The URL can be used to link to this page

Home My WebLink About2019-05-06 Agenda PacketMEETING ASSISTANCE NOTICE: In accordance with the Americans with Disabilities Act, services are available to members of our community who require special assistance to participate in public meetings. If you require special assistance, 48-hour prior notification will enable the City to make reasonable arrangements for an assisted listening device (ALD) for the hearing impaired, American Sign Language interpreters, a reader during the meeting and/or large print agendas. Please contact the City Clerk’s Office at (714) 536-5227 for more information, or request assistance from the staff or Sergeant-at-Arms at the meeting. PUBLIC COMMENTS: To address the legislative body on items of interest not scheduled for public hearing, Request to Speak forms will be made available at the meeting and are collected by the staff or Sergeant at Arms. Some legislative bodies may provide different Request to Speak forms for public hearing items. AUDIO/VIDEO ACCESS TO BROADCASTED MEETINGS: City Council and Planning Commission meetings are televised live on HBTV-3 Channel 3, and can be viewed via live or archived website at https://huntingtonbeach.legistar.com. AGENDA CITY COUNCIL/PUBLIC FINANCING AUTHORITY Monday, May 6, 2019 Council Chambers 2000 Main Street Huntington Beach, CA 92648 Study Session - 4:00 PM / Closed Session - 5:00 PM Regular Meeting - 6:00 PM MAYOR AND CITY COUNCIL ERIK PETERSON, Mayor LYN SEMETA, Mayor Pro Tem PATRICK BRENDEN, Councilmember KIM CARR, Councilmember BARBARA DELGLEIZE, Councilmember JILL HARDY, Councilmember MIKE POSEY, Councilmember STAFF FRED A. WILSON, City Manager MICHAEL E. GATES, City Attorney ROBIN ESTANISLAU, City Clerk ALISA BACKSTROM, City Treasurer 1 City Council/Public Financing Authority AGENDA May 6, 2019 4:00 PM - COUNCIL CHAMBERS CALL TO ORDER ROLL CALL Brenden, Carr, Semeta, Peterson, Posey, Delgleize, Hardy ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) PUBLIC COMMENTS PERTAINING TO STUDY SESSION / CLOSED SESSION ITEMS (3 Minute Time Limit) STUDY SESSION 19-4371.Fiscal Year 2019/20 Proposed Budget RECESS TO CLOSED SESSION CLOSED SESSION ANNOUNCEMENT(S) 19-5492.Mayor Peterson to Announce: Pursuant to Government Code § 54957.6, the City Council shall recess into Closed Session to meet with its designated labor negotiator, Fred Wilson, regarding labor negotiations with: Assistant City Manager, Chief Assistant City Attorney, Chief Financial Officer, Chief Information Officer, City Manager, Community Development Director, Community Services Director, Deputy Director of Community Development, Fire Chief, Human Resources Director, Library Services Director, Deputy Community Prosecutor, Police Chief, Assistant Police Chief, Public Works Director, as well as the elected City Attorney, City Clerk and City Treasurer CLOSED SESSION 19-5323.Pursuant to Government Code § 54956.9(d)(2), the City Council shall recess into Closed Session to confer with the City Attorney regarding potential litigation. Number of cases, three (3). 19-5504.Pursuant to Government Code § 54957.6, the City Council Page 1 of 7 2 City Council/Public Financing Authority AGENDA May 6, 2019 shall recess into Closed Session to meet with its designated labor negotiator, Fred Wilson, regarding labor negotiations with: Assistant City Manager, Chief Assistant City Attorney, Chief Financial Officer, Chief Information Officer, City Manager, Community Development Director, Community Services Director, Deputy Director of Community Development, Fire Chief, Human Resources Director, Library Services Director, Deputy Community Prosecutor, Police Chief, Assistant Police Chief, Public Works Director, as well as the elected City Attorney, City Clerk and City Treasurer. 19-5575.Pursuant to Government Code § 54954.5(e), the City Council shall recess into Closed Session to discuss the public employment of Interim City Manager. 6:00 PM – COUNCIL CHAMBERS RECONVENE CITY COUNCIL/PUBLIC FINANCING AUTHORITY MEETING ROLL CALL Brenden, Carr, Semeta, Peterson, Posey, Delgleize, Hardy PLEDGE OF ALLEGIANCE INVOCATION In permitting a nonsectarian invocation, the City does not intend to proselytize or advance any faith or belief. Neither the City nor the City Council endorses any particular religious belief or form of invocation. 19-5386.Charles Niederman of the Greater Huntington Beach Interfaith Council CLOSED SESSION REPORT BY CITY ATTORNEY AWARDS AND PRESENTATIONS 19-3337.Mayor Peterson to call on Janice Frechette, Executive Director of Parentis Foundation, to present commendations to Volunteer Tutors from the Experience Corps OC literacy intervention program operated at the Boys & Girls Clubs of Huntington Valley’s Huntington Beach site for their efforts Page 2 of 7 3 City Council/Public Financing Authority AGENDA May 6, 2019 in helping first through fourth grade students improve their reading skills. 19-4628.Mayor Peterson to call on Councilmember Barbara Delgleize who will present proclamation to Director Richard Sanchez of Orange County Health Care Agency to proclaim May as National Mental Health Month. 19-5349.Mayor Peterson to present commendation to Huntington Beach High School student Ethan Hurst for his recent lifesaving effort on the south side of the Huntington Beach Pier. 19-53610.Mayor Peterson to call on Insurance Services Office (ISO) Western Regional Manager Stephanie Ruscansky to present the Class 1 Public Protection Classification rating. This rating is based on their recent updated evaluation of our fire department, water division and emergency dispatch center. 19-53511.Special recognition to outgoing Huntington Beach City Manager Fred A. Wilson. ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) PUBLIC COMMENTS (3 Minute Time Limit) COUNCIL COMMITTEE - APPOINTMENTS - LIAISON REPORTS, AB 1234 REPORTING, AND OPENNESS IN NEGOTIATIONS DISCLOSURES CITY MANAGER'S REPORT CITY TREASURER'S REPORT 19-52612.Receive and file the City Treasurer's March 2019 Quarterly Investment Summary Report Receive and file the City Treasurer’s Quarterly Investment Report for March 2019, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Recommended Action: CONSENT CALENDAR 19-50513.Approve and Adopt Minutes Page 3 of 7 4 City Council/Public Financing Authority AGENDA May 6, 2019 Approve and adopt the City Council/Public Financing Authority regular meeting minutes dated April 15, 2019, as written and on file in the office of the City Clerk. Recommended Action: 19-43914.Approve the March 2019 City of Huntington Beach Strategic Plan Update Approve the March 2019 Strategic Objectives Update as contained within Attachment 1. Recommended Action: 19-53015.Dissolution of the Ad Hoc Historic Wintersburg Committee Dissolve the Ad Hoc Historic Wintersburg Committee. Recommended Action: 19-52316.Adopt Resolution No. 2019-20 adopting an amended Uniform Bail Schedule for Parking Violations Adopt Resolution No. 2019-20, “A Resolution of the City Council of the City of Huntington Beach Adopting an Amended Uniform Bail Schedule for Parking Violations.” Recommended Action: 19-51217.Accept the lowest responsive and responsible bid and authorize execution of a construction contract with Sancon Engineering, Inc. in the amount of $503,179 for the Fiscal Year 18/19 Sewer Lining Project, CC-1570 A) Accept the lowest responsive and responsible bid submitted by Sancon Engineering, Inc. in the amount of $503,179; and, B) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney . Recommended Action: 19-47918.Accept the lowest responsive and responsible bid and authorize execution of a construction contract with C.S. Legacy Construction, Inc. in the amount of $1,205,095 for the Murdy Park Reconfiguration Project, CC-1587 A) Accept the lowest responsive and responsible base bid submitted by C.S. Legacy Construction, Inc. in the amount of $1,205,095; and, B) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney. Recommended Action: Page 4 of 7 5 City Council/Public Financing Authority AGENDA May 6, 2019 19-43019.Approve Final Tract Map No. 18147 and Subdivision Agreement for the Windbourne Residential Subdivision by TRI Pointe Homes, Inc. at 14422 Hammon Lane A) Approve Final Tract Map No. 18147 and accept the dedication in fee of Lot E and accept the offer of easements on Lot A pursuant to findings and requirements (Attachment No. 1); and, B) Approve and authorize the Mayor and City Clerk to execute the Subdivision Agreement by and between the City of Huntington Beach and TRI Pointe Homes, Inc. (Attachment No. 6); and, C) Accept Faithful Performance Bond No. PB03010405878, Labor and Material Bond No. PB03010405878 and Monument Bond No. PB03010405837 as sureties for the installation of the subdivision’s required public improvements and survey monumentation (Attachment No. 7); and, D) Instruct the City Clerk to file the respective bonds with the City Treasurer and notify the Surety, Philadelphia Indemnity Insurance Company of this action. Recommended Action: 19-45020.Approve and authorize execution of an Agreement with WeatherFlow, Inc. for a Weather Station located at Lifeguard Tower Zero Approve and authorize the Fire Chief and City Attorney to execute the “Site Use Agreement” with WeatherFlow, Inc. for the installation of a Weather Station at Lifeguard Tower Zero. Recommended Action: 19-54321.City Council positions on legislation pending before the State Legislature and Regional Issues as recommended by the City Council Intergovernmental Relations Committee (IRC) A) Approve a City position of Oppose on Assembly Bill 143 (Quirk-Silva) - Shelter Crisis: Homeless Shelters County of Orange; and, B) Approve a City position of Oppose on Assembly Bill 217 (Garcia) - Safe Drinking Water for All Act; and, C) Approve a City position of Support on Assembly Bill 919 (Petrie-Norris) - Alcoholism and Drug Abuse Recovery Treatment Program; and, Recommended Action: Page 5 of 7 6 City Council/Public Financing Authority AGENDA May 6, 2019 D) Approve a City position of Support in Concept on Assembly Bill 920 (Petrie-Norris) - Alcoholism and Drug Abuse Recovery Treatment Program; and, E) Approve a City position of Support on Assembly Bill 1583 (Eggman) - The California Recycling Market Development Zone Act; and, F) Approve a City position of Support for Alternative 3 - John Wayne Airport’s General Aviation Improvement Program. 19-50622.Adopt Ordinance No. 4179 adding Chapter 5.100 to the Huntington Beach Municipal Code establishing a Sidewalk Vending Permitting and Regulatory Program, repealing Ordinance No. 4177 which established an Interim Sidewalk Vending Program, and repealing Section 5.50.170(F) which prohibits Vending from a Human Powered Conveyance Approved for introduction 4/15/2019 - Vote: 7-0 Adopt Ordinance No. 4179, “An Ordinance Of The City Of Huntington Beach Adding Chapter 5.100 To The Huntington Beach Municipal Code Establishing A Sidewalk Vending Permitting And Regulatory Program, Repealing Ordinance No. 4177, Which Established An Interim Sidewalk Vending Program, And Repealing Section 5.50.170(F) Which Prohibits Vending From A Human Powered Conveyance.” Recommended Action: PUBLIC HEARING 19-52923.Public Hearing to consider approval of Substantial Amendment No. 2 to Fiscal Year 2018-19 Annual Action Plan for Community Development Block Grant (CDBG) and HOME Investment Partnership (HOME) Programs A) Approve Substantial Amendment No.2 to the City of Huntington Beach Fiscal Year 2018-19 Annual Action Plan for the Community Development Block Grant (CDBG) and HOME Investment Partnership Programs; and , B) Authorize the City Manager to sign all necessary documents after review by the City Attorney. Recommended Action: ADMINISTRATIVE ITEMS 19-53124.Receive Report on Refuse Collection Franchise Agreement Page 6 of 7 7 City Council/Public Financing Authority AGENDA May 6, 2019 Negotiations with Rainbow Disposal Company Inc./Republic Services, and Consider Issuing a Notice of Termination of Annual Extension of the Agreement Approve the issuance of the Notice of Termination of Annual Extension letter to Rainbow Disposal Company Inc./Republic Services, converting the franchise agreement to a 15-year fixed term with a 3-year notice period. Recommended Action: ORDINANCES FOR INTRODUCTION 19-54125.Approve for Introduction Ordinance No. 4180 repealing Ordinance No. 4130 and adding Chapter 3.50 to the Huntington Beach Municipal Code relating to State Video Franchises Approve for introduction Ordinance No.4180, "An Ordinance of the City Council of the City of Huntington Beach Repealing Ordinance No. 4130 and Adding Chapter 3.50 to the Huntington Beach Municipal Code Relating to State Video Franchises." Recommended Action: COUNCILMEMBER COMMENTS (Not Agendized) ADJOURNMENT The next regularly scheduled meeting of the Huntington Beach City Council/Public Financing Authority is Monday, May 20, 2019, at 4:00 PM in the Civic Center Council Chambers, 2000 Main Street, Huntington Beach, California. INTERNET ACCESS TO CITY COUNCIL/PUBLIC FINANCING AUTHORITY AGENDA AND STAFF REPORT MATERIAL IS AVAILABLE PRIOR TO CITY COUNCIL MEETINGS AT http://www.huntingtonbeachca.gov Page 7 of 7 8 City of Huntington Beach File #:19-437 MEETING DATE:5/6/2019 Fiscal Year 2019/20 Proposed Budget City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™9 City of Huntington Beach File #:19-549 MEETING DATE:5/6/2019 Mayor Peterson to Announce: Pursuant to Government Code § 54957.6, the City Council shall recess into Closed Session to meet with its designated labor negotiator, Fred Wilson, regarding labor negotiations with: Assistant City Manager, Chief Assistant City Attorney, Chief Financial Officer, Chief Information Officer, City Manager, Community Development Director, Community Services Director, Deputy Director of Community Development, Fire Chief, Human Resources Director, Library Services Director, Deputy Community Prosecutor, Police Chief, Assistant Police Chief, Public Works Director, as well as the elected City Attorney, City Clerk and City Treasurer City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™10 City of Huntington Beach File #:19-532 MEETING DATE:5/6/2019 Pursuant to Government Code § 54956.9(d)(2), the City Council shall recess into Closed Session to confer with the City Attorney regarding potential litigation. Number of cases, three (3). City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™11 City of Huntington Beach File #:19-550 MEETING DATE:5/6/2019 Pursuant to Government Code § 54957.6, the City Council shall recess into Closed Session to meet with its designated labor negotiator, Fred Wilson, regarding labor negotiations with: Assistant City Manager, Chief Assistant City Attorney, Chief Financial Officer, Chief Information Officer, City Manager, Community Development Director, Community Services Director, Deputy Director of Community Development, Fire Chief, Human Resources Director, Library Services Director, Deputy Community Prosecutor, Police Chief, Assistant Police Chief, Public Works Director, as well as the elected City Attorney, City Clerk and City Treasurer. City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™12 City of Huntington Beach File #:19-557 MEETING DATE:5/6/2019 Pursuant to Government Code § 54954.5(e), the City Council shall recess into Closed Session to discuss the public employment of Interim City Manager. City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™13 City of Huntington Beach File #:19-538 MEETING DATE:5/6/2019 Charles Niederman of the Greater Huntington Beach Interfaith Council City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™14 City of Huntington Beach File #:19-333 MEETING DATE:5/6/2019 Mayor Peterson to call on Janice Frechette, Executive Director of Parentis Foundation, to present commendations to Volunteer Tutors from the Experience Corps OC literacy intervention program operated at the Boys & Girls Clubs of Huntington Valley’s Huntington Beach site for their efforts in helping first through fourth grade students improve their reading skills. City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™15 City of Huntington Beach File #:19-462 MEETING DATE:5/6/2019 Mayor Peterson to call on Councilmember Barbara Delgleize who will present proclamation to Director Richard Sanchez of Orange County Health Care Agency to proclaim May as National Mental Health Month. City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™16 City of Huntington Beach File #:19-534 MEETING DATE:5/6/2019 Mayor Peterson to present commendation to Huntington Beach High School student Ethan Hurst for his recent lifesaving effort on the south side of the Huntington Beach Pier. City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™17 City of Huntington Beach File #:19-536 MEETING DATE:5/6/2019 Mayor Peterson to call on Insurance Services Office (ISO) Western Regional Manager Stephanie Ruscansky to present the Class 1 Public Protection Classification rating. This rating is based on their recent updated evaluation of our fire department, water division and emergency dispatch center. City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™18 City of Huntington Beach File #:19-535 MEETING DATE:5/6/2019 Special recognition to outgoing Huntington Beach City Manager Fred A. Wilson. City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™19 City of Huntington Beach File #:19-526 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Alisa Backstrom, City Treasurer Subject: Receive and file the City Treasurer's March 2019 Quarterly Investment Summary Report Statement of Issue: Receive and file the City Treasurer's March 2019 Quarterly Investment Summary Report . Financial Impact: Not Applicable Recommended Action: Receive and file the City Treasurer’s Quarterly Investment Report for March 2019, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or Critique Quarterly report Analysis: Not Applicable Environmental Status: Not Applicable Strategic Plan Goal: Strengthen long-term financial and economic sustainability Attachment(s): 1. Treasurer’s Quarterly Investment Report for March 2019 2. Treasurer’s PowerPoint Report for March 2019 City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 City of Huntington BeachQuarterly Treasurer’s Report Quarter Ending: March 31, 2019 Prepared by: Alisa Backstrom, CCMT, CPFIM, City Treasurer 60 Economic and Market Overview - At 3/31/19 12-month Inflation Rate (PCE): 1.8% Unemployment stable at 3.8% Federal Reserve maintained interest rates: Fed Funds 2.25%-2.50% Equity Market Volatility 12/31/18 3/31/19 % Chg DJIA: 23,327 25,929 11.2% S&P: 2,506 2,834 13.1% 61 Interest Rates –2-year/5-year/10-year Treasury 10-year 5-year 2-year 62 Treasurer’s Mission: Preservation and Return OF Investments Governed by: •CA State Regulations •City’s Investment Policy - √ Certified by CMTA Goal: Legal/Suitable Investments •Safety •Liquidity •Market rate of return through budgetary and economic cycles 63 Portfolio SummaryAs of 3/31/19 Investment Type / Market Value: •Federal Agencies - $145.3MM •Corporate Bonds - $47.3MM •Treasury Securities - $14.9MM •Commercial Paper - $3.0MM •LAIF - $12.3MM •IADB - $16.1MM TOTAL PORTFOLIO: $238.9MM 64 Investments by TypeAs of March 31, 2019 Federal Agencies 64% Corp Bonds 18% Comm’l Paper 1% LAIF 7% Treasuries 7% IADB 3% 65 Monthly Portfolio Earnings –April 2018 to March 2019 $ in 000’s 66 Portfolio Earnings -As of March 31, 2019 Current Year - Month March, 2019: $433,089 52% vs. last year: $284,508 Current Year - Fiscal YTD Through 3/31/19: $3,159,838 38% vs. last year:$2,294,176 Effective Rate of Return March, 2019: 2.13% Benchmark*: 2.52% *12mo. moving avg. interpolated 1.5YR CMT Notes Flattening of yield curve As securities mature, reinvest at higher rates 67 Compliance The portfolio is in compliance with all relevant State regulations and the City’s Investment Policy Selected Investment Policy Requirements: Investment Type Max. Maturity Max. % of Portfolio Ratings Federal Agencies 5 yrs none AAA/Aa IADB 5 yrs 10%AAA/Aaa Corporate Bonds 5 yrs 30%A or above Commercial Paper 270 days 25%A-1/P-1 LAIF n/a $65MM per n/a account 68 City of Huntington Beach File #:19-505 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Robin Estanislau, CMC, City Clerk PREPARED BY:Robin Estanislau, CMC, City Clerk Subject: Approve and Adopt Minutes Statement of Issue: The City Council/Public Financing Authority regular meeting minutes dated April 15, 2019, required review and approval. Financial Impact: None. Recommended Action: Approve and adopt the City Council/Public Financing Authority regular meeting minutes dated April 15, 2019, as written and on file in the office of the City Clerk. Alternative Action(s): Do not approve and/or request revision(s). Analysis: None. Environmental Status: Non-Applicable. Strategic Plan Goal: Non-Applicable - Administrative Item Attachment(s): 1. April 15, 2019 CC/PFA Minutes City of Huntington Beach Printed on 5/1/2019Page 1 of 1 powered by Legistar™69 Minutes City Council/Public Financing Authority City of Huntington Beach Monday, April 15, 2019 3:30 PM - Council Chambers 6:00 PM - Council Chambers Civic Center, 2000 Main Street Huntington Beach, California 92648 A video recording of the 3:30 PM and 6:00 PM portions of this meeting is on file in the Office of the City Clerk, and archived at www.surfcity-hb.org/government/agendas/ 3:30 PM - COUNCIL CHAMBERS Due to the anticipation of time needed for Study Session, the meeting was called to order at 3:30 PM CALLED TO ORDER — 3:30 PM ROLL CALL Present: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy Absent: None ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) Pursuant to the Brown "Open Meetings" Act, Assistant City Clerk Patty Esparza announced supplemental communications received by her office following distribution of the Council Agenda packet: Study Session Item No. 1 (19-436) regarding potential Navigation Center, thirty-three (33) email communications, and a PowerPoint communication prepared by Administration titled Addressing Homelessness Navigation Center Proposal, dated 4/15/2019. PUBLIC COMMENTS PERTAINING TO STUDY SESSION / CLOSED SESSION ITEMS The number [hh:mm:ss] following the speakers' comments indicates their approximate starting time in the archived video located at http://www.surfcity-hb.org/government/agendas. Shirley Dettloff, 55 year resident of Huntington Beach, was called to speak and stated her support for Study Session Item No. 1, related to homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:01:34) Gigi Jackson, a newer resident of Huntington Beach, was called to speak and stated her support for Study Session Item No. 1, related to homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:04:10) 70 Council/PFA Regular Minutes April 15, 2019 Page 2 of 15 Howard Herdman, a 45-year resident of Huntington Beach, was called to speak and stated his support for Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:07:20) Connie Schopp, a long-time resident of Huntington Beach and homeless volunteer, was called to speak and stated her family's concerns related to Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:10:21) Kenneth Hupf, a resident of Huntington Beach who lives near the proposed homeless center, was called to speak and stated his opinions on Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:11:53) Steve Smith, a 30-year resident of Huntington Beach, was called to speak and stated his concerns about Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:13:22) Joe Brancato, a 24-year resident of Huntington Beach, was called to speak and stated his concerns about Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:16:45) Cheri Adkinson, 41-year resident of Huntington Beach, a member of Homeless United, Justice and Compassion Committee and Licensed Clinical Social Worker, was called to speak and stated her support for Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:18:50) David Ewell, a resident of Huntington Beach since 1975, was called to speak and stated his opinions on Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:21:33) Pat Goodman, a long-time homeowner in Huntington Beach, was called to speak and stated her support for Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:23:57) Karen Carroll, a long-time resident of Huntington Beach, was called to speak and stated her support for Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:26:53) Vannia Peirce, a resident of Huntington Beach for over 18 years, was called to speak and stated her concerns about Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:28:54) Michelle Kerns, a 20-year homeowner in Huntington Beach, and recovering addict, was called to speak and stated her support for Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:29:53) Bob McDonald, resident of Newport Beach and 30-year owner of Huntington Beach industrial property, was called to speak and stated his opposition to Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:32:29) 71 Council/PFA Regular Minutes April 15, 2019 Page 3 of 15 Tim Geddes was called to speak and stated his support for Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:35:47) Chris Benzen, whose family owns the property adjacent to the 15311 Pipeline property, was called to speak and stated his concerns related to Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:37:52) Guest was called to speak and stated his opinions on Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:40:59) Ralph Bauer, a long-time resident of Huntington Beach, was called to speak and stated his support for Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:43:03) David Geddes, a resident of southeast Huntington Beach, was called to speak and stated his opinions on Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:44:41) Dave Peters, Chief Executive for SCATS Gymnastics, approximately 300 yards from the Pipeline location, was called to speak and stated his opinions and concerns related to Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:47:52) Sherri Loomer, owner of a kennel business just around the corner from the Pipeline location, was called to speak and stated her opinions and concerns related to Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:50:56) Ray Holt was called to speak and stated his opposition to Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:53:47) Taylor Duc, a 30+-year resident of Huntington Beach, was called to speak and stated his opposition to Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (00:57:05) Jim Knapp was called to speak and stated his opposition to Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (01:00:19) Tammy Buck, owner of the property next to the Pipeline location, was called to speak and stated her opinions and concerns for Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (01:03:29) Mr. Buck, owner of the property next to the Pipeline location, was called to speak and stated his opinions and concerns for Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (01:06:37) Mary Jean Piersina was called to speak and stated her opinions and concerns for Study Session Item No. 1, regarding homelessness in Huntington Beach and discussion on a potential Navigation Center. (01:10:42) 72 Council/PFA Regular Minutes April 15, 2019 Page 4 of 15 STUDY SESSION 1. 19-436 Presentation regarding current challenges related to homelessness in Huntington Beach and discussion on a potential Navigation Center Lori Ann Farrell, Assistant City Manager, Michael Gates, City Attorney, Robert Handy, Chief of Police and Catherine Lukeheart, Homeless Outreach Coordinator jointly presented a PowerPoint communication entitled Addressing Homelessness - Navigation Center Proposal with slides entitled: Overview, How Did We Get Here?; Who Are The Homeless?; Point-In-Time Census and Survey - 2017 and 2019; Orange County Demographics — Point In Time Survey; What Have We Done About It?; Evolution Of City Efforts (2); Homeless Task Force Accomplishments (2); HB Homeless Demographics Information (Age, Race, Gender, Chronic Homelessness), HB Homeless Demographics Information Disabilities; The City's Impact on a Life; Countywide Challenges; Federal Lawsuits Filed Against County/Cities; Comments On Federal Authorities; Federal District Court; Limitations Placed On Anti- Camping Ordinance by Court; Which Cities or Entities Have Been Sued?; Impact of Federal Lawsuits on Cities; What If We Do Nothing?; Huntington Beach Proposed Navigation Center; What Type of Shelter Must Huntington Beach Create?; What Sites Did We Consider? Timeframe?; Looked at Industrial Areas within the City; Highlights; Who Can Use the Navigation Center?; Shelter Examples; Safety and Security; Safety & Security Key Components (3); Safety & Security Recap; Community Engagement; Open Houses and Community Meetings; Citizen Advisory Board; A Case Study — The Link: In Santa Ana; About The Link — Santa Ana; Recap; and Questions? Councilmember Brenden and Elizabeth Andrade, Chief Operations Director at Mercy House, discussed the safety and security policies and impact to the immediate neighborhood surrounding The Link in Santa Ana. Councilmember Delgleize and Ms. Andrade of Mercy House discussed additional concerns regarding policies at The Link, which has 200 beds designated for single men, single women, couples, and families and their pets. Ms. Andrade explained that Mercy House provides a comprehensive approach for the facilities they manage, including professional security, as they partner with other County resources for services such as medical and mental health care. She further explained that Navigation Center residents will be shuttled to and from the community resources they need as they focus on meeting their housing needs. Councilmember Hardy shared a number of questions which she expects to be answered at future presentations, such as: Where are the people directed who may not qualify for Navigation Center assistance? What is the process for people who may walk up to the Navigation Center? Statistically, how many people choose to walk out and not continue with the program? Could the current policy of using the beds in the City's Navigation Center for the City's homeless be changed? What if there is a need for more beds by a neighboring city and Huntington Beach has available beds? How having a Navigation Center will affect the Police Department's enforcement of anti-camping laws, and how quickly? Will there also be a need for Code changes? Councilmember Hardy asked for a process or procedure that guides City staff regarding homeless situations they may encounter in the course of doing their jobs. Councilmember Hardy asked the Outreach Officers present how they envision a Navigation Center impacting their jobs, and Officer Ricci responded that the potential of having beds available 24/7 would be helpful. Chief Handy added that he believes over time a Navigation Center will enhance efforts to clean up chronic homeless situations, and clarified that during the day parks are for everyone's enjoyment. 73 Council/PFA Regular Minutes April 15, 2019 Page 5 of 15 Ms. Andrade explained that when cities provide emergency shelters or Navigation Centers there are usually some code changes that are included in the process of establishing the centers. Councilmember Posey and Chief Handy discussed the process when enforcing the anti-camping codes, and Chief Handy clarified that providing a Navigation Center will not mean the end to homelessness or illegal camping within the City. Councilmember Posey and Chief Handy discussed that enforcement of the City's curfew has prevented the development of a large homeless encampment within the City, but that Judge Carter has made it clear those efforts could possibly be curtailed if the City does not move ahead to plan and provide for temporary housing needs. Councilmember Posey and Kellee Fritzal, Deputy Director of Economic Development, discussed the most recent Point-in-Time Count and the expectation that the number of homeless has increased, and at this time it is impossible to know if the Pipeline address would be adequate if the most recent Point-in- Time Count was used. Councilmember Posey and Ms. Fritzal discussed funding sources for operational costs, and Ursula Luna-Reynosa, Community Development Director, explained that the City's Housing Element is not certified because Huntington Beach is currently 421 units short of low, very low, and extremely low housing units according to State mandated Regional Housing Needs Allocation (RHNA). If the City's Housing Element was certified there could be a minimum of $500,000 in SB2 funding available. Councilmember Carr and Ms. Andrade discussed the concerns of the businesses in the vicinity of the proposed Navigation Center, and how those concerns were addressed at The Link in Santa Ana, as well as at another area facility which has been operational for several years. Councilmember Carr and Chief Handy discussed that it is too soon to know if there are any effects from Costa Mesa opening their homeless center and enforcing their anti-camping codes. Mayor Pro Tem Semeta and Ms. Andrade discussed how screening is done to determine a homeless individual's ties to a specific city, and policies regarding housing pets. Mayor Peterson shared issues he believes still need to be addressed, such as: Statistics that show whether or not a Navigation Center negatively impacts neighboring property values; specific sources of funding; and more details on what happens to excess beds that may available. Councilmember Brenden and Ms. Andrade discussed the length of time any individual may utilize Navigation Center resources; statistics on successful placements; percentage of people who for various reasons do not stay with the program; and Ms. Andrade stated that The Link is a facility leased by Mercy House from the private party owner. Councilmember Delgleize asked Ms. Luna-Reynosa to explain, for the public's benefit, Senate Bill (SB2) zoning and planning impact at the local level. Councilmember Hardy asked Ms. Andrade to address the situation of a resident of another city's Navigation Center requesting to be transferred to the new Navigation Center in Huntington Beach. Councilmember Posey and Ms. Fritzal discussed that affordable housing in the greater area can be considered for placing Huntington Beach Navigation Center residents. Due to the length of time needed to complete Study Session Item No. 1, Mayor Peterson called for a 15-minute recess and announced that Closed Session would be held at the conclusion of tonight's meeting. The minutes reflect action in the original agendized order. 74 Council/PFA Regular Minutes April 15, 2019 Page 6 of 15 RECESSED TO CLOSED SESSION — 8:10 PM A motion was made by Brenden, second Carr to recess to Closed Session for Items 3 – 5. With no objections the motion carried. CLOSED SESSION ANNOUNCEMENT(S) 2. 19-472 Mayor Peterson to Announce: Pursuant to Government Code § 54957.6, the City Council shall recess into Closed Session to meet with its designated labor negotiator, Fred Wilson, regarding labor negotiations with: Assistant City Manager, Chief Assistant City Attorney, Chief Financial Officer, Chief Information Officer, City Manager, Community Development Director, Community Services Director, Deputy Director of Community Development, Fire Chief, Human Resources Director, Library Services Director, Deputy Community Prosecutor, Police Chief, Assistant Police Chief, Public Works Director, as well as the elected City Attorney, City Clerk and City Treasurer CLOSED SESSION 3. 19-469 Pursuant to Government Code § 54957.6, the City Council shall recess into Closed Session to meet with its designated labor negotiator, Fred Wilson, regarding labor negotiations with: Assistant City Manager, Chief Assistant City Attorney, Chief Financial Officer, Chief Information Officer, City Manager, Community Development Director, Community Services Director, Deputy Director of Community Development, Fire Chief, Human Resources Director, Library Services Director, Deputy Community Prosecutor, Police Chief, Assistant Police Chief, Public Works Director, as well as the elected City Attorney, City Clerk and City Treasurer 4. 19-470 Pursuant to Government Code § 54956.9(d)(2), the City Council recessed into Closed Session to confer with the City Attorney regarding potential litigation. Number of cases, three (3). 5. 19-485 Pursuant to Government Code § 54956.9(d)(1), the City Council recessed into Closed Session to confer with the City Attorney regarding the following lawsuit: AKM Consulting Engineers, Inc. v. City of Huntington Beach, et al.; OCSC Case No. 30-2017-00902740. 6:00 PM - COUNCIL CHAMBERS RECONVENED CITY COUNCIL/PUBLIC FINANCING AUTHORITY MEETING — 6:36 PM ROLL CALL Present: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy Absent: None PLEDGE OF ALLEGIANCE — Led by City Manager Wilson 75 Council/PFA Regular Minutes April 15, 2019 Page 7 of 15 INVOCATION In permitting a nonsectarian invocation, the City does not intend to proselytize or advance any faith or belief. Neither the City nor the City Council endorses any particular religious belief or form of invocation. 6. 19-383 Kelly Frankiewicz, member of the Greater Huntington Beach Interfaith Council CLOSED SESSION REPORT BY CITY ATTORNEY — None AWARDS AND PRESENTATIONS 7. 19-308 Per Resolution 2016-01 Section C, Mayor Peterson called on City Clerk Robin Estanislau and Miss Huntington Beach Lily Orlando who presided over the lottery drawing for fireworks stands by selecting five qualified non-profit organizations from applications submitted in each of the following categories: Youth Sports, and Civic Organizations. The winners of the five high school booths were announced. Private High School Winner — Liberty Christian Youth Sports Winners — #10 OV Little League, #1 Marina Jr. Football/Cheer, #2 United Water Polo, #4 HB Water Polo, #6 HB Girls Softball Youth Sports Alternate Winners: #8 Sea View Little League, #12 HB Pop Warner, #5 HB Divers Civic Organization Winners — #14 Care Connections Network, #7 Lutheran Church of the Resurrection, #16 Apostolic Assembly of Faith, #11 HB Lions, #3 HB Reads One Book Civic Organization Alternate Winners — #10 Cross Pointe Church, #5 Friends of HB Jr. Guards, #6 McKenna Claire Foundation 8. 19-427 Mayor Peterson called on Huntington Beach Police Chief Robert Handy who presented the Mayor’s Award to Officer Gabe Ricci Chief Handy introduced Officer Gabe Ricci, one of 222 sworn officers in the Huntington Beach Police Department, as a great representative of the Department. Officer Ricci joined the HBPD just over 18 years ago after serving seven years in the Army as a Ranger, and he has two sons who have followed in his military footsteps. Officer Ricci has been a canine handler, a SWAT member, a founding member of the Mounted Enforcement Unit as well the Homeless Task Force. In 2018 Officer Ricci was selected as the Street Cop of the Month by his fellow employees. He has made a big difference in the lives of many homeless individuals by connecting them to appropriate services and housing, and even helping some individuals reconnect with their family. When not on duty, Officer Ricci spends his time with his wife and family of 6 children on their working farm. Officer Ricci introduced his wife Chrissy, daughter Gabby, son Brighton, and son Brandon, who just completed his military service. Officer Ricci stated that in his mind this is a team award that recognizes all the members of the Homeless Task Force. ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) Pursuant to the Brown "Open Meetings" Act, City Clerk Robin Estanislau announced supplemental communications received by her office following distribution of the Council Agenda packet: 76 Council/PFA Regular Minutes April 15, 2019 Page 8 of 15 Consent Calendar Item No. 15 – 19-393 Seven (7) email communications regarding establishing Parking Permit District "X". PUBLIC COMMENTS (3 Minute Time Limit) — 10 Speakers The number [hh:mm:ss] following the speakers' comments indicates their approximate starting time in the archived video located at http://www.surfcity-hb.org/government/agendas. Chris Benzen, owner of a building adjacent to the potential Navigation Center on Pipeline, was called to speak and asked some questions and stated his opposition to Study Session Item No. 1 19-436, regarding challenges related to homelessness in Huntington Beach and discussion on a potential Navigation Center. Mayor Peterson asked Mr. Benzen to complete a blue form for staff follow-up. (03:09:00) Tim Geddes, a 35+ yr. resident of Huntington Beach, was called to speak and stated his support for Study Session Item No. 1 19-436, regarding challenges related to homelessness in Huntington Beach and discussion on a potential Navigation Center. (03:11:45) Dr. Joslin de Diego, Children's Needs Task Force member, was called to speak and shared concerns about a Shop Off "representative" walking her neighborhood making statements as if they were facts regarding the Magnolia Tank Farm project. (03:13:59) Beverly Harrison, resident of Huntington Beach and Volunteer Advocate for Alzheimer's Orange County, was called to speak and shared facts related to aging and memory loss, specifically related to the Orange County area. Ms. Harrison announced the Orange County Leadership Forum on Aging, for Thursday, April 25, at the Garden Grove Community Center, and provided Councilmembers with the details and encouraged their attendance. (03:16:54) Donna Brandt, Therapeutic Riding Center of Huntington Beach President, was called to speak and shared the purpose and programs offered for people with physical and developmental challenges, including Reigns of Success which is a collaboration with the Huntington Beach Police Department Mounted Enforcement Unit specifically for at-risk youth. She announced their up-coming Diamonds and Dice Fundraiser on Saturday, June 1, at the Senior Center in the Park, and invited everyone to attend. (03:20:09) Marian Johnson, owner of Let's Go Fishing and Surf City Snack Bar on the Huntington Beach Pier for 27 years, was called to speak and expressed concerns that suddenly only her business has been given notice that it is being put out to bid, and asked that the City Council step in to prevent this from happening. (03:22:29) David Geddes, a resident of southeast Huntington Beach, was called to speak and stated his support for Study Session Item No. 1 19-436, regarding challenges related to homelessness in Huntington Beach and discussion on a potential Navigation Center. (03:25:37) Kathryn Levassiur, a resident of Huntington Beach, was called to speak and shared her support for Consent Calendar Item 10. (19-435) regarding the City's position of opposing Assembly Bill 1731 - Short Term Rentals: Coastal Zone; and encouraged the Council to implement a Transient Occupancy Tax (TOT) for Short Term Rentals in Huntington Beach and Sunset Beach. (03:28:49) 77 Council/PFA Regular Minutes April 15, 2019 Page 9 of 15 Diana Lindsay, long-time Huntington Beach resident and homeowner, was called to speak and shared her concerns regarding Study Session Item No. 1 (19-436), regarding the current challenges related to homelessness in Huntington Beach and discussion on a potential Navigation Center. Mayor Peterson invited Ms. Lindsay to complete a blue card for staff follow-up. (03:30:24) Connie Whitledge, a resident of Tucana Drive, was called to speak and shared personal experiences related to parking issues in her neighborhood and expressed support for Consent Calendar Item No. 15 (19-393) regarding establishing Permit Parking District "X" for residents on Tucana Drive, Taurus Lane, and a portion of Rook Drive. (03:31:35) COUNCIL COMMITTEE - APPOINTMENTS - LIAISON REPORTS, AB 1234 REPORTING, AND OPENNESS IN NEGOTIATIONS DISCLOSURES Councilmember Carr reported communications with the Huntington Beach Police Officers' Association (HBPOA). Councilmember Posey reported attending a Vector Control special meeting of the Budget, Finance and Building Facilities Committees to discuss options for their building upgrade; Southern California Association of Government (SCAG) Human Development meeting to consider ways to connect area transportation modes including walking and bicycling; reminded everyone that SCAG's Regional Housing Needs Assessment (RHNA) meetings are held the first Monday of each month in downtown Los Angeles; and the Orange County Parks Commission had a tour of the Cooper Center Lab and Clark Regional Park Interpretive Center to inspect the archeological and paleontological items collected by County staff. Councilmember Delgleize reported attending meetings of the Orange County Transit Authority (OCTA) where it was announced that the McFadden Bridge over the 405 Freeway will be completed about the end of the year, and Slater Bridge is expected to close next spring; attending the Golden West Economic Forum; AM Connect; and Orange County Council of Governments where Southern California Edison shared what they are doing to help prevent wildfires. CITY MANAGER’S REPORT — None CONSENT CALENDAR Councilmember Carr pulled Item 12 (19-349) regarding As-Needed Planning Services, and Item 15 (19- 393) regarding Permit Parking District "X" for further discussion. 9. 19-461 Approved and Adopted Minutes A motion was made by Brenden, second Delgleize to approve and adopt the City Council/Public Financing Authority regular meeting minutes dated April 1, 2019, as written and on file in the office of the City Clerk. The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None 78 Council/PFA Regular Minutes April 15, 2019 Page 10 of 15 10. 19-435 Approved City Council position on legislation pending before Congress and the State Legislature as recommended by the City Council Intergovernmental Relations Committee (IRC) A motion was made by Brenden, second Delgleize to approve a City position of Support on H.R. 976 - Air Traffic Noise and Pollution Expert Consensus Act of 2019 (Lynch); and, approve a City position of Oppose on Assembly Bill 1731 (Horvath) - Short Term Rentals: Coastal Zone. The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None 11. 19-377 Approved the Infrastructure Fund Annual Report for FY 2017-2018 A motion was made by Brenden, second Delgleize to approve the Infrastructure Fund Annual Report for FY 2017-2018. The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None 12. 19-349 Approved and authorized execution of Amendment No. 2 to Professional Services Agreement with Sagecrest Planning and Environmental, LLC for As-Needed Planning Services in the amount of $289,000 Councilmember Carr pulled this item to ask staff for clarification on why the City is understaffed and needs to outsource Planning Services. In summary, staff explained that it is more economical to use outside resources than to have to hire and release employees with the ebb and flow of the business cycles. Mayor Peterson stated that in the long-run he believes it is more economical to use outside resources and supports the study to clarify the appropriate number of employees for the department. A motion was made by Carr, second Brenden to approve and authorize the Mayor and City Clerk to execute "Amendment No.2 to Professional Services Contract between the City of Huntington Beach and Sagecrest Planning and Environmental, LLC for Professional Planning Services." The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None 13. 19-423 Approved and authorized for execution a Right-of-Way Contract with the Orange County Transportation Authority (OCTA) for the disposition of a portion of City- owned real property (APN: 142-311-34) and a temporary construction easement for the I-405 widening project 79 Council/PFA Regular Minutes April 15, 2019 Page 11 of 15 A motion was made by Brenden, second Delgleize to approve Right-of-Way Contract between the City of Huntington Beach and the Orange County Transportation Authority; and, authorize the Mayor and City Clerk to execute the Contract and other related documents; and, authorize the City Manager to execute any other escrow related documents. The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None 14. 19-424 Adopted Resolution No. 2019-12 to Acknowledge Receipt of a Fire Department Report Regarding the Annual Inspection of Certain Occupancies A motion was made by Brenden, second Delgleize to adopt Resolution No. 2019-12, "A Resolution of the City Council of the City of Huntington Beach Acknowledging Receipt of a Report by the Huntington Beach Fire Department Regarding the Annual Inspection of Certain Occupancies." The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None 15. 19-393 Adopted Resolution No. 2019-17 Establishing Permit Parking District "X" Affecting Residents on Tucana Drive, Taurus Lane, and a portion of Rook Drive Councilmember Carr pulled this item to discuss several concerns with Travis Hopkins, Director of Public Works, and Bob Stachelski, Transportation Manager. Councilmember Posey expressed the fact that parking districts usually just move the parking issues to the next street, and he agreed with Manager Stachelski that at the moment this is the best solution available. Mayor Peterson stated that this solution does eventually work. A motion was made by Peterson, second Posey to adopt Resolution No. 2019-17, "A Resolution of the City Council of the City of Huntington Beach Establishing Permit Parking District "X" Within the City of Huntington Beach." The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None 16. 19-408 Adopted Resolution No. 2019-23 identifying the FY 2019-20 projects to be funded by SB 1: The Road Repair and Accountability Act A motion was made by Brenden, second Delgleize to adopt Resolution No. 2019-23, "A Resolution of the City Council of the City of Huntington Beach Identifying the FY 2019-20 List of Projects Funded by SB 1: The Road Repair and Accountability Act." 80 Council/PFA Regular Minutes April 15, 2019 Page 12 of 15 The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None PUBLIC HEARING 17. 19-418 Approved the 2019-20 Annual Action Plan for Community Development Block Grant (CDBG) and HOME Investment Partnership (HOME) Programs City Manager Wilson introduced Economic Development Project Manager Robert Ramirez, who presented a PowerPoint communication entitled: Public Hearing to Approve 2019-2020 Annual Action Plan for HUD Funding with slides titled: 2019-20 Anticipated CDBG Allocations, CDBG Allocation Process, 2019-20 CPAB Recommendations for CDBG Funding, Public Services: 15% Cap (2), Admin, Housing & Code Enforcement, Public Improvements, and Next Steps. Mayor Pro Tem Semeta and staff discussed the numbers for the Homeless Task Force, and whether any of these funds could be used for the proposed Navigation Center costs. Mayor Peterson opened the Public Hearing. City Clerk Robin Estanislau announced that no one had signed up to speak. Mayor Peterson closed the Public Hearing. A motion was made by Delgleize, second Posey to approve the 2019-20 Annual Action Plan for Community Development Block Grant (CDBG) and HOME Investment Partnership (HOME) Program Funds; and, direct the Economic Development Committee (EDC) to make final determination if the 2019- 20 CDBG and HOME programs HUD grant allocation should increase or decrease from the anticipated grant allocation; and, authorize the City Manager to sign any and all applications and necessary documents for Federal assistance under the CDBG and HOME programs after review by the City Attorney. The motion carried by the following vote: AYES: Semeta, Brenden, Carr, Delgleize, Hardy, and Posey NOES: Peterson ADMINISTRATIVE PUBLIC HEARING 18. 19-402 Conducted Administrative Public Hearing for Annual Weed Abatement Program and authorized the Director of Public Works to proceed with abatement of public nuisance City Manager Wilson introduced Senior Administrative Analyst Debra Jubinsky who presented a PowerPoint communication entitled: Annual Weed, Rubbish, and Refuse Abatement Program with four slides titled: Program Timeline. 81 Council/PFA Regular Minutes April 15, 2019 Page 13 of 15 Councilmember Posey and Analyst Jubinsky discussed that charges are calculated on parcel size and whether or not debris like furniture or tires is uncovered and must be hauled off. Mayor Peterson opened the Public Hearing. City Clerk Robin Estanislau announced no one signed up to speak. Mayor Peterson closed the Public Hearing. A motion was made by Delgleize, second Posey to open a public hearing for any objections and protests to the proposed removal of weeds, refuse and rubbish; and following the hearing; and, authorize the Superintendent of Streets (Director of Public Works) to proceed with the abatement of said nuisance. The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None ADMINISTRATIVE ITEMS 19. 19-403 Approved for Introduction Ordinance No. 4179 adding Chapter 5.100 to the Huntington Beach Municipal Code establishing a Sidewalk Vending Permitting and Regulatory Program, repealing Ordinance No. 4177 which established an Interim Sidewalk Vending Program, and repealing Section 5.50.170(F) which prohibits Vending from a Human Powered Conveyance City Manager Wilson introduced this item and provided brief details. A motion was made by Hardy, second Delgleize to, after the City Clerk reads by title, approve for Introduction Ordinance No. 4179, "An Ordinance Of The City Of Huntington Beach Adding Chapter 5.100 To The Huntington Beach Municipal Code Establishing A Sidewalk Vending Permitting And Regulatory Program, Repealing Ordinance No. 4177, Which Established An Interim Sidewalk Vending Program, And Repealing Section 5.50.170(F) Which Prohibits Vending From A Human Powered Conveyance." The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None 20. 