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HomeMy WebLinkAbout2026-02-03Minutes Regular Meeting of the City Council/Public Financing Authority and Special Meetings of the Housing and Parking Authorities and Successor Agency City of Huntington Beach Tuesday, February 3, 2026 4 :30 PM -Council Chambers • 6:00 PM -Council Chambers Civic Center, 2000 Main Street Huntington Beach, California 92648 A video recording of the 4:30 PM and 6:00 PM portions of this meeting is on file in the Office of the City Clerk, and archived at https:llhuntingtonbeach.legistar.comlCalendar.aspx 4:30 PM -COUNCIL CHAMBERS CALL TO ORDER -4:30 PM ROLL CALL Present: Absent: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Williams None ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS -CLOSED SESSION ITEMS (Received After Agenda Distribution) -None PUBLIC COMMENTS -CLOSED SESSION ITEMS -1 Speaker The number [hh:mm :ss] following the speakers' comments indicates their approximate starting time in the archived video located at https:l/huntingtonbeach.legistar.com/Calendar.aspx. Unnamed Speaker commented on the decision to no longer allow Public Speakers to share on-screen images when they speak and recognized the excellent service she received from Theresa in Public Works. (00:02:39) Mayor McKean read the titles for Closed Session Items #3 (26-109) Conference with Real Property negotiators for 21 & 22 Main Street, negotiating price and terms of lease/payment with Surf City Partners, LLC; #4 (26-112) and #5 (26-113) Conferences with Labor Negotiators regarding Employee Organizations: Huntington Beach Police Officers' Association (HBPOA) and Police Management Association (PMA). A motion was made by Kennedy, with a second by Van Der Mark, to recess to Closed Session . RECESSED TO CLOSED SESSION -4:35 PM CLOSED SESSION Council/PFA Regular Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3, 2026; Page 2 of 12 1. 26-107 CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION. {Paragraph (1) of subdivision {d) of Section 54956.9). People of the State of California/Banta v. City of Huntington Beach, et al.; Case No . 30-2023 -01312235-CU-WM-CJC. 2. 26-108 CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION. {Paragraph (1) of subdivision {d) of Section 54956.9). Southwest Voter Registration Education Project, et al. v. City of Huntington Beach; OCSC Case No. 30-2024-01397379 . 3. 26 -109 CONFERENCE WITH REAL PROPERTY NEGOTIATORS {Gov. Code section 54956.8.) Property: 21 & 22 Main Street, Huntington Beach, CA 92648. Agency Negotiators: Travis Hopkins, City Manager; Marissa Sur, Assistant City Manager; Kriss Casanova, Economic Development Manager; Steve Holtz, Deputy Director of Community Development; Jennifer Villasenor, Director of Community Development. Negotiating parties: {Not Present) Surf City Partner s, LLC. Under negotiation: Price and terms of lease/payment. 4. 26-112 CONFERENCE WITH LABOR NEGOTIATORS {Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance: Marissa Sur, Assistant City Manager; Mi ke Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Huntington Beach Police Officers' Association {HBPOA). 5. 26 -113 CONFERENCE WITH LABOR NEGOTIATORS (Gov. Code section 54957.6.) Agency designated representatives: Travis Hopkins, City Manager; also in attendance : Marissa Sur, Assistant City Manager; Mike Vigliotta, City Attorney and Zack Zithisakthanakul, Acting Chief Financial Officer. Employee Organization: Police Management Association {PMA). 6. 26-120 CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION. {Paragraph (1) of subdivision {d) of Section 54956.9). People of the State of California, et al. v. City of Huntington Beach, et al. {Voter ID); Case No. 30-2024-01393606. 7. 26-121 CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION. {Paragraph (1) of subdivision {d) of Section 54956.9). Bixby {Mark) v. Lisa Lane Barnes, et al .; OCSC Case No.: 30-2023 -01366664. 6:20 PM -COUNCIL CHAMBERS RECONVENED CITY COUNCIL/PUBLIC FINANCING AUTHORITY MEETING, AND CALLED TO ORDER THE SPECIAL MEETINGS OF THE HOUSING AUTHORITY, PARKING AUTHORITY AND SUCCESSOR AGENCY TO THE FORMER REDEVELOPMENT AGENCY OF HUNTINGTON BEACH -6:20 PM ROLL CALL Present: Absent: INVOCATION Gruel , Kennedy, Twining, McKean, Burns , Van Der Mark, and Wi ll iams None Council/PFA Regular Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3, 2026 ; Page 3 of 12 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 . 