* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. YEAH, [00:00:06] GOOD EVENING. [ CALL TO ORDER: Council Chamber INVOCATION: City Attorney/Legal Counsel Jones PLEDGE OF ALLEGIANCE: Mayor/Director Espinoza ROLL CALL: Mayor/Director Espinoza Mayor Pro Tem/Director Medrano Councilmember/Director Gomez Councilmember/Director Shaw Councilmember/Director Simonian] I WILL NOW CALL THE ORDER, THE REGULAR MEETING OF THE CITY COUNCIL AND THE REGULAR JOINT MEETING WITH THE SUCCESSOR AGENCY TO THE LA HARBOR REDEVELOPMENT AGENCY OF THE CITY OF LA HARBOR, BELLA HARBOR, CIVIC IMPROVEMENT, AUTHORITY, CITY OF LA HARBOR HOUSING AUTHORITY AND THE LA HARBOR UTILITY AUTHORITY OF MARCH 15, 2021. LET THE RECORD REFLECT THAT IT IS 6:30 PM. THE INVOCATION WILL BE GIVEN BY CITY ATTORNEY, UH, LEGAL COUNSEL, RICHARD JONES FOLLOWED BY THE PLEDGE OF ALLEGIANCE, WHICH IS LED BY ME. IF YOU WOULD PLEASE RISE, ASK YOU TO PLEASE VAL, YOUR HEADS, THEIR HEAVENLY FATHER. WE COME BEFORE YOU THIS EVENING, AS WE BEGIN TO DISCUSS THE BUSINESS WHERE THE CITY OF ALHAMBRA WE'RE FULL OF GRATITUDE FOR YOUR TENDER MERCIES AND KIND STATEMENTS OF SUPPORT DURING THIS DIFFICULT TIME OF THE PANDEMIC, WE'RE GRATEFUL FOR THE FIVE MEN AND WOMEN OF OUR CITY WHOSE SERVICE OUR COMMUNITY WITH PUBLIC SAFETY AND THE PUBLIC WORKS JARRED AND THROUGHOUT THE WHOLE COMMUNITY, WE'RE VERY GRATEFUL FOR THEIR SERVICE AND COMMITMENT TO OUR CITIZENS. WE'RE GRATEFUL FOR OUR CITY COUNCIL, THE PEOPLE OF INTEGRITY WITH WHICH THEY ARE. WE ASK YOU TO BLESS THEM THIS EVENING WITH WISDOM AND INSIGHT THAT THEY WILL DO THAT, WHICH IS BEST FOR ALL THE HOMBRE AND DO SO WITH A LOVING SUPPORT. YOU SAY THESE THINGS HUMBLING, NEBULAE SON, JESUS CHRIST. AMEN. PLEASE TURN AND FACE OUR NATION'S FLAG. BEGIN IT'S AMERICA AND TO THE REPUBLIC FOR WHICH IT STANDS ONE NATION UNDER GOD, INDIVISIBLE WITH LIBERTY AND JUSTICE FOR ALL. THANK YOU VERY MUCH. WOULD THE COURT CALL ROLE PLEASE? COUNCIL MEMBER, DIRECTOR SIMONIAN, COUNCIL MEMBER, DIRECTOR SHAW COUNCIL MEMBER, DIRECTOR GOMEZ, MAYOR PRO TEM DIRECTOR MEDRANO, MAYOR DIRECTOR ESPINOSA HERE. THANK YOU. THANK YOU. ARE THERE ANY CLOSED SESSION ANNOUNCEMENTS? NO CUT. NO CUT. NO COMMENTS. THANK YOU. WE WILL NOW PROCEED TO PUBLIC COMMENT. GENERAL PUBLIC COMMENTS SHALL BE RECEIVED AT THE BEGINNING OF THE GOVERNING BODY MEETING AND LIMITED TO THREE MINUTES PER INDIVIDUAL WITH A TOTAL TIME LIMIT OF 30 MINUTES FOR ALL PUBLIC COMMENTS, UNLESS OTHERWISE MODIFIED BY THE MAYOR OR CHAIR. SPEAKING TIMES MAY NOT BE GRANTED AND OR LOAN TO ANOTHER INDIVIDUAL FOR PURPOSES OF EXTENDING AVAILABLE. SPEAKING TIME, AND COMMENTS MUST BE KEPT BRIEF NON-REPETITIVE AND PROFESSIONAL IN NATURE. THE, THE GENERAL PUBLIC PORTION OF THE MEETING ALLOWS THE PUBLIC TO ADDRESS ANY ITEMS OF CITY BUSINESS, NOT APPEARING ON THE SCHEDULED AGENDA PER GOVERNMENT CODE SECTION FIVE 49, FIVE 4.38. SUCH COMMON SHALL NOT BE RESPONDED TO BY THE GOVERNING BODY DURING THE MEETING. ARE THERE, IS THERE ANYONE WISHING TO SPEAK DURING THIS PUBLIC SESSION? MME. MAY THERE ARE NO SPEAKERS. THANK YOU VERY MUCH. THEN WE WILL PROCEED [ CONSENT CALENDAR: All matters on Consent Calendar are considered to be routine and will be enacted by one motion unless a Councilmember, City staff member, or member of the audience requests separate action or removal of an item. Removed items will be considered following the Consent Calendar portion of this agenda. Public comment shall be limited to three (3) minutes per individual, with a total time limit of 30 minutes per item that has been removed for separate discussion, unless otherwise modified by the Mayor. Speaking time may not be granted and/or loaned to another individual for purposes of extending available speaking time, and comments must be kept brief, non-repetitive, and professional in nature.] TO THE CONSENT CALENDAR. ALL MATTERS OF THE CONSENT CALENDAR ARE CONSIDERED TO BE ROUTINE AND WILL BE ENACTED BY ONE MOTION. LET'S COUNCIL MEMBERS, CITY STAFF MEMBER, OR A MEMBER OF THE AUDIENCE REQUESTS, SEPARATE ACTION OR REMOVAL OF AN ITEM REMOVED ITEMS WILL BE RE CONSIDERED, UH, FOLLOWING THE CONSENT CALENDAR PORTION OF THIS AGENDA. PUBLIC COMMENTS SHALL BE LIMITED TO THREE MINUTES PER INDIVIDUAL WITH A TOTAL TIME LIMIT OF THREE MINUTES, 30 MINUTES PER ITEM THAT HAVE BEEN REMOVED FOR SEPARATE DISCUSSION, UNLESS OTHERWISE MODIFIED BY THE MAYOR. SPEAKING TIME MAY NOT BE GRANTED AND OR LOAN TO ANOTHER INDIVIDUAL FOR PURPOSES OF EXTENDING AVAILABLE. SPEAKING TIME, AND COMMENTS MUST BE KEPT BRIEF NON-REPETITIVE AND PROFESSIONAL IN NATURE. THAT CONSENT CALENDAR APPEARS ON PAGES THREE THROUGH FIVE ON THE AUDIENCE AGENDA CITY COUNCIL ITEMS ONE THROUGH EIGHT SUCCESSOR AGENCY ITEM ONE, CIVIC IMPROVEMENT AND AUTHORITY ITEM ONE, HOUSING AUTHORITY ITEM ONE, UTILITY AUTHORITY ITEM ONE AND CITY COUNCIL, AGENCY, AND AUTHORITY ITEMS. ONE. ARE THERE ANY ITEMS THAT STAFF WOULD WISH REMOVED? NO MATTER MAYER, THANK YOU. ANY ITEMS THAT THE COUNCIL WOULD WISH REMOVED? ARE THERE ANY ITEMS THAT THE AUDIENCE WOULD WISH REMOVED? THERE'S NINE MATTER MAYOR, MAY I HAVE A MOTION DIRECTOR? I'D LIKE TO MAKE A MOTION TO APPROVE THE CONSENT CALENDAR. IS THERE A SECOND, SECOND OR THE CLERK CALL ROLL PLEASE. MEMBER SIMONIAN. THANK YOU. COUNCIL MEMBER, DIRECTOR SMITHSONIAN. YES. COUNCIL MEMBER DIRECTOR, SHOP COUNCIL MEMBER, DIRECTOR GOMEZ COUNTS. MAYOR PRO TEM DIRECTOR. MADRANO [00:05:01] MAYOR DIRECTOR ESPINOSA. YES. MOTION PASSED FIVE ZERO. THANK YOU. WE WILL NOW PROCEED TO PUBLIC HEARINGS. PUBLIC COMMENTS SHALL BE LIMITED TO FIVE MINUTES PER INDIVIDUAL WITH A TOTAL TIME LIMIT OF 60 MINUTES FOR ALL PUBLIC COMMENTS FOR EACH INDIVIDUAL PUBLIC HEARING ITEM ON THE AGENDA, UNLESS OTHERWISE MODIFIED BY THE MAYOR OR CHAIR COMMENTS MUST BE KEPT BRIEF NON-REPETITIVE AND PROFESSIONAL IN NATURE. ITEM ONE [1. DULY NOTICED PUBLIC HEARING TO CONSIDER ZONE CHANGE 20-03 AMENDING TITLE 18 ("ZONING") OF THE LA HABRA MUNICIPAL CODE (LHMC) BY ADDING CHAPTER 18.82 (“INCLUSIONARY HOUSING UNITS”) That the City Council: APPROVE FIRST READING OF ORDINANCE NO. ______ ENTITLED: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA HABRA APPROVING ZONE CHANGE 20-03 AMENDING TITLE 18 ("ZONING") OF THE LA HABRA MUNICIPAL CODE (LHMC) BY ADDING CHAPTER 18.82 ("INCLUSIONARY HOUSING UNITS") AS PER EXHIBIT “A”. CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA): The proposed amendments are exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the CEQA guidelines. On January 21, 2014, the City Council certified Environmental Impact Report 13-01 associated with the La Habra General Plan 2035, the 2014-2021 Housing Element Update, and the La Habra Climate Action Plan (CAP). The proposed action fulfills one of the stated goals of the La Habra General Plan 2035. The goals and policies discussed within this report were analyzed as part of the approved EIR and therefore no additional CEQA review is required. Any future improvement of potential development sites, subject to this proposal, will be required to be reviewed pursuant to the CEQA requirements at such time as development is considered.] IS A DULY NOTICED PUBLIC HEARINGS TO CONSIDER ZONE CHANGE. 20 DASH OH THREE AMENDING TITLE 18 ZONING OF THE LA HARBOR MUNICIPAL CODE L M L H M C BY ADDING CHAPTER 18.8282 INCLUSIONARY HOUSING UNITS. IF WE COULD HAVE A STAFF REPORT, PLEASE. YES. MADAM MAYOR MEMBERS OF THE COUNCIL, ANDREW HO DIRECTOR OF COMMUNITY DEVELOPMENT HERE TO PRESENT THE STAFF REPORT THIS EVENING, A SENIOR PLANNER, CHRIS SCHAFFER ALSO IN ATTENDANCE TO PROVIDE COUNSEL TO THE, UH, CITY COUNCIL IS SCOTT QUARTER FROM THE CITY ATTORNEY'S OFFICE. CHRIS, TAKE IT AWAY. THANK YOU, ANDREW. NEXT SLIDE PLEASE. SO GOOD EVENING. HONORABLE MAYOR AND COUNCIL MEMBERS. THE CITY IS REQUESTING CONSIDERATION OF AN ORDINANCE ENTITLED INCLUSIONARY HOUSING UNITS. NEXT SLIDE PLEASE. SO ON JANUARY 21ST, 2014, THE CITY COUNCIL ADOPTED THE LAHABRA GENERAL PLAN 2035, WHICH INCLUDED THE 2014 THROUGH 2021 HOUSING ELEMENT. THE GENERAL PLAN CONTAINS 93 GOALS AND POLICIES TO DIRECT FUTURE DEVELOPMENT IN THE CITY GOAL, B 11 OF THE GENERAL PLAN POLICY, 87 OF THE HOUSING ELEMENT AND PROGRAM 85 OF THE HOUSING ELEMENT. EACH SPECIFICALLY CALL OUT THE REQUIREMENT THAT AN INCLUSIONARY HOUSING ORDINANCE SHALL BE CONSIDERED FOR ADOPTION BY THE CITY IN 1980 STATE LEGISLATION WAS PLAID, EXCUSE ME, AS PASSED. THAT REQUIRES THAT THE VARIOUS ASSOCIATION OF GOVERNMENTS FORECAST THE HOUSING NEEDS OF THEIR ASSOCIATED CITIES. THIS FORECAST IS KNOWN AS THE REGIONAL HOUSING NEEDS ASSESSMENT OR RENA LAHABRA IS A SHARE OF THE UNITS IS PROJECTED AT 803 UNITS BELOW IS A BREAKDOWN ON THE UNITS THAT LAHABRA IS REQUIRED TO PROVIDE WITHIN CYCLE SIX. THAT SETS THE AMOUNT OF UNITS AND THE AFFORDABILITY LEVELS OF THOSE UNITS. AND ONE UPDATE HERE FOR THE COUNCIL, UH, RECENTLY, UH, THE REGIONAL HOUSING NEEDS ASSESSMENT NUMBER FOR LAHABRA WAS INCREASED TO EIGHT OH FOUR AND THAT X-RAY UNIT WAS, UH, ATTRIBUTED TO THE ABOVE MODERATE, UH, INCOME CATEGORY. SO WE WENT FROM THREE 65 TO THREE 66. THANK YOU SO MANY CITIES, UH, FALL SHORT IN MEETING THEIR RENA NUMBERS, PARTICULARLY IN THE LOW AND VERY LOW CATEGORIES WHILE NOT MEETING THE RENA NUMBERS HAS NO ASSOCIATED PENALTIES AT THIS TIME, JURISDICTIONS THAT FAIL TO MAKE ADEQUATE STEPS TO TRY TO MEET RENA NUMBERS MAY FACE PENALTIES. THERE ARE VARIOUS PENALTIES, IMMUNE SUPPORT, SORRY, THIS MASKS IN THE WAY, AND MUNICIPALITY COULD FACE AS SHOWN ABOVE THE NEXT SLIDE. PLEASE. THE CITY HAS UTILIZED VARIOUS TOOLS TO REQUIRE DEVELOPERS TO PROVIDE AFFORDABLE HOUSING OVER THE PAST 20 YEARS. GENERALLY, THIS HAS BEEN IMPLEMENTED THROUGH DISCRETIONARY PERMITS, SUCH AS SPECIFIC PLANS AND DEVELOPMENT AGREEMENTS. HOWEVER, EACH PROJECT WAS INDIVIDUALLY NEGOTIATED AND THE CONDITIONS OF APPROVAL VARIED FROM PROJECT TO PROJECT. THREE, EXAMPLES ARE SHOWN, UH, I'M SORRY, CAN YOU GO BACK ONCE? THERE YOU GO. THANK YOU. THE FIRST FEW PROJECTS PROVIDED IN LIEU OF FEES. WHEREAS THE THIRD PROJECT VALENCIA DID NOT. HOWEVER, THE THIRD PROJECT PROVIDE A SIZABLE PARKS FEE NEXT, PLEASE STAFF CONDUCTED A SURVEY DETERMINED, WHICH CITIES ADOPTED INCLUSIONARY HOUSING ORDINANCES IN ORANGE COUNTY, EIGHT OUT OF 34 CITIES HAVE ADOPTED ORDINANCES. THE