REGULAR MEETING
JOINT SAND CITY COUNCIL AND
SUCCESSOR AGENCY OF THE
REDEVELOPMENT AGENCY
TUESDAY, JULY 5, 2022
5:30 PM
1 AGENDA
JOINT SAND CITY COUNCIL AND SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY
Regular Meeting - Tuesday, July 5, 2022
5:30 PM
THIS MEETING WILL BE HELD VIRTUALLY AND IN PERSON, IS COMPLIANT WITH ASSEMBLY BILL (“AB”) 361, SIGNED INTO LAW ON SEPTEMBER 16, 2021, WHICH AMENDS GOVERNMENT CODE SECTION 54953 TO PROVIDE AUTHORITY FOR PUBLIC
AGENCIES TO HOLD VIRTUAL MEETINGS DURING A PROCLAIMED STATE OF EMERGENCY AND REMAIN IN COMPLIANCE WITH THE BROWN ACT (GOV. CODE §§ 54950 ET SEQ.).
TO PARTICIPATE IN THE ZOOM COUNCIL MEETING LIVE:
https://us02web.zoom.us/j/4614728829
Meeting ID: 461 472 8829
To participate telephonically by calling the number below:
(669) 900-6833
Meeting ID: 461 472 8829#
If prompted to enter a participant ID, press #
TO PARTICIPATE IN PERSON:
City Hall Council Chambers
1 Pendergrass Way
Sand City, CA
How to submit written Public Comments:
If any member of the public would like to provide written comments at the meeting, please do as set forth below.
Written: All comments received before 8:00 am the day of the meeting will be posted on the City’s website as “Correspondence” under the relevant agenda item and provided to the City Council members at the meeting. Please email your comments to [email protected].
Read Aloud During the Meeting: Email your comments to [email protected] when the Mayor opens the public comment period for the relevant agenda item; please indicate the agenda item and title in your email subject line. If you want your comment read aloud, prominently write “Read Aloud at Meeting” at the top of the email and your comments will be read into the record (not to exceed three minutes at staff’s cadence).
DURING EACH MEETING, members of the public may participate by calling and speaking live during the designated time(s), subject to time limits that may be imposed pursuant to the Brown Act at the number provided above. Please us the "raise your hand" option on Zoom meetings, and the City Clerk will call on and acknowledge you for public comment.
2 1. ROLL CALL
2. PLEDGE OF ALLEGIANCE
3. INVOCATION
4. ANNOUNCEMENT BY MAYOR, CITY ATTORNEY, & CITY MANAGER
5. COMMUNICATIONS
Members of the public may address the City Council/Successor Agency on matters not appearing on the City Council/Successor Agency Agenda at this time for up to three minutes. In order that the City Clerk may later identify the speaker in the minutes of the meeting, it is helpful if speakers state their names. Public comments regarding items on the scheduled agenda will be heard at the time the item is being considered by the City Council/Successor Agency.
The City Council Chambers podium is equipped with a portable microphone for anyone unable to come to the podium. If you need assistance, please advise the City Clerk as to which item you would like to comment on and the microphone will be brought to you.
6. CONSENT CALENDAR
The Consent Agenda consists of routine items for which City Council approval can be taken with a single motion and vote. A Council member may request that any item be placed on the Regular Agenda for separate consideration. 6A. Approval of May 24, 2022 SPECIAL Meeting Minutes
5.24.22 Special Meeting Minutes.pdf
6B. Approval of June 7, 2022 Council Meeting Minutes
6.07.22 Regular Meeting Minutes.pdf
6C. Approval of Designation of Voting Delegate and Alternate for the 2022 League of California Cities Conference
Staff Report. Designation of Voting Delegate.pdf
6D. Approval of City RESOLUTION Authorizing the Extension of Remote Teleconference Meetings of the City Council and Boards, Commissions, and Committees for the Period of July 6, 2022 through August 5, 2022 pursuant to AB 361 and Ralph M. Brown Act Provisions
Resolution. Authorizing Extension of Remote Teleconference Meetings of City Council and Boards, Commissions and Committees.pdf
6E. Approval of City Donation/Contribution
1) Arts Habitat for Monterey County - $500
Memo.Review of City Donation.pdf
7. CONSIDERATION OF ITEMS PULLED FROM CONSENT CALENDAR
8. PUBLIC HEARING
8A. Consideration of City RESOLUTION to Approve Conditional Use Permit 653 for Captain + Stoker Coffee Roasters to Operate a Coffee Roasting Production and 3 Wholesale Operation within an Existing Commercial Building at 350 Orange Avenue
Staff Report. CUP for Captain and Stoker Coffee Roasters.pdf Resolution. Approve CUP 653 for Captain and Stoker Coffee Roasters to Operate a Coffee Roasting Production.pdf
8B. Consideration of City RESOLUTION Approving Conditional Use Permit 652 for Jayson Fann to Conduct Open Yard Art Creation
Staff Report. CUP for Jayson Fann Sculpture Activities.pdf Resolution. Approving CUP 652 for Jayson Fann.pdf
8C. SECOND READING: of Ordinance of the City of Sand City Replacing the Existing General Purpose Transactions and Use Tax at a Rate of One Percent and Imposing a General Purpose Transactions and Use Tax at a Rate of One and One-Half Percent, to be Administered by the California Department of Tax and Fee Administration, subject to Adoption by the Electorate Staff Report.2nd Reading Sales Tax Ballot Measure.pdf
EXHIBIT A.Ordinance Transactions and Use Tax.pdf
8D. SECOND READING: of Ordinance to Establish Standards, Procedures and Fees for Short-Term Rental of Property in Sand City (Short-Term Rental Ordinance) Staff Report. 2nd Reading Ordinance. Short Term Rental.pdf Ordinance. Exhibit A. Short Term Rental.pdf
9. NEW BUSINESS
9A. Consideration of City RESOLUTION Establishing a Short-Term Rental Permit CAP and Adopting a Short-Term Rental Permit Application Fee and Inspection Fee and a Short-Term Rental Renewal Fee
Staff Report. Short Term Rental Permit Cap and Adopting Fees.pdf Exhibit A.Resolution.STR Permit Cap and Adopting STR Permit Application Fee.pdf
9B. Consideration of City RESOLUTION Naming the City Park Easement within the South of Tioga Project and Rescinding Resolution SC 22-51, 2022 Staff Report.Naming of Park Easement.pdf
EXHIBIT A.Resolution SC 22-51 Naming the Park Easement.pdf Attachment 1.Park Easment Map.pdf
Resolution.Naming the Park Easement.pdf
9C. Consideration of City RESOLUTION Authorizing Cost of Living Adjustment for Regular (Miscellaneous) Employees
Staff Report.Miscellaneous Employees' COLA.pdf
Resolution.Authorizing Cost of Living Adjustment for Regular Miscellaneous Employees.pdf
4 9D. Council Discussion on the Process for Organizing Campaign to Support the Transaction and Use Tax Measure
9E. Consideration of Cancelling Future City Council meeting scheduled for August 2, 2022
9F. Comments by Council Members on Items of Interest to Sand City 9G. Upcoming Meetings/Events
10. ADJOURNMENT
The current agenda is available in PDF format on our website at:
www.sandcity.org
If you have a request for a disability-related modification or accommodation, including auxiliary aids or services, which will allow you to participate in a Sand City public meeting, please call the City Clerk at (831) 394-3054 extension 220, or give your written request to the City Clerk at 1 Pendergrass Way, Sand City, CA 93955 at least 48 hours prior to the scheduled meeting to allow the City Clerk time to arrange for the requested modification or accommodation.
5 AGENDA ITEM
6A.
Approval of May 24, 2022 SPECIAL
Meeting Minutes
6 Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 05.24.22 Special Council Meeting
MINUTES
JOINT SAND CITY COUNCIL AND SUCCESSOR
AGENCY OF THE REDEVELOPMENT AGENCY
Special Meeting - Tuesday, May 24, 2022
3:00 PM
As allowed per Assembly Bill (AB361), this meeting was conducted in person and by teleconference
Mayor Carbone opened the meeting at 3:00 p.m.
AGENDA ITEM 1, ROLL CALL
Present: Mayor Mary Ann Carbone
Council Member Cruz (recused due to a possible conflict) Council Member Sofer
Council Member Hawthorne (excused absence)
Council Member Blackwelder
Staff: Vibeke Norgaard, City Manager
AGENDA ITEM 2, COMMUNICATIONS
3:03 P.M. Floor opened for Public Comment.
There were no comments from the Public in person, via writing or through telecommunications.
3:03 P.M. Floor closed to Public Comment.
AGENDA ITEM 3, ORDER OF BUSINESS
3.A Consideration of City RESOLUTION Authorizing the City Manager to Accept and Sign the Grant of Easements Agreement for a Public Park within the South of Tioga Project and Rescinding Resolution (SC 22-36 (2022)) City Manager Norgaard reported the Council previously considered grant of a substantially similar easement. The area lies between the R1 and R2 parcels within the South of Tioga project area and contains an access gate to the habitat. The California Department of Fish and Wildlife (CDFW) had additional changes to the easement that they required to be incorporated. The amendments to the grant of easements are relatively minor and approval of the resolution would also rescind the prior resolution. Changes requested by CDFW pertained to a detailed map exhibit and clear delineation regarding access to the gate Todd Sheller added that it will still be a City park with play structures placed there.
The changes also indicated minor things that cannot be done at the location such as drilling of oil and that it should be a beautiful park. 7 Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 05.24.22 Special Council Meeting
City Manager Norgaard commented on prohibited activities such as no commercial uses.
Mayor Carbone mentioned that the property behind the former Orchard Supply. contains a hot spring.
3:12 P.M Mayor Carbone opened the floor for public comment, and seeing none, closed the floor for public comment.
Motion to approve the City Resolution authorizing the City Manager to Accept and Sign the Grant of Easements Agreement for a Public Park within the South of Tioga Project and Rescinding Resolution (SC 22-36 (2022) was made by Council Member Blackwelder, seconded by Council Member Sofer. Roll call Vote AYES: Council Members Blackwelder, Carbone, Sofer. NOES: None. ABSENT: Council Member Hawthorne ABSTAIN: Council Member Cruz. Motion carried.
AGENDA ITEM 4, ADJOURNMENT
There was consensus of the Council to adjourn the meeting at 3:11 p.m. to the next regularly scheduled Council meeting on June 7, 2022.
_______________________________
Connie Horca, City Clerk
8 Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 05.24.22 Special Council Meeting
9 AGENDA ITEM
6B.
Approval of June 7, 2022 Council Meeting
Minutes
10 __________________________________________________________________________________________________________________ Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 06.07.22 Regular Meeting
MINUTES
JOINT SAND CITY COUNCIL AND SUCCESSOR
AGENCY OF THE REDEVELOPMENT AGENCY
Regular Meeting - Tuesday, June 7, 2022
5:30 PM
As allowed per Assembly Bill (AB361), this meeting was conducted in person and by teleconference
Mayor Carbone called the meeting to order at 5:30 p.m.
