TTY OF
THIN COOT
CITY OF SAUSALITO
CITY COUNCIL MINUTES
TUESDAY, MARCH 17, 2026
I. CALL TO ORDER AND ROLL CALL
The meeting was called to order by Mayor Woodside at 3:02 p.m. and the following members were present:
Councilmember Cox
Councilmember Hoffman (remote)
Councilmember Sobieski (arrived remotely at 3:25 pm)
Vice Mayor Blaustein
Mayor Woodside
II. CLOSED SESSION
C1. PUBLIC EMPLOYEE EMPLOYMENT (Government Code Section 54957) Title: City Manager
C2. CONFERENCE WITH LABOR NEGOTIATOR (Government Code Section 54957.6) Agency Designated Representative: Chris Zapata, City Manager, Kathy Nikitas, Human Resources Manager, Burke Dunphy, Sloan Sakai
Employee organization: SEIU
C3. CONFERENCE WITH REAL PROPERTY NEGOTIATOR (Government Code Section 4956.8) Property: 558 Bridgeway; APNs: 065-172-12, 065- 172-13, 065-172-15 Negotiating Parties: Bridgeway 558 Real Property, LLC City Negotiator: City Manager and City Attorney
Under Negotiation: Price and Terms
C4. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION (Government Code Section 54956.9(d)(2)) Significant Exposure to Litigation: One Case C5. CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION
(Government Code Section 54956.9(d)(1))
Name of case: Andrew Sullivan v. City of Sausalito, Marin County Superior Court Case CV0004822 C6. CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION
(Government Code Section 54956. 9(d) (1))
Name of case: Link Holdings, LLC v. City of Sausalito, Marin County Superior Court CV0009335 Negotiator: City Manager and City Attorney
Under Negotiation: Price and Terms
The City Council adjourned to Closed Session at 3:04 p.m. 1 of 6
III. RECONVENE TO OPEN SESSION
The City Council reconvened at 5:09 p.m. and stated that Councilmember Sobieski recused himself because the matter under discussion involved a location very close to his residence, creating a potential conflict of interest.
Councilmember Cox moved, seconded by Mayor Blaustein, and unanimously carried, to approve the agenda.
1. SPECIAL PRESENTATIONS, MAYOR'S ANNOUNCEMENTS & CITY MANAGER REPORTS Chris Zapata, City Manager, made a report on the vehicle that drove off the Sausalito dock and paid his condolences of man who was killed in that event.
Mayor Woodside announced an upcoming caregiving project event sponsored by Parks and Recreation, to be held Friday at 6:00 p.m. at Tiffany Park.
Mayor Woodside turned the conduct of the meeting over to Vice Mayor Blaustein due to illness.
2. COMMUNICATIONS
Sandra Bushmaker and Babette McDougal provided public comments.
3. CONSENT CALENDAR
Vice Mayor Blaustein recused herself from Item. No. 3F.
Fred Moore, Kieran Culligan, Sandra Bushmaker, and Babette McDougal provided public comments.
Councilmember Cox moved, seconded by Mayor Woodside, and unanimously carried to continue Item No. 3.E: "Authorize an additional $34,680 from Fund 117 Measure L to support a study related to impacts of AB 413-Daylighting at Roadway Crossing with Marked and Unmarked Crosswalks, on Caledonia Street and on Bridgeway in Downtown" to the City Council meeting of April 21, 2026, and directed staff to return with the item on that date.
Councilmember Cox moved, seconded by Mayor Blaustein, and unanimously carried, to adopt the following items:
3.A Adopted the Draft Meeting Minutes of March 3, 2026.
3.B Adopted the Cesar Chavez Day Proclamation.
3.C Adopted the National Women's History Month Proclamation.
3.D Ratified the Legisiative Letters of Support submitted to Senator Alex Padilla, Senator Adam Schiff, and the Marin City Health and Wellness Center.
3.G Adopted Resolution 12-2026 Approving an Encroachment Agreement for the Reconstruction of a Deck Partially within the Public Right-of-Way at 61 Marie Street (APN: 064-194-03). 2 of 6.
3.F Adopt Resolution Approving an Encroachment Agreement to allow construction of an entry gate, along with exterior path of travel improvements and associated landscaping partially within the public right-of-way at 112 Spencer Avenue (APN: 065-151-38) Mayor Woodside moved, seconded by Councilmember Cox, and unanimously carried (Vice Mayor Blaustein being recused), to adopt Resolution 13-2026. Approving an Encroachment Agreement to allow construction of an entry gate, along with exterior path of travel improvements and associated landscaping partially within the public right-of-way at 112 Spencer Avenue (APN: 065-151-38).