MAJORITY OF THESE ORDINANCES REQUIRE THAT A MINIMUM OF 15% OF NEW UNITS BE AFFORDABLE FOR MULTI FAMILY PROJECTS. THE SPECIFIC OF EACH ORDINANCE DIFFER FROM CITIES, CITY TO CITY. HOWEVER, ALL HAVE A METHOD FOR CALCULATING IN LIEU OF FEES. WHEN THE DEVELOPER CHOOSES NOT TO PROVIDE AFFORDABLE UNITS, AS PART OF THE PROJECT STAFF DEVELOPED THE PROPOSED ORDINANCE BASED ON ASPECTS OF THESE VARIOUS ORDINANCES. IN ADDITION, THE BUILDING INDUSTRY ASSOCIATION HAD DISCUSSIONS WITH STAFF REGARDING THIS PROPOSED ORDINANCE AND STATED THEIR OPPOSITION TO IT AS THEY BELIEVE IT IS AN UNFAIR BURDEN ON DEVELOPERS, AS WELL AS BEING A DETERRENT TO BUILDING HOMES. IT PROPOSED INCLUSIONARY HOUSING ORDINANCE INCLUDES THE FOLLOWING FEATURES. IT WILL APPLY TO PROJECTS OF 10 UNITS OR MORE, AND THAT'S EITHER FOR SALE OR RENTAL. [00:10:01] IT REQUIRES IT 15% OF THOSE UNITS, UH, BE MADE AFFORDABLE IF THEY'RE FOR SALE UNITS. UM, THAT CUTOFF IS 110% OF AREA MEDIAN INCOME, WHICH THE FAMILY OF FOUR IS ABOUT 98,000. IF THE RENTAL PROJECT 9% OF THE UNITS SHALL BE FROM MODERATE INCOME FAMILIES AND 3% OF THOSE UNITS SHALL BE FOR LOW OR VERY LOW INCOME FAMILIES, UNITS CAN EITHER BE PROVIDED ONSITE OR OFFSITE UNITS SHALL MAINTAIN AFFORDABLE AFFORDABILITY BASED ON STATE LAW, WHICH IS CURRENTLY 55 YEARS FOR, UM, FOR SALE UNITS. AND IF IT'S A RENTAL UNIT IT'S AT 45 YEARS, DEVELOPERS CAN CHOOSE TO PAY EITHER THE IN LIEU OF FEE OR PROVIDE THE ACTUAL UNITS. THE IN LIEU OF FEE, IF IT'S PAID WOULD BE BANKED BY THE CITY TO BE USED FOR FUTURE AFFORDABLE HOUSING PROJECTS. SO IN SUMMARY, THE PROPOSED INCLUSIONARY HOUSING ORDINANCE PROVIDE THE CITY WITH A TOOL TO REQUIRE THE DEVELOPMENT OF AFFORDABLE UNITS. IT DOES THIS BY REQUIRING THE DEVELOPMENT OF LOW INCOME AND VERY LOW INCOME UNITS, WHICH ARE ALSO REQUIRED BY THE RENA. IT ALSO SETS THE RATE FOR IN LIEU OF FEES, WHICH PREVIOUSLY HAD NOT BEEN ESTABLISHED WHILE THERE'S NO REQUIREMENT FOR THIS ORDINANCE TO BE APPROVED. IT PROVIDES THE CITY OF THE BEST OPTION FOR OBTAINING UNITS REQUIRED BY THE ARENA. THIS CONCLUDES MY PRESENTATION. THANK YOU. THANK YOU VERY MUCH. ARE THERE ANY QUESTIONS FROM THE COUNCIL PLEASE? UM, LET ME, OKAY. UM, OUT OF THOSE EIGHT OUT OF 34 CITIES THAT HAVE ADOPTED THIS, WHAT HAS BEEN THE IMPACT OR WHAT KIND OF A, WHAT ARE YOU HEARING BACK FROM THOSE CITIES? UH, IT LOOKS LIKE THEIR RENA NUMBERS HAVE NOT BEEN HIT ANYWAY, BUT WHAT KIND OF IMPACT HAS IT IMPROVED ANY SINCE ADOPTING THE ORDINANCE? SO, SIR, UH, WE HAD A LONG DISCUSSION WITH THE CITY OF SANTA ANA AND, UM, AS WE, I THINK YOU MIGHT REMEMBER FROM OUR LAST DISCUSSION, THE CITY OF SANTA ANA HAD ESTABLISHED A $15 PER SQUARE FOOT IN LIEU OF FEE, WHICH WAS DEEMED TO BE A LITTLE BIT ON THE HIGH SIDE. AND SOME PROJECTS WERE STOPPED IN THEIR TRACKS, THE CITY COUNCIL OF SANTA ANA CHOSE TO LOWER THAT FEE TO $5 A SQUARE FOOT FOR THE TOTAL PROJECT AND PROJECTS WERE RESTARTED. UM, HAVE YOU TALKED TO THE CITY OF SANTA ANA STAFF? UM, THIS IS A TEMPORARY THING. THEY MIGHT INCREASE IT TO $15 AGAIN, BUT AT THIS TIME IT IS $5 PER SQUARE FOOT FOR THE TOTAL PROJECT COSTS. UH, OTHER CITIES HAVE NOT RELAYED THAT TYPE OF INFORMATION TO US. THEY'VE BEEN MOVING ALONG AS, AS NORMAL. SO THE OTHER CITIES, WHEN YOU SAY AS NORMAL, MEANING THERE HAVE NOT BEEN ANY AFFORDABLE UNITS ADDED, IT'S JUST BEEN STATUS QUO. I MEAN, WHAT, WHAT, WHAT ARE YOU HEAR? THE PROJECTS ARE STILL MOVING. SO THERE, THE FEES ARE ON ARE A LITTLE BIT LOWER THAN WHAT SANTA ANA WAS ORIGINALLY CHARGING. SO THOSE PROJECTS HAVE BEEN MOVING FORWARD. UM, IN PARTICULAR IS HUNTINGTON BEACH. THEY, THEY, THEY WERE SUED BY THE STATE AND, UM, WAS, WAS THERE AN INCREASE IN HOUSE AND, UH, THE, UH, HOUSING GETTING CLOSE TO THE ARENA NUMBERS IN SANTA ANA WHEN, WHEN THEY LOWERED THEIR, THEIR IN LIEU FEES. I DON'T HAVE THE INFORMATION AT THIS TIME, SIR, I CAN FIND OUT. OKAY. UM, SO I GUESS WHAT I'M LOOKING FOR IS I, I, YOU KNOW, THERE'S ONLY EIGHT OUT OF 34 CITIES THAT ARE DOING THIS, GIVE ME A CARE, GIVE ME A, A CAVEAT THAT, THAT A SUCCESS STORY. I WANT TO HEAR SOMETHING THAT'S LIKE, WOW, THIS IS REALLY GONNA HELP OUR COMMUNITY. I'M SO MUCH TEETER TOTTERING BACK AND FORTH. I KNOW WE HAVE TO HIT THAT 804 NUMBER, BUT, UH, GIVE ME, GIVE ME SOMETHING THAT SHOWS ME. THIS IS GOING TO BE THE MECHANISM THAT'S GOING TO HELP IT FROM, FROM OUR STAFF EXPERIENCE. WHEN WE TALK TO DEVELOPERS, UH, NO DEVELOPER REALLY WANTS TO BUILD LOW OR VERY LOW INCOME UNITS. THEY ARE WILLING TO MAYBE BUILD MODERATE INCOME UNITS. THIS WILL PROVIDE US THE TOOL TO DO THAT. WE, WE HAVE TALKED TO AFFORDABLE DEVELOPERS AND THEY NEED SIZEABLE GAP FUNDING FROM US TO DO LOW AND VERY LOW UNITS THAT THAT'S THE INCENTIVE WE ON OUR OWN ARE NOT ABLE TO PROVIDE LOW AND VERY LOW UNITS. UM, DO YOU THINK IF WE WERE TO TAKE THE ROUTE LIKE SANTA ANA AND LOWER THE FEES AND LIEU FEES, WOULD THAT BE A MECHANISM TO HELP THEM OUT FINANCIALLY? THAT MIGHT BE AN OPTION. YES, SIR. OKAY. MADAM MAYOR, IF I MAY. YES. SO WHAT THE COUNCIL IS CONSIDERING TONIGHT IS ESTABLISHING CITYWIDE HOUSING POLICY BY ADOPTING THE INCLUSIONARY HOUSING ORDINANCE, YOU ARE TELLING COMMUNITY AND THE DEVELOPMENT COMMUNITY, UH, SUPPORTING, UH, PROVIDING MORE AFFORDABLE HOUSING, UH, FOR THE COMMUNITY AND ESTABLISHING A TOOL [00:15:01] TO MEET YOUR ARENA. NUMBERS DOES A CITY NEED TO HAVE AN INCLUSIONARY HOUSING ORDINANCE TO MEET THE RENA NUMBERS? IT DOES NOT. UH, USUALLY, UH, WHEN CITIES DON'T HAVE THE ORDINANCE, UH, STAFF AND THE DEVELOPMENT COMMUNITY WORK TOGETHER TO TRY TO ACHIEVE THOSE NUMBERS, UH, HISTORICALLY IT'S BEEN DIFFICULT TO, TO MEET ALL OF THE NUMBERS THAT SCAG HAS, UH, CATEGORIZED AND ALLOTTED FOR EACH COMMUNITIES, UH, WHICH IS WHY YOU SEE SOME OF THE DRAMA GOING ON WITH THE STATE AND HUNTINGTON BEACH. UM, SOME OF THE RECENT APPEALS OF CITY NUMBERS, UH, AT THE SCAG REGIONAL LEVEL. AND SO THE INCLUSIONARY HOUSING ORDINANCE IS A TOOL THAT YOU COULD USE TO REINFORCE, UH, THE POLICY OF PROVIDING MORE AFFORDABLE HOUSING UNITS. SO THE, FOR THE NEXT PLANNING CYCLE LAHABRA IS OBLIGATED TO PLAN FOR AND ACCOMMODATE 804, UH, TYPES OF AFFORDABLE UNITS. SOME OF IT IS LOW, VERY LOW AND MODERATE INCOME MARKET RATE TYPE OF HOUSING. UM, WITHOUT THE INCLUSIONARY HOUSING ORDINANCE, YOU ARE EVENTS, SETTING A POLICY TO LEAVE IT UP TO DEVELOPERS AND, UH, THE STAFF TO LOOK FOR OPPORTUNITIES TO CAPTURE THESE NUMBERS AND THESE INCREMENTS, UH, THE INCLUSIONARY HOUSING ORDINANCE PROVIDES SOME REASSURANCES THAT FOR ANY TYPE OF DEVELOPMENT ABOVE 10 UNITS, YOU'RE GUARANTEED, AT LEAST 15% OF THOSE UNITS ARE GOING TO BE ATTRIBUTED TOWARDS, UH, MEETING YOUR RENA NUMBERS. THANK YOU, COUNCIL MEMBER, MICHELLE. THANK YOU. I THINK WE NEED TO CLARIFY SOMETHING HERE WITH REGARDS TO RINA YOU DON'T W TO COMPLY WITH IT MEANS YOU HAVE ZONED FOR AND PLAN FOR THOSE UNITS. NOT THAT THEY HAVE PHYSICALLY BEEN BUILT IN YOUR CITY, CORRECT? THAT'S CORRECT. OKAY. SO TO COMPLY WITH THREE, AND THAT MEANS WE'VE JUST ZONED FOR AND PLANNED FOR THOSE UNITS, HAVING AN INCLUSIONARY ZONING POLICY ORDINANCE IN PLACE IS NOT GOING TO HELP US ACCOMPLISH THAT AT ALL. THIS IS SIMPLY NOW, IF YOU'RE, I MEAN, WE CAN DEBATE IN A MOMENT, THE, UM, ETHICACY OF ACTUALLY HAVING THIS POLICY IN PLACE AND PHYSICALLY GETTING THEM BUILT IN, IN REALITY, BUT TO COMPLY WITH TRINA THAT WE WORK ON HUNTINGTON BEACH JAMMED WASN'T THAT THEY HAD A LAW, THEY DID, THEY DID NOT HAVE AN INCLUSIONARY ZONING POLICY ORDINANCE, IS THAT THEY WERE DOWN ZONING PROPERTY, CORRECT? THAT'S CORRECT. SO THEY TOOK LAND THAT WAS ZONED FOR HOUSING AND TOOK AWAY THAT ZONING. AND THAT'S WHY THE STATE SUED HUNTINGTON BEACH, BUT THAT, THAT IS NOT WHAT THIS IS. SO I THINK WE NEED TO CLARIFY THAT IN MY MIND. I DON'T SEE HOW THIS HELPS US GET TO RINA, UH, COMPLY, COMPLY WITH RINA AT ALL. ARE THERE ANY MORE QUESTIONS FROM THE COUNCIL? YES. UH, SO TAKING INTO ACCOUNT, WHAT, UH, WHAT COUNCIL MEMBER SHAW WAS, UH, WAS SAYING, UH, JUST THE SAME, WOULD WE EXPECT ANY LEGAL TROUBLES DOWN THE LINE? IF WE DID NOT MEET THESE RENA NUMBERS, ALL, ALL THE RENA NUMBERS WERE WERE REQUIRED, WHETHER IT BE LOW OR MODERATE ABOVE, UH, ABOVE MARKET. SO, UM, I'M SCOTT PORTER WITH THE CITY ATTORNEY'S OFFICE. THE ANSWER TO THAT IS YES. THAT IF THE CITY DOES NOT ACHIEVE ITS RENA NUMBERS, UM, FULLY, UH, WE CAN'T HEAR YOU GOOD ENOUGH. I'M TRYING TO NEW TO THE, ALL THIS AIR. IF THE CITY DOES NOT ACHIEVE ITS NUMBERS IN THE RENA CYCLE, THEN IN THE NEXT CYCLE, THERE CAN BE A NUMBER OF LONG-TERM IMPACTS. UH, YOU MAY HAVE A SHORTENED CYCLE. SO INSTEAD OF IT BEING AN EIGHT YEAR CYCLE, YOU WOULD HAVE TO REDO YOUR HOUSING ELEMENT WITHIN FOUR YEARS, RATHER THAN EIGHT YEARS, YOU MIGHT LOSE GRANT FUNDING. THERE ARE ANY NUMBER OF ENFORCEMENT MECHANISMS THAT MAY OCCUR IF YOU DON'T ACTUALLY HIT THE NUMBERS. SO CURRENTLY THE, UH, COUNCIL MEMBER SHAW IS CORRECT THAT CURRENTLY WE NEED TO ZONE TO MEET THOSE NUMBERS. AND WE HAVE MET OUR, OUR REQUIREMENTS RIGHT NOW. THE QUESTION IS, WILL YOU MEET THEM IN THE FUTURE? ARE THERE ANY OTHER QUESTIONS FROM THE COUNCIL? AND, AND YOU, YOU SAID, UM, ANDREW, THAT THIS IS GOING TO BE A TOOL THAT WE HAVE AVAILABLE TO US IS CORRECT. IF THE COUNCIL CHOOSES TO ADOPT THE INCLUSIONARY HOUSING ORDINANCE, THEN IT WILL BECOME A TOOL IN THE TOOLBOX, UH, FOR, UH, STAFF. WHEN WE MEET WITH, UH, DEVELOP THE DEVELOPMENT COMMUNITY, AS THEY BUILD RESIDENTIAL HOMES, THEY'LL KNOW GOING INTO IT, WHETHER OR NOT THEY ARE REQUIRED TO PROVIDE AFFORDABLE HOUSING OR NOT. AND THAT MAY CHANGE SOME OF THE METRICS OF THEIR PERFORMANCE AND DETERMINING WHETHER OR NOT TO, UH, DEVELOP IN LAHABRA. OKAY. [00:20:01] I KNOW THAT THE WORD INCLUSIONARY HOUSING RAISES SOME RED FLAGS AND THERE ARE DEVELOPERS THAT ARE CONCERNED WITH THIS AS WELL. AND WE MIGHT EVEN CONSIDER CHANGING THE NAME OF INCLUSIONARY HOUSING TO MIXED INCOME HOUSING, OR WORKFORCE HOUSING OR SMART HOUSING, OR EVEN MODERATELY PRICED DWELLING UNIT POLICIES, BUT, YOU KNOW, TIMES HAVE CHANGED AND THERE'S MORE AND MORE MIDDLE-CLASS INCOME EARNERS WHO ARE FINDING THEMSELVES STRUGGLING TO AFFORD A DECENT HOME AFFORDABLE HOUSING POLICIES ARE NO LONGER PRIMARILY ANTI PROP POVERTY STRATEGIES. SO, UM, I, I JUST WANT TO MAKE SURE THAT WE HAVE A TOOL AVAILABLE. SHOULD, SHOULD WE DECIDE? AND EVEN THEN, I