8. 25-940 Huntington Beach Police Chaplain James Pike PLEDGE OF ALLEGIANCE 9. 26-106 John Vasquez, American Legion Post 133 CLOSED SESSION REPORT BY CITY ATTORNEY City Attorney Mike Vigliotta reported that Councilmembers voted unanimously (7-0) to proceed with a petition to the United States Supreme Court for two cases : People of the State of California, et. al. v. City of Huntington Beach , et. al. (Voter ID), Case No . 30-2024 -0139606; and Bi x by (Mark) v. Lisa Lane Barnes , et. al., OCSC Case No . 30-2023-01366664. CITY COUNCIL MEMBER COMMENTS (2-Minute Time Limit) Mayor Pro Tern Twining apologized if he appeared a bit flippant during the last meeting when his humor missed the mark regarding badminton. He offered a badminton racquet and five birdies to anyone in the audience who really, really loves badminton , the second most popular sport in the whole entire world . Councilmember Burns, as OC Sanitation District Liaison, reported on the District's latest improvements to protect their plant at Brookhurst and Banning ; and Santa Ana River Flood Protection Agency (SARFPA) improvements at Prado Dam to reduce flooding potential. He added that SARFPA's completed improvements are expected to greatly reduce the need for flood insurance in Huntington Beach and surrounding areas . He acknowledged the recent Sports Hall of Fame ceremony to induct the Edison Class of 2024 CIF Champs, and recognized the recent memorial service for Bill Ridenour, retired Edison High School teacher. Council member Williams reminded residents to review items on the Consent Calendar, for transparency and information . Mayor McKeon noted that after hearing comments from the public, he has consolidated Public Comments and returned back to the previous Agenda order. He also shared highlights from the 30th Surf City Marathon held on February 1, 2026, with 21 ,000+ runners from 47 states and 18 count ries . He recognized Dorothy Strand , an 86-year-old runner who has participated in every Marathon for the last 30 years. MAYOR'S SPOTLIGHT 10. 26-111 Mayor's Spotlight Presentation Mayor Mc Keon reviewed the January Mayor's Excellence Award to Morgan Forster, Community Development Department; recognized Shawn Hayes, Garrett Hill , A dam Hunt and Zachary Young , firefighters who saved the life of a choking vi ctim ; HB Huntington Harbour Commission's appreciation fo r Sgt. West, OC Sheriff's Department , and his team for patrolling HB Harbour; Sack and Stone Charity Group who have donated $20 ,000+ over the past two years and enhanced community events ; Fred's Mex ican Cafe celebrating their 25th Anniversary; Surf City Marat hon 3oth Anniversary; and the many volunteers, led by Mr. & Mrs . Mark Mays, for Patriot Point. Council/PFA Regular Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3, 2026; Page 4 of 12 BUSINESS HIGHLIGHT 11. 26-124 Business Highlight Presentation Mayor McKeon acknowledged three new businesses that have recently opened in Huntington Beach. Mayor McKeon introduced the most recent Minute with the Mayor video to highlight Makin' Waves Salon, 320 Main Street, Downtown Huntington Beach. Mayor McKeon announced that applications from businesses interested in participating in Minute with the Mayor are flying in and the application can be found at www.shoplocalhb.com. COMMUNITY EVENTS ANNOUNCEMENTS (1-Minute Time Limit) Limited to one representative, one announcement -3 Speakers The number {hh:mm:ss} following the speakers' comments indicates their approximate starting time in the archived video located at https:l/huntingtonbeach.legistar.com/Calendar.aspx. Dave Shenkman, Kite Connection Owner, announced that Kite Party 22 will take place March 7 and 8 , 2026, at the Pier and is free for the public to watch. Ruby Vergara, Community & Library Services Supervisor, announced upcoming hiring opportunities for the summer aquatic, day camps, youth sports programs and office support positions. Jason Schmitt, City Treasurer, announced upcoming workshops on Financial Planning and the new Tea & Taxes opportunity for qualified residents. He noted that videos of past workshops can be found on the City's website, HBTV. AWARDS AND PRESENTATIONS 12. 