. Proclamation of September 2024 as Hunger Action Month Presenter: Mayor Yamaguchi and City Council
Recipient: Sara Bazant of Second Harvest Food Bank
Mayor Yamaguchi presented a Proclamation to Sara Bazant of Second Harvest Food Bank recognizing September 2024 as Hunger Action Month in the City of Placentia.
Ms. Bazant provided comments and statistics on hunger and thanked the Council for their support.
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CLOSED SESSION REPORT:
City Attorney/Authority Counsel Bettenhausen stated that there was one (1) item on the Closed Session agenda, the City Council discussed the item, direction was provided, and there was nothing further toreport.
CITY ADMINISTRATOR REPORT:
City Administrator Arrula welcomed and introduced two (2) new City of Placentia employees.
Fire Prevention Specialist Lisa Bruto graduated from Cal State LA with a Bachelor's degree in Fire Administration and a minor in Public Administration. She comes to the City of Placentia with 24 years of experience at her previous agency in EI Segundo and brings a wealth of knowledge to our community. The Fire Prevention Specialist, also known as a fire inspector, performs fire inspections such as state - mandated, routine, complaint, and new construction inspections. Lisa will participate in public outreach, work closely with our other City department personnel, and respond to community inquiries about fireandlifesafetyissues.
Environmental Services Coordinator Cheryl Miller earned her bachelor's degree in environmental studies from UC Santa Cruz and brings four years of valuable experience in solid waste and recycling, having previously worked as a Sustainability Specialist at CR&R Environmental Services. She played a key part in implementing SB 1383 for the City of Lake Forest and developed recycling and organicprogramsforcommercialandresidentialcustomers.
ORAL COMMUNICATIONS:
Mayor Yamaguchi made a motion to reorder the agenda to move Item No. 3.a. before Item No. 2.a. The motion was seconded by Councilmember Wanke and passed unanimously.
Randal Houston, President of the Orange County Law Enforcement Emerald Society and Board member of the Celtic Fest expressed appreciation to the Council and Staff for their support of the Celtic Festival event which was held on June 15th and 16th. He presented a certificate of appreciation to the Mayor andCouncilmembers.
Craig Green, Placentia resident and former Councilmember, expressed appreciation to the Council for the City's financial improvements and emphasized the importance of making decisions that benefitPlacentiaresidents.
Meredith Castillo, Placentia resident, thanked the City for their efforts in moving the fire hydrant in front of the Veterans clinic on Placentia Avenue. He expressed concerns about the lack of a sidewalk on Yorba Linda Boulevard in front of the pumpkin patch and inquired about a bench that is missing in WagnerPark.
Linda Cone expressed concerns about Placentia Yorba Linda School Board elections and urged the Council to consider passing a Resolution supporting candidates that support critical race theory and the currentadministration.
Julie Suchard, Placentia resident, expressed concerns about City Administrator Arrula's compensation package and expenses, car washes, car allowance, electric car charger and charging electricity expenses.
She also expressed concerns about per diem expenses for Councilmember Shader and City credit cardchargesforairfareforSheilaJordan.
Barry Holmes, owner of the Bruery, commented on the City's audit of the Bruery's business records and the difficulties the business has encountered over the four (4) year audit period.
Jeff Buchanan, Placentia resident and business owner, expressed concerns about traffic safety at YorbaLindaBoulevardandValenciaAvenueandurgedtheCounciltolowerthespeedlimit. He also commented on public comments made about Councilmember expenses.
Mayor Yamaguchi stated that the comments about expenses expressed by the public are beinginvestigatedbyanindependentagencyandtheCouncilwillreportouttheresultsatalaterdate.
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CITY COUNCIL/BOARD MEMBER COMMENTS:
Councilmember Shader emphasized that she has heard the public comments and concerns about expenses and stated that she is in compliance with the City's travel policy. She added that she has requested that the travel policy be reviewed and updated to make it more transparent to the public. She commented on code enforcement issues with street vendors and reported her attendance at the following:
Tour of the Public Safety Building with Congresswoman Steele Presentation and demonstration of air taxis
Joint Use meeting with the library
California Transportation Committee meeting where she gave public comment about the City's Metrolink station
Legislative meeting for the Orange County Association of Cities HIS OC car show
Public Meeting for Jaycee Parkette
Field Trip to Brea Dog Park to learn about maintenance requirements She promoted the Old Town Live Concert series and encouraged all to attend.
