Attachment 6

City Council Meeting Minutes

December 5, 2017
MINUTES
REGULAR MEETING
CARMEL-BY-THE-SEA

Tuesday, December 5, 2017

CALL TO ORDER AND ROLL CALL

Mayor Dallas called the meeting to order at 2:30 p.m.

Present: Councilmembers Reimers, Theis and Mayor Dallas

Absent: Councilmember Hardy, Councilmember Richards

Staff: Ashlee Wright, City Clerk

Chip Rerig, City Administrator
Marni Waffle, Senior Planner
Marc Wiener, Community Planning and Building Director

TOUR OF INSPECTION

Council met in the Council Chamber and proceeded to an on-site tour of inspection of the Markowski
Property located on the northwest corner of Santa Rita Street and Ocean Avenue. Councilmember Hardy
toured the property on her own.

Councilmember Richards recused himself from participating in the Tour and consideration of
corresponding Item 5 because he owns property within 500’.

CLOSED SESSION

Council returned from the Tour of inspection and Mayor Dallas announced the Closed Session items.

Item A: CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

Pursuant to Government Code Section 54956.9(D)(1)
Name of Case: Jacqueline Simonelli, Antonio C. Simonelli, Petitioners/Plaintiffs v. City of
Carmel-by-the-Sea, California, Christopher Tescher, Dennis Levett, Pot D'Oro, LLC, and Doe
1 through Doe 100, inclusive, Respondents/Defendants Monterey County Superior Court
Case No. M123079

Item B: CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

Pursuant to Government Code Section 54956.9(D)(1)

Name of Case: Stacy Lininger v. Ronald Pfleger, City of Carmel-by-the-Sea, et. al.
United States District Court, Northern District of California Court Case No. C17-3385SVK
Item C: CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
Pursuant to Government Code Section 54956.9(D)(1)
Name of Case: Gerit Sand; Cobblestone Bakery, a sole proprietorship, Plaintiff v. City of
Carmel- by-the-Sea, Defendant - Monterey County Superior Court Case No. M130393
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Item D: CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

Pursuant to Government Code Section 54956.9(D)(1)
Name of Case: City of Carmel-by-the-Sea, California, a municipal corporation, Plaintiff v.
Pacific Harvest Seafoods, Inc. and Does 1 through 20, Defendants, Santa Clara County
Case No. 16CV296492

Item E: CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

Pursuant to Government Code Section 54956.9(D)(1)
Administrative Hearing: CalPERS Joint Powers Authority retirement contribution dispute.

Item F: CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION

Significant exposure to litigation pursuant to subdivision (b) of Government Code Section
54956.9(d)(2): 3 cases

Public Comments - None

Council adjourned to Closed Session at 3:02 p.m.

OPEN SESSION

CALL TO ORDER AND ROLL CALL

Mayor Dallas called the open session of the meeting to order at 4:30 p.m.

Present: Councilmembers, Hardy, Reimers, Richards, Theis and Mayor Dallas

Absent: None

Staff: Ashlee Wright, City Clerk

Chip Rerig, City Administrator
Glen Mozingo, City Attorney
Marc Wiener, Community Planning and Building Director
Maxine Gullo, Assistant City Administrator
Bob Harary, Public Works Director
Paul Tomasi, Public Safety Director

PLEDGE OF ALLEGIANCE

Fire Chief Panholzer led the pledge of allegiance.

EXTRAORDINARY BUSINESS

Item A: Recognition of Karen Ferlito for her service on the Forest and Beach Commission.

Mayor Dallas recognized Karen Ferlito for her service on the Forest and Beach Commission. Karen
Ferlito spoke about her hopes for the community.

Item B: Recognition of Chief Guadenz Panholzer

Public Safety Director Paul Tomasi read a proclamation recognizing Chief Guadenz Panholzer. Chief
Panholzer spoke about his work for the peninsula and the community.

PUBLIC APPEARANCES

The following members of the public spoke during public appearances: Barbara Livingston, Cindy Lloyd,
Ellen Gannon, and Richard Kreitman.
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ANNOUNCEMENTS

Item A: Announcements from Closed Session

City Attorney, Glen Mozingo announced the Closed Session items and provided the report out.

Item A: CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION Pursuant to

Government Code Section 54956.9(D)(1) Name of Case: Jacqueline Simonelli,
Antonio C. Simonelli, Petitioners/Plaintiffs v. City of Carmel-by-the-Sea, California,
Christopher Tescher, Dennis Levett, Pot D'Oro, LLC, and Doe 1 through Doe 100,
inclusive, Respondents/Defendants Monterey County Superior Court Case No.
M123079

City Attorney Glen Mozingo announced that Council received an update on this item and that there were
no further announcements for the public.