AGENDA ITEM 1, ROLL CALL
Present: Mayor Mary Ann Carbone
Council Member Blackwelder
Councilmember Cruz (virtual attendance)
Councilmember Hawthorne (joined virtually at 5:35 p.m.) Councilmember Sofer
Staff: Vibeke Norgaard, City Manager
Connie Horca, City Clerk
Adam Lindgren, Interim City Attorney (virtual attendance) Chuck Pooler, City Planner (virtual attendance)
Devon Lazzarino, Finance/HR Specialist (Virtual attendance) AGENDA ITEM 2, PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was led by Mayor Mary Ann Carbone.
AGENDA ITEM 3, INVOCATION
The invocation was led by Reverend Robert Hellam.
AGENDA ITEM 4, ANNOUNCEMENT BY MAYOR, CITY ATTORNEY & CITY MANAGER Mayor Carbone expressed her condolences to the Taylor Family regarding the death of Mr.
Taylor. She also reported on an email correspondence invitation of the Forest Guild Theatre’s veterans dinner and dress rehearsal performance hosted by the Gary Sinise Foundation.
City Manager Norgaard reported on the progress of the West Bay Repair projects right of entry permit, the second reading for the Short-Term Rental Ordinance, status of the final map and documents for the South of Tioga project, and results of the survey that was conducted regarding citizen votes on city improvements that they would like to see. 11 __________________________________________________________________________________________________________________ Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 06.07.22 Regular Meeting
Council Member Hawthorne expressed his condolences to everyone, reported on the upcoming Arts Committee meeting that would consider mural applications, and plans to work with Mr.
Vagnini as the we.mural and West End Celebration approaches AGENDA ITEM 5, COMMUNICATIONS
5:45 P.M. Floor opened for Public Comment.
There were no comments from the Public in person, via writing or through telecommunications.
5:45 P.M. Floor closed to Public Comment.
AGENDA ITEM 6, CONSENT CALENDAR
6A. There was no discussion of the City Resolution authorizing the City Manager to Execute an Extension of Service Agreement with EMC Planning Group Incorporated to Complete the Parking Plan.
6B. There was no discussion of the Status Report regarding Grant and City Expenditures for the Sustainable Transportation Plan.
6C. There was no discussion of the City Resolution authorizing the Extension of Remote Teleconference Meetings of the City Council and Boards, Commissions, and Committees for the Period of June 7, 2022 through July 7, 2022 Pursuant to AB 361 and Ralph M. Brown Act Provisions.
6D. There was no discussion of the City/Successor Agency Monthly Financial Report, April 2022.
6E. There was no discussion of the City Resolution authorizing the Monterey County Health Department to Apply for State Block Grant Funding on behalf of Sand City towards the Countywide Used Oil Recycling Program.
6F. There was no discussion of the City Resolution to Amend the Memorandum of Understanding Between the Monterey Regional Waste Management District and the City of Sand City for Continued Assistance in Achieving SB 1383 Compliance. 5:46 P.M. Floor opened for Public Comment.
There were no comments from the Public in person, via writing or through telecommunications
5:46 P.M. Floor closed to Public Comment.
Motion to approve the Consent Calendar was made by Council Member Blackwelder, seconded by Council Member Sofer. Roll call Vote AYES: Council Members Blackwelder, 12 __________________________________________________________________________________________________________________ Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 06.07.22 Regular Meeting
Carbone, Cruz, Hawthorne, Sofer. NOES: None. ABSENT: None. ABSTAIN: None. Motion carried.
AGENDA ITEM 7, CONSIDERATION OF ITEMS PULLED FROM CONSENT CALENDAR There were no items pulled from the Consent Calendar.
AGENDA ITEM 8, PRESENTATIONS
8A. Presentation by Laurabeth Messimer of G.I.Josie, Inc.
Laurabeth Messimer reported on the partnership between G.I Josie, Inc. and the Alliance on aging, their work with veterans that assist those experiencing trauma, and the Blue Water Project that assist women experiencing challenges. She suggested the creation of a memorial tribute wall to women veterans, and the idea of placing tiles on the walls with a message.
The Council discussed the idea of a wall and tiles, how many, whether it would be an ongoing project, and a design element. Mayor Carbone suggested that Ms.
Messimer stay in contact with the City Manager.
8B. Status Report and Update by West End Coordinator Stephen Vagnini on 2022 West End Celebration
West End Celebration (WEC) coordinator Steve Vagnini reported that this year’s celebration will be held on August 27 & 28, 2022, is titled “Celebrating the Arts & Community”, and the new website design. He mentioned the contribution of musical instruments to G.I. Josie Inc., reported on this year’s footprint, entryways and accessibility to the event, that 100 vendors will be participating, 3-4 music stages, stilts, dancers, involvement of community businesses, and the donation of signs from Sign Works.
Mr. Vagnini expressed his appreciation for a stage sponsorship by Mechanics Bank, encouraged the Council to volunteer at the booth, advertisement of the event by the Coast Weekly beginning in June, and looks forward to the Mayor give a blessing at the festival.
Council Member Hawthorne commented on the great job Mr. Vagnini is doing and announced that everything is going well with the mural festival.
Council Member Sofer mentioned the helium balloons released last year and its impact on the environment.
City Manager Norgaard reported on the upcoming meeting to be held with the Arts Committee that would include the review of mural submissions. 6:12 P.M. The Mayor opened the floor for Public Comment, and seeing none, closed the floor for Public Comment.
13 __________________________________________________________________________________________________________________ Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 06.07.22 Regular Meeting
AGENDA ITEM 9, NEW BUSINESS
9A. Consideration of City RESOLUTION Adopting the Proposed City Budget Amendment #2 for Fiscal Year 2021-2022
City Manager Norgaard reported that the Amendment #2 for the fiscal year budget includes a summary on page 156 of the agenda packet, noted the $1.6M surplus, and that the Budget Personnel Committee reviewed and approved the Budget Amendment #2 at their meeting held on May 24, 2022.
Finance Specialist Lazzarino added that the 1.6M was due to recovery during the pandemic years, that several expenses were removed due to supply chain issues and was moved to next years budget. She pointed out that changes are highlighted in bold.
Council Member Cruz commented on the efforts to reduce expenses, and part of the surplus in anticipation in future loss of revenues.
Ms. Lazzarino pointed out the HdL report that indicated actual sales revenues were up by 3.4%, and responded to Council Member Blackwelder’s inquiry whether the City has contributed to its Unfunded Liability.
6:36 P.M. The Mayor opened the floor for Public Comment, and seeing none, closed the floor for Public Comment.
Motion to approve the City Resolution adopting the Proposed City Budget Amendment #2 for Fiscal Year 2021-2022 was made by Council Member Blackwelder, seconded by Council Member Hawthorne. Roll call Vote AYES:
Council Members Blackwelder, Carbone, Cruz, Hawthorne, Sofer. NOES: None.
ABSENT: None. ABSTAIN: None. Motion carried
9B. Consideration of City RESOLUTION Adopting the Proposed City Budget for Fiscal Year 2022-2023
City Manager Norgaard reported that the Proposed City Budget for fiscal year 2022- 2023 includes the loss of revenue from the lease payment of $850,000, supply chain issues, and pre-approved items from last fiscal year that will fall into this fiscal year that leaves a budget surplus of approximately $500,000.
Finance Specialist Devon Lazzarino added that HdL is projecting a good sales tax return, that Total Wine has contributed to the increase in revenue.
City Manager Norgaard responded to Council Member Blackwelder’s inquiry on the receipt of grant funds, the expenses for the start of construction on the street work and Calabrese Park project.
14 __________________________________________________________________________________________________________________ Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 06.07.22 Regular Meeting
There was discussion regarding the costs for street work, the amount of funds available to begin construction, cost estimates that exceed 10% of the project costs, and the possibility that engineering costs may double.
6:31 P.M. The Mayor opened the floor for Public Comment, and seeing none, closed the floor for Public Comment.
Motion to approve the City Resolution adopting the Proposed City Budget for Fiscal Year 2022-2023 was made by Council Member Blackwelder, seconded by Council Member Sofer. Roll call Vote AYES: Council Members Blackwelder, Carbone, Cruz, Hawthorne, Sofer. NOES: None. ABSENT: None. ABSTAIN: None.
Motion carried.
9C. Consideration of City RESOLUTION Establishing an Appropriations Limit for Fiscal Year 2022-2023 Pursuant to Article XIIB of the California Constitution City Manager Vibeke Norgaard introduced the resolution and deferred to Interim City Attorney Adam Lindgren who reported out that the appropriations limit is calculated by Staff each year and establishes an amount that sets a cap on the amount a City may spend which is also referred to as the Gann Limit. This year’s Gann limit is for Sand City is $16,777,823. Staff recommends approval of the attached resolution. 6:36 P.M. The Mayor opened the floor for Public Comment, and seeing none, closed the floor for Public Comment.
Motion to approve the City Resolution establishing an Appropriations Limit for Fiscal Year 2022-2023 pursuant to Article XIIIB of the California Constitution was made by Council Member Sofer, seconded by Council Member Blackwelder. Roll call Vote AYES: Council Members Blackwelder, Carbone, Cruz, Hawthorne, Sofer.
NOES: None. ABSENT: None. ABSTAIN: None. Motion carried. {Council Member Cruz stepped recused from the meeting due to a possible conflict of interest by residing within 500’ of the subject property}
9D. Consideration of City RESOLUTION Naming the City Park Easement within the South of Tioga Project
City Manager Norgaard reported that the Council considered this item on May 3rd and was directed Staff to come back with more names. The new names suggested are the Orosco Family Park, Orosco Corner, Veterans Park, West End Park, Blue Butterfly Park, Esselen People’s Park. Other suggested names by Council were Sand Dues Park, Rip Tide Park, Sneaker Wave Park, Buckwheat Park and Smith’s Blue Butterfly Park.
15 __________________________________________________________________________________________________________________ Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 06.07.22 Regular Meeting
Council Member Sofer commented that Mr. Morgan suggested Wind, Sand, and Sun Park.
Council Member Hawthorne commented that Don’s Park would be a short and simple name.
Council Member Blackwelder suggested Butterfly Park. Council Member Hawthorne concurred that it was a nice name.
Mayor Carbone mentioned in response to the name that Esselen Peoples Park that the territory was formerly inhabited by the Ohlone Tribe, not the Esselen tribe.
Council Member Sofer like Buckwheat Park because it brings back fond images, and is also due to the buckwheat plant in the area.
Council Member Hawthorne added that Buckwheat was his favorite Little Rascal, and also liked Buckwheat Park.
6:42 P.M. The Mayor opened the floor for Public Comment, and seeing none, closed the floor for Public Comment.