Councilmember Smith reported his attendance at the following:
Joint Use Committee meeting with the Library
Orange County Council of Governments Board meeting
Councilmember Wanke reported attendance at an Orange County Sanitation District Board meeting. He promoted the City's CERT Training program from September 11 -October 9, 2024 and encouraged those interested to visit the City's website for more information.
Mayor Pro Tem Kirwin promoted the City's cooling center at the Whitten Community Center from 1-6 p.m. during extreme heat days.
Mayor Yamaguchi reported his attendance at the following:
HOA meetings to hear about residents' concerns
Meetings to discuss development on vacant property in the City He promoted the upcoming State of the City event and encouraged those interested to visit the Chamber of Commerce for ticket information. He also commented on traffic safety now that children have returned to school.
1. CONSENT CALENDAR (Items 1.a. through 1.k.):
Motion by Wanke, seconded by Shader, and carried a (5-0) vote to approve the Consent Calendar items
1.a. through 1k., as recommended.
Mayor Yamaguchi thanked James Chough for his service on the Financial Audit Oversight Committee.
1.a. Consideration to Waive Reading in Full of all Ordinances and Resolutions Fiscal Impact: None
Recommended Action: Approve
Approved 5-0, as recommended)
1.b. Minutes City Council/Successor/ICDA/PPFA Special and Regular Meetings of:
January 23, 2024 Special Meeting/Study Session, February 6, 2024 Regular Meeting, February 20, 2024 Regular Meeting, March 5, 2024, Regular Meeting, March 19, 2024 Regular Meeting
Recommended Action: Approve
Approved 5-0, as recommended)
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1.c. City Fiscal Year 2023-24 Registers for September 3, 2024 Check Register
Fiscal Impact: $3,633,839.93
Electronic Disbursement Register
Fiscal Impact: $ 619,687.74
City Fiscal Year 2024-25 Registers for September 3, 2024 Check Register
Fiscal Impact: $1,551,264.21
Electronic Disbursement Register
Fiscal Impact: $4,726,554.70
Recommended Action: Receive and file.
Received and Filed, as recommended)
1.d. Purchase of One (1) New Loader for the Public Works Fiscal Impact:
Expense: $289,036.44 Total Purchase Price
Budgeted: $290,000.00 FY 2024-25 CIP Budget (Measure U 798504-6842 Recommended Action:
1. Approve the purchase of one (1) 2024 Case 721G Wheel Loader from Sonsray Machinery in the amount of $289,036.44; and
2. Authorize the City Administrator to approve invoice changes up to 10% of the quoted amount; and
3. Authorize the City Administrator and/or his designee to issue a purchase order to Sonsray Machinery for this equipment and execute all necessary documents in a form approved by the City Attorney.
Approved 5-0, as recommended)
1.e. Tentative Parcel Map No. (TPM) 2024-113 Pertaining to the Subdivision of an +/-
4.97 Acre Lot into Four Parcels, with a Remainder Parcel located at 440 N.
Jefferson within the R-3 (High Density Multiple -Family Residential) Zoning District
Fiscal Impact: Approximately $3,000,000 of Total Development Impact Fee Revenue associated with the anticipated construction of 140 Townhomes.
Recommended Action:
Adopt Resolution R-2024-57, a Resolution of the City Council of the City of Placentia, California, adopting a categorical exemption pursuant to the California Environmental Quality Act (Public Resources Code §§ 21000- 21177 and §15000 et seq. of Title 14 of the California Code of Regulations) (CEQA) and Approving Tentative Parcel Map No. TPM 2024- 113 pertaining to the subdivision of property located at 440 N. Jefferson Street (Assessor's Parcel Numbers 346-162-01 and 346-162-02) and making findings in support thereof.