26-074 Presentation Honoring Officer Avalos and Retiring K9 Knight Mayor McKeon recognized Officer Avalos and retiring K9 Knight. Knight has served SWAT since 2018, participating in over 200 searches, assisting in 13 apprehensions and involved in numerous deployments and community events to help keep Huntington Beach safe. Officer Avalos was thanked for his dedication and lasting impact on public safety in Huntington Beach and presented with a certificate of appreciation. ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) Pursuant to the Brown "Open Meetings" Act, City Clerk Lisa Lane Barnes announced supplemental communications received by her office following distribution of the Council Agenda packet which were all uploaded to the City's website and Councilmember iPads: Consent Calendar Item #14 (2 email communications). PUBLIC COMMENTS (3 Minutes) -10 Speakers The number [hh:mm:ss] following the speakers' comments indicates their approximate starting time in the archived video located at https://huntingtonbeach.legistar.com/Calendar.aspx. Ken Inouye commented on Consent Ca lenda r Item #17 (26-079) regarding Year-End Audit Results for the FY 2024/25 Annual Comprehensive Financial Report (ACFR). (00:37 :25) Council/PFA Regular Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3 , 2026; Page 5 of 12 Tim Geddes commented on the Voter ID litigation . (00:39 : 17) Bradley Smith commented on night light pollution and shared his perception that the noise level ordinance appears to be arbitrarily enforced. Mayor Pro Tern Twining asked Mr. Smith to complete a blue card for follow-up . (00 :41 :48) Amory Hanson commented on Administrative Item #24 (26-116) regarding legislation related to Regional Housing Number Allocation (RHNA). (00:45 :07) Andrew Einhorn commented on the Pacific Airshow, Voter ID, Library and Housing lawsuits . (00:45:43) Michael Selna commented on California Senate Bill 868 and its impact on Huntington Beach residents . Councilmember Burns requested Mr. Selna to complete a blue card for follow-up . (00:47:47) Kathryn Goddard commented on the lack of agreement between Friends of the Library and City Council regarding a donation Friends of the Library would like to make. Mayor McKean replied that t he January 22 , 2026, town hall at Edison, addressed this topic and questions were answered . He added that everyone is looking forward to finalizing the standard license agreement and MOU that is required for all volunteer groups and non-profits using City facilities . (00:50:34) Unnamed Speaker commented on her ex perience participating in the Point In Time Count on January 27, 2026 , to connect with unhoused individuals. She also requested a Study Session review of Consent Calendar Item #17 (26-079) regarding year-end audit results for the FY 2024/25 Annual Comprehensive Financi al Report (ACFR). (00:53:58) Unnamed Speaker provided a voice-generated report from his phone summarizing a recent interaction with police after a call for service . (00:57 :20) Unnamed Speaker commented on police department tools used and responses to public requests for incident reports . (01 :00 :29) COUNC IL COMMITTEE APPOINTMENT ANNOUNCEMENTS -None AB 1234 REPORTING Mayor Pro Tern Twining reported attending a recent meeting of the Orange County Council of Governments (OCCOG). OPENNESS IN NEGOTIATION DISCLOSURES -None PUBLIC HEARING 13. 26-098 Conducted a Tax Equity and Financial Responsibility Act public hearing and adopted Resolution No. 2026-03 approving, authorizing, and directing execution of a Joint Exercise of Powers Agreement relating to the California Public Finance Authority and approving the Issuance by the California Public Finance Authority of Revenue Bonds in an amount not to exceed $325,000,000 for Marisol HB, LLC, with no City obligations, as well as a Payment in Lieu of Taxes Agreement Council/PFA Regular Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3 , 2026 ; Page 6 of 12 Mayor McKeon confirmed that no Councilmember had any ex parte disclosure for this Public Hearing. Mayor McKeon confirmed with City Clerk Lisa Lane Barnes there was no Supplemental Communication for this Public Hearing . Travis Hopkins, City Manager, introduced Acting Chief Financial Officer Zack Zithisakthanakul who provided a PowerPoint communication titled The Marisol HB, LLC w ith slides entitled : Ba ckground, Recommended Action, and Questions? There was no Councilmember discussion on the report. Mayor McKeon opened the Public