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HomeMy WebLinkAbout2009-07-20Minutes City Council/Redevelopment Agency Meeting City of Huntington Beach Monday, July 20, 2009 4:00 PM - Room B-8 6:00 PM - Council Chambers Civic Center, 2000 Main Street Huntington Beach, California 92648 An audio recording of the 4:00 PM portion of this meeting and a video recording of the 6:00 PM portion of this meeting is on file in the Office of the City Clerk and is archived at www.surfcity-hb.org/government/agendas/ 4:00 PM - ROOM B-8 CALL TO ORDER Mayor Bohr called the study session portion of the regular meeting to order at 4:05 PM. ROLL CALL Present: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen Absent: None ANNOUNCEMENT OF LATE COMMUNICATION Pursuant to the Brown "Open Meetings" Act, City Clerk Joan L. Flynn announced the following late communications received by her office following distribution of the City Council agenda packet: PowerPoint communication submitted by the Public Works Department dated July 20, 2009, and entitled Central County Corridor Major Investment Study (Study Session Item No. 1). PowerPoint communication submitted by the Public Works Department dated July 20, 2009, and entitled Utility Yard Improvement Project (Study Session Item No. 2). PUBLIC COMMENTS PERTAINING TO STUDY SESSION / CLOSED SESSION ITEMS (3 Minute Time Limit) - None. STUDY SESSION - Items were heard out of their original order. (City Council) Study Session #2 Held - The Public Works Department presented an overview of the Utility Yard Facility Improvements. In 2003, the wastewater and storm drain maintenance sections were moved into temporary trailers at the existing water yard. Facilities expansion is necessary to accommodate office space, parking and storage for the additional staff and equipment. City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 2 Director of Public Works Travis Hopkins introduced Principal Civil Engineer Todd Broussard who made a PowerPoint presentation entitled Utility Yard Improvement Project - City Council Study Session July 20, 2009. Information in the presentation addressed: Timeline to Date (2003, 2007, 2008, 2009); Overview of Improvements; Distribution and Meter Building; Operations Building; Administration Tenant Improvements; Timeline Moving Forward; and Estimated Costs. Councilmember Carchio questioned the location where City Utility Yard staff members will be temporarily relocated to. Engineer Broussard indicated 7280 Edinger, at the southwest corner of Edinger and Gothard. Engineer Broussard responded to Councilmember Dwyer's budget inquiry, indicating that $8 million has been allocated in the FY 2009/10 water/sewer fund, with $7 million requested in FY 2010/2011. Staff and Councilmember Coerper discussed temporary relocation of the divisions of Water, Waste Water, Flood Control, Storm Drain, and Water Quality. (City Council) Study Session #1 Held - Representatives from the Orange County Transportation Authority (OCTA) provided an overview on the Central County Corridor Major Investment Study currently underway. This project studies several multi -modal alternatives to improve mobility and ease traffic in Central Orange County, which includes a portion of Huntington Beach. City Engineer Tony Olmos introduced Tami Warren, OCTA Manager of Corridor Studies, who made a PowerPoint presentation entitled Central County Corridor Major Investment Study - City of Huntington Beach July 20, 2009. Information in the presentation addressed: Major Investment Study; Central County Study Area; MIS Study Process and Milestones; Communities and Public Outreach; Refined Alternative Strategies; Strategy D (SR-57 Extension via Santa Ana River); and Next Steps. Fernando Chaviarria, OCTA's Manager of Public Outreach, was available for questions. Councilmember Hansen and Ms. Warren discussed why a decision was made by the OCTA to eliminate the 57 Freeway extension to Pacific Coast Highway. Mayor Pro Tem Green and Ms. Warren discussed the Army Corps of Engineers lack of participation at project meetings. Councilmember Dwyer and Ms. Warren discussed funding mechanisms (Ml vs. M2) for state - funded projects and studies. Mayor Bohr and Ms. Warren discussed SR-57 extension study option D8 - bridge level arterial with intersections. (City Council) Study Session #3 Held - Update to the City Council on the status of the Public Safety Facility Needs Plan, one of four objectives identified in the Council's Six Month Strategic Objectives. City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 3 Police Captain Dave Bunetta presented the Police Department's portion of a PowerPoint presentation entitled City of Huntington Beach Strategic Public Safety Facilities Plan. Information in the presentation included: Training Facility; Firearms Training; Firearms Training Options; Communications