Approved 5-0, as recommended)
1.f. Approval of Final Parcel Map No. 2022-123 Pertaining to the Subdivision of an
0.44 Acre Lot into Three Parcels Located at 1451 East Howard Place within SP -7 (Specific Plan 7)
Fiscal Impact:
Approximately $23,646 of Total Development Impact Fee Revenue Prior to Construction of three (3) New Single -Family Residences,
Recommended Action:
1. Approve Final Parcel Map No. 2022-123, subject to final review and approval by the County Surveyor; and
2. Authorize the City Clerk to sign Final Parcel Map No. 2022-123.
Approved 5-0, as recommended)
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1.g. Approval of Final Parcel Map No. 2022-126 Pertaining to the Subdivision of an+/ -
0.36 Acre Lot into Two (2) Parcels located at 412 N. Tidland Circle within the SP -7 (Specific Plan 7) Zoning District
Fiscal Impact:
Approximately $15,764 of total Development Impact Fee Revenue prior to construction of two (2) new single-family residences.
Recommended Action:
1. Approve Final Parcel Map No. 2022-126, subject to final review and approval by the County Surveyor; and
2. Authorize the City Clerk to sign Final Parcel Map No. 2022-126.
Approved 5-0, as recommended)
1.h. Authorize a Three -Year Agreement with Samsara, Inc., for Hardware and Services to Implement Vehicle Telematics Management System Fiscal Impact:
Expense: $22,333.19
22,207.19 Annual Subscription Cost (Year 2 and Year 3)
66,747.57 Three -Year Subscription Total Cost (FY 2024-25 to FY 2026-27) Budget: $22,334.00 FY 2024-25 Operating Budget (750000-6366) 22,207.19 Future FY 2025-26 Operating Budget
22,207.19 Future FY 2026-27 Operating Budget
Recommended Action:
1. Authorize a three-year agreement with Samsara for hardware and services to implement a vehicle telematics management system for a cumulative amount of 66,747.57; and
2. Authorize the City Administrator to approve any agreement term extensions based on performance and amendments up to 10% of the agreement amount; and
3. Authorize the City Administrator and/or his designee to issue a purchase order to Samsara and execute all necessary documents, in a form approved by the City Attorney.
Approved 5-0, as recommended)
1.i. Acceptance of Resignation from the Financial Audit Oversight Committee Fiscal Impact: None
Recommended Action:
1. Accept the resignation of James Chough from the Financial Audit Oversight Committee; and
2. Update the City's master Commission/Committee vacancy list to include the vacancy on the Financial Audit Oversight Committee.
Approved 5-0, as recommended)
1.j. City Response to Orange County Grand Jury Report Entitled: "Talking Trash:
Recyclables and Organic Waste"
Fiscal Impact: None
Recommended Action:
1. Review the City's response to the Grand Jury Report; and
2. Direct Staff to submit the attached letter to the Presiding Judge of the Orange County Grand Jury, to be signed by Mayor Yamaguchi.
Approved 5-0, as recommended)
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1.k. City Response to Orange County Grand Jury Report Entitled: Law Enforcement's Response to Mental Health Calls for Service
Fiscal Impact: None
Recommended Action:
1. Review the City's response to the Grand Jury Report; and
2. Direct Staff to submit the attached letter to the Presiding Judge of the Orange County Grand Jury, to be signed by Mayor Yamaguchi.
Approved 5-0, as recommended)
3. REGULAR AGENDA:
3.a. Appeal of Penalties and Interest for Business License Taxes for the Bruery & Offshoot Beer Company
Fiscal Impact:
0 - $22,611.05 depending upon City Council action.
Recommended Action: It is recommended that the City Council:
1. Consider and approve the appeal of penalties and interest for business license taxes for The Bruery & Offshoot Beer Co. ($7,537.02); and
2. Authorize the Director of Finance to develop and implement a payment plan for the amount of business license tax owed ($15,074.04).
Approved 5-0, as amended. Appeal approved, penalties and interest waived, directed Staff to implement a payment plan for the amount of business license tax owed)
City Administrator Arrula introduced Finance Director Lampman to give a brief presentation on the Appeal of Penalties and Interest for Business License Taxes for the Bruery & Offshoot Beer Company.
Mayor Yamaguchi confirmed that the amounts had been verified and the decision before the Council was to waive some of the fees or not waive any of the fees. He asked if other businesses had been audited and whether they had paid. Ms. Lampman confirmed that other businesses had paid what was owed and this is the first appeal from a business.
In response to a question by Mayor Yamaguchi, Ms. Lampman stated that there is no history of the City waiving past due taxes.
Mayor Pro Tem Kirwin asked about penalties and interest that have been incurred and whether any payment had been made.