MEAN, THERE, THERE'S PROBABLY SOME BETTER WAYS OF, UH, PROVIDING SOME BENEFITS TO THE DEVELOPERS DOWN THE ROAD, AS WELL, SUCH AS TRACK PROCESSING TAX BENEFITS, FEE WAIVERS DENSITY CAN BE REDUCED TO THE OVERALL COST OF UNITS TO BUILD. SO I THINK THAT THIS TOOL WOULD REALLY BENEFIT OUR COMMUNITY AND WE CAN JUST SEE WHAT WE CAN POSSIBLY DO, BUT I WOULD RECOMMEND THAT WE POSSIBLY CHANGE THE NAME OF IT. CONTINUE TO CONDUCT A PUBLIC HEARING. I'M SORRY FOR, WE CAN ALL THANK YOU FOR I'M SORRY. I'M SORRY. THANK YOU VERY MUCH. UM, SO NOW, IF THERE ARE NO MORE QUESTIONS FROM THE COUNCIL, I WOULD LIKE TO OPEN IT TO PUBLIC HEARING. PLEASE PROVIDE US YOUR NAME AND YOUR ADDRESS COUNCIL MEMBERS. THANK YOU. LET ME, UH, SEE IF I'M GOING TO BE ABLE TO DO THIS WITH MY MASK HERE. COUNCIL MEMBERS, MAYOR STEVE LAMONT, BUILDING INDUSTRY ASSOCIATION OF ORANGE COUNTY. THANK YOU FOR ALLOWING ME TO SPEAK. UM, I AM HERE TO OPPOSE ITEM NUMBER ONE, AND I SUBMITTED A LETTER ON BEHALF OF US, CALIFORNIA, APARTMENT ASSOCIATION, ORANGE COUNTY BUSINESS COUNCIL, THE ORANGE COUNTY TAXPAYERS ASSOCIATION, AND THE MANUFACTURED HOUSING EDUCATIONAL TRUST. AND IF YOU'LL BEAR WITH ME, I JUST WANTED TO REITERATE A COUPLE OF THE POINTS I HAD IN THAT LETTER. UM, AS YOU KNOW, HOUSING REMAINS A CRITICAL ISSUE, UH, HERE IN THE STATE OF CALIFORNIA. UH, WE NEED ABOUT 180,000 NEW UNITS PER YEAR, AND WE'RE AT BEST DOING ABOUT 80,000. THE GOVERNOR WANTS TO SEE ABOUT 500,000 UNITS PER YEAR IS WHAT THE GOVERNOR WANTS TO SEE. SO THIS HAS OBVIOUSLY CAUSED A SPIKE IN HOME PRICES, AND THIS IS ALREADY ON TOP OF THE SIGNIFICANT ONGOING SUPPLY CRISIS THAT WE'RE SEEING HERE. AND THEN OF COURSE, AROUND THE GLOBE, UH, WHEN THIS PANDEMIC IS OVER, WE STILL WILL BE IN A HOUSING CRISIS. AND SO SOMETHING JUST TO THINK ABOUT, UH, WE, ALONG WITH MANY OTHER BUILDERS HAVE SAID THAT WHEN FEES ARE ADDED ONTO THE DEVELOPMENT PROCESS, FEES TIME, UH, YOU NAME IT, IT ULTIMATELY WILL RAISE THE COST OF HOUSING. IT SLOWS, IT SLOWS THE PROCESS DOWN AND JUST CA WE HAVE, WE HAVE THOSE CARRY OVER COSTS, RIGHT? AND SO YOU'RE, YOU'RE JUST ADDING HOUSE, UH, ADDING COSTS AS YOU GO. UM, OUR LETTER DOES GO ON TO STATE SEVERAL OR SITES, SEVERAL STUDIES, UH, ONE FROM A MORE PARTICULARLY THE LEGISLATIVE ANALYST OFFICE THAT STATES, UH, WITH INCLUSIONARY HOUSING THAT THIS APPROACH DOES ACTUALLY VERY LITTLE TO ADDRESS THE UNDERLYING CAUSE OF CALIFORNIA'S HA UH, HIGH HOUSING COSTS, WHICH IS A HOUSING SHORTAGE. UH, I KNOW YOU'VE HEARD THESE STUDIES MULTIPLE TIMES. I THINK IT WAS STATED AT THE LAST PUBLIC HEARING WITH THIS BROUGHT UP. SO WHAT I WANT TO DO IS JUST SORT OF ADDRESS, UH, THE SPECIFIC POLICY THAT YOU SEE IN FRONT OF YOU HERE TODAY. UH, IT, IT DOES NEED TO BE CLEAR, AND I KNOW IT WAS KIND OF, IT WAS ALREADY STATED, BUT THIS DOES HAVE NOTHING TO DO WITH YOU ACTUALLY MEETING YOUR RENA REQUIREMENTS. UH, AND SO I JUST WANT TO MAKE SURE AGAIN, THAT YOU GUYS ARE FULLY AWARE AS A COUNCIL, THAT THIS DOES NOT HELP YOU MEET THOSE REQUIREMENTS, UH, PASSING. THIS WOULD PUT YOU IN THE MINORITY IN TERMS OF OTHER CITIES THAT HAVE THIS POLICY AS WAS STATED, AND THEN FURTHERMORE, ON THE END LIEU FEE, IT'S CONCERNING BECAUSE THESE ARE HARD DOLLARS. THESE ARE WHAT DEVELOPERS WILL ACTUALLY PAY. UM, AND AS OF RIGHT NOW IN THIS POLICY, THERE'S JUST AN EXAMPLE OF WHAT THE FEE COULD COST AND WHAT IT COULD BE BASED ON GOING INTO THE FUTURE. UM, HOWEVER, I, I DID SOME MATH, SO TAKE IT WITH A GRAIN OF SALT. I'M, I'M DEFINITELY NOT THE BEST WHEN IT COMES TO MATH. UH, BUT THIS FEE COULD BE UPWARDS OF ABOUT $20 A SQUARE FOOT. IF YOU TAKE THE EXAMPLE THAT WAS SUPPLIED IN THE STAFF REPORT AND USE THAT AS KIND OF LIKE AN AVERAGE SQUARE FOOT NUMBER FOR A TOWNHOME PROJECT, SAY 1500 SQUARE FEET, 40 UNIT TOWNHOME PROJECT, 1500 SQUARE FEET. IF THE MATH, IF MY MATH SERVES ME, IT'S $20 A SQUARE FOOT, SANTA ANA WAS AT $15 A SQUARE FOOT. AND AS, AS STAFF JUST RECENTLY SAID, SANTA ANA RAISE THAT FEE TO $15 IN 2015, I WAS THERE IN 2015 AND I WAS THERE IN 2020, I GUESS, VIRTUALLY HERE IN 2020 AND 2,900 UNITS WERE [00:25:01] APPROVED IN THE CITY OF SANTA ANA OVER THAT FIVE-YEAR PERIOD, NOT ONE MOVED FORWARD TO PULL A PERMIT UNDER THAT $15 FEE, NOT ONE WHEN THE CITY LOWERED THEIR FEE TO $5, A SQUARE FOOT, THAT'S 66%, I THINK. AND THAT WAS ABOUT FOUR MONTHS AGO. THERE THEY HAVE UPWARDS OF ABOUT A THOUSAND UNITS THAT HAVE MOVED FORWARD, MASSIVE PENT UP DEMAND. THAT ACCOUNT, THEIR AFFORDABLE HOUSING ACCOUNT WAS GOING DOWN TO ZERO. AND NOW THAT THERE'S NOW MONEY IN THAT ACCOUNT, THAT'S A FEE THAT THE IT'S A MUCH BETTER FEE THAN $15. BUT MY POINT IS THEIR ORIGINAL FEE THAT ACTUALLY STOPPED DEVELOPMENT WAS AT 15. AND THIS, IF I'M ON, IF I'M BEING ON THE CONSERVATIVE SIDE, AGAIN, THIS PUTS IT AT $20 A SQUARE FOOT. NOW THAT STUDY IS ALSO USING A CONSTRUCTION VALUATION OF $200,000 TO BUILD A UNIT, A RECENT REPORT BY THE TIMES, PUT AFFORDABLE HOUSING UNITS AT ABOUT $500,000 TO CONSTRUCT. SO THAT COULD BE ACTUALLY DOUBLE WHAT THIS FEE IS IN TERMS OF THE EXAMPLE THAT'S BEING USED IN THE STAFF REPORT. SO, UM, IT'S, IT'S TOUGH TO PASS A POLICY IN MY OPINION, THAT YOU GUYS REALLY DON'T HAVE THE FULL PICTURE IF YOU WILL, OF WHAT THE ACTUAL FEE COULD COST IN THE FUTURE. AND SO THAT'S VERY CONCERNING TO US. UM, SO THOSE ARE KIND OF MY COMMENTS. I'M DEFINITELY NOT AN EXPERT INCLUSIONARY ZONING. HOWEVER, I HAVE WORKED WITH A LOT OF CITIES ON THIS ISSUE. TUSTIN PASSED A POLICY, I THINK IN 2018, IN TWO SPECIFIC PLANS WITHIN THEIR CITY. AND I'M NOT AWARE OF ONE UNIT THAT HAS MOVED FORWARD YET WITH THAT POLICY BEING CREATED IN 2018. AND I KNOW THAT HUNTINGTON BEACH IS ACTUALLY LOOKING AT THEIR POLICY BECAUSE THEY DO HAVE ONE OF THE MOST MORE CONFUSING POLICIES IN ORANGE COUNTY. AND I KNOW THAT THEY'RE LOOKING TO, UH, TRY TO STREAMLINE IT AND CLARIFY THE POLICY ISSUE. SO WITH THAT, THANK YOU SO MUCH FOR ALLOWING ME TO SPEAK TONIGHT. THANK YOU VERY MUCH. NOW, IS THERE ANYONE ELSE THAT WOULD WISH TO SPEAK IN OPPOSITION OR SUPPORT, UH, MADAM MAYOR I'D, I'D LIKE TO SPEAK TO, UH, THE SPEAKER FOR THEM? OH, YES. IF YOU HAVE THE QUESTION, PLEASE, STEVE, FIRST OF ALL, UH, THANK YOU FOR REACHING OUT THIS MORNING AND I ENJOYED OUR CONVERSATION ON THE PHONE. UM, IT HELPED ME TO UNDERSTAND A FEW OF THE ISSUES FROM THE BUILDERS SIDE. UM, UM, I'M A BIT CONFUSED. UM, I UNDERSTAND THAT PHILOSOPHICALLY, THE BUILDERS ARE OPPOSED TO ANY FEE, UH, AND I UNDERSTAND THAT, BUT IT APPEARED TO ME THAT IN MY DISCUSSIONS WITH YOU THIS MORNING, THAT YOU FELT THAT A REASONABLE FEE WAS, UH, MORE ACCEPTABLE. AND WE TALKED ABOUT SANTA ANA MOVING FROM $15 OR $20, WHATEVER IT WAS TWO TO $5 A SQUARE FOOT. UM, AND, AND LOOKING AT OUR EXPERIENCE HERE IN LA HOMBRE, UM, THE TRADITIONAL WAY OF DEALING WITH THESE TYPES OF HOUSING ISSUES WAS TO LET STAFF NEGOTIATE WITH THE DEVELOPER AND TO TRY TO COME UP WITH A MUTUALLY AGREED UPON NUMBER. AND YOU SAID, YOU AGREED WITH THAT. AND YOU SAID THAT THAT'S PROBABLY THE BEST WAY TO GO ABOUT IT. AS I RECALL, IT'S A COMPLICATED ISSUE, BUT THERE, THERE ARE MULTIPLE WAYS TO GO ABOUT THIS POLICY. THE BEST WAY THAT THE BUILDERS ARE GOING TO TELL YOU IS THE CITY GIVES SOME, THE DEVELOPER GIFTS. SOME THE CITY COULD THERE THERE'S WAYS OF SPEEDING UP THE PROCESS. THERE'S WAYS OF INCREASING DENSITY CITY. AND THIS WAS ACTUALLY ONE OF THE ISSUES I BROUGHT UP WITH STAFF LAST YEAR, BUT WHEN CITIES LIKE ANAHEIM WERE LOOKING AT THIS POLICY A COUPLE OF YEARS AGO, THEY ACTUALLY HELD, UH, PUBLIC MEETINGS WITH AFFORDABLE HOUSING BUILDERS AND, UH, MARKET RATE BUILDERS, AND SAID, IF YOU'RE BUILDING AFFORDABLE HOUSING, HOW ARE YOU BUILDING AFFORDABLE HOUSING? THE TWO THINGS YOU HEAR THE MOST SPEED UP THE PROCESS, OR, I MEAN, FEE WAIVERS IS A GOOD EXAMPLE, FEVER, EVEN FEED DELAYS, OR DENSITY BONUS LAW. THOSE ARE WAYS THAT USUALLY A BUILDER WILL BE ABLE TO EITHER PAY A FEE OR PUT AFFORDABLE HOUSING ON SITE. BUT AGAIN, IT'S IT'S CASE BY CASE, RIGHT? AND OUR DISCUSSION, I THINK REALLY FOCUSED ON LOWER THE FEE, THE BETTER SURE, BUT A BLANKET WIDE CITY POLICY IS DIFFICULT BECAUSE PROJECTS AND LOTS, EVERYTHING IS SO CASE BY CASE. AND SO YOU ACTUALLY WON'T KNOW HOW MANY UNITS YOU'RE MISSING OUT ON BECAUSE THEY CAN JUST GO TO THE NEXT CITY. SO I I'LL, I GUESS I'LL STOP THERE, BUT, AND, AND, AND TALKING TO OUR STAFF, UH, THIS, THIS WHOLE ORDINANCE IS, UM, IS BORN OUT OF FRUSTRATION. NUMBER ONE OF THE, UH, WHAT WE CONSIDER AN UNREASONABLE DEMAND BY THE STATE, UM, AND YOU'RE SERVING LOCAL CONTROL. [00:30:02] UH, AND THEN IN OUR INABILITY, AS IT WERE TO, UH, REACH A MEANINGFUL NUMBER WITH THE DEVELOPERS, IT IS EITHER APPEARS THAT THEY ARE BETTER NEGOTIATORS THAN WE ARE, UH, OR THEY'RE JUST, UM, DIGGING IN THEIR FEET AND REFUSING TO COME UP WITH A NUMBER THAT ALLOWS US TO, TO BUILD ENOUGH, UM, INCREMENT FOR US TO BUILD THE HOUSE WITH THE DESTRUCTION OF, UM, REDEVELOPMENT AGENCIES, OUR ABILITY TO DO THROW MONEY AT PROJECTS AND GET THEM BUILT, UH, HAVE DISSIPATED. SO I THINK THAT THIS IS STAFF'S WAY. AND QUITE FRANKLY, I THINK THE ONLY WAY TO TRY TO COME UP WITH SOMETHING THAT'S EQUITABLE. AND I DON'T THINK THERE'S ANYBODY ON THIS BOARD WANTS TO SEE, UH, BUILDERS, UM, DEVELOPERS HURT OR CHASED OUT OF OUR CITY. I THINK THE REAL ISSUE IS TO COME UP WITH SOMETHING THAT'S EQUITABLE, THAT DOESN'T DEPEND ON OUR ABILITY TO NEGOTIATE WITH DEVELOPERS. SO, UM, I'M WONDERING, DO YOU THINK THERE WOULD BE MORE ACCEPTANCE IF THERE WAS A DOLLAR, A SQUARE FOOT, THERE'S TWO WAYS FOR US TO DO THIS? WE CAN COME UP WITH A LOWER NUMBER OF DOLLAR PER SQUARE FOOT, OR WE CAN JUST SAY WE EXPECT 15% OF YOUR PROJECT, ANYTHING OVER 10 UNITS, UH, TO BE AFFORDABLE HOUSING PERIOD. AND THEN IT'S UP, UP TO THE DEVELOPER. WE DON'T, WE DON'T GET INVOLVED AT ALL. AND THEN HE JUST BUILDS IT THERE, NO IN LIEU OF FEE AT ALL. UH, BUT IT IS MY UNDERSTANDING AND TALKING TO A COUPLE OF DEVELOPERS IN MY LONG LIFE, UH, THAT THEY PREFER THE IN LIEU OF FEE FOR WHATEVER REASON. SO WHAT ARE YOUR THOUGHTS IN TERMS OF WHAT WHAT'S A WAY TO GET TO WHERE WE NEED TO GO HERE? WE GOT TO, UH, CONTRARY TO WHAT ONE OF THE COUNCIL MEMBERS SAID THAT, UH, THERE'S NO MANDATE TO BUILD THESE UNITS. IN FACT, UH, MY LONG POLITICAL LIFE, WHEN I'VE SEEN THE STATE COME UP WITH A DATE THAT