Center; Current Communications Center; and Pacific City Substation Marine Safety Supervisor Kyle Undo presented Marine Safety's portion of the PowerPoint. Information in the presentation included: Marine Safety; Purpose of a Lifeguard Tower, Current Condition of Towers, and Lifeguard Tower Replacement. Fire Chief Duane Olson presented the Fire Department's portion of the PowerPoint. Information in the presentation included: Fire Department, and Fire Stations (Murdy, Lake, Heil). Mayor Pro Tern Green stated support for the proposed relocation of Fire Station 8. Fire Chief Olson responded to concerns by Councilmember Carchio about the gap between Fire Stations 1 and 2 by explaining how both stations would utilize all apparatus, with the ladder truck remaining at Station 1, and paramedic and ambulance apparatus to be housed at Station 2. Chief Olson discussed differences in insurance premiums for businesses that receive fire service from a Class 1 agency as opposed to others. Councilmember Coerper questioned the condition of Station 7. Chief Olson described its recent remodel, and discussed the number of calls received for advanced and basic life support in the Huntington Harbor area. Councilmember Hansen and Chief Olson discussed using redevelopment funds for public safety facilities improvements. Mayor Bohr, Chief Olson and Supervisor Lindo discussed the design, price, timeline, transportation and installation related to lifeguard tower construction. Councilmember Coerper and Captain Bunetta discussed Police overtime for firearms training, down time for out of service officers travelling to mandate training, and officer -per -hour costs when away from the City. Discussion ensued on parking realignment at the Civic Center to accommodate Police facility enhancements. Councilmember Hardy and Captain Bunetta discussed options to incorporate parking with rooftop space or underground to save green/open space. Captain Bunetta described architectural challenges of the structure training facility structure. Councilmember Dwyer and Administrator Wilson discussed merging line items, and the intent of the equipment replacement fund. Councilmember Carchio asked for clarification on the need for officers to make six (6) trips per year to offsite firearms training facilities, and Captain Bunetta explained costs associated with firearms training activity. Councilmember Carchio and Captain Bunetta discussed the probability of closing the Police Substation on 5th and Walnut when the Pacific City project is complete and a new substation is built there. City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 4 RECESS TO CLOSED SESSION A motion was made by Green, second Hardy to recess to Closed Session. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None CLOSED SESSION Pursuant to Government Code Section 54956.9, the City Council recessed into closed session to confer with the City Attorney regarding the following lawsuit: State of California, ex rel. Nora Armenta v. James Jones Company, et al., L.A. Superior Court Case No. BC173487; Banning, et al. v. James Jones Company, L.A. Superior Court Case No. BC321513. This suit is a False Claims action to recover damages on behalf of water agencies that bought allegedly substandard copper piping. Pursuant to Government Code Section 54956.9, the City Council recessed to Closed Session to confer with its attorney regarding the following lawsuit: T-Mobile West v. City of Huntington Beach, et al., United States District Court Case No. CV09-3777 RGK (SSx). This suit concerns one wireless antenna proposed at 16600 Saybrook Lane in Harbour View Park and a second antenna proposed at 5741 Brighton Drive in Bolsa View Park. Pursuant to Government Code Section 54957.6, the Council recessed to Closed Session to meet with its designated labor negotiators: Fred Wilson, City Administrator; Paul Emery, Deputy City Administrator; Michele Carr, Director of Human Resources; and Bob Wingenroth, Finance Director, regarding labor discussions with MEO, MEA, PMA, FMA, SCLEA, HBPOA, and HBFA. Pursuant to Government Code § 54956.9, the City Council recessed into closed session to confer with the City Attorney regarding potential litigation. The facts and circumstances are not specified because they concern matters that might result in litigation against the City, and which the City believes are not yet known to potential plaintiffs. [Government Code § 54956.9(b)(3)(A).] 