City Manager Norgaard tallied the suggested names, that Buckwheat Park received the most suggestions, and it gives a sense of the location.
Mayor Carbone confirmed with the Council that it seems unanimous to name the Park Buckwheat.
Motion to approve the City Resolution naming the City Park Easement within the South of Tioga Project was made by Council Member Sofer, seconded by Council Member Hawthorne. Roll call Vote AYES: Council Members Blackwelder, Carbone, Hawthorne, Sofer. NOES: None. ABSENT: None. ABSTAIN: Council Member Cruz.
Motion carried.
{Council Member Cruz returned to the virtual meeting}
9E. Comments by Council Members on Items of Interest to Sand City Council Member Sofer reported on her meeting with the TAMC Bike Committee where a presentation of the trail in Del Rey Oaks was given.
Council Member Cruz reported on her attendance at the TAMC Rail meeting and are thinking of signing a lease for the handrail carts or as a bicycle trail.
Mayor Carbone mentioned that her Mayor’s report will be provided at the next meeting.
9F. Upcoming Meetings/Events
16 __________________________________________________________________________________________________________________ Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 06.07.22 Regular Meeting
Mayor Carbone announced the League of California Cities Conference in September.
Council Member Sofer mentioned the housing RHNA numbers and the importance of the letter regarding that was sent regarding the RHNA numbers.
Mr. Pooler elaborated and clarified the submittal of Sand City’s appeal.
Mayor Carbone reported on the lack of water for projects in the area that also effects the lack of housing, and her meetings with individuals during the Leadership Summit regarding the lack of affordable housing and water.
AGENDA ITEM 10, CLOSED SESSION
Mayor Carbone mentioned that she and Council Member Cruz are in conflict with closed session item 10A(3).
6:57 P.M. Public Member Meli Hill apologized for stepping away during the Park Name item, that she added notes to the chat, and expressed her concern with the name Buckwheat. As much as she loves watching the ‘Little Rascals’, there may be some underlying racial concerns, and that some groups may be offended by the name.
City Manager Norgaard commented that she is not familiar with the television show and if the name is offensive, suggested that Council reconsider the resolution and or discuss.
City Attorney Adam Lindgren commented that a member of the Council may make the motion to reconsider that decision, make a motion to rescind that decision, and make a motion to discuss at the next meeting.
Council Member Hawthorne commented that the Buckwheat is referenced as a plant in the area, and that a reference to the Little Rascals was during a different time in the past. It should not offend to have the name Buckwheat Park, expressed his opinion on how it may or may not offend people, and that kids in this generation may not even know of the show.
City Attorney Lindgren commented that a motion can be made to reconsider the item.
Motion to reconsider the item was made by Council Member Sofer, seconded by Mayor Carbone. Roll call Vote AYES: Council Members Sofer, Carbone.
NOES: Council Members Hawthorne, Blackwelder. ABSENT: None.
ABSTAIN: Council Member Cruz. Motion failed.
Mayor Carbone commented that the previous motion and vote stands. 7:06 P.M. Floor closed to Public Comment.
17 __________________________________________________________________________________________________________________ Joint Sand City Council and Successor Agency of the Redevelopment Agency Minutes 06.07.22 Regular Meeting
7:06 p.m.
10A. City Council/ Successor Agency Board to adjourn to Closed Session regarding:
1) Conference with labor negotiator pursuant to Government Code section 54957.6
Agency designated representative: Vibeke Norgaard, City Manager Employees: Sand City Police Officers Association
2) Conference with labor negotiator pursuant to Government Code section 54957.6
Agency designated representative: Vibeke Norgaard, City Manager Employees: Misc. Employees
{Council Members Cruz and Carbone recused from the meeting due to a possible conflict of interest by residing within 500 feet of the subject property}-Agenda item 10A(3)} 3) Conference with Real Property Negotiator pursuant to Government Code section 54956.8
Property: APN 011-133-009
Agency Negotiators: Vibeke Norgaard, City Manager; Adam Lindgren, City Attorney
8:05 p.m.
10B. Re-adjourn to Open Session to report any action taken at the conclusion of Closed Session in accordance with 54957.1 of the Ralph M. Brown Act.
The Council received updates and provided direction to legal counsel, and took no other reportable action.
AGENDA ITEM 11, ADJOURNMENT
There was consensus of the Council to adjourn the meeting at 8:06 p.m. to the next regularly scheduled Council meeting on June 21, 2022 at 5:30 p.m. _______________________________
Connie Horca, City Clerk
18 AGENDA ITEM
6C.
Approval of Designation of Voting
Delegate and Alternate for the 2022
League of California Cities Conference
19 City of Sand City
STAFF MEMO
TO: City Council
FROM: Connie Horca, City Clerk
DATE: June 24, 2022
FOR: July 5, 2022 Council meeting
SUBJECT: Designation of Voting Delegate and Alternate for the 2022 League of California Cities Conference
The upcoming 2022 Annual League of California Cities Conference will be held on September 7 through September 9, 2022 in Long Beach, California. Each year, all California cities represented at the conference are required to appoint a voting delegate and alternate to represent their local jurisdictions. The voting delegate and alternate must be approved by Council action at its regular meeting.
It is recommended that Mayor Mary Ann Carbone serve as voting delegate, and City Manager Vibeke Norgaard serve as the alternate to represent the City of Sand City. 20 21
22 23
Mary Ann Carbone
Mayor
Vibeke Norgaard
City Manager
Connie Horca [email protected]
831-394-3054
24 AGENDA ITEM
6D.
Approval of City RESOLUTION Authorizing
the Extension of Remote Teleconference
Meetings of the City Council and Boards,
Commissions, and Committees for the
Period of July 6, 2022 through August 5,
2022 pursuant to AB 361 and Ralph M.
Brown Act Provisions
25 CITY OF SAND CITY
RESOLUTION SC 22- , 2022
RESOLUTION OF THE CITY COUNCIL OF SAND CITY
AUTHORIZING THE EXTENSION OF REMOTE TELECONFERENCE MEETINGS OF
THE CITY COUNCIL AND BOARDS, COMMISSIONS, AND COMMITTEES FOR THE PERIOD OF JULY 6, 2022 THROUGH AUGUST 5, 2022 PURSUANT TO AB 361 AND RALPH M. BROWN ACT PROVISIONS
WHEREAS, the City of Sand City (“the City”) is committed to preserving and nurturing public access and participation in meetings of the City Council and boards, commissions, and committees (collectively, “legislative bodies”); and WHEREAS, all meetings of the City’s legislative bodies are open and public, as required by Government Code sections 54950-54963 (the “Ralph M. Brown Act”) so that any member of the public may attend public meetings, watch the City’s legislative bodies conduct their public business, and participate by directly addressing the legislative bodies; and
WHEREAS, pursuant to Governor Newsom’s signing of Assembly Bill 361 (“AB 361”) on September 16, 2021, Government Code section 54953(e) provides for remote teleconferencing participation in meetings by members of a legislative body, without compliance with the requirements of Government Code section 54953(b)(3), subject to the existence of certain conditions; and
WHEREAS, AB 361 applies to meetings during a proclaimed state of emergency and when state or local officials have imposed or recommended measures to promote social distancing; and
WHEREAS, a state of emergency exists in California as a result of the threat of COVID19 as proclaimed by Governor Newsom on March 4, 2020, and the state of emergency has not been terminated pursuant to Government Code section 8629; and WHEREAS, the California Department of Public Health (“CDPH”) and the federal Centers for Disease Control and Prevention (“CDC”) caution that the Delta variant of COVID-19, currently the dominant strain of COVID-19 in the country, is more transmissible than prior variants of the virus, may cause more severe illness, and that even fully vaccinated individuals can spread the virus to others resulting in rapid and alarming rates of COVID-19 cases and hospitalizations; and WHEREAS, other variants of COVID-19 exist, and it is unknown at this time whether other variants may result in a new surge in COVID-19 cases; and WHEREAS, the CDC has established a “Community Transmission” metric with four tiers designed to reflect a community’s COVID-19 case rate and percent positivity, and 26 Sand City Resolution SC 22- , 2022
community transmission in Monterey County, as of January 31, 2022, is ranked as “high” (the most serious level) based on data collected by the CDC; and WHEREAS, due to the severity of the current pandemic situation, the CDPH has required that all unvaccinated persons wear facial coverings indoors, and the CDC and CDPH recommend that all persons, regardless of vaccination status, wear facial coverings indoors; and
WHEREAS, due to the severity of the current pandemic situation in the County of Monterey, the Monterey County Health Department issued, on September 22, 2021, a recommendation to local legislative bodies recommending physical and social distancing strategies, including the use of remotely attended public meetings; and WHEREAS, the City Council has an important governmental interest in protecting the health, safety and welfare of those who participate in meetings of the City’s legislative bodies subject to the Brown Act; and
WHEREAS, the City Council does hereby confirm the circumstances of the state of emergency and finds that meeting in person for meetings of the legislative bodies of the City would present imminent risks to the health or safety of attendees, and therefore that the legislative bodies of the City may conduct their meetings without compliance with paragraph (3) of subdivision (b) of Government Code section 54953, as authorized by subdivision (e) of section 54953, and that such legislative bodies shall comply with the requirements to provide the public with access to the meetings as prescribed in paragraph (2) of subdivision (e) of Section 54953; and
WHEREAS, in order to ensure that the public has full access to observe and participate in the public meetings of its legislative bodies, the City provides free internet-based public meeting attendance options, allowing members of the public to address the City’s legislative bodies directly in real time; and
WHEREAS, the City determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA)(CCR, Title 14, Chapter 3 (CEQA Guidelines), Article 20, Section 15378).
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Sand City as follows:
SECTION 1. The recitals set forth above are true and correct and are adopted by the City Council as findings in support of this Resolution.
SECTION 2. The City Manager, City Attorney, staff, and legislative bodies of the City are hereby authorized and directed to take all actions necessary to carry out the intent and purpose of this Resolution, including conducting open and public meetings in accordance with Government Code section 54953(e) and other applicable provisions of the Brown Act.
27 Sand City Resolution SC 22- , 2022
SECTION 3. This Resolution shall take effect immediately upon its adoption and shall be effective until the earlier of (i) August 5, 2022, or (ii) such time as the City Council adopts a subsequent resolution in accordance with Government Code section 54953(e)(3) to extend the time during which the legislative bodies of the City of Sand City may continue to teleconference without compliance with paragraph (3) of subdivision (b) of section 54953.
PASSED AND ADOPTED by the City Council of Sand City on this 5th, day of July, 2022, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
____________________________
ATTEST: Mary Ann Carbone, Mayor
__________________________
Connie Horca, City Clerk
28 AGENDA ITEM
6E.
Approval of City Donation/Contribution 1)
Arts Habitat for Monterey County - $500
29 30
31 AGENDA ITEM
8A.