Hearing. City Clerk Lisa Lane Barnes confirmed no one signed up to speak for this Public Hearing. Mayor McKeon closed the Public Hearing. Mayor McKean stated this is a continuation of what Council approved last year. A motion was made by Burns, second McKean, to conduct a public hearing under the requirements of TEFRA and the Internal Revenue Code in consideration of the issuance of tax-exempt bonds by the California Public Finance Authority (CalPFA) for the benefit of Marisol HB, LLC for the acquisition , construction, expansion, remodeling , renovation, improvement, furnishing, and/or equipping of a rental senior living community facility located generally at 2120 Main St., Huntington Beach , CA, 92648, to be known as The Marisol; and, adopt Resolution No. 2026-03, "A Resolut ion of the City Council of the City of Huntington Beach Approving , Authorizing and Directing Execution of a Joint Exercise of Powers Agreement Relating to the California Public Finance Authority and Approving the Issuance by the California Public Finance Authority of Revenue Bonds in an Aggregate Principal Amount Not to Exceed $325,000,000 to Benefit Marisol HB , LLC and Certain Other Matters Relating Thereto." The motion carried by the following roll call vote: AYES: NOES: Gruel, Kennedy, Twining, McKeon, Burns, Van Der Mark, and Will iams None CITY MANAGER'S REPORT -None CONSENT CALENDAR (Items 14 -23) Mayor McKeon pulled Item #14 , Councilmember Kennedy pulled #22 and Councilmember Gruel pulled #20 for further discussion . City Attorney 14. 26-119 FAILED to adopt Resolution No. 2026-04 Adopting a Revised City Council Manual City Attorney Mike Vigliotta introduced this item by stating the proposed amendment is to add a requirement that any visual presentation proposed to be shown by a Councilmember during a City Council meeting must be provided to the City Manager by the Thursday before the meeting. This will allow staff time to review the materials and discuss, if needed, with the Councilmember. The goal is to Council/PFA Regular Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3, 2026; Page 7 of 12 protect the City from unintended liability that could come from creating a faulty administrative record . This will also allow the public to review the material before the Council meeting. Councilmember Gruel confirmed with City Attorney Vigliotta that there was supplemental communication stating this would take effect at the next Council meeting. Councilmember Kennedy and City Attorney Vigliotta discussed th is item in further detail and Councilmember Kennedy shared his opinion that the City Attorney could intervene on-the-spot if necessary to protect the City whether the information comes as a verbal statement or a visual presentation . Mayor McKeon stated he believes this change would provide more public transparency and noted that prior to the last year Councilmembers have not presented visual information to document their positions for a topic under discussion . Councilmember Williams shared his opinion t hat this effort appears to be restrictive and suppressive. The discussion continued with Mayor McKeon explaining the concern is to ensure all Councilmembers' supporting visuals are confirmed by staff as being appropriate to the topic and are properly agendized. He added the intent is to make meetings efficient while protecting the City and the residents. City Attorney Mike Vigliotta noted that at any t ime during a City Council meeting, Council can vote to set aside a procedure from the City Coun ci l Manu~I and allow something to be placed on the screen. Mayor McKeon noted that the proposed procedure would enhance public discourse, and supplemental communication can be submitted up to the meeting time if additional information becomes available after the initial deadline . He sees th is policy as enhancing public transparency rather than being suppressive or restrictive . Mayor Pro Tern Twining stated his support for the City Council Manual revision because in his opinion it provides him with more time to evaluate and consider what initially may be an opposing view, rather than having just two or three minutes to gather his thoughts . Councilmember Burns shared his conflicting thoughts on this item , adding that it is important for Councilmembers to arrive at meetings without preconceived decisions, but rather with open minds listening