6:00 PM - COUNCIL CHAMBERS RECONVENE CITY COUNCIL/REDEVELOPMENT AGENCY MEETING Mayor Bohr reconvened the regular meeting of the City Council/Redevelopment Agency at 6:07 PM. ROLL CALL Present: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen Absent: None CLOSED SESSION REPORT BY CITY ATTORNEY - None. City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 5 PLEDGE OF ALLEGIANCE - The Huntington Beach Search and Rescue Explorers presented the colors and led the Flag Salute. MOMENT OF SILENCE - Mayor Bohr honored the memory of Allyssa Squirrell, a member of the Huntington Beach Junior Lifeguard Program. ANNOUNCEMENT OF LATE COMMUNICATION - None. AWARDS AND PRESENTATIONS PRESENTATION: Mayor Bohr called on LTC Howe, U.S. Army Commander, Southern Cal Recruiting to make some special presentations. Lieutenant Howe provided special recognition from the United States Recruiting Commander to several members of the Huntington Beach community for their support of Future Soldiers Day. PRESENTATION: Mayor Bohr invited former Mayor Dave Sullivan from the Huntington Beach 3/1 Marines' Foundation to make a special presentation. The Foundation recognized the City of Huntington Beach by presenting an award from the Commanding General of the First Marine Division at Camp Pendleton to Jim Engle, Director of Community Services. PRESENTATION: Mayor Bohr invited City Clerk Joan Flynn to come forward to make a check presentation to the American Cancer Society (ACS) on behalf of the City Employee Relay for Life Team "HB United." Ms. Flynn noted that the team consisted of City employees and detailed their fundraising events. Certificates were presented to the members of the team with special thanks given by ACS to the Huntington Beach Firefighters Association. PRESENTATION: Mayor Bohr invited HB Police Officer's Association President Kreg Muller to present a check to the Centennial Celebration Committee. Mr. Muller presented mementos and a donation on behalf of the Police Officers' Association. PRESENTATION: Mayor Bohr invited Susan Chaney from Dog Fancy Magazine to present a check to the Friends of Dog Beach. Mayor Bohr noted that the magazine honored Huntington Beach as one of the "dog friendliest" cities in the United States. Ms. Chaney mentioned the qualifications for the "dog friendliest" award and presented the donation. Marti Senat, President and Founder. of Huntington Beach Dog Beach, received the check and award. MAYOR'S AWARD: Mayor Bohr called on Community Services Director Jim Engle to present the Mayor's Award to Beach Operations Crewleader Tim Turner. Mr. Engle recognized Mr. Turner's many contributions to the community. Mr. Turner introduced his family and thanked the City for the award. Mayor Bohr recognized/congratulated City Clerk Joan Flynn for recently earning a Master's Degree in Public Administration. City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 6 PUBLIC COMMENTS (3 Minute Time Limit) (The numbers following speakers' comments reflect the approximately point in time in the archived video the speaker appears at http://www.surfcity-hb.org/government agendas). Pam Bertz who brought along her service dog Duke, spoke regarding the Dog Fancy Magazine award and her participation in various service groups which utilize animals in emergency situations. (00:35:40) Lois Abrams who brought along her service dog Cinder, spoke about her participation in the Delta Center and other organizations. She noted that her organizations are available to provide canine service in emergency situations. (00:37:05) Karen Chepeka, Save Our Strays, requested that the City consider constructing a humane animal shelter and spoke about her concerns regarding the County's current facility. (00:40:45) Robert Johnson, expressed his concerns regarding affordable housing programs in the City. (00:43:30) Connie Pedenko, Executive Director of the Huntington Beach Downtown Business Improvement District (HBBID), read from a prepared statement that requests the City waive fees associated with Public Works set up and tear down for the Surfcity Nights event held every Tuesday downtown. (00:45:34) COUNCIL COMMITTEE / APPOINTMENTS / LIAISON REPORTS AND ALL AB 1234 DISCLOSURE REPORTING Announcement by Mayor Pro Tern Cathy Green of the individual appointment of Tom Herbel to the Public Works Commission. Announcement.by Councilmember Dwyer of the individual appointment of William O'Connell to the Public Works Commission. Announcement by Mayor Bohr of the individual appointments of Gabe Houston to the Finance Board, and Joseph Ward to the Investment Advisory Board. CITY ADMINISTRATOR'S REPORT The City Administrator noted that a Charter Review Commission meeting is scheduled for July 22, 2009 at 6:00 p.m. in Room B-8, Huntington Beach Civic Center, and that it is a public meeting. CITY TREASURER'S REPORT 1. (City Council) Reviewed and accepted Shari L. Freidenrich, City Treasurer's Investment Summary Report of City Investment Portfolio, Bond Proceeds, Deferred Compensation, and Retiree Medical Trust Activity for May 2009. City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 7 The City Treasurer responded to inquiries from the Councilmembers regarding the foreclosure crisis and, how it would affect City finances. A motion was made by Green, second Coerper to review and accept the Monthly Investment Report. Following review of the report by motion of Council, accept the Monthly Investment Report for May 2009, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. The motion carried by the following roll call vote: AYES: Carchio; Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None CONSENT CALENDAR (Items #2 through #14) Councilmember Carchio pulled for discussion Item No. 3; Councilmember Coerper pulled for discussion Item No. 4; Councilmember Dwyer pulled for discussion Item No 11; Mayor Pro Tem Green and Councilmember Hardy both indicated an abstain on Item No. 2. 