Consideration of City RESOLUTION to
Approve Conditional Use Permit 653 for
Captain + Stoker Coffee Roasters to
Operate a Coffee Roasting Production and
Wholesale Operation within an Existing
Commercial Building at 350 Orange
Avenue
32 33
34 35
36 37
38 39
40 41
42 43
44 45
46 47
48 49
50 51
52 53
54 AGENDA ITEM
8B.
Consideration of City RESOLUTION
Approving Conditional Use Permit 652 for
Jayson Fann to Conduct Open Yard Art
Creation
55 56
57 58
59 60
61 62
63 64
65 66
67 68
69 70
71 72
73 74
75 76
AGENDA ITEM
8C.
SECOND READING: of Ordinance of the
City of Sand City Replacing the Existing
General Purpose Transactions and Use Tax
at a Rate of One Percent and Imposing a
General Purpose Transactions and Use Tax
at a Rate of One and One-Half Percent, to
be Administered by the California
Department of Tax and Fee
Administration, subject to Adoption by
the Electorate
77 City of Sand City
Staff Report
TO: Honorable Mayor and City Council Members
FROM: Vibeke Norgaard, City Manager
DATE: June 28, 2022 (For July 5, 2022 City Council meeting) SUBJECT: Transactions and Use Tax Measure
______________________________________________________________________ Discussion/Background:
On June 21, 2022, the Council introduced and conducted a first reading of the attached Transactions and Use Tax Ordinance (“Ordinance”) which would raise the transaction and use tax in Sand City by one half of one percent to 1.5%. Currently, the transaction and use tax in Sand City is 1.0%.
Transaction and use taxes are “sales taxes” in common parlance but have a slightly different tax base. Under state law, cities may impose transaction and use taxes at a rate of 0.125%, or a multiple of that amount, of retailers’ gross receipts from the sale of tangible personal property. (Rev. & Tax Code sections 7285.9, 7285.92). The combined rate of sales and transaction and use taxes at the local/county level may not exceed 2%. (Rev. & Tax Code section 7251.1).
The current sales tax rate in Sand City is 8.75% which includes the Statewide rate of
7.25%, Sand City’s existing transaction and use tax (Measure J) rate of 1.00%, the Transportation Agency for Monterey County rate of 0.375%, and Monterey-Salinas Transit rate of 0.125%. The proposed tax increase of 0.50% would bring the City to a
9.25% tax rate. Unlike the regular sales tax, 100% of the transaction and use tax goes directly to the City. Sand City’s transaction & use tax is currently .5% lower than that of most other cities on the Monterey peninsula, which all are currently most all at the
9.25% tax rate.
If passed, the tax is projected by HDL to add an additional $1.4 million to the City’s general fund. That infusion of funds would be particularly helpful in light of the loss of an $850,000 lease payment from California American Water Company (Cal Am) starting next fiscal year (FY22-23). In addition, the City may use revenues from the proposed tax to improve streets and sidewalks in the City; improve trails and beach access; develop affordable housing; public safety and emergency preparation; and provide other needed community services.
All revenue received from the Transaction and Use tax will stay in the City and not be shared with the State. It should also be noted that most of the added revenue would not Agenda
Item
8C
78 come from Sand City residents, but from residents from the surrounding areas who shop in the City’s regional shopping centers.
An additional discussion has been scheduled at the July 5th City Council meeting to discuss informing residents and answering questions about the measure. The public will be responsible for any advocacy in favor of or opposition to the measure. City funds, facilities, staff time and resources may not be allocated for this purpose, and staff may not be assigned to this responsibility.
Procedure:
The ordinance proposing the tax must be approved by a two-thirds vote of all members of the City Council and approved by a majority vote of the qualified voters voting on the issue at the November election.
CEQA:
This General Purpose Transactions and Use Tax is a general tax that can be used for any legitimate governmental purpose, the revenues from which are not committed to any particular action. As such, under CEQA Guidelines 153789(b)(4) and 15060(c)(2) & (3) the tax is not a project within the meaning of CEQA because it creates a governmental funding mechanism that does not involve any commitment to any specific project that may result in a potentially significant physical impact on the environment. (Public Resources Code Sections 21000 et seq, “CEQA”, and 14 Cal. Code Reg.
Sections 15000 et seq, “CEQA Guidelines”). If revenue from the tax were used for a purpose that would have such effect, the City would undertake the required CEQA review for that particular project. Therefore, under CEQA Guidelines 15060, review of this ordinance under CEQA is not required.
Fiscal Impact:
It is anticipated that if the measure passes, it will produce approximately $1,400,000 additional revenue to the City’s general fund annually. However, in FY 22-23, Sand City would receive only about three months of the revenue after the implementation of the ballot measure, or approximately $350,000.
Recommendation:
It is recommended that the City Council Conduct a public hearing, consider and adopt the General Purpose Transactions and Use Tax Ordinance.
Exhibits:
Exhibit A: Transaction and Use Tax Ordinance
79 1
CITY OF SAND CITY
ORDINANCE NO. 22 - , 2022
AN ORDINANCE OF THE CITY OF SAND CITY REPLACING THE EXISTING
GENERAL PURPOSE TRANSACTIONS AND USE TAX AT A RATE OF ONE
PERCENT AND IMPOSING A GENERAL PURPOSE TRANSACTIONS AND
USE TAX AT A RATE OF ONE AND ONE-HALF PERCENT, TO BE
ADMINISTERED BY THE CALIFORNIA DEPARTMENT OF TAX AND FEE
ADMINISTRATION, SUBJECT TO ADOPTION BY THE ELECTORATE
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SAND CITY:
SECTION 1. FINDINGS.
A. On November 2, 2004, the voters of the City of Sand City adopted a General Purpose Transactions and Use Tax with a rate of one-half of one percent.
B. On November 4, 2014, the voters of the City of Sand City adopted a General Purpose Transactions and Use Tax with a rate of one percent. . C. Additional revenue to the City of Sand City’s general fund would provide much needed revenues to improve the City’s streets and sidewalks and fund its additional capital needs including parks, trees, trails, and beach access; public safety and emergency preparation; and invest in community facilities; and provide general City services.
D. All funds from a local transactions and use tax must stay in the City of Sand City and cannot be taken by the State.
E. This General Purpose Transactions and Use Tax is a general tax and must be approved by at least a simple majority of affirmative votes of the qualified voters of Sand City at an election to be held on November 8, 2022 to become effective.
SECTION 2. AMENDMENT OF SAND CITY MUNICIPAL CODE. Chapter 3.36 "General Purpose Transactions and Use Tax” of the Sand City Municipal Code is hereby amended to read in its entirety as follows:
“Section 3.36.010 Title. This ordinance shall be known as the City of Sand City General Purpose Transactions and Use Tax Ordinance. The City of Sand City hereinafter shall be called "City." This ordinance shall be applicable in the incorporated territory of the City.
Section 3.36.020 Operative Date. "Operative Date" means the first day of the first calendar quarter commencing more than 110 days after the adoption of this ordinance, the date of such adoption being as set forth below.
80 2
Section 3.36.030 Purpose. This ordinance is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:
A. To impose a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 7285.9 of Part 1.7 of Division 2 which authorizes the City to adopt this tax ordinance which shall be operative if a majority of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose.
B. To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.
C. To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefore that can be administered and collected by the California Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the California Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes.
D. To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part
1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this ordinance.
Section 3.36.040 Contract with State. Prior to the operative date, the City shall contract with the California Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax ordinance; provided, that if the City shall not have contracted with the California Department of Tax and Fee Administration prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract.
Section 3.36.050 Transactions Tax Rate. For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated territory of the City at the rate of 1.5% of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in said territory on and after the operative date of this ordinance.
Section 3.36.060 Place of Sale. For the purposes of this ordinance, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall 81 3
include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the California Department of Tax and Fee Administration.
Section 3.36.070 Use Tax Rate. An excise tax is hereby imposed on the storage, use or other consumption in the City of tangible personal property purchased from any retailer on and after the operative date of this ordinance for storage, use or other consumption in said territory at the rate of 1.5% of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made.
Section 3.36.080 Adoption of Provisions of State Law. Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as though fully set forth herein.
Section 3.36.090 Limitations on Adoption of State Law and Collection of Use Taxes.
In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:
A. Wherever the State of California is named or referred to as the taxing agency, the name of this City shall be substituted therefor. However, the substitution shall not be made when:
1. The word "State" is used as a part of the title of the State Controller, State Treasurer, State Board of Control, State Treasury, or the Constitution of the State of California;
2. The result of that substitution would require action to be taken by or against this City or any agency, officer, or employee thereof rather than by or against the California Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this Ordinance.
3. In those sections, including, but not necessarily limited to sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to:
a. Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or;
82 4
b. Impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code.
4. In Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code.
B. The word "City" shall be substituted for the word "State" in the phrase "retailer engaged in business in this State" in Section 6203 and in the definition of that phrase in Section 6203.
1. “A retailer engaged in business in the District” shall also include any retailer that, in the preceding calendar year or the current calendar year, has total combined sales of tangible personal property in this state or for delivery in the State by the retailer and all persons related to the retailer that exceeds five hundred thousand dollars ($500,000).
For purposes of this section, a person is related to another person if both persons are related to each other pursuant to Section 267(b) of Title 26 of the United States Code and the regulations thereunder.
Section 3.36.100 Permit not Required. If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by this ordinance.
Section 3.36.110 Exemptions and Exclusions.
A. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax.
B. There are exempted from the computation of the amount of transactions tax the gross receipts from:
1. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.
2. Sales of property to be used outside the City which is shipped to a point outside the City, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the City shall be satisfied:
a. With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, 83 5
aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-City address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and
b. With respect to commercial vehicles, by registration to a place of business outof-City and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.
3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.
4. A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this ordinance.
5. For the purposes of subparagraphs (3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.
C. There are exempted from the use tax imposed by this ordinance, the storage, use or other consumption in this City of tangible personal property:
1. The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.
2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California.
3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.
4. If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this ordinance. 84 6
5. For the purposes of subparagraphs (3) and (4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.
6. Except as provided in subparagraph (7), a retailer engaged in business in the City shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the City or participates within the City in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the City or through any representative, agent, canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer.
7. "A retailer engaged in business in the City" shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the City.
D. Any person subject to use tax under this ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax.
Section 3.36.120 Amendments. All amendments subsequent to the effective date of this ordinance to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this ordinance, provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this ordinance.
Section 3.36.130 Enjoining Collection Prohibited. No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the City, or against any officer of the State or the City, to prevent or enjoin the collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected.
Section 3.36.140 Severability. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby.
85 7
Section 3.36.150 Effective Date. This ordinance relates to the levying and collecting of the City transactions and use taxes and shall take effect immediately if the tax is imposed by a simple majority of the voters voting on the question at the November 8, 2022 election.