4. PUBLIC HEARING ITEMS
4.A Introduction by Title Only and Waiver of First Reading of Ordinance No. 04-2026, An Ordinance of the City Council of the City of Sausalito Amending Table 10.22-1 "Land Uses Allowed in Residential Districts" of Title 10 of the Sausalito Municipal Code Vice Mayor Blaustein opened the public. hearing.
Matthew Mandich, Principal Planner, made a presentation and responded to questions posed by the City Council.
Babette McDougal and Jack Burrows provided public comments.
Vice Mayor Blaustein closed the public hearing
Councilmember Cox moved, seconded by Mayor Woodside, and unanimously carried, to Introduce by Title Only and Waive the First Reading of Ordinance No. 04-2026, An Ordinance of the City Council of the City of Sausalito Amending Table 10.22-1 "Land Uses Allowed in Residential Districts" of. Title 10 of the Sausalito Municipal Code.
5. BUSINESS ITEMS
5.A Review revised Draft Request for Proposals for the Joint Development Opportunity on City-owned Housing Element Opportunity Sites (Martin Luther King Jr. Park Property 8 Corporation Yard), provide direction to Staff as appropriate, authorize Staff to publicly submit the RFP prior to the end of March 2026, and discussion of next steps Brandon Phipps: Assistant City Manager, made a presentation and responded to questions posed by the City Council.
Sergio Rudin, City Attorney, responded to questions posed by the City Council.
Fred Moore, Steve Harris, Geoffrey Barneby, Jennifer Nimmo, Sophia Collier, Heather Frentzen, Edge Frentzen, Aaron Nathan, Michelle Mokalla, Michael Rex, Stacy Nimmo, Jann Johnson, Justine Kohn, Sybil Boutilier, Adrianna Dinihanian, Sandra Bushmaker. Jake Beyer, Babette McDougal, Lorna Newlin, and Jack Burrows provided public comments.
After discussion, the City Council reviewed the revised Draft Request for Proposals for the Joint Development Opportunity on City-owned Housing Element Opportunity Sites, and provided direction to staff, including correction and clarification of language on page 4 (including the description of affordability and the project timeline, clarifying a 60-day period where applicable); ensuring analysis and clear discussion of a two-story development scenario and associated view analysis: maintaining a 32-foot building height limit and 3 of 6
expressing a preference for two stories; clarifying that affordable housing is to be provided on both sites and refining the description of affordable income levels; removing references to Site 84 from the RFP; adding a mention of the Housing Element sites in the site summary section; and removing the "flexibility" section to better align with Council direction on form and intensity.
The Council further directed that the RFP be consistent with prior direction regarding a potential 80/20 program mix at the MLK site as summarized by Vice Mayor Blaustein, that schools be emphasized as key stakehoiders with appropriate liaison roles noted, that RFP- related resource needs be incorporated into upcoming budget deliberations, and that mandatory site meetings for prospective proposers be included.
The City Council authorized staff to finalize and publicly issue the RFP prior to the end of March 2026, consistent with the Council's direction.
Councilmember Cox moved, seconded by Mayor Woodside, and unanimously carried, to approve the revised Draft Request for Proposals for the joint development opportunity on the City-owned Housing Element Opportunity Sites (Martin Luther King Jr. Park Property and Corporation Yard), authorize staff to publicly issue the RFP prior to the end of March 2026. and incorporate the Council's direction into the final RFP, as amended by Vice Mayor Blaustein's clarifying language and edits.
5.B Authorize the City Manager and Finance Director to use Section 115 trust funds to smooth the peaks of Unfunded Accrued Liabilities (UAL) payments for the next 10 years to address budgetary challenges starting fiscal year 2026-2027 through fiscal year 2035-2036
Chris Zapata, City Manager, made a presentation and responded to questions posed by the City Council.
Craig Hill, Managing Principal, and Matt DeFilippis, Public Finance Analyst, NHA Advisors, made a presentation and responded to questions posed by the City Council.
Councilmember Cox moved, seconded by Mayor Woodside, and unanimously carried, to authorize the City Manager and Finance Director to use Section 115 trust funds to smooth the peaks of Unfunded Accrued Liabilities (UAL) payments for the next 10 years to address budgetary challenges starting fiscal year 2027-2028 through fiscal year 2035-2036, with the proviso that staff return in fiscal year 2027-2028 to confirm whether to continue this strategy and to review the status of the Section 115 trust investments.