THIS HAS TO BE DONE BY IT'S BECAUSE THE NEXT PHASE IS NOW BUILD IT. DAMN IT. SO I KNOW, I KNOW IT'S COMING AND I DON'T WANT TO BE BEHIND THE, UH, HORRIFIC OF FINES AND FORFEITURES AND, AND WITHHOLDING OF GRANTS AND ALL THE THINGS THAT THE STATE CAN DO TO US. UH, I'D LIKE TO TRY TO MEET THESE NUMBERS IF IT'S POSSIBLE. UM, SO WHAT, WHAT, WHAT'S YOUR THOUGHTS W HOW DO WE GET TO THIS? SO, I MEAN, IN TERMS OF MY THOUGHTS, WE ARE OPPOSED TO THIS POLICY. I MEAN, I DON'T, I DON'T KNOW HOW MUCH MORE BEYOND KIND OF WHAT I JUST SAID AND WHAT MY LETTER STATES THAT I CAN GO. I DEFINITELY DON'T WANT TO CREATE AND, OR SUPPORT A SPECIFIC POLICY FROM THIS PODIUM RIGHT NOW ON THE SITE. UM, THIS, THIS, THIS IS EXTREMELY COSTLY, AN IMPORTANT POLICY THAT, LIKE I SAID, IN MY OPINION, I WOULD SAY, HAVE PUBLIC MEETINGS ON THIS, BRING IN THE AFFORDABLE BUILDERS, BRINGING THE MARKET RATE BUILDERS. I AM NOT A DEVELOPER. WE ARE, WE ARE A TRADE ASSOCIATION THAT REPRESENTS BUILDERS, AND WE ARE OPPOSED TO THIS POLICY OVERALL, WE ARE NOT OPPOSED TO AFFORDABLE HOUSING, AFFORDABLE HOUSING DOES GET PAID FOR AND BUILT WHEN THE CITIES DO WORK WITH THE DEVELOPERS, CASE-BY-CASE IN MY OPINION. AND THAT IS EVERY, AND AGAIN, IF YOU WANT TO TALK TO A DEVELOPER AND YOU WANT TO TALK TO A BUILDER, THAT'S WHAT THEY'RE GOING TO TELL YOU. THEY'RE GOING TO SAY THE CITY WORKED WITH US. WE CAME TO AN AGREEMENT, A PRICE WORKED FOR US, A PRICE WORKED FOR THEM. WE ARE DEFINITELY NOT. AND AGAIN, IT'S KIND OF CLARIFY AS WELL. WE ARE NOT AGAINST FEES IN ANY WAY. WE ARE, WE ARE FOR ADEQUATE AND FEES THAT ARE COMPARABLE, I THINK, TO THE ACTUAL COST OF DOING BUSINESS. SO I DO ALSO WANT TO MAKE THAT CLEAR AS WELL, BUT THIS IS, I MEAN, AGAIN, THIS IS A, ANOTHER ADDED COST TO PAY FOR A SMALL AMOUNT OF UNITS WHEN THERE ARE LARGE MASSES OUT THERE WHO CAN'T EVEN GET INTO REGULAR ATTAINABLE HOUSING. SO IT IS STILL IMPORTANT TO THINK ABOUT THE FACT THAT THIS POLICY DOES EITHER STOP HOUSING OR RAISE JUST THE AVERAGE COST OF HOUSING AS WELL FOR THE MASSES, FOR THE MILLENNIALS, FOR PEOPLE LIKE MYSELF. SO, I MEAN, THOSE ARE MY THOUGHTS. AGAIN, I DEFINITELY DON'T WANT TO GET INTO SPECIFICS OF TRYING TO CREATE OR SAY, WHAT IS A GOOD POLICY MOVING FORWARD? UH, I THINK THAT'S, THAT'S SOMETHING FOR OBVIOUSLY THE CITY COUNCIL AND STAFF, BUT I WOULD ENCOURAGE THE CITY TO HOST THESE MEETINGS. AND I'VE SEEN THEM DONE, ESPECIALLY IN LIKE CITY OF ANAHEIM, CITY OF TUSTIN. THEY'VE ALL DONE THIS BEFORE, AND THERE ARE WAYS I THINK THAT WE CAN ALL COME TOGETHER AND AGREE ON MOVING ON, MOVING FORWARD. [00:35:02] OKAY. THANK YOU, STEVEN. APPRECIATE IT. IS THERE ANYONE WISHING TO SPEAK TO THIS? UH, GENTLEMEN, ASK HIM ANY QUESTIONS. ALL RIGHT. THANK YOU VERY MUCH, MR. LAMONT. I WILL ASK IF THERE'S ANYONE HERE WHO WOULD LIKE TO SUPPORT THIS ITEM TO PLEASE COME TO THE PODIUM AT A MAYOR, THERE'S NOBODY. THEN I WILL CALL CLOSE PUBLIC HEARING. AND I'LL ASK FOR COUNCIL QUESTIONS, DISCUSSION AND INTERACTION MATTER. MAYOR. UM, IF COUNCIL MEMBER, UM, SHAW HAS SOMETHING TO SAY, I'LL ALL CERTAINTY. HE DOES. OKAY. YEAH. I HAVE A LOT TO SAY, ACTUALLY BEAR WITH ME FOR A MOMENT. UM, WE'RE FROM THE GOVERNMENT AND WE'RE HERE TO HELP. SO, UM, IF YOU TAKE A LOOK AT, IF YOU WERE TO TAKE AN ECONOMICS CLASS, ONE OF THE FIRST LESSONS YOU WILL LEARN OF COURSE, IS THAT WE HAVE A DEMAND CURVE. WE HAVE A SUPPLY CURVE, THEY MEET AT A HAPPY PLACE CALLED EQUILIBRIUM THAT DETERMINES THE PRICE FOR THE COMMODITY. IF YOU WERE TO GOOGLE THE WORDS, PRICE CEILING, THAT IS WHAT WE'RE TALKING ABOUT HERE TONIGHT WITH INCLUSIONARY ZONING IS A TEXTBOOK EXAMPLE OF A PRICE CEILING, WHERE THE GOVERNMENT SAYS, WE'RE NOT GOING TO LET THE MARKET COME TO EQUILIBRIUM. IN THIS CASE, WE'RE GOING TO SHOVE DOWN THE PRICE OF THIS COMMODITY. AND THEREFORE YOU INTERSECT THE SUPPLY CURVE AND THE DEMAND CURVE AT DIFFERENT SPOTS. YOU WILL OBVIOUSLY INCENTIVIZE, UH, DEMAND AND DISCOURAGED SUPPLY. AND SO WHEN YOU'RE TAKING YOUR ECONOMICS COURSE, AND YOU'RE ASKED ABOUT A PRICE CEILING, THE CORRECT ANSWER IS THIS WILL CREATE A SHORTAGE. SO THAT IS FROM A DISAPPEARING, ECONOMIC, THEORETICAL PERSPECTIVE, A PRICE CEILING, LACK AN INCLUSIONARY ZONING, UH, WHAT WE'RE DOING, UM, THAT WILL CREATE A SHORTAGE IN THIS CASE, A SHORTAGE OF AFFORDABLE HOUSING. SO IT'S, IT'S VERY SIMPLE WHEN YOU TAKE THE, THE COST OF THE HOME AND HE SHOVED DOWN THE PRICE ON 15% OF IT, UM, SOMETHING'S GOING TO HAVE TO HAPPEN. UM, I SHARED WITH MY COLLEAGUES HERE, UH, REPORTS, I FOUND IT WAS WRITTEN BY THREE PHDS IN ECONOMICS. IT WAS THEIR, THEIR STUDY HERE OF INCLUSIONARY ZONING WAS PUBLISHED IN THE INDEPENDENT POLICY REPORT. IT'S DR. TOM MEANS DR. EDWARD STRING. I'M IN DR. EDWARD LOPEZ AND THEY DO A REGRESSION ANALYSIS. IT'S VERY DIFFICULT TO FOLLOW IF YOU DON'T HAVE A PHD IN ECONOMICS, BUT WE CAN AT LEAST UNDERSTAND THE CONCLUSIONS ON PAGE TWO OF THEIR REPORT. THEY SAY THEY WRITE. AND I QUOTE, WE FIND THAT CITIES THAT ADOPT BELOW MARKET HOUSING MANDATES ACTUALLY DRIVE HOUSING PRICES UP BY 20%. THE REASON IS IF YOU SHOVED DOWN THE PRICE OF 15% OF IT, WHAT IS THE FIRST INCENTIVE OR THE FIRST THOUGHT THE IS PROBABLY GOING TO HAVE, WELL, LET'S RAISE THE OTHER 85 UNITS ON PERCENT THAT I'M SELLING, BECAUSE THAT'S ONE WAY TO MAKE UP FOR THAT. AND IF YOU GO TO PAGE EIGHT OF THE REPORT, I SHARED WITH YOU, YOU, THEY, THEY DO A STUDY IN THE SAN FRANCISCO BAY AREA. MOST OF SAN FRANCISCO AND THE SURROUNDING SUBURBS HAVE ADOPTED INCLUSIONARY ZONING, AND THEY DID IT A LONG TIME AGO. SO, UH, HOW HAS IT TURNED OUT? WELL ON PAGE EIGHT, THEY RIDE QUOTE OVER THE COURSE OF 30 YEARS IN THE ENTIRE SAN FRANCISCO BAY AREA BELOW HOUSING MANDATES HAVE RESULTED IN THE PRODUCTION OF ONLY 6,836 AFFORDABLE UNITS. UM, GIVEN THE SIZE OF THAT AREA, OF COURSE, THAT'S A VERY SMALL AMOUNT THERE. THEIR FINAL CONCLUSION HERE, WHICH IS ON PAGE 16, OF WHAT I SHARED WITH YOU, UH, READS NEW NAMES FOR PRICE CONTROLS, LIKE INCLUSIONARY ZONING, MAKE THE POLICY SOUND INNOCUOUS OR EVEN BENEFICIAL. BUT IN REALITY, THE PROGRAM IS A MANDATE THAT IMPOSES SIGNIFICANT COSTS ON A MINORITY OF CITIZENS. THE COST OF BELOW MARKET HOUSING MANDATES ARE BORN BY DEVELOPERS AND OTHER NEW HOME BUYERS WHO RECEIVE LITTLE OR NO COMPENSATION FROM THIS PERSPECTIVE BELOW MARKET HOUSING MANDATES ARE TAKING NO DIFFERENT IN SUBSTANCE, FROM AN OUTRIGHT TAKING UNDER EMINENT DOMAIN BELOW MARKET HOUSING MANDATES REPRESENT THE SORT OF ABUSE, THE LUCAS COURT FOR WARRANT, AND THEY SHOULD RIGHTLY BE CONSIDERED A TAKING IN TERMS OF ECONOMICS BELOW MARKET HOUSING MANDATES ONLY DIFFER FROM AN OUTRIGHT TAKING IN DEGREE. THERE'S NOT A TOTAL TAKING, BUT A PARTIAL TAKING AND CLEARLY A DIMUNITION OF VALUE WITHOUT ANY COMPENSATION. THE AMOUNT OF HARM IMPOSED BY BELOW MARKET HOUSING MANDATES SHOULD INFORM THEIR STATUS UNDER THE LAW. SO THEY ARE ARGUING AND I WOULD TEND TO AGREE THAT IT IS A TAKING BY THE GOVERNMENT TO COME ALONG AND JUST SHOVE DOWN THE PRICE OF SOMEONE'S PROPERTY. IF YOU WANT [00:40:01] TO LOOK AT A REAL LIFE EXAMPLE, IF A BUILDER WERE TO GO AND THEY HAVE PLANS OF BUYING SOME LAND TO BUILD A HUNDRED UNITS ON IT, AND THE GOVERNMENT HERE IS SAYING, WELL, FOR 15 OF THOSE UNITS, YOUR PRICE HAS TO COME WAY DOWN. UM, W WHAT DO YOU THINK THE BUILDERS MIGHT SAY, WELL, HEY, A LANDOWNER, YOU KNOW, I WAS GOING TO PAY YOU THIS MUCH FOR YOUR LAND, BUT AT THAT PROCESS TO COME WAY DOWN, BECAUSE THE CITY HAS THIS AFFORDABLE, THIS OF INCLUSIONARY ZONING REQUIREMENT, YOU, YOU, WE WILL, MAYBE IT'S NOT WHAT WE ARE INTENDING, BUT I GUARANTEE A NATURAL CONSEQUENCE OF THIS POLICY IS LESSENING PEOPLE'S PROPERTY VALUES. IF YOU OWN LAND WITH THE INTENT OF DEVELOPING IT ONE DAY, THIS IS GOING TO MAKE, BRING THE PRICE OF THAT LAND WAY, WAY DOWN. IT REALLY IS ONE OF THE DIFFICULT PARTS OF PUBLIC POLICY MAKING. DO YOU HAVE TO SOMETIMES LOOK AT WELL-INTENTIONED POLICIES AND REALIZE THAT THOSE WELL-INTENTIONED POLICIES ARE GOING TO HAVE VERY SEVERE AND UNINTENDED CONSEQUENCES? SO I UNDERSTAND WHY WE FEEL THAT SOMETIMES. YES, IT'S TRUE. HOUSING IS VERY EXPENSIVE AROUND HERE. EVERYONE KNOWS THAT WE ARE INTENDING TO MAKE IT AFFORDABLE FOR SOME FOLKS, BUT THE, THE UNINTENDED CONSEQUENCES OF, OF DOING THAT IS ACTUALLY TO RAISE THE PRICE OF HOUSING FOR MOST PEOPLE AND TO HARM PROPERTY VALUES, UH, FOR THOSE WHO ARE SELLING THEIR LAND. SO I I'M AFRAID THIS IS A VERY, UM, BAD IDEA, AND I WILL BE OPPOSING IT. THANK YOU VERY MUCH. COUNCIL MEMBER SHAW, ARE THERE ANY OTHER DISCUSSION FROM THE COUNCIL? YES. MATTER MAYOR. UM, AS I STATED BEFORE, I, I, UM, I UNDERSTAND WHAT COUNCIL MEMBER SHAW IS SAYING AND, UM, ABOUT WHAT THE INTENDED, UM, ISSUES ARE FOR THIS, AND MAYBE IT DOESN'T HIT EXACTLY RIGHT ON THE HEAD, WHAT, WHAT IT'S INTENDED FOR. BUT I THINK WHAT WE'RE UP AGAINST HERE IS AN UNREASONABLE MANDATE BY THE STATE, AND THEN FRUSTRATION ABOUT TRYING TO GARNER ENOUGH MONEY THROUGH SIMPLE AND ORDINARY NEGOTIATION FROM CITY STAFF AND THE DEVELOPMENT COMMUNITY. IT JUST HASN'T WORKED. WE DON'T HAVE ENOUGH MONEY TO BUILD ANYTHING. SO WE'RE TRYING TO COME UP WITH AN EQUITABLE WORKING PLAN. IS IT PERFECT? NO. UM, CAN WE ADJUST IT IF IT DOESN'T WORK RIGHT? YES. SO MY, UM, DESIRE IS TO, UH, MOVE IT FORWARD, UH, WITH SOME, UH, MODIFICATIONS FROM THE CITY'S INTENDED NUMBERS TO MAKE IT MORE UNDERSTANDABLE AND SOMETHING THAT EVERYBODY THAT PICKS IT UP CAN READ IT AND UNDERSTAND WHAT THE FEES ARE RIGHT FROM THE BEGINNING. SO, UM, I WISH WE DIDN'T HAVE TO DO IT JUST LIKE COUNCILMAN SHAW SAID, BUT UNFORTUNATELY, IF WE DON'T DO SOMETHING, WE'RE GOING TO BE BEHIND THE EIGHT BALL IN JUST A FEW SHORT YEARS IN THAT TIME MOVES QUICKLY. THOSE ARE MY FEELING. AND I'M, UH, I'M WILLING TO MAKE A, YOU MAKE THE MOTION. I'M WILLING TO MAKE A MOTION, UNLESS OTHERS SAY A FEW WORDS. YOU KNOW, I, I AGREE WITH STEVE. SOMETHING DEFINITELY NEEDS TO BE DONE, BUT I, I DEFINITELY WANT TO SEE WHAT OTHER CITIES ARE DOING. I WANNA, UH, TALK TO ALL THE STAKEHOLDERS AS MANY AS WE CAN IN THERE. I THINK DEFINITELY LOOKING AT FEES WOULD DEFINITELY BE ONE OF THOSE OPTIONS THAT WE WANT TO LOOK AT LOWERING OUR FEES. AND, AND I JUST DON'T WANNA RUSH INTO MAKING A DECISION TODAY UNTIL WE REALLY CAREFULLY THINK THIS OUT. I KNOW WE ALL WANT TO, TO REACT QUICKLY, BUT I THINK