Section 3.36.160 Annual Audit, Committee. Annually the City Council retains an independent auditor to conduct an audit of and provide audited financial statements for all of the City’s financial activities. The auditor shall include an accounting of the revenue received from the tax in the audited financial statements. The auditor’s report shall be presented to the Council and made available to the public.
SECTION 3. REPEAL OF EXISTING GENERAL PURPOSE TRANSACTIONS AND USE TAX. The existing one percent General Purpose Transaction and Use Tax will not be repealed by this ordinance unless this Ordinance is approved by a simple majority of the affirmative votes of the qualified voters of Sand City at the election to be held on November 8, 2022. If this ordinance is approved by a simple majority of the affirmative votes of the qualified voters of Sand City at the election to be held November 8, 2022, the existing one percent General Purpose Transaction and Use Tax will be repealed effective on the Operative Date set forth in SECTION 2 (Section 3.36.020) of this Ordinance.
SECTION 4. CEQA DETERMINATION. This General Purpose Transactions and Use Tax to be submitted to the voters is a general tax that can be used for any legitimate governmental purpose, the revenues from which are not committed to any particular action. As such, under CEQA Guidelines 15378(b)(4) and 15060(c)(2) & (3) the tax is not a project within the meaning of CEQA because it creates a governmental funding mechanism that does not involve any commitment to any specific project that may result in a potentially significant physical impact on the environment. (Public Resources Code Sections 21000 et seq, “CEQA”, and 14 Cal. Code Reg. Sections 15000 et seq, “CEQA Guidelines”). If revenue from the tax were used for a purpose that would have such effect, the City would undertake the required CEQA review for that particular project.
Therefore, under CEQA Guidelines 15060, review of this ordinance under CEQA is not required.
PASSED AND ADOPTED at a regular meeting of the City Council of the City of Sand City held on this ___day of____, 2022 by the following vote:
AYES: Council Members
NOES:
ABSENT:
ABSTAIN:
APPROVED:
____________________________________
Mary Ann Carbone, Mayor
86 8
ATTEST:
______________________________
Connie Horca, City Clerk
APPROVED by the following vote of the people on November 8, 2022:
Yes: ___ No: ___
____________________________________
Connie Horca, City Clerk
5115280.3
87 AGENDA ITEM
8D.
SECOND READING: of Ordinance to
Establish Standards, Procedures and Fees
for Short-Term Rental of Property in Sand
City (Short-Term Rental Ordinance)
88 City of
Sand City
Staff Report
TO: Honorable Mayor and City Council Members
FROM: Vibeke Norgaard, City Manager; Adam Lindgren, City Attorney DATE: June 30, 2022 (Meeting date: July 5, 2022)
SUBJECT: Short-Term Rentals Ordinance
_________________________________________________________________ Background:
At its May 9, 2022 council meeting, the City Council considered and conducted a first reading of a Short-term Rental ordinance in order to adopt a permit process to regulate Short Term Rentals operating in the City (“Ordinance”). The Ordinance is attached to this Staff Report as EXHIBIT A.
On July 7, 2022, the Ordinance is before the Council to consider for adoption.
The Ordinance:
The Ordinance regulates short term rentals of privately owned residential dwellings rented for occupancy for thirty consecutive days or less (“STRs”).
Short-term rentals include hosted and un-hosted rentals.
The provisions of the Ordinance include the following:
• That the STR not adversely affect the residential character of the neighborhood (e.g., by generating noise, odors, illegal parking). • That the STR not be occupied by more than two occupants per bedroom plus a total of two additional Occupants.
• It prohibits group gatherings in excess of the occupancy limit of the dwelling.
• It prohibits signs on the exterior of the property advertising the ShortTerm Rental use. • Requires the STR is in a property approved for residential use (no trailers, yurts etc.), that bathroom facilities be accessible to the occupants and that sufficient parking be provided (one space for every two occupants over 16).
• Provides that no STR may occur in an affordable housing unit and/or workforce housing unit.
• Requires that a Short-Term Rental Site Manager be appointed and on Agenda
Item
8D
89 call 24/7 when rented out to address concerns.
• Requires that transient Occupancy tax (TOT) be collected by the host and remitted to City.
• Requires that the Host indemnify and hold the City harmless. • Established that STR permits will be in the name of the Owner of the real property and will be non-transferable.
• Establishes that the City will inspect all STR properties before issuing a permit.
• Establishes that the Council will set a cap on number of STRs in the City by resolution.
• Establishes a Short-Term Rental Permit Waitlist; applications received will be placed in order received.
• Establishes a priority on the waitlist for STRs operating within one year prior to March 1, 2022 – such STRS have sixty days from the effective date of the Ordinance to submit an application and will be required to pay 6 months of TOT.
• Permits expire one year after issuance and must be renewed annually before expiration.
• Allows for revocation under certain circumstances, including violations of the City Municipal Code; charges for criminal activity filed by the Monterey County District Attorney against an occupant; or the failure to timely respond to two complaints.
• Establishes procedures for a hearing when a person is denied a ShortTerm Rental Permit, or has had a permit revoked (section 5.20.100). • Allows the City Council to establish fees and charges to effectuate the purpose of the Ordinance.
CEQA:
The action to consider the Ordinance Amending the Sand City Municipal Code to Add Chapter 5.20 – Short-Term Rentals - is exempt from the California Environmental Quality Act (“CEQA”) under the general rule under Guidelines Section 15061(b)(3) because CEQA only applies to projects that have the potential for causing a significant effect on the environment and the Ordinance does not involve a commitment to any specific project that may cause a potentially significant physical effect on the environment.
Fiscal Impact:
No negative fiscal impact is expected, other than the time necessary for staff to prepare this report, and the administrative costs associated with processing of Short-Term Rental Permit applications, and performing inspections. The application and inspection fees, as well as permit renewal fees are intended to offset these costs. The collection of transient occupancy tax (TOT) will provide a positive fiscal impact in an amount that is difficult to determine at this stage as it depends on the number of short-term rental permits that are issued and the number of nights the rentals are rented out and at what price.
90 Recommendation:
Staff recommends Council adopt the Ordinance attached to this staff report as Exhibit A
Exhibits/Attachment:
A: Ordinance
91 EXHIBIT A
CHAPTER 5.20
TO ESTABLISH STANDARDS, PROCEDURES, AND FEES FOR SHORT TERM
RENTALS OF PROPERTIES IN SAND CITY
Sections:
5.20.010 Purpose and Intents
5.20.020 Prohibition of Transient Use
5.20.030 Definitions
5.20.040 Short-Term Rental Regulations
5.20.050 Short-Term Rental Permit Application Requirements
5.20.060 Short-Term Rental Permit Selection Process
5.20.070 Expiration and Renewal of Short-Term Rental Permits
5.20.080 Revocation of Short-Term Rental Permit
5.20.090 Enforcement
5.20.100 Hearing and Appeal of Denial or Revocation
5.20.110 No Property Rights Conferred
5.20.120 Fees
5.20.130 Administration
5.20.140 Severability
5.20.010 Purpose and Intent
This Chapter authorizes short-term rental use of a dwelling unit for remuneration for less than thirty (30) consecutive days and establishes short-term rental permit requirements and limitations. This Chapter also sets regulations to enforce these requirements and limitations and collection and payment of fees and transient occupancy tax (“TOT”). For purposes of this Chapter, a short-term rental is intended to meet the definition of “Hotel” found in Section
3.24.020 of the Sand City Municipal Code.
5.20.020 Prohibition of Transient Use
The transient use or short-term rental of residential property by any owner, representative, responsible tenant, person acting as an agent, real estate broker, real estate sales agent, property manager, reservation service, or anyone who otherwise uses, arranges, or negotiates for the use of residential property for remuneration is prohibited, except as otherwise expressly permitted by this Chapter, and for which a short-term license is issued under this Chapter. The short-term rental of residential property without a license is a violation of this Chapter and enforced under Chapter 1.18 of the Sand City Municipal Code.
5.20.030 Definitions
“Advertising” means signs, circulars, cards, telephone books, newspapers, magazines, posters, email, mobile applications, television, radio, internet websites, social media, or any other representation implying or stating that a property is available for short-term rental use. 92 EXHIBIT A
“Affordable Housing unit” means any property qualifying for affordable housing cost under Health & Safety Code § 50052.5.
“City Manager” means the City Manager of the City of Sand City or his or her designee. “Host” means an owner or entity that rents out a Hosted rental to third parties for short-term rental use.
“Hosted rental” means a home-sharing activity whereby a portion of a primary residence is rented.
“Hosting platform” means a marketplace in whatever form or format that facilitates the shortterm rental activity through advertising, match-making, or any other means, using any medium of facilitation, and from which the operator of the hosting platform derives revenues, including booking fees or advertising revenues, from providing or maintaining the marketplace. “Occupant” means any person who is on or in a short-term rental property other than service providers or the Owner, whether or not the person stays overnight. “Owner” means the person(s) or entity(ies) that hold legal or equitable title to a dwelling. “Short-term rental” or “STR” means a privately owned residential dwelling, such as but not limited to a single-family detached or multiple family attached dwelling, apartment house, condominium, cooperative apartment, duplex, mobile home on permanent foundation, or a manufactured home on permanent foundation, or any portion of such dwellings, rented for occupancy for dwelling, lodging or sleeping purposes for any period of thirty (30) consecutive days or less. Short-term rentals include Hosted and Un-hosted rentals. “Short-term rental use” or “short-term occupancy” means the use, by any person, of residential property for transient lodging where the term of occupancy, possession, or tenancy of the property by the person entitled to such occupancy, possession, or tenancy is less than thirty (30) consecutive calendar days.
“Short-term Rental Permit” or “STR Permit” shall authorize the short-term rental use of an entire dwelling unit.
“Short-term Rental Permit Cap” or “Cap” means the maximum number of Short-Term Rental Permits allowed to be issued under this Chapter.
“Short-Term Rental Permit Waitlist” or “Waitlist” means the list on which applications will be placed by the Planning Department when the number of permits issued by the City exceeds the Cap, and which will be used when permits for issuance become available. “Short-term rental site manager” or “Site Manager” means the representative of the person or entity that owns a Short-term rental.
93 EXHIBIT A
“Un-hosted rental” means a home-sharing activity whereby the Host remains off-site during the Occupant’s stay.
5.20.040 Short-Term Rental Regulations
A. Short-Term Rentals shall not adversely affect the residential character of the neighborhood, nor shall the use generate noise, vibration, glare, odors, excessive foot traffic, excessive or illegal parking, or other effects that unreasonably interfere with any person’s reasonable enjoyment of his or her residence.
B. It shall be unlawful for any person to advertise, undertake, maintain, authorize, book, or facilitate any renting to a transient Occupant on a Hosting Platform or otherwise, without first procuring and remaining in compliance with all conditions of a valid STR permit and any other requirement of this Chapter.
C. No person shall advertise or rent any STR without a City issued STR Permit number depicted in a visible location on the advertisement, including any listing on a Hosting Platform.