Item B: CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

Pursuant to Government Code Section 54956.9(D)(1) Name of Case: Stacy
Lininger v. Ronald Pfleger, City of Carmel-by-the-Sea, et. al. United States District
Court, Northern District of California Court Case No. C17-3385SVK

City Attorney Glen Mozingo announced that Council received an update on this item and that there were
no further announcements for the public.

Item C: CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

Pursuant to Government Code Section 54956.9(D)(1)
Name of Case: Gerit Sand; Cobblestone Bakery, a sole proprietorship, Plaintiff v.
City of Carmel- by-the-Sea, Defendant - Monterey County Superior Court Case No.
M130393

City Attorney Glen Mozingo announced that Council received an update on this item and that there were
no further announcements for the public.

Item D: CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

Pursuant to Government Code Section 54956.9(D)(1)
Name of Case: City of Carmel-by-the-Sea, California, a municipal corporation,
Plaintiff v. Pacific Harvest Seafoods, Inc. and Does 1 through 20, Defendants,
Santa Clara County Case No. 16CV296492

City Attorney Glen Mozingo announced that the case has been resolved in favor of the plaintiff. He stated
that the court had decided that the defendant had been improperly sued in matters preempted by state
legislation. He stated that as a result of that case the defendant’s counsel filed a petition for the recovery
of his attorney fees in the amount of $30,000 and costs to the attorney in the amount of $3,100. He stated
that he concluded that an appeal would be of no value and would simply raise the cost to the City
because of the Trial Court’s previous ruling stated in a sixteen . He stated that he requested the City’s
counsel prepare a remittitur and the conclusion of the court was that the defendant had paid attorney’s
fees, but that the City did not need to return these fees because although it had misapplied the law, it had
not done so in bad faith. He stated that the defendant was entitled to the $3,100 in cost.

Item E: CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION

Pursuant to Government Code Section 54956.9(D)(1)
Administrative Hearing: CalPERS Joint Powers Authority retirement contribution
dispute.

City Attorney Glen Mozingo announced that Council had been advised on this item and that there were no
further announcements for the public.
 Attachment 6

Item F: CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION

Significant exposure to litigation pursuant to subdivision (b) of Government Code
Section 54956.9(d)(2): 3 cases

City Attorney Glen Mozingo announced that there were 3 cases that were addressed and that there were
no further announcements for the public.

Item B: Announcements from Councilmembers

Mayor Pro Tem Theis thanked staff for tree lighting event and stated that staff would be working on sound
issues for next year.

Councilmember Hardy stated that at a previous meeting she had mentioned a potential roundabout in
front of CHOMP and that she had received an email from TAMC that hospital doesn't feel that this is a
priority and that the money that would have been used for this project will be put towards streets projects.

Councilmember Reimers thanked staff for the tree-lighting event and stated that she had attend the
Smuin Ballet and highly recommends it.

Mayor Dallas thanked Ben Beesly, all of the groups and the helpers in the park decorating for the tree-
lighting event. He thanked staff for their work on the Homcrafters’ event and stated that a lot of vendors
sold out of merchandise.

Item C: Announcements from the City Administrator

City Administrator Chip Rerig stated that Item 19 would be continued to a future meeting. He stated that
long time City of Carmel employee Bill Askew had passed away in October and that the meeting would be
adjourned in his honor. He welcomed new Finance Manager Robin Scattini.

Item D: Announcements from the City Attorney

City Administrator Glen Mozingo stated that he has had 137 people come forward to terminate their short
term rental projects and that he has received numerous calls from residents about neighbors who have
chosen not to obey the law and that his office will be contacting the reported offenders. He stated that the
League of California Cities had provided a 600 page report about changes in laws affecting all City
Departments

CONSENT AGENDA

Councilmember Richards recused himself from voting on Item 5 because he owns property within 500’.

Item 3 was already approved at the November 7, 2017 regular Council meeting and appeared on the
agenda in error.

Councilmember Hardy made a comment on Item 5 and Marni Waffle, Senior Planner responded. No
members of the public spoke on this item.