Director Lampman responded that the penalties and interest were incurred from 2019 to 2022 and total 15,074.04. They have corrected the payment for the current year and going forward. She added that they have not paid on the underpayment as they were waiting for the decision on their appeal.
Councilmember Shader stated that the business license was paid but there was a miscalculation, by the business, on the amount due.
There was discussion about the shortfall in each year,
Councilmember Shader inquired about the purchase of the business in 2019 and the difficulties that the business experienced.
Barry Holmes, owner of the Bruery discussed the growth of the business pre -pandemic and the financial losses, lay-offs and inflation effects that have impacted the business since 2020. He also discussed the closures of tasting rooms and a production facility to mitigate losses.
Councilmember Smith expressed support for working with the business on a payment plan. He noted that they are a good business and employer in the City.
In response to a question by Councilmember Wanke, Director Lampman stated that the audit covered four years.
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Councilmember Wanke stated that in light of the impacts the business suffered, he is supportive of waiving the penalties and interest and approving a payment plan for the balance.
Mayor Yamaguchi commented on the many impacts, including Covid and inflation, that have impacted many businesses. He expressed concerns about setting a precedent.
Councilmember Wanke made a motion to direct staff to implement a payment plan for the business license tax owed and a waiver of the penalties and interest of $7,537.02.
Mayor Yamaguchi inquired about interest accruals on the amount due on payment plan.
City Administrator Arrula explained several interest rate options and commented on the payment plan agreement recitals which state that the approval of the payment plan is a result of extraordinary circumstances related to the pandemic.
Councilmember Wanke amended his motion stating that no interest will be charged as part of the payment plan and current penalties and interest will be waived. The motion was seconded by Councilmember Smith and approved by a vote of 5-0.
2. PUBLIC HEARING:
2.a. Resolution No. R-2024-56, a Resolution of the City Council of the City of Placentia, recommending denial of GPA 2022-01, SPA 2021-01, and DPR 2021- 02 for the Orangethorpe Mixed Use Development Project
Fiscal Impact:
It is anticipated the project would generate approximately $1.2 million in one-time revenue to the General Fund in the form of permit fees, however revenue from those fees support the additional work for Staff created directly by the project's construction and would not be available for other City operations. An additional $ 5.0 million is anticipated from one-time development impact fees which can only be used for future infrastructure projects and are not available to support the daily operations of the City.
Once the project is complete, the project is expected to generate $244,209 in new General Fund revenue annually through a combination of higher property tax, sales tax, and utility users tax. The project is anticipated to require $246,435 in new annual General Fund expenses primarily for increased Police and Fire response to support the new residents.
In summary, the project is projected to generate a net annual loss of ($2,226) to the General Fund.
Recommended Action:
1. Adopt Resolution No. R-2024-56, of the City Council of the City of Placentia, California, denying General Plan Amendment No. GPA 2022-01, Specific Plan Amendment No. SPA 2021-01, and Development Plan Review No. DPR 2021-02 to modify the General Plan Land Use Element to permit mixed-use (Residential -Commercial Development) as a permissible land use category within Parcel 9 of Specific Plan No. 5 by amending Tables 2 -4 -Specific Plans, Table 2 -5 -General Plan/Zoning Relationship -Specific Plans, and Table 2 -7 -General Plan Land Use Designation — Potential Development Buildout, and amending Specific Plan No. 5 to allow for mixed-use (residential commercial development) within SP -5 Parcel 9 boundaries and establishing development standards for new residential uses, including but not limited to building setbacks, floor area ratio, residential density, dwelling unit size, in conjunction with the development and operation of a five -story mixed-use building consisting of 248 residential units, up to 3,000 square feet of ground floor commercial retail and a six -level parking structure on a 2.72 -acre site, on property located at 777 W. Orangethorpe Avenue and 776 S.
Placentia Avenue
APN 339-112-27).