No advertising of the STR is permitted on site.
D. STRs shall not be occupied by more than two (2) Occupants per bedroom plus a total of two (2) additional Occupants at one time. Except as otherwise prohibited by law, the maximum occupancy set forth in this section may be reduced in order to provide sufficient paved parking for Occupants. Sufficient paved parking means that there shall be one (1) paved parking space available at the property for every two (2) occupants sixteen (16) years of age or older.
E. All STRs shall have bathroom facilities accessible to Occupants.
F. Events, parties, or group gatherings in excess of the occupancy limit set in Section
5.20.040 D of the Sand City Municipal Code, including but not limited to weddings, banquets, and corporate events, are prohibited as part of any Short-Term Rental use.
G. No signs shall be posted on the exterior of the dwelling or on the property advertising the Short-Term Rental use.
H. No person shall offer or engage in a Short-Term Rental in any part of the property not approved for residential use, including but not limited to a vehicle parked on the property, a storage shed, shipping container, trailer, mobile home, garage, or temporary structure such as a tent or yurt.
I. Affordable housing units and/or workforce housing units shall not be eligible for a STR Permit.
J. Each Host must either act as or appoint a Short-Term Rental Site Manager who shall be on call 24/7, including holidays, when an occupant is renting the Short-Term Rental unit, to manage the Short-Term Rental unit and who shall respond to reported issues, contact the tenants 94 EXHIBIT A
regarding complaints received, and/or be physically present at the Short-Term Rental unit to address reported concerns.
K. Each Host or STR Site Manager shall respond within thirty (30) minutes from the time of notification of any issue to address concerns or complaints pertaining to, but not limited to:
unreasonable use of the STR property, unreasonable noise or disturbance, disorderly or unlawful conduct, overcrowding of the STR unit, or any other requirement or limit in this Chapter or in the City’s administrative policies and procedures.
L. Each Host or STR Site Manager must inform at least (1) responsible Short-Term Rental occupant regarding occupancy, parking, noise, trash collection schedules, and any other requirements or limits in this Chapter or in the City’s administrative policies and procedures.
M. Each Host shall post a City-issued placard in a location visible at the front entrance. The placard shall prominently display the Site Manager’s contact information, the STR Permit number, and occupancy limits. It shall be the responsibility of the Host to immediately notify the City and obtain an updated placard whenever there is a change in contact information or a change in any material fact upon which the STR Permit was issued.
N. Each Host shall maintain a valid STR Permit at all times and shall agree to collect and remit TOT (as described by Chapter 3.24 of the Sand City Municipal Code) on all gross receipts from Short-Term Rental use of the property.
O. Each Host shall sign an indemnification and hold harmless agreement in a form approved by the City Attorney, agreeing to indemnify, save, protect, hold harmless, and defend the City of Sand City, the City Council of City of Sand City, individually and collectively, and the City of Sand City representatives, officers, officials, employees, agents, and volunteers from any claims, demands, damages, fines, obligations, suits, judgments, penalties, causes of action, losses, liabilities, or costs received, incurred, or accrued as a result of, or arising out of the Host's or Site Manager’s actions or inaction in the operation, occupancy, use, and/or maintenance of the STR.
P. Transient Occupancy Tax (TOT) shall be assessed for Short-Term Rentals under Chapter
3.24 of the Sand City Municipal Code.
5.20.050 Short-Term Rental Permit Application Requirements To obtain a STR Permit, the STR Owner shall apply on forms provided by the City. Short-Term Rental Permit applications shall comply with all the terms, conditions, and requirements of this Chapter, including:
A. A STR permit application shall be in the name of the Owner of the real property proposed to be rented under this Chapter.
B. A STR shall be non-transferable, shall not run with the land, and shall be valid only at the site described in the application.
95 EXHIBIT A
C. Each STR Permit application shall be signed by the Owner and include the following information:
1. Address of the Short-Term Rental unit.
2. Name, address, phone, and email contact information of the Owner of the ShortTerm Rental unit.
3. Name and phone number of the Site Manager whose contact information is to be placed on a placard to be posted within the Short-Term Rental under Section
5.20.040 M of this Chapter.
4. A floor plan and site plan which shows the proposed use of each room in each building and structure.
5. Maximum occupancy of the Short-Term Rental Unit.
6. Number of paved parking spaces on the property.
7. A declaration that any applicable covenants, conditions, and restrictions are consistent with and would not prohibit issuance of a Short-Term Rental Permit for the proposed property.
8. Proof that the City has verified smoke and carbon monoxide alarms are installed and fire extinguishers and inaccessible locations.
D. Every application for a STR Permit shall be accompanied by the STR Permit Application Fee and Inspection Fee in the amounts established by resolution of the City Council.
E. The Director of the Planning Department, or his or her designee, shall inspect all properties in all STR Permit applications, including renewal applications before issuing a permit.
STR Permit applicants may have to make improvements or changes to the proposed STR property to ensure that the proposed STR property conforms with all plan area statements and building code standards that were in effect at the time of construction of the STR property and that no health and safety violations are present at the STR property.
F. The City Manager may deny an application for a STR Permit for any of the following reasons:
1. The application is incomplete or the full application fee has not been paid;
2. The application contains a false or misleading statement or omission of material fact;
96 EXHIBIT A
3. The dwelling is subject to an enforcement action under any provision of the Sand City Municipal Code;
4. The applicant is delinquent on any payment to the City of any fees, penalties, taxes, or any other monies related to the property;
5. Within twenty-four (24) months of application, the applicant had a Short-Term Rental Permit revoked at the property subject to the application or any other property in the City;
6. The operation of a Short-Term Rental at the dwelling is a threat to the public health, safety, or welfare;
7. The number of Short-Term Rental Permits issued by the City has reached the Cap; and/or
8. Inspection of the Short-Term Rental property has shown that the proposed ShortTerm Rental property does not conform with all plan area statements and building code standards that were in effect at time of construction of the Short-Term Rental property or that health and safety violations are present at the Short-Term Rental property that threaten the wellbeing of Occupants, neighbors or the community.
5.20.060 Short-Term Rental Permit Selection Process
A. The Cap shall be set and amended by resolution of the City Council.
B. All persons or entities interested in operating a STR may pay the application fee and apply for a STR Permit.
C. The filing date of the Short-Term Rental Permit application shall be the date when the Director of Planning officially received the last submission of information, payment, or materials required by subsections C and D of Section 5.20.050 of the Sand City Municipal Code. If the Director of the Planning Department, or his or her designee, determines an application submittal is incomplete, a Short-Term Rental Permit applicant shall be notified of such incompleteness within thirty (30) calendar days of receipt of the Short-Term Rental Permit application by the Planning Department. If the Director of the Planning Department does not receive a complete application within an additional thirty (30) days after notification, the application shall be deemed abandoned and shall not be reviewed, and the applicant will not be placed on the ShortTerm Rental Permit Waitlist.
D. All Short-Term Rental Permit applications, which have been deemed complete by the Director of the Planning Department, shall be placed on the Short-Term Rental Waitlist in the order of the application’s filing date. Short-Term Rental Permit applications shall only be 97 EXHIBIT A
reviewed by the Development Services Director in the order of ranking as established by the Short-Term Rental Waitlist.
E. Upon the effective date of the Ordinance codified in this Section, any person or entity operating a Short-Term Rental within one year of and before March 1, 2022, shall have sixty (60) days from the effective date of the Ordinance to submit a Short-Term Rental Permit application in conformance with Section 5.20.050 of the Sand City Municipal Code to establish priority on the Short-Term Rental Waitlist. Short-Term Rental Permit applications submitted within sixty (60) days of the effective date of the Ordinance shall be deemed incomplete unless accompanied by all TOT required to be remitted to the City by the applicant from the six (6) months prior to the date the application is received by the City. For sixty (60) days from the effective date of the Ordinance, only Short-Term Rental Permit applications from persons or entities operating a Short-Term Rental within one year of and before March 1, 2022, will be accepted. Upon the expiration of this sixty (60) day period, all other persons or entities may submit a Short-Term Rental Permit application.
F. The Director of the Planning Department shall review Short-Term Rental Permit applications and inspect Short-Term Rental properties in the order received until all applications on the Short-Term Rental Permit Waitlist have been reviewed or until the City determines the Cap has been reached.
5.20.070 Expiration and Renewal of Short-Term Rental Permits A. A STR Permit shall expire one (1) year from issuance.
B. STR Permits must be renewed annually before expiration by filing a renewal application accompanied by the renewal fee (as established by resolution of the City Council) and the Inspection fee with the Director of the Planning Department.
C. If a timely renewal application is filed, the STR Permit shall not expire until the date that the Director of the Planning Department approves or denies the renewal application. If a timely renewal application is not filed, the STR Permit shall expire and shall be considered null and void.
D. A STR may not be renewed if the STR Host does not meet the renewal requirements, including:
1. The timely filing of a renewal application;
2. payment of the renewal fee;
3. payment of the inspection fee;
98 EXHIBIT A
4. payment of the business license tax as described more fully in Chapter 5.04 of the Sand City Municipal Code.
5. the Host is deemed to have substantially conformed with this Chapter for the preceding year;
6. the Host documents and provides any changes that have occurred to the information in the current STR Permit or application; and
7. completion of a rental inspection as described in this Chapter; and
8. remittance of TOTs due from the STR use of the property.
5.20.080 Revocation of Short-Term Rental Permit
A. A STR Permit issued under the terms of this Chapter may be revoked by the Director of the Planning Department at any time if he or she concludes any of the following:
1. The Host or property owner is not current on TOTs and has not paid all said taxes to the City in full by the date upon which said taxes became due.
2. There have been two (2) or more upheld citations for violations of the City Municipal Code which citations were issued during two (2) separate events and/or calls for service for violations of the City Municipal Code at the Short-Term Rental Unit, on two (2) different dates within any twenty-four (24) month period.
For purposes of this Section, upheld citations means citations, which were neither overturned on appeal nor dismissed.
3. Any event occurs at a Short-Term Rental property in which charges for criminal activity are filed by the Monterey County District Attorney against an Occupant of the Short-Term Rental property.
4. The Host submitted a Short-Term Rental Permit Application containing a material misrepresentation or omission of a material fact.
5. There has been a transfer or attempt to transfer a STR Permit to another person, entity, or property.
6. A change occurs in any material fact upon which the STR Permit was issued where the change was not reported to the City within fourteen (14) days.
7. The Host failed to timely respond to two (2) complaints pertaining to any of the following: unreasonable use of the Short-Term Rental property, unreasonable noise or disturbance, disorderly or unlawful conduct, overcrowding of the ShortTerm Rental unit, or any other requirement or limit in this Chapter. 99 EXHIBIT A
8. The Host fails to post and maintain a City-issued placard in a location visible at the front entrance displaying the Short-Term Rental Host’s contact information, the Short-Term Rental Permit number, and occupancy limits or advertises the Short-Term Rental without identifying the STR Permit number.