Action: Upon a motion made by Councilmember Hardy, seconded by Mayor Pro Tem Theis, Council
moved to adopted the Consent agenda as follows:

AYES: COUNCILMEMBERS: Dallas, Hardy, Reimers, Richards, Theis

NOES: COUNCILMEMBERS: None

ABSTAIN: COUNCILMEMBERS: None

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Item 1: Monthly Reports: City Administrator Contract Log, Community Planning and Building
Department Reports, Fire, Ambulance, Beach Reports, Public Records Act Requests, and
Forester Reports. Approved, 5:0:0

Item 2: Ratify the check register summary for October 2017. Ratified, 5:0:0

Item 3: Consideration of a resolution amending the Fiscal Year 2017-2018 Capital Improvement
Plan and Adopted Budget to Incorporate a List of Projects Funded by SB 1: The Road
Repair and Accountability Act.

Item 4: Consideration of the adoption of a resolution authorizing the City Administrator to execute a
Professional Services Agreement with Pacific Crest Engineering, Inc. for design,
construction support, and environmental testing services for a not-to-exceed fee, including
contingency, of $41,773.75 for the Fuel Station Decommissioning Project. Adopted
Resolution 2017-021, 5:0:0

Item 5: Consideration of a Mills Act Contract for an existing historic residence located in the
Single-Family Residential (R-1) Zoning District. Approved, 4:0:1

Item 6: Adoption of a resolution approving the regular meeting dates of the City Council for the
calendar year 2018. Adopted Resolution 2017-119, 5:0:0

Item 7: Consideration of a draft Story-Pole Policy for New Construction.

Adopted Resolution 2017-122, 5:0:0

Item 8: Consideration of a resolution authorizing two (2) free use days of the Sunset Center
Theater to the Carmel Unified School District on March 8, 2018 and March 27, 2018.
Adopted Resolution 2017-118, 5:0:0

Item 9: Consideration of a grant deed exchange between the City of Carmel-by-the-Sea and the
Roman Catholic Bishop of Monterey. Approved, 5:0:0

Item 10: Consideration of the adoption of a resolution rescinding Council Policy C91-06 “Guidelines
for Recognition Requests” and the adoption of a resolution adopting Council Policy C17-04
“Council Recognition of Individuals, Organizations, and/or Events”. Adopted Resolutions
2017-116 and 2017-117, 5:0:0

Item 11: 1) Consideration of a Resolution adopting a Memorandum of Understanding (MOU)

between the City of Carmel-by-the-Sea and Carmel Fire Ambulance Association for the
period January 1, 2017 through June 30, 2019 and authorize the City Administrator to
execute the Memorandum of Understanding. 2) Adopt a resolution authorizing and
approving the City of Carmel-by-the-Sea current pay rates and ranges (salary schedule) for
Carmel Fire Ambulance Association classifications as of January 1, 2017. Adopted
Resolution 2017-120, 5:0:0

Item 12: Adopt a resolution authorizing a refund of the historic property evaluation deposit fee in the
amount of $1,255.00 to Sandra Markowski.Adopted Resolution 2017-124, 5:0:0

PUBLIC HEARINGS

Item 13: City Council review of a Use Permit (UP 17-80) application approved by the Planning
Commission to convert an existing restaurant (Carmel Coffee and Cocoa Bar) located in
the Central Commercial (CC) Zoning District from a specialty restaurant to a full-line
restaurant.

Councilmember Reimers recused herself from consideration of this item because she owns property
 Attachment 6

within 500’ and stepped down from the dais.

Marc Wiener, Community Planning and Building Director provided the staff report and responded to
Council questions.

Council asked questions of applicants Matthew and Mira Porges.

Public Comment

The following members of the public spoke on this item: Barbara Livingston, Gloria Valentino, Tim
Blomgren, Jessica McCain, Sheila Armstrong, Kevin Roach, Susan Ardell, and Mike Ragget.

---Public Comment---

Applicants Matthew and Mira Porges responded to public comment.

Council discussion followed and Council asked questions of applicants Matthew and Mira Porges.