I'D RATHER WAIT A MEETING OR TWO AND HAVE STAFF CONTINUE TO TALK TO, YOU KNOW, OTHER CITIES AND TRY TO COME UP WITH SOMETHING CAREFULLY THOUGHT OUT, RATHER THAN COMING UP WITH A DECISION HERE AT THE DIOCESE AND THROW OUT A RANDOM NUMBER AND THEN IT NOT BE SUCCESSFUL. UM, YOU KNOW, I WANT TO COME UP WITH THAT RIGHT EQUATION AND I ESPECIALLY WANT TO ADDRESS THE FEES. AND, YOU KNOW, MAYBE IT'S NOT 15%, MAYBE IT'S 10%. AND I KNOW YOU LISTED ABOUT EIGHT CITIES WITH WHAT THEY'RE CHARGING. MOST OF THEM HAD THE 50, I WAS LIKE NOT A CHARITY THAT HAD THE 15% NUMBER ON THERE. UH, SO I, I JUST WOULD LIKE TO HAVE MORE DATA, MORE STUDIES TO COME UP WITH, HOPEFULLY SOMETHING IT'S CAREFULLY THOUGHT OUT. THAT'S THAT JUST MY 2 CENTS. THANK YOU. I'D LIKE TO ADD TO THAT. UH, JUST THE SAME AND HEARING EVERYBODY'S, UH, UH, REASONS AND, UH, UH, AS FAR AS WHY WE [00:45:01] SHOULD, WHY WE SHOULDN'T. UM, I ALSO SPOKE TO MR. TAMANI, HE CAME UP, HE CAME UP WITH SOME, UH, WITH SOME INTERESTING TIDBITS AS WELL. UH, BUT, UH, ALONG THE LINES OF, UH, OF WHAT COUNCILMAN SIMONIAN IS SAYING, I THINK SOMETHING ALONG THE LINES OF COLLABORATING AND, UH, MEETING IN THE MIDDLE OF SORTS, UH, BECAUSE AS PART OF THE GENERAL PLAN ACTION COMMITTEE, WE HAVE HAD, UH, QUITE A FEW MEETINGS. AND, UH, THE LAST MEETING WE DID HAVE, UH, ACTUALLY WE'VE HAD, UH, UH, THREE MEETINGS. THE LAST MEETING WE HAD, UH, WE DISCUSSED, UH, INCLUSIONARY HOUSING. THERE WERE, UH, QUITE A BIT OF PEOPLE AS WELL, THAT BROUGHT ABOUT A GREAT POINTS AS TO WHY WE NEEDED IT. UH, I'VE CONTINUALLY, UH, UH, SEE THE RENA NUMBERS 804, UH, THAT WE HAVE AND WHAT, WHAT IS COMPRISED WITHIN THOSE NUMBERS. AND IF WE DON'T DO SOMETHING LIKE THIS AT SOME POINT IN TIME, MY FEAR DOWN THE LINE IS THAT THE STATE IS GOING TO TAKE OVER THAT MUCH MORE OF OUR CONTROL. AND THEN TELL US, NOT ONLY ARE YOU GOING TO DO IT, YOU'RE GOING TO HAVE THIS AMOUNT OF TIME TO DO IT. SO I'M OF THE MINDSET, UH, TO, UH, UH, TO SEE THIS THROUGH TONIGHT. UH, BUT WE CAN ALWAYS, UH, WE CAN ALWAYS FIGURE ON WHATEVER, UH, NEGOTIATIONS AND, UH, PERCENTAGES. UH WE'VE UH, I THINK WE'VE HAD PLENTY OF TIME TO THIS DAY, UH, YOU KNOW, JUST TO SEE THIS THROUGH THAT, WE SEE THIS THROUGH THIS EVENING, AND THEN THEREAFTER WE CAN, UH, WE CAN DO THAT AND COLLABORATE WITH BUILDERS AND, UH, COLLABORATE WITH, UH, WITH THOSE THAT WANT TO BUILD A INCLUSIONARY HOUSING. AND IN MARKET RATE HOUSING, SOMETHING NEEDS TO BE DONE AT SOME POINT IN TIME. I JUST DON'T WANT TO GET STUCK YEARS DOWN THE LINE, UH, WHEN MAYBE NOT ALL OF US ARE STILL HERE ARE NO LONGER ON COUNCIL, AND WE'RE TRYING TO FIGURE THIS ISSUE OUT BY WAYS OF A LAWSUIT OF SOME SORT. IT JUST SEEMS THAT'S JUST THE WAY SACRAMENTO IS GOING. AND, UH, UH, WE DO NEED TO, WE DO NEED TO WORRY ABOUT THIS TODAY. THOSE ARE MY THOUGHTS. I HAVE A QUESTION OF THE ATTORNEY. UH, IF WE DO NOT ACT TODAY, HOW MUCH DOES WE PUT THE CITY IN JEOPARDY FOR NOT ACTING QUICKLY TO DO SOMETHING, TO REACH OUR NUMBERS? UH, THIS IS NOT URGENT. IF YOU WANTED TO CONTINUE IT TO ANOTHER MEETING THAT WOULD NOT BE CATASTROPHIC. OKAY, GO AHEAD CONSTANTLY. THANK YOU. I DON'T WANT TO BEAT A DEAD HORSE HERE, BUT I THINK WE JUST NEED TO CLARIFY SOMETHING TO COMPLY WITH. THE RENA MEANS WE HAVE ZONE FOUR AND PLAN FOR THOSE AFFORDABLE HOUSING UNITS, CORRECT. W WHAT DOES AN INCLUSIONARY ZONING POLICY DO TO HELP TO COMPLY WITH RINA? IF WE HAVE ZONE FOUR AND PLAN FOR RENA, WE COMPLY WITH RINA, THAT'S IT WITH OR WITHOUT AN INCLUSIONARY ZONING ORDINANCE? AM I CORRECT? UH, THAT, THAT IS TRUE FOR, FOR NOW. SO YOU ARE ABSOLUTELY CORRECT THAT, UH, WE DO NOT HAVE TO ADOPT THIS, AND THIS IS ENTIRELY YOUR CHOICE OF WHETHER TO APPROVE AN INCLUSIONARY HOUSING ORDINANCE. IF YOU, UM, ACHIEVE THE RENA NUMBERS THAT THEN FOUR YEARS, EIGHT YEARS DOWN THE ROAD, THEN YOU WILL NOT HAVE THE NEXT THAT YOU WON'T HAVE THE HAMMER OF THE STATE HAMMERING ON THE CITY. SO, UM, IF WE CAN ACHIEVE THE NUMBERS THROUGH OTHER MECHANISMS, THEN CERTAINLY THERE IS ABSOLUTELY NO DOWNSIDE TO NOT HAVING AN INCLUSIONARY ZONING ORDINANCE. UH, BUT IF YOU BELIEVE THAT THIS IS THE BEST MECHANISM TO ACHIEVE THOSE NUMBERS, TO AVOID THE HAMMER IN FOUR YEARS, EIGHT YEARS, THEN YOU WOULD WANT TO ADOPT IT. I MEAN, I'VE BEEN ON THIS COUNCIL LONG ENOUGH TO HAVE LIVED THROUGH OTHER RENA CYCLES. WE DIDN'T HAVE AN INCLUSIONARY ZONING ORDINANCE AND WE COMPLIED WITH RENA. SO WE W WHERE IS THIS PREMISE THAT WE CAN'T COMPLY WITH RENA WITHOUT AN INCLUSIONARY ZONING ORDINANCE? WELL, TO BE CLEAR, I, THAT THAT IS CERTAINLY NOT WHAT YOU'RE HEARING FROM ME. UH, YOU DO NOT HAVE TO ADOPT THIS ORDINANCE IF YOU DO NOT WISH TO DO SO. THERE ARE OTHER MECHANISMS TO ACHIEVE RENA NUMBERS. AND THE QUESTION IS, IS THIS AN APPROPRIATE MECHANISM TO ACCOMPLISH THAT? AND THAT IS ENTIRELY THE DISCRETION OF THE CITY COUNCIL. I'VE GOT A QUESTION FOR CHRIS SCHAFFER. GO AHEAD, CHRIS, YOU MET, YOU MENTIONED SANTA ANA WHERE THEY, THEY TWEAK THEIR FEES, AND THEN THEY WERE GOING TO GO BACK AND MAYBE RAISE THEM UP AGAIN, OR DO SOMETHING LIKE THAT WAS THAT, DID THEY SEE, UH, A SIGNIFICANT INCREASE IN AFFORDABLE HOUSING AFTER THEY LOWERED THE FEES? REMIND ME OF WHAT YOU STATED. CORRECT. SO THE APP, THE CITY HAD APPLICATIONS AND PROCESS [00:50:01] FOR YOU FOR UNITS, INCLUDING AFFORDABLE UNITS. WHEN THE CITY RAISED THEIR AFFORDABLE IN LIEU OF FIDA, $15 PER SQUARE FOOT, SOME DEVELOPERS OPTED NOT TO MOVE FORWARD WITH PERMITS AND BUILD THOSE UNITS BECAUSE THEY SAID IT WASN'T, UM, A HIGH IMPACT FEE THAT THEY COULDN'T ABSORB. SO THE CITY COUNCIL REDUCED THE FEE TO $5, A SQUARE FOOT, AND SOME DEVELOPERS DECIDED TO MOVE FORWARD. NOT ALL PROJECTS, LIKE I SAID, I DID TALK TO STAFF THERE. NOT ALL THE PROJECTS STOPPED, A FEW DID STOP IN THEIR TRACKS. SO YOUR FEELING WAS, WAS THAT A SUCCESS STORY IN SANTA ANA BY LOWERING THEIR FEES AND ALSO ADOPTING THIS ORDINANCE? WELL, THE INCLUSIONARY HOUSING ORDINANCE IS STILL IN PLACE. IT'S JUST A, IT'S OUT OF LOWER. I KNOW, BUT I'M SAYING WHAT, WHAT THE, THE MIXTURE, THE COMBINATION OF LOWERING THE FEES AND ADOPTING THIS, WAS THERE A SUCCESS STORY IN TERMS OF THEM GETTING CLOSER TO THEIR AFFORDABLE HOUSING, WHERE THEY NEEDED? I THINK THAT'S A GOOD ASSUMPTION. UM, OBVIOUSLY DEVELOPERS WANT TO PAY LOWER FEES IF THEY CAN. I MEAN, OUR GOAL IS TO TRY TO GET THE AFFORDABLE UNITS, AND OBVIOUSLY WE WANT THE MOST AMOUNT OF MONEY WE CAN GET, BECAUSE THEY'RE NOT CHEAP, BUT I GUESS THERE'S A COMPROMISE TO BE MADE OF THE COUNCIL. SO DECIDES TO DO THAT. YOU KNOW, I MIGHT BE ALONG THE LINES OF SUPPORTING SOMETHING LIKE THAT, BUT I WANT THE RIGHT ARITHMETIC, THE RIGHT MATH, THE RIGHT CAREFULLY THOUGHT OUT AT A MAYOR. YES. COUNCIL MEMBER AMMONIA. UM, I THINK IT'S REASONABLE. I THINK IT'S LOGICAL TO ASSUME THAT THE STATE DIDN'T COME UP WITH RENA NUMBERS JUST TO COME UP WITH NUMBERS. I THINK THEY REALLY BELIEVE THAT THEY WANT A HARBOR TO BUILD 804 AFFORDABLE HOUSING UNITS. AND SO, UH, WE'VE GOT TO COME UP WITH THE MONEY, UH, TO DO THAT. AND WE'VE GOT TO COME UP, UH, AND GET READY NOW SO THAT WHEN THAT DATE HITS, WHICH IS FIXED AND IT'S IN THE FUTURE NEAR FUTURE, IT WILL HAVE IT. SO WE'VE GOT TIME, BUT I THINK IT'S, UM, GOOD POLICY, UH, TO DO IT NOW. I, AND I DON'T HAVE A PROBLEM BEING A LEADER. UM, UH, I KNOW THAT IT'S ALWAYS EASIER TO WAIT AND SEE WHAT OTHERS DO AND SEE HOW THEIR SUCCESSES AND FAILURES WORK. I THINK SAN ADDED SANTA ANA DID DO THAT FOR US, UH, SETTING THERE A $15 A SQUARE FOOT, AND THEN MOVING IT DOWN TO FIVE. AND NOW THEY'VE GOT A THOUSAND UNITS OF AFFORDABLE HOUSING UNITS IN, IN, IN LINE TO BE BUILT. SO, UH, I THINK THAT'S A MESSAGE. SO I'M NOT SAYING THEY'RE SUGGESTING THAT WE S WE, WE WAIT TO SEE WHAT OTHERS ARE GOING TO DO. I WANT TO SEE THE, THE FACTS AND FIND THE DATA OF WHAT CITIES HAVE ALREADY DONE AND WHAT THE SUCCESS OR NOT SUCCESSFUL HAS HAPPENED. SO THAT'S, THAT'S IT, I'M NOT WAITING. I DON'T CARE WHAT ANY OTHER CITY DOES. I'M JUST CURIOUS. THESE PEOPLE THAT HAVE, HAVE, HAVE DONE SOMETHING HAVE TAKEN ACTION, HAVE ADJUSTED THEIR FEES AND WHAT THE RIGHT, WHAT WORKED FOR THEM. WELL, AGAIN, I I'M, I'M NOT FEARFUL OF SETTING A FEE AND THEN MOVING IT AROUND IF IT'S, IF IT'S NOT WORKING. AND I THINK SAN ANNA'S DONE THAT. SO THEY'VE GIVEN US AT LEAST A PARAMETER OF WHAT'S WORKABLE AND WHAT ISN'T. SO I'D LIKE TO MAKE A MOTION TO APPROVE THE FIRST READING OF AN ORDINANCE ENTITLED AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LA HABRA APPROVING ZONE CHANGE, 20 DASH ZERO THREE, AMENDING TITLE 18 ZONING OF THE LA BREA MUNICIPAL CODE BY ADDING CHAPTER 18.8 TO INCLUSIONARY HOUSING UNITS AS PER EXHIBIT A WITH THE FOLLOWING MODIFICATIONS, MODIFY THE ORDINANCE TO APPLY TO RESIDENTIAL DEVELOPMENTS OF 10 UNITS OR MORE FOR WHICH A PLANNING APPLICATION HAS BEEN FORMALLY SUBMITTED AND ACCEPTED BY THE CITY PRIOR TO THE ENACTMENT OF THIS ORDINANCE. AND I'D LIKE TO, OH, I'M SORRY. I'D LIKE THE EFFECTIVE DATE TO BE JULY 1ST. UH, AND TO MODIFY THE ORDINANCE TO REMOVE THE IN LIEU OF FEE, TO BE EQUIVALENT TO THE COST, TO CONSTRUCT A UNIT AND REPLACE WITH AN END LIEU PAYMENT CALCULATED AT $6 AND 50 CENTS PER SQUARE FOOT OF THE ENTIRE FLOOR AREA OF THE PROJECT AND OTHER TEXTURAL CHANGES TO ENSURE CONSISTENCY. IS THERE A SECOND? JUST THAT FOR CLARIFICATION SIX 50. NO, BUT IT'S WHAT IT, WHAT IS IT NORMALLY? [00:55:03] I'M SORRY, WE DON'T HAVE THAT NUMBER YET. OKAY. WE DON'T HAVE THAT. OKAY. YEAH. OKAY. SORRY. MAYOR PRO TEM MADRONA SECONDED, CORRECT? YES. OKAY. COUNCIL MEMBER PALMEROLA PLEASE. COUNCIL MEMBER SIMONIAN. YES. COUNCIL MEMBER SHAW. NO COUNCIL MEMBER GOMEZ. ABSTAIN MAYOR PRO TEM MEDRANO. YES. MAYOR ESPINOSA. YES. MOTION PASSES. THREE, TWO, ONE. THANK YOU VERY MUCH FOR THE DISCUSSION. THANK YOU VERY MUCH FOR BEING HERE, MR. LAMONT, WE WILL NOW PROCEED TO CONSIDERATION ITEMS. ANY MEMBER OF THE AUDIENCE MAY REQUEST TO ADDRESS A LITTLE HARBOR CITY COUNCIL ON ANY CONSIDERATION ITEM PRIOR TO THE HARVEST CITY COUNCIL, TAKING A BITE FINAL VOTE ON THE ITEM. PUBLIC COMMENTS SHALL BE LIMITED TO THREE MINUTES PER INDIVIDUAL WITH A TOTAL TIME LIMIT OF 30 MINUTES PER CONSIDERATION ITEM, UNLESS OTHERWISE MODIFIED BY THE MAYOR OR CHAIR. SPEAKING TIES MAY NOT BE GRANTED IN ORDER OR LOAN TO ANOTHER INDIVIDUAL FOR PURPOSES OF EXTENDING AVAILABLE