5.C Authorize the City Manager to execute agreements to transfer administration of the City's Section 115 Trust for OPEB and Pension Stabilization to Shuster Advisory Group, LLC, and to transfer the Trust's assets to Charles Schwab Trust Bank and to name Alta Trust Company as Directed Trustee; Rescind February 4, 2025, Council Action Directing Transfer of Funds from Public Agency Retirement Services (PARS) to the CERBT and CEPPT Programs Operated by CaPERS
Angeline Loeffler, Finance Director, made a presentation and responded to questions posed by the City Council.
Mark Shuster, Managing Partner & CEO. and Sarah Yauchzee, Retirement Planning..
Director of Operations, Shuster Advisory Group: LLC, made a presentation and responded to questions posed by the City Council
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Councilmember Cox moved, seconded by Vice Mayor Blaustein, and unanimously carried, to rescind February 4. 2025, Council Action Directing Transfer of Funds from Public Agency Retirement Services (PARS) to the CERBT and CEPPT Programs Operated by CaPERS Councilmember Cox moved, seconded by Vice Mayor Blaustein, and unanimously carried, to authorize the City Manager to execute agreements to transfer administration of the City's Section 115 Trust for OPEB and Pension Stabilization to Shuster Advisory Group, LLC, and to transfer the Trust's assets to Charles Schwab Trust Bank and to name Alta Trust Company as Directed Trustee.
6. COUNCILMEMBER REPORTS & OTHER COUNCIL BUSINESS
6A. Councilmember Committee Reports
Mayor Woodside reported on Finance Committee-related discussions on the Section 115 pension trust and supported moving those recommendations forward.
Vice Mayor Blaustein reported on the PBID meeting, noting that PBID is preparing a budget proposal and will seek Council approval to fund an external administrator, is planning additional downtown enhancements on Tracy Way: and will ask the City to act as applicant for waterfront-access grants.
Councilmember Cox reported attending a special Southern Marin Fire meeting on the new chief ecruitment. where she advocated for allowing internal candidates to apply, and noted joint letter:
rom Sausalito and Mill Valley elected officials, city managers, and police chiefs urging greate community engagement in the selection process, she also announced she will attend the Marin Women's PAC elected women's luncheon.
Councilmember Hoffman announced the March 21 Portuguese Sister City dinner at the Spinnaker.
Councilmember Sobieski reported on his Finance Committee participation. 6B. Future Agenda Items
Vice Mayor Blaustein requested for a report back on the Marinship visioning roadmap once the consultant work is ready; a broader, proactive discussion on housing planning for the next housing-element cycle, including potential sites; and a short item to consider authorizing the City to act as applicant on PBID waterfront-access grants.
Councilmember Cox requested to agendize a presentation and discussion of the Schuster Section 115 trust investment strategy (after review by the Finance Committee) and supported scheduling a properly noticed, separate discussion on the housing-element process and site selection, rather than deciding that from the dais during this meeting Mayor Woodside requested a future item on establishing a potential Enhanced Infrastructure Financing District (EIFD) to use tax-increment financing for infrastructure and supported agendizing a broad public discussion on where housing should be located citywide in upcoming housing-element cycles:
Councilmember Hoffman requested that a forensic audit be placed on a future agenda. 5 of 6
Councilmember Sobieski requested an agenda item to develop a "Plan B" for housing, including potential rezoning and environmental review for additional sites (such as sites 67 and 68 near Bridgeway), updating the community development agreement ordinance, and modifying Ordinance 1022, with the goal of increasing options for partially affordable housing and maintaining negotiating leverage beyond the MLK and Corporation Yard sites. 6C. Minutes from Boards, Commissions; and Committees
The City Council received and filed the Finance Committee Minutes of November 13, 2025. 6D. Other reports of significance - NONE
SE. Public Comment on Items 6A-6
Vicki Nichols, Sandra Bushmaker, and Adrian Brinton provided public comments. 6F. Appointments - NONE
7. ADJOURNMENT
Mayor Woodside adjourned the meeting at 9:30 p.m. in memory of Elizabeth Nevat, former owner of Cafe Divino.
Respectfully submitted,
Walfred Solorzano
City Clerk Signed By:
Deirdre Coyne
Deputy City Clerk
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