to the residents and fellow Councilmembers during discussions just like this one. Mayor McKe on requested that if the City Attorney provides on-the-spot direction that something presented on the screen by a Councilmember is not appropriate, that Councilmembers would respectfully heed the City Attorney's advice . City Attorney Mike Vigliotta stated he is not in position to censor Councilmembers, rather, his position is to advise if something is not on the agenda or could potentially get the City into litigat ion . Councilmember Burns confirmed that if there is disagreement with a parliamentarian judgement the Chair can rule to keep the discussion focused on the agenda. A motion was made by Williams, second Kennedy, to adopt Resolution No. 2026-04, "A Resolution of t he City Council of the City of Huntington Beach Adopting a Revised City Council Manual ," as amended to delete the "Thursday 5:00 PM" deadline. Th e motion failed by the roll call vote for the substitute motion . Council/PFA Regula r Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3, 2026 ; Page 8 of 12 A substitute motion was made by Burns , second Kennedy to adoption of Resolution No. 2026 04 Adopting a Revised City Council Manual to keep City Council Manual as is, with no changes . The motion carried by the following roll call vote: AYES : NOES : City Clerk Gruel , Kennedy, Twining , McKeon, Burns , Van Der Mark, and Williams None 15. 26 -025 Approved and Adopted Minutes A motion was made by Van Der Mark , second McKeon, to approve and adopt the City Council/Public Financing Authority regular meeting minutes of January 20, 2026 . The motion carried by the following roll call vote: AYES: NOES: City Manager Gruel , Kennedy, Twining , McKeon, Burns , Van Der Mark, and Williams None 16. 26-114 Updated Mayor McKeon's 2026 City Council Liaison List-Citizen Boards, Commissions, and Committees A motion was made by Van Der Mark, second McKeon , to as recommended by the City Council , Public Financing Authority, Housing Authority, Parking Authority, and Successor Agency: Approve updates to the 2026 Council Liaison List that includes appointments to citizen boards, commissions, committees, and task forces as presented by Mayor McKeon . (The City Clerk cert ifies that FPPC Form 806 "Agency Report of Public Official Appointments" which is used to report add itional 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 roll call vote : AYES: NOES : Finance Gruel , Kennedy, Twining, McKeon , Burns, Van Der Mark, and Williams None 17. 26-079 Received and filed Year-End Audit Results for the FY 2024/25 Annual Comprehensive Financial Report (ACFR) A motion was made by Van Der Mark, second McKeon , to receive and file the FY 2024/25 Annual Comprehensive Financial Report and other auditor-issued reports . The motion carried by the following roll call vote : AYES: Gruel , Kennedy, Twining , McKean, Burns, Van Der Mark, and Williams Council/PFA Regular Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3, 2026; Page 9 of 12 NOES: None Fire 18. 26-095 Adopted Resolution No. 2026-02 Approving Application(s) for Whale Tail Grant Funds from the California Coastal Commission A motion was made by Van Der Mark, second McKean, to adopt Resolution No. 2026-02, "A Resolution of the City Council of the City of Huntington Beach Approving the Application(s) for Whale Tail Grant Funds from the California Coastal Commission." The motion carried by the following roll call vote: AYES: NOES: Public Works Gruel, Kennedy, Twining, McKean , Burns, Van Der Mark, and Williams None 19. 26-063 Approved Sole Source Procurement Request and Service Agreement with ReNewell Fleet Services, LLC for Fire Department Emergency Vehicle Maintenance, Annual Not-to-Exceed $200,000 A motion was made by Van Der Mark, second McKean, to approve a Service Agreement and Sole Source Justification with ReNewell Fleet Services, LLC, for Fire Department emergency vehicle maintenance and repair services. The motion carried by the following roll call vote: AYES: NOES: 20. 