5.20.090 Enforcement
A. Any use or condition caused or permitted to exist in violation of this article shall be and is declared a public nuisance and may be summarily abated by the City under Code of Civil Procedure Section 731, Sand City Municipal Code Section 1.16.010, or any other remedy available to the City.
B. Any use or condition caused or permitted to exist in violation of any provision of this Chapter shall be charged as a misdemeanor pursuant to Section 1.16.020 of the Sand City Municipal Code.
C. Where a Short-Term Rental Host or Site Manager of the Short-Term Rental alone reports a violation of any provision of this Article, which violation was caused or permitted to exist by the Short-Term Rental occupants, the City shall not issue a citation to said Short-Term Rental Host or Site Manager and shall only issue a citation, where warranted, to the occupants.
D. Owners or their agents found operating a Short-Term Rental without a permit after October 31, 2022 shall be fined according to a schedule established by resolution of the City Council.
5.20.100 Hearing and Appeal of Denial or Revocation
A. Any person denied a Short-Term Rental Permit, or any person whose Short-Term Rental Permit has been revoked may request a hearing from the City Attorney. The request for a hearing must be in writing and must be made within ten (10) calendar days from the decision denying or revoking the Short-Term Rental Permit. Upon receiving a written request for a hearing, the City Attorney or his/her delegate shall set the matter for a hearing within twenty-one (21) days thereafter and shall set forth in writing and send to the applicant or permittee by registered mail, certified mail, or hand delivery, notice of the date, time, and place of the hearing at least five (5) days before the hearing date. The hearing shall be conducted to determine the existence of any facts which constitute grounds for the denial or revocation of a Short-Term Rental Permit. The hearing shall be conducted by a hearing officer, appointed by the City Attorney. The applicant or permittee may have the assistance of counsel or may appear by counsel and may present evidence. If the applicant or permittee fails to appear at the hearing, the evidence or the existence of facts which constitute grounds for denial or revocation of the license or permit shall be considered unrebutted. A copy of the decision of the Hearing Officer specifying findings of fact and the reasons for the decision shall be furnished to the applicant or licensee. The Hearing Officer shall inform the Party against whom the decision is rendered of his or her right of appeal under Section 5.20.100.C of the Sand City Municipal Code. 100
EXHIBIT A
B. The effect of a decision by the Hearing Officer shall be stayed while an appeal to the City Council is pending or until the time for filing such appeal has expired. If an appeal is not timely filed, the decision of the Hearing Officer shall be final.
C. Within ten (10) days after receipt of the decision of the Hearing Officer, any Party affected by the decision may file with the City Clerk a written request for a public hearing before the City Council. Upon filing such a request, the City Clerk shall within twenty-one (21) days thereafter set the matter for a hearing and shall notify the applicant of the date, time, and place of such hearing at least five (5) days before the hearing date. At the hearing, any person may present evidence opposing, or in support of, appellant’s case. At the conclusion of the hearing, the City Council shall either grant or deny the appeal. The decision of the City Council shall be final.
5.20.110 No Property Rights Conferred
Short-Term Rental Permits shall not be construed as providing property rights or vested interests and entitlements in continued operation of a Short-Term Rental. Short-Term Rental Permits are revocable licenses, which expire annually.
5.20.120 Fees
The City Council may establish and set by resolution all fees and charges as may be necessary to effectuate the purpose of this Chapter.
5.20.130 Administration
The City Manager, or designee, shall have the authority to establish administrative rules and regulations consistent with this Chapter for interpreting, clarifying, carrying out, furthering, and enforcing the requirements and provisions of this Chapter.
5.20.140 Severability
If any provision or clause of this Chapter or the application thereof to any person or circumstances is held to be unconstitutional or to be otherwise invalid by any court of competent jurisdiction, such invalidity shall not affect other section provisions or clauses or applications, and to this end, the provisions, sections, and clauses of this ordinance are declared to be severable.
5105734.2
101
AGENDA ITEM
9A.
Consideration of City RESOLUTION
Establishing a Short-Term Rental Permit
CAP and Adopting a Short-Term Rental
Permit Application Fee and Inspection Fee
and a Short-Term Rental Renewal Fee
102
City of Sand City
Staff Report
TO: Honorable Mayor and City Council Members
FROM: Vibeke Norgaard, City Manager
DATE: June 28, 2022 (For July 5, 2022 City Council meeting) SUBJECT: Resolution establishing a short-term rental permit cap and adopting fees
______________________________________________________________________ Discussion/Background:
At its May 9, 2022 council meeting, the Council considered and conducted a first reading of a Short-term Rental ordinance to adopt a process for permitting Short Term Rentals operating in the City. (“Ordinance”). On July 5, 2022, the Council will consider the Ordinance for adoption.
The Ordinance, if adopted, will authorize the City Council to establish a maximum number of Short-Term Rentals operating in the City by setting a cap on the number of Short-Term Rental Permits issued by the City. It will also authorize the City Council to establish fees to offset the cost of providing the permits.
Cap on Permits:
Staff has analyzed the existing number of short-term rentals and consulted with the City Attorney regarding the recommended cap on short term rentals. While the exact number is not easy to establish, there are approximately 14-15 short term rentals operating in Sand City. Staff is recommending setting the cap at 15.
Fees:
The Ordinance also authorizes that Council establish by resolution all fees and charges necessary to effectuate the purpose of the Ordinance including a Short-Term Rental Permit Application and Inspection Fee, to defray the costs of the City to administer and enforce the Short-Term Rental rules.
Agenda
Item
9A
103
Staff has analyzed the potential cost to administer and enforce the Short-Term Rental rules, including the cost of inspecting the rentals.
Based on that analysis, staff is recommending that the fees be established in the following amounts:
• $638 for the Short-Term Rental Permit Application and Inspection Fee; and • $197 for the Short-term Permit Renewal Fee.
The detailed cost analysis is available upon request.
CEQA:
The action to consider a resolution establishing a short-term rental cap and setting of fees is exempt from the California Environmental Quality Act (“CEQA”) under the general rule under Guidelines Section 15061(b)(3) because CEQA only applies to projects that have the potential for causing a significant effect on the environment and the Ordinance does not involve a commitment to any specific project that may cause a potentially significant physical effect on the environment.
Fiscal Impact:
There is no fiscal impact associated with this action. The fees established would offset any cost associated with providing the permits.
Recommendation:
It is recommended that if the Ordinance is adopted on July 5, 2022, that Council approve the resolution attached to this staff report as Exhibit A.
Exhibits:
Exhibit A: Resolution
104
CITY OF SAND CITY
RESOLUTION SC 22- , 2022
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAND CITY ESTABLISHING A SHORTTERM RENTAL PERMIT CAP AND ADOPTING A SHORT-TERM RENTAL PERMIT APPLICATION
FEE AND INSPECTION FEE AND A SHORT-TERM RENTAL RENEWAL FEE WHEREAS, on July 5, 2022, the City of Sand City Council considered Ordinance SC 22-02 to adopt a process for permitting Short Term Rentals operating in the City; and WHEREAS, Ordinance SC 22-02 authorizes the City Council to establish a maximum number of ShortTerm Rentals operating in the City by setting a cap on the number of Short-Term Rental Permits issued by the City; and
WHEREAS, the City Council desires to set the cap on the number of Short-Term Rental Permits issued by the City at fifteen (15); and
WHEREAS, Ordinance SC 22-02 authorizes the setting by resolution of all fees and charges necessary to effectuate the purpose of the Short-term rental ordinance including a Short-Term Rental Permit Application and Inspection Fee, to defray the costs of the City to administer and enforce the Short-Term Rental rules; and
WHEREAS, the City has analyzed the staff time required in order to administer the Short-term Rental Permit Program and desires to establish such fees in the amount of Six Hundred and Thirty-Eight Dollars ($638) for the Short-Term Rental Permit Application and Inspection Fee and in the amount of One Hundred and Ninety-Seven Dollars ($197) for the Short-term Permit Renewal Fee; and WHEREAS, the proposed permit fees that are the subject of this Resolution were considered by the City Council at a duly noticed public meeting on July 5, 2022, at which all interested persons were afforded an opportunity to be heard on such proposed fees; and
WHEREAS, after receiving the evidence and any testimony presented at the public hearing, the City Council found that the fees established by this Resolution do not exceed the estimated reasonable costs of providing the services for which the fees are charged.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of Sand City that:
1. The City Council of Sand City establishes that the number of valid Short-Term Rental Permits issued by the City at any one time shall not exceed fifteen (15).
2. The City Council of Sand City approves the Short-Term Rental Permit Application Fee in the amount of $638.
3. That the City Council of Sand City approves the Inspection Fee in the amount of $197.
PASSED AND ADOPTED, at a regular meeting of the City Council of the City of Sand City, this 5th day of July, 2022 by the following votes:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
______________________________
Mary Ann Carbone, Mayor
ATTEST:
______________________________
Connie Horca, City Clerk
EXHIBIT A
105
AGENDA ITEM
9B.
Consideration of City RESOLUTION Naming
the City Park Easement within the South
of Tioga Project and Rescinding Resolution
SC 22-51, 2022
106
City of Sand City
Memorandum
TO: Mayor and City Council
FROM: Vibeke Norgaard, City Manager
DATE: June 28, 2022 (For meeting July 5, 2022)
SUBJECT: Consideration of Rescinding Resolution SC 22-51, 2022 and Naming the City Park in the South of Tioga Project.
______________________________________________________________________ Background:
On June 5, 2018, the City Council approved a Vesting Tentative Map (“VTM”) submitted by DBO Development No.30, LLC (“Developer”) for the development of the “South of Tioga” project. The Developer has dedicated to the City an easement for a City park within the Project area made up of 0.07 acres on the R-1 Parcel and 0.12 acres on the R-2 Parcel, and as identified and depicted on Attachment 1 to the resolution attached to this staff report. (“Park Easement” or “Park”). On April 19, 2022, the Council accepted the Park Easement.
The Council previously considered this item at its regularly scheduled meetings on May 3, 2022 and again on June 7, 2022. On June 7, 2022, Resolution 22-51 was passed to name the park “Buckwheat Park”. On June 21, 2022 at the regular council meeting, Council voted to add the item on the July 5th council agenda to reconsider and to rescind the prior resolution.
Fiscal Impact:
There is no fiscal impact associated with this action.
CEQA:
This action does not constitute a "project" as defined by the California Environmental Quality Act (CEQA) guidelines section 15378.
RECOMMENDATION:
Staff recommends that Council rescind Resolution SC 22-51, 2022 and consider a name for the Park.