Alternative Recommendation:
1. Adopt Resolution No. R-2024-60, a Resolution of the City Council of the City of Placentia, California, adopting Initial Study/Mitigated Negative Declaration No. MND 2021-01 for a General Plan Amendment No. GPA 2022-01, Specific Plan Amendment Placentia City Council/Successor Agency/ICDA/PPFA Minutes, September 3, 2024 Page 7 of 12
No. SPA 2021-01, and Development Plan Review No. DPR 2021-02, prepared in full compliance with the California Environmental Quality Act ("CEQA"), California Public Resources Code §§ 21000, et seq., and the Environmental Guidelines of the City of Placentia; adopt the Mitigation Monitoring and Reporting Program; and adopting GPA 2022-01 modifying the General Plan Land Use Element to allow mixed-use (residential - commercial development) as a permissible land use category within Parcel 9 of Specific Plan No. 5 by amending Tables 2-4 — Specific Plans, Table 2-5 — General Plan/Zoning Relationship — Specific Plans, and Table 2-7 — General Plan Land Use Designation — Potential Development Buildout, and approving DPR 2021-02 for the development and operation of a five -story mixed use building consisting of 248 residential units, up to 3,000 square feet of ground floor commercial retail and a six -level parking structure on
2.72 -acre site, located at 777 W. Orangethorpe Avenue and 776 S. Placentia Avenue APN 339-112-27); and
2. Waive full reading, by title only, and introduce for first reading Ordinance No. 0-2024- 05, an Ordinance of the City Council of the City of Placentia, California Approving Specific Plan Amendment No. SPA 2021-01, amending Specific Plan No. 5 to permit mixed-use development and parking structures on Parcel 9 and establishing associated development standards on a 2.72 -acre site on property located at 777 W. Orangethorpe Avenue and 776 S. Placentia Avenue (APN 339-112-27).
City Administrator Arrula introduced Development Services Director Lambert to give a presentation on the item.
Mayor Yamaguchi opened the Public Hearing at 8:04 p.m.
City Attorney Bettenhausen announced that the item before the Council is a public hearing on a land use application and involves due process rights of the developer that need to be protected. He noted that in conversations with Staff and the developer there are some disagreements and in order to keep the record clear he recommends that Staff make their presentation first and take any questions from Council, then the applicant make their presentation and respond to any questions from Council, and then take public comment. Lastly, before closing the public hearing, the applicant should be given the opportunity to respond to anything raised during the public hearing.
Director Lambert provided the presentation on the item. The presentation included an overview of the project and surrounding land uses and the zoning and general plan for the subject site. He discussed the inconsistencies between the proposed project and the general plan and housing element and commented on issues and concerns about infrastructure, public safety and parking management. He noted that Planning and CEQA consultant Patty Nahill and Assistant City Attorney Kristi Smith were in attendance to answer any questions.
Planning Manager Andrew Gonzales provided a presentation on the Specific Plan Amendment, parking and infrastructure concerns and design and architecture elements of the project. He provided information on the CEQA review for the project and a comparison of the project to Transit Oriented Development TOD) standards.
Director Lambert discussed the City's budget shortfall for FY 2024-25, sustainable revenue sources and the City's adopted strategic plan.
John Stover of Stover & Associates (participating remotely), gave a brief presentation on the economic benefit impact analysis report for the project.
Director Lambert presented draft conditions of approval and distributed copies to the Council. He highlighted several of the conditions and discussed the purpose for the conditions. He noted that Staff is recommending denial of the project but options for approval or denial of the project have been provided in the Council packet.
There was a break at 9:10 p.m.
The meeting reconvened at 9:17 p.m.
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Applicant Gilad Ganish provided a presentation on the project highlighting the benefits of the project, timeline of the project submittal, the project's amenities, community outreach, the City's Regional Housing Need Allocation (RHNA) numbers, CEQA concerns, surrounding land uses, parking, economic analysis and concerns noted by Staff in the Staff report. He provided to Council copies of a redline document of Staff's conditions of approval and discussed why a hotel use is not a viable option for the site. He noted that a copy of a letter from the seller's attorney, Asher & Associates, was also included with the redline document.
Jeff Langenwalter, Placentia resident and V.P. of Patriot Environmental Services, 1401 S. Placentia Avenue, Fullerton expressed concerns about traffic congestion and construction and resident parking impacting his business operations.
Chase Preciado, Lozeau Drury, LLP on behalf of Supporters Alliance for Environmental Responsibility SAFER) urged the Council to deny the project stating that the Mitigated Negative Declaration is insufficient, and an EIR should be prepared. He added concerns about air quality impacts from the project.
Craig Green, Placentia resident, urged the Council to deny the project stating that the property should be developed commercially with a hotel use or other sales tax producing business. He also expressed concerns about the project's lack of parking and infrastructure, as well as public safety issues. He commented on conflict of interest concerns.