26-089 Gruel, Kennedy, Twining, McKean, Burns, Van Der Mark, and Williams None Rejected all bids for the City Gym and Pool Flooring Replacement, CC-1850 Councilmember Gruel pulled this item to inform everyone that construction projects for municipalities cost two to three times more just because State law piles on excessive mandates, rigid procurement rules, excessive insurance requirements and stipulates prevailing wages that have nothing to do with the actual job. He encouraged everyone to talk to their legislators so that eventually municipalities are given autonomy to develop their own set of rules for bringing contractors and vendors on board and save money in the process. Mayor McKean and Public Works Director Chao Vu discussed that prevailing wage, typically 20 percent above private sector wages, is dictated by the State Department of Industrial Relations (DIR) for most industry trade positions and being part of a union does increase the amount paid. Each contractor has to be registered with the DIR, and certified payroll records must be submitted to verify proper payments. All of these requirements limit the pool of available contractors . A motion was made by Gruel , second McKean, to reject all bids for the City Gym and Pool Flooring Replacement Project, CC-1850. The motion carried by the following roll call vote: AYES : NOES : 21. 26-078 Council/PFA Regular Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3, 2026 ; Page 10 of 12 Gruel , Kennedy, Twining, McKean , Burns, Van Der Mark, and Williams None Accepted the lowest responsive and responsible bid and authorized execution of a construction contract with Nobest, Inc. in the amount of $196,700 for the Residential Zone 3 Curb Ramp Project, CC-1838 A motion was made by Van Der Mark, second McKean , to accept the lowest responsive and responsible bid submitted by Nobest, Inc. in the amount of $196,700; and, authorize the Director of Public Works to execute change orders up to 10% of the contract amount; 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 roll call vote: AYES : NOES : 22. 26-054 Gruel , Kennedy, Twining, McKean , Burns , Van Der Mark, and Williams None Approved and Authorized Execution of Amendment No. 2 to the On-Call Professional Services Agreement with AESCO, Inc., to Increase the Not-to-Exceed Amount by $300,000 and Extend the Contract Term by One Year Councilmember Kennedy pulled this item to highlight inefficiency and also compliment the remedy. He described a situation where a low bidder gets awarded a job and then proceeds to pile up change orders. He noted how the bidding process is being changed so that good money isn't continually thrown at a project just because the selected vendor apparently did not perform due diligence in scoping out the work needed. He complimented Public Works Director Chao Vu for terminating the original vendor and eliminating a weak link. A motion was made by Kennedy, second Burns, to approve and authorize the Mayor and City Clerk to execute Amendment No . 2 to the On-Call Professional Services Agreement between the City of Huntington Beach and AESCO, Inc., increasing the not-to-exceed amount to $1 ,150,000 and extending the contract term by one year. The motion carried by the following roll call vote : AYES : NOES : 23. 26 -088 Gruel , Kennedy, Twining, McKean , Burns, Van Der Mark, and Williams None Rejected All Bids for Main Street Branch Library HVAC and Electrical Improvements (CC-1790) and Directed Staff to Re-Bid A motion was made by Van Der Mark, second McKeon, to reject all bids for CC-1790, Main Street Branch Library HVAC and Electrical Improve ments . The motion carried by the following roll call vote : AYES : NOES: Gruel , Kennedy, Twining, McKean, Burns, Van Der Mark, and Williams None Council/PFA Regular Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3, 2026; Page 11 of 12 ADMINISTRATIVE ITEMS 24. 26-116 Authorized sponsorship of legislation related to Regional Housing Number Allocation (RHNA). City Attorney Mike Vigliotta introduced the item by describing his work with Senator Strickland's office to begin legislation forming the Regional Housing Needs Assessment (RHNA) allocation process. He noted one of the challenges is that it is impossible to challenge these numbers in court , in part because of a couple of bad appeal decisions such as Coronado v. San Diego Southern California Association of Government (SCAG) and City of Irvine v. SCAG . If adopted , the proposed legi slation would allow cities to challenge RHNA numbers in Superior Court. Huntington Beach was invited to sponsor the bill. City Attorney Mike Vigliotta introduced Council Policy Analyst Shannon Levin who presented a PowerPoint communication