SPEAKING TIME. AND COMMENTS MUST BE AGAIN, KEPT BRIEF NON-REPETITIVE AND PROFESSIONAL IN NATURE. ITEM [1. CONSIDER THE ANNUAL REPORT ON THE CITY OF LA HABRA GENERAL PLAN FOR CALENDAR YEAR 2020 That the City Council receive and file the Annual Report on the City of La Habra General Plan accomplishments for calendar year 2020, and authorize the Director of Community and Economic Development to forward the document to the Governor’s Office of Planning and Research and the Department of Housing and Community Development per Government Code Section 65400(b)(1).] ONE IS TO CONSIDER THE ANNUAL REPORT ON CITY OF LA HARBOR GENERAL PLAN FOR CALENDAR YEAR 2020, IF WE COULD HAVE THE REPORT. YES. MADAM MAYOR MEMBERS OF THE COUNCIL, UH, ANDREW HALL, DIRECTOR OF COMMUNITY DEVELOPMENT, A DOUBLEHEADER TODAY, UH, CHRIS SCHAFFER, SENIOR PLANNER PRESENTING, UH, THE STAFF REPORT FOR THIS ITEM. THANK YOU, ANDREW. THANK YOU. I LIKE TO APOLOGIZE. I DON'T HAVE ANY PRETTY PICTURES FOR YOU TODAY. UM, SO GOOD EVENING, HONORABLE MAYOR AND COUNCIL MEMBERS, UH, PER GOVERNMENT CODE SECTION SIX, FIVE FOUR ZERO ZERO. ALL CITIES AND COUNTIES IN CALIFORNIA MUST SUBMIT TO THEIR LEGISLATIVE BODIES IN THE ANNUAL REPORT ON THE PROGRESS MADE IN THE IMPLEMENTATION OF THE GOALS AND POLICIES CONTAINED WITHIN THE GENERAL PLAN. THIS INCLUDES THE CITY'S PROGRESS TOWARDS MEETING ITS RENA NUMBERS. THIS REPORT IS DUE TO THE GOVERNMENT'S OFFICE OF PLANNING AND RESEARCH, UH, AND DEPARTMENT OF HOUSING, COMMUNITY DEVELOPMENT BY APRIL 1ST OF EACH YEAR, POLICY DECISIONS MADE BY THE CITY COUNCIL AND PLANNING COMMISSION ARE REQUIRED TO BE CONSISTENT WITH THE GOALS AND POLICIES CONTAINED WITHIN THE GENERAL PLAN. FOR EXAMPLE, ALL ZONING SUBDIVISION, LAND USE APPROVALS, PUBLIC WORKS PROJECTS, AND THE CAPITOL, THE CITY'S CAPITAL IMPROVEMENT PROJECT PROGRAM MUST BE CONSISTENT WITH THE GENERAL PLAN. THIS ANNUAL REPORT IS INTENDED TO BE USED AS A TOOL FOR THE CITY COUNCIL TO GAUGE HOW WELL THE ESTABLISHED GOALS, POLICIES AND PROGRAMS ARE BEING IMPLEMENTED. THIS ANNUAL REPORT COVERS THE 2020 CALENDAR YEAR AND DEMONSTRATES PROGRESS TOWARDS IMPLEMENTATION OF THE LA HARBOR GENERAL PLAN 2035. SOME OF THE HIGHLIGHTS IN THIS REPORT INCLUDE THE FOLLOWING CITY STAFF MODIFIED ALL PUBLIC FACILITIES AND PROCEDURES TO MINIMIZE THE SPREAD OF COVID 19 BUILDING SAFIA SHEET, 280 RESIDENTIAL AND 76 COMMERCIAL BUILDING PERMITS PLANNING STAFF PROCESS FOR JUST 46 DISCRETIONARY PERMITS CODE ENFORCEMENT CONDUCTED 436 INSPECTIONS, A TOTAL OF 101,413. TONS OF REFUSE WERE DIVERTED FROM THE LANDFILL AS EITHER GREEN WASTE OR RECYCLABLE. THE WATER DEPARTMENT REPAIRED 14 WATER MAIN BREAKS. PUBLIC WORKS REHABILITATED 213,000 SQUARE FEET OF ASPHALT STREETS, COMMUNITY SERVICES PARTNER WITH CLINICS AND HOSPITALS TO ADMINISTER 1,700 COVID-19 VACCINATIONS. UM, THE STATE AWARDED THE CITY OF GRANT TOTALING $861,000 TO BUILD A NEW PARK. AND LAST EXAMPLE IS, UH, TWO DRIVE-THROUGH EVENTS WERE HELD DURING THE HOLIDAYS, WHICH ATTRACTED OVER 300 CARS. IT IS RECOMMENDED THAT THE CITY COUNCIL RECEIVE AND FILE THIS ANNUAL REPORT AND, UM, AUTHORIZED THE DIRECTOR OF COMMUNITY AND ECONOMIC DEVELOPMENT TO FORWARD THIS DOCUMENT TO THE GOVERNOR'S OFFICE OF PLANNING RESEARCH AND THE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT. ADDITIONALLY, THIS REPORT WILL BE PLACED ON THE CITY'S WEBSITE FOR ALL OF YOU. THIS CONCLUDES MY PRESENTATION. THANK YOU. THANK YOU VERY MUCH. ARE THERE ANY QUESTIONS FROM THE COUNCIL ON THIS ITEM? NO. ALL THANK YOU VERY MUCH. I WILL INVITE THE PUBLIC TO TESTIFY IF, IF THERE IS ANYONE WISHING TO SPEAK, THANK YOU. THERE'S NO SPEAKERS. THANK YOU. THEN I WILL CALL FOR COUNCIL ACTION AND OR DISCRETION HAD A MAYOR. I LIKE TO MAKE A MOTION TO RECEIVE AND FILE THE ANNUAL REPORT OF THE CITY OF THE HARBORS GENERAL PLAN ACCOMPLISHMENTS FOR THE CALENDAR YEAR 2020, AND AUTHORIZE THE DIRECTOR OF COMMUNITY ECONOMIC DEVELOPMENT TO FORWARD THE DOCUMENT TO THE GOVERNOR'S OFFICE OF PLANNING AND RESEARCH AND THE DEPARTMENT [01:00:01] OF HOUSING AND COMMUNITY DEVELOPMENT. IS THERE A SECOND? I'LL SECOND. THAT TOTAL I'M A DRANO. LAURIE, HOW WOULD THE CLERK CALL ROLL COUNCIL MEMBER SIMONIAN? YES. COUNCIL MEMBER SHAW. YES. COUNCIL MEMBER GOMEZ. YES. MAYOR PRO TEM MADRANO YES. MAYOR ESPINOSA. YES. MOTION PASSED FIVE ZERO. THANK YOU VERY MUCH. WE WILL NOW PROCEED [2. CONSIDER FISCAL YEAR 2020-2021 MID-YEAR BUDGET UPDATE That the City Council: A. Receive and file the Fiscal Year 2020-2021 Mid-Year Budget Update; and B. Approve the recruitment of a Senior Civil Engineer position in the Public Works Department; and C. Approve the recruitment of a Police Sergeant, Police Corporal, Police Officer, Community Services Officer II, Crime Analyst, Communication Operator, and two Police Trainee positions in the Police Department; and D. Approve the reclassification of a Community Service Officer in the Police Department to a Court Liaison Specialist at pay range P19.] TO ITEM TWO, WHICH IS TO CONSIDER FISCAL YEAR 20, 20, 2021 MID-YEAR BUDGET UPDATE. IF WE COULD HAVE A REPORT, GOOD EVENING, MADAM MAYOR COUNCIL MEMBERS. TONIGHT WE COME TO YOU TO ASK FOR OUR STAFF RECOMMENDATION IS TO RECEIVE AND FILE THE FISCAL YEAR 2021 MID-YEAR BUDGET UPDATE AND APPROVE THE RECRUITMENT OF A SENIOR CIVIL ENGINEER POSITION IN THE PUBLIC WORKS DEPARTMENT C APPROVE THE RECOUPMENT OF SEVERAL POSITIONS, A POLICE SERGEANT POLICE, CORPORAL POLICE, OFFICER, COMMUNITY SERVICE OFFICER TO CRIME ANALYST, COMMUNICATION OPERATOR, AND TWO POLICE TRAINEE POSITIONS IN THE POLICE DEPARTMENT AND D UM, WE, THEY ALSO WOULD LIKE THE COMMUNITY SERVICE OFFICER AND THE POLICE DEPARTMENT TO BE RECLASSIFIED TO A COURT LIAISON P 19, AS FAR AS THE POSITIONS IN THE POLICE DEPARTMENT DATE THAT I MENTIONED, THEY WOULD JUST LIKE THOSE POSITIONS UNFROZEN SO THEY CAN BEGIN RECRUITMENT AND THERE'LL BE READY TO GO. HOPEFULLY BY THE START OF THE NEW YEAR, IT TAKES A SIGNIFICANT AMOUNT OF TIME TO THE FIELD POLICE POSITIONS. AS FAR AS THE COURT LIAISON SPECIALISTS, IT'S JUST A TITLE CHANGE, NO FUNDING, NO SALARY INCREASES. IT'S JUST THAT THE PERSON HAS BEEN WORKING AT THE COURTHOUSE. THAT POSITION HAS BEEN THERE SINCE 1995. UM, THEY'RE NOW DOING CONTRACT SERVICES FOR THE CITY OF PLACENTIA. SO IT JUST BETTER DESCRIBES THEIR DUTIES AND THEY FEEL THAT A, A TITLE CHANGE AND A SEPARATE SALARIES SCALE, SAME DOLLAR AMOUNT WOULD BE WARRANTED. SO THOSE ARE THE THREE, THE LAST THREE, AS WELL AS A CIVIL ENGINEER, A SENIOR CIVIL ENGINEER POSITION WAS FROZEN AT THE BEGINNING OF THE BUDGET YEAR. UH, ENGINEERING IS HAVING A HARD TIME, UH, GETTING THEIR PROJECTS OUT THERE, RUNNING WAY BEHIND ON THEIR PROJECTS, AND THEY JUST NEED SOME ADDITIONAL HELP. ESPECIALLY AT THIS LEVEL. THIS WOULD BE THE POSITION RIGHT BENEATH THE CITY ENGINEER. UH, NOW IN A YEAR OF UNPRECEDENTED UNCERTAINTY STEMMING FROM THE CORONAVIRUS PANDEMIC, THE FINANCE DEPARTMENT HAS PREPARED THE 20, 21 MID-YEAR BUDGET UPDATE FOR COUNCIL REVIEW AND DISCUSSION. OKAY, NEXT SLIDE, ROB, FOR THEM TO HANDLE IT. SO AS YOU CAN SEE, WE HAD, WE STARTED WITH THE BALANCED BUDGET OF 45.7 MILLION REVENUES AND EXPENSES. UM, THE AMENDED BUDGET CAME IN 45, MINUS 44. WE HAD A $1.7 MILLION SAVINGS ON EXPENDITURES. REVENUES CAME IN $2.4 MILLION HIGHER THAN BUDGET. SO THAT'S A GOOD THING. SO FOR A NET PROJECTED YEAR END POSITION OF 4.1 MILLION, OH BACK. SO ONE OF THE IMPORTANT THINGS WE WANT TO POINT OUT ABOUT THOSE NUMBERS WAS WHEN THE PANDEMIC WAS PREDICTED. WELL, WHEN IT STARTED, WE TALKED TO OUR SALES TAX CONSULTANTS AND MAY CONSERVATIVE BUDGETS. WE EXPECTED TO LOSE ABOUT TWO AND A HALF TO $5 MILLION AS IT TURNS OUT THAT DIDN'T HAPPEN IN THE HARBOR FARED BETTER THAN A LOT OF OTHER CITIES ARE BIG BOX STORES, SUCH AS COSTCO TARGET SAM'S CLUB, THE TWO WALMARTS HOME DEPOT, AND THEY ALL DID BETTER THAN BUDGET, BETTER THAN PROJECTIONS. THEY WERE SURPRISED THAT WE WERE SURPRISED, BUT IT WAS A GOOD THING FOR LAHABRA. SO THE BUDGETS WEREN'T NECESSARILY, WE JUST DIDN'T KNOW WE DID OUR BEST GUESSES AND WE WEREN'T CONSERVATIVE. WE EXPECT TO NEED TO USE RESERVES, BUT THAT DIDN'T HAPPEN. SO WE CAME OUT BETTER WITH THIS ONE-TIME PROFIT. NEXT SLIDE. OKAY. SO THIS REVENUE SLIDE ILLUSTRATES WHERE WE CAME IN OVER BUDGET, BUT I REALLY CONSIDERED ALL THE BUDGETS ON THE CONSERVATIVE SIDE. SO PROPERTY TAXES, WE STILL HELD, HELD STEADY 800,000 OVER BUDGET SALES TAXES CAME IN A MILLION TO EIGHT FIVE TRANSACTION TAX, 666,000. SO THOSE WERE OUR THREE CORE TEXTS, TAX REVENUE, GENERATORS, UM, FINES AND FORFEITURES WAS ONE 89 IN THE WHOLE. WE ANTICIPATED THAT BECAUSE WE STOPPED THE OVERNIGHT PARKING UNTIL JANUARY [01:05:01] THE THIRD. WE GAVE THEM A SIX MONTH REPRIEVE AND WE ALSO STOPPED THE STREET SWEEPING AND PARKING ENFORCEMENT. AND WE'RE GOING TO RESUME THAT IN APRIL OF THIS YEAR, UH, LICENSES AND PERMITS AND FEES AND CHARGES CAME IN OVER AS WELL. BUT THOSE WERE DUE TO CONSERVATIVE BUDGETING NEXT AND DOWN BELOW WE, SINCE WE'RE SHOWING THIS PROPERTY, WE WILL NOT NEED TO USE ANY RESERVES. WE DON'T ANTICIPATE THAT AT ALL. WE ALSO DON'T EXPECT TO HAVE ANY CONTINUATION OF THE FURLOUGH PROGRAM. NEXT SLIDE. THIS IS OUR GENERAL FUND, SAME INFORMATION, PROPERTY TAX, 39%. AND OUR NUMBER ONE SALES TAX, 24, TRANSACTION 13, ALL OTHER REVENUES ARE 24%. SO WE DID VERY WELL IN OUR CORE REVENUE SOURCES. NEXT SLIDE AND SAME THING. THIS IS THE GENERAL FUND EXPENDITURE SIDE. MOST DEPARTMENTS, UH, PROJECTED YEAR TO DATE. THEY'RE GOING TO END UP WITHIN BUDGET. UM, CITY KIRK HAD A SAVINGS AND DUE TO HER ELECTION CAME IN A LITTLE, THE COST WAS LESS THAN ANTICIPATED IN ELECTION AREA. SO WHEN THE BIG SAVERS ARE COMMUNITY SERVICES, 600,000 LOOKS LIKE A BIG SAVINGS, BUT REALLY THEY ANTICIPATED RUNNING PROGRAMS THEN THE SECOND HALF OF THE YEAR. SO THEY BUDGETED JANUARY, JANUARY TO JUNE. THEY DIDN'T RUN ANY PROGRAMS THE FIRST HALF. AND WITH THE COVID STAY AT HOME ORDERS AND NO GATHERINGS. THEY DON'T ANTICIPATE RUNNING ANY OF THOSE MOVIES IN THE PARK, EASTER PROGRAMS, NOTHING FOR THE REST OF THE YEAR. SO THEY ARE GOING TO HAVE A SAVINGS. THEIR POLICE DEPARTMENT HAD SEVERAL VACANCIES, SO THEY HAD A LARGE SAVINGS, 955,000, PRIMARILY VACANCIES. THEY HAD TWO, UM, TWO OFFICERS VACANT, ONE SARGENT, UM, ONE RECORD SPECIALIST. AND, UM, SEEMS LIKE THERE WAS ONE OTHER POSITION, BUT THEY HAD A BIG SAVING ON OVERTIME AS WELL. THE STAY AT HOME ORDERS, IN MY OPINION, OR THAT'S OUR GUESSTIMATION. WE THINK THAT IT HAD A LOT TO DO WITH IT BECAUSE OUR OVERTIME NUMBERS WERE WAY DOWN THIS YEAR. SO OVERALL THEY HAD A BIG SAVINGS, WHICH IS GOING TO HELP THE GENERAL FUND COME IN AT THAT SAVINGS OF A 1,000,007 19 UNDER BUDGET. NEXT SLIDE. THIS IS THE SAME THING, A PIE CHART, JUST SHOWING WHERE, HOW WE'RE SPENDING THE MONEY, SALARIES AND BENEFITS. 