19-411 Adopted Resolution No. 2019-18, "A Resolution Of The City Council Of The City Of Huntington Beach Establishing A Fee For A Sidewalk Vendor Permit By Amending Resolution Nos. 2016-59, As Amended By Resolution Nos. 2017-46, 2018-01, 2018- 29, 2018-48, 2018-55, And 2019-07, Which Established A Consolidated Comprehensive Citywide Master Fee And Charges Schedule (Supplemental Fee Resolution No. 9)" City Manager Wilson introduced Gilbert Garcia, Chief Financial Officer, who explained the process for determining the one-hundred percent (100%) cost recovery Sidewalk Vending fee. 82 Council/PFA Regular Minutes April 15, 2019 Page 14 of 15 Councilmember Posey confirmed with staff the hours of operation will be 8 A.M. to 7 P.M. where sidewalk vending is allowed. A motion was made by Posey, second Semeta to adopt Resolution No. 2019-18, "A Resolution Of The City Council Of The City Of Huntington Beach Establishing A Fee For A Sidewalk Vendor Permit By Amending Resolution Nos. 2016-59, As Amended By Resolution Nos. 2017-46, 2018-01, 2018-29, 2018- 48, 2018-55, And 2019-07, Which Established A Consolidated Comprehensive Citywide Master Fee And Charges Schedule (Supplemental Fee Resolution No. 9)." The motion carried by the following vote: AYES: Brenden, Carr, Semeta, Peterson, Posey, Delgleize, and Hardy NOES: None COUNCILMEMBER COMMENTS (Not Agendized) Mayor Peterson announced that this meeting would be adjourned in memory of Steve Daniel, owner of The Rocky Mountain Chocolate Factory, a business in the Downtown area for 27 years. Mr. Daniel started the annual Downtown Halloween and Christmas celebrations, he petitioned staff and Council for the 30-minute parking program; he served on the Downtown Business Improvement District (DTBID) Board; he had a treat and bowl of water for everyone's dog; and always a big smile. Mr. Daniel is a Huntington Beach icon who will be dearly missed. Councilmember Carr reported attending the Golden West College Annual Gala, Creative Visions Closing Ceremony at the Art Center, HB Search and Rescue Explorers Fundraiser, meeting with State Senator Tom Umberg to discuss issues related to the area mobile home parks, and as Council Liaison attended the Youth Board meeting. Councilmember Brenden commented that in his opinion Mr. Daniel poured his heart and soul into improving all businesses on Main Street and offered his condolences and prayers to his family. Councilmember Brenden reported attending a League of California Cities meeting, Council on Aging Board meeting, participated in a phone call coordinated by the Association of California Cities - Orange County (ACC-OC) regarding the Orange County Housing Trust Fund, attended a Metropolitan Water District briefing for elected officials, a Town Hall sponsored by County Supervisor Michelle Steel to review renovations at John Wayne Airport, One-Year Anniversary Celebration for Grocery Outlet, The Search and Rescue Explorers Fundraiser, was a Huntington Beach Chamber of Commerce panelist to answer high school student questions about the keys to success, sharing coffee and donuts with volunteers at the Senior Center, attending the Chamber of Commerce Economic Forum at Golden West College, meeting with the Central Park Subcommittee for a Community Forum at Kathy May's Restaurant to discuss various lawsuits the City is facing regarding housing and the proposed Navigation Center, attending the Golden West Patrons Luncheon, Bolsa Chica Earth Day Festival, and the Golden West College Gala. Mayor Pro Tem Semeta reported meeting with representatives from Boeing and learning about their plans for continued presence within the City, attending three meetings related to informing businesses and residents about the proposed Navigation Center, and expressed her condolences to Mr. Daniel's family. 83 Council/PFA Regular Minutes April 15, 2019 Page 15 of 15 Councilmember Posey expressed his condolences to Mr. Daniel's family and appreciation for providing his daughter Sarah with her first job as a local college student. Councilmember Posey reported attending an open house for the proposed Navigation Center, the Golden West College Gala, and made a presentation on Huntington Beach Happenings to the Lincoln Club Legislative Affairs Committee. Mayor Peterson offered congratulations to Mia Bruckler, Isabelle Bruno and Dominique Marchant for receiving their Girl Scout Silver Award, and thanked Special Olympics for bring ing their recent event to Paséa Hotel, and thanked the surfing community who came out in force to support these athletes. Councilmember Delgleize reported attending a Sunset Beach community meeting regarding Airbnb rentals, Orange County Transportation Authority (OCTA) event to discuss transportation issues in California with Mr. DeFasio, the Federal Chairman of the Transit Board, about securing some Federal funds, and expressed her appreciation for all of the many contributions Mr. Daniel made to Huntington Beach. RECONVENED AND ADJOURNMENT in memory of Steve Daniel at 9:59 PM (no Closed Session Report) to the next regularly scheduled meeting of the Huntington Beach City Council/Public Financing Authority on Monday, May 6, 2019, at 4:00 PM in the Civic Center Council Chambers, 2000 Main Street, Huntington Beach, California. INTERNET ACCESS TO CITY COUNCIL/PUBLIC FINANCING AUTHORITY AGENDA AND STAFF REPORT MATERIAL IS AVAILABLE PRIOR TO CITY COUNCIL MEETINGS AT http://www.huntingtonbeachca.gov ______________________________________ City Clerk and ex-officio Clerk of the City Council of the City of Huntington Beach and Secretary of the Public Financing Authority of the City of Huntington Beach, California ATTEST: ______________________________________ City Clerk-Secretary ______________________________________ Mayor-Chair 84 City of Huntington Beach File #:19-439 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Antonia Graham, Assistant to the City Manager Subject: Approve the March 2019 City of Huntington Beach Strategic Plan Update Statement of Issue: The City Council held a Strategic Planning Retreat on February 7, 2019. The session, led by a facilitator included five Council Members, the City Manager, and Department Heads. The City Council developed four (4) Strategic Plan Goals and created twenty (20) Strategic Objectives. The Strategic Objectives were reviewed in a public meeting and through consensus by the City Council Members present, compiled into a draft Strategic Plan grid. Financial Impact: Not applicable. Individual Strategic Objectives which have a budgetary impact will be considered separately. Recommended Action: Approve the March 2019 Strategic Objectives Update as contained within Attachment 1. Alternative Action(s): Amend or reject the Strategic Objectives Update and direct staff accordingly. Analysis: In 2009, the City Council began an annual strategic planning process to develop consensus on a Mission Statement, Three-Year Goals, and corresponding Priority Strategic Objectives. This process is ongoing and is a critical component of maintaining the City in a fiscally sustainable manner. In fulfilling this process, the City Council met on February 7, 2019, to review and update the Three-Year Goals and their Priority Strategic Objectives. The Three-Year Goals are organized into four categories as follows: ·Enhance and maintain high quality City services ·Enhance and maintain the infrastructure ·Strengthen long-term financial and economic sustainability ·Enhance and modernize public safety service delivery City of Huntington Beach Printed on 5/1/2019Page 1 of 2 powered by Legistar™85 File #:19-439 MEETING DATE:5/6/2019 Each of these categories includes a list of Six-Month Strategic Objectives. The Strategic Objectives contained in the matrix all gained consensus at the Strategic Planning Retreat. Additionally, the Strategic Objectives were brought forth to City Council on March 4, 2019, where they were approved in their entirety. The attached Strategic Objectives Matrix contains a status and comments column that are updated to reflect the most recent activity on each item that was identified at the Council Strategic Planning Session. The status is reported to Council monthly. Environmental Status: Not Applicable. Strategic Plan Goal: Enhance and maintain high quality City services Enhance and maintain the infrastructure Strengthen long-term financial and economic sustainability Enhance and modernize public safety service delivery Attachment(s): 1. City of Huntington Beach Strategic Objectives -March 2019 Update City of Huntington Beach Printed on 5/1/2019Page 2 of 2 powered by Legistar™86 A CITY OF HUNTINGTON BEACH 12-MONTH STRATEGIC OBJECTIVES February 7, 2019 – February 1, 2020 THREE-YEAR GOAL:Enhance and maintain high quality City services WHEN WHO WHAT STATUS COMMENTS DONE ON TARGET REVISED 1. By May 15, 2019 Assistant City Manager (lead), Economic Development Director and Police Chief Present to the City Council for action an updated 10-Point Plan for addressing homelessness and report the results to the City Council.X Staff is currently updating the 10-Point Plan, including community input, for the May Study Session. 2. By July 1, 2019 Assistant City Manager, working with the Chief Financial Officer Develop and present to the City Council for consideration participation in the Orange County Housing Trust. X The Orange County Housing Trust was adopted by the County of Orange in March 2019. 3. By August 1, 2019 Community Services Director (lead), City Manager and City Attorney Review current municipal codes related to community services and provide to the City Council recommendations that would allow the City to enhance public services.X CS & PD have met to identify specific codes in need of revisions. 4. By Oct. 1, 2019 Human Resources Director, with input from each Department Director Review and evaluate the results of the Succession Planning Survey and provide a summary report, with recommendations, to the City Council for review and evaluation. X Staff will discuss in the context of FY 2019-20 Proposed Budget discussion. 87 B 5. By August 1, 2019 Assistant to the City Manager, working with the Assistant City Manager, Information Services Director, Chief Financial Officer and Public Information Officer Present to the City Council a plan for the transition out of PCTA (Public Cable Television Authority). X A transition team meets weekly and has developed a schedule of deliverables in order to meet the July 27, 2019, transition deadline. 6. By August 15, 2019 Community Services Director Present to the City Council at a study session the draft Public Art Master Plan. X Working with CM and Finance to procure consultant services. Plan date of completion by October 1, 2019. 7. By December 15, 2019 Community Development Director Bring Phase II of the Zoning Code update to the City Council for consideration. X 88 C THREE-YEAR GOAL:Enhance and maintain the infrastructure WHEN WHO WHAT STATUS COMMENTS DONE ON TARGET REVISED 1. By June 1, 2019 Public Works Director, working with the Community Services Director Utilizing the Parks Master Plan, prioritize next year’s proposed improvements and present to the City Council as a part of the 2019-2020 budget.X Park improvements have been requested in the budget process and will be discussed during the Study Sessions for the FY 2019- 20 Budget. 2. By Sept. 1, 2019 Assistant City Manager (lead), Chief Information Officer and Public Works Director Develop and present to the City Council for action a Broadband Master Plan for the installation of fiber throughout the city.X A working group has been identified to develop recommendations to present to the City Council in September 2019. 3. By Aug. 1, 2019 Public Works Director, working with the Community Development Director and Police Chief Hold a study session on the feasibility of developing a citywide Traffic Mitigation Plan. X 4. By December 1, 2019 Chief Information Officer and Public Works Director Develop and present to the City Council for action a plan for the selection of an Enterprise Asset Management System.X 5. By February 1, 2020 Library Services Director (lead) and Public Works Director Conduct a City Council study session to share the results of the library facility assessment and present a draft Library Facilities Master Plan.X Draft RFP being developed. 89 D THREE-YEAR GOAL:Strengthen long-term financial and economic sustainability WHEN WHO WHAT STATUS COMMENTS DONE ON TARGET REVISED 1. By May 20, 2019 Deputy Director of Economic Development Provide update to City Council on plan to redevelop Boeing site. X Met with Sares-Regis on the purchase of Phase II (50 acres). 2. By Sept. 1, 2019 Assistant City Manager (lead), Community Development Director and City Attorney Conduct a study session on opportunities and challenges associated with short-term rentals. X Staff is assembling information in order to provide a comprehensive cost benefit analysis by September 2019. 3. By July 1, 2019 City Manager, Assistant City Manager and Chief Financial Officer Recommend to the City Council for action the use of one-time money for long-term liabilities. X Recommendation for the use of one-time funds to expedite the pay-down of unfunded liabilities will be presented as part of the FY 19-20 Budget. 4. By Oct. 1, 2019 Assistant City Manager (lead), Economic Development Director, Community Development Director, Police Chief, and Fire Chief. Conduct a City Council study session regarding the pros and cons of the cannabis economy, with the exception of dispensaries and cultivation, along with a cost-benefit analysis.X Staff preparing analysis and to conduct the cost benefit analysis. 90 E THREE-YEAR GOAL:Enhance and modernize public safety service delivery WHEN WHO WHAT STATUS COMMENTS DONE ON TARGET REVISED 1. By April 15, 2019 By May 22, 2019 Fire Chief and Chief Financial Officer Present to the City Council for consideration a revised EMS fee schedule that aligns with rates in Orange County and reflects best practices. X Date change to May 22. 2. By May 15, 2019 Public Works Director and Police Chief Recommend to the City Council for action the award of a contract for the design of the Police Headquarters Modernization Project.X Approved by the City Council on 3-18-19 3. By August 1, 2019 Police Chief and Chief Information Officer Bring to the City Council for action a proposal for replacement of the CAD/RMS system.X Project team members attended vendor demos in March. 4. By September 1, 2019 Assistant City Manager (lead), Police Chief and Chief Financial Officer Present funding options to the City Council to enhance funding for additional police staffing.X 91 City of Huntington Beach File #:19-530 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Ursula Luna-Reynosa, Director of Community Development Subject: Dissolution of the Ad Hoc Historic Wintersburg Committee Statement of Issue: In 2012, the City Council created the Ad Hoc Historic Wintersburg Committee (Wintersburg Committee). The goals of the Wintersburg Committee were to work with interested individuals to collect funds to preserve and relocate buildings that were designated to be demolished on Nichols Lane at Warner Avenue. The Wintersburg Committee met from 2012 until roughly September 2017 when the Wintersburg Committee was de facto dissolved by virtue of time, change in composition, and goals. In order to avoid any further confusion as to status of this group, this Council Action formally dissolves the Ad Hoc Committee until further authorized by City Council. Financial Impact: There is no fiscal impact. Recommended Action: Dissolve the Ad Hoc Historic Wintersburg Committee. Alternative Action(s): Do not approve the recommended action and direct staff accordingly. Analysis: The Wintersburg property is owned by Republic Services and is located at the southeast corner of Warner Avenue and Nichols Lane. The five-acre property was sold to Republic Services (at the time Rainbow) by the Furuta Family in 2004. At the July 16, 2012, City Council Meeting, Council Member Boardman brought an agenda item that “requested that staff include an analysis of relocation of historic buildings designated to be demolished on Nichols Street at Warner Avenue as part of the Focused Environmental Impact (FEIR) for this project.” At this meeting a discussion ensued at the dais about Council’s ability to create an ad hoc committee to raise funds for preservation and relocation. City Council approved creation of an ad hoc Historic Wintersburg Committee including three Council Members (Shaw, Harper, and Boardman) for the specific purpose of raising funds to preserve and relocate the buildings on the property that were designated to be demolished. It appears the intent of Council was that theCity of Huntington Beach Printed on 5/1/2019Page 1 of 2 powered by Legistar™92 File #:19-530 MEETING DATE:5/6/2019 buildings on the property that were designated to be demolished. It appears the intent of Council was that the Wintersburg Committee would remain active for 18 months. During this time, the Wintersburg Committee could try to raise funds to either 1) buy the property should the property owner agree, or 2) move the structures to a new location. The City created a Donations Historic Wintersburg Fund (the “Fund”) to receive donations for the purpose of the Wintersburg Committee.The Fund was closed by the City on September 30, 2015. A variation of the group continued to meet as a “Community Group” (see City web site attached hereto) with citizen members (not appointed by the City Council.) The last noticed meeting of the citizen group occurred in October of 2017. In 2017, the Wintersburg Committee was de facto dissolved and became an independent group of citizens. Under the current form, this group of citizens is not a City created organization. Staff is recommending that the City Council formally dissolve the Ad Hoc Committee. Environmental Status: The action by the City Council to dissolve the Ad Hoc Committee is not a project pursuant to Section 15378 of the CEQA Guidelines. Strategic Plan Goal: Non-Applicable - Administrative Item Attachment(s): 1. Text from City webpage City of Huntington Beach Printed on 5/1/2019Page 2 of 2 powered by Legistar™93 Attachment 2 – Text from previous City webpage The Historic Wintersburg Preservation Task Force is a “Community Group” with “Citizen Members not appointed by the City Council” and dedicated to pursuing the historic preservation alternatives for the Historic Wintersburg property (Warner-Nichols) which includes the Furuta goldfish and flower farm and Wintersburg Japanese Mission. The City Council members serving as liaisons to the community group in 2019 are Council Member Jill Hardy and Council Member Kim Carr, https://www.huntingtonbeachca.gov/files/users/city_clerk/2019_Council_Liaison_List_.pdf The property and its six structures are designated in the City of Huntington Beach General Plan as eligible for the National Register of Historic Places. Historic Wintersburg was named one of America's 11 Most Endangered Historic Places in 2014, designated a National Treasure in 2015 by the National Trust for Historic Preservation, Washington, D.C., and in 2017 named as one of Orange County’s Most Endangered Historic Places, https://www.preserveorangecounty.org/endangered-places/2017/9/21/historic-wintersburg The Historic Wintersburg property is located at the southeast corner of Warner (once Wintersburg) Avenue and Nichols Lane. The five-acre property includes the 1912 home of Charles Mitsuji and Yukiko Furuta, as well as the Furuta barn (circa 1908-1912); the Wintersburg Japanese Mission (1909-1910); the Manse (clergy member home, 1910); and the Wintersburg Japanese Church (1934). This property is a rare, extant Japanese American pioneer settlement and is the sole remaining parcel in Huntington Beach owned by a Japanese immigrant family prior to the C alifornia Alien Land Law of 1913 (overturned in 1956). The U.S. National Park Service and the National Trust for Historic Preservation also have noted the property as eligible for the National Register of Historic Places. The Historic Wintersburg structures were proposed for demolition by the previous property owner, Rainbow Environmental Services, aka Rainbow Disposal, and remain endangered. In 2013, the City Council and the then-property owner, Rainbow Environmental Services, agreed to provide an 18-month window to allow the Historic Wintersburg Preservation Task Force time to raise funds to either 1) buy the property should the property owner agree, or 2) move the structures to a new location. After the certification by the Huntington Beach City Council in November 2013 of the Environmental Impact Report (EIR) regarding the rezoning and demolition of all six structures, the Ocean View School District filed a lawsuit which, among other restrictions, blocked any actions on the Historic Wintersburg property. Republic Services purchased Rainbow Disposal and its properties in late 2014, which presented new circumstances. The settlement of the three-year litigation by the Ocean View School District with the new owner, Republic Services, includes permanent restrictions on development of the Historic Wintersburg property, as well as provisos regarding the sale of the property. Settlement of this 94 Attachment 2 – Text from previous City webpage litigation allowed negotiations to acquire and preserve the property to restart in early 2017. The Ocean View School District has stated they support full preservation as a heritage park. Republic Services has indicated they plan no development and are open to the purchase of the property for historic preservation purposes. Any changes to the Historic Wintersburg property, including demolition of or relocation of the historic structures, will trigger a review by the California Environmental Quality Act (CEQA). The Historic Wintersburg Preservation Task Force is partnered with two national organizations, the National Trust for Historic Preservation and the Trust for Public Land, and its preservation also is supported by organizations such as the Japanese American National Museum and Japanese American Citizens League. As of 2019, the ongoing discussions with Repub lic Services are to purchase the property for preservation as a historic site and community public park. LEARN MORE about Historic Wintersburg and its preservation project at the Facebook page LEARN MORE More information regarding the history and the chronology of the preservation effort can be found on the Wikipedia page for Historic Wintersburg and on the web page for Historic Wintersburg with the National Trust for Historic Preservation, https://savingplaces.org/places/historic-wintersburg#.XHW6mbh7mM9 City staff liaison: Ricky Ramos, rramos@surfcity-hb.org 95 City of Huntington Beach File #:19-523 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Chris Slama, Interim Director of Community Services Robert Handy, Chief of Police Subject: Adopt Resolution No. 2019-20 adopting an amended Uniform Bail Schedule for Parking Violations Statement of Issue: At the December 17, 2018, City Council meeting, Resolution 2018-83 amending the Uniform Bail Schedule was adopted. At the same meeting, the first reading of Ordinance No. 4143 was also introduced which included new sections to the Huntington Beach Municipal Code (HBMC sections 10.50.020 and 10.52.010). When the second reading of Ordinance No. 4143 was approved on January 22, 2019, the previously adopted Resolution 2018-83 did not include the associated bail amounts required to enforce the newly approved HBMC sections 10.50.020 and 10.52.010. Therefore, there is now a need to rescind Resolution 2018-83 and adopt Resolution 2019-20 that includes the recommended bail amounts for the newly approved HBMC sections 10.50.020 and 10.52.010. Financial Impact: The City will receive additional revenue from HBMC sections 10.50.020 and 10.52.010. Because these are newly established violations, there is no historical data that could provide the basis for a revenue estimate. The revenue received by the City each year will be dependent upon the number of citations that are issued. Recommended Action: Adopt Resolution No. 2019-20, “A Resolution of the City Council of the City of Huntington Beach Adopting an Amended Uniform Bail Schedule for Parking Violations.” Alternative Action(s): Do not approve the recommended action and direct staff accordingly. Analysis: At the December 17, 2018, City Council meeting, the City Council adopted Resolution 2018-83 City of Huntington Beach Printed on 5/1/2019Page 1 of 3 powered by Legistar™96 File #:19-523 MEETING DATE:5/6/2019 amending the Uniform Bail Schedule for certain parking violations (Attachment 1). At the same meeting, the first reading of Ordinance No. 4148, an Ordinance amending chapters of the Municipal Code relating to On-street Parking Meter Zones and Off-Street City Parking Lots was also approved. The second reading of Ordinance No. 4148 was approved at the January 22, 2019, meeting, and later became effective February 21, 2019. However, at that time, the associated bail amounts needed to enforce HBMC sections 10.50.020 and 10.52.010 were not included in the previously adopted Resolution 2018-83. Therefore, in order to enforce the new code violations included in Ordinance No. 4148, the corresponding recommended bail amounts must be adopted by way of City Council Resolution, thereby necessitating the need to rescind Resolution 2018-83 and adopt Resolution 2019-20 (Attachment 2). Ordinance No. 4148 included additions to sections 10.50.020 (Payment of Charges Required) and 10.52.010 (Regulations Regarding Off-Street City Parking Lots). A summary of the new HBMC sections and recommended bail amounts is provided below. Resolution 2019-20: 10.50.020 (b) - Off Street Parking - No valid permit $58 No person shall park or leave standing any vehicle upon any off-street City pay parking lot at any time without payment of the fees, rates and charges established for the use of the lot by Resolution of the City Council. 10.50.020 (d) - Off Street Parking - Curfew $42 The payment of fees to a parking meter or pay station does not exempt a person or vehicle from receiving a citation for violation of the posted curfew. 10.52.010 (b) - Off Street Parking Obstruct Traffic $42 No person shall obstruct the flow of traffic in any off-street City parking lot. 10.52.010 (c) - Off Street Parking Obstruct Entrance $42 No person driving, in control of, or in charge of, a motor vehicle shall obstruct any entrance or any right of way in any off-street City parking lot. Environmental Status: Not applicable Strategic Plan Goal: Strengthen long-term financial and economic sustainability Attachment(s): 1) Resolution 2018-83, “A Resolution of the City Council of the City of Huntington Beach adopting an Amended Uniform Bail Schedule for Parking Violations.” 2) Resolution 2019-20, “A Resolution of the City Council of the City of Huntington Beach adopting an Amended Uniform Bail Schedule for Parking Violations.” City of Huntington Beach Printed on 5/1/2019Page 2 of 3 powered by Legistar™97 File #:19-523 MEETING DATE:5/6/2019 City of Huntington Beach Printed on 5/1/2019Page 3 of 3 powered by Legistar™98 99 100 101 102 103 10.40.030 Parking in Parkway $42 10.40.050 (c)No Parking/Red Curb/Sign Posted $61 10.40.050 (d) Street Sweeping $46 10.40.060 No Parking Over 72 Hours $90 10.40.080 Repairing Vehicle on Street $52 10.40.200 (a)Diagonal Parking $42 10.40.240 (b)No Stopping Zone $43 10.44.010 Taxi at Green Curb $42 10.44.020 24 Minute Zone $42 10.44.060 (a)Oversized vehicle over 22 feet- First violation $82 10.44.060 (a) Oversized vehicle over 22 feet- Second violation $164 10.44.060(a) Oversized vehicle over 22 feet- Third violation $246 10.44.060(b) RV on the street- First violation $82 10.44.060 (b)RV on the street-Second violation $164 10.44.060(b) RV on the street- Third violation $246 10.48.050 (c)White Curb $42 10.48.090 Yellow Curb $42 10.48.100 Passenger Loading Zone $42 10.48.110 Alley Parking $52 10.50.020 (b)Off Street Parking- No valid permit $58 10.50.020 (d)Off Street Parking- Curfew $42 10.52.010 (a)Off Street Parking Designated Space $42 10.52.010 (b)Off Street Parking Obstruct Traffic $42 10.52.010 (c)Off Street Parking Obstruct Entrance $42 10.52.010 (f)Off Street Parking Reserved Parking $42 10.64.060 Out of Space in Metered Area $42 10.68.020 Expired Meter/Business $58 10.68.030 Expired Meter/Residential $58 10.68.040 Expired Meter/Recreational $58 13.08.300 (b)No Parking 10pm-5am except by permit $42 13.08.300 (k)Reserved Parking - Beach Lot $42 13.48.060 Vehicles in Park $52 21113 (a) CVC Public Grounds $55 22500 (a) CVC Parked in Intersection $55 22500 (b) CVC Crosswalk $55 22500 (e) CVC Driveway $55 22500 (f) CVC Sidewalk $55 22500 (h) CVC Double Parking $55 22500 (L) CVC Blocking/on Handicap Ramp $356 22500.1 CVC Fire Lane Parking $77 22502 (a) CVC Curb Parking $55 22505 (b) CVC No Parking/Signs Posted/State Highway $55 22507.8 (a) CVC Handicapped Parking $356 22507.8 (c)(2) CVC Handicap Hashmarks $356 22514 CVC Fire Hydrant $55 4000 (a)(1) Expired Registration $82 5204 (a) No Current Tab $31 CITY OF HUNTINGTON BEACH UNIFORM BAIL SCHEDULE FOR PARKING VIOLATIONS EXHIBIT A 104 City of Huntington Beach File #:19-512 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Travis K. Hopkins, PE, Director of Public Works Subject: Accept the lowest responsive and responsible bid and authorize execution of a construction contract with Sancon Engineering, Inc. in the amount of $503 ,179 for the Fiscal Year 18/19 Sewer Lining Project, CC-1570 Statement of Issue: On April 16, bids were publically opened for the Fiscal Year 18/19 Sewer Lining project. City Council action is requested to award the construction contract to Sancon Engineering, Inc., the lowest responsive and responsible bidder. Financial Impact: Funds are available in Sewer Fund account 51189002.82600. Recommended Action: A) Accept the lowest responsive and responsible bid submitted by Sancon Engineering, Inc. in the amount of $503,179; and, B) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney. Alternative Action(s): Reject all bids, or provide staff with an alternative action. Analysis: The Engineering and Utilities Division coordinate the need for rehabilitation of existing sewer pipes based on maintenance history and video inspection. The scope of work for the project includes lining approximately 22,500 lineal feet of aged sewer main lines identified as a priority this year. The locations would benefit from lining,as the existing pipes are either coated with calcium deposits from groundwater seepage through minor cracks and joints, or have joints offset by tree roots from adjacent mature trees,located in parkways. These deposits and roots, which inhibit flow, will be removed prior to lining. Lining of the pipes is a trenchless operation performed by inserting a liner City of Huntington Beach Printed on 5/1/2019Page 1 of 2 powered by Legistar™105 File #:19-512 MEETING DATE:5/6/2019 removed prior to lining. Lining of the pipes is a trenchless operation performed by inserting a liner inside the existing pipe to extend its service life. Bids were publicly opened on April 16, 2019, with the following results: BIDDER'S NAME BID AMOUNT Sancon Engineering, Inc.$503,179.00 Insituform Technologies, Inc.$688,325.00 Nu-Line Technologies, LLC $717,115.80 Southwest Pipeline & Trenchless Corp $747,613.35 Staff recommends awarding a contract to Sancon Engineering, Inc. in the amount of $503,179. Sancon Engineering, Inc. has provided acceptable sewer lining construction in 2017 for the FY 16/17 Sewer Lining project. The total project cost is estimated to be $554,000, which includes the construction contract, project management, and construction contingency. Environmental Status: The project is categorically exempt pursuant to Class 1, section 15031c of the California Environmental Quality Act. Strategic Plan Goal: Enhance and maintain infrastructure Attachment(s): 1. Location Map City of Huntington Beach Printed on 5/1/2019Page 2 of 2 powered by Legistar™106 107 City of Huntington Beach File #:19-479 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Travis K. Hopkins, PE, Director of Public Works Subject: Accept the lowest responsive and responsible bid and authorize execution of a construction contract with C.S. Legacy Construction, Inc. in the amount of $1,205,095 for the Murdy Park Reconfiguration Project, CC-1587 Statement of Issue: On April 9, bids were publically opened for the Murdy Park Reconfiguration Project. City Council action is requested to award the construction contract to C.S. Legacy Construction, Inc., the lowest responsive and responsible bidder. Financial Impact: Funds are available in the current fiscal year budget in the Park Development Impact Fund account 22845003.82900. Recommended Action: A) Accept the lowest responsive and responsible base bid submitted by C.S. Legacy Construction, Inc. in the amount of $1,205,095; and, B) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney. Alternative Action(s): Reject all bids, or provide staff with an alternative action. Analysis: On March 19, 2018, City Council approved the updated Murdy Park Master Plan (Attachment #1). As part of the approved plan, the front turf area of the Park will be reconfigured to support a new, 120’ x 240’ multi-use youth sports field. The sports field area will be improved with ball containment fencing, City of Huntington Beach Printed on 5/1/2019Page 1 of 3 powered by Legistar™108 File #:19-479 MEETING DATE:5/6/2019 240’ multi-use youth sports field. The sports field area will be improved with ball containment fencing, benches,sports field lighting as well as pedestrian lighting. The existing skate park and basketball courts will be preserved. The existing picnic shelter will be demolished. In its place, a bocce ball court area will be constructed. Placing bocce ball courts in the area will promote a more positive use of the area and create a safer, family-use environment. Minor grading to remove one of the berm areas is also included in the project. New sidewalks, electrical conduit as well as landscaping and irrigation will be installed to complete the improvements to the Park. Bids were publicly opened on April 9, 2019, with the following results: BIDDER'S NAME BID AMOUNT (Amount Read at Bid Opening and Basis of Award) C.S. Legacy Construction, Inc.$1,205,095.00 Green Giant Landscape Inc.$1,275,000.00 Horizons Construction $1,347,000.00 KASA Construction Inc.$1,364,333.00 Calpromax Engineering Inc.$1,448,000.00 YAKAR $1,572,430.00 HYM Engineering , Inc.$1,631,000.00 Golden Phoenix Construction Co., Inc.$1,844,000.00 Woodcliff Corporation $1,878,000.00 California Building Evaluation & Construction Inc.$2,224,100.00 Aramexx Construction $2,727,000.00 The engineer’s estimate for the project is $1,500,000. Staff recommends awarding a contract to C.S. Legacy Construction Inc. in the amount of $1,205,095.00. C.S. Legacy Construction Inc. has provided acceptable parks construction in 2019 for the City of Goleta and in 2018 for the City of Santa Monica. The total project cost is estimated to be $1,600,000.00, which includes the construction contract, project management, construction contingency, and supplemental services (soils and materials testing). Environmental Status: The project is categorically exempt pursuant to Class 1, section 15031c of the California Environmental Quality Act. Strategic Plan Goal: Enhance and maintain infrastructure Attachment(s): 1. Council Minutes- March 19, 2018 2. Murdy Park Location Map City of Huntington Beach Printed on 5/1/2019Page 2 of 3 powered by Legistar™109 File #:19-479 MEETING DATE:5/6/2019 City of Huntington Beach Printed on 5/1/2019Page 3 of 3 powered by Legistar™110 Minutes City Council/Public Financing Authority City of Huntington Beach Monday, March 19, 2018 4:00 PM -Council Chambers 6:00 PM -Council Chambers Civic Center, 2000 Main Street Huntington Beach, California 92648 A video recording of the 4:00 PM and 6:00 PM portion of this meeting is on file in the Office of the City Clerk, and archived at www.surfcity-hb.org/government/agendas/ 4:00 PM -COUNCIL CHAMBERS CALLED TO ORDER -4:00 PM Pursuant to Resolution No. 2001-54, Councilmember Brenden requested, and was granted, permission to be absent from tonight's meeting. ROLL CALL Present: Absent: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy Brenden ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) Pursuant to the Brown "Open Meetings" Act, City Clerk Robin Estanislau announced supplemental communications that were received by her office following distribution of the Council Agenda packet: Study Session Item No. 1: 1) A PowerPoint communication entitled HB Plan to Address Homelessness, an Update on Homelessness from the City's Homeless Task Force, dated March 19, 2018 2) A communication received from Ralph Bauer entitled Some Thoughts About Homelessness. PUBLIC COMMENTS PERTAINING TO STUDY SESSION I CLOSED SESSION ITEMS (3 Minute Time Limit) - 2 Speakers The number {hh:mm:ss] following the speakers' comments indicates their approximate starting time in the archived video located at http://www. surfcity-hb. orglgovernmentlagendas. Ralph Bauer was called to speak and provided a brief historical review of the organizations and volunteers available and willing to reach out to the homeless. He further stated that in his opinion the City has yet to establish a written plan, and actions to date are inadequate to the challenge. Mr. Bauer requested that the City provide a better response to homelessness. (00:01 :39) Jeff Lebow, a longtime resident, was called to speak and stated his opinion that the homeless issue is only going to get worse, and he encouraged Huntington Beach to be a leader for Orange County in providing solutions that all cities can participate in. He stated his opinion that the County is responsible for health and welfare, and each city must participate to successfully deal with the homeless tsunami. (00:04:10) 111 STUDY SESSION Council/PFA Regular Minutes March 19, 2018 Page 2of18 1. A plan to address homelessness was presented by City staff and other outside agencies involved with the Huntington Beach Homeless Task Force City Manager Wilson deferred to Assistant City Manager Lori Ann Farrell who introduced the team who worked on this ongoing project. They presented a PowerPoint communication entitled: HB Plan to Address Homelessness which included slides titled: Homeless Plan Highlights, Who Are The Homeless?, HUD Definition of Homeless, Multiple Segments of Homeless Population, No One Size Fits All -Multiple Solutions Required -Transitional Youth Case, No One Size Fits All -Multiple Solutions Required -Elderly Homeless Case, Complex Issues Require Complex Solutions, Homeless in Huntington Beach, Point-in-Time Census and SuNey OveNiew, Orange County Demographics -Point In Time SuNey, Huntington Beach Demographics -Point In Time SuNey, What Have We Done About It?, 2013 Initial Efforts, 2014 Additional Efforts, 2015 Additional Efforts, 2016 Additional Efforts, 2017 Additional Efforts, 2018 New and Upcoming Efforts, Homeless Task Force, HB's Steps for Success, Homeless Task Force Results -2016 and 2017, Homeless Task Force Results -2017 Snapshot (2), HB Task Force Success Story, Community Homeless Task Force Recommendations, Community Task Force Recommendations and Implementation, City Commitments to Housing, City Funded Housing - Existing Inventory and Funding, The Cost of Homelessness (3), HB Plan to Address Homelessness, 10 Point Plan to Address Homelessness, Increase Public Private Partnerships (2), Create an "HB Fund for the Homeless," Increase Opportunities for Additional Funding, Expand Partnership with County and Central SeNice Area Cities, Summary and Next Steps, and Questions Councilmember Delgleize and staff discussed the typical response to the Task Force newsletter and confirmed that in 2017 approximately $6,000 to $7,000 in donations were received. Councilmember Delgleize suggested that the City look into hiring a Homeless Case Manager, possibly in coordination with a neighboring city. Councilmember Delgleize also described working solutions being used by area cities as examples of what Huntington Beach may want to consider. She thanked all of the people who have been working to combat issues related to homelessness. Councilmember Semeta and staff discussed how categories of need and numbers are determined, and communicating with available resource centers. Regarding grant opportunities, Deputy Director of Economic Development Kellee Fritzal confirmed there is an ongoing effort to locate funding possibilities. Councilmember Hardy requested that all Council Members receive the Task Force newsletter. Councilmember O'Connell and Police Chief Handy discussed that the cost of homelessness is much less than the cost of incarceration. Council member O'Connell stated that California does have funding available to assist people with substance abuse issues through a grant program that shares funds with the city and the non-profit providing the service. Mayor Posey expressed appreciation for an opportunity to do a ride-along with Officers Ricci and Schloss which provided him with a greater understanding of the homeless situation. He also thanked the staff and volunteers for their ongoing efforts and tonight's presentation. Catherine Lukehart, Homeless Outreach Coordinator, invited anyone wanting to get involved to contact her by email or phone at: Catherine.Lukehart@surfcity-hb.org or 714.536.5583 112 RECESSED TO CLOSED SESSION -5:04 PM Council/PFA Regular Minutes March 19, 2018 Page 3of18 A motion was made by O'Connell, second Hardy to recess to Closed Session for Items 2 -8. With no objections, the motion carried. Mayor Posey Announced: Pursuant to Government Code§ 54957.6, the City Council takes this opportunity to publicly introduce and identify designated labor negotiator, City Manager Fred Wilson, who will be participating in today's Closed Session discussions regarding labor negotiations with: Management Employees' Organization (MEO), and Surf City Lifeguard Employees' Association (SCLEA). CLOSED SESSION 2. Pursuant to Government Code§ 54956.9(d)(1), the City Council recessed into Closed Session to confer with the City Attorney regarding the following lawsuit: Vanessa Martinez v. City of Huntington Beach, Orange County Superior Court Case No. 30-2016-00845460. 3. Pursuant to Government Code§ 54956.9(d)(1 ), the City Council recessed into Closed Session to confer with the City Attorney regarding the following lawsuit: The Kennedy Commission, et al. v. City of Huntington Beach, Orange County Superior Court Case No. 30-2015-00801675, Court of Appeal Case No. E066605, California Supreme Court Case No. S245855. 4. Pursuant to Government Code§ 54956.9(d)(1), the City Council recessed into Closed Session to confer with the City Attorney regarding the following lawsuit: Sunny Kang v. City of Huntington Beach, et al., Orange County Superior Court Case No. 30-2013- 00626834. 5. Pursuant to Government Code§ 54956.9(d)(1), the City Council recessed into Closed Session to confer with the City Attorney regarding the following lawsuit: Angela Hernandez v. City of Huntington Beach, et al., U.S. District Court Case No: 8:17-cv-01257 AG (KESx). 6. Pursuant to Government Code§ 54956.9(d)(1), the City Council recessed into Closed Session to confer with the City Attorney regarding the following lawsuit: Michael and Todd Bartlett v. City of Huntington Beach, et al., Orange County Superior Court Case No. 30- 2015-00778560. 7. Pursuant to Government Code§ 54957.6, the City Council recessed into Closed Session to meet with its designated labor negotiators and Fred Wilson, City Manager regarding the following: Management Employees' Organization (MEO), and Surf City Lifeguard Employees' Association (SCLEA). 8. Pursuant to Government Code §54956.9(d)(2) the City Council recessed into Closed Session to confer with the City Attorney regarding potential litigation. Number of cases, two (2). 6:00 PM -COUNCIL CHAMBERS RECONVENED CITY COUNCIL/PUBLIC FINANCING AUTHORITY MEETING -6:32 PM 113 Council/PFA Regular Minutes March 19, 2018 Page 4of18 Pursuant to Resolution No. 2001-54, Councilmember Brenden requested, and was granted, permission to be absent from tonight's meeting. ROLL CALL Present: Absent: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy Brenden PLEDGE OF ALLEGIANCE -Led by Councilmember Semeta INVOCATION -Kelly Frankiewicz, MDiv, Leisure World Community Church, Seal Beach and member of the Greater Huntington Beach Interfaith Council In permitting a nonsectarian invocation, the City does not intend to proselytize or advance any faith or belief. Neither the City nor the City Council endorses any particular religious belief or form of invocation. CLOSED SESSION REPORT BY CITY ATTORNEY-None AWARDS AND PRESENTATIONS Mayor Posey presented a commendation to the Waterfront Beach Resort, a Hilton Hotel, General Manager Paulette Fischer for her years of service. Ms. Fischer recently welcomed and registered the first guest for the new tower, just as she had done more than 20 years ago for the first guest at the hotel's grand opening. Scott O'Hanlan, Director of Marketing and Public Relations, Waterfront Beach Resort, introduced Paulette as a life-long resident of Huntington Beach who graduated from Edison High School and started as the Front Desk Concierge 27 years ago. Paulette expressed her appreciation for the opportunity to represent the Waterfront Beach Resort, and the City of Huntington Beach through the years, and thanked Mayor Posey for the recognition. Mayor Posey called on representatives from the HB Auto Dealers Association for the selection of the 2018 winner of the $25,000 Opportunity Drawing for a new vehicle, and an additional prize, a year's worth of Sonic Burgers. Pete Shaver, owner of Huntington Beach Chrysler, Dodge, Jeep and Ram, recognized the local non-profits as beneficiaries of the Opportunity Drawing: Fountain Valley/Huntington Beach Boys and Girls Club, 0. C. Motor Officers' Association, Huntington Beach Police Department, Huntington Beach Fire Association, Huntington Beach Chamber of Commerce, Huntington Beach Kiwanis Club, Bolsa Chica Conservancy, Elks Lodge, Taste of Huntington Beach, and Huntington Beach High School Boosters. The Huntington Beach Hilton and Cucina Alessa were also major contributors. Including the $25,000 donated car, a total of $95,000 was raised. Tim Quickerberg represented Sonic Drive-In, 17811 Beach Boulevard, which provided a year's worth of hamburgers for a second place winner. Mayor Posey pulled a ticket with Adam Blake's name, Huntington Beach resident, as the winner of the car. Mr. Quickerberg pulled a ticket with Bill Summerfield's name, a Murietta resident, as the winner of a year of hamburgers. Mayor Posey called on Library Services Director Stephanie Beverage who presented the Mayor's Award to Library Specialist, Robin Ott. Robin started as a Page at the Library 37 years ago, and has become the public face of the Library on Channel 3. Twenty years ago she was promoted to Branch Manager, and has worked as Manager at the Helen Murphy, Main Street, and Banning Branches. This recognition acknowledges her care, dedication and attention through the years. 114 Council/PFA Regular Minutes March 19, 2018 Page 5of18 ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) Pursuant to the Brown "Open Meetings" Act, City Clerk Robin Estanislau announced supplemental communications that were received by her office following distribution of the Council Agenda packet: Consent Calendar Item No. 10 -Email communication received from Pat Quintana related to AB 2003 -Public Contracts; Sanitation Districts. Items for Public Hearings will be announced during the Public Hearings. PUBLIC COMMENTS (3 Minute Time Limit) -11 Speakers The number [hh:mm:ss] following the speakers' comments indicates their approximate starting time in the archived video located at http://www.surfcity-hb.org/governmentlagendas. Maureen was called to speak and shared a past personal experience related to communicating with the Police Chief and Dispatch about people begging on a street corner and what she perceived as a lack of response. (01 :30:34) Craig was called to speak and voiced concerns about the presence of hidden meth labs across southern California. (01 :32:53) Barbara Haynes, Huntington Beach Public Art Alliance, was called to speak and shared details about the current student art contest. Working in conjunction with the Environmental Board, all middle and high school students are invited to create pieces based on the environment using any media they choose. Application forms are available at hbpublicart.org and winners will be selected in May. (01 :36:02) Debbie Killey, resident and Environmental Board Chair, was called to speak and stated her support for Consent Calendar Item No. 4, the appointment of Diana Dehm to the Environmental Board. She also shared her excitement for the student art contest which is co-sponsored by the Environmental Board and Huntington Beach Public Art Alliance, and thanked the City for their support for the recent Fix-It Clinic held at Central Library. (01:37:10) Bob Wentzel, Huntington Beach Kiwanis President, was called to speak and thanked Pete Shaver and the Huntington Beach Auto Dealers Association for the successful fundraiser. He also announced the Kiwanis Family Funday fundraiser on March 31 at Central Park Sports Complex which will feature "Dunk Tank A Public Official." (01 :39:09) Lynn Dav.is, resident, was called to speak and shared details related to what she perceives as a lack of adequate storm drains on Bolsa Chica Street in front of Cabo Del Mar. She provided pictures to show the accumulation of rainwater which forms a lake over the sidewalk, and asked for assistance to get this situation remedied. Mayor Posey asked her to complete a blue card for follow-up. (01 :41 :26) Robert Redaelli was called to speak and stated his support for Consent Calendar Item No. 7 regarding an update to the Murdy Park Master Plan to include bocce ball courts. (01 :42:48) Dave Shenkman, Kite Connection on the Pier, was called to speak and provided a report on the recently successful Kite Party at the beach, as well as the kite making opportunity at the Cherry Blossom Festival in Central Park. He also asked the Council to consider hosting the Japan-America Society Fall Kite Event. Mayor Posey asked him to complete a blue card for follow-up. (01 :44:07) 115 Council/PFA Regular Minutes March 19, 2018 Page 6of18 Gerald Chapman, 30-year resident, was called to speak and stated his opposition to the Planning Commission's granting of a variance on December 12, 2017, to allow the property owner to exceed the two feet cut and fill restriction identified in the area's specific plan. (01:46:19) Blake Adham was called to speak and stated his opposition to the recent Orange County Board of Supervisors' decision to install a "temporary" homeless encampment in Huntington Beach, and encouraged the City to fight against allowing this to happen. (01 :47:54) Diana Dehm was called to speak and stated her appreciation at being considered for an appointment to the Environmental Board. (01 :50:22) COUNCIL COMMITTEE -APPOINTMENTS -LIAISON REPORTS, AB 1234 REPORTING, AND OPENNESS IN NEGOTIATIONS DISCLOSURES Councilmember Hardy announced her appointment of Jane Hudson to the Citizen's Infrastructure Advisory Board (CIAB), and recognized the Huntington Beach Reads One Book program where author Regina Calcaterra will discuss her life story as described in Etched in Sand on Thursday, March 22"d at 7:00 PM at the Central Library. Councilmember Hardy encouraged people to shop at Barnes and Noble before March 24 as a percentage of sales for anyone who mentions HB Reads will be donated to support the HB Reads program. Councilmember Delgleize reported attending an Orange County Transit Authority Board meeting where it was announced that a northwest part of Huntington Beach has been selected for a pilot program making a wheelchair-friendly Access bus available by appointment. This program is expected to be available at the beginning of summer. Mayor Pro Tern Peterson reported that the Sanitation District uses digesters, which are being replaced, and there is no open-air composting. He stated that someone from the Sanitation District will attend the Southeast Area meeting on Wednesday, March 28th, 4:30 p.m. to answer questions. Council member Semeta, as a Council Liaison, reported attending a Visit HB Board meeting where it was announced that the contract for the City's new wayfinding signs program will be finalized this week. Councilmember O'Connell reported visiting Sacramento with the Association of California Cities - Orange County (ACC-OC) and meeting with Matt Rodriguez, Secretary of the California Environmental Protection Agency. He also reported attending the Visit HB Summit. Mayor Posey reported attending a meeting of the Vector Control Board and announced that Huntington Beach has no reported cases of West Nile Virus. He also reported being in Sacramento with the ACC- OC and meeting with a number of state officials to discuss topics of local interest. 1. Approved Amendments to City Council Boards and Commissions' Liaison Appointments A motion was made by Peterson, second Delgleize to approve amendments to the Boards and Commissions Appointments List as presented by Mayor Posey. (The City Clerk certifies that FPPC Form 806 "Agency Report of Public Official Appointments" which is used to report additional compensation that officials receive when appointing themselves to positions on committees, boards or commissions of a public agency, special district and joint powers agency or authority was posted to the City's website according to law prior to this vote.) The motion carried by the following vote: 116 Council/PFA Regular Minutes March 19, 2018 Page 7of18 AYES: NOES: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None ABSENT: Brenden CITY MANAGER'S REPORT City Manager Wilson announced that Youth in Government Day (YIGD) will take place on Tuesday, March 20. YIGD provides an opportunity for approximately 100 high school students to discover how local government operates. Manager Wilson explained that there will be a mock City Council meeting, as well as the opportunity to meet with department heads. Manager Wilson thanked The Boeing Company for being Title Sponsor and underwriter of this exciting event. CITY CLERK'S REPORT 2. Presentation on the Safe and Sane Fireworks Stand Application and Lottery Process for 2018 City Clerk Robin Estanislau presented a PowerPoint communication entitled: Safe and Sane Fireworks Stand Application and Lottery Process 2018 with slides entitled, 2018 Fireworks Stand Application/Lottery Process (7), and Questions? City Clerk Robin Estanislau also announced that Barbara Haynes of HB Preserve Our Past was successful in recently locating a newsprint photo of Mayor Elson G. Conrad who served as the 13th Mayor of Huntington Beach in 1931. His photo has now been added to the Mayors' Gallery at the entrance to Council Chambers. CONSENT CALENDAR Mayor Posey stated verbally his support of Consent Item #4 and his belief that Diana Dehm will be a great addition to the Environmental Board. 