titled Authorize Sponsorship of Legislation with slides entitled: Sponsoring Legislation, Recommended Action, and Questions? Mayor McKeon noted the methodology for defining RHNA numbers was not based on facts with statistics or data to back up the numbers. Huntington Beach has only asked for a way to protest the numbers and meet with the State so they can define how they reached their numbers. He added that Huntington Beach is 95 percent built out; noted that Huntington Beach is in the top five cities in Orange County with affordable housing be ing delivered ; and stated the one-size-fits-all approach that the State has taken is not appropriate. This proposed legislation would create a mechanism for cities to be involved in determining realistic RHNA numbers. Councilmember Burns supports this because it is a step towa rds local control. Councilwoman Van Der Mark thanked Senator Strickland for spearheading this legislation. Councilmember Kennedy confirmed there is no financial obligation on the part of the City by sponsoring this legislation . Councilmember Williams noted that since Huntington Bea c h is 95 per cent built out, and every time a developer builds 100 units only 20 of them will count towards the 13,368 units , so potentially over 40,000 units would have to be built to meet the current State-mandated RHNA numbers. A motion was made by Van Der Mark, second Burns , t o authorize the sponsorship of legislation , to be introdu ced by Senator Tony Strickland, related to RHNA. The motion carried by the following roll call vote: AYES : NOES : G ruel, Kennedy, Twining , Mc Keon, Burns, Van Der Mark, and W illiams None COUNCIL MEMBER ITEMS 25. 26-122 Heard Item Submitted by Councilman Williams, Councilman Kennedy, and Councilman Gruel -Discussion on History and Status of Lease Agreement for 21 and 22 Main Street on Pier -Surf City Partners, LLC Council/PFA Regular Meeting Housing and Parking Authorities and Successor Agency Special Meeting Minutes February 3, 2026; Page 12 of 12 Councilmember Williams introduced this item by providing a high-level overview of the project and timeline through a PowerPoint communication with slides entitled: Timeline (2); Staff, NOC, and EDC reasons for not recommending Surf City Partners; Project timeline of approx. seven months ... goal of opening May 2022; Timeline (4); October 1, 2024 , Agenda Consent Calendar (2); City of Huntington Beach -Action Details; Timeline; Section 18. Abatement of Rent During Construction; November 16, 2023 -California Coastal Commission Approved Coastal Development Permit No. 5-22-0804 requested by Surf City Partners, LLC; Attachment No. 1 Findings and Conditions of Approval Conditional Use Permit No. 22-012; Section 18. Abatement of Rent During Construction; July 7, 2025 -Construction Schedule Soft Opening; Section 37. Default; and Blank slide. Council member Kennedy thanked Councilmember Williams for the detailed presentation and noted that until the issue of the Completion Bond appeared on the January 20 , 2026, agenda he had not reviewed the lease for 21 and 22 Main Street on the Pier. He added that his background is in commercial real estate, and his focus is on continuing to improve efficiencies for things like the City's real estate hold ings . He believes people need to be held accountable, ensuring they know what is expected, and improving the process flow. Councilmember Gruel stated his interest is in introducing more transparency, making the City more business friendly, closing process holes and moving forward by putting the best deals together. Mayor McKeon noted that no formal action was requested for this item. ADJOURNMENT -at 8 :58 PM a motion was made by Twining , with a second by Van Der Mark, to adjourn to the next regularly scheduled meeting of the Huntington Beach City Council/Public Financing Authority on Tuesday, February 17, 2026 , in the Civic Center Council Chambers, 2000 Main Street, Huntington Beach, California . INTERNET ACCESS TO CITY COUNCIUPUBLIC FINANCING AUTHORITY AGENDAAND STAFF REPORT MATERIAL IS AVAILABLE PRIOR TO CITY COUNCIL MEETINGS AT http://www. hunti ngtonbeachca. gov ATTE ~~J;)u-/-Jv,r--- City Clerk-Secretary ~~brv~ City Clerk and ex-officio Clerk of the City Cou ncil of the City of Huntington Beach and Secretary of the Public Financing Authority of the City of Huntington Beach, California Mayor-Chair