40% BROKE OUT THE PERS NORMAL COSTS AND UNFUNDED. THAT'S STILL PART OF SALARIES TECHNICALLY. AND IF WE HAD OUR OWN FIRE DEPARTMENT POSTED THAT 24% WOULD BE IN SALARIES. SO OPERATIONS IS THE OTHER 20% NEXT SLIDE. OKAY. SO JACK OUR FINANCE MANAGER AND THE FINANCE DEPARTMENT IS GOING TO TAKE IT FROM HERE. GOOD EVENING COUNCIL, UH, JACK PAWN VAN, IT FINANCE MANAGER. SO DURING THE FISCAL YEAR, THE CITY COMPLETED A FEW, UH, CAPITAL PROJECTS AND WE'LL LIST SOME OF THE MAJOR ONES ON THIS SLIDE RIGHT HERE. SO FIRST IS THE, UM, WHITTIER AND HACIENDA INTERSECTION WIDENING PROJECT. SO THIS IS A MULTI-YEAR PROJECT THAT FINALLY COME TO COMPLETE. NEXT IS, UH, HACIENDA ROAD REHAB PROJECT ON, UM, WHITTIER AND, UH, NORTH CITY LIMITS. NEXT IS THE, UH, RUSSELL STREET, UH, RUSSELL STREET, STRONG DRAIN PROJECT. AND NEXT IS LAHABRA BOULEVARD, REHAB PROJECT, UM, FROM BEACH TO IDAHO. AND ALSO, UH, ONE OF THE BIG PROJECT THAT WE COMPLETED AS WELL IS THE SPLASH PAD, UH, AT BREO PARK AND, UH, OSD PARK. AND, UH, NEXT IS ELECTRIC VEHICLE CHARGING STATION HERE AT THE CITY HALL. AND ALSO WE, UH, COMPLETED PARKING LOT RESURFACING AND, UM, SHADE STRUCTURE AT VARIOUS PARKS. NEXT SLIDE, PLEASE. THIS SLIDE LISTS A MAJOR PROJECT CURRENTLY IN PROGRESS IN FISCAL YEAR 2021. SO MANY OF THIS, UH, THESE PROJECTS ARE IN DESIGN PHASE AND THE CONSTRUCTION MAY CARRY OVER INTO NEXT FISCAL YEAR. SO THESE ARE RESIDENTIAL STREET REHAB, AND CERTAINLY SEAL ON MULTIPLE STREETS, UH, UH, ALLEY REHABILITATION, UH, WHICH CURRENTLY UNDER DESIGN AND CONSTRUCTION TO START IN SEPTEMBER, 2021. NEXT IS THE, UM, ANNUAL SIDEWALK AND ACCESS RAMP PROGRAM ALSO IN THE DESIGN AND CONSTRUCTION TO START IN JULY, 2021. UH, THE LAST YEAR IS, UH, ARTERIAL STREET REHAB. UH, DESIGN WORKS IS PENDING AND A CONSTRUCTION IS TO START IN DECEMBER, 2021. THIS SLIDE ACTUALLY LISTS THE MAJOR PROJECTS, UH, IN THE UPCOMING FISCAL YEAR, 20 2021, 22. UM, MANY OF THESE ARE CARRY FORWARD FROM THE PREVIOUS SLIDE. SO THESE ARE VERY SIMILAR PROJECTS HERE, THE ALLEY REHABILITATION ARREST AND YOUR HSA STREET REHAB ON MULTIPLE STREETS, CERTAINLY SEAL PROGRAM AND NO STREET SIDEWALK, UM, [01:10:01] MATERIAL, UH, STREET REHAB. SO THESE ARE PRETTY MUCH VERY SIMILAR. NEXT, WE'LL TALK ABOUT, UH, FISK, UH, FUTURE FISCAL CHALLENGES. SO WE GET TO DESCRIBE RIGHT HERE. SO THIS SLIDE SHOWED GENERAL FUND BUDGET REVENUES VERSUS EXPENDITURES FOR THE, FOR THE NEXT 15 YEARS. AND JUST KEEP IN MIND, THIS IS WITHOUT PENSION LIABILITY PAYMENTS. AND ALSO WITH THE ASSUMPTION THAT, UH, THE GENERAL FUND REVENUE WOULD GROW AT 2% PER YEAR AND EXPENDITURE WILL GROW 3.4% PER YEAR BASED ON AVERAGE GROWTH OVER THE LAST 10 YEARS. SO WHAT ARE YOU SEEING RIGHT HERE IS THE, UH, THE GRAPH WOULD, UH, BASICALLY TWO LINES. THE FIRST LINE HERE IS A GREEN LINE REPRESENT THE REVENUE AND THE BLUE ONE REPRESENT EXPENDITURES. SO AS YOU CAN SEE, UH, IN THE GREEN AREA OF THE GRAPH, THE GENERAL FUND WOULD ACTUALLY HAVE HEALTHY SURPLUS, YOU KNOW, APPROXIMATELY ACTUALLY FOUR BETWEEN FOUR AND $5 MILLION, UM, IN EACH OF THE NEXT SEVEN FISCAL YEAR. AND THAT WITHOUT THAT IS WITHOUT THE PENSION LIABILITY PAYMENT, UH, THINGS WILL ACTUALLY STARTING TO CHANGE IN FISCAL YEAR 2028. UH, WHEN OUR MEASURE T EXPIRES, THEN OUR REVENUE WOULD ACTUALLY DROP BELOW THE EXPENDITURES AND TO DEVASTATE WILL GROW, UH, FROM THAT POINT FORWARD. UH, AND WHAT YOU CAN SEE IN THE RED AREA, ALL TOWARD THE RIGHT OF THE GRAPH. AND AGAIN, KEEP IN MIND THIS, THIS GRAPH IS ACTUALLY WITHOUT PENSION LIABILITY PAYMENTS. NOW, NEXT SLIDE, PLEASE. NOW, IN REALITY, WE KNOW THAT WE NEED TO PAY THE PENSION LIABILITY. SO THIS GRAPH LOOKS QUITE QUITE DIFFERENT HERE. SO, UH, WE ACTUALLY EXPECT TO HAVE A BALANCED BUDGET IN THE NEXT FISCAL YEAR, THE 2020 2122, HOWEVER, WITH A SIGNIFICANT GROWTH IN PENSION LIABILITY PAYMENT, UH, GENERAL FUND EXPENDITURES, I EXPECT TO OUTGROW REVENUE AND CREATE DEFICIT EVERY SINGLE YEAR. UM, THEN WHEN THE MASHER T EXPIRES IN 2028, THE DEFICIT WILL BE EVEN LARGER. AND THE, WHAT YOU, THAT'S WHAT YOU SEE IN THIS GRAPH RIGHT HERE. NEXT SLIDE. I THINK THIS IS OUR SPINAL SPINAL SLIDE, JUST SHOWING THE STAFFING LEVELS SIMILAR. YOU'VE SEEN THIS IN THE PAST. UM, THE LAST TWO COLUMNS SHOW THAT WE'VE HAD A REDUCTION MAINLY IN PART-TIME EQUIVALENT. SO HYPOTHETICALLY 15 PART-TIMERS UM, WELL, REALLY IT WAS ABOUT CLOSER TO 30 TO 33. WE HAD LAID OFF, UM, PART-TIME WORKERS IN ANTICIPATION OF THE, UM, UH, THE COVID 19 ANTICIPATION OF THE LOSS OF REVENUES AND STAFF, UH, FURLOUGHED FULL-TIME STAFF HAD FIRST OF HOURS, WHICH WE ENDED IN NOVEMBER AND DON'T ANTICIPATE THAT ANY FURTHER PHOTO WOULD BE NECESSARY BECAUSE WE'RE TRENDING AHEAD ON REVENUE. NEXT SLIDE. SO THESE ARE SOME OF THE THINGS YOU'VE SEEN THIS SLIDE BEFORE WE'VE ENACTED AND POTENTIAL SOLUTIONS. SO WE'RE STILL MAINLY FOR THE PENSION OBLIGATIONS AND SEEKING NEW REVENUE, LOOKING FOR NEW REVENUE. SO THE ONLY NEW ONE ON HERE WOULD BE THE VERY LAST ONE WE WANT TO EVALUATE AND CONSIDER THE ISSUANCE OF PENSION OBLIGATION BONDS, WHICH WE SHOULD BE COMING BACK TO YOU WITH FOR PRESENTATION IN APRIL. NEXT SLIDE. I THINK WE'RE DONE CONCLUSION. UM, AS WE SAID, UM, THE BUDGET IS ALMOST ARTIFICIAL. WE DIDN'T KNOW. WE JUST TOOK A GUESS BASED ON WHAT OUR CONSULTANTS TOLD US. AND THEN WE WENT A LITTLE MORE CONSERVATIVE AND IT APPEARS THAT WE HAVE A BIGGER GAIN THAN WOULD BE NORMAL. SO THAT'S IT. WE JUST DIDN'T GET AS HARD AS WE DID. OUR STORES DID VERY WELL, AND THAT CONCLUDES OUR PRESENTATION. UH, MY I'D BE FREE TO ANSWER ANY QUESTIONS YOU MIGHT HAVE. THANK YOU VERY MUCH. ARE THERE ANY QUESTIONS FROM THE COUNCIL? VERY, VERY QUICK, PLEASE. THESE, UH, POSITIONS APPROVED FOR THE POLICE DEPARTMENT ARE THESE, THE ONES THAT HAD BEEN FROZEN AND NOW YOU JUST WANT TO BRING THEM BACK ON A FROZEN. HE WANTS TO START THE RECRUITMENT. SO HOPEFULLY IT'LL BE START NOW THAT CAN GET SOME GOOD CANDIDATES BEFORE THE END OF JUNE AND HAVE THEM READY TO GO FOR JULY. CAN, YOU MAY GET ONE OR TWO, BUT IT'LL, IT'LL TAKE QUITE AMOUNT OF TIME, ESPECIALLY ON THE PD. SO THERE'S NO FUNDING REQUESTS DUE TO THE LARGE SAVINGS. THEY HAVE 900,000. THEY DON'T NEED ANY FUNDING. YEAH. COUNCIL MEMBER, MICHELLE, CAN SOMEONE REMIND ME WHEN OUR FIRE CONTRACT EXPIRES? UH, SO ROB FARRIER FROM THE CITY MANAGER'S OFFICE, WE RENEWED IN 2015, 16, IT'S A TEN-YEAR CONTRACT. SO THAT WOULD MAKE A 25, 26. WE'RE ABOUT HALFWAY THROUGH RIGHT NOW. WHEN DO YOU GENERALLY START, UM, TALKING TO THEM ABOUT A RENEWAL OR RENEGOTIATION? WE HAVEN'T TALKED ABOUT RE RENEWAL OR RENEGOTIATION YET. WE'LL PROBABLY START THAT [01:15:01] CONVERSATION FAIRLY SOON BY THAT. I MEAN, PROBABLY IN THE NEXT COUPLE OF YEARS, THAT PROBABLY SOMETHING WE WANT YOU TO TALK ABOUT INTERNALLY. WE HAVE BEEN TALKING ABOUT A WAY TO CONTROL OUR COSTS ALMOST SINCE THE CONTRACT WAS RENEWED IN 1516, AND THAT CONVERSATION IS GOING TO CONTINUE FOR THE FORESEEABLE FUTURE BASED ON WHAT MELISSE JUST DESCRIBED. THANK YOU. ANY OTHER QUESTIONS FROM THE COUNCIL? JUST ONE QUESTION, MEL OR SOMEBODY, UH, REGARDING THE PRINCIPAL ENGINEER, JUST IN A NUTSHELL, ONE SENTENCE. WHAT IS IT THAT THE PRINCIPAL ENGINEER DOES? UM, WELL, HE'S THE NUMBER TWO BELOW THE CITY ENGINEER. AND HE, IN THE PAST BEFORE THE ONE, UH, HE LEFT, HE OVERSEES THE MEASURE HIM TO OCT PROGRAM. SO WE ARE RUNNING VERY BEHIND ON PROGRAMS. THEY'RE NOT SPENDING THE MONEY AS FAST AS WE HAD BUDGETED AND THEN PREDICTED IN OUR SEVEN YEAR CIP PLAN. UM, WE HAVE TO REPORT TO THEM TWICE A YEAR IN MARCH IN, UM, MARCH AND SEPTEMBER OF EVERY YEAR TO LET THEM KNOW YOU HAVE THREE YEARS TO SPEND THE MONEY. SO THEY'LL SEND YOUR MONEY. YOUR EVERY OTHER MONTH WE GET A, UM, AN APPORTIONMENT FROM THEM SIX TIMES A YEAR. UH, SO IT WAS DUE LAST FRIDAY, WE SUBMITTED IT AND WE HAD TO ASK FOR AN EXTENSION BECAUSE WE'RE NOT ABLE TO GET THE PROJECTS DONE QUICK ENOUGH. THESE ARE, UH, THESE ARE IMPROVEMENT PROJECTS THAT WE NEED TO GET DOWN THE STREET AND ROAD IMPROVEMENT PROJECTS. AND IF YOU DON'T SPEND THE MONEY WITHIN THREE YEARS, AND WE HAD NOT ASKED FOR THE EXTENSION, YOU HAVE TO RETURN THE MONEY. SO THEY WANT TO, YOU KNOW, GET THOSE PROJECTS MOVING, TRY TO GET CAUGHT UP, MOVING IN THE RIGHT DIRECTION. THANK YOU. MA'AM OKAY. ARE THERE ANY OTHER QUESTIONS FROM THE COUNCIL CONSTANTLY WITH SOMALIA? DO YOU HAVE ANY QUESTIONS? ALL RIGHT. THANK YOU VERY MUCH. WE WILL NOW INVITE THE PUBLIC TO TESTIFY AND TO PLEASE PROVIDE US THEIR NAME AND THEIR ADDRESS. IF THERE'S ANYONE MADAM MAYOR, THERE'S NO SPEAKERS. THANK YOU VERY MUCH. THEN I WILL CALL FOR COUNCIL ACTION OR DISCUSSION. MR. MAYOR, I RE, UM, MAKE A MOTION TO RECEIVE AND FILE THE FISCAL YEAR 2021 MID-YEAR BUDGET UPDATE AND APPROVE THE RECRUITMENT OF A SENIOR CIVIL ENGINEER POSITION IN PUBLIC WORKS DEPARTMENT AND APPROVE THE RECRUITMENT OF A POLICE. SERGEANT POLICE, CORPORAL POLICE, OFFICER COMMUNITY SERVICE OFFICER TO GRAHAM ANALYST, COMMUNICATION OPERATOR, AND TWO POLICE TRAINEE POSITIONS IN THE POLICE DEPARTMENT AND APPROVE THE RECLASSIFICATION OF A COMMUNITY SERVICE OFFICER IN THE POLICE DEPARTMENT TO A COURT LIAISON SPECIALIST AT PAY RANGE P 19, WHAT THE CAR CALL ROAD, PLEASE? COUNCIL MEMBER SIMONIAN, COUNCIL MEMBER SHAW COUNCIL MEMBER GOMEZ, MAYOR PRO TEM. MAGENTO. YES. MAYOR ESPINOSA. YES, LUSH AND PAST FIVE ZERO. THANK YOU. WE [ MAYOR'S COMMUNITY CALENDAR:] WILL NOW PROCEED TO THE MAYOR'S COMMUNITY CALENDAR. THE ORANGE ORANGE COUNTY HAS MOVED TO THE RED TIER ON THE STATE OF CALIFORNIA BLUEPRINT FOR A SAFE, SAFER ECONOMY, WHICH MEANS THE SPREAD OF COVID-19 IS SUBSTANTIAL. AND THAT MANY BUSINESS OPERATIONS MAY BE SUBJECT TO SPECIFIC MODIFICATIONS. HOWEVER, THE RATE OF COVID-19 TRANSMISSION HAS BEEN IMPROVING AND IT IS POSSIBLE THAT THE STATE OF CALIFORNIA MAY ADJUST THE TIER