3. Approved and adopted minutes A motion was made by Posey, second Peterson to approve and adopt the City Council special meeting minutes dated February 13, 2018, and the City Council/Public Financing Authority regular meeting minutes dated February 20, 2018, as written and on file in the Office of the City Clerk. The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 4. Approved the appointment of Diana Dehm to the Environmental Board as recommended by Council Liaisons Mayor Posey and Councilmember Delgleize A motion was made by Posey, second Peterson to approve the appointment Diana Dehm to the Environmental Board as recommended by Council Liaisons Mayor Posey and Councilmember Delgleize. Diana Dehm will fill the seat left vacant by Kim Nicolson, her term will expire on June 30, 2019. The motion carried by the following vote: 117 AYES: NOES: ABSENT: Council/PFA Regular Minutes March 19, 2018 Page 8of18 O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 5. Approved Fiscal Year 2016/17 Year End Preliminary Unaudited General Fund Balance Designations and Inter-fund Transfers A motion was made by Posey, second Peterson to approve the assignment of preliminary FY 2016/17 year-end General Fund Balances in the amounts and for the purposes indicated in Attachment 1, including the assignment and transfer of $2.0 million to the Infrastructure Fund for Police facility enhancements; and, approve $1.4 million in year-end inter-fund transfers for the Fiscal Year 2016/17 Revised Budget in the Funds and by the amounts contained in Attachment 2; and, increase appropriations for the FY 2017/18 Revised Budget by $708,681 in the Funds and amounts contained in Attachment 3 to reconcile the budget with actual expenses incurred. The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 6. Approved FY 2016/17 Year-End Budget Adjustments for the Workers' Compensation Internal Service Fund A motion was made by Posey, second Peterson to approve the appropriation of $422,723 in the Fiscal Year 2016/17 Revised Budget in the General Fund (100) and transfer to the Self Insurance Workers' Compensation Internal Service Fund (551); and, approve an appropriation increase to record the increased liability and actual expenses incurred in the Self Insurance Workers' Compensation Internal Service Fund (551) of $6.4 million. The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 7. Approved an update to the Murdy Park Master Plan to include bocce ball courts A motion was made by Posey, second Peterson to approve an update to the Murdy Park Master Plan to reconfigure the existing picnic shelter area to install new bocce ball courts as presented. The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 8. Approved appropriation and funding to install new rubberized surfacing at Peter Green Park as recommended by the Community Services Commission (CSC) 118 Council/PFA Regular Minutes March 19, 2018 Page 9of18 A motion was made by Posey, second Peterson to approve the installation of new rubberized surfacing at Peter Green Park; and, authorize the appropriation of $110,000 from Park Impact Fee Fund 228 to account 22845010 to complete the project. The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 9. Awarded and authorized execution of a construction contract in the amount of $716,400 to CJ Concrete Construction, Inc. for the FY 17/18 Curb Access Ramp Installation Project, CC-1566, approve appropriation of Community Development Block Grant (CDBG) funds and an amendment to the FY 2017/18 Capital Improvement Program (CIP) A motion was made by Posey, second Peterson to accept lowest responsive and responsible bid submitted by CJ Concrete Construction, Inc. in the amount of $716,400; and, allocate prior year unallocated CDGB Funds from business unit 121982003 ($82,532) and 123580101 ($57, 125) and appropriate to CDBG account 23985722.82300; and, approve an amendment to the FY 17/18 Capital Improvement Program (CIP) to include $266,546 in CDBG funding for the 17 /18 Curb Access Ramp Installation Project, CC 1566; and, authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney. The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 10. Approved City Council Position on Legislation pending before Congress and the State Legislature as recommended by the City Council Intergovernmental Relations Committee (IRC), and adopt Resolution No. 2018-02 supporting the Reducing Crime and Keeping California Safe Act of 2018 A motion was made by Posey, second Peterson to approve a City position of Oppose on Assembly Bill 1759 (McCarty) -General Plans Housing Element; and, approve a City position of Oppose on Senate Bill 827 (Weiner) -Transit Rich Housing Bonus; and, approve a City position of Support if Amended on Assembly Bill 2050 (Caballero) Small System Water Authority Act of 2018; and, approve a City position of Support on Assembly Bill 2003 (Daly) -Public Contracts: Sanitation Districts; and, approve a City position of Oppose on Senate Bill 831 (Wieckowski) -Accessory Dwelling Units; and, approve a City position of Oppose on Assembly Bill 2162 (Chiu & Daly) -Planning and Zoning: Housing Development Supportive Housing; and, approve a City position of Support on Senate Bill 1031 (Moorlach) -Public Employees' Retirement -Cost of Living Adjustments; and, authorize City staff and the City's State Advocate to work with State Senator Janet Nguyen on Spot Bill 1299 (Nguyen) -State Property; and, authorize a support position for the National Priority Listing of the Orange County North Basin Site as requested by the Orange County Water District; and, adopt Resolution No. 2018-02, "A Resolution of the City Council of the City of Huntington Beach Supporting the Reducing Crime and Keeping California Safe Act of 2018." The motion carried by the following vote: 119 AYES: NOES: ABSENT: Council/PFA Regular Minutes March 19, 2018 Page 10of18 O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 11. Adopted Resolution No. 2018-10 declaring weeds and rubbish a nuisance on specific properties and fixing April 16, 2018 at 6:00 p.m. for hearing protests and objections to the abatement thereof A motion was made by Posey, second Peterson to adopt Resolution No. 2018-10, "A Resolution of the City Council of the City of Huntington Beach Finding and Declaring That Certain Weeds Growing in the City, and Rubbish and Refuse Deposited on Public Ways and Private Property are a Public Nuisance; and Fixing the Time for Hearing Protests and Objections to the Abatement Thereof," including Exhibit A: 2018 Weed Abatement -Vacant Parcels Private Ownership. The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 12. Adopted Resolution No. 2018-15 adopting the Measure M2 Expenditure Report to comply with Renewed Measure M2 funding eligibility for the City of Huntington Beach A motion was made by Posey, second Peterson to adopt Resolution No. 2018-15, "A Resolution of the City Council of the City of Huntington Beach Adopting the Measure M2 Expenditure Report for the City of Huntington Beach." The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 13. Adopted Resolution No. 2018-16 certifying that the City has the resources to implement the projects to be included in the 2018 Federal Transportation Improvement Program (FTIP) as required by the Orange County Transportation Authority (OCTA) A motion was made by Posey, second Peterson to adopt Resolution No. 2018-16, "A Resolution of the City Council of the City of Huntington Beach Certifying That the City Has the Resources to Fund the Projects in the FFY 2018/19 -2023/24 Transportation Improvement Program and Affirms Its Commitment to Implement All Projects in the Program." The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 14. Approved and authorized execution of a License Agreement between the City of Huntington Beach and Orange County California Genealogical Society for use of City- owned Genealogical materials 120 Council/PFA Regular Minutes March 19, 2018 Page 11of18 A motion was made by Posey, second Peterson to approve the "License Agreement by and between the City of Huntington Beach and the Orange County California Genealogical Society for Use of City-owned Genealogical Materials;" and, authorize the Mayor, City Manager, and City Clerk to execute the License Agreement on behalf of the City. The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 15. Adopted Ordinance No. 4154 amending Chapter 2.70 of the Huntington Beach Municipal Code (HBMC) relating to Openness in Labor Negotiations Approved for introduction 212012018 -Vote: 7-0 A motion was made by Posey, second Peterson to adopt Ordinance No. 4154, "An Ordinance of the City of Huntington Beach Amending Chapter 2. 70 of the Huntington Beach Municipal Code Relating to Openness in Labor Negotiations." The motion carried by the following vote: AYES: NOES: ABSENT: PUBLIC HEARINGS O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 16. Continued to April 2nd request to adopt Resolution Nos. 2018-17, 2018-19 and 2018-20 to set municipal utility rates for water, and approve for introduction Ordinance No. 4157 amending Section 14.12.040 of Chapter 14.12 of the Huntington Beach Municipal Code (HBMC) regarding water meter rates and commodity rates, and approve for introduction Ordinance No. 4158 amending Section 14.54.040 and 14.54.060, deleting sections 14.54.110 and 14.54.120 and Chapter 14.55 of the Huntington Beach Municipal Code (HBMC) regarding sewer service user charges City Manager Wilson introduced Senior Administrative Analyst Chris Davis who presented a PowerPoint communication entitled: Water and Sewer Rate Adjustment with slides entitled: Water Rates Background (2), Water Master Plan, Rate Study Recommendations, Beginning Reserve Balance, Value of our Water Infrastructure (2), WMP Projects & Costs, Water Master Plan Fund Balance, Capital Surcharge Recommendation, Water Supply, Water Meter Rate, Water Meter Charges, Impacts of Proposed Adjustment on a Single Family Residence, Comparison of Monthly Water Bills, Sewer Rates (2), Proposition 218 Procedures, Recommended Actions, Next Steps, and Questions? City Engineer Tom Herbel presented the "Value of our Water Infrastructure" portion of the presentation. Mayor Pro Tern Peterson and Public Works Director Travis Hopkins discussed that if federal funds are secured for these infrastructure expenses, the proposed fee increases could be reduced. Councilmember Delgleize and Director Hopkins discussed that the surcharge was put into place in 1995 and continued until 2007. Since 2007, there has been no capital surcharge. Councilmember Delgleize 121 Council/PFA Regular Minutes March 19, 2018 Page 12of18 further expressed her concern that federal funds are a temporary source, and she believes there needs to also be a more permanent source of revenue. Mayor Posey voiced his observation that it appears the Construction Cost Index (CCI) is increasing much faster than the Consumer Price Index (CPI). Engineer Herbel stated that from his observation of construction in the area, such as the 405 Freeway widening project, there is going to be enough demand for construction products and staff to probably ensure continued increases in the CCI, which has increased 15 percent since 2012. Council member Semeta and staff discussed that billing according to meter size affects just commercial accounts because all residential accounts use the same meter size. Councilmember O'Connell and staff discussed concerns regarding charges for family multi-unit vs. single-family residences. Staff explained that the water bill consists of two parts: a fixed meter charge plus the amount of commodity used, and a single-family residence may use more water because of landscape requirements. Councilmember Semeta requested that the Finance Commission provide an analysis on the material presented before the next City Council meeting when a vote is expected to take place. Mayor Posey opened the Public Hearing for Item 16. City Clerk Robin Estanislau announced Supplemental Communications (received after distribution of the Agenda Packet) for Item 16: 1. 59 Protest Letters regarding water meter rates, commodity rates and sewer services user charges. 2. A PowerPoint communication entitled, Water and Sewer Rate Adjustment dated March 19, 2018. Public Hearing for Item 16-5 Speakers Erik Faraldo, representing Huntington Landmark, a senior community with over 1,200 units, was called to speak and stated opposition to Item No. 16, the proposed municipal water and sewer service user charges. (02:35:28) Ted Ross, resident, was called to speak and stated his opposition to Item No. 16, the proposed municipal water and sewer service user charges. Mr. Ross stated that using a regional Consumer Price Index (CPI) rather than the national CPI, in his opinion, results in a double taxation afforded by Sacramento. (02:36:14) Connie Ngo was called to speak and stated opposition to Item No. 16, the proposed municipal water and sewer service user charges, and asked that the Council consider the poor, elderly, and lower middle class residents who will be most impacted by increased costs. (02:38:04) Lynn Davis, Huntington Beach resident and rental property owner, was called to speak and stated opposition to Item No. 16, the proposed municipal water and sewer service user charges. Ms. Davis stated that in her opinion there are enough new development projects that should offset the need for increased rates. (02:41: 18) Kim Carr, Public Works Commission member and City Council Candidate in 2018, was called to speak and stated support for Item No. 16, the proposed municipal water and sewer service user charges. Ms. Carr stated that Public Works has been very successful in securing major funding from federal and 122 Council/PFA Regular Minutes March 19, 2018 Page 13of18 regional agencies to help cover infrastructure maintenance and repair costs. In her opinion, it is best to ensure necessary funds are available in the future by using nominal, incremental increases, rather than depending upon outside agencies. (02:43:05) There being no more speakers, Mayor Posey closed the Public Hearing for Item 16. A motion was made by Semeta, second O'Connell to continue the item to April 2!'d and forward staff report material to the Finance Commission for analysis. FIVE AFFIRMATIVE VOTES ARE REQUIRED TO ADOPT THE RESOLUTIONS AND ORDINANCES PER HEAL TH AND SAFETY CODE SECTION 5471 The motion as amended carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 17. Approved Substantial Amendment No. 3 to the City of Huntington Beach 2015-20 Consolidated Plan for Housing and Urban Development (HUD) Programs and Amendment No. 1 to FY 2017-18 Annual Action Plan for the Community Development Block Grant (CDBG) and Home Investment Partnership (HOME) Program to coincide with the City's new Fiscal Year City Manager Wilson confirmed that this item is needed to change to the new fiscal year, July 1 to June 30, for HUD, and action to move $126,000 to the ADA project which was approved on the Consent Calendar. Mayor Posey opened the Public Hearing for Item 17. City Clerk Robin Estanislau announced no one had signed up to speak. Mayor Posey closed the Public Hearing for Item 17. A motion was made by O'Connell, second Delgleize to approve Substantial Amendment No. 3 to the City of Huntington Beach 2015-20 Consolidated Plan and Amendment No. 1 to the FY 2017-18 Annual Action Plan for the Community Development Block Grant and Home Investment Partnership Programs; and, authorize the City Manager to sign all necessary documents. The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 18. Approved Zoning Text Amendment (ZTA) No. 17-006 by approving for introduction Ordinance Nos. 4131, 4132, 4133, 4144, 4145, and 4146 to remove references to the California Government Code in certain sections of the Huntington Beach Zoning and Subdivision Ordinance (HBZSO) 123 Council/PFA Regular Minutes March 19, 2018 Page 14of18 City Attorney Gates introduced this item as a response to a request made by Councilmembers Semeta and Peterson in September 2017 to remove unnecessary references to the "California Government Code" to maintain consistency and clarity with the City's desire for local control. Mayor Posey opened the Public Hearing for Item No. 18. City Clerk Robin Estanislau announced no one had signed up to speak. Mayor Posey closed the Public Hearing for Item No. 18. A motion was made by Semeta, second O'Connell to approve Zoning Text Amendment No. 17-006 with findings (Attachment No. 1 ); and, after the City Clerk reads by titles, approve for introduction Ordinance No. 4131, "An Ordinance of the City of Huntington Beach Amending Chapter 201 of the Huntington Beach Zoning and Subdivision Ordinance Relating to the Purpose of the Zoning and Subdivision Ordinance" (Attachment No. 2); Ordinance No. 4132, "An Ordinance of the City of Huntington Beach Amending Chapter 203 of the Huntington Beach Zoning and Subdivision Ordinance Relating to Code Relating to Definitions" (Attachment No. 3); Ordinance No. 4133, "An Ordinance of the City of Huntington Beach Amending Chapter 215 of the Huntington Beach Zoning and Subdivision Ordinance Relating to the Specific Plan District Established" (Attachment No. 4); Ordinance No. 4144, "An Ordinance of the City of Huntington Beach Amending Chapter 215 of the Huntington Beach Zoning and Subdivision Ordinance Relating to Status of Specific Plan" (Attachment No. 5); Ordinance No. 4145, "An Ordinance of the City of Huntington Beach Amending Chapter 222 of the Huntington Beach Zoning and Subdivision Ordinance Relating to Statutory Authorization" (Attachment No. 6); and, Ordinance No. 4146, "An Ordinance of the City of Huntington Beach Amending Chapter 230.14 of the Huntington Beach Zoning and Subdivision Ordinance Relating to Affordable Housing Density Bonus" (Attachment No. 7). The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden 19. Approved for introduction Ordinance No. 4159 approving Zoning Text Amendment No. 16- 002 (Ellis-Goldenwest Specific Plan Equestrian Trail Realignment); approved Land Transfer Agreement between the City of Huntington Beach and Courtney Dubar; approved a Special Easement Agreement for the Du bar property; approved Special Easement Agreement for the Gath property; approved Resolution of Intent Nos. 2018-08, 2018-11 and 2018-13 to vacate certain easements on the Dubar property; and, established April 16, 2018, as time for Public Hearing City Attorney Gates recused himself from this matter because he owns property in the neighborhood, announced that Chief Assistant Attorney Vigliotti would represent the City Attorney's office for this matter, and left the dais. City Manager Wilson introduced Assistant Planner Nicolle Bourgeois who presented a PowerPoint communication entitled: Ellis-Goldenwest Specific Plan Area with slides entitled: Subject Areas, Background, Requests, Zoning Text Amendment No. 2016-002, Existing SP?, Proposed SP7, Equestrian Trail Connections, ZTA No. 16-002: Analysis (2), Property Exchange(3), Property Exchange Analysis(2), Special Easement Agreements & Easement Vacation, Existing Easements Currently Held by the City(2), Existing Easements Currently Held by the City to be Vacated, Easements to be Dedicated to 124 Council/PFA Regular Minutes March 19, 2018 Page 15of18 the City, Net End Result, Easement Vacation & Special Easement Agreements Analysis:, Entitlements Heard by the Planning Commission, Summary, and Staff Recommendation. Mayor Posey opened the Public Hearing for Item No. 19. City Clerk Robin Estanislau announced there were six (6) people signed up to speak, and the following Supplemental Communication was received by her office after distribution of the Agenda packet: Public Hearing Item No. 19: 1. Interdepartmental Communication received from Public Works Director Travis Hopkins submitting the signed Special Easement Agreement with the City of Huntington Beach and Donald Gath. 2. A PowerPoint communication entitled Ellis-Goldenwest Specific Plan Area dated March 19, 2018. Public Hearing Speakers - 6 Gerald Chapman was called to speak and asked how the water, sewer line and equestrian easements were approved for the wrong place in the original development. Mr. Chapman asked City Council to follow the Planning Commission's Minutes action and fund the equestrian trail completion. (03:07:46) John Scandura, Planning Commission Chair, was called to speak and stated that on December 12, 2017, the Planning Commission recommended the City Council approve Zoning Text Amendment (ZTA) No. 16-002. Mr. Scandura further stated that the swale area was originally intended to become common open space per the Specific Plan, however the developer never purchased the encyclopedia lots in the swale to dedicate as open space. The new ZTA shows the horse trail routed around the Dubar property on easements which are twice as wide as those currently running through the Dubar property. The Planning Commission also approved asking the City to budget funds to maintain, improve and provide signage on these horse trails since the City will own them, not the Edwards Hill HOA. It is the opinion of the Planning Commission that these easements conform to the General Plan. (03: 10: 18) Mary Behrens, owner/operator of the Equestrian Center, was called to speak and introduced Justine Makoff, Equestrian Center boarder, Co-Founder of Free Reign non-profit, and resident in the neighborhood. Ms. Behrens stated how important the equestrian trails are, and Ms. Makoff expressed concern about how the City will be held accountable for maintaining safe trails. Ms. Behrens also stated that these trails are used by the whole community as people walk their dogs, ride their bikes and ride their horses on them. (03: 13: 13) Les Hubner, resident for 34 years, was called to speak and stated he has used these trails for 14 years and supports Public Hearing Item No. 19. Mr. Hubner further stated that in his opinion this is the safest and most used horse trail area, and he fully supports this realignment. (03:14:50) Joanne Milichich, friend to long-time residents and original owners in the neighborhood, was called to speak and stated in her opinion there are a lot of unanswered questions about this situation. Ms. Milichich expressed concerns about the community remaining equestrian focused, and raised the issue of how increased traffic will be handled if Mr. Dubar decides to build additional homes on his property. Ms. Milichich further stated that it is her understanding that three lots originally belonged to Dubar, and she wonders what the real plan is. (03: 16:01) Ryan Easter, Paul Mary Tyler, Legal Counsel for the Dubars, was called to speak and stated that the Planning Commission unanimously recommended approval for this project because the project makes sense. It is Mr. Easter's opinion that the current 8 foot easements are useless to the public, and this project corrects the Specific Plan and provides new easements that reflect horse trails as they are 125 Council/PFA Regular Minutes March 19, 2018 Page 16of18 currently being used. This project is a significant net gain for the City and the community. Mr. Easter also stated that the City requested the land swap. (03: 19:07) There being no more public speakers, Mayor Posey closed the Public Hearing for Item 19. Councilmember Hardy and staff discussed the area grading variance which was approved by the Planning Commission does not get forwarded to City Council. In regards to possible new development on the lots towards Ellis that are open space, staff confirmed that the Specific Plan requires a minimum of ten (10) acres, or two non-contiguous five-acre parcels, and these encyclopedia lots are just under 5 acres. Other development considerations are meeting open space corridor requirements, access for development, and the drainage swale and storm drain which run through the center of these encyclopedia lots. Chief Assistant Attorney Vigliotti stated that City Council would have to act in order to close down any equestrian trail. Councilmember Delgleize and staff discussed 10-foot utility easement requirements from years past compared to current 20-foot utility easements. Staff confirmed that the City will be responsible for maintaining the trails, and Councilmember Delgleize stated her concern about the cost, as well as the potential liabilities. Staff confirmed that these concerns could be addressed in more detail at a future meeting. A motion was made by Semeta, second Peterson to find the proposed project exempt from the California Environmental Quality Act (CEQA) pursuant to City Council Resolution No. 4501, Class 20, which supplements the California Environmental Quality Act, and pursuant to section 153061 (B)(3) of the CEQA Guidelines, because the requests are covered by the general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment (Attachment No.1 ); and, approve Zoning Text Amendment No. 16-002 with findings and after the City Clerk reads by title, approve for introduction Ordinance No. 4159, "An Ordinance of the City of Huntington Beach Amending SP? (Ellis-Goldenwest Specific Plan) by Amending the Equestrian Trail Alignment (Zoning Text Amendment No. 16-002)." (Attachments No. 1, 2, 3, 4, and 5); and, 1) declare the four City-owned parcels as surplus property; 2) approve and authorize the Mayor, City Manager, and City Clerk to execute an Agreement for Exchange of Real Property and Escrow Instructions and all other related documents with Thomas Courtney Dubar (Attachment No. 6); and, 3) authorize the City Manager to execute all required escrow documents to effectuate the exchange of parcels; and, approve and authorize the Mayor and City Manager to execute the "Special Easement Agreement between the City of Huntington Beach and Thomas Courtney Dubar" (Attachment No. 8) and, record the Special Easement Agreement with the Orange County Recorder; and, approve and authorize the Mayor and City Manager to execute the "Special Easement Agreement between the City of Huntington Beach and Donald Gath" (Attachment No. 9) and, record the Special Easement Agreement with the Orange County Recorder; and, 1) adopt Resolution No. 2018-08, "A Resolution of the City Council of the City of Huntington Beach Declaring Intent to Process a General Street Vacation of that Certain Public Use Easement Over The Entire Width of Lots A, Band C of The Fairview Addition to Huntington Beach," (Attachment No. 10); 2) adopt Resolution No. 2018-11, "A Resolution of the City Council of the City of Huntington Beach Declaring Intent to Process a General Street Vacation of that Certain 8-Foot Wide Equestrian Trail Easement Over Portions of Lots A, Band C of The Fairview Addition to Huntington Beach," (Attachment No. 11 ); 3) adopt Resolution No. 2018-13, "A Resolution of the City Council of the City of Huntington Beach Declaring Intent to Process a General Street Vacation of that Certain 15-Foot Wide Sewer Easement Over A Portion of Lot C of The Fairview Addition to Huntington Beach," (Attachment No. 12); and, establish a time for the Public Hearing of April 16, 2018, for all persons interested in or objecting to the proposed easement vacations listed above. 126 The motion carried by the following vote: Council/PFA Regular Minutes March 19, 2018 Page 17of18 AYES: NOES: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None ABSENT: Brenden ADMINISTRATIVE ITEMS 20. Approved City of Huntington Beach Strategic Plan Update City Manager Wilson presented a recap of the Strategic Objectives as defined in a Special Meeting held on February 13, 2018, and briefly shared a PowerPoint communication entitled City of Huntington Beach Strategic Objectives (February 13, 2018-January 1, 2019), with slides entitled: Improve Quality of Life, Enhance and Maintain Infrastructure, Strengthen Economic and Financial Sustainability, Enhance and Maintain Public Safety, and Enhance and Maintain City Service Delivery. Mayor Pro Tern Peterson stated support for this process that, in his opinion, provides more transparency, as each goal requires staff to report back to City Council to allow for discussion and public feedback. A motion was made by Peterson, second O'Connell to approve the February 13, 2018, Strategic Objectives as contained within Attachment 1. The motion carried by the following vote: AYES: NOES: ABSENT: O'Connell, Semeta, Peterson, Posey, Delgleize, and Hardy None Brenden COUNCILMEMBER COMMENTS (Not Agendized) Councilmember Hardy reported attending the STEM Fair sponsored by the AirShow Foundation, encouraged any middle or high school teachers interested in starting a Cyberpatriot program to contact her to be put in touch with other Cyberpatriot advisors, attended the opening of Seaview Little League, congratulated Huntington Valley Little League on their 50th season, and announced that HB Reads One Book event details for this week can be found at HBReads.org, She participated in Read Across America to celebrate Dr. Seuss's birthday by reading a book to students at Peterson Elementary, congratulated the students who participated in the Huntington Beach City School District coding competition, and will be actively involved in tomorrow's Youth In Government Day at City Hall. Councilmember Delgleize reported holding a third meeting with Council member Brenden of the Air Traffic Noise Working Group, and after a few more meetings there will be a public report. She reported attending a United to End Homeless meeting in conjunction with United Way and UC Irvine, participated in the Association of California Cities -Orange County (ACC-OC) Sacramento Advocacy trip, attended the Grand Opening of the Orange County Animal Shelter, an ACC-OC meeting on Pension Reform where Assistant City Manager Lori Ann Farrell made an excellent presentation, and concluded her comments by highly recommending the very talented production of Young Frankenstein by the Huntington Beach Academy for the Performing Arts. Mayor Pro Tern Peterson reported attending the Southeast Area Police Update meeting which included the six officers who routinely patrol that area, the excellent Huntington Beach Police Department annual 127 Council/PFA Regular Minutes March 19, 2018 Page 18of18 Employee Awards luncheon, and a panel discussion at Grace Lutheran Church to discuss how the faith- based community can become more involved in the local community. Councilmember Semeta reported attending the Huntington Beach Police Department Employee Awards luncheon where well deserved Medal of Valor awards were presented to Officers Eric Esparza and Steven Tennant, represented the City at the Fire Academy graduation to welcome nine new members to the Fire Department, attended the Visit HB Tourism Summit, encouraged residents to vote for Huntington Beach as the Best Beach in California in the USA Today poll, attended the Boys and Girls Club Fundraiser event, the ACC-OC meeting on Pension Reform, and the Cherry Blossom Festival at Central Park which was managed by Maureen Anzivino and Frank Nakabayashi. She congratulated a local business, Teacher Created Materials, for being recently inducted into the Cal State Fullerton Center for Family Business Hall of Fame to recognize family businesses which intend to pass ownership on to the next generation, and concluded her comments by expressing condolences to the family and friends of radio personality Lyle Kilgore who lived his retirement years in Huntington Beach, and provided a recap of his career accomplishments. Councilmember O'Connell reported attending the Visit HB Tourism Summit, the informative Chamber of Commerce AM Connect breakfast at the Police Department, the 3/1 Marines 5K Run/Walk, ACC-OC Sacramento Advocacy trip, and Huntington Beach Fire Department Fire Academy graduation. He expressed appreciation for the many Huntington Beach Police Officers who ensured a safe St. Patrick's Day, and announced he was recognized and presented a Community Service Award for Leadership by the California State Senate and Assembly. Mayor Posey reported on his first two "Meet the Mayor" events, attended the Huntington Valley Little League 5oth Season Opener, the ACC-OC Sacramento Advocacy trip, 3/1 Marines 5K Run/Walk, the Huntington Beach Police Department Employee Awards luncheon, Sister City Cherry Blossom Festival, and conducted a taped interview with the creator of Mach 5. He also attended the opening of the history of skateboards exhibit, Surf2Skate, at the International Surfing Museum, and concluded his comments by expressing condolences to the family and friends of Pastor Blaine "Sumo" Sato, and read a statement written by Diana Dehm, Executive Director of the International Surfing Museum, describing Sumo's many contributions to the local community. ADJOURNMENT-9:19 PM, in memory of local radio personality Lyle Kilgore who passed away on February 22nd, and local surfing Pastor Blaine "Sumo" Sato, who passed away on March 11th, to the next regularly scheduled meeting of the Huntington Beach City Council/Public Financing Authority on Monday, April 2, 2018, at 4:00 PM in the Civic Center Council Chambers, 2000 Main Street, Huntington Beach, California. ATTEST: ~~~ City Clerk-Secretary Council of the City of Huntington Beach and Secretary of the Public Financing Authority of the City of Huntington Beach, California 128 CC1588 – Murdy Park Reconfiguration – Location Map 129 City of Huntington Beach File #:19-430 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Ursula Luna-Reynosa, Director of Community Development Subject: Approve Final Tract Map No. 18147 and Subdivision Agreement for the Windbourne Residential Subdivision by TRI Pointe Homes, Inc. at 14422 Hammon Lane Statement of Issue: Transmitted for City Council consideration is Final Tract Map No. 18147 for the Windbourne (formerly Sea Dance) Residential Subdivision by TRI Pointe at 14422 Hammon Lane (east side of Hammon Lane and south of Sands Drive). This map subdivides approximately 8.75 acres into 51 numbered lots for single-family residential purposes and five lettered lots (A-E) for private streets, public utilities, common areas, water quality purposes, and a 1.30-acre public park. Financial Impact: Not applicable. Recommended Action: A) Approve Final Tract Map No. 18147 and accept the dedication in fee of Lot E and accept the offer of easements on Lot A pursuant to findings and requirements (Attachment No. 1); and, B) Approve and authorize the Mayor and City Clerk to execute the Subdivision Agreement by and between the City of Huntington Beach and TRI Pointe Homes, Inc. (Attachment No. 6); and , C) Accept Faithful Performance Bond No. PB03010405878, Labor and Material Bond No. PB03010405878 and Monument Bond No. PB03010405837 as sureties for the installation of the subdivision’s required public improvements and survey monumentation (Attachment No. 7); and, D) Instruct the City Clerk to file the respective bonds with the City Treasurer and notify the Surety, Philadelphia Indemnity Insurance Company of this action. Alternative Action(s): The City Council may make the following alternative motion(s): 1. Deny Final Tract Map No. 18147 and the Subdivision Agreement/Bonds. City of Huntington Beach Printed on 5/1/2019Page 1 of 3 powered by Legistar™130 File #:19-430 MEETING DATE:5/6/2019 2. Continue Final Tract Map No. 18147 and the Subdivision Agreement/Bonds and direct staff accordingly. Analysis: A. PROJECT PROPOSAL: Applicant: Rick Wood, TRI Point Homes, Inc., 5 Peters Canyon, Suite 100, Irvine, CA 92606 Property Owner: Steven C. Porath, Hearthstone Professionals-PI LP, 21451 Ventura Blvd., Calabasas, CA 91302 Engineer: Jeffrey Walden, PLS, Walden and Associates, 2552 White Road, Suite B, Irvine, CA 92614 Surety: Philadelphia Indemnity Insurance Company, One Bala Plaza, Suite 100, Bala Cynwyd, PA 19004-0950 Location: 14422 Hammon Lane (east side of Hammon Lane and south of Sands Drive) General Plan: RL (Residential Low Density) and OS-P (Open Space - Parks) Zone: RL (Residential Low Density) and OS-PR (Open Space - Parks and Recreation) No. of Acres: 8.75 total acres: 7.45 acres residential and 1.30 acres public park No. of Numbered Lots: 51 No. of Lettered Lots: 5 No. of Units:51 B. BACKGROUND: On September 11, 2018, the Planning Commission approved Tentative Tract Map No. 18147 to subdivide approximately 8.75 acres into 51 numbered lots for single-family residential purposes and five lettered lots (A-E) for private streets, public utilities, common areas, water quality purposes, and a 1.30-acre public park. The Planning Commission also recommended approval of General Plan Amendment No. 16-001, Zoning Map Amendment No. 16-002, Conditional Use Permit No. 16-031, and Mitigated Negative Declaration No. 16-002 as part of the proposed project. The Planning Commission discussed issues related to park maintenance between project approval and project construction, RV parking on the street, in-lieu affordable housing fees, additions and setbacks, and HOA maintenance. City of Huntington Beach Printed on 5/1/2019Page 2 of 3 powered by Legistar™131 File #:19-430 MEETING DATE:5/6/2019 A motion was made by Grant, seconded by Kalmick, to approve Tentative Tract Map No. 18147 with findings and modified conditions of approval, carried by the following vote: AYES: Scandura, Garcia, Crowe, Ray, Kalmick, Mandic, Grant NOES: NONE ABSTAIN: NONE ABSENT: NONE Motion Approved C. RECOMMENDATION: The final map has been examined and certified by the City Engineer as being in substantial compliance with the conditions of approval of the tentative map, as approved by the Planning Commission on September 11, 2018. Additionally, presented for City Council approval and acceptance are the required Subdivision Agreement (between the City and TRI Point Homes, Inc.) and Bonds pursuant to the City’s Zoning and Subdivision Ordinance and the State’s Subdivision Map Act. Environmental Status: The actions to accept Final Tract Map No. 18147 and the respective Subdivision Agreement with Bonds is exempt from the requirements of the California Environmental Quality Act pursuant to Section 15268(b). Strategic Plan Goal: Enhance and maintain infrastructure Attachment(s): 1. Findings and Requirements for Acceptance of the Final Map 2. Vicinity Map 3. Final Map No. 18147 4. Planning Commission Notice of Action for Tentative Tract Map No. 18147 with Findings and Conditions of Approval 5. Tentative Tract Map No. 18147 6. Subdivision Agreement 7. Bonds (Faithful Performance, Labor and Material, Monument) City of Huntington Beach Printed on 5/1/2019Page 3 of 3 powered by Legistar™132 ATTACHMENT NO. 1 FINDINGS AND REQUIREMENTS FOR ACCEPTANCE OF FINAL MAP NO. 18147 Findings for Acceptance of Final Map No. 18147: 1.Final Tract Map No. 18147 is in conformance with the California Subdivision Map Act, the City of Huntington Beach Subdivision Ordinance and Tentative Tract Map No. 18147 conditions of approval, as approved by the Planning Commission. Requirements: 1.Accept dedication in fee of Lot E for park and recreational purposes. 2.Accept easements over Lot A for Police, Fire, and Public Access Purposes, Public Utility Purposes, Public Sewer Facilities, and Public Water Facilities. 3.The City Clerk shall affix her signature to the map and release it for recordation by the County of Orange. 133 Sea Dance Project Site VICINITY MAP GENERAL PLAN AMENDMENT NO. 16-001, ZONING MAP AMENDMENT NO. 16-002, TENTATIVE TRACT MAP NO. 18147, CONDITIONAL USE PERMIT NO. 16-031, MITIGATED NEGATIVE DECLARATION NO. 16-002 (SEA DANCE RESIDENTIAL DEVELOPMENT) 134 135 136 137 138 139 140 141 142 143 144 145 146 147 148 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 168 169 170 171 172 173 174 175 176 177 178 179 180 181 182 183 184 185 186 187 188 189 190 191 192 193 194 195 H u n t i n g t o n B e a c h , C a l i f o r n i a F R A N K L I N S C H O O L S I T E 0 7 . 2 7 . 1 8 SITE 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 City of Huntington Beach File #:19-450 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:David A. Segura, Fire Chief Subject: Approve and authorize execution of an Agreement with WeatherFlow, Inc. for a Weather Station located at Lifeguard Tower Zero Statement of Issue: This is a request for the City Council to approve the attached agreement with WeatherFlow, Inc. to install a weather station on Lifeguard Tower Zero and authorize the Fire Chief to execute the agreement. Approval of this agreement will provide real-time weather information for the Marine Safety Division, as well as other government agencies. Financial Impact: Not applicable. Recommended Action: Approve and authorize the Fire Chief and City Attorney to execute the “Site Use Agreement” with WeatherFlow, Inc. for the installation of a Weather Station at Lifeguard Tower Zero. Alternative Action(s): Do not approve the attached agreement and direct staff accordingly. Analysis: The City Council is requested to approve the attached site use agreement with WeatherFlow, Inc. (Attachment 1). They wish to install a weather station consisting of non-penetrating mounting hardward, instruments, electronics package, and solar panel on Lifeguard Tower Zero. This installation provides valuable weather readings that are utilized by numerous government agencies, including Huntington Beach. WeatherFlow, Inc. is a national partner with the National Weather Service and they have numerous agreements with public agencies to provide locations for weather flow monitoring equipment. This real time weather information is used by the National Weather Service to improve weather forecasting. It is a no cost agreement and this installation alleviates the need for the Marine Safety Division to maintain a weather station. In addition, it will provide enhanced and more timely water temperature and other vital weather data. Environmental Status: None City of Huntington Beach Printed on 5/1/2019Page 1 of 2 powered by Legistar™229 File #:19-450 MEETING DATE:5/6/2019 Strategic Plan Goal: Enhance and modernize public safety service delivery Attachment(s): 1. WeatherFlow, Inc. Site Use Agreement City of Huntington Beach Printed on 5/1/2019Page 2 of 2 powered by Legistar™230 231 232 233 234 235 City of Huntington Beach File #:19-543 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Antonia Graham, Assistant to the City Manager Subject: City Council positions on legislation pending before the State Legislature and Regional Issues as recommended by the City Council Intergovernmental Relations Committee (IRC) Statement of Issue: On April 25, 2019, the Intergovernmental Relations Committee comprised of Mayor Erik Peterson, Mayor Pro Tem Lyn Semeta, and Council Member Jill Hardy met to discuss pending State legislation and regional issues. This Council Action requests City Council authorization to enable the Mayor to sign official City position letters. Financial Impact: There is no fiscal impact associated with these position letters. Recommended Action: A) Approve a City position of Oppose on Assembly Bill 143 (Quirk-Silva) - Shelter Crisis: Homeless Shelters County of Orange; and, B) Approve a City position of Oppose on Assembly Bill 217 (Garcia) - Safe Drinking Water for All Act; and, C) Approve a City position of Support on Assembly Bill 919 (Petrie-Norris) - Alcoholism and Drug Abuse Recovery Treatment Program; and, D) Approve a City position of Support in Concept on Assembly Bill 920 (Petrie-Norris) - Alcoholism and Drug Abuse Recovery Treatment Program; and, E) Approve a City position of Support on Assembly Bill 1583 (Eggman) - The California Recycling Market Development Zone Act; and, F) Approve a City position of Support for Alternative 3 - John Wayne Airport’s General Aviation Improvement Program. City of Huntington Beach Printed on 5/1/2019Page 1 of 4 powered by Legistar™236 File #:19-543 MEETING DATE:5/6/2019 Alternative Action(s): Do not approve the recommended actions and direct staff accordingly. Analysis: The Intergovernmental Relations Committee (IRC) met to discuss pending State legislation along with regional issues. The Committee reviewed the 2019 State Legislative Matrix provided by the City’s Federal and State Advocate Townsend Public Affairs. The following is an analysis of the bills that the Committee chose to take the following positions on: Ø Oppose Assembly Bill 143 (Quirk-Silva) - Shelter Crisis: Homeless Shelters Orange County Existing law authorizes the governing body of a local government entity, to declare a shelter crisis if the governing body makes a specified finding. Upon declaration of a shelter crisis, existing law, among other things, suspends certain state and local laws, regulations, and ordinances to the extent that strict compliance would prevent, hinder, or delay the mitigation of the effects of the shelter crisis. This bill would apply these additional provisions to a shelter crisis to the County of Orange, and any city located within the County of Orange. Existing law exempts from the California Environmental Quality Act (CEQA) specified actions by a city relating to land owned by a local government to be used for, or to provide financial assistance to, a homeless shelter constructed pursuant to these provisions. This bill would apply these provisions to a shelter crisis declared by the County of Orange and any city located within the County. Ø Oppose Assembly Bill 217 (Garcia) - Safe Drinking Water for All Act Existing law (the California Safe Drinking Water Act) requires the State Water Resources Control Board to administer provisions relating to the regulation of drinking water to protect public health. This bill would enact the Safe Drinking Water for All Act and would establish the Safe and Affordable Drinking Water Fund in the State Treasury and would provide that moneys in the fund are continuously appropriated to the Board to provide a source of funding to secure access to safe drinking water for all Californians, while also ensuring the long-term sustainability of drinking water service and infrastructure. To fund this program, this bill would establish a safe and affordable drinking water fee in the amount of $0.50 per service connection on all public water systems. The bill would require each public water system to remit to the Boa4rd the amount of the fee for their public water system on July 1, 2020 and by July 1 annually thereafter. Ø Support Assembly Bill 919 (Petrie-Norris) - Alcoholism and Drug Abuse Recovery Treatment Programs Existing law provides for the licensure and regulation of adult alcoholism or drug abuse recovery or treatment facilities by the State Department of Health Care Services and authorizes the department to enforce those provisions. This bill would require the department to establish an enforcement program focused on the duties to enforce those provisions, and would require staff of the enforcement program to provide the department with analytical support, general oversight and monitoring, and legal guidance regarding those provisions. City of Huntington Beach Printed on 5/1/2019Page 2 of 4 powered by Legistar™237 File #:19-543 MEETING DATE:5/6/2019 Ø Support in Concept Assembly Bill 920 (Petrie-Norris) - Alcoholism and Drug Abuse Recover Treatment Programs Existing law provides for the licensure and regulation of adult alcoholism or drug abuse recovery or treatment facilities by the State Department of Health Care Services and authorizes the department to enforce those provisions. Existing law requires an alcoholism or drug abuse recovery or treatment facilities that serves 6 or fewer persons to be considered a residential use of property and requires that the residents and operators of the facility be considered a family for the purposes of any law or zoning ordinance that relates to the residential use of property. This bill would exempt from those provisions an alcoholism or drug abuse recovery or treatment facility that serves 6 or fewer persons that is engaged in an economic relationship with a treatment provider that owns or operates two or more of this type of facility. Ø Support Assembly Bill 1583 (Eggman) - The California Recycling Market Development Act The United States recycling infrastructure has, for too long relied on overseas markets, and these counties are beginning to adopt policies that limit the import of foreign waste. This bill would reauthorize existing, and would create new recycling infrastructure development programs, including sales tax exemptions, low interest loans, and new incentive payment programs. As the Administrator of the Recycling Market Development Zone for Orange County this would enable the City and the member jurisdictions the ability to continue to offer incentives to companies/manufacturers that utilize secondary feedstock (aka recyclable materials) in their manufacturing process. All of the aforementioned bills with the exception of AB 1583 received unanimous votes. Mayor Peterson stated a “No” vote on AB 1583. In addition to reviewing the State Legislative Matrix, the Committee discussed the Jet Noise Commission and their request to send a letter to the Orange County Board of Supervisors in support of the John Wayne Airport’s General Aviation Improvement Program - Alternative 3. The General Aviation Improvement Program (GAIP) provides a framework for General Aviation improvements at John Wayne Airport. The County of Orange operates John Wayne Airport and is seeking to expand the operations of its Fixed-Base Operators (FBOs) - private businesses granted the right by the airport to operate on airport property and provide aeronautical services such as fueling, storage, parking, tie downs, aircraft maintenance, flight instruction, and aircraft rental. According to the County of Orange, the General Aviation (GA) services and facilities were last studied in the 1990s. Since then, there have been changes to the airport’s GA fleet, their facilities are aging, these facilities need to comply with Federal Aviation Administration (FAA) requirements related to the proximity of buildings to taxiways and runways, and the number of GA leases have expired or are nearing expiration. The County drafted a Programmatic EIR on the GAIP. There are currently three alternatives to the proposed project. This Alternative is the least impactful for the community and will allow for the updating of the airport’s GA facilities to current FAA standards, would not expand GA facilities at the FBOs, nor would it significantly alter the airport’s current mix of GA aircraft that are based at the airport. It would also result in the least amount of GA jet operations by the year 2026. The Jet Noise Commission reviewed the GAIP and the alternatives and is in concurrence with the City of Huntington Beach Printed on 5/1/2019Page 3 of 4 powered by Legistar™238 File #:19-543 MEETING DATE:5/6/2019 The Jet Noise Commission reviewed the GAIP and the alternatives and is in concurrence with the City of Newport Beach who has issued a letter in support of Alternative 3 (Attachment 7). The Jet Noise Commission Chair has submitted a letter requesting that the City Council authorize the Mayor to send a letter to the Chairwoman of the Orange County Board of Supervisors in support of Alternative 3. Environmental Status: Not Applicable Strategic Plan Goal: Non-Applicable - Administrative Item Attachment(s): 1. Assembly Bill 143 2. Assembly Bill 217 3. Assembly Bill 919 4. Assembly Bill 920 5. Assembly Bill 1583 6. Memo from Jet Noise Commission Chair, Phil Burtis 7. City of Newport Beach GAIP Letter City of Huntington Beach Printed on 5/1/2019Page 4 of 4 powered by Legistar™239 AMENDED IN ASSEMBLY APRIL 10, 2019 AMENDED IN ASSEMBLY MARCH 11, 2019 california legislature—2019–20 regular session ASSEMBLY BILL No. 143 Introduced by Assembly Members Quirk-Silva, Daly, and Kalra (Principal coauthor: Senator Beall) (Coauthors: Assembly Members Chu and Diep) (Coauthors: Senators Archuleta and Chang) December 13, 2018 An act to amend Section 8698.4 of the Government Code, relating to housing. legislative counsel’s digest AB 143, as amended, Quirk-Silva. Shelter crisis: homeless shelters: County of Orange. Existing law authorizes a the governing body of a political subdivision, as those terms are defined, to declare a shelter crisis if the governing body makes a specified finding. Upon declaration of a shelter crisis, existing law, among other things, suspends certain state and local laws, regulations, and ordinances to the extent that strict compliance would prevent, hinder, or delay the mitigation of the effects of the shelter crisis. Existing law, upon a declaration of a shelter crisis by the City of Berkeley, Emeryville, Los Angeles, Oakland, or San Diego, the County of Santa Clara, or the City and County of San Francisco, specifies additional provisions applicable to a shelter crisis declared by one of those jurisdictions. Among other things, existing law exempts from the California Environmental Quality Act specified actions by a state agency 97 240 or a city, county, or city and county relating to land owned by a local government to be used for, or to provide financial assistance to, a homeless shelter constructed pursuant to these provisions. Existing law requires a city, county, or city and county that declares a shelter crisis pursuant to these provisions to develop a plan to address the shelter crisis on or before July 1, 2019, and to annually report to specified committees of the Legislature on or before January 1, 2019, and annually thereafter until January 1, 2021. Existing law repeals these additional provisions as of January 1, 2021. This bill would apply these additional provisions to a shelter crisis declared by the County of Alameda, the County of Orange, any city located within the County of Orange, and the City of San Jose and extend the above-described repeal date of these provisions to January 1, 2023. By expanding the scope of these provisions to apply within the County of Alemeda, the County of Orange Orange, and the City of San Jose, the bill would expand the above-described exemption from the California Environmental Quality Act. The bill, with respect to a shelter crisis declared by the County of Alameda, the County of Orange, or a city located within the County of Orange, or the City of San Jose, would require the county or city, as applicable, to develop the above-described shelter plan on or before July 1, 2020, and provide the first above-described annual report on or before January 1 of the year following the declaration of a shelter crisis. This bill would make legislative findings and declarations as to the necessity of a special statute for the County of Alameda, the County of Orange Orange, and the City of San Jose. Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. The people of the State of California do enact as follows: line 1 SECTION 1. Section 8698.4 of the Government Code, as line 2 amended by Chapter 840 of the Statutes of 2018, is amended to line 3 read: line 4 8698.4. (a) Notwithstanding any other provision in this chapter, line 5 upon a declaration of a shelter crisis by a local jurisdiction specified line 6 in subdivision (c), the following shall apply to the respective city, line 7 county, or city and county during a shelter crisis: line 8 (1) Emergency housing may include homeless shelters for the line 9 homeless located or constructed on any land owned or leased by 97 — 2 — AB 143 241 line 1 a city, county, or city and county, including land acquired with line 2 low- and moderate-income housing funds. line 3 (2) (A) (i) The city, county, or city and county, in lieu of line 4 compliance with local building approval procedures or state line 5 housing, health, habitability, planning and zoning, or safety line 6 standards, procedures, and laws, may adopt by ordinance line 7 reasonable local standards and procedures for the design, site line 8 development, and operation of homeless shelters and the structures line 9 and facilities therein, to the extent that it is determined at the time line 10 of adoption that strict compliance with state and local standards line 11 or laws in existence at the time of that adoption would in any way line 12 prevent, hinder, or delay the mitigation of the effects of the shelter line 13 crisis. The Department of Housing and Community Development line 14 shall review and approve the city’s, county’s, or city and county’s line 15 draft ordinance to ensure it addresses minimum health and safety line 16 standards. The department shall, as set forth in Section 9795, line 17 provide its findings to the Senate Committee on Transportation line 18 and Housing and the Assembly Committee on Housing and line 19 Community Development within 30 calendar days of receiving line 20 the draft ordinance. line 21 (ii) During the shelter crisis, except as provided in this section, line 22 provisions of any housing, health, habitability, planning and zoning, line 23 or safety standards, procedures, or laws shall be suspended for line 24 homeless shelters, provided that the city, county, or city and county line 25 has adopted health and safety standards and procedures for line 26 homeless shelters consistent with ensuring minimal public health line 27 and safety and those standards are complied with. Landlord tenant line 28 laws codified in Sections 1941 to 1942.5, inclusive, of the Civil line 29 Code providing a cause of action for habitability or tenantability line 30 shall be suspended for homeless shelters, provided that the city, line 31 county, or city and county has adopted health and safety standards line 32 for homeless shelters and those standards are complied with. line 33 During the shelter crisis, the local and state law requirements for line 34 homeless shelters to be consistent with the local land use plans, line 35 including the general plan, shall be suspended. line 36 (B) This section applies only to a public facility or homeless line 37 shelters reserved entirely for the homeless pursuant to this chapter. line 38 (3) Homeless shelters constructed or allowed under this chapter line 39 shall not be subject to the Special Occupancy Parks Act (Part 2.3 line 40 (commencing with Section 18860) of Division 13 of the Health 97 AB 143 — 3 — 242 line 1 and Safety Code), the Mobilehome Parks Act (Part 2.1 line 2 (commencing with Section 18200) of Division 13 of the Health line 3 and Safety Code), or the Mobilehome Residency Law (Chapter line 4 2.5 (commencing with Section 798) of Title 2 of Part 2 of Division line 5 2 of the Civil Code). line 6 (4) The California Environmental Quality Act (Division 13 line 7 (commencing with Section 21000) of the Public Resources Code) line 8 shall not apply to actions taken by a state agency or a city, county, line 9 or city and county, to lease, convey, or encumber land owned by line 10 a city, county, or city and county, or to facilitate the lease, line 11 conveyance, or encumbrance of land owned by the local line 12 government for, or to provide financial assistance to, a homeless line 13 shelter constructed or allowed by this section. line 14 (5) (A) Except as provided in subparagraph (B), on or before line 15 July 1, 2019, the city, county, or city and county shall develop a line 16 plan to address the shelter crisis, including, but not limited to, the line 17 development of homeless shelters and permanent supportive line 18 housing, as well as onsite supportive services. The city, county, line 19 or city and county shall make the plan publicly available. line 20 (B) Notwithstanding subparagraph (A), in the case of a shelter line 21 crisis declared by the County of Alameda, the County of Orange, line 22 a city located within the County of Orange, or the City of San Jose, line 23 the county or the city, as applicable, shall develop the plan required line 24 by this paragraph on or before July 1, 2020. line 25 (6) (A) Except as provided in subparagraph (B), on or before line 26 January 1, 2019, and annually thereafter until January 1, 2023, if line 27 the city, county, or city and county has declared a shelter crisis, line 28 the city, county, or city and county shall report all of the following line 29 to the Senate Committee on Transportation and Housing and the line 30 Assembly Committee on Housing and Community Development: line 31 (i) The total number of residents in homeless shelters within line 32 the city, county, or city and county. line 33 (ii) The total number of residents who have moved from a line 34 homeless shelter into permanent supportive housing within the line 35 city, county, or city and county. line 36 (iii) The estimated number of permanent supportive housing line 37 units. line 38 (iv) The number of residents who have exited the system and line 39 are no longer in need of a homeless shelter or permanent supportive line 40 housing within the city, county, or city and county. 97 — 4 — AB 143 243 line 1 (v) The number of new homeless shelters built pursuant to this line 2 section within the city, county, or city and county. line 3 (vi) New actions the city, county, or city and county is taking line 4 under the declared shelter crisis to better serve the homeless line 5 population and to reduce the number of people experiencing line 6 homelessness. line 7 (B) Notwithstanding subparagraph (A), in the case of a shelter line 8 crisis declared by the County of Alameda, the County of Orange, line 9 a city located within the County of Orange, or the City of San Jose, line 10 the county or the city, as applicable, shall provide the first report line 11 required by this paragraph on or before January 1 of the year line 12 following the declaration of a shelter crisis. line 13 (b) For purposes of this section, the following terms have the line 14 following meanings: line 15 (1) “Homeless shelter” means a facility with overnight sleeping line 16 accommodations, the primary purpose of which is to provide line 17 temporary shelter for the homeless that is not in existence after line 18 the declared shelter crisis. A temporary homeless shelter line 19 community may include supportive and self-sufficiency line 20 development services. line 21 (2) “Permanent supportive housing” means housing for people line 22 who are homeless, with no limit on length of stay, and that is linked line 23 to onsite or offsite services that assist the supportive housing line 24 resident in retaining the housing, improving the person’s health line 25 status, and maximizing the person’s ability to live and, when line 26 possible, work in the community. line 27 (c) This section shall apply to a shelter crisis declared by any line 28 of the following jurisdictions: line 29 (1) The following cities: line 30 (A) The City of Berkeley. line 31 (B) The City of Emeryville. line 32 (C) The City of Los Angeles. line 33 (D) The City of Oakland. line 34 (E) The City of San Diego. line 35 (F) The City of San Jose. line 36 (G) Any city located within the County of Orange. line 37 (2) The following counties: line 38 (A) The County of Alameda. line 39 (A) line 40 (B) The County of Orange. 97 AB 143 — 5 — 244 line 1 (B) line 2 (C) The County of Santa Clara. line 3 (3) The City and County of San Francisco. line 4 (d) This section shall remain in effect only until January 1, 2023, line 5 and as of that date is repealed. line 6 SEC. 2. The Legislature finds and declares that a special statute line 7 is necessary and that a general statute cannot be made applicable line 8 within the meaning of Section 16 of Article IV of the California line 9 Constitution because of the unique need to address the problem line 10 of homelessness in the County of Alameda, the County of Orange line 11 Orange, and the City of San Jose. O 97 — 6 — AB 143 245 AMENDED IN ASSEMBLY MARCH 28, 2019 AMENDED IN ASSEMBLY MARCH 19, 2019 california legislature—2019–20 regular session ASSEMBLY BILL No. 217 Introduced by Assembly Member Eduardo Garcia (Principal coauthor: Assembly Member Blanca Rubio) (Coauthors: Assembly Members Bonta, Bloom, Carrillo, Chau, Chiu, Gipson, Holden, Quirk, Robert Rivas, Mark Stone, and Wicks) (Coauthor: Senator Monning) January 16, 2019 An act to add Article 10.5 (commencing with Section 595) to Chapter 3 of Part 1 of Division 1 of, to add Article 6.5 (commencing with Section 14615) to Chapter 5 of Division 7 of, and to add Article 14.5 (commencing with Section 62215) to Chapter 2 of Part 3 of Division 21 of, the Food and Agricultural Code, and to add Chapter 4.6 (commencing with Section 116765) to Part 12 of Division 104 of, to add Chapter 4.7 (commencing with Section 116774) to Part 12 of Division 104 of, and to repeal Article 5 (commencing with Section 116771) of Chapter 4.6 of Part 12 of Division 104 of, the Health and Safety Code, relating to water, and making an appropriation therefor. legislative counsel’s digest AB 217, as amended, Eduardo Garcia. Safe Drinking Water for All Act. (1) Existing law, the California Safe Drinking Water Act, requires the State Water Resources Control Board to administer provisions relating to the regulation of drinking water to protect public health. 97 246 Existing law declares it to be the established policy of the state that every human being has the right to safe, clean, affordable, and accessible water adequate for human consumption, cooking, and sanitary purposes. This bill would enact the Safe Drinking Water for All Act and would establish the Safe and Affordable Drinking Water Fund in the State Treasury and would provide that moneys in the fund are continuously appropriated to the board to provide a source of funding to secure access to safe drinking water for all Californians, while also ensuring the long-term sustainability of drinking water service and infrastructure. The bill would authorize the board to provide for the deposit into the fund of federal contributions, voluntary contributions, gifts, grants, and bequests. The bill would require the board to expend moneys in the fund for grants, loans, contracts, or services to assist eligible applicants with certain projects. The bill would require the board, working with a multistakeholder advisory group, to adopt a fund implementation plan and policy handbook with priorities and guidelines for expenditures of the fund. The bill would require the board annually to prepare and make available a report of expenditures from the fund. The bill would require the board to adopt annually, after a public hearing, an assessment of funding need that estimates the anticipated funding needed for the next fiscal year to achieve the purposes of the fund. The bill would authorize the board to distribute the funds through its drinking water regional offices in an unspecified manner and would prohibit the board from distributing more than 20% of the annual expenditures from the fund in this manner. By creating a new continuously appropriated fund, this bill would make an appropriation. This bill would require the board to adopt a schedule of fees, as prescribed, not to exceed an unspecified amount. establish a safe and affordable drinking water fee in the amount of $0.50 per service connection on all public water systems. The bill would require each public water system to remit to the board the amount of the fee for their public water system on July 1, 2020, and by July 1 annually thereafter. The bill would require these fees to be deposited into the fund. The bill would require the Legislative Analyst to report to the Legislature and the board if the Legislative Analyst determines, on or before January 1, 2023, that at least $3,000,000,000 has been made available in an interest bearing account in the State Treasury with a goal of at least $100,000,000 in interest revenues per year available for the purposes of the Safe and Affordable Drinking Water Fund. The bill would make this reporting requirement and the requirement for the board to adopt 97 — 2 — AB 217 247 fees inoperative upon the Legislative Analyst submitting the report, and would repeal them as of January 1, of the year following that determination. The bill would establish the Safe and Affordable Drinking Water Trust Fund and would require moneys held in the trust fund to be invested by the Treasurer, in consultation with the Director of Finance and the controller, as specified. The bill would transfer the investment income derived from the trust fund on January 1 of each year to the Safe and Affordable Drinking Water Fund. The bill would state that a transfer of $200,000,000 is to be made by the Legislature each year for 5 years for the purpose of establishing a $1,000,000,000 trust account to derive interest revenues to fund the Safe and Affordable Drinking Water Fund. The bill would require, by January 1, 2021, the board, in consultation with local health officers and other relevant stakeholders, to make available a map of aquifers that are used or likely to be used as a source of drinking water that are at high risk of containing contaminants. For purposes of the map, the bill would require local health officers and other relevant local agencies to provide all results of, and data associated with, water quality testing performed by certified laboratories to the board, as specified. By imposing additional duties on local health officers and local agencies, the bill would impose a state-mandated local program. (2) Existing law requires every person who manufactures or distributes fertilizing materials to be licensed by the Secretary of Food and Agriculture and to pay a license fee that does not exceed $300. Existing law requires every lot, parcel, or package of fertilizing material to have a label attached to it, as required by the secretary. Existing law requires a licensee who sells or distributes bulk fertilizing materials to pay to the secretary an assessment not to exceed $0.002 per dollar of sales for all sales of fertilizing materials, as prescribed, for the purposes of the administration and enforcement of provisions relating to fertilizing materials. In addition to that assessment, existing law authorizes the secretary to impose an assessment in an amount not to exceed $0.001 per dollar of sales for all sales of fertilizing materials for the purpose of providing funding for research and education regarding the use of fertilizing materials. Existing law specifies that a violation of the fertilizing material laws or the regulations adopted pursuant to those laws is a misdemeanor. 97 AB 217 — 3 — 248 This bill would require a licensee whose name appears on the label of bulk or packaged fertilizing materials materials, excluding compost, to pay to the secretary a fertilizer safe drinking water fee of $0.006 per $1.00 of sales for all sales of fertilizing materials. The bill would require these moneys to be deposited into the Safe and Affordable Drinking Water Fund. The bill would authorize the secretary to adopt regulations relating to the administration and enforcement of these provisions. Because a violation of these provisions or regulations adopted pursuant to these provisions would be a crime, the bill would impose a state-mandated local program. (3) Existing law regulates the production, handling, and marketing of milk and dairy products and requires every milk handler subject to that regulatory scheme to pay specified assessments and fees to the Secretary of Food and Agriculture to cover the costs of regulating milk. Existing law governing milk defines “handler” as any person who, either directly or indirectly, receives, purchases, or otherwise acquires ownership, possession, or control of market milk from a producer, a producer-handler, or another handler for the purpose of manufacture, processing, sale, or other handling. Existing law defines “market milk” as milk conforming to specified standards and “manufacturing milk” as milk that does not conform to the requirements of market milk. Existing law provides that a violation of that regulatory scheme or a regulation adopted pursuant to that regulatory scheme is a misdemeanor. This bill would require, beginning January 1, 2022, each handler to deduct from payments made to producers for market and manufacturing milk the sum of $0.01355 per hundredweight of milk as a dairy safe drinking water fee. The bill would require the secretary to deposit these moneys into the Safe and Affordable Drinking Water Fund. The bill would authorize the secretary to take specified enforcement actions and would require the secretary to adopt regulations for the administration and enforcement of these provisions. Because a violation of these provisions or regulations adopted pursuant to these provisions would be a crime, the bill would impose a state-mandated local program. (4) Existing law requires the Secretary of Food and Agriculture to enforce provisions governing livestock operations. Existing law generally provides that a violation of a provision of the Food and Agricultural Code is a misdemeanor. This bill would require each producer owning a nondairy confined animal facility, as defined, beginning the 2021 calendar year to pay annually to the secretary a safe drinking water fee of $1,000 for the first 97 — 4 — AB 217 249 facility and $750 per each facility thereafter owned by the same producer, not to exceed $12,000. The bill would require these moneys to be deposited into the Safe and Affordable Drinking Water Fund. Because a violation of these provisions would be a crime, the bill would impose a state-mandated local program. (5) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason. With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above. Vote: 2⁄3. Appropriation: yes. Fiscal committee: yes. State-mandated local program: yes. The people of the State of California do enact as follows: line 1 SECTION 1. This act shall be known, and may be cited, as the line 2 Safe Drinking Water for All Act. line 3 SEC. 2. Article 10.5 (commencing with Section 595) is added line 4 to Chapter 3 of Part 1 of Division 1 of the Food and Agricultural line 5 Code, to read: line 6 line 7 Article 10.5. Safe Drinking Water Fee for Nondairy Confined line 8 Animal Facilities line 9 line 10 595. For purposes of this article, the following definitions line 11 apply: line 12 (a) “Fee” means the safe drinking water fee for nondairy line 13 confined animal facilities. line 14 (b) “Fund” means the Safe and Affordable Drinking Water Fund line 15 established by Section 116767 of the Health and Safety Code. line 16 (c) (1) “Nondairy confined animal facilities” means bovine line 17 operations, poultry operations, swine operations, and other line 18 livestock operations, excluding dairies, where all of the following line 19 apply: line 20 (A) Operations are designed to corral, pen, or otherwise enclose line 21 or hold domestic livestock. 97 AB 217 — 5 — 250 line 1 (B) Feeding is exclusively by means other than grazing. line 2 (C) Facilities are subject to annual fees for confined animal line 3 facilities adopted in accordance with Section 13260 of the Water line 4 Code. line 5 (2) “Nondairy confined animal facilities” does not include line 6 facilities subject to Article 14.5 (commencing with Section 62215) line 7 of Chapter 2 of Part 3 of Division 21. line 8 596. (a) Beginning in the 2021 calendar year, each producer line 9 owning a nondairy confined animal facility shall pay annually to line 10 the secretary a safe drinking water fee. The amount of the fee paid line 11 annually to the secretary shall equal one thousand dollars ($1,000) line 12 for a producer that owns a single nondairy confined animal facility. line 13 For a producer that owns more than one nondairy confined animal line 14 facility, the amount of the fee paid annually to the secretary shall line 15 equal one thousand dollars ($1,000) for the first facility and seven line 16 hundred fifty dollars ($750) per each facility thereafter owned by line 17 the same producer. line 18 (b) Notwithstanding subdivision (a), the amount of the fee paid line 19 annually to the secretary by a producer that owns more than one line 20 nondairy confined animal facility shall not exceed twelve thousand line 21 dollars ($12,000) per year. line 22 (c) The secretary may prescribe, adopt, and enforce regulations line 23 relating to the administration and enforcement of this article. line 24 597. The secretary shall deposit all moneys received under this line 25 article into the fund. line 26 SEC. 3. Article 6.5 (commencing with Section 14615) is added line 27 to Chapter 5 of Division 7 of the Food and Agricultural Code, to line 28 read: line 29 line 30 Article 6.5. Fertilizer Safe Drinking Water Fee line 31 line 32 14615. (a) It is the intent of the Legislature to require licensees line 33 of bulk fertilizing materials, and to authorize licensees of packaged line 34 fertilizing materials, to pass the fertilizer safe drinking water fee line 35 described in Section 14616 on to the end user of the fertilizer. line 36 (b) For purposes of this article, the following definitions apply: line 37 (1) “Bulk fertilizing material” has the same meaning as applies line 38 to “bulk material” in Section 14517. line 39 (2) “Compost” has the same meaning as defined in Section line 40 14525. 97 — 6 — AB 217 251 line 1 (2) line 2 (3) “Fertilizing material” has the same meaning as defined in line 3 Section 14533. line 4 (3) line 5 (4) “Fund” means the Safe and Affordable Drinking Water Fund line 6 established by Section 116767 of the Health and Safety Code. line 7 (4) line 8 (5) “Packaged” has the same meaning as defined in Section line 9 14551. line 10 14616. In addition to the assessments provided in Section line 11 14611, a licensee whose name appears on the label of bulk or line 12 packaged fertilizing materials materials, not including compost, line 13 shall pay to the secretary a fertilizer safe drinking water fee of six line 14 mills ($0.006) per dollar of sales for all sales of fertilizing line 15 materials. line 16 14617. (a) (1) A licensee whose name appears on the label line 17 who sells or distributes bulk fertilizing materials shall charge an line 18 unlicensed purchaser the fertilizer safe drinking water fee as a line 19 charge that is separate from, and not included in, any other fee, line 20 charge, or other amount paid by the purchaser. This fee shall be line 21 included on the bill of sale as a separate line item. line 22 (2) (A) A licensee whose name appears on the label of packaged line 23 fertilizing materials may include the fertilizer safe drinking water line 24 fee as a charge that is separate from, and not included in, any other line 25 fee, charge, or other amount paid by the purchaser or may include line 26 the charge with the assessment collected pursuant to Section 14611 line 27 as a separate line item on the bill of sale and identified as the line 28 California Regulatory and Safe Drinking Water Assessment. line 29 (B) Notwithstanding paragraph (1), a licensee whose name line 30 appears on the label who sells or distributes bulk fertilizing material line 31 may include the fertilizer safe drinking water fee with the line 32 assessment collected pursuant to Section 14611 as a separate line line 33 item on the bill of sale and identified as the California Regulatory line 34 and Safe Drinking Water Assessment. line 35 (b) The secretary may prescribe, adopt, and enforce regulations line 36 relating to the administration and enforcement of this article. line 37 (c) (1) Except as provided in paragraph (2), the secretary may line 38 retain up to 4 percent of the moneys collected pursuant to this line 39 article for reasonable costs associated with the implementation line 40 and enforcement of this article. 97 AB 217 — 7 — 252 line 1 (2) Beginning July 1, 2022, the secretary may retain up to 2 line 2 percent of the moneys collected pursuant to this article for line 3 reasonable costs associated with the implementation and line 4 enforcement of this article. line 5 14618. The secretary shall deposit all moneys received under line 6 this article into the fund. line 7 SEC. 4. Article 14.5 (commencing with Section 62215) is line 8 added to Chapter 2 of Part 3 of Division 21 of the Food and line 9 Agricultural Code, to read: line 10 line 11 Article 14.5. Dairy Safe Drinking Water Fee line 12 line 13 62215. (a) It is the intent of the Legislature that the dairy safe line 14 drinking water fee described in Section 62216 be paid for all milk line 15 produced in the state, regardless of grade. line 16 (b) For purposes of this article, the following definitions apply: line 17 (1) “Fee” means the dairy safe drinking water fee. line 18 (2) “Fund” means the Safe and Affordable Drinking Water Fund line 19 established by Section 116767 of the Health and Safety Code. line 20 (3) “Manufacturing milk” has the same meaning as defined in line 21 Section 32509. line 22 (4) “Market milk” has the same meaning as defined in Section line 23 32510. line 24 (5) “Milk” includes market milk and manufacturing milk. line 25 62216. (a) Beginning January 1, 2022, each handler, including line 26 a producer-handler, shall deduct the sum of one cent and three line 27 hundred fifty-five mills ($0.01355) per hundredweight of milk line 28 from payments made to producers for milk, including the handler’s line 29 own production, as a dairy safe drinking water fee. line 30 (b) The secretary shall adopt regulations necessary for the proper line 31 administration and enforcement of this section by January 1, 2022. line 32 62217. (a) A handler shall pay the dairy safe drinking water line 33 fee to the secretary on or before the 45th day following the last line 34 day of the month in which the milk was received. line 35 (b) The secretary shall deposit all moneys received under this line 36 article into the fund. line 37 (c) (1) Except as provided in paragraph (2), the secretary may line 38 retain up to 4 percent of the total amount that is paid to the line 39 secretary pursuant to this article for reasonable costs of the 97 — 8 — AB 217 253 line 1 secretary associated with the implementation and enforcement of line 2 this article. line 3 (2) Beginning July 1, 2022, the secretary may retain up to 2 line 4 percent of the moneys collected pursuant to this article for line 5 reasonable costs of the secretary associated with the line 6 implementation and enforcement of this article. line 7 (d) The secretary may require handlers, including cooperative line 8 associations acting as handlers, to make reports at any intervals line 9 and in any detail that the secretary finds necessary for the accurate line 10 collection of the fee. line 11 (e) For the purposes of enforcing this article, the secretary, line 12 through the secretary’s duly authorized representatives and agents, line 13 shall have access to the records of every producer and handler. line 14 The secretary shall have at all times free and unimpeded access to line 15 any building, yard, warehouse, store, manufacturing facility, or line 16 transportation facility in which any milk or milk product is line 17 produced, bought, sold, stored, bottled, handled, or manufactured. line 18 (f) Any books, papers, records, documents, or reports made to, line 19 acquired by, prepared by, or maintained by the secretary pursuant line 20 to this article that would disclose any information about finances, line 21 financial status, financial worth, composition, market share, or line 22 business operations of any producer or handler, excluding line 23 information that solely reflects transfers of production base and line 24 pool quota among producers, is confidential and shall not be line 25 disclosed to any person other than the person from whom the line 26 information was received, except pursuant to the final order of a line 27 court with jurisdiction, or as necessary for the proper determination line 28 of any proceeding before the secretary. line 29 SEC. 5. Chapter 4.6 (commencing with Section 116765) is line 30 added to Part 12 of Division 104 of the Health and Safety Code, line 31 to read: line 32 line 33 Chapter 4.6. Safe and Affordable Drinking Water line 34 line 35 Article 1. Legislative Findings and Declarations line 36 line 37 116765. The Legislature finds and declares all of the following: line 38 (a) Section 106.3 of the Water Code declares that it is the policy line 39 of the state that every human being has the right to safe, clean, 97 AB 217 — 9 — 254 line 1 affordable, and accessible water adequate for human consumption, line 2 cooking, and sanitary purposes. line 3 (b) For all public water systems, the operation and maintenance line 4 costs to supply, treat, and distribute potable water that complies line 5 with federal and state drinking water standards on a routine and line 6 consistent basis may be significant. line 7 (c) All community water systems are currently required to set, line 8 establish, and charge a schedule of rates and fees that are sufficient line 9 to recover the operation and maintenance costs required to supply, line 10 treat, and distribute potable water that complies with federal and line 11 state drinking water standards on a routine and consistent basis. line 12 (d) Hundreds of community water systems in the state cannot line 13 charge rates and fees that are affordable and sufficient to recover line 14 the full operation and maintenance costs required to supply, treat, line 15 and distribute potable water that complies with federal and state line 16 drinking water standards on a routine and consistent basis due to line 17 a combination of low income levels of customers, high treatment line 18 costs for contaminated water sources, and a lack of economies of line 19 scale that result in high unit costs for water service. Many schools line 20 that serve as their own regulated public water systems and have line 21 contaminated water sources cannot afford the full operation and line 22 maintenance costs required to provide water that meets federal line 23 and state drinking water standards. line 24 (e) Nearly all state or federal drinking water project funding line 25 sources prohibit the use of that funding for operation and line 26 maintenance costs, and as a result, those systems that cannot afford line 27 required operation and maintenance costs are unable to access line 28 funding for capital projects to meet federal and state drinking water line 29 standards. line 30 (f) As a result, hundreds of thousands of Californians, line 31 particularly those living in small disadvantaged communities, may line 32 be exposed to unsafe drinking water in their homes and schools, line 33 which impacts human health, household costs, and community line 34 economic development. line 35 (g) A significant number of California residents rely on state line 36 small water systems and domestic wells to provide their drinking line 37 water. line 38 (h) The state small water systems and individual domestic wells line 39 face a serious threat of contamination because they often draw 97 — 10 — AB 217 255 line 1 their water from shallow groundwater sources and have fewer or line 2 no chemical monitoring requirements. line 3 (i) To ensure that the right of every Californian to safe, clean, line 4 affordable, and accessible water adequate for human consumption, line 5 cooking, and sanitary purposes is protected, it is in the interest of line 6 the State of California to identify where Californians are at high line 7 risk of lacking reliable access to safe drinking water or are known line 8 to lack reliable access to safe drinking water, whether they rely on line 9 a public water system, state small water system, or domestic well line 10 for their potable water supply. line 11 (j) Long-term sustainability of drinking water infrastructure and line 12 service provision is necessary to secure safe drinking water for all line 13 Californians and therefore it is in the interest of the state to line 14 discourage the proliferation of new, unsustainable public water line 15 systems and state small water systems, to prevent waste, and to line 16 encourage consolidation and service extension when feasible. line 17 (k) It is in the interest of all Californians to establish a fund with line 18 a stable source of revenue to provide financial support, particularly line 19 for operation and maintenance, necessary to secure access to safe line 20 drinking water for all Californians, while also ensuring the line 21 long-term sustainability of drinking water service and line 22 infrastructure. line 23 (l) It is in the interest of all Californians that when funding is line 24 available from other sources, including the General Fund, the fees line 25 necessary to enact this statute be reduced. line 26 116765.5. It is the intent of the Legislature that any interest line 27 revenues from the Safe and Affordable Drinking Water Trust Fund line 28 as well as revenue from fees deposited in the Safe and Affordable line 29 Drinking Water Fund be available annually for the purposes of line 30 this chapter. line 31 line 32 Article 2. Definitions line 33 line 34 116766. For the purposes of this chapter: line 35 (a) “Administrator” has the same meaning as defined in Section line 36 116686. line 37 (b) “Board” means the State Water Resources Control Board. line 38 (c) “Community water system” has the same meaning as defined line 39 in Section 116275. 97 AB 217 — 11 — 256 line 1 (d) “Disadvantaged community” has the same meaning as line 2 defined in Section 116275. line 3 (e) “Domestic well” means a groundwater well used to supply line 4 water for the domestic needs of an individual residence or water line 5 systems that are not public water systems and that have no more line 6 than four service connections. line 7 (f) “Eligible applicant” means a public water system, including, line 8 but not limited to, a mutual water company; a public utility; a line 9 public agency, including, but not limited to, a local educational line 10 agency that owns or operates a public water system; a nonprofit line 11 organization; a federally recognized Indian tribe; a state Indian line 12 tribe listed on the Native American Heritage Commission’s line 13 California Tribal Consultation List; an administrator; or a line 14 groundwater sustainability agency. line 15 (g) “Fund” means the Safe and Affordable Drinking Water Fund line 16 established pursuant to Section 116767. line 17 (h) “Fund implementation plan” means the fund implementation line 18 plan adopted pursuant to Section 116769. line 19 (i) “Groundwater sustainability agency” has the same meaning line 20 as defined in Section 10721 of the Water Code. line 21 (j) “Low-income household” means a household with an income line 22 that is less than 80 percent of the statewide median household line 23 income. line 24 (k) “Public water system” has the same meaning as defined in line 25 Section 116275. line 26 (l) “Replacement water” includes, but is not limited to, bottled line 27 water, vended water, point-of-use, or point-of-entry treatment line 28 units. line 29 (m) “Safe drinking water” has the same meaning as defined in line 30 Section 116681. line 31 (n) “Service connection” has the same meaning as defined in line 32 Section 116275. line 33 (o) “State small water system” has the same meaning as defined line 34 in Section 116275. line 35 (p) “Vended water” has the same meaning as defined in Section line 36 111070. 97 — 12 — AB 217 257 line 1 Article 3. Safe and Affordable Drinking Water Fund line 2 line 3 116767. (a) The Safe and Affordable Drinking Water Fund is line 4 hereby established in the State Treasury. Notwithstanding Section line 5 13340 of the Government Code, all moneys in the fund are line 6 continuously appropriated to the board without regard to fiscal line 7 years, in accordance with this chapter. Moneys in the fund at the line 8 close of the fiscal year shall remain in the fund and shall not revert line 9 to the General Fund. Moneys in the fund shall not be available for line 10 appropriation or borrowed for use for any purpose not established line 11 in this chapter unless that use of the moneys receives an affirmative line 12 vote of two-thirds of the membership in each house of the line 13 Legislature. line 14 (b) The board shall report annually in the Governor’s budget line 15 fund revenues, including interest revenues, expenditures, and fund line 16 balances. line 17 116768. (a) The board shall administer the fund for the line 18 purposes of this chapter to provide a source of funding to secure line 19 access to safe drinking water for all Californians, while also line 20 ensuring the long-term sustainability of drinking water service and line 21 infrastructure. The board shall prioritize the use of this funding to line 22 assist disadvantaged communities and low-income households line 23 served by a state small water system or a domestic well. In order line 24 to maximize the use of other funding sources for capital line 25 construction projects when available, the board shall prioritize use line 26 of this funding for costs other than those related to capital line 27 construction costs, except for capital construction costs associated line 28 with consolidation and service extension to reduce the ongoing line 29 unit cost of service and to increase sustainability of drinking water line 30 infrastructure and service delivery. Beginning January 1, 2020, an line 31 expenditure from the fund shall be consistent with the annual fund line 32 implementation plan. line 33 (b) In accordance with subdivision (a), the board shall expend line 34 moneys in the fund for grants, loans, contracts, or services to assist line 35 eligible applicants with any of the following: line 36 (1) The provision of replacement water, as needed, to ensure line 37 immediate protection of health and safety as a short-term solution. line 38 (2) The development, implementation, and sustainability of line 39 long-term drinking water solutions that include, but are not limited line 40 to, the following: 97 AB 217 — 13 — 258 line 1 (A) Technical assistance, planning, construction, repair, and line 2 operation and maintenance costs associated with replacing, line 3 blending, or treating contaminated drinking water or with fixing line 4 failing water systems, pipes, or fixtures. Technical assistance and line 5 planning costs may include, but are not limited to, analyses to line 6 identify, and efforts to further, opportunities to reduce the unit cost line 7 of providing drinking water through organizational and operational line 8 efficiency improvements, system consolidation and service line 9 extension, implementation of new technology, and other options line 10 and approaches to reduce costs. line 11 (B) Operations and maintenance costs associated with line 12 consolidated water systems, extended drinking water services, or line 13 reliance on a substituted drinking water source. line 14 (C) Creating and maintaining natural means and green line 15 infrastructure solutions that contribute to sustainable drinking line 16 water. line 17 (D) Consolidating water systems. line 18 (E) Extending drinking water services to other public water line 19 systems, domestic wells, or state small water systems. line 20 (F) The satisfaction of outstanding long-term debt obligations line 21 of public water systems where the board determines that a system’s line 22 lack of access to capital markets renders this solution the most cost line 23 effective for removing a financial barrier to the system’s line 24 sustainable, long-term provision of drinking water. line 25 (3) Identifying and providing outreach to Californians who are line 26 eligible to receive assistance from the fund. line 27 (4) Testing the drinking water quality of domestic wells serving line 28 low-income households in high-risk areas identified pursuant to line 29 Article 4 (commencing with Section 116770). line 30 (5) The provision of administrative and managerial services line 31 under Section 116686. line 32 (6) Provision of wastewater treatment plant operations and line 33 maintenance for areas in which polluted water originates from line 34 outside the state. line 35 (c) The board may expend moneys from the fund for reasonable line 36 costs associated with administration of the fund. Beginning July line 37 1, 2022, the board may expend no more than 5 percent of the line 38 annual revenues from the fund for reasonable costs associated with line 39 administration of the fund. 97 — 14 — AB 217 259 line 1 (d) The board may undertake any of the following actions to line 2 implement the fund: line 3 (1) Provide for the deposit of any of the following moneys into line 4 the fund: line 5 (A) Federal contributions. line 6 (B) Voluntary contributions, gifts, grants, or bequests. line 7 (2) Enter into agreements for contributions to the fund from the line 8 federal government, local or state agencies, and private line 9 corporations or nonprofit organizations. line 10 (3) Provide for appropriate audit, accounting, and fiscal line 11 management services, plans, and reports relative to the fund. line 12 (4) Direct portions of the fund to a subset of eligible applicants line 13 as required or appropriate based on funding source and consistent line 14 with the annual fund implementation plan. line 15 (5) Direct moneys deposited into the fund described in line 16 subparagraph (B) of paragraph (1) towards a specific project, line 17 program, or study. line 18 (6) Take additional action as may be appropriate for adequate line 19 administration and operation of the fund. line 20 (e) In administering the fund, the board shall make reasonable line 21 efforts to ensure both of the following: line 22 (1) That funds are used to secure the long-term sustainability line 23 of drinking water service and infrastructure, including, but not line 24 limited to, requiring adequate technical, managerial, and financial line 25 capacity of eligible applicants as part of funding agreement line 26 outcomes. Funding shall be prioritized to implement consolidations line 27 and service extensions when feasible, and administrative and line 28 managerial contracts or grants entered into pursuant to Section line 29 116686 where applicable. Funds shall not be used to delay, prevent, line 30 or avoid the consolidation or extension of service to public water line 31 systems where it is feasible and the least-cost alternative. The line 32 board may set appropriate requirements as a condition of funding, line 33 including, but not limited to, a system technical, managerial, or line 34 financial capacity audit, improvements to reduce costs and increase line 35 efficiencies, an evaluation of alternative treatment technologies, line 36 and a consolidation or service extension feasibility study. As a line 37 condition of funding, the board may require a domestic well with line 38 nitrate contamination where ongoing septic system failure may be line 39 causing or contributing to contamination of a drinking water source 97 AB 217 — 15 — 260 line 1 to conduct an investigation and project to address the septic system line 2 failure if adequate funding sources are identified and accessible. line 3 (2) That funds are not used to subsidize large-scale nonpotable line 4 use. line 5 (f) In administering the fund, the board shall ensure that all line 6 moneys deposited into the fund from the safe drinking water fee line 7 for nondairy confined animal facilities pursuant to Article 10.5 line 8 (commencing with Section 595) of Chapter 3 of Part 1 of Division line 9 1 of the Food and Agricultural Code, the fertilizer safe drinking line 10 water fee pursuant to Article 6.5 (commencing with Section 14615) line 11 of Chapter 5 of Division 7 of the Food and Agricultural Code, and line 12 the dairy safe drinking water fee pursuant to Article 14.5 line 13 (commencing with Section 62215) of Chapter 2 of Part 3 of line 14 Division 21 of the Food and Agricultural Code shall be used to line 15 address nitrate-related contamination issues. line 16 (g) At least once every 10 years, the board shall conduct a public line 17 review and assessment of the fund to determine all of the following: line 18 (1) The effectiveness of the fund in securing access to safe line 19 drinking water for all Californians, while also ensuring the line 20 long-term sustainability of drinking water service and line 21 infrastructure. line 22 (2) If the fees deposited into the fund have been appropriately line 23 expended. line 24 (3) For community water systems that have received funding line 25 for 10 years or more and for which self-sufficiency has not been line 26 achieved, the actions that have been taken, the reasons why line 27 self-sufficiency has not been achieved, and, if available, ways in line 28 which the community water system may become self-sufficient. line 29 (4) What other actions are necessary to carry out the purposes line 30 of this chapter. line 31 (h) Neither the board nor any employee of the board may be line 32 held liable for any act that is necessary to carry out the purposes line 33 of this chapter. The board or any authorized person shall not be line 34 deemed to have incurred or to be required to incur any obligation line 35 to provide additional funding or undertake additional action solely line 36 as a result of having undertaken an action pursuant to this chapter. line 37 (i) (1) The board shall convene an environmental justice line 38 advisory committee, for the purposes of this section, consisting of line 39 at least three members, to advise it in conducting the public review line 40 and assessment pursuant to subdivision (g) and any other pertinent 97 — 16 — AB 217 261 line 1 matter in implementing this chapter. The advisory committee shall line 2 be comprised of representatives from communities in the state line 3 with the most significant exposure to water pollution, including, line 4 but not limited to, communities with minority populations or line 5 low-income populations, or both. line 6 (2) The board shall appoint committee members to the line 7 environmental justice advisory committee from nominations line 8 received from environmental justice organizations and community line 9 groups. line 10 (3) The board shall provide reasonable per diem for attendance line 11 at environmental justice advisory committee meetings by line 12 committee members from nonprofit organizations. line 13 116769. By July 1 of each year, the board shall do all of the line 14 following: line 15 (a) Prepare and make available a report of expenditures from line 16 the fund. line 17 (b) Adopt, after a public hearing, an assessment of funding need, line 18 based on available data, that includes all of the following: line 19 (1) Identification of systems and populations potentially in need line 20 of assistance, including, but not limited to, all of the following: line 21 (A) A list of systems that consistently fail to provide an adequate line 22 supply of safe drinking water. The list shall include all of the line 23 following: line 24 (i) Any public water system that consistently fails to provide line 25 an adequate supply of safe drinking water. line 26 (ii) Any community water system that serves a disadvantaged line 27 community that must charge fees that exceed the affordability line 28 threshold established in the board’s Safe Drinking Water State line 29 Revolving Fund Intended Use Plan in order to supply, treat, and line 30 distribute potable water that complies with federal and state line 31 drinking water standards. line 32 (iii) Any state small water system that consistently fails to line 33 provide an adequate supply of safe drinking water. line 34 (B) A list of programs that assist, or that will assist, households line 35 supplied by a domestic well that consistently fails to provide an line 36 adequate supply of safe drinking water. This list shall include the line 37 number and approximate location of households served by each line 38 program without identifying exact addresses or other personal line 39 information. 97 AB 217 — 17 — 262 line 1 (C) A list of public water systems and state small water systems line 2 that may be at risk of failing to provide an adequate supply of safe line 3 drinking water. line 4 (D) An estimate of the number of households that are served line 5 by domestic wells or state small water systems in high-risk areas line 6 identified pursuant to Article 4 (commencing with Section 116770). line 7 The estimate shall identify approximate locations of households, line 8 without identifying exact addresses or other personal information, line 9 in order to identify potential target areas for outreach and assistance line 10 programs. line 11 (2) An analysis of anticipated funding, per contaminant, needed line 12 for known projects, services, or programs by eligible applicants, line 13 consistent with the fund implementation plan, including any line 14 funding needed for existing long-term funding commitments from line 15 the fund. The board shall identify and consider other existing line 16 funding sources able to support any projects, services, or programs line 17 identified, including, but not limited to, local funding capacity, line 18 state or federal funding sources for capital projects, funding from line 19 responsible parties, and specialized funding sources contributing line 20 to the fund. line 21 (3) An estimate of the funding needed for the next fiscal year line 22 based on the amount available in the fund, anticipated funding line 23 needs, other existing funding sources, and other relevant data and line 24 information. line 25 (c) (1) Adopt, after a public hearing, a fund implementation line 26 plan and policy handbook with priorities and guidelines for line 27 expenditures of the fund. line 28 (2) The board shall work with a multistakeholder advisory group line 29 to establish priorities and guidelines for the fund implementation line 30 plan and policy handbook. The multistakeholder advisory group line 31 shall be open to participation by all of the following: line 32 (A) Representatives of entities paying into the fund. line 33 (B) Public water systems. line 34 (C) Technical assistance providers. line 35 (D) Local agencies. line 36 (E) Nongovernmental organizations. line 37 (F) Residents served by community water systems in line 38 disadvantaged communities, state small water systems, and line 39 domestic wells. line 40 (G) The public. 97 — 18 — AB 217 263 line 1 (3) The adoption of a fund implementation plan and policy line 2 handbook and the implementation of the fund pursuant to the policy line 3 handbook are not subject to the Administrative Procedure Act line 4 (Chapter 3.5 (commencing with Section 11340) of Part 1 of line 5 Division 3 of Title 2 of the Government Code). line 6 line 7 Article 4. Information on High-risk Areas line 8 line 9 116770. (a) (1) By January 1, 2021, the board, in consultation line 10 with local health officers and other relevant stakeholders, shall use line 11 available data to make available a map of aquifers that are at high line 12 risk of containing contaminants and that exceed primary federal line 13 and state drinking water standards that are used or likely to be used line 14 as a source of drinking water for a state small water system or a line 15 domestic well. The board shall update the map at least annually line 16 based on any newly available data. line 17 (2) The board shall make the map of high-risk areas, as well as line 18 the data used to make the map, publicly accessible on its internet line 19 website in a manner that does not identify exact addresses or other line 20 personal information and that complies with the Information line 21 Practices Act of 1977 (Chapter 1 (commencing with Section 1798) line 22 of Title 1.8 of Part 4 of Division 3 of the Civil Code). The board line 23 shall notify local health officers and county planning agencies of line 24 high-risk areas within their jurisdictions. line 25 (b) (1) By January 1, 2021, a local health officer or other line 26 relevant local agency shall provide to the board all results of, and line 27 data associated with, water quality testing performed by certified line 28 laboratories for a state small water system or domestic well that line 29 was collected after January 1, 2015, and that is in the possession line 30 of the local health officer or other relevant local agency. line 31 (2) By January 1, 2022, and by January 1 of each year thereafter, line 32 all results of, and data associated with, water quality testing line 33 performed by a certified laboratory for a state small water system line 34 or domestic well that is submitted to a local health officer or other line 35 relevant local agency shall also be submitted directly to the board line 36 in electronic format. line 37 (c) A map of high-risk areas developed pursuant to this article line 38 is not subject to the Administrative Procedure Act (Chapter 3.5 line 39 (commencing with Section 11340) of Part 1 of Division 3 of Title line 40 2 of the Government Code). 