Elizabeth Hansburg, People for Housing Orange County, spoke in support of the project stating the need for more affordable housing. She also commented on CEQA concerns expressed by SAFER.
Jeff Buchanan, Placentia resident, expressed opposition to the proposed project and rezoning stating that the City should focus on sustainable revenue producing development. He also commented on conflict of interest concerns and zone changes
Matt Rocke, Placentia resident and Planning Commissioner, expressed concerns about traffic, parking, public safety and fire protection needs. He also commented on the City's RHNA numbers and the City's Housing Element.
City Clerk McKinnell read an electronic communication received by the City Clerk's office from Rosalina and Raul Davis expressing support for hotel use on the property and commenting on the benefits to the City due to increased tourism in Old Town.
City Clerk McKinnell noted that the applicant Gilad Ganish had submitted a request to speak under oral communications and asked Mr. Ganish if he wished to speak. Mr. Ganish declined.
Director Lambert commented on a September 2, 2024 communication from Mr. Asher, attorney for the property owner and discussed concerns about communications between himself, the applicant Gilad Ganish, and the owner about development on the site. He commented on TOD minimum standards, TOD Development Impacts Fees (DIFs) and the City's master plans.
City Administrator Arrula asked what the additional dollar amount, above the applicant's proposed DIFs, would be to meet a TOD DIF dollar amount for the project.
Director Lambert replied 3.3 million.
Applicant Gilad Ganish noted that his CEQA consultant was present to address CEQA concerns. A discussion ensued about TOD Impact fees and why the project would be subject to the fees when they are not in a TOD. He stated that a construction parking program would be developed so that neighboring properties would not be impacted. He commented on the redline version of the conditions for approval that had been submitted to Staff noting that further discussion is necessary regarding several of the conditions.
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Mayor Pro Tem Kirwin commented that Mr, Langenwalter of Patriot Environmental Services is concerned about overflow parking in his lot after construction is completed.
Applicant Gilad Ganish responded that terms in the lease agreements for the project would include strict parking stipulations.
Mayor Yamaguchi inquired about the timing of the submittal of the applicant's redline document of conditions.
Applicant Gilad Ganish stated that he received Staff's conditions for approval on October 19th but it took some time to convert the pdf document to allow redline markings. The redline document was submitted to the City on October 28th . There was a call this afternoon with Staff and the City Attorney and progress was made on a couple of minor items but there are still items that Staff has a very firm stance on. The redline document contains items that make the project economically viable.
A discussion ensued about the 52 redlines throughout the applicant's document of conditions of approval and the short turnaround time to meet agenda deadlines.
Bill Halligan, Harrison & Associates discussed the response letter his office prepared regarding concerns from Lozeau Drury, LLP about the mitigated negative declaration.
Councilmember Shader discussed the process over the years of evaluating the best uses for the property, state housing requirements, planning and zoning processes and efforts to recruit hotels and/or car dealerships. She stated that the site has been in a blighted condition for over six (6) years and is a source of complaints. She expressed hope that development on the site would be a catalyst for other new developments in the area. She commented on surrounding mixed-use developments and the amenities they provide. She commented on the decrease in sales tax that is impacting city revenues and the stability of property tax revenue. She addressed conflict of interest concerns and her attendance at community workshops for the project.
Councilmember Smith inquired how many of the 248 units would be devoted to low-income housing.
Applicant Gilad Ganish responded that all the units would be market rate units and noted that DIF fees for affordable housing would be paid to the City on a per unit basis.
Councilmember Kirwin inquired about the occupancy rate for Springhill Suites in Placentia, the number of parking spaces that are dedicated for retail uses and the fire and police resources needed for the proposed development vs hotel development.
Applicant Ganish responded that 53 spaces are devoted to guest, leasing and retail.
Director Lambert responded the Springhill Suites has an occupancy rate over 80%. He noted that the development only has six (6) dedicated spaces for retail because the municipal code does not allow blended parking which the applicant is proposing.
Fire Chief Dobine expressed concerns about resources and the lack of mutual aid agreements with area fire agencies. He discussed concerns about the number of kitchens in the proposed development stating that most fires occur in residential kitchens or garages, He noted that hotels do not pose the same fire risks.