RANKINGS IN THE NEAR FUTURE CIRCUMSTANCES RELATED TO COVID CAN AND DO CHANGE RAPIDLY. AND WE ENCOURAGE EVERYONE TO REMAIN INFORMED ABOUT THE OUT OF THE BLUEPRINT FOR SAFER ECONOMY AND OTHER COVID RESTRICTIONS BY REGULARLY VISITING CALIFORNIA'S COVID 19 WEBSITE@WWWDOTCOVIDNINETEEN.CA.GOV. AND FOR MORE INFORMATION, PLEASE CALL (562) 383-4010. AND NOW THE DISTRIBUTION OF COVID-19 VACCINE IS NOW UNDERWAY WITH SUPER POD SITES OPENED AT DISNEYLAND RESORT, THE ANAHEIM CONVENTION CENTER AND SOCA UNIVERSITY. THERE IS A LIMITED SUPPLY OF VACCINE. SO INOCULATION WILL OCCUR ACCORDING TO THE PHASE SYSTEM. THE VACCINE IS CURRENTLY AVAILABLE TO THE ORANGE COUNTY RESIDENTS WHO ARE IN PHASES, ONE A AND ONE B, WHICH AMONG OTHER GROUPS INCLUDE CRITICAL HEALTHCARE WORKERS. FIRST RESPONDERS, PEOPLE AGED 65 AND OVER EMERGENCY SERVICE WORKERS, EDUCATORS, FOOD, GROCER, FOOD, FOOD, GROCERY SERVICE WORKERS, AND CHILDCARE PROVIDERS TO LEARN MORE ABOUT THE DIFFERENT RELEASE PHASES. AND WHEN YOU MAY BE ELIGIBLE TO RECEIVE THE VACCINE, PLEASE VISIT THE ORANGE COUNTY HEALTH AGENCY WEBSITE AT WWW. OH, SEE, COVID 19 DOT OSI HEALTH INFO.COM. AGAIN, REMEMBER TO WEAR A MASK, [01:20:01] EVEN IF YOU'RE, IF YOU'VE RECEIVED THE VACCINE AND HELP REDUCE THE RISK OF SPREADING THE DISEASE OR TO OTHERS, THE SIMPLE ACT OF WEARING A MASK AND THE PUBLIC REMAINS THE BEST AS WE CAN DO TO SLOW THE SPREAD OF THE DISEASE. IF EVERYONE WEARS A MASK, WE ARE ALL BETTER PROTECTED FROM COVID 19. AND PLEASE DO YOUR PART TO HELP SLOW THE SPREAD. THE LA HARBOR GENERAL PLAN ADVISORY COMMITTEE WILL HOST A PUBLIC MEETING VIA ZOOM ON TUESDAY, MARCH 23RD, TO DISCUSS THE UPDATE OF THE CITY'S HOUSING ELEMENT, THE UPDATE WILL COVER THE 2021 TWO THROUGH 2029 PLANNING PERIOD. AND ADDRESS CHANGES IN STATE LAW RELATIVE TO HOUSING TO LEARN MORE, PLEASE CONTACT THE COMMUNITY AND ECONOMIC DEVELOPMENT DEPARTMENT AT (562) 383-4100 AND THE ORANGE COUNTY TRANSPORTATION AUTHORITY IS SEEKING INPUT FROM RESIDENTS REGARDING POTENTIAL CHANGES TO BUS SERVICES. YOU CAN PARTICIPATE BY TAKING AN ONLINE SURVEY@WWWDOTOCTA.NET THROUGH MARCH 26, OR LEAVE A PHONE MESSAGE ON THE SURVEY HOTLINE AT (714) 560-5007 THROUGH MARCH 26. FOR MORE INFORMATION, PLEASE VISIT WWW.OTTA.NET. AND NOW THE CITY OF LA HARBOR WAS RESUMING ENFORCEMENT OF STREET, SWEEPING VIOLATIONS. BEGINNING MONDAY, APRIL 12TH. CITATIONS WILL BE ISSUED FOR VIOLATIONS. THE ISSUANCE OF CITATIONS HAVE BEEN TEMPORARILY SUSPENDED DUE TO THE STATE OF CALIFORNIA, STAY AT HOME ORDER, BUT NOW THAT THE STATE HAS BEGUN TO LOOSEN IT, RESTRICTIONS STREET SWEEPING ENFORCEMENT WILL RESUME TO LEARN MORE ABOUT STREET SWEEPING FOR YOUR STREET. PLEASE VISIT US ONLINE@WWWDOTLAHARBORCA.GOV OR CONTACT THE LA HARBOR POLICE DEPARTMENT TRAFFIC DIVISION AT (562) 383-4344. AND THEN THE CITY OF LA HARBOR AND THE AMERICAN RED CROSS WILL BE HOSTING AN UPCOMING BLOOD DRIVE EVENT IN APRIL AT LA HARBOR VETERAN HALL LOCATED AT TWO OH NINE NORTH ORANGE STREET ON THURSDAY, APRIL 15TH AND THURSDAY, APRIL 29TH. BOTH EVENTS WILL OCCUR OCCUR BETWEEN 1:00 PM AND 7:00 PM. A RESERVATION IS REQUIRED AND ANYONE WHO WISHES TO DONATE BLOOD MUST FIRST SCHEDULE AN APPOINTMENT BY VISITING WWW.REDCROSSBLOOD.ORG, OR BY CALLING ONE 800 RED CROSS DUE TO COVID 19 SAFETY PROTOCOLS AND ALL DONORS AND STUFF WILL BE SCREENED PRIOR TO ENTERING THE BUILDING. AND TO LEARN MORE ABOUT THAT, PLEASE CALL FIVE SIX TWO THREE THREE FOUR TWO ZERO ZERO. ARE THERE ANY COMMENTS FROM STAFF? NO MATTER MAYOR. THANK YOU VERY MUCH. [ COMMENTS FROM COUNCILMEMBERS/DIRECTORS:] ARE THERE ANY CON COMMENTS FROM THE DIRECTORS SEE NONE? OH, COUNCIL MEMBER GOMEZ, UH, REAL QUICKLY. I WANT TO CONGRATULATE ALISON GETMAN FROM IMPERIAL MIDDLE SCHOOL WHO WAS NAMED CLASSIFIED EMPLOYEE OF THE YEAR AND ALSO ALISON BENTO, WHO TEACHER OF THE YEAR AT SIERRA VISTA, UH, YESTERDAY TO MY SURPRISE, 6:00 PM DODGER GAME VERSUS ROYALS IN THE PRESEASON GAME. UH, I WAS SHOCKED AND THRILLED TO, SHE JUST STOLE MOUNT ROYAL PITCHER PITCH AGAINST THE DODGERS. HE'S A ALUMNI FROM A HARBOR HIGH SCHOOL AND MADE ME VERY HAPPY TO SEE HIM OUT THERE PITCHING WISH HE WAS IN THE DODGER UNIFORM, BUT NONETHELESS, IT WAS A BLUE UNIFORM. LAHABRA BLUE DODGER, BLUE, ROYAL BLUE. IT ALL WORK THE SAME. AND FINALLY, SEVERAL OF US ON THE CITY COUNCIL WENT OUT TO CELEBRATE THE A HUNDRED YEAR BIRTHDAY OF MELBOURNE ASK NS. I PRONOUNCED THAT MUCH SET UP WORLD WAR II, VETERAN, TOUGH, TOUGH GUY. AND WHAT AN HONOR TO SEE HIM IN VERY ALERT, A LOT OF ENERGY AT A HUNDRED YEARS OLD. THAT'S ALL MAD AT ME. THANK YOU VERY MUCH. ARE THERE ANY OTHER COMMENTS FROM THE COUNCIL? YES. MADAM MADRONA. YES. WHEN IT, AGAIN, WANTED TO THANK STAFF FOR THE WORK YOU DO, EVERY GAIN. IF YOU CAME, PLEASE PASS THAT ALONG AND DO WHAT TO THE REST OF OUR CITY EMPLOYEES, AND ALSO WANTED TO THANK MEL AND IN YOUR GROUP FOR, UH, PREPARING THAT, THAT BUDGET AS WELL. HOPEFULLY WE CAN, UH, WE CAN GET YOU GUYS THE RESOURCES THAT, UH, THAT WE NEED. AND I UNDERSTAND THAT WE'VE GOT CHALLENGING TIMES COMING AHEAD. AND THAT'S, THAT'S JUST BEEN THE MODEL FOR THIS LAST, THIS LAST YEAR. UH, AND ALONG THOSE SAME LINES UP, I WANT TO DO EXTEND MY GRATITUDE AND THANKS TO THE GONZALEZ FAMILY, THE NORTH GATE, UH, CHAIN OF STORES. IT WAS A YEAR AGO TODAY. I WENT IN AND I TALKED [01:25:01] TO JOSH GONZALEZ AND, UH, HE SAID, YES, IT WAS A SIMPLE YES. AND NORTH GATE. AND THE GONZALEZ FAMILY CHANGED THE GROCERY RETAIL INDUSTRY, NOT JUST LOCALLY, NOT JUST IN THE STATE, BUT IT WAS NATIONWIDE. THEY, THEY OPENED IT UP TO SENIORS. ONE OF OUR MOST VULNERABLE POPULATIONS, THEY MADE A HUGE DIFFERENCE. UH, IT, IT, IT HITS A POINT WHERE, WHERE I WAS WORKING IN MY FULL-TIME JOB. I WAS UP IN SHERMAN OAKS ONE DAY, TRYING TO DO, UH, TRYING TO LOOK FOR SOMEBODY. I WALKED INTO A GELSON'S AND THIS WAS LAST MAY. I THINK IT WAS, THERE WAS A SIGN OUT THERE FOR, UH, FOR SENIORS TO COME IN EARLY AN HOUR BEFORE STORE HOURS. SO IT HIT EVERYWHERE. WE WANTED TO THANK THEM. THEY ARE REALLY A COMMUNITY STAKEHOLDER, THE GONZALEZ FAMILY, AND THEY REALLY STEPPED UP AND, AND DID A GREAT THING, NOT JUST FOR LAHABRA, BUT, UH, BUT FOR US AS A COUNTRY, I THINK AS WELL, ALSO WANT TO DO, UH, EXTEND OUR CONDOLENCES TO THE FAMILY OF, UH, CUEVAS, THE FORMER, UH, CONSUL GENERAL OF MEXICO BASED HERE AT, UH, SANTA ANA WHO PASSED AWAY A FEW WEEKS AGO, OUR THOUGHTS AND PRAYERS GO OUT TO HIS FAMILY AND TO THE PEOPLE OF MEXICO AND ANYBODY ELSE THAT WAS AFFECTED BY HIS DEATH. UH, THAT'S IT, HIS LAST NAME WAS CUEVAS. YES. IS THERE ANY, UH, COUNCIL MEMBER SIMONIAN? YES. I'D LIKE TO EXTEND MY THANK YOU AS TO THE, UH, UH, COMMUNITY SERVICES DEPARTMENT AND EVERYBODY WHO WAS ATTACHED TO THE, UM, COVID SHOTS, UH, OVER THE LAST MONTH OR TWO, UH, I KNOW SEVERAL PEOPLE WHO WENT THERE AND GOT THEIR SHOTS AND SAID UNANIMOUSLY THAT THEY WERE ALL SO CARING AND SO COMFORTING, SO POLITE AND SO EFFICIENT THAT IT WAS A PLEASURE, UH, TO GET THEIR COVID SHOTS AT THE COMMUNITY SERVICES BUILDING. SO TO ALL OF THEM. THANK YOU, MEL. THANK YOU FOR THAT PRESENTATION. IT'S ALWAYS NICE TO HEAR SOME GOOD NEWS, APPRECIATE THAT. AND, UM, UM, LIKE TO THANK EVERYBODY ELSE, UH, THE CITY SERVICE, ESPECIALLY OUR POLICE DEPARTMENT, UH, FOR THEIR GOOD WORK ON A DAILY BASIS. APPRECIATE THAT. AND HOPEFULLY WE CAN FILL THOSE VACANCIES AND GET, GET YOU UP AND ROLLING AGAIN. UH, I, IT WAS AN ABSOLUTE PLEASURE TO MEET, UH, AND SEE MY OLD FRIEND, MEL, THE GUY THAT TURNED A HUNDRED YEARS OLD, HE SPENT A LIFETIME IN MONTEBELLO. SO I WAS HIS POLICE CHIEF FOR 10 YEARS AND SERVED ON THAT POLICE DEPARTMENT FOR 31 YEARS. AND HE MOVED TO LA HARBOR TO BE CLOSER TO HIS CHILDREN AND GANT GRANDCHILDREN. SO A BIG HERO, UH, ANYBODY THAT STORMED THE BEACHES IN NORMANDY DESERVES, UM, OUR ATTENTION. AND I WAS GLAD TO SEE, UH, THE NUMBER OF COUNCIL PEOPLE THAT SHOWED UP THERE TO HONOR HIS HUNDREDTH BIRTHDAY. THE POLICE DEPARTMENT TREATED HIM LIKE HE WAS A, UH, DOUBLE CHIEFS. SO IT WAS VERY, VERY SWEET TO WATCH THEM SALUTE HIM AND, UH, TREAT HIM SPECIAL. SO, UM, IT WAS A LOT OF FUN THIS LAST WEEK. AND I APPRECIATE THAT. THANK YOU, MADAM MAYOR. THANK YOU. UM, YES. UH, COUNCIL MEMBER SHAW. YES. UM, HE HAD, I MEAN, EVEN IF YOU COULD JUST SEE PARTIALLY HIS FACE, UH, UNDER THE MASK, HE HAD THE BIGGEST GRIN YOU COULD EVER SEE. AND HE SAID HE WAS JUST SO, SO HAPPY AND IT FELT REALLY SPECIAL ON THIS BIRTHDAY. AND, UM, IT JUST MADE US ALL FEEL ALL THE BETTER THAT WE WERE THERE IN THE POLICE DEPARTMENT. THANK YOU. THE AMERICAN LEGION POSTS. THANK YOU. ALL THE INDIVIDUALS THAT WERE THERE. UM, THE, OF WOMEN VOTERS I THINK WAS THERE AS WELL. UM, SO THERE WAS SO MANY THERE AND I ASKED IF I, MAYBE I MADE THE MISTAKE, BUT I ASKED HIM WHAT KEPT HIM GOING ON? WHY WAS HE SO YOUTHFUL AND ALL THAT? HE SAID, IT'S A WOMEN. AND HE SAID, I, I LOVE WHEN THEY KISSED ME. SO HE WAS DEFINITELY ALERT. THAT'S WHEN I BACKED UP A LITTLE BIT, BUT HE WAS A GREAT PERSON TO MEET. GOD BLESS HIM. AND I SAID, WE'LL BE BACK FOR HIS HUNDRED AND FIRST BIRTHDAY, BUT ANYWAY, THERE'S NO CO NO COMMENTS FROM THE STAFF. JUST ONE, I FORGOT TO MAKE A MENTION ON ONE THING. UH, TODAY IS, UH, UH, FINANCE DIRECTOR, MEL SHANNON'S BIRTHDAY. UM, SO HE'S USUALLY NOT WORKING TODAY, BUT WITH COVID, I DON'T THINK ANYTHING BETTER TO DO SO HE CAME TO THE COUNCIL MEETING, BUT HAPPY BIRTHDAY, MEL, HAPPY BIRTHDAY. WELL, THANK YOU VERY MUCH FOR ALL BEING HERE. AND I WILL, NOW THIS MEETING IS NOW ADJOURNED IN MEMORY OF MANUAL SOMATA [01:30:01] CUEVAS AND SENIOR BUILDER CLERK. NOW YALI YALI, CASSIUS FATHER HASAKAH CS WHO PASSED AWAY AT THE AGE OF 69 ON JANUARY 28TH, 2021 FROM COMPLICATIONS RELATED TO COVID 19. WORKED AT THE NABISCO CANDIES FOR OVER 35 YEARS, SPECIALIZING IN MAKING SUGAR DADDIES AND JUNIOR MINTS. SO ON BEHALF OF THE CITY COUNCIL COLLEAGUES AND THE CITY STAFF, WE EXTEND SINCERE CONDOLENCES. OUR THOUGHTS AND PRAYERS ARE WITH THE CASSIAS FAMILY AND WITH EQUIVALENCE FAMILY. DURING THIS DIFFICULT TIME, WE WILL ADJOURN TO MONDAY, APRIL 5TH, 2021 AT 5:30 PM IN THE CITY COUNCIL CLOSED SESSION ROOM ONE, ONE, TWO C 100 EAST LA HARBOR BOULEVARD FOLLOWED BY THE REGULAR MEETING AT 6:30 PM AND THE LA HARBOR COUNCIL CHAMBERS, ALL OTHER MEETINGS ARE NOW ADJOURNED, STAY SAFE. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.