97 AB 217 — 19 — 264 line 1 Article 5. Safe and Affordable Drinking Water Fee line 2 line 3 116771. (a) The board shall adopt, by regulation, a schedule line 4 of fees as authorized by this section. Fees adopted shall not exceed line 5 ____. The regulations may include provisions concerning the line 6 administration and collection of the fees. line 7 116771. (a) There is hereby imposed a safe and affordable line 8 drinking water fee of fifty cents ($0.50) per service connection on line 9 all public water systems. line 10 (b) By July 1, 2020, and annually by each July 1 thereafter, line 11 each public water system shall remit to the board the amount of line 12 the fee imposed pursuant to subdivision (a) for their public water line 13 system. line 14 (c) (1) The board may adopt regulations to implement and line 15 enforce this article. line 16 (b) (1) Except as provided in paragraph (2), the line 17 (2) The regulations adopted pursuant to this section, or any line 18 amendment to these regulations, or subsequent adjustments to the line 19 annual fees, the board shall adopt as emergency regulations in line 20 accordance with Chapter 3.5 (commencing with Section 11340) line 21 of Part 1 of Division 3 of Title 2 of the Government Code. The line 22 adoption of these regulations is an emergency and the Office of line 23 Administrative Law shall consider the adoption of the regulations line 24 as necessary for the immediate preservation of the public peace, line 25 health, safety, and general welfare. line 26 (2) line 27 (3) The board shall adopt the initial regulations to implement line 28 this section in accordance with Chapter 3.5 (commencing with line 29 Section 11340) of Part 1 of Division 3 of Title 2 of the Government line 30 Code and may not rely on the statutory declaration of emergency line 31 in paragraph (1). (2). line 32 (3) line 33 (4) Any emergency regulations adopted by the board or line 34 adjustments to the fees made by the board pursuant to this section line 35 shall not be subject to review by the Office of Administrative Law line 36 and shall remain in effect until revised by the board. line 37 (c) Fees collected line 38 (d) The executive director of the board shall deposit all moneys line 39 received pursuant to this section shall be deposited in the fund. 97 — 20 — AB 217 265 line 1 The board may expend moneys from the fund for reasonable costs line 2 associated with the implementation and enforcement of this section. line 3 116772. (a) The Legislative Analyst shall report to the line 4 Legislature and the board if the Legislative Analyst determines, line 5 on or before January 1, 2023, that at least three billion dollars line 6 ($3,000,000,000) has been made available in an interest bearing line 7 account in the State Treasury with a goal of at least one hundred line 8 million dollars ($100,000,000) in interest revenues per year line 9 available for the purposes of the fund. line 10 (b) (1) A report to be submitted pursuant to subdivision (a) line 11 shall be submitted in compliance with Section 9795 of the line 12 Government Code. line 13 (2) Pursuant to Section 10231.5 of the Government Code, this line 14 section is repealed on January 1, 2027. line 15 (c) This article shall become inoperative upon the Legislative line 16 Analyst submitting a report pursuant to subdivision (a), and, as of line 17 January 1, of the year following that determination, is repealed. line 18 line 19 Article 6. Regional Distribution line 20 line 21 116773. (a) The Legislature finds and declares as follows: line 22 (1) Water quality problems occur in all areas of the state, line 23 including rural and urban areas. line 24 (2) In particular, aging school infrastructure, including lead line 25 pipes, puts at risk thousands of children per year. line 26 (b) It is the intent of the Legislature to establish a region specific line 27 program to address the purposes of this chapter. line 28 (c) The board may distribute funds for any purpose of this line 29 chapter through its drinking water regional offices, as follows: line 30 (1) ____. line 31 (d) The board shall not distribute more than 20 percent of the line 32 annual expenditures from the fund pursuant to subdivision (c). line 33 SEC. 6. Chapter 4.7 (commencing with Section 116774) is line 34 added to Part 12 of Division 104 of the Health and Safety Code, line 35 to read: 97 AB 217 — 21 — 266 line 1 Chapter 4.7. Safe and Affordable Drinking Water Trust line 2 Fund line 3 line 4 116774. (a) The Safe and Affordable Drinking Water Trust line 5 Fund is hereby established within the State Treasury. It is the intent line 6 of the Legislature that moneys in the trust fund remain for the line 7 purposes of the trust in perpetuity. line 8 (b) Moneys held in the trust fund shall be invested by the line 9 Treasurer, in consultation with the Director of Finance and the line 10 Controller, in investments authorized by Section 16430 of the line 11 Government Code. line 12 (c) Investment income derived from the trust fund is hereby line 13 transferred on January 1 of each year to the Safe and Affordable line 14 Drinking Water Fund, established by Section 116767 for the line 15 purposes of Chapter 4.6 (commencing with Section 116765). line 16 116774.1. The sum of two hundred million dollars line 17 ($200,000,000) shall be transferred to the trust fund by the line 18 Legislature each year for five years for the purpose of establishing line 19 a one-billion-dollar ($1,000,000,000) trust fund to derive interest line 20 revenues to fund Chapter 4.6 (commencing with Section 116765). line 21 SEC. 7. No reimbursement is required by this act pursuant to line 22 Section 6 of Article XIIIB of the California Constitution for certain line 23 costs that may be incurred by a local agency or school district line 24 because, in that regard, this act creates a new crime or infraction, line 25 eliminates a crime or infraction, or changes the penalty for a crime line 26 or infraction, within the meaning of Section 17556 of the line 27 Government Code, or changes the definition of a crime within the line 28 meaning of Section 6 of Article XIIIB of the California line 29 Constitution. line 30 However, if the Commission on State Mandates determines that line 31 this act contains other costs mandated by the state, reimbursement line 32 to local agencies and school districts for those costs shall be made line 33 pursuant to Part 7 (commencing with Section 17500) of Division line 34 4 of Title 2 of the Government Code. O 97 — 22 — AB 217 267 AMENDED IN ASSEMBLY MARCH 25, 2019 california legislature—2019–20 regular session ASSEMBLY BILL No. 919 Introduced by Assembly Member Petrie-Norris February 20, 2019 An act to amend Section 11834.36 11831.7 of the Health and Safety Code, relating to drug and alcohol programs. legislative counsel’s digest AB 919, as amended, Petrie-Norris. Alcoholism and drug abuse recovery and treatment programs. Existing law provides for the licensure and regulation of adult alcoholism or drug abuse recovery or treatment facilities by the State Department of Health Care Services and authorizes the department to enforce those provisions. Existing law authorizes the Director of Health Care Services to suspend or revoke a facility’s license, as well as any other adult alcoholism or drug abuse recovery or treatment facility licenses held by the same person, or to deny an application for licensure, extension of the licensing period, or modification of the license upon specified grounds, including misrepresenting a material fact in obtaining the license. Existing law prohibits specified persons, programs, or entities, such as an alcoholism or drug abuse treatment facility or a person employed by, or working for, an alcohol or other drug program, from giving or receiving anything of value for the referral of a person who is seeking alcoholism or drug abuse recovery and treatment services. Existing law authorizes the department to investigate allegations of violations of those provisions, and authorizes the department to assess various penalties upon a person, program, or entity that is found in violation of those provisions. 98 268 This bill would make technical, nonsubstantive changes to those provisions. This bill would require the department to establish an enforcement program focused on the duties to enforce those provisions, and would require staff of the enforcement program to provide the department with analytical support, general oversight and monitoring, and legal guidance regarding those provisions. Vote: majority. Appropriation: no. Fiscal committee: no yes. State-mandated local program: no. The people of the State of California do enact as follows: line 1 SECTION 1. Section 11831.7 of the Health and Safety Code line 2 is amended to read: line 3 11831.7. (a) The department may investigate allegations of line 4 violations of Section 11831.6. The department may, upon finding line 5 a violation of Section 11831.6 or any regulation adopted pursuant line 6 to that section, do any of the following: line 7 (1) Assess a penalty upon an alcoholism or drug abuse recovery line 8 and treatment facility licensed under this part. line 9 (2) Suspend or revoke the license of an alcoholism or drug abuse line 10 recovery and treatment facility licensed under Chapter 7.5 line 11 (commencing with Section 11834.01), or deny an application for line 12 licensure, extension of the licensing period, or modification to a line 13 license. Article 4 (commencing with Section 11834.35) of Chapter line 14 7.5 shall apply to any action taken pursuant to this paragraph. line 15 (3) Assess a penalty upon an alcohol or other drug program line 16 certified by the department in accordance with the alcohol or other line 17 drug certification standards established pursuant to Section line 18 11830.1. line 19 (4) Suspend or revoke the certification of an alcohol or other line 20 drug program certified by the department in accordance with the line 21 alcohol or other drug certification standards established pursuant line 22 to Section 11830.1. line 23 (5) Suspend or revoke the registration or certification of a line 24 counselor for a violation of Section 11831.6. line 25 (b) The department may investigate allegations against a licensed line 26 professional providing counseling services at an alcoholism or line 27 drug abuse recovery and treatment program licensed, certified, or line 28 funded under this part, and recommend disciplinary actions, 98 — 2 — AB 919 269 line 1 including, but not limited to, termination of employment at a line 2 program and suspension and revocation of licensure by the line 3 respective licensing board. line 4 (c) The department shall establish an enforcement program line 5 focused on the oversight duties of this section. Staff of the line 6 enforcement program shall have responsibilities including, but line 7 not limited to, all of the following: line 8 (1) Provide the department with analytical support for the line 9 development and administration of the prohibition in Section line 10 11831.6. line 11 (2) Provide the department with general oversight and line 12 monitoring focused on investigations and enforcement of this line 13 section and Section 11831.6. line 14 (3) Provide the department with legal guidance in the line 15 interpretation of this section and Section 11831.6. line 16 (c) line 17 (d) Notwithstanding the rulemaking provisions of the line 18 Administrative Procedure Act (Chapter 3.5 (commencing with line 19 Section 11340) of Part 1 of Division 3 of Title 2 of the Government line 20 Code), the department may, if it deems appropriate, implement, line 21 interpret, or make specific this section by means of provider line 22 bulletins, written guidelines, or similar instructions from the line 23 department, until regulations are adopted. line 24 SECTION 1. Section 11834.36 of the Health and Safety Code line 25 is amended to read: line 26 11834.36. (a) The director may suspend or revoke a license line 27 issued under this chapter, as well as any other licenses issued under line 28 this chapter to operate an adult alcoholism or drug abuse recovery line 29 or treatment facility held by the same person or entity, or deny an line 30 application for licensure, extension of the licensing period, or line 31 modification to a license, upon any of the following grounds and line 32 in the manner provided in this chapter: line 33 (1) Violation by the licensee of this chapter or regulations line 34 adopted pursuant to this chapter. line 35 (2) Repeated violation by the licensee of this chapter or line 36 regulations adopted pursuant to this chapter. line 37 (3) Aiding, abetting, or permitting the violation of, or a repeated line 38 violation of, paragraph (1) or (2). line 39 (4) Conduct in the operation of an alcoholism or drug abuse line 40 recovery or treatment facility that is inimical to the health, morals, 98 AB 919 — 3 — 270 line 1 welfare, or safety of either an individual in, or receiving services line 2 from, the facility or to the people of the State of California. line 3 (5) Misrepresentation of a material fact in obtaining the line 4 alcoholism or drug abuse recovery or treatment facility license, line 5 including, but not limited to, providing false information or line 6 documentation to the department. line 7 (6) The licensee’s refusal to allow the department entry into the line 8 facility to determine compliance with the requirements of this line 9 chapter or regulations adopted pursuant to this chapter. line 10 (7) Violation by the licensee of Section 11834.026 or the line 11 regulations adopted pursuant to that section. line 12 (8) Failure to pay any civil penalties assessed by the department. line 13 (b) The director may temporarily suspend a license, as well as line 14 any other licenses issued under this chapter to operate an adult line 15 alcoholism or drug abuse recovery or treatment facility held by line 16 the same person or entity, prior to a hearing when, in the opinion line 17 of the director, the action is necessary to protect residents of the line 18 alcoholism or drug abuse recovery or treatment facility from line 19 physical or mental abuse, abandonment, or another substantial line 20 threat to health or safety. The director shall notify the licensee of line 21 the temporary suspension and the effective date of the temporary line 22 suspension and at the same time shall serve the provider with an line 23 accusation. Upon receipt of a notice of defense to the accusation line 24 by the licensee, the director shall, within 15 days, set the matter line 25 for hearing, and the hearing shall be held as soon as possible. The line 26 temporary suspension shall remain in effect until the hearing is line 27 completed and the director has made a final determination on the line 28 merits. However, the temporary suspension shall be deemed line 29 vacated if the director fails to make a final determination on the line 30 merits within 30 days after the department receives the proposed line 31 decision from the Office of Administrative Hearings. line 32 (c) The department may terminate review of an application for line 33 licensure under this chapter from a person or entity that previously line 34 had a license issued under this chapter suspended or revoked for line 35 a period of five years from the date of the final decision and order. O 98 — 4 — AB 919 271 AMENDED IN ASSEMBLY MARCH 25, 2019 california legislature—2019–20 regular session ASSEMBLY BILL No. 920 Introduced by Assembly Member Petrie-Norris February 20, 2019 An act to amend Section 11834.34 11834.23 of the Health and Safety Code, relating to drug and alcohol programs. legislative counsel’s digest AB 920, as amended, Petrie-Norris. Alcoholism and drug abuse recovery and treatment programs. Existing law provides for the licensure and regulation of adult alcoholism or drug abuse recovery or treatment facilities by the State Department of Health Care Services and authorizes the department to enforce those provisions. Existing law authorizes the Director of Health Care Services to suspend or revoke a facility’s license upon specified grounds, including misrepresenting a material fact in obtaining the license. Existing law also authorizes the department to level civil penalties for violation of the provisions governing the facilities. Existing law requires an alcoholism or drug abuse recovery or treatment facility that serves 6 or fewer persons to be considered a residential use of property and requires that the residents and operators of the facility be considered a family for the purposes of any law or zoning ordinance that relates to the residential use of property. This bill would make technical, nonsubstantive changes to those provisions. This bill would exempt from those provisions an alcoholism or drug abuse recovery or treatment facility that serves 6 or fewer persons that 98 272 is engaged in an economic relationship with a treatment provider that owns or operates 2 or more of this type of facility. Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no. The people of the State of California do enact as follows: line 1 SECTION 1. Section 11834.23 of the Health and Safety Code line 2 is amended to read: line 3 11834.23. (a) Whether or not unrelated persons are living line 4 together, an alcoholism or drug abuse recovery or treatment facility line 5 that serves six or fewer persons shall be considered a residential line 6 use of property for the purposes of this article. In addition, the line 7 residents and operators of the facility shall be considered a family line 8 for the purposes of any law or zoning ordinance that relates to the line 9 residential use of property pursuant to this article. line 10 (b) For the purpose of all local ordinances, an alcoholism or line 11 drug abuse recovery or treatment facility that serves six or fewer line 12 persons shall not be included within the definition of a boarding line 13 house, rooming house, institution or home for the care of minors, line 14 the aged, or persons with mental health disorders, foster care home, line 15 guest home, rest home, community residence, or other similar term line 16 that implies that the alcoholism or drug abuse recovery or treatment line 17 home is a business run for profit or differs in any other way from line 18 a single-family residence. line 19 (c) This section shall not be construed to does not forbid a city, line 20 county, or other local public entity from placing restrictions on line 21 building heights, setback, lot dimensions, or placement of signs line 22 of an alcoholism or drug abuse recovery or treatment facility that line 23 serves six or fewer persons as long as the restrictions are identical line 24 to those applied to other single-family residences. line 25 (d) This section shall not be construed to does not forbid the line 26 application to an alcoholism or drug abuse recovery or treatment line 27 facility of any local ordinance that deals with health and safety, line 28 building standards, environmental impact standards, or any other line 29 matter within the jurisdiction of a local public entity. However, line 30 the ordinance shall not distinguish alcoholism or drug abuse line 31 recovery or treatment facilities that serve six or fewer persons from line 32 other single-family dwellings or distinguish residents of alcoholism 98 — 2 — AB 920 273 line 1 or drug abuse recovery or treatment facilities from persons who line 2 reside in other single-family dwellings. line 3 (e) No A conditional use permit, zoning variance, or other zoning line 4 clearance shall not be required of an alcoholism or drug abuse line 5 recovery or treatment facility that serves six or fewer persons that line 6 is not required of a single-family residence in the same zone. line 7 (f) Use of a single-family dwelling for purposes of an alcoholism line 8 or drug abuse recovery facility serving six or fewer persons shall line 9 not constitute a change of occupancy for purposes of Part 1.5 line 10 (commencing with Section 17910) of Division 13 or local building line 11 codes. However, nothing in this section is intended to supersede line 12 Section 13143 or 13143.6, to the extent those sections are line 13 applicable to alcoholism or drug abuse recovery or treatment line 14 facilities serving six or fewer residents. line 15 (g) This section does not apply to an alcoholism or drug abuse line 16 recovery or treatment facility that serves six or fewer persons that line 17 is engaged in an economic relationship with a treatment provider line 18 that owns or operates two or more of this type of facility. line 19 SECTION 1. Section 11834.34 of the Health and Safety Code line 20 is amended to read: line 21 11834.34. (a) In addition to the penalties of suspension or line 22 revocation of a license issued under this chapter, the department line 23 may also levy a civil penalty for violation of this chapter or the line 24 regulations adopted pursuant to this chapter. line 25 (1) The amount of the civil penalty, as determined by the line 26 department, shall not be less than two hundred fifty dollars ($250) line 27 or more than five hundred dollars ($500) per day for each violation, line 28 except when the nature or seriousness of the violation or the line 29 frequency of the violation warrants a higher penalty or an line 30 immediate civil penalty assessment, or both, as determined by the line 31 department. A civil penalty assessment shall not exceed one line 32 thousand dollars ($1,000) per day. line 33 (2) A licensee that is cited for repeating the same violation line 34 within 24 months of the first violation is subject to an immediate line 35 civil penalty of five hundred dollars ($500) and seven hundred line 36 fifty dollars ($750) for each day the violation continues until the line 37 deficiency is corrected. line 38 (3) A licensee that has been assessed a civil penalty pursuant line 39 to paragraph (2) and that repeats the same violation within 24 line 40 months of the violation subject to paragraph (2) is subject to an 98 AB 920 — 3 — 274 line 1 immediate civil penalty of five hundred dollars ($500) and one line 2 thousand dollars ($1,000) for each day the violation continues until line 3 the deficiency is corrected. line 4 (b) Prior to the assessment of a civil penalty, the department line 5 shall provide the licensee with notice requiring the licensee to line 6 correct the deficiency within the period of time specified in the line 7 notice. O 98 — 4 — AB 920 275 california legislature—2019–20 regular session ASSEMBLY BILL No. 1583 Introduced by Assembly Member Eggman (Coauthors: Assembly Members McCarty, Blanca Rubio, and Ting) February 22, 2019 An act to amend Sections 18015, 26003, 26011.8, 42023.1, 42023.2, 42023.3, 42023.4, 42023.5, and 42023.6 of, and to add Sections 42003, 42004, and 42005.5 to, the Public Resources Code, and to amend Section 6010.8 of the Revenue and Taxation Code, relating to public resources, and making an appropriation therefor. legislative counsel’s digest AB 1583, as introduced, Eggman. The California Recycling Market Development Act. (1) Existing law requires all rigid plastic bottles and rigid plastic containers sold in the state to be labeled with a code that indicates the resin used to produce the bottles or containers, with specified numbers and letters placed in relation to a triangle, designed as prescribed. This bill would delete the prescribed description of that triangle. (2) Existing law requires the Department of Resources Recycling and Recovery to develop a comprehensive market development plan that will stimulate market demand in the state for postconsumer waste material and secondary waste material generated in the state. Existing law authorizes a local governing body, as defined, to propose eligible property within its jurisdiction as a recycling market development zone, as defined, and authorizes the department to designate recycling market development zones. This bill would require the department, upon appropriation by the Legislature, to establish a Paper Recycling Incentive Program that makes 99 276 incentive payments to in-state processors of waste paper and to establish an Organic Waste Recycling Incentive Program that makes incentive payments to in-state organic waste recycling facilities that process organic waste collected from municipal sources. The bill would require the department to convene a Statewide Commission on Recycling Markets and Curbside Recycling and would require the commission to, among other things, issue policy recommendations to achieve specified market development goals and waste reduction goals and provide regular feedback to the department on public messaging designed to encourage proper recycling and to minimize contamination in curbside recycling programs. (3) Existing law creates the Recycling Market Development Revolving Loan Subaccount and continuously appropriates the funds deposited in the subaccount to the department for making loans and payments to specified entities within the recycling market development zones and in other specified areas for purposes of the Recycling Market Development Revolving Loan Program. Existing law makes these provisions inoperative on July 1, 2021. This bill would extend the inoperative date of these provisions to July 1, 2031. By extending the operation of a continuously appropriated fund, the bill would make an appropriation of special fund moneys. The bill would also make conforming changes. (4) Existing sales and use tax laws impose taxes on retailers measured by the gross receipts from the sale of tangible personal property sold at retail in this state, or on the storage, use, or other consumption in this state of tangible personal property purchased from a retailer for storage, use, or other consumption in this state. The California Alternative Energy and Advanced Transportation Financing Authority Act establishes the California Alternative Energy and Advanced Transportation Financing Authority. The act authorizes, until January 1, 2021, the authority to provide financial assistance to a participating party in the form of specified sales and use tax exclusions for projects, including those that promote California-based manufacturing, California-based jobs, advanced manufacturing, reduction of greenhouse gases, or reduction in air and water pollution or energy consumption. The act prohibits the sales and use tax exclusions from exceeding $100,000,000 for each calendar year. The Sales and Use Tax Law, for the purposes of the taxes imposed pursuant to that law, until January 1, 2021, excludes the lease or transfer of title of tangible personal property constituting a project to any contractor for use in the 99 — 2 — AB 1583 277 performance of a construction contract for a participating party that will use that property as an integral part of the approved project. This bill would extend the authorization to provide financial assistance in the form of a sales and use tax exclusion for qualifying projects to January 1, 2031, and would extend the sales and use tax exclusion to January 1, 2031. Vote: majority. Appropriation: yes. Fiscal committee: yes. State-mandated local program: no. The people of the State of California do enact as follows: line 1 SECTION 1. This act shall be known, and may be cited, as the line 2 California Recycling Market Development Act. line 3 SEC. 2. Section 18015 of the Public Resources Code is line 4 amended to read: line 5 18015. (a) All rigid plastic bottles and rigid plastic containers line 6 sold in California on and after January 1, 1992, shall be labeled line 7 with a code which that indicates the resin used to produce the rigid line 8 plastic bottle or rigid plastic container. Rigid plastic bottles or rigid line 9 plastic containers with labels and basecups of a different material line 10 shall be coded by their basic material. The code shall consist of a line 11 number placed inside a triangle, and letters placed below the line 12 triangle. The triangle shall be equilateral, formed by three arrows line 13 with the apex of each point of the triangle at the midpoint of each line 14 arrow, rounded with a short radius. The pointer (arrowhead) of line 15 each arrow shall be at the midpoint of each side of the triangle line 16 with a short gap separating the pointer from the base of the adjacent line 17 arrow. The triangle, formed by the three arrows curved at their line 18 midpoints shall depict a clockwise path around the code number. line 19 The numbers and letters used shall be as follows: line 20 1 = PETE (polyethylene terephthalate) line 21 2 = HDPE (high density polyethylene) line 22 3 = V (vinyl) line 23 4 = LDPE (low density polyethylene) line 24 5 = PP (polypropylene) line 25 6 = PS (polystyrene) line 26 7 = OTHER (includes multilayer) line 27 (b) A “7” shall appear below the resin abbreviation when the line 28 bottle or container is composed of more than one layer of that line 29 resin. 99 AB 1583 — 3 — 278 line 1 (c) On and after January 1, 1989, the The Division of Recycling line 2 of in the Department of Conservation Resources Recycling and line 3 Recovery shall maintain a list of abbreviations used on labels line 4 pursuant to subdivision (a) and shall provide a copy of that list to line 5 any a person upon request. line 6 SEC. 3. Section 26003 of the Public Resources Code, as line 7 amended by Section 257 of Chapter 86 of the Statutes of 2016, is line 8 amended to read: line 9 26003. (a) As used in this division, unless the context line 10 otherwise requires: line 11 (1) (A) “Advanced manufacturing” means manufacturing line 12 processes that improve existing or create entirely new materials, line 13 products, and processes through the use of science, engineering, line 14 or information technologies, high-precision tools and methods, a line 15 high-performance workforce, and innovative business or line 16 organizational models utilizing any of the following technology line 17 areas: line 18 (i) Microelectronics and nanoelectronics, including line 19 semiconductors. line 20 (ii) Advanced materials. line 21 (iii) Integrated computational materials engineering. line 22 (iv) Nanotechnology. line 23 (v) Additive manufacturing. line 24 (vi) Industrial biotechnology. line 25 (B) “Advanced manufacturing” includes any of the following: line 26 (i) Systems that result from substantive advancement, whether line 27 incremental or breakthrough, beyond the current industry standard, line 28 in the production of materials and products. These advancements line 29 include improvements in manufacturing processes and systems line 30 that are often referred to as “smart” or “intelligent” manufacturing line 31 systems, which integrate computational predictability and line 32 operational efficiency. line 33 (ii) (I) Sustainable manufacturing systems and manufacturing line 34 technologies that minimize the use of resources while maintaining line 35 or improving cost and performance. line 36 (II) Sustainable manufacturing systems and manufacturing line 37 technologies do not include those required to be undertaken line 38 pursuant to state or federal law or regulations, air district rules or line 39 regulations, memoranda of understanding with a governmental line 40 entity, or legally binding agreements or documents. The State Air 99 — 4 — AB 1583 279 line 1 Resources Board shall advise the authority to ensure that the line 2 requirements of this clause are met. line 3 (2) (A) “Advanced transportation technologies” means line 4 emerging commercially competitive transportation-related line 5 technologies identified by the authority as capable of creating line 6 long-term, high-value-added jobs for Californians while enhancing line 7 the state’s commitment to energy conservation, pollution and line 8 greenhouse gas emissions reduction, and transportation efficiency. line 9 (B) “Advanced transportation technologies” does not include line 10 those projects required to be undertaken pursuant to state or federal line 11 law or regulations, air district rules or regulations, memoranda of line 12 understanding with a governmental entity, or legally binding line 13 agreements or documents. The State Air Resources Board shall line 14 advise the authority regarding projects that are excluded pursuant line 15 to this subparagraph. line 16 (3) (A) “Alternative sources” means devices or technologies line 17 used for a renewable electrical generation facility, as defined in line 18 paragraph (1) of subdivision (a) of Section 25741, a combined line 19 heat and power system, as defined in Section 2840.2 of the Public line 20 Utilities Code, distributed generation and energy storage line 21 technologies eligible under the self-generation incentive program line 22 pursuant to Section 379.6 of the Public Utilities Code, as line 23 determined by the Public Utilities Commission, or a facility line 24 designed for the production of renewable fuels, the efficient use line 25 of which reduces the use of fossil or nuclear fuels, and energy line 26 efficiency devices or technologies that reduce the need for new line 27 electric generation and reduce emissions of toxic and criteria line 28 pollutants and greenhouse gases. line 29 (B) “Alternative sources” does not include a hydroelectric line 30 facility that does not meet state laws pertaining to the control, line 31 appropriation, use, and distribution of water, including, but not line 32 limited to, the obtaining of applicable licenses and permits. line 33 (4) “Authority” means the California Alternative Energy and line 34 Advanced Transportation Financing Authority established pursuant line 35 to Section 26004, and any board, commission, department, or line 36 officer succeeding to the functions of the authority, or to which line 37 the powers conferred upon the authority by this division shall be line 38 given. line 39 (5) “Cost” as applied to a project or portion of the project line 40 financed under this division means all or part of the cost of 99 AB 1583 — 5 — 280 line 1 construction and acquisition of all lands, structures, real or personal line 2 property or an interest in the real or personal property, rights, line 3 rights-of-way, franchises, easements, and interests acquired or line 4 used for a project; the cost of demolishing or removing any line 5 buildings or structures on land so acquired, including the cost of line 6 acquiring any lands to which those buildings or structures may be line 7 moved; the cost of all machinery, equipment, and furnishings, line 8 financing charges, interest prior to, during, and for a period after, line 9 completion of construction as determined by the authority; line 10 provisions for working capital; reserves for principal and interest line 11 and for extensions, enlargements, additions, replacements, line 12 renovations, and improvements; the cost of architectural, line 13 engineering, financial, accounting, auditing and legal services, line 14 plans, specifications, estimates, administrative expenses, and other line 15 expenses necessary or incidental to determining the feasibility of line 16 constructing any project or incidental to the construction, line 17 acquisition, or financing of a project. line 18 (6) “Financial assistance” includes, but is not limited to, loans, line 19 loan loss reserves, interest rate reductions, proceeds of bonds issued line 20 by the authority, bond insurance, loan guarantees or other credit line 21 enhancements or liquidity facilities, contributions of money, or a line 22 combination thereof, as determined by, and approved by the line 23 resolution of, the board. line 24 (7) (A) “Participating party” means a person, federal or state line 25 agency, department, board, authority, or commission, state or line 26 community college, or university, or a city or county, regional line 27 agency, public district, school district, or other political entity line 28 engaged in the business or operations in the state, whether line 29 organized for profit or not for profit, that applies for financial line 30 assistance from the authority for the purpose of implementing a line 31 project. line 32 (B) (i) For purposes of Section 6010.8 of the Revenue and line 33 Taxation Code, “participating party” means an entity specified in line 34 subparagraph (A) that seeks financial assistance pursuant to Section line 35 26011.8. line 36 (ii) For purposes of Section 6010.8 of the Revenue and Taxation line 37 Code, an entity located outside of the state, including an entity line 38 located overseas, is considered to be a participating party and is line 39 eligible to apply for financial assistance pursuant to Section 99 — 6 — AB 1583 281 line 1 26011.8 if the participating party commits to, and demonstrates line 2 that, the party will be opening a manufacturing facility in the state. line 3 (iii) It is the intent of the Legislature by adding clause (ii) to line 4 clarify existing law and ensure that an out-of-state entity or line 5 overseas entity is eligible to apply for financial assistance pursuant line 6 to Section 26011.8. line 7 (8) (A) “Project” means a land, building, improvement to the line 8 land or building, rehabilitation, work, property, or structure, real line 9 or personal, stationary or mobile, including, but not limited to, line 10 machinery and equipment utilized in the state, whether or not in line 11 existence or under construction, that utilizes, or is designed to line 12 utilize, an alternative source, or that is utilized for the design, line 13 technology transfer, manufacture, production, assembly, line 14 distribution, or service of advanced transportation technologies or line 15 alternative source components. line 16 (B) “Project,” for purposes of Section 26011.8 and Section line 17 6010.8 of the Revenue and Taxation Code, is defined in Section line 18 26011.8. line 19 (9) “Revenue” means all rents, receipts, purchase payments, line 20 loan repayments, and all other income or receipts derived by the line 21 authority from a project, or the sale, lease, or other disposition of line 22 alternative source or advanced transportation technology facilities, line 23 or the making of loans to finance alternative source or advanced line 24 transportation technology facilities, and any income or revenue line 25 derived from the investment of money in any fund or account of line 26 the authority. line 27 (b) This section shall remain in effect only until January 1, 2021, line 28 2031, and as of that date is repealed, unless a later enacted statute, line 29 that is enacted before January 1, 2021, 2031, deletes or extends line 30 that date. line 31 SEC. 4. Section 26003 of the Public Resources Code, as line 32 amended by Section 258 of Chapter 86 of the Statutes of 2016, is line 33 amended to read: line 34 26003. (a) As used in this division, unless the context line 35 otherwise requires: line 36 (1) (A) “Advanced transportation technologies” means line 37 emerging commercially competitive transportation-related line 38 technologies identified by the authority as capable of creating line 39 long-term, high-value-added jobs for Californians while enhancing 99 AB 1583 — 7 — 282 line 1 the state’s commitment to energy conservation, pollution and line 2 greenhouse gas emissions reduction, and transportation efficiency. line 3 (B) “Advanced transportation technologies” does not include line 4 those projects required to be undertaken pursuant to state or federal line 5 law or regulations, air district rules or regulations, memoranda of line 6 understanding with a governmental entity, or legally binding line 7 agreements or documents. The State Air Resources Board shall line 8 advise the authority regarding projects that are excluded pursuant line 9 to this subparagraph. line 10 (2) (A) “Alternative sources” means devices or technologies line 11 used for a renewable electrical generation facility, as defined in line 12 paragraph (1) of subdivision (a) of Section 25741, a combined line 13 heat and power system, as defined in Section 2840.2 of the Public line 14 Utilities Code, distributed generation and energy storage line 15 technologies eligible under the self-generation incentive program line 16 pursuant to Section 379.6 of the Public Utilities Code, as line 17 determined by the Public Utilities Commission, or a facility line 18 designed for the production of renewable fuels, the efficient use line 19 of which reduces the use of fossil or nuclear fuels, and energy line 20 efficiency devices or technologies that reduce the need for new line 21 electric generation and reduce emissions of toxic and criteria line 22 pollutants and greenhouse gases. line 23 (B) “Alternative sources” does not include a hydroelectric line 24 facility that does not meet state laws pertaining to the control, line 25 appropriation, use, and distribution of water, including, but not line 26 limited to, the obtaining of applicable licenses and permits. line 27 (3) “Authority” means the California Alternative Energy and line 28 Advanced Transportation Financing Authority established pursuant line 29 to Section 26004, and any board, commission, department, or line 30 officer succeeding to the functions of the authority, or to which line 31 the powers conferred upon the authority by this division shall be line 32 given. line 33 (4) “Cost” as applied to a project or portion of the project line 34 financed under this division means all or part of the cost of line 35 construction and acquisition of all lands, structures, real or personal line 36 property or an interest in the real or personal property, rights, line 37 rights-of-way, franchises, easements, and interests acquired or line 38 used for a project; the cost of demolishing or removing any line 39 buildings or structures on land so acquired, including the cost of line 40 acquiring any lands to which those buildings or structures may be 99 — 8 — AB 1583 283 line 1 moved; the cost of all machinery, equipment, and furnishings, line 2 financing charges, interest prior to, during, and for a period after, line 3 completion of construction as determined by the authority; line 4 provisions for working capital; reserves for principal and interest line 5 and for extensions, enlargements, additions, replacements, line 6 renovations, and improvements; the cost of architectural, line 7 engineering, financial, accounting, auditing and legal services, line 8 plans, specifications, estimates, administrative expenses, and other line 9 expenses necessary or incidental to determining the feasibility of line 10 constructing any project or incidental to the construction, line 11 acquisition, or financing of a project. line 12 (5) “Financial assistance” includes, but is not limited to, loans, line 13 loan loss reserves, interest rate reductions, proceeds of bonds issued line 14 by the authority, bond insurance, loan guarantees or other credit line 15 enhancements or liquidity facilities, contributions of money, or a line 16 combination thereof, as determined by, and approved by the line 17 resolution of, the board. line 18 (6) (A) “Participating party” means a person, federal or state line 19 agency, department, board, authority, or commission, state or line 20 community college, or university, or a city or county, regional line 21 agency, public district, school district, or other political entity line 22 engaged in the business or operations in the state, whether line 23 organized for profit or not for profit, that applies for financial line 24 assistance from the authority for the purpose of implementing a line 25 project. line 26 (B) (i) For purposes of Section 6010.8 of the Revenue and line 27 Taxation Code, “participating party” means an entity specified in line 28 subparagraph (A) that seeks financial assistance pursuant to Section line 29 26011.8. line 30 (ii) For purposes of Section 6010.8 of the Revenue and Taxation line 31 Code, an entity located outside of the state, including an entity line 32 located overseas, is considered to be a participating party and is line 33 eligible to apply for financial assistance pursuant to Section line 34 26011.8 if the participating party commits to, and demonstrates line 35 that, the party will be opening a manufacturing facility in the state. line 36 (iii) It is the intent of the Legislature by adding clause (ii) to line 37 clarify existing law and ensure that an out-of-state entity or line 38 overseas entity is eligible to apply for financial assistance pursuant line 39 to Section 26011.8. 99 AB 1583 — 9 — 284 line 1 (7) (A) “Project” means a land, building, improvement to the line 2 land or building, rehabilitation, work, property, or structure, real line 3 or personal, stationary or mobile, including, but not limited to, line 4 machinery and equipment utilized in the state, whether or not in line 5 existence or under construction, that utilizes, or is designed to line 6 utilize, an alternative source, or that is utilized for the design, line 7 technology transfer, manufacture, production, assembly, line 8 distribution, or service of advanced transportation technologies or line 9 alternative source components. line 10 (B) “Project,” for purposes of Section 26011.8 and Section line 11 6010.8 of the Revenue and Taxation Code, is defined in Section line 12 26011.8. line 13 (8) “Revenue” means all rents, receipts, purchase payments, line 14 loan repayments, and all other income or receipts derived by the line 15 authority from a project, or the sale, lease, or other disposition of line 16 alternative source or advanced transportation technology facilities, line 17 or the making of loans to finance alternative source or advanced line 18 transportation technology facilities, and any income or revenue line 19 derived from the investment of money in any fund or account of line 20 the authority. line 21 (b) This section shall become operative on January 1, 2021. line 22 2031. line 23 SEC. 5. Section 26011.8 of the Public Resources Code is line 24 amended to read: line 25 26011.8. (a) The purpose of this section is to promote the line 26 creation of California-based manufacturing, California-based jobs, line 27 advanced manufacturing, the reduction of greenhouse gases, or line 28 reductions in air and water pollution or energy consumption. In line 29 furtherance of this purpose, the authority may approve a project line 30 for financial assistance in the form of the sales and use tax line 31 exclusion established in Section 6010.8 of the Revenue and line 32 Taxation Code. line 33 (b) For purposes of this section, the following terms have the line 34 following meanings: line 35 (1) “Project” means tangible personal property if at least 50 line 36 percent of its use is either to process recycled feedstock that is line 37 intended to be reused in the production of another product or using line 38 recycled feedstock in the production of another product or soil line 39 amendment, or tangible personal property that is used in the state line 40 for the design, manufacture, production, or assembly of advanced 99 — 10 — AB 1583 285 line 1 manufacturing, advanced transportation technologies, or alternative line 2 source products, components, or systems, as defined in Section line 3 26003. “Project” does not include tangible personal property that line 4 processes or uses recycled feedstock in a manner that would line 5 constitute disposal as defined in subdivision (b) of Section 40192. line 6 (2) “Recycled feedstock” means materials that would otherwise line 7 be destined for disposal, having completed their intended end use line 8 and product lifecycle. line 9 (3) “Soil amendments” may include “compost,” as defined in line 10 Section 14525 of the Food and Agricultural Code, “fertilizing line 11 material,” as defined in Section 14533 of the Food and Agricultural line 12 Code, “gypsum” or “phosphatic sulfate gypsum,” as those terms line 13 are defined in Section 14537 of the Food and Agricultural Code, line 14 or a substance distributed for the purpose of promoting plant line 15 growth or improving the quality of crops by conditioning soils line 16 through physical means. line 17 (c) The authority shall publish notice of the availability of line 18 project applications and deadlines for submission of project line 19 applications to the authority. line 20 (d) The authority shall evaluate project applications based upon line 21 all of the following criteria: line 22 (1) The extent to which the project develops manufacturing line 23 facilities, or purchases equipment for manufacturing facilities, line 24 located in California. line 25 (2) The extent to which the anticipated benefit to the state from line 26 the project equals or exceeds the projected benefit to the line 27 participating party from the sales and use tax exclusion. line 28 (3) The extent to which the project will create new, permanent line 29 jobs in California. line 30 (4) To the extent feasible, the extent to which the project, or the line 31 product produced by the project, results in a reduction of line 32 greenhouse gases, a reduction in air or water pollution, an increase line 33 in energy efficiency, or a reduction in energy consumption, beyond line 34 what is required by federal or state law or regulation. line 35 (5) The extent of unemployment in the area in which the project line 36 is proposed to be located. line 37 (6) Any other factors the authority deems appropriate in line 38 accordance with this section. line 39 (e) At a duly noticed public hearing, the authority shall approve, line 40 by resolution, project applications for financial assistance. 