Action: Upon a motion made by Councilmember Richards, seconded by Mayor Pro Tem Theis , Council
moved to approve the Use Permit (UP 17-80) for the Carmel Coffee and Cocoa Bar converting the
existing restaurant from a specialty restaurant to a full-line restaurant; to add up to 38 interior seats and
20 exterior seats in compliance with water credits; and to work with staff to add a “Please Be Seated” sign
at the entrance. 4:0:1

AYES: COUNCILMEMBERS: Dallas, Hardy,Richards, Theis

NOES: COUNCILMEMBERS: None

ABSTAIN: COUNCILMEMBERS: Reimers

Item 14: Consideration of an Ordinance (Second Reading) amending Municipal Code Chapter
8.68 pertaining to Chlorofluorocarbon, Polystyrene and Similar Packaging Material
Restrictions

Public Comment - None

Action: Upon a motion made by Councilmember Hardy, seconded by Councilmember Reimers, Council
moved to adopt on second reading an ordinance amending Municipal Code Chapter 8.68 pertaining to
Chlorofluorocarbon, Polystyrene and Similar Packaging Material Restrictions. Adopted Ordinance 2017-
011, 5:0:0

Item 15: Consideration of an Ordinance (Second Reading) amending the City’s regulations
concerning the sale, use, and cultivation of cannabis.

Public Comment

The following members of the public spoke on this item: Barbara Livingston, Lauren Banner, and Carl
Iverson.

---End Public Comment---

City Administrator Chip Rerig responded to public comments.

Action: Upon a motion made by Mayor Pro Tem Theis, seconded by Councilmember Hardy, Council
moved to adopt on second reading an ordinance amending the City’s regulations concerning the sale,
use, and cultivation of cannabis. Adopted Ordinance 2017-009, 5:0:0
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AYES: COUNCILMEMBERS: Dallas, Hardy, Reimers, Richards, Theis

NOES: COUNCILMEMBERS: None

ABSTAIN: COUNCILMEMBERS: None

Item 16: Consideration of an Ordinance (Second Reading) amending Municipal Code Sections
17.08 (Residential Zoning District) and 17.68 (Use Classifications) pertaining to accessory
dwelling units in response to recently adopted state legislation

Public Comments - None

Action: Upon a motion made by Mayor Pro Tem Theis, seconded by Councilmember Hardy, Council
moved to adopt on second reading and ordinance amending Municipal Code Sections 17.08 (Residential
Zoning District) and 17.68 (Use Classifications) pertaining to accessory dwelling units in response to
recently adopted state legislation. Adopted Ordinance 2017-010, 5:0:0

AYES: COUNCILMEMBERS: Dallas, Hardy, Reimers, Richards, Theis

NOES: COUNCILMEMBERS: None

ABSTAIN: COUNCILMEMBERS: None

ORDERS OF BUSINESS
Mayor Dallas called for a recess at 6:10 p.m. Council resumed at 6:25 p.m.

Item 17: Consideration of revised fees for special events and activities.

Ashlee Wright, City Clerk gave the staff report and responded to Council questions.

Public Comment

The following members of the public spoke on this item: Hella Rothwell, Sue McCloud, and Barbara
Livingston.

---End Public Comment---

Council discussion followed.

Action: Council provided staff with direction with regards to fees options and further directed staff to
return with an updated fee schedule for consideration that reflected that direction and included: a line item
for residential block parties with a clear definition of residential block parties; an additional high season
option; and consideration of historic City event

Item 18: Receive a post-mortem report of the 2017 Concours on the Avenue event and consider a
request by COTA for a multi-year Special Event Support Program Grant in an amount of
$34,026.85 per year for three years.

Councilmember Richards stated that he had thought about recusing himself from consideration of this
item, but decided not to.

Paul Tomasi, Public Safety Director presented the staff report and responded to Council questions.

Doug Freedman and Kimberly Willison presented on the Concours on the Avenue event and responded
to Council questions.
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Public Comment

The following members of the public spoke on this item: Sue McCloud, Mike Brown, Lauren Banner, Joe
Kane, Steve Rana, and Doug Freedman.

---End Public Comment---

Council discussion followed.

Action: Upon a motion made by Mayor Dallas, seconded by Councilmember Hardy, Council moved to
allow the Concours on the Avenue event to utilize Devendorf park Sunday, Monday and Tuesday and to
require the Concours on the to pay all hard and soft costs for the event, excluding the cost of the second
ambulance, for one-year. 4:1:0

AYES: COUNCILMEMBERS: Dallas, Hardy, Reimers, Theis

NOES: COUNCILMEMBERS: Richards

ABSTAIN: COUNCILMEMBERS: None

Item 19: Receive a presentation regarding possible options for the use of the Flanders mansion and
provide direction to staff

This item was continued to a future meeting.

FUTURE AGENDA ITEMS - None

ADJOURNMENT

There being no further business Mayor Dallas adjourned the meeting adjournment 9:28

APPROVED: ATTEST:

______________________________ ______________________________
Steve G. Dallas, Mayor Ashlee Wright, City Clerk