ATTACHMENTS
Exhibit A: Resolution SC 22-51
Attachment 1: Park Easement map
107
EXHIBIT A
108
ATTACHMENT 1
109
110
CITY OF SAND CITY
RESOLUTION SC ___, 2022
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAND CITY NAMING THE
CITY PARK EASEMENT WITHIN THE SOUTH OF TIOGA PROJECT AND RESCINDING RESOLUTION SC 22-51, 2022
WHEREAS, on June 5, 2018, the City Council approved a Vesting Tentative Map (“VTM”) submitted by DBO Development No.30, LLC (“Developer”) for the development of the “South of Tioga” project (“Project”); and
WHEREAS, the Developer has dedicated to the City an easement for a City park within the Project made up of 0.07 acres on the R-1 Parcel and 0.12 acres on the R-2 Parcel, as identified and depicted on Attachment 1 to this resolution (“Park Easement” or “Park”); and WHEREAS, at the January 18, 2022 Council meeting, the City Council approved a conceptual design and amenities to be included in the Park Easement that will be constructed by the Developer on behalf of the City; and WHEREAS, the Park Easement was accepted by the Council on April 19, 2022; and WHEREAS, at is regularly scheduled meetings on May 3, 2022 and June 7, 2022, the City Council considered potential names for the Park and voted to name it “Buckwheat Park”; and
WHEREAS, the Council now desires to rescind the prior resolution 22-51 and to instead name the Park ___________________.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Sand City that:
1) The City Park Easement within the South of Tioga project shall be named ________. 2) The Council’s prior June 7, 2022 Resolution SC 22-51, 2022 Naming the City Park Easement within the South of Tioga Project is hereby rescinded.
PASSED AND ADOPTED, by the City Council of the City of Sand City this ___, day of July, 2022, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
______________________
Mary Ann Carbone, Mayor
ATTEST:
_______________________
Connie Horca, City Clerk
111
AGENDA ITEM
9C.
Consideration of City RESOLUTION
Authorizing Cost of Living Adjustment for
Regular (Miscellaneous) Employees
112
City of Sand City
STAFF REPORT
TO: HONORABLE MAYOR AND CITY COUNCIL
FROM: VIBEKE NORGAARD, CITY MANAGER
SUBJECT: MISCELLANEOUS EMPLOYEES’ COLA
DATE: JUNE 27, 2022
FOR: JULY 5, 2022 COUNCIL MEETING
_______________________________________________________________________ Discussion:
On June 7, 2022, in closed session the City Council considered a cost-of-living adjustment (COLA) to the base salary of all the City’s regular non-POA employees (“Miscellaneous Employees”). The Council authorized a COLA of 4% to be granted to the City’s Miscellaneous Employees.
CEQA:
This action does not constitute a "project" as defined by the California Environmental Quality Act (CEQA) guidelines section 15378.
Fiscal Impact:
The cost to the City for the COLA will be $32,553.54 annually. The City’s approved FY 2022-2023 budget will need to be amended by $32,553.54 to reflect that increase in the City’s expenditures.
Recommendation: Staff recommends approval of the attached resolution. 113
CITY OF SAND CITY
RESOLUTION SC , 2022
RESOLUTION OF THE CITY COUNCIL OF SAND CITY AUTHORIZING COST OF
LIVING ADJUSTMENT FOR REGULAR (MISCELLANEOUS) EMPLOYEES WHEREAS, the City Council of Sand City (“Council”) desires to ensure that Sand City’s salaries and benefits are competitive with other cities on the Monterey Peninsula to attract and retain high quality City employees; and
WHEREAS, good faith bargaining with the Police Officers Association (“POA”) remains ongoing and is not yet resolved; and
WHEREAS, the Council is aware of the rising cost of living due to inflation and desires to alleviate the financial burden inflation places on the City’s valued employees while also remaining fiscally responsible; and
WHEREAS, on June 7, 2022, the City Council held a closed session to consider the salaries of the City’s non-POA regular employees as that term is defined in the Sand City Personnel manual section A(3)(c) (“Miscellaneous Employees”); and WHEREAS, the Council desires to provide such Miscellaneous Employees a four percent (4%) cost-of-living adjustment (“COLA”) to their base salaries.
NOW, THEREFORE, BE IT RESOLVED by the Sand City Council as follows:
1. A four percent (4%) cost of living adjustment is granted to all Miscellaneous Employees, effective on July 1, 2022.
2. The City Council hereby approves the attached revised Sand City Salary Schedule reflecting the 4% cost of living adjustment.
3. The City Manager is directed to add the expense of the 4% cost of living adjustment to the FY 22-23 approved budget, subject to the Council’s approval of a budget amendment.
PASSED AND ADOPTED by the Sand City Council on this 5th, day of July, 2022 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
ATTEST:
________________________________
Mary Ann Carbone, Mayor
_______________________
Connie Horca, City Clerk
114
Pay Period Step 1 Step 2 Step 3 Step 4 Step 5 Maxium
Step 6 1 2
36 Maintenance Worker II Hourly 25.4588 26.7317 28.0683 29.4717 30.9453 32.4926 34.1172 35.8231 Monthly 4,417.23 4,638.09 4,870.00 5,113.50 5,369.17 5,637.63 5,919.51 6,215.49 Annual 53,006.62 55,656.95 58,439.80 61,361.79 64,429.88 67,651.37 71,033.94 74,585.64 39 Community Services Hourly 26.1170 27.4229 28.7940 30.2337 31.7454 33.3326 34.9993 36.7492 Coordinator Monthly 4,530.37 4,756.89 4,994.73 5,244.47 5,506.69 5,782.03 6,071.13 6,374.69 Annual 54,364.13 57,082.34 59,936.45 62,933.28 66,079.94 69,383.94 72,853.13 76,495.79 40 Maintenance Worker III Hourly 26.1704 27.4789 28.8529 30.2955 31.8103 33.4008 35.0708 36.8244 Monthly 4,535.87 4,762.66 5,000.80 5,250.84 5,513.38 5,789.05 6,078.50 6,382.42 Annual 54,430.37 57,151.89 60,009.48 63,009.96 66,160.45 69,468.48 72,941.90 76,589.00 46 Records Coordinator Hourly 31.0689 32.6223 34.2535 35.9661 37.7644 39.6527 41.6353 43.7171 Monthly 5,385.17 5,654.43 5,937.15 6,234.01 6,545.71 6,872.99 7,216.64 7,577.47 Annual 64,621.87 67,852.96 71,245.61 74,807.89 78,548.29 82,475.70 86,599.49 90,929.46 48 Deputy City Clerk Hourly 34.2293 35.9408 37.7378 39.6247 41.6059 43.6862 45.8705 48.1641 Monthly 5,940.68 6,237.71 6,549.60 6,877.08 7,220.93 7,581.98 7,961.08 8,359.13 Annual 71,288.02 74,852.42 78,595.04 82,524.79 86,651.03 90,983.59 95,532.76 100,309.40 50 Public Works Supervisor Hourly 36.6481 38.4805 40.4045 42.4248 44.5460 46.7733 49.1120 51.5676 Monthly 6,360.31 6,678.33 7,012.24 7,362.85 7,731.00 8,117.55 8,523.42 8,949.59 Annual 76,323.57 80,139.75 84,146.74 88,354.07 92,771.78 97,410.37 102,280.88 107,394.93 51 Acting City Clerk Hourly 35.9875 37.7869 39.6762 41.6600 43.7430 45.9302 48.2267 50.6380 Temporary position Monthly 6,237.72 6,549.61 6,877.09 7,220.94 7,581.99 7,961.09 8,359.14 8,777.10 Annual 74,852.68 78,595.31 82,525.08 86,651.33 90,983.90 95,533.10 100,309.75 105,325.24 52 Finance/HR Specialist Hourly 40.6240 42.6552 44.7880 47.0274 49.3787 51.8477 54.4400 57.1620 Monthly 7,049.21 7,401.67 7,771.75 8,160.34 8,568.36 8,996.78 9,446.62 9,918.95 Annual 84,590.27 88,819.78 93,260.77 97,923.81 102,820.00 107,961.00 113,359.05 119,027.00 54 City Planner Hourly 39.7086 41.6940 43.7787 45.9677 48.2661 50.6794 53.2133 55.8740 Monthly 6,889.38 7,233.85 7,595.54 7,975.32 8,374.08 8,792.79 9,232.43 9,694.05 Annual 82,672.23 86,805.84 91,146.13 95,703.44 100,488.61 105,513.04 110,788.70 116,328.13 57 City Clerk Hourly 42.7537 44.8914 47.1360 49.4928 51.9674 54.5658 57.2940 60.1587 Monthly 7,410.50 7,781.03 8,170.08 8,578.58 9,007.51 9,457.88 9,930.78 10,427.32 Annual 88,925.56 93,371.84 98,040.43 102,942.45 108,089.57 113,494.05 119,168.76 125,127.19 71 Dir. Of Admin. Services Hourly 66.6890 70.0235 73.5246 77.2009 81.0609 85.1139 89.3696 93.8381 Dir of Community Dev Monthly 11,540.52 12,117.55 12,723.42 13,359.59 14,027.57 14,728.95 15,465.40 16,238.67 Annual 138,485.44 145,409.71 152,680.20 160,314.21 168,329.92 176,746.41 185,583.73 194,862.92 72 Dir. Of Community Dev./ Hourly 68.3519 71.7695 75.3580 79.1259 83.0822 87.2363 91.5981 96.1780 Assistant City Manager Monthly 11,829.03 12,420.48 13,041.51 13,693.58 14,378.26 15,097.17 15,852.03 16,644.63 Annual 141,947.58 149,044.96 156,497.21 164,322.07 172,538.17 181,165.08 190,223.33 199,734.50 Pay Period Rate
Monthly 16,625.00
Annual 199,500.00
City Attorney Monthly 16,032.89
Annual 192,394.65
Amended: Resolution SC - 29, 1991; 94-08, 1994; 97-66, 1997; 99-51, 1999; 01-61, 2001; 02-53, 2002; 05-49, 2005; 07-99, 2007; 10-75, 2010; 15-46, 2015; 18-87, 2018; 18-92, 2018; 20-86, 2020; 21-46, 2021; 22-13, 2022; SC- effective July 1, 2022 City Manager
Exempt Employees
Recommended Title
Range #
2022-2023 Miscellaneous Employees
Range Placement Table
2.5% Between Ranges; 5% Between Steps
Longevity *
*Employees who have worked for the City for at least 7 years shall receive a 5% longevity increase. Employees who have worked for the City for at least 10 years shall receive an addition 5% longevity increase. 6/28/2022
115
AGENDA ITEM
9D.
Council Discussion on the Process for
Organizing Campaign to Support the
Transaction and Use Tax Measure
116
AGENDA ITEM
9E.
Consideration of Cancelling Future City
Council meeting scheduled for August 2,
2022
117
AGENDA ITEM
9F.
Comments by Council Members on Items
of Interest to Sand City
118
AGENDA ITEM
9G.
Upcoming Meetings/Events
119