2. (City Council/Redevelopment Agency) - Approved and adopted the minutes. A motion was made by Green, second Coerper to approve and adopt the minutes of the City Council/Redevelopment Agency regular meeting of July 6, 2009 as written and on file in the Office of the City Clerk. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Bohr, Coerper, and Hansen NOES: None ABSTAIN: Green, and Hardy 3. (City Council) Approved and authorized the City Administrator to execute a thirty (30) year Lease and Management Agreement between the City of Huntington Beach and the Huntington Harbour Yacht Club (HHYC), for the purpose of operating a yacht club, effective February 23, 2007. Councilmember Carchio directed questions to Huntington Harbour Yacht Club (HHYC) members Commodore Jim Wallace and Fleet Captain Eric Hartman regarding lease terms, maintenance, capital projects scheduled to occur, number of members, and the memberships the HHYC holds. A motion was made by Carchio, second Green to authorize the City Administrator to execute a "Lease and Management Agreement Between the City of Huntington Beach and Huntington Harbour Yacht Club" that has been approved to form by the City Attorney and is in substantially the same terms as the draft Lease and Management Agreement. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 8 4. (City Council) Approved and authorized the Mayor and City Clerk to execute a ten-year lease agreement with two five-year extension options, in the amount of one dollar ($1.00) per year, between the City of Huntington Beach and Huntington Beach Search and Rescue Explorer Post 563 for space at the City of Huntington Beach Police Heliport Site located at 18381 Gothard Street. Councilmember Coerper recognized several Explorers attending tonight's meeting. The Explorers explained the purpose and achievements of their post. A motion was made by Coerper, second Green to approve and authorize the Mayor and City Clerk to execute the "Lease Agreement Between the City of Huntington Beach and Huntington Beach Search and Rescue Explorer Post 563 for Space at the City of Huntington Beach Police Heliport Site" located at 18381 Gothard Street. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None 5. (City Council) Adopted Resolution No. 2009-38 appointing the Director of Human Resources as the authorized representative of the City of Huntington Beach for the purpose of complying with the Medicare, Medicaid, and SCHIP Extension Act of 2007 Section 111. A motion was made by Green, second Coerper to adopt Resolution No. 2009-38, "A Resolution of the City Council of the City of Huntington Beach Appointing the Director of Human Resources as the Authorized Representative for Compliance with the Medicare, Medicaid and SCHIP Extension Act of 2007." The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None 6. (City Council) Adopted Resolution No. 2009-39 approving the execution by the Mayor and City Clerk of an amended and restated Orange County Council of Governments (OCCOG) Joint Powers Agreement. A motion was made by Green, second Coerper to adopt Resolution No. 2009-39, "A Resolution of the City Council of the City of Huntington Beach Approving the Execution of an Amended and Restated Orange County Council of Governments (OCCOG) Joint Powers Agreement;" and, authorize the Mayor and City Clerk to execute the "Amended and Restated Joint Powers Agreement Establishing the Orange County Council of Governments;" and, transmit the signed OCCOG Joint Powers Agreement to the Interim Executive Director. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 9 7. (City Council) Adopted Resolution No. 2009-40 confirming reports of cost for the 2009 season Weed Abatement on private property within the City, and certify all charges listed to the Orange County 2009-2010 Property Tax Roll. A motion was made by Green, second Coerper to adopt Resolution No. 2009-40, "A Resolution of the City Council of the City of Huntington Beach Confirming Reports of Cost for Weed Abatement on Private Property Within the City - 2009 Season;" and, direct that all charges listed thereon be certified to the Orange County 2009/2010 Property Tax Roll. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None 8. (City Council) Rejected all bids for the Traffic Signal Modification Project, CC-1302, at the intersection of Main Street, 17th Street and Utica Avenue, due to the unavailability of funds in the Traffic Impact Fee Fund. A motion was made by Green, second Coerper to reject all bids for the Traffic Signal Modification Project at the intersection of Main Street and 17th Street and Utica Avenue, CC- 1302. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None 9. (City Council) Approved and authorized the Mayor and City Clerk to execute the Memorandum of Understanding (MOU) by and among the City of Huntington Beach and property owners Joseph Gergen, Paul Geil, and John Gustafson regarding proposed Tentative Parcel Map Number 2008-175 (Crystal Street). A motion was made by Green, second Coerper to approve and authorize the Mayor and City Clerk to execute the "Memorandum of Understanding by and Among the City of Huntington Beach and Joseph Gergen, Paul Geil, and John Gustafson Regarding Proposed Tentative Parcel Map Number 2008-175 in the City of Huntington Beach." Upon receipt of funds, allocate unanticipated revenue in the amount of $36,264 into Development Processing Account No. 10085251.69365. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None 10. (City Council) Approved and authorized the City Administrator to execute the Traffic Signal Maintenance Agreement by and between the City of Fountain Valley and the City of Huntington Beach establishing the responsibility of each party for maintenance, operations, and liabilities associated with the traffic signal controls for ten (10) intersections along the mutual city boundaries. A motion was made by Green, second Coerper to authorize the City Administrator to execute the "Traffic Signal Maintenance Agreement by and between the City of Fountain Valley and the City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 10 City of Huntington Beach for Traffic Signals at Intersections where Jurisdictional Control is Shared." The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None 11. (City Council) Approved an appropriation of $25,000 into the Fire Department Fire Prevention business unit account for oil production site safety reviews and inspection. Appropriation to be offset by revenue gained from reviews/inspections. In response to Councilmember Dwyer, Fire Chief Duane Olson clarified it is common for agency's to utilize an outside contractor to perform these types of specialized inspections. A motion was made by Green, second Carchio to approve an appropriation of $25,000 for oil production site safety reviews and inspection. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None 12. (City Council) City of Huntington Beach Strategic Plan Status Update. A motion was made by Green, second Coerper to receive and file the updated status of the Huntington Beach Six -Month Strategic Objectives. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None 13. (City Council) Escheated a total of $255.53 of unclaimed funds over one year old and less than $15.00, and a total of $11,947.41 of unclaimed funds over three years old and. more than $15.00 to the City's General Fund per Government Code Section 50055. A motion was made by Green, second Coerper to review and approve the transfer of $12,202.94 of unclaimed funds to the unappropriated General Fund in compliance with Government Code Section 50055. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None 14. (Redevelopment Agency) Approved Commitment Letter and Option to Purchase Real Property Agreement for the sale of the 164 unit Emerald Cove Senior Apartments located at 18191 Parktree Circle, to JHC-Acquisitions, LLC, by the Jamboree Housing Corporation. A motion was made by Green, second Coerper to approve the Commitment Letter and authorize the Executive Director to execute; and, approve the "Option to Purchase Real Property" between the Huntington Beach Redevelopment Agency and JHC-Acquisitions, LLC for the Emerald Cove Senior Apartments site; and, authorize the Chairman of the Redevelopment Agency and Executive Director to approve documents and take action City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 11 necessary to implement the terms of the Commitment Letter and Option to Purchase Agreement. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None ADMINISTRATIVE ITEMS 15. (City Council/Redevelopment Agency) Approved as amended an appropriation not to exceed $170,000 from the Merged Redevelopment Agency Capital Projects Fund for the purchase, design, fabrication, shipping and installation of removable bollards to be used for temporary street closures on Main Street during downtown events. Transportation Manager Bob Stachelski made a PowerPoint presentation regarding a proposed addition to the Capital Improvement Program. Slides included: Objective for a protected pedestrian environment in the downtown area, Approach, Background, Closure Layouts and Bollard Locations, Typical Installation, Bollard Requirements, Recommendation, and Estimated Costs. Councilmember Dwyer expressed concerns regarding the cost of the bollards. Mayor Pro Tem requested costs to install the bollards each Tuesday. In response to Councilmember Hardy, staff clarified that this project would entail the use of redevelopment funds. Councilmember Coerper expressed support for the project, and the City Attorney responded to concerns voiced regarding potential liability issues involved in the project. Discussion ensued between staff and Council regarding the cost, placement, and safety of the bollards. A motion was made by Coerper, second Green to approve an appropriation not to exceed $170,000 for the purchase, design, fabrication, shipping, and installation of bollards in Downtown Main Street for temporary street event closures, as amended to include: amend the 08-09 Capital Improvement Program to include this project The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None COUNCILMEMBER ITEMS 16. (City Council) Submitted by Councilmember Don Hansen - Failed to establish a tax exemption in the City of Huntington Beach's business license ordinance for businesses with annual gross receipts of $1,000 or less, and failed to establish updated code language and procedures to implement such exemption. City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 12 Councilmember Hansen expressed his belief that businesses that declare marginal annual gross receipts should be exempt from the business license cost and provided an example. In response to Councilmember Carchio, staff noted the estimate of the number of businesses with smaller gross receipts was based upon an estimate of surrounding cities. Mayor Pro Tern Green and Councilmember Carchio expressed concerns with the establishment of this program. In response to Councilmember Hardy, staff noted that they have not specifically identified the individual businesses that fall into the exemption category. Ms. Hardy noted that businesses that do not qualify to pay state or federal taxes should also be exempted from the business license fee. Councilmember Dwyer expressed support for the program, as he wants the City to be known as "business friendly. In response to Councilmember Coerper, staff acknowledged that upon research, the City may find that there are either more or less businesses that meet the exemption threshold. Staff would need to work with the State in order to determine the exact number of businesses who would qualify. Considerable discussion was given to the benefits and drawbacks of the proposed program. A motion was made by Hansen, second Dwyer to establish a tax exemption in the City of Huntington Beach's business license ordinance for businesses with annual gross receipts of $1,000 or less and establish updated code language and procedures to implement such exemption. It is estimated that about 700 businesses would qualify for the exemption and that the estimated financial impact to the general fund would be about $50,000 in reduced revenue annually. The motion failed by the following roll call vote: AYES: Dwyer, Hardy, and Hansen NOES: Carchio, Green, Bohr, and Coerper 17. (City Council) Submitted by Councilmember Joe Carchio - Directed staff to move forward with developing the necessary agreements and policies to implement a permanent Surf City Savings Program. A motion was made by Carchio, second Coerper to direct staff to move forward with development the necessary agreements and policies to expand the Surf City Savings Program. The motion carried by the following roll call vote: AYES: Carchio, Dwyer, Green, Bohr, Coerper, Hardy, and Hansen NOES: None COUNCILMEMBER COMMENTS (Not Agendized) Mayor Pro Tern Green acknowledged the loss of Huntington Beach resident Olive King Harrison. City Council/Redevelopment Agency Regular Meeting Minutes of July 20, 2009 Page 13 Councilmember Dwyer toured the U.S. Army air support unit and thanked the unit for their hospitality. He announced the upcoming "Surfers" Walk of Fame and Hall of Fame events, and reported attending a recent League of Cities. event in Sacramento. ADJOURNMENT Council/Agency adjourned at 8.50 PM to a Special Meeting on Friday, July 31, 2009, at 8:30 AM at the Huntington Beach Central Library, Rooms C and D, 7111 Talbert Ave., Huntington Beach, California. ADJOURNMENT - Council/Agency adjourned at 10:04 PM to the next regularly scheduled meeting on Monday, June 15, 2009, at 4:00 PM, Civic Center, 2000 Main Street, Huntington Beach, California. Cit Jerk and ex-officio CIA of the City Council of the City of Huntington Beach and Clerk of the Redevelopment Agency of the City of Huntington Beach, California ATTEST: J4 g, 0) s %!� City Clerk -Clerk v Mayor -Chair