99 AB 1583 — 11 — 286 line 1 (f) Notwithstanding subdivision (j), and without regard to the line 2 actual date of any transaction between a participating party and line 3 the authority, any project approved by the authority by resolution line 4 for the sales and use tax exclusion pursuant to Section 6010.8 of line 5 the Revenue and Taxation Code before March 24, 2010, shall not line 6 be subject to this section. line 7 (g) The Legislative Analyst’s Office shall report to the Joint line 8 Legislative Budget Committee on the effectiveness of this program, line 9 on or before January 1, 2019, by evaluating factors, including, but line 10 not limited to, the following: line 11 (1) The number of jobs created by the program in California. line 12 (2) The number of businesses that have remained in California line 13 or relocated to California as a result of this program. line 14 (3) The amount of state and local revenue and economic activity line 15 generated by the program. line 16 (4) The types of advanced manufacturing, as defined in line 17 paragraph (1) of subdivision (a) of Section 26003, utilized. line 18 (5) The amount of reduction in greenhouse gases, air pollution, line 19 water pollution, or energy consumption. line 20 (h) The exclusions granted pursuant to Section 6010.8 of the line 21 Revenue and Taxation Code for projects approved by the authority line 22 pursuant to this section shall not exceed one hundred million dollars line 23 ($100,000,000) for each calendar year. line 24 (i) (1) The authority shall study the efficacy and cost benefit line 25 of the sales and use tax exemption as it relates to advanced line 26 manufacturing projects. The study shall include the number of jobs line 27 created, the costs of each job, and the annual salary of each job. line 28 The study shall also consider a dynamic analysis of the economic line 29 output to the state that would occur without the sales and use tax line 30 exemption. Before January 1, 2017, the authority shall submit to line 31 the Legislature, consistent with Section 9795 of the Government line 32 Code, the result of the study. line 33 (2) Before January 1, 2015, the authority shall, consistent with line 34 Section 9795 of the Government Code, submit to the Legislature line 35 an interim report on the efficacy of the program conducted pursuant line 36 to this section. The study shall include recommendations on line 37 program changes that would increase the program’s efficacy in line 38 creating permanent and temporary jobs, and whether eligibility line 39 for the program should be extended or narrowed to other 99 — 12 — AB 1583 287 line 1 manufacturing types. The authority may work with the Legislative line 2 Analyst’s Office in preparing the report and its recommendations. line 3 (j) This section shall remain in effect only until January 1, 2021, line 4 2031, and as of that date is repealed, unless a later enacted statute, line 5 that becomes operative on or before January 1, 2021, deletes or line 6 extends that date. The sale or purchase of tangible personal property line 7 of a project approved before January 1, 2021, 2031, shall continue line 8 to be excluded from sales and use taxes pursuant to Section 6010.8 line 9 of the Revenue and Taxation Code for the period of time set forth line 10 in the authority’s resolution approving the project pursuant to this line 11 section. line 12 SEC. 6. Section 42003 is added to the Public Resources Code, line 13 to read: line 14 42003. (a) This section shall be known, and may be cited, as line 15 the Paper Recycling Infrastructure Development Incentive Program. line 16 (b) Upon appropriation by the Legislature for purposes of this line 17 section, the department shall establish a paper recycling incentive line 18 program that makes incentive payments to in-state processors of line 19 waste paper, including, but not limited to, pulping or milling line 20 facilities. line 21 (c) Recipients of incentive payments pursuant to this section line 22 shall meet specified criteria, as established by the department, that line 23 are consistent with achieving the state policy goal established in line 24 Section 41780.01. line 25 SEC. 7. Section 42004 is added to the Public Resources Code, line 26 to read: line 27 42004. (a) This section shall be known, and may be cited, as line 28 the Organic Waste Recycling Infrastructure Development Incentive line 29 Program. line 30 (b) Upon appropriation by the Legislature for purposes of this line 31 section, the department shall establish an organic waste recycling line 32 incentive program that makes incentive payments to in-state line 33 organic waste recycling facilities that process organic waste line 34 collected from municipal sources, including, but not limited to, line 35 composting, anaerobic digestion, and food recovery facilities. line 36 (c) Recipients of incentive payments pursuant to this section line 37 shall meet specified criteria, as established by the department, that line 38 are consistent with achieving the state policy goals established in line 39 Section 39730.6 of the Health and Safety Code. 99 AB 1583 — 13 — 288 line 1 SEC. 8. Section 42005.5 is added to the Public Resources Code, line 2 to read: line 3 42005.5. (a) The department shall, by July 1, 2020, convene line 4 a Statewide Commission on Recycling Markets and Curbside line 5 Recycling consisting of representatives of public agencies, private line 6 solid waste enterprises, and environmental organizations with line 7 expertise in recycling. line 8 (b) (1) The commission shall, by January 1, 2021, do both of line 9 the following: line 10 (A) Issue policy recommendations to achieve the market line 11 development goals established in subdivision (b) of Section 42005 line 12 and the state policy goals established in Section 41780.01 of this line 13 code and Section 39730.6 of the Health and Safety Code. line 14 (B) Identify products that are recyclable or compostable, as line 15 defined pursuant to Section 42370.2, and regularly collected in line 16 curbside recycling programs. line 17 (2) The commission shall update the recommendations and line 18 identifications made pursuant to paragraph (1) regularly, but not line 19 less often than annually. line 20 (c) The commission shall provide regular feedback to the line 21 department on public messaging designed to encourage proper line 22 recycling and to minimize contamination in curbside recycling line 23 programs. line 24 SEC. 9. Section 42023.1 of the Public Resources Code is line 25 amended to read: line 26 42023.1. (a) The Recycling Market Development Revolving line 27 Loan Subaccount is hereby created in the account for the purpose line 28 of providing loans for purposes of the Recycling Market line 29 Development Revolving Loan Program established pursuant to line 30 this article and for making payments pursuant to subdivision (g). line 31 (b) Notwithstanding Section 13340 of the Government Code, line 32 the moneys deposited in the subaccount are hereby continuously line 33 appropriated to the department without regard to fiscal year for line 34 making loans pursuant to this article and for making payments line 35 pursuant to subdivision (g). line 36 (c) The department may expend interest earnings on moneys in line 37 the subaccount for administrative expenses incurred in carrying line 38 out the Recycling Market Development Revolving Loan Program, line 39 upon the appropriation of moneys in the subaccount for that line 40 purpose in the annual Budget Act. 99 — 14 — AB 1583 289 line 1 (d) The moneys from loan repayments and fees, including, but line 2 not limited to, principal and interest repayments, fees and points, line 3 recovery of collection costs, income earned on an asset recovered line 4 pursuant to a loan default, and funds collected through foreclosure line 5 actions shall be deposited in the subaccount. line 6 (e) All interest accruing on interest payments from loan line 7 applicants shall be deposited in the subaccount. line 8 (f) The department may expend the moneys in the subaccount line 9 to make loans to local governing bodies, private businesses, and line 10 nonprofit entities within recycling market development zones, or line 11 in areas outside zones where partnerships exist with other public line 12 entities to assist local jurisdictions to comply with Section 40051. line 13 (g) The department may expend the moneys in the subaccount line 14 to make payments to local governing bodies within a recycling line 15 market zone for services related to the promotion of the zone. The line 16 services may include, but are not limited to, training, outreach, line 17 development of written promotional materials, and technical line 18 analyses of feedstock availability. line 19 (h) The department shall not fund a loan until it determines that line 20 the applicant has obtained all significant applicable federal, state, line 21 and local permits. The department shall determine which applicable line 22 federal, state, and local permits are significant. line 23 (i) The department shall establish and collect fees for line 24 applications for loans authorized by this section. The application line 25 fee shall be set at a level that is sufficient to fund the department’s line 26 cost of processing applications for loans. In addition, the line 27 department shall establish a schedule of fees or points for loans line 28 that are entered into by the department, to fund the department’s line 29 administration of the revolving loan program. line 30 (j) The department may expend moneys in the subaccount for line 31 the administration of the Recycling Market Development line 32 Revolving Loan Program, upon the appropriation of moneys in line 33 the subaccount for that purpose in the annual Budget Act. In line 34 addition, the department may expend moneys in the account to line 35 administer the revolving loan program, upon the appropriation of line 36 moneys in the account for that purpose in the annual Budget Act. line 37 However, funding for the administration of the revolving loan line 38 program from the account shall be provided only if there are not line 39 sufficient moneys in the subaccount to fully fund the administration line 40 of the program. 99 AB 1583 — 15 — 290 line 1 (k) The department, pursuant to subdivision (a) of Section line 2 47901, may set aside moneys for the purposes of paying costs line 3 necessary to protect the state’s position as a lender-creditor. These line 4 costs shall be broadly construed to include, but not be limited to, line 5 foreclosure expenses, auction fees, title searches, appraisals, real line 6 estate brokerage fees, attorney’s fees, mortgage payments, line 7 insurance payments, utility costs, repair costs, removal and storage line 8 costs for repossessed equipment and inventory, and additional line 9 expenditures to purchase a senior lien in foreclosure or bankruptcy line 10 proceedings. line 11 (l) (1) Except as provided in paragraph (2), this section shall line 12 become inoperative on July 1, 2021, 2031, and as of January 1, line 13 2022, 2032, is repealed, unless a later enacted statute, which line 14 becomes effective on or before January 1, 2022, 2032, deletes or line 15 extends the date on which it becomes inoperative and is repealed. line 16 (2) The repeal of this section pursuant to paragraph (1) shall line 17 not extinguish any loan obligation or the authority of the state to line 18 pursue appropriate actions for the collection of a loan. line 19 SEC. 10. Section 42023.2 of the Public Resources Code is line 20 amended to read: line 21 42023.2. (a) Upon authorization by the Legislature in the line 22 annual Budget Act, the Controller shall transfer a sum, as available, line 23 from the account to the subaccount as necessary to meet anticipated line 24 loan demand under the program. line 25 (b) (1) Except as provided in paragraph (2), this section shall line 26 become inoperative on July 1, 2021, 2031, and as of January 1, line 27 2022, 2032, is repealed, unless a later enacted statute, which line 28 becomes effective on or before January 1, 2022, 2032, deletes or line 29 extends the date on which it becomes inoperative and is repealed. line 30 (2) (A) The repeal of this section pursuant to paragraph (1) line 31 shall not extinguish any loan obligation or the authority of the state line 32 to pursue appropriate actions for the collection of a loan. line 33 (B) The department shall not be obligated to pay interest on the line 34 amount appropriated from the account to the subaccount pursuant line 35 to subdivision (a). This subparagraph shall apply retroactively line 36 from January 1, 1992. line 37 SEC. 11. Section 42023.3 of the Public Resources Code is line 38 amended to read: line 39 42023.3. (a) All money remaining in the subaccount on July line 40 1, 2021, 2031, and all money received as repayment and interest 99 — 16 — AB 1583 291 line 1 on loans shall, as of July 1, 2021, 2031, be transferred to the line 2 account and any money due and outstanding on loans as of July line 3 1, 2021, 2031, shall be repaid to the department and deposited by line 4 the department in the account until paid in full, except that, upon line 5 authorization by the Legislature in the annual Budget Act, interest line 6 earnings may be expended for administrative costs associated with line 7 the collection of outstanding loan accounts. line 8 (b) (1) Except as provided in paragraph (2), this section shall line 9 become inoperative on July 1, 2021, 2031, and as of January 1, line 10 2022, 2032, is repealed, unless a later enacted statute, which line 11 becomes effective on or before January 1, 2022, 2032, deletes or line 12 extends the dates on which it becomes inoperative and is repealed. line 13 (2) The repeal of this section pursuant to paragraph (1) shall line 14 not extinguish any loan obligation or the authority of the state to line 15 pursue appropriate actions for the collection of a loan. line 16 SEC. 12. Section 42023.4 of the Public Resources Code is line 17 amended to read: line 18 42023.4. (a) A loan made pursuant to Section 42023.1 shall line 19 be subject to all of the following requirements: line 20 (1) The terms of an approved loan shall be specified in a loan line 21 agreement between the borrower and the department. The loan line 22 agreement shall include a requirement that the failure to comply line 23 with the agreement shall result in any remaining unpaid amount line 24 of the loan, with accrued interest, being immediately due and line 25 payable. Notwithstanding any term of the agreement, a recipient line 26 of a loan that the department approves shall repay the principal line 27 amount, plus interest on the basis of the rate of return for money line 28 in the Surplus Money Investment Fund at the time of the loan line 29 commitment. All money received as repayment and interest on line 30 loans made pursuant to this section shall be deposited in the line 31 subaccount. line 32 (2) The term of a loan made pursuant to this section shall be line 33 not more than 10 years when collateralized by assets other than line 34 real estate, or not more than 15 years when partially or wholly line 35 collateralized by real estate. line 36 (3) The department shall approve only those loan applications line 37 that demonstrate the applicant’s ability to repay the loan. The line 38 highest priority for funding shall be given to projects that line 39 demonstrate that the project will increase market demand for line 40 recycling the project’s type of postconsumer waste material. 99 AB 1583 — 17 — 292 line 1 (4) The department shall not finance more than three-fourths line 2 of the cost of a project or two million dollars ($2,000,000), line 3 whichever is less. line 4 (5) The Department of Finance may audit the expenditure of line 5 the proceeds of a loan made pursuant to Section 42023.1 and this line 6 section. line 7 (b) (1) Except as provided in paragraph (2), this section shall line 8 become inoperative on July 1, 2021, 2031, and as of January 1, line 9 2022, 2032, is repealed, unless a later enacted statute, which line 10 becomes effective on or before January 1, 2022, 2032, deletes or line 11 extends the dates on which it becomes inoperative and is repealed. line 12 (2) The repeal of this section pursuant to paragraph (1) shall line 13 not extinguish any loan obligation or the authority of the state to line 14 pursue appropriate actions for the collection of a loan. line 15 SEC. 13. Section 42023.5 of the Public Resources Code is line 16 amended to read: line 17 42023.5. (a) The department shall, as part of the annual report line 18 to the Legislature, pursuant to Section 40507, include a report on line 19 the performance of the Recycling Market Development Revolving line 20 Loan Program, including the number and size of loans made, line 21 characteristics of loan recipients, projected loan demand, and the line 22 cost of administering the program. line 23 (b) This section shall become inoperative on July 1, 2021, 2031, line 24 and as of January 1, 2022, 2032, is repealed, unless a later enacted line 25 statute, which becomes effective on or before January 1, 2022, line 26 2032, deletes or extends the date on which it becomes inoperative line 27 and is repealed. line 28 SEC. 14. Section 42023.6 of the Public Resources Code is line 29 amended to read: line 30 42023.6. (a) The department shall encourage applicants to line 31 seek participation from private financial institutions or other public line 32 agencies. For purposes of enabling the department and local line 33 agencies to comply with Sections 40051 and 41780, the department line 34 may participate, in an amount not to exceed five hundred thousand line 35 dollars ($500,000), in the Capital Access Loan Program as provided line 36 in Article 8 (commencing with Section 44559) of Chapter 1 of line 37 Division 27 of the Health and Safety Code. line 38 (b) For purposes of participating in the Capital Access Loan line 39 Program, as specified in subdivision (a), or in a program that 99 — 18 — AB 1583 293 line 1 leverages subaccount funds, the department may operate both line 2 inside and outside the recycling market development zones. line 3 (c) (1) Except as provided in paragraph (2), this section shall line 4 become inoperative on July 1, 2021, 2031, and as of January 1, line 5 2022, 2032, is repealed, unless a later enacted statute, which line 6 becomes effective on or before January 1, 2022, 2032, deletes or line 7 extends the date on which it becomes inoperative and is repealed. line 8 (2) The repeal of this section pursuant to paragraph (1) shall line 9 not extinguish any loan obligation or the authority of the state to line 10 pursue appropriate actions for the collection of a loan. line 11 SEC. 15. Section 6010.8 of the Revenue and Taxation Code, line 12 as amended by Section 15 of Chapter 645 of the Statutes of 2018, line 13 is amended to read: line 14 6010.8. (a) (1) “Sale” and “purchase” do not include any lease line 15 or transfer of title of tangible personal property constituting any line 16 project to any participating party. line 17 (2) On and after the operative date of the act adding this line 18 paragraph, September 21, 2018, “sale” and “purchase” do not line 19 include any lease or transfer of title of tangible personal property line 20 constituting any project to any contractor for use in the performance line 21 of a construction contract for the participating party that will use line 22 that property as an integral part of the approved project. line 23 (b) As used in this section, “project” has the meaning specified line 24 in subparagraph (B) of paragraph (8) of subdivision (a) of Section line 25 26003 of the Public Resources Code and “participating party” has line 26 the meaning specified in subparagraph (B) of paragraph (7) of line 27 subdivision (a) of Section 26003 of the Public Resources Code. line 28 (c) This section shall remain in effect only until January 1, 2021, line 29 2031, and as of that date is repealed, unless a later enacted statute, line 30 that is enacted before January 1, 2021, 2031, deletes or extends line 31 that date. line 32 SEC. 16. Section 6010.8 of the Revenue and Taxation Code, line 33 as amended by Section 6 of Chapter 788 of the Statutes of 2015, line 34 is amended to read: line 35 6010.8. (a) “Sale” and “purchase” do not include any lease or line 36 transfer of title of tangible personal property constituting any line 37 project to any participating party. As used in this section, “project” line 38 has the meaning specified in subparagraph (B) of paragraph (7) line 39 of subdivision (a) of Section 26003 of the Public Resources Code line 40 and “participating party” has the meaning specified in subparagraph 99 AB 1583 — 19 — 294 line 1 (B) of paragraph (6) of subdivision (a) of Section 26003 of the line 2 Public Resources Code. line 3 (b) This section shall become operative on January 1, 2021. line 4 2031. O 99 — 20 — AB 1583 295 296 297 298 City of Huntington Beach File #:19-506 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Gilbert Garcia, Chief Financial Officer Subject: Adopt Ordinance No. 4179 adding Chapter 5.100 to the Huntington Beach Municipal Code establishing a Sidewalk Vending Permitting and Regulatory Program, repealing Ordinance No. 4177 which established an Interim Sidewalk Vending Program, and repealing Section 5.50.170 (F) which prohibits Vending from a Human Powered Conveyance Approved for introduction 4/15/2019 - Vote: 7-0 Statement of Issue: The City Council previously adopted Emergency Ordinance No. 4177, effective through May 23, 2019, to regulate Sidewalk Vending. The Emergency Ordinance followed the enactment of Senate Bill (“SB”) 946, adding Government Code Sections 51036-51039, which impose limits on how local authorities regulate sidewalk vending. SB 946 took effect on January 1, 2019. The purpose of Ordinance No. 4179 is to readopt permanently into the Municipal Code the Temporary Regulations previously enacted. Financial Impact: None Recommended Action: Adopt Ordinance No. 4179,“An Ordinance Of The City Of Huntington Beach Adding Chapter 5.100 To The Huntington Beach Municipal Code Establishing A Sidewalk Vending Permitting And Regulatory Program, Repealing Ordinance No. 4177, Which Established An Interim Sidewalk Vending Program, And Repealing Section 5.50.170(F) Which Prohibits Vending From A Human Powered Conveyance.” Alternative Action(s): Do not approve and direct staff accordingly. Analysis: On January 22, 2019, the City Council previously adopted Emergency Ordinance No. 4177, effective through May 23, 2019,to regulate Sidewalk Vending. The Ordinance responded to State Legislation City of Huntington Beach Printed on 5/1/2019Page 1 of 3 powered by Legistar™299 File #:19-506 MEETING DATE:5/6/2019 through May 23, 2019,to regulate Sidewalk Vending. The Ordinance responded to State Legislation deregulating and attempting to preempt city laws regarding Sidewalk Vending. Ordinance No 4179 is nearly identical to No. 4177, except that it permanently adopts Ordinance No. 4177’s regulations into the Municipal Code. Like its predecessor, Ordinance No. 4179 is designed to encourage and promote small business, and avoid conflicts with regard to regulation of the City sidewalks and parks. This Ordinance seeks to strike a balance between promoting small businesses in the form of sidewalk vending with the health, safety and welfare, of the City of Huntington Beach. The regulations contained within this Ordinance are necessary in part to: 1. Ensure no interference with the performance of public safety officers including, police, firefighter, lifeguard, security and emergency medical personnel services; 2. Ensure no interference with pedestrian or vehicular traffic including ingress into, or egress from, any residence, public building, or place of business, or from the street to the sidewalk, by persons exiting or entering parked or standing vehicles; 3. Provide reasonable access for Sidewalk Vending Activities in portions of the City while preserving the use and maintenance of sidewalks, pathways, poles, posts, traffic signs or signals, hydrants, restrooms, trash receptacles, firefighting apparatus, mailboxes, public benches and/or planters, as well as access to locations used for public transportation services; 4. Ensure the safe sale of Food and Merchandise in the public right-of-way, by providing the public a simple way to ensure Sidewalk Vendors prepare Food safely and according to Orange County Department of Public Health requirements; 5. Protect the flow of pedestrian or vehicular traffic including ingress into, or egress from, any residence, public building, or place of business, or from the street to the sidewalk, by persons exiting or entering parked or standing vehicles; and 6. Reduce exposure to the City for personal injury or property damage claims and litigation. Environmental Status: Not applicable. Strategic Plan Goal: Improve quality of life Attachment(s): 1. Ordinance No. 4179,“An Ordinance Of The City Of Huntington Beach Adding Chapter 5.100 To The Huntington Beach Municipal Code Establishing A Sidewalk Vending Permitting And Regulatory Program, Repealing Ordinance No. 4177, Which Established An Interim Sidewalk Vending Program, City of Huntington Beach Printed on 5/1/2019Page 2 of 3 powered by Legistar™300 File #:19-506 MEETING DATE:5/6/2019 And Repealing Section 5.50.170(F) Which Prohibits Vending From A Human Powered Conveyance” 2. Legislative Draft re: HBMC Section 5.50.170 City of Huntington Beach Printed on 5/1/2019Page 3 of 3 powered by Legistar™301 302 303 304 305 306 307 308 309 310 311 312 313 314 315 316 317 318 319 City of Huntington Beach File #:19-529 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Kellee Fritzal, Deputy Director of Economic Development Subject: Public Hearing to consider approval of Substantial Amendment No. 2 to Fiscal Year 2018-19 Annual Action Plan for Community Development Block Grant (CDBG) and HOME Investment Partnership (HOME) Programs Statement of Issue: The U.S. Department of Housing and Urban Development (HUD) requires that the City conduct a Public Hearing to approve Amendment No. 2 to the 2018-19 Annual Action Plan for CDBG and HOME programs to assist in the acquisition of, and for improvements to the Huntington Beach Navigation Center, a public facility to be used as an emergency homeless shelter located at 15311 Pipeline Lane, Huntington Beach, CA 92649. Financial Impact: There is no impact to the General Fund. The City has received $1,155,697 in CDBG funds and $606,864 in HOME funds for the 2018-2019 Fiscal Year. In addition, $641,905 in CDBG Revolving Loan Funds will also be allocated. Recommended Action: A) Approve Substantial Amendment No.2 to the City of Huntington Beach Fiscal Year 2018-19 Annual Action Plan for the Community Development Block Grant (CDBG) and HOME Investment Partnership Programs; and, B) Authorize the City Manager to sign all necessary documents after review by the City Attorney. Alternative Action(s): Do not approve the Amendment and direct staff as necessary. Analysis: The City receives an annual allocation of federal funds from HUD to implement CDBG and HOME programs. Annually, an Action Plan is adopted by the City Council setting forth the programs and projects that will be funded. The Action Plan must be amended either due to new programs or to City of Huntington Beach Printed on 5/1/2019Page 1 of 2 powered by Legistar™320 File #:19-529 MEETING DATE:5/6/2019 substantially increased funding to an approved CDBG or HOME program. The City Council approved Amendment No. 1 to 2018-19 Fiscal Year Annual Action Plan on October 1, 2018, to allocate HOME funds towards the Tenant Based Rental Assistance Programs (TBRA) and funding for the Midway City housing project. Amendment No. 2 to the Annual Action Plan is recommended to allocate CDBG funds for a new program, the Navigation Center, using Fiscal Year 2018-19 unallocated and revolving loan funds, as described below: 1. An allocation of $223,607 in FY 2018-19 CDBG unallocated funds; 2. An allocation of $641,905 in unallocated CDBG revolving Loan Funds (RLF). The Huntington Beach Revolving Loan Fund was originally set up for the purpose of carrying out the Housing Rehabilitation Loan/Grant Program, where loan repayments are used to fund future grants/loans. However, the stream of loan making is not moving quickly enough to deplete the backlog of revolving loan funds. The City has elected to move funds in the Revolving Loan Fund out of the revolving account for use instead on the Huntington Beach Navigation Center. 3. A budget transfer of $75,000 from the RLF Owner-Occupied Single-Family Rehabilitation Loan Program to the new Huntington Beach Navigation Center. 4. A budget transfer of $50,000 from the RLF Owner-Occupied SF, Condo, and Mobile Home Grant Program to the Huntington Beach Navigation Center. 5. A budget transfer of $6,724 from CDBG Administration to the Section 108 Loan. The re-allocation of funds do not eliminate any programs or projects and does not affect the City’s Rehabilitation Loan Program. The City will also make the final Section 108 Loan Payment in the current fiscal year, this will assist the City expend the CDBG funds in a timely manner. The City will be able to reprogram the FY 2019/20 Section 108 allocation towards the navigation center or ADA ramps at a future meeting. Staff recommends approval of the second amendment to the Action Plan. Environmental Status: Not Applicable. Strategic Plan Goal: Enhance and maintain high quality City services Attachment(s): 1. Annual Action Plan July 1, 2018 - June 30, 2019 No. Two (Substantial) City of Huntington Beach Printed on 5/1/2019Page 2 of 2 powered by Legistar™321 Action Plan CITY OF HUNTINGTON BEACH ANNUAL ACTION PLAN JULY 1, 2018 - JUNE 30, 2019 AMENDMENT NO. TWO (SUBSTANTIAL) CITY OF HUNTINGTON BEACH OFFICE OF BUSINESS DEVELOPMENT 2000 MAIN STREET HUNTINGTON BEACH, CA 92648 322 CITY OF HUNTINGTON BEACH 2018/19 ANNUAL ACTION PLAN TABLE OF CONTENTS SECTION PAGE Executive Summary (AP-05) .......................................................................................... 1 Lead & Responsible Agencies (PR-05) ........................................................................... 8 Consultation (AP-10) ..................................................................................................... 9 Citizen Participation (AP-12) ....................................................................................... 14 Expected Resources (AP-15) ....................................................................................... 21 Annual Goals and Objectives (AP-20) ......................................................................... 23 Projects (AP-35) .......................................................................................................... 31 Project Summary (AP-38) ............................................................................................ 34 Geographic Distribution (AP-50) ................................................................................. 58 Affordable Housing (AP-55) ........................................................................................ 60 Public Housing (AP-60) ................................................................................................ 62 Homeless and Other Special Needs Activities (AP-65) ............................................... 63 Barriers to Affordable Housing (AP-75) ...................................................................... 69 Other Actions (AP-85) ................................................................................................. 72 Program Specific Requirements (AP-90)..................................................................... 78 Appendices Appendix A – Certifications Appendix B – Application for Federal Assistance (SF 424) for CDBG Program Appendix C – Assurances – Construction Programs (SF 424D) for CDBG Program Appendix D – Application for Federal Assistance (SF 424) for HOME Program Appendix E – Assurances – Construction Programs (SF 424D) for HOME Program Appendix F – Public Notices Appendix G – Citizen Participation Comments 323 324 Huntington Beach 2018/19 Annual Action Plan 1 Executive Summary AP-05 Executive Summary - 24 CFR 91.200(c), 91.220(b) 1. Introduction Huntington Beach’s 2015/16-2019/20 Consolidated Plan constitutes the City's strategy for addressing its housing and community development needs utilizing federal entitlement funds. The goals are to assist low and moderate-income persons, provide decent housing, create suitable living environments, and expand economic opportunities. Included in the Consolidated Plan are broad five-year objectives and strategies to accomplish these goals. Specific identifiable benchmarks for measuring progress in realizing th e City’s strategy are proposed in the Annual Action Plans. The 2018/19 Annual Action Plan includes application for funds under two different HUD entitlement programs - Community Development Block Grant (CDBG) and the HOME Investment Partnership Program. Current year entitlements combined with reallocations and repayments from prior years (CDBG Revolving Loan Funds) bring the total estimated funding for program year 2018/19 to $3,785,461. The following Annual Action Plan describes resources, programs, activities and actions Huntington Beach will use in the coming 2018/19 fiscal year to implement its strategic plan and ultimately achieve its Consolidated Plan goals and objectives, summarized in Table 1 on the following page. 325 Huntington Beach 2018/19 Annual Action Plan 2 Consolidated Plan 5-Year Priority Implementing Programs 2018/19 Goal Outcome/ Objective* Preserve Existing and Create New Affordable Housing ▪ Owner-Occupied SF, Condo, and Mobile Home Grant Program ▪ Owner-Occupied Single-Family Rehabilitation Loan Program ▪ Housing Rehabilitation Loan Administration ▪ 15161 Jackson Street SRO Affordable Housing Project (“The Navigation Center”) ▪ Interval Housing Tenant Based Rental Assistance Program ▪ Families Forward Tenant Based Rental Assistance Program ▪ Mercy House Tenant Based Rental Assistance Program 12 6 Housing Units 3 2 Housing Units 15 Housing Units 7 Housing Units 22 Households 15 Households 10 Households DH-1 DH-1 DH-1 DH-2 DH-2 DH-2 DH-2 Sustain and Strengthen Neighborhoods ▪ Special Code Enforcement 600 Housing Units SL-3 Support Social Service Agencies that Assist Homeless Populations ▪ Homeless Outreach Program ▪ StandUp for Kids OC – Street Outreach Program 275 Persons 25 Persons SL-1 SL-1 Support Social Service Agencies that Assist Special Needs Populations ▪ Senior Services, Care Management 375 Persons SL-1 Preserve Existing Public Facilities ▪ Central Library ADA Restrooms Renovation Project ▪ Huntington Beach Navigation Center 24,225 Persons 360 Persons SL-3 SL-3 Provide Needed Infrastructure Improvements ▪ No infrastructure projects proposed. Not Applicable N/A Provide Needed Community Services to Low and Moderate-Income Persons Youth Services ▪ Children’s Bureau General Public Services ▪ Oakview Family Literacy 300 Persons 190 Persons SL-1 SL-1 Provide Economic Opportunity ▪ Section 108 Loan Repayment Not Applicable EO-1 Planning for Housing and Community Development ▪ HOME Administration ▪ CDBG Administration ▪ Fair Housing Services Not Applicable Not Applicable Not Applicable Not Applicable Table 1 – 2015-2019 Consolidated Plan Priorities, Implementing Programs, and FY 2018/19 Goals 2. Summarize the objectives and outcomes identified in the Plan See Table above. 326 Huntington Beach 2018/19 Annual Action Plan 3 3. Evaluation of past performance HUD requires that grantees provide an evaluation of past performance. Since the current year, 2017/18, is still in progress, the City of Huntington Beach will more fully measure performance outputs and outcomes for CDBG and HOME under the Consolidated Annual Performance Evaluation Report (CAPER) which captures progress towards meeting five -year goals and objectives. Nonetheless, below is a synopsis of what has been accomplished to date. Decent Housing • In May 2015, the City issued a Notice of Funding Availability (NOFA) i dentifying nearly $2.5 million in available affordable housing funds. The City’s goal was to obtain proposals for affordable housing projects as well as Tenant-Based Rental Assistance (TBRA) programs. The City identified homeless, those at risk of homelessness, veterans, seniors, and victims of domestic violence as the population for which the housing programs should be targeted. The NOFA was available on the City’s website and was disseminated to local CHDO’s in the area. The City received five (5) proposals: three (3) proposals for affordable housing projects, and two (2) proposals for TBRA programs. • In FY 2015/16, the City entered into a subrecipient agreement with a nonprofit agency, Interval House, to operate a city-wide Tenant-Based Rental Assistance Program using tenant selection policies and criteria. The City gave local preference t o households impacted by homelessness, persons at risk of homelessness, veterans, seniors, and victims of domestic violence in Huntington Beach. Through the end of FY 2016/17, Interval House assisted 62 households with rental assistance, and another 13 within the first six months of FY 2017/18. The City is proposing to renew Interval House’s contract to provide rental assistance services in FY 2018/19. • Beginning in October 2016, HOME funding was provided to Mercy House to implement a second tenant based rental assistance program to very-low and low-income households, focusing on veterans and seniors. To date Mercy House has provided assistance to 28 households. • The Residential Rehabilitation Program provides two loan programs. First, the Single- Family Home Improvement Program provides up to $75,000 to pay for rehabilitation costs for a single-family home, townhouse, or condominium. Grants are also available to low income households whose estimated repair costs do not exceed $10,000 for single family dwellings and mobile homes. Second, the City administers a Multifamily Rental Housing Rehabilitation Program. The program provides up to $75,000 for repairs to duplex, triplex or four-plex units. The loan provided is a deferred payment loan with an annual interest 327 Huntington Beach 2018/19 Annual Action Plan 4 rate of 3%. The 2015-2019 Consolidated Plan goal is to fund 75 grants/loans over the five- year period. A total of 24 loans were funded by the end of FY 2016/17. The program will continue into FY 2018/19. • In October 2016, the City approved a Substantial Amendment to the FY 2016/17 Annual Action Plan to provide $781,220 in HOME funds for an acquisition and rehabilitation project located at 7792 Barton Drive. The property, now owned by the Orange County Community Housing Corporation, consists of four rental units, two of which will eventually be rented to two (2) very low- and two (2) low-income eligible households. Project was completed in FY 2017/18. • In December 2016, the City completed an affordable housing project comprised of nine units at 313 11th Street, Huntington Beach, also known as Project Self -Sufficiency (PSS) House. Rehabilitation included new exterior stucco, roof, sewer, plumbing, electrical, and several window and door replacements. The units will be income and rent restricted for 55-years. Suitable Living Environment • The City’s Special Code Enforcement program continues to accomplish their goal of assisting 600 housing units each year in CDBG-eligible areas. • The City has assisted various public service agencies. While the number of public service programs assisted with CDBG funds has been reduced due to of decreased CDBG entitlement funds, the City continues to work towards its goals in providing quality and effective services youth, homeless, seniors, the disabled, and illiterate adults, as well as fair housing services funded through Administrative costs, to the Huntington Beach community. • The City had a goal to assist 400 persons through the provision of public facility improvements. To that end, in 2015/16, the City funded the Oak View Class and Counseling Space Project which intended to provide additional classroom space for the afterschool recreation program operated at the Oak View Family Resource Center by Children’s Bureau and the Boys and Girls Club of Gre ater Huntington Valley. Space was limited at this location and the additional classroom, office and meeting space was needed to accommodate various enrichment programs at the facility due to increased demand for services. The project scope of work was amended in FY 2016/17 to simply reconfigure the Family Resource Center, rather than providing additional space. The newly reconfigured space was completed in FY 2016/17 and eliminated the need for the remainder of the work. 328 Huntington Beach 2018/19 Annual Action Plan 5 • City-funded infrastructure improvements included ADA improvements to Public Works Maintenance Zone 12 in FY 2015/16, Maintenance Zone 10 in FY 2016/17, and Maintenance Zone 1 in FY 2017/18. The City also awarded $500,000 in CDBG Revolving Loan Funds to various curb cuts citywide in FY 2017/18. The City has already reached its Consolidated Plan goal of assisting 1,224 persons in this category. • CDBG RLF funds in the amount of $600,000 were authorized in 2017/18 for the Huntington Beach Youth Shelter Roof, Structural, and ADA Improvements. The Youth Shelter project will benefit homeless youth which seek shelter and assistance through this facility. The project is currently underway. Economic Opportunity • During 2015/16, City staff worked closely with two grassroots groups established in the Oak View community, one of the most impacted areas of the City, and one in which many resources have been concentrated in recent years. These efforts included increased outreach to property owners and residents of the area and expansion of the number of materials provided in Spanish. These efforts resulted in a bilingual Code Enforcement officer being specifically hired to serve the Oak View community. Staff has continued to connect the Fair Housing Foundation to the Oak View community, and they are now non- voting partners of the Oak View Collaborative, which will give them increased access to the clientele in need being served out of the Oak View Family Resource Center. 4. Summary of citizen participation process and consultation process The City developed its 2018/19 Annual Action Plan through extensive consultation and coordination with housing, social service and healthcare providers; public agencies; and the local public housing agency as presented below. As a means of gaining input from the public, the City conducted public hearings and invited comments on the draft Action Plan. The City followed its Citizen Participation Plan and HUD’s guidelines for citizen and community involvement in preparation of the Action Plan to encourage citizen participation in the preparation of the documents. A draft of the 2018/19 Annual Action Plan was made available for public comment for the minimum 30-day period (April 5 – May 7, 2018). A City Council public hearing was held on May 7, 2018, providing residents and interested parties a final opportunity to comment on the Consolidated Plan prior to adoption and submittal to HUD. 5. Summary of public comments 329 Huntington Beach 2018/19 Annual Action Plan 6 See Huntington Beach Citizen Participation Comments in Appendix. 6. Summary of comments or views not accepted and the reasons for not accepting them The City of Huntington Beach responded to all relevant comments. 7. Summary The City took numerous steps, including public noticing, advertising and holding public meetings, to ensure citizen participation in the development of the 2018/19 Action Plan. The Action Plan addresses key findings of the Consolidated Plan Needs Assessment, including: • Housing overpayment is the most prevalent housing problem, with 80% of Huntington Beach's low and moderate income (<80% AMI) renter households facing a cost burden (>30% of income on housing costs), and 45% facing a severe cost burden (>50% of income towards housing). Consultation with housing, homeless and public service providers identify the shortage of affordable rental housing as the most significant issue facing Huntington Beach's extremely low, low and moderate-income residents. • Household overcrowding is a far less significant problem than overpayment in Huntington Beach, and has decreased from 13% of all renters in 2000 to just 5% a decade later (as documented by the 2007-2011 ACS1). However, certain neighborhoods continue to experience high levels of overcrowding. • Many of the workers who make up Huntington Beach's workforce earn modest incomes, making it challenging to afford to in live in the City where they work. The analysis of rental housing costs and affordability illustrates that households earning extremely low, low and moderate incomes cannot afford average market rents in Huntington Beach. Local occupations priced out of the rental market include bookkeepers, bus drivers, preschool teachers, retail sales managers, and food service managers. • For homeless persons or persons at-risk of becoming homeless, the most significant problem is the lack of affordable rental housing. This problem has been compounded by record high rents combined with decreases in public funding previously used to su pport affordable housing. Surveys of homeless service providers in Huntington Beach identify additional affordable housing as the top priority need, followed by the need for additional substance abuse services, and additional tenant rental assistance. • The City's Capital Improvement Program (CIP) presents a comprehensive listing of planned and projected capital project needs based on various long-range plans, goals, and 1 The American Community Survey (ACS), performed by the U.S. Census Bureau, is an ongoing Census statistical survey that samples a small percentage of the population every year, and publishes five year averages of this data. Many of the tables in the Consolidated Plan are "pre-populated" by HUD with data from the 2007-2011 ACS, and thus the City has utilized the 2007-2011 ACS as the primary data source throughout the Plan. 330 Huntington Beach 2018/19 Annual Action Plan 7 policies. The 2014/15-2018/19 CIP identifies the following general projects (within low and moderate-income areas) in need of CDBG funds over the next five years: ✓ Americans with Disabilities Act (ADA) improvements to Police Department lobby ✓ Sidewalk, curb and gutter improvements, including accessibility ramps 331 Huntington Beach 2018/19 Annual Action Plan 8 PR-05 Lead & Responsible Agencies 24 CFR 91.200(b) 1. Describe agency/entity responsible for preparing the Consolidated Plan and those responsible for administration of each grant program and funding source The following are the agencies/entities responsible for preparing the Consolidated Plan and those responsible for administration of each grant program and funding source. Agency Role Name Department/Agency Lead Agency HUNTINGTON BEACH Office of Business Development CDBG Administrator Kellee Fritzal, Deputy Director Office of Business Development HOME Administrator Kellee Fritzal, Deputy Director Office of Business Development Table 3 – Responsible Agencies Narrative The Lead Agency for the 2018/19 Annual Action Plan is the City of Huntington Beach, Office of Business Development. Annual Action Plan Public Contact Information Robert Ramirez, Economic Development Project Manager City of Huntington Beach Office of Business Development 2000 Main Street City Hall Huntington Beach, CA 92648 Phone: (714) 536-5186 Email: Robert.Ramirez@surfcity-hb.org 332 Huntington Beach 2018/19 Annual Action Plan 9 AP-10 Consultation - 91.100, 91.200(b), 91.215(l) 1. Introduction Provide a concise summary of the jurisdiction’s activities to enhance coordination between public and assisted housing providers and private and governmental health, mental health and service agencies (91.215(I)). The City developed its five-year (2015/16 - 2019/20) Consolidated Plan through consultation with the Orange County Housing Authority; City departments; health and social service providers; and adjacent local governments. As a means of gaining input from housing, homeless and social service providers active in Huntington Beach, the City provided agencies a brief survey requesting input on services provided, priority needs and gaps in services. A total of twelve (12) agencies representing special needs populations, and an additional seven (7) housing and homeless service agencies completed the needs survey, providing direct input into the Consolidated Plan Needs Assessment. The detailed results of these agency surveys are provided in the Consolidated Plan’s Appendix C. The City formed a Homeless Task Force which met for a nine-month period and has created a list of recommendations to deal with the homeless problems in the community. In addition, with the use of CDBG funds, the City employs a part-time Homeless Coordinator who coordinates services provided to the Homeless. The Coordinator oversees a collaborative comprised of local homeless service providers and faith-based organizations who conduct monthly meetings with the purpose of coordinating efforts and sharing information to most effectively address the issue of homelessness in Huntington Beach. The Coordinator was joined by two Huntington Beach Police Homeless Liaison Officers, which were funded separately. In 2018/19, this team will include three pat-time Homeless Case Managers to further increase the level of service to the homeless population. The Project Self Sufficiency program has transitioned away from the use of CDBG funding and is now operating through the support of other resources to provide services to single parents with children. Describe coordination with the Continuum of Care and efforts to address the needs of homeless persons (particularly chronically homeless individuals and families, families with children, veterans, and unaccompanied youth) and persons at risk of homelessness The City of Huntington Beach, through its Homeless Outreach Case Manager, participates in the Orange County Continuum of Care, led and coordinated by 2-1-1 Orange County and the OC Community Services. This public - nonprofit partnership helps ensure comprehensive, regional 333 Huntington Beach 2018/19 Annual Action Plan 10 coordination of efforts and resources to reduce the number of homeless and persons at risk of homelessness throughout Orange County. This group serves as the regional convener of the year- round CoC planning process and as a catalyst for the involvement of the public and private agencies that make-up the regional homeless system of care. The Orange County Continuum of Care system consists of six basic components: 1. Advocacy on behalf of those who are homeless or at-risk of becoming homeless. 2. A system of outreach, assessment, and prevention for determining the needs and conditions of an individual or family who is homeless. 3. Emergency shelters with appropriate supportive services to help ensure that homeless individuals and families receive adequate emergency shelter and referrals. 4. Transitional housing to help homeless individuals and families who are not prepared to make the transition to permanent housing and independent living. 5. Permanent housing, or permanent supportive housing, to help meet the long term needs of homeless individuals and families. 6. Reducing chronic homelessness in Orange County and addressing the needs of homeless families and individuals using motels to meet their housing needs. Describe consultation with the Continuum(s) of Care that serves the jurisdiction's area in determining how to allocate ESG funds, develop performance standards and evaluate outcomes, and develop funding, policies and procedures for the administration of HMIS The City of Huntington Beach does not receive ESG funds, so this is not applicable. 2. Describe Agencies, groups, organizations and others who participated in the process and describe the jurisdictions consultations with housing, social service agencies and other entities Agency/Group/ Organization Agency/Group/ Organization Type What section of the Plan was addressed by Consultation? How was the Agency/ Group/ Organization consulted and what are the anticipated outcomes of the consultation or areas for improved coordination? City of Huntington Beach Other government - Local Housing Need Assessment Homeless Needs Homelessness Strategy Non-Homeless Special Needs Market Analysis Citizen Participation Advisory Board (CPAB) and Homeless Collaborative meetings. City will continue maintaining its strong relationships with service providers and local 334 Huntington Beach 2018/19 Annual Action Plan 11 Agency/Group/ Organization Agency/Group/ Organization Type What section of the Plan was addressed by Consultation? How was the Agency/ Group/ Organization consulted and what are the anticipated outcomes of the consultation or areas for improved coordination? Economic Development Non-Housing Community Development Strategy Anti-Poverty Strategy Lead-based Paint Strategy jurisdictions to implement the 5- year strategy. Huntington Beach City Council Civic Leaders Housing Need Assessment Non-Homeless Special Needs Market Analysis Economic Development Non-Housing Community Development Strategy Anti-Poverty Strategy Public hearings. City Council members reflect the needs of their constituents in the community, which have been reflected in the needs and priorities identified in the Plan. Orange County Housing Authority PHA Housing Need Assessment Public Housing Needs Market Analysis Phone interview, email correspondence. The City will continue its strong partnership with the Housing Authority. AIDS Services Foundation of Orange County Services - Health Non-Homeless Special Needs Survey of Service Providers. Citizen Participation Advisory Board (CPAB) meeting. Alzheimer's Family Services Center Services - Health Non-Homeless Special Needs Survey of Service Providers. Assistance League, DreamCatchers Auxiliary Services - Homeless Homeless Needs Survey of Service Providers. Beach Cities Interfaith Services (BCIS) Services - Homeless Homeless Needs Survey of Housing and Homeless Service Providers. Homeless Collaborative Meeting. Build Futures Services - Homeless Homeless Needs Survey of Housing and Homeless Service Providers. Homeless Collaborative Meeting. Children's Bureau Services – Children Non-Homeless Special Needs Survey of Service Providers. CPAB meeting. Collette's Children's Home Services - Homeless Homeless Needs Phone interview. Community SeniorServ Services - Elderly Persons Non-Homeless Special Needs Survey of Service Providers. CPAB meeting. CrossPoint Church Services - Homeless Homeless Needs Survey of Housing and Homeless Service Providers. CSP, Huntington Beach Youth Shelter Services - Homeless Homeless Needs Survey of Housing and Homeless Service Providers. Dayle McIntosh Center Services - Persons with Disabilities Non-Homeless Special Needs Survey of Service Providers. CPAB meeting. 335 Huntington Beach 2018/19 Annual Action Plan 12 Agency/Group/ Organization Agency/Group/ Organization Type What section of the Plan was addressed by Consultation? How was the Agency/ Group/ Organization consulted and what are the anticipated outcomes of the consultation or areas for improved coordination? Family Literacy Program Services - Children Non-Homeless Special Needs Survey of Service Providers. CPAB meeting. Huntington Beach Hospital Services - Health Non-Homeless Special Needs Survey of Service Providers. Huntington Beach Police Department Services - Homeless Homeless Needs Homelessness Strategy Survey of Housing and Homeless Service Providers. Homeless Collaborative Meeting. CPAB meeting. Huntington Beach Senior Services/Senior Outreach Services - Elderly Persons Non-Homeless Special Needs Survey of Service Providers. CPAB meeting. Mental Health Association of Orange County Health Agency Non-Homeless Special Needs Survey of Service Providers. Project Self-Sufficiency Services - Homeless Homeless Needs Survey of Service Providers. CPAB meeting. Regional Center of Orange County Services - Health Non-Homeless Special Needs Survey of Service Providers. Society of St. Vincent de Paul Services - Homeless Homeless Needs Survey of Housing and Homeless Service Providers. St. Vincent DePaul Society, St. Mary's by the Sea Services - Homeless Homeless Needs Survey of Housing and Homeless Service Providers. Table 4 – Agencies, groups, organizations who participated Identify any Agency Types not consulted and provide rationale for not consulting The City of Huntington Beach developed its Consolidated Plan through consultation with housing, social and health service providers; local agencies/governments; and the Orange County Housing Authority. The City is unaware of any Agency types relevant to the Consolidated Plan that were not consulted. 336 Huntington Beach 2018/19 Annual Action Plan 13 Other local/regional/state/federal planning efforts considered when preparing the Plan Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan? Continuum of Care OC Partnership, 2-1-1 Orange County and the OC Community Services. For the past several years, leadership and coordination of Orange County’s Continuum of Care planning process has been the shared responsibility of OC Partnership, 2-1-1 Orange County and the OC Community Services. These organizations use housing and demographic data obtained through HMIS and Homeless Counts to determine needs and to pinpoint gaps in housing and services. This in turn helps to pool and coordinate resources with the County and cities to develop coordinated homeless access and assessment centers. Huntington Beach participates in building the regional continuum of care to address the homeless and persons at- risk of homelessness. Huntington Beach 2013-2021 Housing Element City of Huntington Beach Planning Division The City recently updated its Housing Element for the 2013- 2021 period. Key housing policies and programs from the Housing Element have been reflected within the Consolidated Plan. Orange County Housing Authority Administrative Plan Orange County Housing Authority (OCHA) The purpose of OCHA’s Administrative Plan is to establish policies and procedures to implement the Section 8 Program in a manner consistent with HUD requirements and local objectives. The Consolidated Plan reflects the policies set forth in the Administrative Plan. Table 5 – Other local / regional / federal planning efforts 337 Huntington Beach 2018/19 Annual Action Plan 14 AP-12 Participation - 91.105, 91.200(c) 1. Summary of citizen participation process/Efforts made to broaden citizen participation The City followed HUD’s guidelines for citizen and community involvement in preparation of th is Annual Action Plan. To encourage citizen participation in the preparation of the documents, the City undertook several activities as summarized below. Housing and Community Development Needs Survey In order to evaluate public opinion of specific housing and community development needs for the 2015-2019 Consolidated Plan, the City utilized a Needs Survey (in English and Spanish) in which the respondent was asked to rank the level of need for a particular service, capital improvement, and public benefit. Questions about specific needs were grouped into these areas: • Housing Needs; • Homeless Needs; • Public Service Needs; • Infrastructure Needs; and • Economic Development Needs. Agency Surveys: Special Needs Service Providers, Housing & Homeless Service Providers A variety of Agencies providing services to Huntington Beach's low and moderate-income households, special needs populations, and homeless were provided a brief survey requesting input on priority needs and gaps in the services provided. A total of nineteen Agencies completed the survey. The tabulated results of these surveys are included in th e Consolidated Plan Appendix. Community Meetings For development of the Consolidated Plan, the Citizen Participation Advisory Board (CPAB) conducted a public hearing on community needs on January 15, 2015 at Huntington Beach City Hall, and a second public hearing on community needs and the Consolidated Plan on February 5, 2015. The meeting was conducted at the Oakview Library, with a total of 25 persons providing public comment on priority needs in the community. The following agencies/programs were represented: Family Literacy Program, Oakview Children's Bureau/Boys and Girls Club Afterschool Program, Project Self-Sufficiency, and Huntington Beach Senior Services/Care Management. The comments received are summarized in the Consolidated Plan Appendix. 