Police Chief Butts provided statistics on the number of calls for service for the Herald Development and Springhill Suites hotel. He commented on the nature of calls for each, overflow street parking from the Herald and Cinnamon Tree development, parking citations, and noise and party complaints from residential properties.
Councilmember Wanke commented on zone changes that have occurred throughout the City to allow residential development, the decline in commercial real estate, and the lack of interest in building a hotel or car dealership on the site. He also discussed his work on the development ad hoc committee and the standards developed for the Specific Plan for this property. He commented that there have been no 131, H, ri+., n.,o., /Tr nn /DDPA Mi f— CZ ntc F c '2 ')0')a Pana 1 () of 1 J
realistic proposals for hotel and/or car dealership uses on the site. He commented on the Hudson and Cenza developments and the improvements to these previously blighted areas. He added comments on the differences between apartment and condo developments. He expressed disappointment that realistic conditions of approval were not presented to Council. He inquired about the dedicated parking area for the Fire Department.
Fire Marshal Amanda Horner responded that the dedicated parking area was necessary to allow Fire Department access.
Councilmember Wanke noted that additional resources for the Fire Department may be needed because of the large developments that have already been built in the City and future development.
Mayor Yamaguchi commented that when the jeep dealership closed he had suggested to Staff that a hotel would be a good option for the site but has now come to the conclusion that there are other uses that may be better suited. He thanked everyone for their comments.
Councilmember Wanke addressed conflict of interest concerns and stated that he has never worked for the developer or anyone affiliated with them.
Mayor Yamaguchi closed the Public Hearing at 11:10 p.m. and noted that there are two options before the Council - denial or approval. He noted that the outstanding issue with approval is the conditions of approval which the aunt has submitted a redline version of those conditions.
City Administrator`rr 6d that the Council can remit the process of finalizing the conditions and terms to another body have it come back to Council.
Mayor Yamaguchi aske if the redline version of conditions of approval could be discussed and reviewed at the meeting.
City Attorney Bettenhausen stated that the Council must first have consensus that there is desire to move towards approval of the project and then proceed with the review of the conditions of approval.
Mayor Yamaguchi noted that there are 52 redline conditions and asked if there was consensus to move forward with approval of the project and begin the discussion of reviewing the redline version of conditions. There was consensus to move towards approval and begin discussing the redline conditions of approval.
There was a discussion about how to best work through the redlined conditions of approval.
There was a break at 11:15 p.m.
The meeting reconvened at 11:20 p.m.
City Attorney Bettenhausen suggested that Staff begin with each redlined condition and explain why it is important, then allow the applicant to respond and explain why the condition should be changed, and then the Council provide direction on the condition.
Staff, the applicant, City Attorneys Bettenhausen and Smith and Council reviewed and discussed all 52 redline conditions of approval and incorporated revisions to the conditions of approval for the project.
A discussion ensued about the minimum and maximum density specified in the Ordinance. The density was not changed in the Ordinance and it was noted that if the applicant wanted to change the density in the future it would require an amendment to the General and Specific Plans. Changes to the development would require approval by the Planning Commission and City Council.
Mayor Yamaguchi commented on the transparency of the process stating the project is an investment in the community. He thanked all for staying until almost 2 a.m. to work out the details of the project.
Placentia City Council/Successor Agency/ICDA/PPFA Minutes, September 3, 2024 Page 11 of 12
Motion by Wanke, seconded by Shader, and carried a (3-2, Kirwin, Smith voted no) vote to approve Item 2.a., alternative recommendation, adopting Resolution No. 2024-60 with amended conditions of approval (Attachment D).
Motion by Yamaguchi, seconded by Shader, and carried a (3-2, Kirwin, Smith voted no) vote introducing Ordinance No. 2024-05.
CITY COUNCIL/BOARD MEMBERS REQUESTS: None
ADJOURNMENT:
The City Council/Successor Agency/ICDA/PPFA Board of Directors adjourned at 1:43 a.m. to a regular City Council meeting on Tuesday, September 17, 2024 at 5:30 p.m.
Jeremy Yamaguchi, Mayor/Agency Chair
ATTEST:
Robert S. McKinnell, City Clerk/
Agency Secretary =
4; r;— r„ —it/Ciirroccnr Ananry/TCDA/PPFA Minutes, September 3, 2024 Page 12 of 12