338 Huntington Beach 2018/19 Annual Action Plan 15 FY 2018/19 Annual Action Plan The City of Huntington Beach has a Citizen Participation Plan to guide the City's CDBG citizen participation process. All citizens are encouraged to participate in the planning, development, and implementation of the Annual Action Plan. Organizations receiving direct CDBG funding are in regular contact with City staff. Other organizations are consulted as-needed or have been present at various public hearings held by the City. The City holds advertised public hearings each year to gather input on community needs as part of the development of the Annual Action Plan and to advise on the progress of existing subrecipients. In all cases, a Notice of Public Hearing is published at least 15 days prior to the hearing to provide residents with adequate notice. A draft 2018/19 Annual Action Plan was made available for public comment for a 30-day period of April 5, 2018 through May 7, 2018. Public hearings were held on January 4, 2018, and February 1, 2018 and a final public hearing was held on May 7, 2018, providing residents and interested parties a final opportunity to comment on the Annual Action Plan prior to adoption and submittal to HUD. FY 2018/19 Annual Action Plan Amendment No. One (Substantial) For the FY 2018/19 Annual Action Plan Amendment No. One (Substantial), a draft of the Amendment was made available for public comment for the minimum 30-day period (August 16 – September 17, 2018). A City Council public hearing was scheduled for September 17, 2018 but was continued to the meeting of October 1, 2018 where it was consequently approved. The public hearing provided residents and interested parties an opportunity to comment on the Amendment prior to adoption and submittal to HUD. No comments were received during the public comment period or the public hearing. FY 2018/19 Annual Action Plan Amendment No. Two (Substantial) For FY 2018/19 Annual Action Plan Amendment No. Two (Substantial), a draft of the Amendment was made available for public comment for the minimum 30-day period (April 4 – May 6, 2019). A City Council public hearing was held on May 6, 2019 which provided residents and interested parties an opportunity to comment on the Amendment prior to adoption and submittal to HUD. 339 Huntington Beach 2018/19 Annual Action Plan 16 Citizen Participation Outreach Mode of Outreach Target of Outreach Summary of response/ attendance Summary of Comments received Summary of comments not accepted and reasons URL (If applicable) Newspaper Ad Non-targeted/ broad community A newspaper advertisement was made soliciting public comment on community development and housing needs and priorities and notified the public on two scheduled public hearings on 1/4/18 and 2/1/18. Public notice was published on 12/14/17 and 1/18/18. No comments were received. No comments were received. N/A Public Hearing Minorities Non-English Speaking - Spanish Persons with disabilities Residents of Public and Assisted Housing The Citizen Participation Advisory Board (CPAB), a group of appointed Huntington Beach citizens, held public hearings on 1/4/18 and 2/1/18 to solicit input on housing and community development needs. See Huntington Beach Citizen Participation Comments in Appendix. All comments received were accepted. N/A 340 Huntington Beach 2018/19 Annual Action Plan 17 Citizen Participation Outreach Mode of Outreach Target of Outreach Summary of response/ attendance Summary of Comments received Summary of comments not accepted and reasons URL (If applicable) Public Meeting Service providers and faith-based organizations representing seniors, youth, homeless, fair housing, code enforcement, infrastructure improvements, and housing Agencies requesting CDBG funding in FY 2018/19 gave presentations and answered questions from the CPAB. Meetings took place on 2/15/18, 3/1/18, and 3/15/18. Presentations from the various agencies covered need for service in Huntington Beach community and requested allocations. A list of agencies is provided in the Huntington Beach Citizen Participation Comments in Appendix. All comments received were accepted. N/A Public Meeting Non-targeted/ broad community A joint CPAB and City Council study session was held on 4/2/18. See Huntington Beach Citizen Participation Comments in Appendix. All comments received were accepted. N/A Newspaper Ad Non-targeted/ broad community A newspaper advertisement was made soliciting public comment on the draft FY 2018/19 Annual Action Plan and to notify the public of public hearing to adopt the Annual Action Plan on 5/7/18. Public Notice was published on 4/5/2018 and 4/19/18. See Huntington Beach Citizen Participation Comments in Appendix. All comments received were accepted. N/A 341 Huntington Beach 2018/19 Annual Action Plan 18 Citizen Participation Outreach Mode of Outreach Target of Outreach Summary of response/ attendance Summary of Comments received Summary of comments not accepted and reasons URL (If applicable) Public Hearing Non-targeted/ broad community The City Council held a public hearing to adopt the 2018/19 Annual Action Plan on 5/7/18. See Huntington Beach Citizen Participation Comments in Appendix. All comments received were accepted. N/A Newspaper Ad Non-targeted/ broad community A newspaper advertisement was made soliciting public comment on the FY 2018/19 Annual Action Plan Amendment No. One (Substantial) and to notify the public of public hearing to adopt the Amendment on September 17, 2018. Public Notice was published on August 16, 2018. No comments received. No comments received. N/A 342 Huntington Beach 2018/19 Annual Action Plan 19 Citizen Participation Outreach Mode of Outreach Target of Outreach Summary of response/ attendance Summary of Comments received Summary of comments not accepted and reasons URL (If applicable) Public Hearing Non-targeted/ broad community The City Council scheduled a public hearing to adopt the 2018/19 Annual Action Plan Amendment No. One (Substantial) on September 17, 2018, but it was continued to October 1, 2018. No comments received. No comments received. N/A Newspaper Ad Non-targeted/ broad community Two newspaper advertisements were made soliciting public comment on the FY 2018/19 Annual Action Plan Amendment No. Two (Substantial) and to notify the public of a public hearing to adopt the Amendment on May 6, 2019. The Public Notices were published on April 4, 2019, and April 18, 2019. No comments received. No comments received. N/A 343 Huntington Beach 2018/19 Annual Action Plan 20 Citizen Participation Outreach Mode of Outreach Target of Outreach Summary of response/ attendance Summary of Comments received Summary of comments not accepted and reasons URL (If applicable) Public Hearing Non-targeted/ broad community The City Council held a public hearing to adopt the 2018/19 Annual Action Plan Amendment No. Two (Substantial) on May 6, 2019. No comments received. No comments received. N/A Table 6 - Citizen Participation Outreach 344 Huntington Beach 2018/19 Annual Action Plan 21 Expected Resources AP-15 Expected Resources – 91.220(c) (1,2) Program Source of Funds Uses of Funds Expected Amount Available Year 4 Expected Amount Available Remainder of ConPlan $ Narrative Description Annual Allocation: $ Program Income: $ Prior Year Resources: $ Total: $ CDBG Public- Federal Acquisition, Planning, Economic Development, Housing, Public Improvements, Public Services $1,155,697 $0 $223,607 $1,379,304 $1,155,697 Entitlement funds allocation plus estimated program income plus prior-year resources. HOME Public- Federal Acquisition, Homebuyer assistance, Homeowner rehab, Multifamily rental new construction, Multifamily rental rehab, New construction for ownership, TBRA $606,864 $50,000 $765,381 $1,422,245 $606,864 Entitlement allocation plus estimated program income and prior-year resources. CDBG Revolving Loan Fund Public- Federal Homeowner Rehab $0 $250,000 $733,912 $983,912 $250,000 Loan payoffs (program income). Table 7 - Expected Resources – Priority Table 345 Huntington Beach 2018/19 Annual Action Plan 22 Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how matching requirements will be satisfied Federal funds play a crucial role in implementing the Consolidated Plan. Local private and non - federal funds are usually insufficient to meet the heavy demand for housing and services in our community. Agencies receiving CDBG and HOME funds use those funds as a commitment to receiving other funding sources. Likewise, the City also leverages other resources among the formula grant programs. For example, the HOME program is matched by a variety of sources, including private and public investment including the use of low-income housing tax credits. Other future sources of matching funds include inclusionary housing in-lieu fees; residual receipts from loans of the former Redevelopment Agency; and a State SERAF loan repayment of former Redevelopment Low/Mod Housing Funds (one-time payment). HUD requires a 25% match on HOME funds drawn down for affordable housing. Historically, the City has met the match requirement with the use of former Huntington Beach redevelopment tax increment funds that were layered with HOME funds in developing afforda ble housing. While redevelopment tax increment funds are no longer available for future match requirements, the City has been utilizing a match surplus derived from prior contributions by the former Huntington Beach Redevelopment Agency in developing affordable housing developments. The City was required to utilize 20% of these funds to develop low- and moderate- income housing. The City's match surplus is approximately $3,115,277. If appropriate, describe publicly owned land or property located within the jurisdiction that may be used to address the needs identified in the plan Not applicable. 346 Huntington Beach 2018/19 Annual Action Plan 23 Annual Goals and Objectives AP-20 Annual Goals and Objectives Sort Order Goal Name Start Year End Year Category Geographic Area Needs Addressed Funding Goal Outcome Indicator 1 Preserve Existing and Create New Affordable Housing 2018 2019 Affordable Housing Citywide Priority Housing Needs $100,000 $50,000 (CDBG RLF) $150,000 $75,000 (CDBG RLF) $65,000 (CDBG) Homeowner Units Rehabilitated – 12 6 Household Housing Units (Owner-Occupied SF, Condo, and Mobile Home Grant Program) Homeowner Units Rehabilitated – 3 2 Household Housing Units (Owner-Occupied Single-Family Rehabilitation Loan Program) Homeowner Units Rehabilitated – 15 Household Housing Units (Housing Rehabilitation Loan Administration) 347 Huntington Beach 2018/19 Annual Action Plan 24 1 (cont.) Preserve Existing and Create New Affordable Housing 2018 2019 Affordable Housing Citywide Priority Housing Needs $600,000 (HOME) $187,078 (HOME) $250,000 (HOME) $98,900 (HOME) Rental Units Constructed – 7 Household Housing Units [15161 Jackson Street Project (“The Navigation Center”)] Tenant-Based Rental Assistance 22 Households (Interval House TBRA Program) Tenant-Based Rental Assistance 15 Households (Families Forward TBRA Program) Tenant-Based Rental Assistance 10 Households (Mercy House TBRA Program) 2 Sustain and Strengthen Neighborhoods 2018 2019 Non-Housing Community Development Special Code Enforcement Areas Priority Housing Needs $190,000 (CDBG) Housing Code Enforcement/ Foreclosed Property Care – 600 Housing Units (Special Code Enforcement) 348 Huntington Beach 2018/19 Annual Action Plan 25 3 Support Social Service Agencies that Assist Homeless Populations 2018 2019 Homeless Non-Housing Community Development Citywide Priority Homeless Needs $78,355 (CDBG) $5,000 (CDBG) Public service activities other than Low/Mod Income Housing Benefit – 275 Persons Assisted (Homeless Outreach Program) Public service activities other than Low/Mod Income Housing Benefit – 25 Persons Assisted (StandUp for Kids Street Outreach Program) 4 Support Social Service Agencies that Assist Special Needs Populations 2018 2019 Non-Homeless Special Needs Citywide Priority Special Needs Populations $40,000 (CDBG) Public service activities other than Low/Mod Income Housing Benefit – 375 Persons Assisted (Senior Outreach Program) 349 Huntington Beach 2018/19 Annual Action Plan 26 5 Preserve Existing Public Facilities 2018 2019 Non-Housing Community Development Low/Mod Areas Priority Community Facilities $275,668 (CDBG) $223,607 (CDBG) $766,905 (CDBG RLF) Public Facility or Infrastructure Activities other than Low/Mod Income Housing Benefit – 24,225 Persons Assisted (Central Library ADA Restrooms Renovation Project) Public Facility or Infrastructure Activities other than Low/Mod Income Housing Benefit – 360 Persons Assisted (Huntington Beach Navigation Center) 6 Provide Needed Community Services to Low/Mod Persons 2018 2019 Non-Housing Community Development Citywide Priority Community Services $40,000 (CDBG) $10,000 (CDBG) Public service activities other than Low/Mod Income Housing Benefit – 300 Persons Assisted (Children’s Bureau) Public service activities other than Low/Mod Income Housing Benefit – 190 Persons Assisted (Oakview Family Literacy) 7 Provide Economic Opportunity 2018 2019 Non-Housing Community Development Citywide Economic Opportunity $220,536 $227,260 (CDBG) Other (Section 108 Loan Payment) 350 Huntington Beach 2018/19 Annual Action Plan 27 8 Planning for Housing and Community Development 2018 2019 Other: Administration Not Applicable Other Housing and Community Development Needs $60,686 (HOME) $231,139 $224,415 (CDBG) Other – Not Applicable (HOME Administration; CDBG Administration; Fair Housing Foundation) Unallocated Funds 2018 2019 N/A N/A N/A $733,912 $92,007 (CDBG RLF) $223,607 $0 (CDBG) $225,581 (HOME) N/A (Unallocated Funds) Table 8 – Goals Summary 351 Huntington Beach 2018/19 Annual Action Plan 28 Goal Descriptions 1 Goal Name Preserve Existing and Create New Affordable Housing Goal Description To the extent possible, based upon the availability of funds and a project’s viability, HOME funds will be used to assist affordable housing developers in the acquisition, construction and/or rehabilitation of low-income rental and/or owner housing units. HOME funds will also be used to fund tenant based rental assistance efforts. Lastly, the City will use CDBG revolving loan funds for residential rehabilitation programs for low and moderate-income homeowners. [Projects: Owner-Occupied SF, Condo, and Mobile Home Grant Program; Owner-Occupied Single-Family Rehabilitation Loan Program; Housing Rehab Loan Administration; 15161 Jackson Street SRO Affordable Housing Project (“The Navigation Center”); Interval House Tenant Based Rental Assistance Program; Families Forward Tenant Based Rental Assistance Program; Mercy House Tenant Based Rental Assistance Program] 2 Goal Name Sustain and Strengthen Neighborhoods Goal Description Using CDBG funds, the City will sustain and strengthen neighborhoods by eliminating unsafe conditions and blight while improving the quality of life of residents within the community. (Project: Special Code Enforcement) 3 Goal Name Support Social Service Agencies that Assist Homeless Populations Goal Description Using CDBG public service funds, the City will provide homeless outreach services and case management to Huntington Beach’s homeless population. (Project: Homeless Outreach Program; StandUp for Kids Street Outreach Program) 4 Goal Name Support Social Service Agencies that Assist Special Needs Populations Goal Description Using CDBG public service funds, the City will provide assistance to special needs service providers. (Projects: Senior Care Management) 5 Goal Name Preserve Existing Public Facilities Goal Description Using CDBG and CDBG Revolving Loan funds, the City will provide financial assistance to preserve existing facilities. (Projects: Central Library ADA Restrooms Renovation Project; Huntington Beach Navigation Center) 6 Goal Name Provide Needed Community Services to Low/Mod Persons Goal Description Using CDBG public service funds, the City will provide assistance to various social service agencies for programs for youth, fair housing, anti-crime, and general public services. Services must benefit at least 51 percent low/mod persons. (Projects: Children’s Bureau, Oakview Family Literacy Program) 7 Goal Name Provide Economic Opportunity Goal Description Using CDBG funds, the City will support projects and programs targeted to low and moderate-income business owners, persons wishing to start or expand a business, or in workforce development. The City will also use CDBG funds to pay debt service associated with a previous Section 108 Loan. (Projects: Section 108 Loan Repayment) 352 Huntington Beach 2018/19 Annual Action Plan 29 8 Goal Name Planning for Housing and Community Development Goal Description The City will conduct the following administration/planning activities: (1) General Administration of CDBG and HOME Program, including preparation of budget, applications, certifications and agreements, (2) Coordination of CDBG- funded capital improvement projects, (3) Coordination of Public Service Subrecipients, (4) Coordination of HOME-funded housing projects, (5) Monitoring of CDBG and HOME projects/programs to ensure compliance with federal regulations, (6) Preparation of Annual Action Plan, (7) Preparation of the CAPER; and (8) Fair Housing Foundation counseling, education and enforcement (CDBG funded). Up to 20% of the annual CDBG entitlement and up to 10% of the HOME entitlement is allowed for administration activities. (Project: HOME Administration, CDBG Administration, Fair Housing Foundation) Estimate the number of extremely low-income, low-income, and moderate-income families to whom the jurisdiction will provide affordable housing as defined by HOME 91.215(b) As presented above, the City’s one-year goal is to provide affordable housing opportunities to 46 extremely low, low, and moderate-income households through the following activities: • Owner-Occupied SF, Condo, and Mobile Home Grant Program: The City offers a one-time grant not to exceed $10,000 to low-income homeowners for deferred maintenance and health and safety-related household repairs. Deferred maintenance can include paint, siding replacement, window and door replacement, roof repair, or removal of any condition of blight. Household repairs may include restoration or replacement of inoperable or severely deteriorated plumbing, heating, and electrical systems, structural and appliance replacement. The City proposes to fund 12 6 grants in FY 2018/19. • Owner-Occupied Single-Family Rehabilitation Loan Program: Funded with CDBG Revolving Loan Funds, the Single-Family Rehabilitation Loan Program offers low-income homeowners up to $75,000 in deferred payment loans. Individual loans may be increased by up to $10,000 if deemed necessary to meet HUD HQS requirements and rehabilitation standards and would require the approval by the Director of Economic Development. Payment of the principal and accrued interest is deferred until the property is sold, transferred, or refinanced. In FY 2018/19, the City proposes to fund three two loans. • 15161 Jackson Street SRO Affordable Housing Project (“The Navigation Center”): The City will partner with the local CHDO - American Family Housing, the City of Westminster, and the County of Orange for the construction of permanent Single Residential Occupancy units at 15161 Jackson Street in Midway City. Called, “The Navigation Center,” the proposed project will include rehabilitating the top story of American Family Housing’s two-floor atrium-style building to establish 7 SRO units for Huntington Beach homeless individuals. American Family Housing will offer wrap around case management and 353 Huntington Beach 2018/19 Annual Action Plan 30 homeless services for residents of The Navigation Center. • Tenant Based Rental Assistance: The City will continue working with Interval House to provide 22 households with short and medium-term rental assistance as well as housing relocation and stabilization services. Also, via an amendment to the FY 2018/19 Annual Action Plan, the City will offer an additional 15 households tenant based rental assistance through Families Forward, a non-profit organization committed to helping families in need to achieve and maintain self-sufficiency through housing, food, counseling, and other support services. Finally, also as part of the substantial amendment, the City will again partner with Mercy House to provide 10 households with tenant based rental assistance in FY 2018/19. The contract with Mercy House will extend through the end of FY 2019/20. 354 Huntington Beach 2018/19 Annual Action Plan 31 Projects AP-35 Projects – 91.220(d) The City plans to undertake the following CDBG and HOME funded activities during Fiscal Year 2018/19 to address its priority housing and community development needs. All proposed activities are eligible and meet program service targets. Additionally, the City of Huntington Beach has not exceeded any of its maximum allocations for CDBG public services, CDBG administration, or HOME administration. With a CDBG allocation of $1,155,697, the City of Huntington Beach is allowed to allocate a maximum of 15%, or $173,355, in public services. This Annual Action Plan proposes to allocate the maximum 15% in public services towards the following activities: Homeless Outreach Program ($78,355); Senior Services Care Management ($40,000); Children’s Bureau ($40,000); StandUp for Kids Street Outreach ($5,000); and the Oakview Family Literacy Program ($10,000). CDBG regulations also permit a maximum allocation of 20%, or $231,139, for CDBG administration activities. The City has allocated $201,139 $194,415 for CDBG Administration and $30,000 to the Fair Housing Foundation, for a total of $231,139 $224,415, 19.4% of the maximum allowed. Lastly, a maximum of 10%, or $60,686, in HOME administration activities is allowed to be allocated in FY 2018/19. The City has allocated this amount for the HOME Program Administration activity in the Annual Action Plan. 355 Huntington Beach 2018/19 Annual Action Plan 32 Projects # Project Name 1 Owner-Occupied SF, Condo, and Mobile Home Grant Program 2 Owner-Occupied Single-Family Rehabilitation Loan Program 3 Housing Rehabilitation Loan Administration 4 15161 Jackson Street SRO Affordable Housing Project (“The Navigation Center”) 5 Interval House Tenant Based Rental Assistance (TBRA) Program 6 Families Forward Tenant Based Rental Assistance (TBRA) Program 7 Mercy House Tenant Based Rental Assistance (TBRA) Program 8 Special Code Enforcement 9 Homeless Outreach Program 10 StandUp for Kids Street Outreach Program 11 Senior Services – Care Management 12 Central Library ADA Restroom Renovation Project 13 Huntington Beach Navigation Center 13 14 Oak View Community Center – Children’s Bureau 14 15 Oakview Family Literacy 15 16 Section 108 Loan Repayment 16 17 HOME Administration 17 18 CDBG Administration 18 19 Fair Housing Foundation 19 20 Unallocated HOME Funds 20 21 Unallocated CDBG RLF Funds 21 22 Unallocated CDBG Funds 9 (2017) RLF Youth Shelter Roof, Structural and ADA Improvements 11 (2017) RLF Curb Cuts in Maintenance Zones Citywide Table 9 - Project Information Describe the reasons for allocation priorities and any obstacles to addressing underserved needs The Housing and Homeless Needs Assessment of the Consolidated Plan discusses housing need by income category. Income levels identified are 1) extremely low-income; 2) very low-income, and; 3) low- and moderate-income households. Based on HUD recommendations, general relative priorities for funding will be as follows: HIGH PRIORITY: Activities to address this need will be funded during the five-year period. MEDIUM PRIORITY: If funds are available, activities to address this need may be funded by the City during the five-year period. The City may also use other sources of funds and take actions to locate other sources of funds. 356 Huntington Beach 2018/19 Annual Action Plan 33 LOW PRIORITY: It is not likely the City will fund activities to address this need during the five-year period. The highest priority has been assigned to the needs of the lowest income residents, based on the assumption that in this high cost real estate market, they are at greater risk of displacement, homelessness or other serious housing situations due to limited financial resources and othe r limitations they may face. The Consolidated Plan identifies several obstacles in meeting underserved needs, including the high and sustained demand for public services, as well as the shortage of funding to address the community's needs. 357 Huntington Beach 2018/19 Annual Action Plan 34 AP-38 Project Summary Project Summary Information 1 Project Name Owner-Occupied SF, Condo, and Mobile Home Grant Program Target Area Citywide Goals Supported Preserve Existing and Create New Affordable Housing Needs Addressed Priority Housing Needs Funding CDBG RLF: $100,000 $50,000 Description Eligibility Citation: 24 CFR 570.202 - Housing/Rehab: Single Unit Residential National Objective Citation: 24 CFR 570.208(a)(3) - Low Mod Housing Benefit The City offers a one-time grant not to exceed $10,000 to low-income homeowners for deferred maintenance and health and safety-related household repairs. Deferred maintenance can include paint, siding replacement, window and door replacement, roof repair, or removal of any condition of blight. Household repairs may include restoration or replacement of inoperable or severely deteriorated plumbing, heating, and electrical systems, structural and appliance replacement. The City proposes to fund 12 6 grants in FY 2018/19. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 12 6 housing units Location Description Citywide Planned Activities Same as description. 358 Huntington Beach 2018/19 Annual Action Plan 35 2 Project Name Owner-Occupied Single-Family Rehabilitation Loan Program Target Area Citywide Goals Supported Preserve Existing and Create New Affordable Housing Needs Addressed Priority Housing Needs Funding CDBG RLF: $150,000 $75,000 Description Eligibility Citation: 24 CFR 570.202 - Housing/Rehab: Single Unit Residential National Objective Citation: 24 CFR 570.208(a)(3) - Low Mod Housing Benefit Funded with CDBG Revolving Loan Funds, the Single- Family Rehabilitation Loan Program offers low- income homeowners up to $75,000 in deferred payment loans. Individual loans may be increased by up to $10,000 if deemed necessary to meet HUD HQS requirements and rehabilitation standards and would require the approval by the Director of Economic Development. Payment of the principal and accrued interest is deferred until the property is sold, transferred, or refinanced. In FY 2018/19, the City proposes to fund three two loans. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 3 2 housing units Location Description Citywide Planned Activities Same as description. 359 Huntington Beach 2018/19 Annual Action Plan 36 3 Project Name Housing Rehab Loan Administration Target Area Citywide Goals Supported Preserve Existing and Create New Affordable Housing Needs Addressed Priority Housing Needs Funding CDBG: $65,000 Description Eligibility Citation: 24 CFR 570.202 (b)(9) – Rehab Administration National Objective Citation: 24 CFR 570.208 (a)(3) – Housing Activities The City of Huntington Beach Housing Rehabilitation Grant and Loan Program provides emergency grants and low interest loans to low and very low-income families who need repairs to their homes. The City is requesting a grant in the amount of $65,000 to pay for operational costs associated with the City’s two Rehabilitation Programs, which has been administered by the Office of Business Development since the early 1970’s. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 15 housing units Location Description Citywide Planned Activities Same as description. 360 Huntington Beach 2018/19 Annual Action Plan 37 4 Project Name 15161 Jackson Street SRO Affordable Housing Project (“The Navigation Center”) Target Area Citywide Goals Supported Preserve Existing and Create New Affordable Housing Needs Addressed Priority Housing Needs Funding HOME: $600,000 Description Eligibility Citation: 24 CFR 92.205(a)(1) - Acquisition/Rehabilitation/New Construction National Objective Citation: 24 CFR 570.208(a)(3) - Low Mod Housing Benefit The City will partner with the local CHDO - American Family Housing, the City of Westminster, and the County of Orange for the construction of permanent Single Residential Occupancy units at 15161 Jackson Street in Midway City. Called, “The Navigation Center,” the proposed project will include rehabilitating the second story of American Family Housing’s two-floor atrium-style building to establish 7 SRO units for homeless individuals. American Family Housing will offer wrap around case management and homeless services for residents of The Navigation Center. Target Date June 30, 2021 Estimate the number and type of families that will benefit from the proposed activities Approximately 7 homeless households will benefit from the proposed activity. Location Description 15161 Jackson Street, Midway City, CA Planned Activities Same as description. 361 Huntington Beach 2018/19 Annual Action Plan 38 5 Project Name Interval House Tenant Based Rental Assistance (TBRA) Program Target Area Citywide Goals Supported Preserve Existing and Create New Affordable Housing Needs Addressed Priority Housing Needs Funding HOME: $187,078 Description Eligibility Citation: 24 CFR 92.205(a)(1) – Tenant Based Rental Assistance National Objective Citation: 24 CFR 570.208(a)(3) - Low Mod Housing Benefit The City will continue working with Interval House to provide 22 households with short and medium-term rental assistance as well as housing relocation and stabilization services. The TBRA Program will meet the City's investment criteria by dedicating program assistance to homeless households with incomes at or below 30% AMI with preference to veterans, seniors, and victims of domestic violence. Target Date 06/30/2019 Estimate the number and type of families that will benefit from the proposed activities 22 households Location Description Citywide. Planned Activities Same as description. 362 Huntington Beach 2018/19 Annual Action Plan 39 6 Project Name Families Forward Tenant Based Rental Assistance (TBRA) Program Target Area Citywide Goals Supported Preserve Existing and Create New Affordable Housing Needs Addressed Priority Housing Needs Funding HOME: $250,000 Description Eligibility Citation: 24 CFR 92.205(a)(1) – Tenant Based Rental Assistance National Objective Citation: 24 CFR 570.208(a)(3) - Low Mod Housing Benefit The City will contract with Families Forward, a non- profit organization to provide 15 households with short and medium-term rental assistance. Families Forward will also assist households with case management, housing navigation, and supportive services. Target Date 06/30/2019 Estimate the number and type of families that will benefit from the proposed activities 15 households Location Description Citywide. Planned Activities Same as description. 363 Huntington Beach 2018/19 Annual Action Plan 40 7 Project Name Mercy House Tenant Based Rental Assistance (TBRA) Program Target Area Citywide Goals Supported Preserve Existing and Create New Affordable Housing Needs Addressed Priority Housing Needs Funding HOME: $98,900 Description Eligibility Citation: 24 CFR 92.205(a)(1) – Tenant Based Rental Assistance National Objective Citation: 24 CFR 570.208(a)(3) - Low Mod Housing Benefit The City will enter into a new two-year agreement with Mercy House for administration of a TBRA program. It is estimated that 10 households will be served in FY 2018/19. Target Date 06/30/2019 Estimate the number and type of families that will benefit from the proposed activities 10 households Location Description Citywide. Planned Activities Same as description. 364 Huntington Beach 2018/19 Annual Action Plan 41 8 Project Name Special Code Enforcement Target Area Special Code Enforcement Areas Goals Supported Sustain and Strengthen Neighborhoods Needs Addressed Priority Housing Needs Funding CDBG: $190,000 Description Eligibility Citation: 24 CFR 570.202 (c) - Code Enforcement National Objective Citation: 24 CFR 570.208 (a)(1) - Low Mod Area Benefit Funding for the Special Code Enforcement Program will be used to support salaries for one (2) full-time Code Enforcement Officers. As the City ages, certain areas within the City of Huntington Beach need ongoing, proactive property maintenance inspections by Code Enforcement to maintain a safe environment. Thus, with continued code enforcement efforts, the quality of life and housing standards are maintained. The Special Code Enforcement Program benefits the community overall by upgrading the housing stock within deteriorating and deteriorated areas. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 600 housing units Location Description Special Code Enforcement Areas. Planned Activities Same as description. 365 Huntington Beach 2018/19 Annual Action Plan 42 9 Project Name Homeless Outreach Program Target Area Citywide Goals Supported Support Social Service Agencies that Assist Homeless Populations Needs Addressed Priority Homeless Needs Funding CDBG: $78,355 Description Eligibility Citation: 24 CFR 570.201 (c) - Operating Costs of Homeless/AIDS Patients Programs National Objective Citation: 24 CFR 570.208 (a)(2) - Low/Mod Limited Clientele Benefit This project will fund one part-time Homeless Outreach Coordinator who oversees these efforts, and three part-time Homeless Case Managers who works in conjunction with the 2 Homeless Police Liaison Officer's and Coordinator. These part-time individuals, in conjunction with two police officers, are strictly dedicated to homeless outreach and enforcement issues, and comprise the City's Homeless Task Force. The funded positions are absolutely vital to the success of the unit, as each homeless client has unique needs. A great deal of personal follow-up, effort, resource connection and behavioral modification is necessary to create a successful outcome in obtaining and maintaining housing, which is the ultimate goal of the Homeless Task Force. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 275 persons (homeless) Location Description Citywide Planned Activities Same as description. 366 Huntington Beach 2018/19 Annual Action Plan 43 10 Project Name StandUp for Kids Street Outreach Program Target Area Citywide Goals Supported Support Social Service Agencies that Assist Homeless Populations Needs Addressed Priority Homeless Needs Funding CDBG: $5,000 Description Eligibility Citation: 24 CFR 570.201 (c) - Operating Costs of Homeless/AIDS Patients Programs National Objective Citation: 24 CFR 570.208 (a)(2) - Low/Mod Limited Clientele Benefit StandUp for Kids Orange County's weekly Street Outreach Program is a county-wide program where volunteer staff scout Orange County streets searching for youth who are currently unsheltered or unstably housed. StandUp for Kids serves teens and youth (ages 12 - 24) who are homeless, at-risk, aging- out of foster care, or runaways to equip them with the tools they need to transition from life on the street to a life of stability and opportunity. The Street Outreach program provides basic services (food, clothing, hygiene items, and survival kits) as well as medical assistance and compassionate mentoring. Each city program is supported by a Program Director who is responsible for making connections with key contacts in the city, supervising all weekly city visits, organizing and training all volunteers, and maintaining records of clients served. City residents will benefit by the addition of productive citizens to the city's population. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 25 persons (homeless) Location Description Citywide Planned Activities Same as description. 367 Huntington Beach 2018/19 Annual Action Plan 44 11 Project Name Senior Services Care Management Target Area Citywide Goals Supported Support Agencies that Assist Special Needs Populations Needs Addressed Priority Special Needs Funding CDBG: $40,000 Description Eligibility Citation: 24 CFR 570.201(e) - Public Services/Senior Services National Objective Citation: 24 CFR 570.208(a)(2) - Low Mod Limited Clientele Benefit Senior Services Care Management focuses on the unmet needs of at-risk older adults by providing services aimed toward successful aging in place. Care Management, Home Delivered Meals, and Transportation are designed to assist frail and homebound seniors remain in their own homes safely while enhancing their quality of life. Senior Outreach Care Managers work with and assist at-risk seniors, consult with families and caregivers, and collaborate with service providers to help develop a plan for late life. Care Managers are a source of information and support to Huntington Beach residents regarding any complicated aging issues. Case Management services improve the quality of life of older adults and those who care for them. Services include: assessment, care planning, education, advocacy, application and connection to benefits, home delivered meals, emergency food, transportation, end of life planning, home improvement and safety, personal emergency response systems, and emotional support. CDBG funds will be used towards the funding of two half- time Care Managers, whom provide services to approximately 375 extremely low, low and moderate incomes, frail, at-risk, and homebound seniors. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 375 persons (seniors) Location Description The Senior Services Care Management Program is located at 18041 Goldenwest Street, Huntington Beach; however, the service is available to elderly persons citywide. Planned Activities Same as description. 368 Huntington Beach 2018/19 Annual Action Plan 45 12 Project Name Central Library ADA Restroom Renovation Project Target Area Citywide Goals Supported Provide Needed Infrastructure Improvements Needs Addressed Priority Infrastructure Improvements Funding CDBG: $275,668 Description Eligibility Citation: 24 CFR 570.201(c) - Public Facilities and Infrastructure Improvements/Other National Objective Citation: 24 CFR 570.208(a)(2) - Low Mod Limited Clientele Benefit The Public Works Department proposes to design and construct renovations to the main floor Men's and Women's restrooms in the original section of the Central Library. These renovations will be designed by a professional architect to create ADA-compliant restrooms, thereby improving accessibility to this facility for individuals with disabilities. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 24,225 persons Location Description 7111 Talbert Avenue, Huntington Beach, CA 92648 Planned Activities Same as description. 369 Huntington Beach 2018/19 Annual Action Plan 46 13 Project Name Huntington Beach Navigation Center Target Area Citywide Goals Supported Support Social Service Agencies that Assist Homeless Populations Preserve Existing Public Facilities Needs Addressed Priority Public Facilities Funding CDBG: $223,607 CDBG RLF: $766,905 Description Eligibility Citation: 24 CFR 570.201(c) – Homeless Facilities National Objective Citation: 24 CFR 570.208(a)(2) - Low Mod Limited Clientele Benefit / Presumed Benefit The City of Huntington Beach is proposing to allocate $223,607 in CDBG funds and $766,905 in CDBG Revolving Loan Funds via substantial amendment, to help fund the acquisition and facility improvements for a new public facility for homeless persons located at 15311 Pipeline Lane, Huntington Beach. The Huntington Beach Navigation Center will provide 90- beds for nightly shelter in an 11,000 square foot building on a 24,686 square foot lot. The total project cost is estimated at $2.5 million and will include acquisition of the property and public facility improvements including renovations to the bathrooms, construction of new shower facilities, storage and laundry facilities, new paint, and a new HVAC system, thereby improving accessibility to this facility for homeless individuals. The subject property will be used to serve the homeless population of Huntington Beach by providing nightly shelter and concurrent case management to assist clients in navigating public, private, and non-profit organizations that serve this demographic population. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 360 persons Location Description 15311 Pipeline Lane, Huntington Beach, CA 92649 Planned Activities Same as description. 370 Huntington Beach 2018/19 Annual Action Plan 47 14 Project Name Children’s Bureau Target Area Citywide Goals Supported Provide Needed Community Services to Low and Moderate Persons Needs Addressed Priority Community Services Funding CDBG: $40,000 Description Eligibility Citation: 24 CFR 570.201(e) - Public Services/Youth Services National Objective Citation: 24 CFR 570.208(a)(2) - Low Mod Limited Clientele Benefit Children’s Bureau is committed to providing vulnerable children, especially in the early years, the foundation necessary to become caring and productive adults by: 1) preventing child abuse and neglect; 2) protecting, nurturing, and treating abused children; 3) enhancing the potential of families and communities to meet the needs of their children; and 4) advancing the welfare of children and families through superior programs in child development, parent education, mental health, research and advocacy. CDBG funds will be used to provide an after school drop-in recreation program in a safe environment, promoting healthy activity, social interaction, and fun as an alternative to unsupervised, unstructured, high-risk activity. CDBG funds will pay for staff, supplies, equipment, and services. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 300 persons (youth) Location Description Oakview Enhancement Area. Planned Activities See description. 371 Huntington Beach 2018/19 Annual Action Plan 48 15 Project Name Oakview Family Literacy Program Target Area Citywide Goals Supported Provide Needed Community Services to Low and Moderate Persons Needs Addressed Priority Community Services Funding CDBG: $10,000 Description Eligibility Citation: 24 CFR 570.201(e) - Public Services/Other Public Services National Objective: 24 CFR 570.208(a)(2) - Low Mod Limited Clientele Benefit CDBG funds will be used to operate the Family Literacy Program which provides one-to-one and small group tutoring so that low-income adults in Huntington Beach can improve their ability to understand, speak, read, and write in English. Increased English literacy skills give adults improved ability to function on the job and in the community and help their children succeed in school. Basic computer workshops increase computer literacy necessary for adults to function in the 21st century. Having a literate citizenry makes a safer and more successful community for all. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 190 persons Location Description Citywide Planned Activities Same as description. 372 Huntington Beach 2018/19 Annual Action Plan 49 16 Project Name Section 108 Loan Repayment Target Area Citywide Goals Supported Provide Economic Opportunity Needs Addressed Economic Opportunity Funding CDBG: $220,536 $227,260 Description Eligibility Citation: 24 CFR 570, Subpart M - Planned Repayments of Section 108 Loans National Objective Citation: Not Applicable A Section 108 Loan used for the annual loan payment for rehabilitation of the historic City Gym and Pool. CDBG funds will be used to repay the existing Section 108 loan. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities Not applicable. Location Description Not applicable. Planned Activities Same as description. 373 Huntington Beach 2018/19 Annual Action Plan 50 17 Project Name HOME Program Administration Target Area Citywide Goals Supported Planning for Housing and Community Development Needs Addressed Other Housing and Community Development Needs Funding HOME: $60,686 Description Eligibility Citation: 24 CFR 92.207(a) - General Management, Oversight and Coordination National Objective Citation: Not Applicable The City of Huntington Beach Office of Business Development is responsible for administering the HOME program. Up to 10 percent of the HOME allocation will be used to provide for staffing and other program administration costs associated with the HOME program, including planning, reporting, monitoring, and IDIS setup and maintenance. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities Not applicable. Location Description Not applicable. Planned Activities Same as description. 374 Huntington Beach 2018/19 Annual Action Plan 51 18 Project Name CDBG Program Administration Target Area Citywide Goals Supported Planning for Housing and Community Development Needs Addressed Other Housing and Community Development Needs Funding CDBG: $201,139 $194,415 Description Eligibility Citation: 24 CFR 570.206(a) - Administration and Planning/General Program Administration National Objective Citation: Not Applicable The City will conduct the following administration/planning activities: (1) General Administration of CDBG Program, including preparation of budget, applications, certifications and agreements; (2) Coordination of CDBG-funded capital improvement projects; (3) Coordination of Public Service Subrecipients, (4) Coordination of HOME-funded housing projects; (5) Monitoring of CDBG projects/programs to ensure compliance with federal regulations; (6) Preparation of the Annual Action Plan; (7) Preparation of the CAPER; and (8) Fair Housing Foundation counseling, education and enforcement. Up to 20% of the annual CDBG entitlement is allowed for administration activities. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities Not applicable. Location Description Not applicable. Planned Activities Same as description. 375 Huntington Beach 2018/19 Annual Action Plan 52 19 Project Name Fair Housing Foundation Target Area Citywide Goals Supported Provide Needed Community Services to Low and Moderate Persons Needs Addressed Priority Community Services Funding CDBG: $30,000 Description Eligibility Citation: 24 CFR 570.206(c) - Administration and Planning/Fair Housing Activities National Objective Citation: Not Applicable The Fair Housing Foundation (FHF) offers a comprehensive Fair Housing Program that meets the HUD CDBG requirement to affirmatively further fair housing and includes the following services: 1) discrimination complaint counseling, intake, investigations, and resolutions; 2) education and outreach services; 3) general housing (tenant/landlord) counseling, mediations, assistance, resolution, and referrals; and 4) affirmatively further fair housing activities to address the Analysis of Impediments to Fair Housing Choice. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities Not applicable. Location Description Citywide. Planned Activities Same as description. 376 Huntington Beach 2018/19 Annual Action Plan 53 20 Project Name Unallocated CDBG Revolving Loan Funds Target Area Not applicable Goals Supported Not applicable Needs Addressed Not applicable Funding CDBG RLF: $733,912 $92,007 Description Unallocated CDBG Revolving Loan Funds Target Date Not applicable Estimate the number and type of families that will benefit from the proposed activities Not applicable Location Description Not applicable Planned Activities Not applicable 377 Huntington Beach 2018/19 Annual Action Plan 54 21 Project Name Unallocated HOME Funds Target Area Not applicable Goals Supported Not applicable Needs Addressed Not applicable Funding HOME: $225,581 Description Unallocated HOME Funds Target Date Not applicable Estimate the number and type of families that will benefit from the proposed activities Not applicable Location Description Not applicable Planned Activities Not applicable 378 Huntington Beach 2018/19 Annual Action Plan 55 21 Project Name Unallocated CDBG Funds Target Area Not applicable Goals Supported Not applicable Needs Addressed Not applicable Funding CDBG: $223,607 $0 Description Unallocated CDBG Funds Target Date Not applicable Estimate the number and type of families that will benefit from the proposed activities Not applicable Location Description Not applicable Planned Activities Not applicable 379 Huntington Beach 2018/19 Annual Action Plan 56 9 (2017) Project Name Youth Shelter Roof, Structural and ADA Improvements Target Area Citywide Goals Supported Provide Needed Infrastructure Improvements; Provide Needed Community Services to Low and Moderate Persons Needs Addressed Priority Infrastructure Improvements Funding CDBG Revolving Loan Fund: $525,000 Description Eligibility Citation: 24 CFR 570.201(c) - Public Facilities and Infrastructure Improvements/Other National Objective Citation: 24 CFR 570.208(a)(2) - Low Mod Limited Clientele Benefit Homeless youth utilize the Huntington Beach Youth Shelter, a City-owned facility, for access to safe, temporary shelter and services, including family reunification, as well as legal, medical, and psychological support. CDBG funds will be allocated to this project from Unbudgeted Revolving Loan Funds to replace the existing roof and associated structural improvements, as well as ADA improvements to the building and the parking lot. Target Date 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 216 persons (homeless youth) Location Description 7291 Talbert Avenue, Huntington Beach, CA 92648 Planned Activities Same as description. 380 Huntington Beach 2018/19 Annual Action Plan 57 11 (2017) Project Name Curb Cuts in Maintenance Zones Citywide Target Area Citywide Goals Supported Provide Needed Infrastructure Improvements; Needs Addressed Priority Infrastructure Improvements Funding CDBG Revolving Loan Fund: $575,000 Description Eligibility Citation: 24 CFR 570.201(c) - Public Facilities and Infrastructure Improvements/Other National Objective Citation: 24 CFR 570.208(a)(2) - Low Mod Limited Clientele Benefit Residents and visitors with disabilities citywide utilize ADA ramps to access street intersections when traveling on city sidewalks. Unbudgeted Revolving Loan Funds CDBG funds will be allocated to this project to construct curb ramps at various locations in areas which have which has been evaluated for specific pavement and concrete improvements. Target Date 9/30/2018 6/30/2019 Estimate the number and type of families that will benefit from the proposed activities 24,225 persons (disabled) Location Description Various locations Planned Activities Same as description. 381 Huntington Beach 2018/19 Annual Action Plan 58 AP-50 Geographic Distribution – 91.220(f) Description of the geographic areas of the entitlement (including areas of low -income and minority concentration) where assistance will be directed Huntington Beach is an urbanized coastal community located in northwestern Orange County, California. Much of the City’s residentially designated land has already been developed. Future residential development rests primarily upon the recycling of existing parcels and infill development. Surrounding Huntington Beach are the cities of Seal Beach to the northwest, Westminster to the northeast, Fountain Valley and Costa Mesa to the east, Newport Beach to the southeast, and the Pacific Ocean to the southwest. The City utilizes CDBG and HOME funds for projects and programs operated citywide. However, the majority of CDBG-funded infrastructure and facility projects are targeted to the most-needy neighborhoods: those census tracts where 47.83% or more of the residents are low- or moderate- income. Specifically, for Special Code Enforcement activities, the City has identified deteriorated areas based on observed violations of the Uniform Housing Code. This effort was undertaken to determine geographical areas meeting the U.S. Department of Housing and Urban Development (HUD) guidelines to utilize Community Development Block Grant (CDBG) funding for special code enforcement and preservation activities in deteriorating areas. From this survey, staff identified four geographical areas that met the criteria for a deteriorating area, as well as meeting the CDBG national objective of serving low and moderate-income households: • Bolsa Chica – Heil • East – Central • South – Central • Southeast These four areas of concentrated deteriorated housing have been designated as Special CDBG Code Enforcement areas and have become the focus of increased code enforcement and neighborhood preservation efforts to improve the quality of life and condition of housing . With the release of HUDs updated 2014 Low and Moderate-Income Summary Data, however, several of the census block groups within the four Special CDBG Code Enforcement areas no longer qualify as low and moderate income (minimum 47.83% low/mod households). Thus, the City will no longer utilize CDBG funds for code enforcement in the areas that do not qualify. 382 Huntington Beach 2018/19 Annual Action Plan 59 Geographic Distribution Target Area Percentage of Funds Low/Mod Income Areas 0.3% Special Code Enforcement Areas 5.7% Citywide 94.0% Table 10 - Geographic Distribution Rationale for the priorities for allocating investments geographically All public service programs, ADA improvement projects, and housing projects funded with CDBG or HOME will be available citywide to eligible persons. The City will also allocate CDBG funds for special code enforcement and preservation activities in Special Code Enforcement Areas that have been identified as deteriorated based on the observance of violations of the Uniform Housing Code. These areas include Bolsa Chica-Heil; East-Central; South-Central; and Southeast. Public facility and public infrastructure projects will be targeted to neighborhoods where 47.83% or more of residents are low and moderate income. 383 Huntington Beach 2018/19 Annual Action Plan 60 Affordable Housing AP-55 Affordable Housing – 91.220(g) Introduction One Year Goals for the Number of Households to be Supported Homeless 54 Non-Homeless 15 8 Special-Needs Total 69 62 Table 11 - One Year Goals for Affordable Housing by Support Requirement One Year Goals for the Number of Households Supported Through Rental Assistance 47 The Production of New Units 7 Rehab of Existing Units 15 8 Acquisition of Existing Units Total 69 62 Table 12 - One Year Goals for Affordable Housing by Support Type Discussion The City will continue working with Interval House to provide 22 households with short and medium-term rental assistance as well as housing relocation and stabilization services. The TBRA Program will meet the City's investment criteria by dedicating program assistance to homeless households with incomes at or below 30% AMI with preference to veterans, seniors, and victims of domestic violence. The City will allocate $187,078 in 2018/19 HOME funds to this effort, with an additional $187,078 to be allocated in FY 2019/20. The contract with Interval House will expire on June 30, 2020. The City will also contract with Families First to provide an additional Tenant Based Rental Assistance Program for 15 households in FY 2018/19. Families First is a non-profit organization committed to helping families in need achieve and maintain self-sufficiency through housing, food, counseling, and other support services. The program will run through June 30, 2020 with an allocation of $250,000 in HOME for FY 2018/19 and $271,500 in FY 2019/20. A third contract for the administration of a Tenant Based Rental Assistance program will be entered with Mercy House. Mercy House will be allocated $98,900 in HOME funds in FY 2018/19 and another $302,500 in the second year of implementation (FY 2019/20). The City projects 10 households will be assisted in FY 2018/19. 384 Huntington Beach 2018/19 Annual Action Plan 61 Also, pursuant to a substantial amendment to this Annual Action Plan, the City proposes to allocate $600,000 in HOME funds to support a joint effort with the local CHDO – American Family Housing (AFH), the City of Westminster, and the County of Orange, to construct approximately 13 single resident occupancy (SRO) units at 15161 Jackson Street, Midway City, seven of which will be covenanted by the City of Huntington Beach. The property is already owned by American Family Housing; however, the project will include major rehabilitation to convert the top story of their atrium-style building to establish the SRO units. The project, dubbed “The Navigation Center” will be used as transitional housing for Huntington Beach and Westminster homeless residents. American Family Housing will provide wrap around case management and homeless services to The Navigation Center tenants. Lastly, the City will use CDBG Revolving Loan Funds to continue the City’s Residential Rehabilitation Grant and Loan Programs with a goal of assisting 15 8 homeowners total. 385 Huntington Beach 2018/19 Annual Action Plan 62 AP-60 Public Housing – 91.220(h) Introduction The City of Huntington Beach does not have any public housing developments. However, Huntington Beach is one of a number of cities that benefits from the services of the Orange County Housing Authority (OCHA), which is currently managing over 1,000 Housing Choice Vouchers for residential units within Huntington Beach (February 2015); 58 of these were Veterans Affairs Supportive Housing Vouchers, 15 were Family Unification Vouchers, and 45 were Shelter Plus Care vouchers for formerly homeless disabled households. Elderly households comprise 43% of the City’s Section 8 recipients (434 households), indicative of several large senior housing complexes with significant numbers of Section 8 tenants. The City also has a high proportion of disabled households receiving Section 8 (over 400 households), although many of these households are also likely to be seniors. OCHA last opened its Housing Choice Voucher waiting list in February 2012, during which it received 48,298 applications for assistance. Of the total applicants, 24,756 were living within Orange County, 3,262 were working in the County but living elsewhere, and 20,280 were living and working outside the County. Waiting list statistics highlight both the tremendous need for affordable housing in Huntington Beach, and the need to assist a variety of family needs from differing demographics. The data indicates the need to serve special needs populations that are disabled and/or homeless, as well as the growing need to serve the expanding senior citizen population. Actions planned during the next year to address the needs to public housing Not applicable. However, the City will send out letters to all apartment owners, encouraging them to rent to people participating in the Tenant Based Rental Assistance and Section 8 programs. Actions to encourage public housing residents to become more involved in management and participate in homeownership Not applicable. If the PHA is designated as troubled, describe the manner in which financial assistance will be provided or other assistance Not applicable. 386 Huntington Beach 2018/19 Annual Action Plan 63 AP-65 Homeless and Other Special Needs Activities – 91.220(i) Introduction Throughout the country and the Los Angeles and Orange County region, homelessness has become an increasing challenge. Factors contributing to the rise in homelessness include a lack of housing affordable to low- and moderate-income persons, increases in people living below poverty levels, reductions in subsidies to the poor, drug/alcohol abuse, and de- institutionalization of the mentally ill. As described in greater detail in Section MA-30 Homeless Facilities and Services in the Consolidated Plan, the City of Huntington Beach has been actively engaged in numerous activities to decrease homelessness and provide effective and efficient support to local non-profits that provide services to this population. In March 2015, the City Council authorized formation of a Homeless Task Force Subcommittee to coordinate homeless and housing efforts and provide City support and guidance regarding services. The Task Force is keeping the City Council apprised of issues and services and makes recommendations as needed. In addition, the Office of Business Development and the Huntington Beach Police Department utilized CDBG public service funds for one part-time Homeless Coordinator and up to three part- time Homeless Case Mangers to serve as the City's point persons for homeless issues. Funding will continue in 2018/19. Once every two years, Orange County undertakes an effort to enumerate all of the sheltered and unsheltered homeless people within the county in a given twenty‐four-hour period. This effort, known as the Homeless Point‐in‐Time (PIT) Count, is congressionally mandated for all communities that receive U.S. Department of Housing and Urban Development (HUD) funding for homeless programs. The most recent PIT in Orange County was held on a single night in January 2017 with the assistance of over 40 homeless service providers. The January 2017 PIT count enumerated 4,792 homeless individuals in Orange County, reflecting an almost eight percent increase from the 2015 count of 4,251, and an almost 13 percent increase from the 2013 count of 4,251 homeless persons. Of the 4,792 homeless persons counted in 2017, 54% are unsheltered (2,584) and 46% are sheltered (2,206). The Orange County Point in Time Count does not provide specific information by jurisdiction. However, the 2014 Homeless Conditions Report and Recommendations commissioned by the City of Huntington Beach (prepared by City Net) estimates 283 homeless individuals within the City. This figure generally correlates with the Huntington Beach Police Department estimates of 200 unsheltered homeless at any given time in the City because Police Officers would likely be 387 Huntington Beach 2018/19 Annual Action Plan 64 referring to unsheltered homeless individuals, which are more readily visible and identifiable as homeless. Describe the jurisdictions one-year goals and actions for reducing and ending homelessness including Reaching out to homeless persons (especially unsheltered persons) and assessing their individual needs The City of Huntington Beach is committed to addressing homelessness. In March 2014, the City Council conducted a study session on homelessness in the community, including a presentation by the Executive Director of the Orange County Commission to End Homelessness and the City's Police Chief. Subsequently, the City contracted with City Net, a collaborative organization, to conduct research on the scope and scale of the homeless issues in Huntington Beach, provide an asset map of homeless services and resources, and deliver recommendations about how to strategically leverage existing assets and resources in the community to address the problem. City Net’s findings and recommendations are summarized below: 1. The City possesses an abundance of non-profit organizations, faith congregations, local businesses, and community groups that are eager for collaborative solutions to ending homelessness in Huntington Beach. 2. The groups listed above are decentralized both structurally and geographically. 3. The City should invest in coordinating these resources without aggregating them or investing in heavy infrastructure. 4. A proactive connection should be established between the non-profit and faith communities to City safety personnel and other first responders. 5. The City should invest in a multi-sector collective impact collaborative which would meet regularly to achieve goals over the course of 12-months. Prior to publication of the City Net Homeless Conditions Report, a former Huntington Beach Mayor coordinated the "Huntington Beach Homeless Collaborative" comprised of various homeless service providers and faith-based organizations. The Collaborative conducts monthly meetings at the Central Library with the purpose of: gathering resource information useful in dealing with the homeless issue; developing an information and referral system for collaborative members; establishing partnerships with the City; and coordinating activities between homeless service providers. City staff from the Police Department, Community Services, and the City Manager’s Office/Office of Business Development attend these meetings. 388 Huntington Beach 2018/19 Annual Action Plan 65 The City's Police Department recently engaged the services of the Coast to Coast Foundation, a non-profit Police Officer Liaison Program (POLP) designed to eliminate resource barriers and support law enforcement homelessness teams. Coast to Coast partners with police departments throughout Orange County, providing a model that balances enforcement with outreach. Resources include: Homeless Liaison Officer (HLO) kits for daily patrol, 24/7 locker locations kits, homeless relocation, trained outreach team, community campaign/education and empowerment in support of law enforcement. The City's Police Department and Coast to Coast have created a volunteer program specifically designed to the needs of Huntington Beach. The volunteers engage in monthly outreach efforts to the homeless and have experienced great success. On March 16, 2015, the City Council authorized the creation and establishment of a seven - member Homeless Task Force to make recommendations to the City Council regarding programs and services for the homeless. Subsequently, the Task Force created six Homeless Task Force Sub-Committees on the following topics: Police; Housing; Coordination of Services & Economic Self-Sufficiency; and Health Services. The Task Force is coordinated by the Office of Business Development with assistance from the Police Department, and the Homeless Outreach Coordinator. On March 22, 2016, the Task Force presented 22 recommendations to the City Council. Since the establishment of the Homeless Task Force, many accomplishments have been made to date: Presentations from a variety of homeless organizations including Beach Cities Interfaith Services, OC Health Care Agency, Share Ourselves, the Illumination Foundation, Fresh Beginnings, and the Pasadena and Orange Police Departments; and Creation of six homeless sub-committees who have provided the Task Force with many recommendations to address safety, housing, services, economic self-sufficiency, and health services. The City Council established a City Council Homeless Task Force Subcommittee, consisting of three (3) City Councilmembers, to monitor the implementation of recommendations made by the Homeless Task Force in 2016. The Office of Business Development and the Police Department have been granted continued CDBG public service funds for FY 2018/19 to fund the current part-time Homeless Coordinator position to serve as the City's point person for homeless issues, as well as three part-time case manager/social worker. The Homeless Coordinator acts as liaison with the Police Department, non-profit organizations and for-profit groups such as mental health centers, hospitals, churches, shelters, addiction centers and rehabilitation programs. The Co ordinator will assist the Police Department in locating shelter beds for the homeless and rehabilitation (detox) beds for those 389 Huntington Beach 2018/19 Annual Action Plan 66 in need of assistance and provide wrap-around services for homeless clientele. In addition, both the coordinator and the case manager/social worker help to coordinate City services regarding homeless encampments and public information. Lastly, beginning in FY 2018/19, the City will be funding the StandUp for Kids Street Outreach Program where volunteer staff scout streets of Huntington Beach searching for youth who are currently unsheltered or unstably housed. StandUp for Kids serves teens and youth (ages 12 - 24) who are homeless, at-risk, aging-out of foster care, or runaways to equip them with the tools they need to transition from life on the street to a life of stability and opportunity. The Street Outreach program provides basic services (food, clothing, hygiene items, and survival kits) as well as medical assistance and compassionate mentoring. Addressing the emergency shelter and transitional housing needs of homeless persons The City has and will continue to address the emergency shelter and transitional housing needs of homeless and homeless families through support of homeless programs such as the Huntington Beach Youth Emergency Shelter, Interval House, Families Forward, and Mercy House. Through the City's Homeless Task Force, the City will also support the provision of emergency housing and services by Beach Cities Interfaith Services and the local faith-based community. The City has also created a Homeless Outreach Coordinator and a Homeless Case Manger position who are responsible for creating relationships with the homeless and to provide services with an eye toward bringing their homelessness to an end. Another way the City is addressing the transitional housing needs of homeless persons is through the proposed project at 15161 Jackson Street in Midway City, “The Navigation Center.” The property is owned by the local CHDO, American Family Housing (AFH). The City of Huntington Beach is working with AFH, the City of Westminster, and the County of Orange to construct single family occupancy units to be used as transitional housing for homeless households. The SRO units will be located on the second floor of the property. American Family Housing proposes to provide wrap around homeless services to the tenants of The Navigation Center. Finally, via substantial amendment to this Annual Action Plan, the City is proposing to use unallocated CDBG funds in the amount of $223,607 and unallocated CDBG revolving loan funds in the amount of $766,905 to help with the acquisition and rehabilitation of a public facility located at 15311 Pipeline Lane, Huntington Beach. The project, known as the Huntington Beach Navigation Center, will become an emergency homeless shelter with 90 beds. The public facility will provide nightly shelter and concurrent case management to assist clients in navigating public, private, and non-profit organizations that serve this demographic. In addition to clean beds and 390 Huntington Beach 2018/19 Annual Action Plan 67 case management, the Huntington Beach Navigation Center will provide meals, showers, storage, and laundry facilities. Helping homeless persons (especially chronically homeless individuals and families, families with children, veterans and their families, and unaccompanied youth) make the transition to permanent housing and independent living, including shortening the period of time that individuals and families experience homelessness, facilitating access for homeless individuals and families to affordable housing units, and preventing individuals and families who were recently homeless from becoming homeless again In an ongoing effort to continue to address the needs of the homeless and those at risk of homelessness, the City will focus on the development of sustainable and effective programming, including: applying for short and long-term available funding; partnerships with experienced service providers capable of leveraging other funding; the ability t o create or secure affordable housing; perform homeless case management; and engage the homeless through a street outreach component in order to better connect them to available services. The City’s goal is to expand on current homeless programs and activities with a greater emphasis on homeless veterans and families to assist with their successful transition toward self -sufficiency. In FY 2015/16, the also City entered into a subrecipient agreement with a nonprofit agency, Interval House, to operate a city-wide Tenant-Based Rental Assistance Program using tenant selection policies and criteria. The City gave local preference to households impacted by homelessness, persons at risk of homelessness, veterans, seniors, and victims of domestic violence in Huntington Beach. The program has, to date, provided rental assistance to 62 households and with continued funding into FY 2018/19, proposes to assist an additional 22 families. The City has also partnered with Mercy House to implement a second Tenant Ba sed Rental Assistance program targeting low and very-low income seniors, veterans, and homeless. The program has provided assistance to 18 households to date. In FY 2018/19, the City will enter into a new two-year contract with Mercy House to continue implementation of their program. Approximately 10 households will be served during the first year. This activity is added to this Annual Action Plan via a substantial amendment. Finally, also as part of the amendment to this Annual Action Plan, the City will fund another two- year contract with Families Forward to provide 15 households in FY 2018/19 and another 15 391 Huntington Beach 2018/19 Annual Action Plan 68 households in FY 2019/20 with tenant based rental assistance. Helping low-income individuals and families avoid becoming homeless, especially extremely low-income individuals and families and those who are: being discharged from publicly funded institutions and systems of care (such as health care facilities, mental health facilities, foster care and other youth facilities, and corrections programs and institutions); or, receiving assistance from public or private agencies that address housing, health, social services, employment, education, or youth needs. To help prevent homelessness and protect at-risk populations, Huntington Beach will continue to participate in the Orange County Continuum of Care System to provide assistance to persons at risk of becoming homeless. In addition, the City continues to pursue opportunities to expand its affordable housing inventory to benefit primarily low-income renters. The City does not receive Emergency Shelter Grants (ESG) or Housing Opportunities for Persons with AIDS (HOPWA) funding and therefore is not required to d evelop a discharge coordination policy. However, the City will continue to address a discharge coordination policy with the Orange County Housing Authority and the Continuum of Care Homeless Issues Task Force. 392 Huntington Beach 2018/19 Annual Action Plan 69 AP-75 Barriers to affordable housing – 91.220(j) Introduction Huntington Beach has a strong history of supporting affordable housing. The City has adopted numerous provisions in its Zoning Ordinance that facilitate a range of residential development types and encourage affordable housing. In addit ion, the City and its former Redevelopment Agency have provided direct financial assistance to support affordable and mixed income housing projects. The loss of Redevelopment Housing Funds, which previously generated approximately $3 million per year for housing activities, will dampen the level of future affordable housing production in the City. In addition to funding constraints, the primary barrier to the provision of affordable housing in Huntington Beach is the lack of vacant land suitable for residential development. Separate owners of smaller parcels hold much of the underdeveloped and residentially zoned land in the City. This calls for alternative policy tools such as lot consolidation and/or demolition of existing older structures to accommodate higher density infill development. Through adoption of the Downtown and Beach and Edinger Corridors Specific Plans, the City has provided opportunities for high density mixed use and residential infill. Actions it planned to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such as land use controls, tax policies affecting land, zoning ordinances, building codes, fees and charges, growth limitations, and policies affecting the return on residential investment Through the administration of the CDBG and HOME programs, every effort is made to remove barriers to affordable housing through agreements with for-profit and non-profit affordable housing developers. These efforts also include working with neighborhood residents to ensure affordable housing projects are acceptable. Ongoing monitoring of “for sale” affordable units is conducted by department staff by assuring that the affordable housing covenants are recorded on title when the unit is sold. To address the decline in sources of housing funds, the City will continue to advocate for and pursue federal, state, local and private funding sources for affordable housing. Additionally, as part of the City’s Housing Element update, the City must assess and to the extent feasible, mitigate, its governmental constraints to housing for lower and moderate-income households and persons with disabilities. The Housing Element addresses the City’s provisions for affordable housing, emergency shelters, transitional housing, and supportive housing. The 393 Huntington Beach 2018/19 Annual Action Plan 70 following programs in the City's 2013-2021 Housing Element specifically address the variety of regulatory and financial tools used by the City to remove barriers and facilitate the provision of affordable housing: Program 2. Multi-family Acquisition/Rehabilitation through Non-Profit Developers Objective: Acquire, rehabilitate, and establish affordability covenants on 80 rental units. Program 7. Residential and Mixed-Use Sites Inventory Objective: Maintain current inventory of vacant and underutilized development sites, and provide to developers along with information on incentives. Program 8. Beach and Edinger Corridors Specific Plan Objective: Facilitate development through flexible, form based standards, and streamlined processing. Encourage affordable housing by requiring inclusionary units to be provided on-site, or within the Specific Plan, and providing additional incentives for increased percentages of affordable units. Program 10. Inclusionary Program and Housing Trust Fund Objective: Continue implementation and re-evaluate Ordinance to provide consistency with case law and market conditions. Establish in-lieu fee amount for projects between 10-30 units. Program 11. Affordable Housing Development Assistance Objective: Provide financial and regulatory assistance in support of affordable housing. Provide information on incentives to development community. Program 13. Affordable Housing Density Bonus Objective: Continue to offer density bonus incentives as a means of enhancing the economic feasibility of affordable housing development. Program 14. Development Fee Assistance Objective: Continue to offer fee reductions to incentivize affordable housing. Specify the waiver of 100% of application processing fees in the Code for projects with 10% extremely low-income units. Program 15. Residential Processing Procedures 394 Huntington Beach 2018/19 Annual Action Plan 71 Objective: Provide non-discretionary development review within the Beach and Edinger Corridors Specific Plan. Adopt streamlined review procedures for multi-family development on a Citywide basis. 395 Huntington Beach 2018/19 Annual Action Plan 72 AP-85 Other Actions – 91.220(k) Introduction Actions planned to address obstacles to meeting underserved needs The City of Huntington Beach has identified long-range strategies, activities and funding sources to implement the goals in the areas of housing and community development services for the benefit of the residents. • The City will continue to seek other resources and funding sources to address the biggest obstacle to meeting the community's underserved needs, which is the lack of funding and/or inadequate funding. • The City will look for innovative and creative ways to make its delivery systems more comprehensive and will continue existing partnerships with both for-profit and not-for- profit organizations. • The City will use HOME and CDBG funds to concentrate on both affordable rental housing, tenant-based rental housing, and homeowner rehabilitation programs. • The City is currently addressing certain housing needs with federal funds such as availability, condition, and fair housing practices to prevent homelessness. • The City is also addressing community development needs with federal funds such as infrastructure, improving public facilities and code enforcement. • The City is working with surrounding jurisdictions on a regional approach to meeting the underserved needs. Actions planned to foster and maintain affordable housing The City’s Consolidated Plan has identified the preservation of existing, and the creation of new, affordable housing as a priority need during the 2015/16 – 2019/20 timeframe. In May 2015, the City issued a Notice of Funding Availability (NOFA) identifying nearly $2.5 million in available affordable housing funds. The City’s goal was to obtain proposals for affordable housing projects as well as a proposed Tenant-Based Rental Assistance (TBRA) program. The City identified homeless, those at risk of homelessness, veterans, seniors, and victims of domestic violence as the population for which the housing programs should be targeted. The NOFA was available on the City’s website and was disseminated to local CHDO’s in the area. The City received five (5) proposals: three (3) proposals for affordable ho using projects, and two (2) proposals for TBRA programs. Because the May 2015 NOFA proved unsuccessful in negotiating the development of an affordable housing project, the City issued a new NOFA, after which it 396 Huntington Beach 2018/19 Annual Action Plan 73 opted to work with the local CHDO, Orange County Community Housing Corporation (OCCHC) to develop a rental four-plex located at 7792 Barton Drive in Huntington Beach. The project was awarded $781,220 in HOME funding in October 2016 via substantial amendment to the FY 2016/17 Annual Action Plan. The project is complete but for the final drawdown. In response to the solicitation for a tenant based rental assistance program provider, Interval House was selected to administer such a program in September 2015. Interval House was chosen because of its extensive experience in providing services to households impacted by domestic violence, and because it already works closely with the City’s Police Department in providing housing for eligible households. Additionally, Interval House implemented the City’s Homelessness Prevention and Rapid Re-Housing (HPRP) program, a similar federal funding program that provided assistance to homeless and at at-risk persons to alleviate homelessness and provide rapid re-housing. During FY 2018/19, the City will continue to work with Interval House to provide tenant-based rental assistance to an additional 22 households. The program will continue to target homeless, persons at risk of homelessness, veterans, seniors, and victims of domestic violence in Huntington Beach. The City has also partnered with Mercy House to implement a second Tenant Based Rental Assistance program targeting low and very-low income seniors, veterans, and homeless. The program has provided assistance to 18 households to date and the program will continue through the end of FY 2017/18. The program will continue through FY 2019/20 via a new two-year contract with Mercy House. This program is added to this Annual Action Plan by substant ial amendment. The program will be allocated $98,900 in HOME funds in FY 2018/19 with a goal to assist 10 households. Via the amendment to this Annual Action Plan, the City will also fund a new two-year contract with Families Forward to provide 15 households in FY 2018/19 and another 15 households in FY 2019/20 with tenant based rental assistance. Finally, part of this amendment is an allocation of $600,000 in HOME funds for The Navigation Center located at 15161 Jackson Street in Midway City. The project proposes to construct approximately 7 single family occupancy units to be rented solely to Huntington Beach residents. The property is owned by the local CHDO, American Family Housin g. The City is partnering with AFH, the City of Westminster, and the County of Orange on this endeavor. Finally, in past years, the City has provided funding support to local public service agencies such as AIDS Services Foundation that address the service needs of the homeless and those at risk of becoming homeless. However, continued reductions in the City’s CDBG entitlements have 397 Huntington Beach 2018/19 Annual Action Plan 74 resulted in the cutback of such funding support in recent years. The City hopes to reinstate funding support in the future should CDBG entitlement amounts sufficiently increase to allow for additional agencies to receive funding. Actions planned to reduce lead-based paint hazards As a means of better protecting children and families against lead poisoning, in 1999 HUD instituted revised lead-based paint regulations focused around the following five activities: • Notification • Lead Hazard Evaluation • Lead Hazard Reduction • Ongoing Maintenance • Response to Children with Environmental Intervention Blood Lead Level The City has implemented HUD Lead Based Paint Regulations (Title X), which requires federally funded rehabilitation projects to address lead hazards. Lead -based paint abatement is part of the City's Residential Rehabilitation Program and the Acquisition/Rehabilitation of Affordable Rental Housing Program. Units within rental housing projects selected for rehabilitation are tested if not statutorily exempt. Elimination or encapsulation remedies are implemented if lead is detected and is paid for by either the developer of the project, or with CDBG or HOME funds, as appropriate. To reduce lead-based paint hazards in existing housing, all housing rehabilitation projects supported with federal funds are tested for lead and asbestos. When a lead -based paint hazard is present, the City or the City’s sub-grantee contracts with a lead consultant for abatement or implementation of interim controls, based on the findings of the report. Tenants are notified of the results of the test and the clearance report. In Section 8 programs, staff annually inspects units on the existing program and new units as they become available. In all cases, defective paint surfaces must be repaired. In situations where a unit is occupied by a household with children under the age of six, corrective actions will include testing and abatement if necessary, or abatement without testing. Actions planned to reduce the number of poverty-level families The City’s major objectives in reducing poverty within Huntington Beach are to: • Reduce the number of families on welfare; • Reduce the number of families needing housing subsidies; and 398 Huntington Beach 2018/19 Annual Action Plan 75 • Increase economic opportunities for low and moderate-income persons. The City’s anti-poverty strategy seeks to enhance the employability of residents through the promotion and support of programs which provide employment training and supportive services, while expanding employment opportunities through the support of programs supporting business development and employment and its recently-completed Economic Development Strategy. In terms of employment training and supportive services, the City supports literacy programs for families (Oakview Family Literacy Program) with a combination of General Funds and CDBG that help enhance the employability of low income persons with deficient English speaking, reading, and writing skills. As funding permits, the City will continue to support the following Public Services to increase family stability for lower income households: • Counseling • Domestic Violence Prevention Services • Provision of food • Substance Abuse Services • Job Training Finally, the City of Huntington Beach supports a variety of economic development activities that help to create and retain jobs for low- and moderate-income households. Activities supported include a commercial property locator; employment assistance including of a referral service for finding and training employees; financial assistance through the Small Business Administration; business counseling and training via a litany of not-for-profit Orange County agencies; technical assistance in permits, trademarks, environmental review, and taxes; and export and trade assistance. Micro-enterprise assistance, job training services, and technical assistance are some areas that may warrant consideration for funding during the Consolidated Plan period. The City will fully comply with Section 3 of the Housing and Community Development Act, which helps foster local economic development and individual self-sufficiency. This set of regulations require that to the greatest extent feasible, the City will provide job training, employment, and contracting opportunities for low or very low-income residents in connection with housing and public construction projects. 399 Huntington Beach 2018/19 Annual Action Plan 76 Actions planned to develop institutional structure As the recipient of CDBG and HOME funds, the City has delegated the Office of Business Development to be the lead department responsible for the overall administration of HUD grants. In that regard, the Division will prepare the Consolidated Plan and Analysis of Impediments to Fair Housing Choice every five years, draft the Annual Action Plan and CAPER, as well as all other reports required by federal rules and regulations. The City will work with non-profit agencies, for-profit developers, advocacy groups, clubs, and organizations, neighborhood leadership groups, City departments and with the private sector to implement the City’s five-year strategy to address the priority needs outlined in the Consolidated Plan for Fiscal Years 2015/2016 – 2019/2020. Engaging the community and stakeholders in the delivery of services and programs for the benefit of low to moderate residents will be vital in overcoming gaps in service delivery. The City will also utilize public notices, Community Workshops and Meetings (as appropriate), the City’s website, and other forms of media to deliver information on carrying out the Consolidated Plan strategies. Actions planned to enhance coordination between public and private housing and social service agencies In an ongoing effort to bridge the gap of various programs and activities, the City has developed partnerships and collaborations with local service providers and City departments that have been instrumental in meeting the needs and demands of the homeless, low income individuals and families, and other special needs. Over the years, the City has expanded partnerships and created new ones along the way. The array of partners include, but are not limited to: the Huntington Beach Police Department, Library Services, Community Services, and Public Works Departments; American Family Housing, Habitat for Humanity, Interval House, Mercy House, Collete’s Children’s Home, and AMCAL; Orange County Community Housing Corporation; Jamboree Housing; Community SeniorServ; AIDS Services Foundation; Project Self Sufficiency; Alzheimer’s Family Services; Fair Housing Foundation; the Orange County Housing Authority; and 2-1-1 Orange County and OC Community Services (Orange County Continuum of Care). During FY 2018/19, the City will continue to develop these partnerships. Specifically, the City is currently working with the City of Westminster, the County or Orange, and American Family Housing to construct new SRO units for homeless persons at AFH’s property located at 15161 Jackson Street, 400 Huntington Beach 2018/19 Annual Action Plan 77 Midway City. Finally, the City is proposing to assist with the acquisition and rehabilitation of an emergency homeless shelter located at 15311 Pipeline Lane, Huntington Beach. The new public facility, known as the Huntington Beach Navigation Center, will partner with non-profit organizations to offer 90-beds for nightly shelter, as well as case management for Huntington Beach’s homeless population. 401 Huntington Beach 2018/19 Annual Action Plan 78 Program Specific Requirements AP-90 Program Specific Requirements – 91.220(l) (1,2,4) Introduction The City of Huntington Beach participates in HUD's CDBG Program that is used for creating decent affordable housing, suitable living environments, and economic opportunities. The program year (2018/19) will begin on July 1, 2018. The FY 2018/19 CDBG allocation of $1,155,697, along with $223,607 in prior year funds, will give the City $1,379,304 total to implement CDBG projects and programs during the program year. Community Development Block Grant Program (CDBG) Reference 24 CFR 91.220(l)(1) Projects planned with all CDBG funds expected to be available during the year are identified in the Projects Table. The following identifies program income that is available for use that is included in projects to be carried out. 1. The total amount of program income that will have been received before the start of the next program year and that has not yet been reprogrammed $0 2. The amount of proceeds from section 108 loan guarantees that will be used during the year to address the priority needs and specific objectives identified in the grantee's strategic plan $0 3. The amount of surplus funds from urban renewal settlements $0 4. The amount of any grant funds returned to the line of credit for which the planned use has not been included in a prior statement or plan. $0 5. The amount of income from float-funded activities $0 Total Program Income $0 Other CDBG Requirements 1. The amount of urgent need activities $0 402 Huntington Beach 2018/19 Annual Action Plan 79 HOME Investment Partnership Program (HOME) Reference 24 CFR 91.220(l)(2) The City of Huntington Beach participates in HUD’s HOME Program that can be used to promote affordable housing in the City through activities such as rental housing development and tenant- based rental assistance. The 2018/19 Program Year will commence on July 1, 2018. The FY 2018/19 HOME allocation is $606,864, and along with prior year funds of $765,381, and $50,000 in estimated program income, the City will have $1,422,245 available to implement HOME projects and programs during the program year. 1. A description of other forms of investment being used beyond those identified in Section 92.205 is as follows: The City will provide grants, interest-bearing and non-interest-bearing deferred payment loans or residual receipts loans permitted under 24 CFR 92.206 (b) (1). The City will not institute other forms of investment forms not described in the aforemention ed section nor provide loan guarantees described under 24 CFR 92.206 (b) (21). 2. A description of the guidelines that will be used for resale or recapture of HOME funds when used for homebuyer activities as required in 92.254, is as follows: The City is not administering a homebuyer program with CDBG or HOME funds as part of its 2018/19 Annual Action Plan. The Annual Plan, therefore, does not describe resale or recapture guidelines as required in 92.254. 3. A description of the guidelines for resale or recapture that ensures the affordability of units acquired with HOME funds? See 24 CFR 92.254(a)(4) are as follows: The City is not administering a homebuyer program with CDBG or HOME funds as part of its 2018/19 Annual Action Plan. The Annual Plan, therefore, does not describe resale or recapture guidelines that ensure the affordability of units acquired with HOME funds as required in 92.254 (a)(4). 4. Plans for using HOME funds to refinance existing debt secured by multifamily housing that is rehabilitated with HOME funds along with a description of the refinancing guidelines required that will be used under 24 CFR 92.206(b), are as follows: The City is not proposing to use HOME funds to refinance existing debt secured by multifamily housing rehabilitated with HOME funds. Thus, since the City does not propose to undertake refinancing, the City is not required to discuss its financing guidelines required under 24 CFR 92.206(b). 403 City of Huntington Beach File #:19-531 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Travis K. Hopkins, PE, Director of Public Works Subject: Receive Report on Refuse Collection Franchise Agreement Negotiations with Rainbow Disposal Company Inc./Republic Services, and Consider Issuing a Notice of Termination of Annual Extension of the Agreement Statement of Issue: Mayor Peterson and Mayor Pro Tem Semeta submitted a Council Member item at the April 1 st, 2019 City Council meeting recommending the City Council direct the City Manager to prepare a letter issuing Rainbow Disposal Company Inc./Republic Services a Notice of Termination of Annual Extension of the Franchise Agreement and present to City Council at the next scheduled meeting. After review and discussion, the City Council directed the City Manager to prepare the written notification to Rainbow Disposal Company Inc./Republic Services of the Notice of Termination and return at the May 6th City Council Meeting for approval. Additionally, the City Council amended the action to request information on the current status of negotiations, differences in programs and processes, an update on the status of recyclable material, and how the cancellation clause affects residents. Financial Impact: There is no immediate financial impact from this action. Any financial impact will occur at conclusion of the franchise agreement term, 18 years from the issuance of a Notice of Termination of Annual Extension from the City. Recommended Action: Approve the issuance of the Notice of Termination of Annual Extension letter to Rainbow Disposal Company Inc./Republic Services, converting the franchise agreement to a 15-year fixed term with a 3 -year notice period. Alternative Action(s): Do not approve the issuance of the Notice of Termination of Annual Extension. The Agreement will continue in its current form and proceed under the current agreement or continue to negotiate an City of Huntington Beach Printed on 5/1/2019Page 1 of 3 powered by Legistar™404 File #:19-531 MEETING DATE:5/6/2019 updated agreement. Analysis: Rainbow/Republic Services has been the exclusive provider of solid waste (refuse) collection services in Huntington Beach since the late 1950’s. City Council approved the current Agreement on July 17, 2006, following negotiations between Rainbow/Republic and the city for the implementation of automated residential collection service. On May 15, 2017, the City Council formed an Ad Hoc Council Committee to review the Agreement with Rainbow, now a division of Republic Services. The purpose of the Ad Hoc Committee was to review the terms of the Agreement and identify items to consider in a negotiation for an updated Agreement. The Committee identified several key items in the Agreement and directed staff to negotiate for a revised Agreement with Rainbow/Republic. Key items considered in the negotiating process include: ·Term of Agreement ·Revenue enhancement from Franchise and Transfer Station Host fees ·Index/Formula for annual rate calculation ·Compliance with current legislation affecting recycling and disposal programs ·Responsibilities and performance standards - clarify and define During the contract review there were several items that required resolution due to new regulation implementation required by CalRecycle including AB 1826 Mandatory Commercial Organics Recycling and other unresolved legal issues. Staff and Rainbow/Republic exchanged proposed changes and revisions of the Agreement. As of the most recent draft exchanged earlier this year, the parties had not reached a consensus on the key points, as summarized in attached table. At this point in time, the parties have not reached agreement on the major topics identified by the City Council Ad Hoc Committee. The existing term of the Agreement is 15 years and renews annually for a new 15-year term, automatically. Additionally, the termination provision of the Agreement provides for a 3-year notice period upon termination of the annual term renewal. This creates an 18-year actual contract term upon issuance of the notice. If the City issues the Notice, the effect would only terminate the automatic annual renewal extension and convert the Agreement to a fixed term, which will then continue for 18 years or until June 30, 2037 The residential and commercial collection and recycling services provided per the Agreement will continue for the fixed term. The elimination of export markets for recyclable commodity materials is projected to continue to have an effect on the solid waste industry overall. This will affect how our customers recycle in their curbside receptacles as markets for recyclable commodities shift over the next several years. A representative of Rainbow/Republic will be in attendance at the May 6th City Council Meeting to provide additional information on the changes of the world recycling market and impacts of those City of Huntington Beach Printed on 5/1/2019Page 2 of 3 powered by Legistar™405 File #:19-531 MEETING DATE:5/6/2019 changes. Environmental Status: This Request for Council Action involves a report on ongoing negotiations regarding the City’s Refuse Franchise Agreement with Rainbow/Republic Services and consideration of a revision to the agreement that would modify the term of the agreement. This is an administrative action that will not result in any direct or reasonably foreseeable indirect physical changes to the environment, and as such, is not a project as defined in Section 15378 (b)(5) of the CEQA Guidelines. Strategic Plan Goal: Non-Applicable - Administrative Item Attachment(s): 1. Table 2. Notice of Termination of Annual Extension letter City of Huntington Beach Printed on 5/1/2019Page 3 of 3 powered by Legistar™406 ITEM CITY RAINBOW/REPUBLIC STATUS TERM OF AGREEMENT 15 year fixed term 25 year fixed term No agreement COMMERCIAL FRANCHISE FEE REVENUE Increase from 5% to 15% incrementally over 5 years; no pass- through to customers Increase from 5% to 15% incrementally; all fees included in the rates charged to customers No agreement TRANSFER STATION HOST FEE REVENUE Increase from 2%; no pass-through to customers; apply to all paid transfer station receipts Increase from 2%; with pass through to customers; limit to transfer tonnage destined for disposal (no recyclable, organic, or subsequently diverted material) No agreement HAULER’S COMPENSATION – RESIDENTIAL COLLECTION Simplify from current 3-part formula. Use the LA-Long Beach- Anaheim Consumer Price Index for All Urban Consumers Simplify from current 3-part formula. Minimum 3.5% annual increase or apply national Consumer Price Index for Water, Sewer and Trash if greater No agreement HAULER’S COMPENSATION – COMMERCIAL COLLECTION Simplify from current 3-part formula. Use the LA-Long Beach- Anaheim Consumer Price Index for All Urban Consumers Simplify from current 3-part formula. Minimum 3.5% annual increase or apply national Consumer Price Index for Water, Sewer and Trash if greater No agreement. HAULER’S COMPENSATION – RECYCLING Include recycling compensation in the overall compensation and not a separate item as per current Include recycling compensation in the overall compensation Tentative agreement COMPLIANCE WITH CURRENT LEGISLATION FOR RECYCLING/DIVERSION Include compliance and diversion programs for all currently chaptered legislation Increase rates for any change in law and include some currently chaptered legislation under the change in law provision No agreement WATER QUALITY COMPLIANCE PAYMENT Continue current grant payment for annual water quality compliance issues - $190,000 plus annual CPI Change title of this program to Street Maintenance Compliance Payment – continue payment at $190,000 plus annual CPI Tentative agreement BULKY ITEMS – RESIDENTIAL Maintain current 4 times per year of up to 10 items Reduce to 2 times per year of up to 10 items and $75 per item charge for additional requests No agreement 407 408 City of Huntington Beach File #:19-541 MEETING DATE:5/6/2019 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO:Honorable Mayor and City Council Members SUBMITTED BY:Fred A. Wilson, City Manager PREPARED BY:Antonia Graham, Assistant to the City Manager Subject: Approve for Introduction Ordinance No. 4180 repealing Ordinance No. 4130 and adding Chapter 3.50 to the Huntington Beach Municipal Code relating to State Video Franchises Statement of Issue: On January 22, 2019, the City Council voted to authorize the City Manager to execute a six (6) month Notice of Intent to Terminate the City's membership from the Public Cable Television Authority (PCTA). Financial Impact: This action will enable the cable television providers to directly remit approximately $605,000 in Public, Educational, Governmental (PEG) fees effective July 1, 2019, and will provide the opportunity to purse more cost-effective means of securing public access audio-visual services. The City will also receive approximately $3 million in cable franchise fees directly from the franchisees, instead of being passed through PCTA. Recommended Action: Approve for introduction Ordinance No.4180, "An Ordinance of the City Council of the City of Huntington Beach Repealing Ordinance No. 4130 and Adding Chapter 3.50 to the Huntington Beach Municipal Code Relating to State Video Franchises." Alternative Action(s): If the City does not rescind this Ordinance, the funds will continue to be remitted to PCTA directly. Analysis: Local governments have traditionally received compensation for the use of the public right-of-way by cable television companies for the provision of video services in the community. The City currently receives 5% of the gross revenues from Frontier Communications (former Verizon) and Spectrum/Charter (formerly Time Warner Cable) through its membership in PCTA. PCTA annually collects approximately $605,000 in PEG fees from Huntington Beach ratepayers and withholds $152,000 in franchise fees from the ratepayers to fund its administrative budget. In September 2006, then Governor Schwarzenegger signed Assembly Bill 2987, "Digital City of Huntington Beach Printed on 5/1/2019Page 1 of 2 powered by Legistar™409 File #:19-541 MEETING DATE:5/6/2019 In September 2006, then Governor Schwarzenegger signed Assembly Bill 2987, "Digital Infrastructure and Video Competition Act of 2006" also known as DIVA which established a statewide franchising system for wireline video service providers, thus eliminating the need for individual franchises with local jurisdictions or JPAs. DIVCA Section 5870 states that the fee to support PEG channel facilities, "may be reauthorized upon the expiration of the state franchise," but does not explicitly require local agencies to reauthorize these fees via an ordinance. Because Section 5870 refers to an ordinance elsewhere - and because PCTA previously had argued that the funding could be lost, Rutan & Tucker (the law firm that represents PCTA) required PCTA member cities to proceed with reauthorized via an ordinance. Which is why the City would present to City Council ordinances that effectively "turned over funds" to PCTA and why on March 6, 2017, the City Council approved Ordinance No. 4130 re-establishing the collection of Public, Educational, and Government Access (PEG) fees from our cable providers and remitting them to the Public Cable Television Authority (PCTA). On January 22, 2019, the City Council approved and authorized the City Manager to give a written "Notice of Termination from the Public Cable Television Authority." Part of the exit and transition from PCTA necessitates the need to rescind Ordinance No. 4130 in order for the City to direct the telecommunication providers to remit PEG and franchise fees directly to the City. It is expected that the City will begin receiving these funds directly beginning the 1st Quarter of Fiscal Year 2019/20. Environmental Status: Not Applicable Strategic Plan Goal: Enhance and maintain high quality City services Attachment(s): 1. Ordinance No. 4180, “An Ordinance of the City of Huntington Beach Repealing Ordinance No. 4130 and Adding Chapter 3.50 to the Huntington BeachMunicipal Code Relating to State Video Franchises.” City of Huntington Beach Printed on 5/1/2019Page 2 of 2 powered by Legistar™410 411 412 413 414 415 416