I now call the October 15, 2024 city council meeting to order city clerk. Would you please call the roll? Councillor Campbell. Present. Councillor Marhart. Here. Councillor Taylor. Mayor Pro Temborn. Here. Mayor Freys. Here. Please join us in reciting the Pledge of Allegiance led by Council Member Campbell and remain standing for the invocation by Mayor Pro Temborn. Ready begin. I pledge allegiance to the plough of the United States of America and to the Republic for which it stands, one nation under God, indivisible with liberty and justice for all. Heavenly Father, we're grateful to be gathered again as a community and as leaders of the city to discuss important issues related to governance of our town. We pray that as we collect information and discuss these items that we might do so in a spirit of collaboration, we have contention and a successful effort to understand one another so that we can make good decisions that will bless our constituents and our neighbors. We're mindful of our first responders, our educators, and our children, and our community and pray that that would watch over them and keep them safe and protected. And do so in the name of Jesus Christ, amen. Council, is there any reportable action out of the executive session? Yes, the Council met in close session to discuss those items that are listed on the agenda. The council did take action with regard to initiation and litigation. There was a 5-0 vote to initiate litigation. One service is effectuated. More information will be available. Thank you. Item moving on to item b1 mayor pro-10 would you please introduce the commissioners president tonight's meeting We have Ted Rosenveilt from the planning and parks commission. Thanks for coming Ted Thank you Moving on to item b2. Presentation by SDG&E. Greetings, councilmembers. It's always fun to be behind this side of the dius. I'm a council member in the city of Newport Beach. So I'm used to sitting in your position and not out here. So it's fun to be able to present to your city and to you. We'll come by and see you sometime. Yeah, I appreciate it. Well, I'm your public affairs manager for SDG&E, Dwayne K for many years since 2003, served in this capacity and retired this past December. So I was brought on. I had worked in this community and the state senate area for eight years and a member of the board of supervisors for a couple of years prior to that. So I've been in South Orange County for quite some time. So our territory covers nine Orange County cities in South Orange County and the County of Orange. We have three full time cities of San Maracapestrano, Dana Point and San Clemente and then partial cities of the rest. So I'm here though to talk about our South Orange County Reliability Enhancement Project that is hopefully done and have turned all the corners here by the end of the year. I know that the communities have been, your community especially has been affected by this project for quite some time and meriferious. I know your neighborhood has been affected the most. So we appreciate your patience. So I'm here to bring some good news and then also provide you an update on where we're at on the project. So just so you know the benefits of the South Orange County Reliability Enhancement Project, they're on Communocapistrano. It improves reliability to our existing electrical grid and system. It modernizes electric transmission system and replaces outdated equipment, replaces wood poles with steel poles to reduce fire risks and meets current and future energy needs of local homes and businesses. It allows for operational flexibility and meets federal and state reliability standards. And so you can see this is where we were in 1921 and I had one of our guys out on the field crew today or actually yesterday take that photo of what it looks like right now. Bright View is our contractor so they're doing a whole bunch of landscaping right in front of the substation. And what I'm mostly here to give an update on is our long park restoration project, which is across the street. So you can kind of see, and I'm sorry that I didn't zoom in correctly here, but it's an expansive project of Camino Capastrano there. You can kind of see in the middle. That's the substation. But the front of Camino Capastrano was kind of where I had showed you on this photo here and the landscaping being done. And then to the left of that, you can see Long Park and I'll zoom in on this particular picture. So this is standing at the substation looking across the street, and you can see the fence in area. There's a meandering pathway that comes from the restaurant where that large oak tree is on the right and that pathway works its way along towards the, I guess, moving towards the coastline. So we took out a lot of shrubbery, a lot of bushes, some trees and obviously the sod and grass that was there. So if you look up on the top, you'll see a series of arms. And those arms on those overhead power lines are right above the rail lines. So we need the Southern California Regional Rail Authority's permit to do a right of entryway permit. And we're hopeful that that will be approved in the next couple days. It's been sitting on their desk for quite some time. That's through metrualing. So I'm sure you're familiar with some of the slowdowns, sometimes affecting that in the city. But we need flagman there that will watch over the rail line when that moves through so the work on those upper arms can be repaired. Those arms run all the way towards the communal cappostranos H-O-A that moves further downwards and we need an armor placed over in that neighborhood as well too. So there's some fencing in that neighborhood that is affecting that community. So we're working to get those arms done once we get that permit. Unfortunately, once we get the permit, it's a 30-day notification to take down the power. So that neighborhood will lose its power, but we have to, in our rules, have 30 days notification to the residents there that we're gonna turn off that power. So we anticipate landscape contractor bright view who the city also uses to do that work and we're hopeful and very optimistic is looking at the last week in November. Obviously we're waiting on that permit from the real authority. So once that comes through, then we'll be able to do the 30 day notification and then once that is that it'll take three days to do the work on the overhead lines to fix those arms. And then once that's done and the trucks are out of there, that's when we'll start the landscaping work. It's kind of hard to see, but on the top part where it's all green, and the red lines kind of come across. That's the direct line from or view from our substation. The red dots that are there are all new shrubberies and trees that will be planted. The construction of the pathway will be done by Patriot, that's who's our contractor when we do concrete work. So Patriot will be out there to make that meandering pathway connect like it once did. So we're going to leave everything, return everything to the way that it was back in the day. And then obviously with new plantings and whatnot. But we want to make sure that our crews are gone and out of there before we do the installation of the plantings and the sod. And we don't want our trucks to damage something that looks nice once we leave. So you can kind of see at the middle part in the other red dots, that's the landscaping that we're doing right now at the substation that I showed you, the old photo and the current photo. So that's kind of an update on the long park restoration plants. I apologize on behalf of the company. I know that it's been a long project and a lot of impacts have been made to that community, especially in the mayor's doing. So, we have been doing a lot of the things that we have been doing. So, we have been doing a lot of things that we have been doing. So, we have been doing a lot of things that we have been doing. So, we have been doing a lot of things that we have been doing. So, we have been doing a lot of things that we have been that communities park for such a long time and we went back to our team and we did talk that through and we do apologize for the impacts of the community so I'm here tonight to present a check from SDG and he on behalf of the company for a hundred thousand dollars to help repair and restore that park and hopefully get some new playground equipment in there and work with the city to kind of make up for the damages we caused and the impacts that we put to that community. It's unfortunate that they occurred but we think this reliability enhancement will help all of South County and the state's request to electrify has been Accelerated and we want to make sure that these projects are in in in working for South Orange County So so as a token of our thanks We have this check to present the city so I'm open for any questions that the council may have on anything SDG knee Specific to this or other things. I'm here. You got me. So I'm happy to answer any questions. Eric, thank you and SDG knee for the generous donation. We look forward to applying these funds to the Sarah Park Improvement Project, which is slated for this fiscal year. Primarily we would look at removing and replacing the playground equipment and add new equipment. Our parks and rec, questuring community services will be looking at this project and they'll be making decisions on what we'll be going in there. Likely, it'll come back to the council in 2025. So we will accept your generous donation if you'd like to come up here and take a picture with us or maybe just hand off the check to someone. Sure, we'd love a pit photo if that works for you. Yes, we've come up to the dice. Great, and if I could be invited or our team could be invited when you do the groundbreaking or ribbon cutting, we would love to be a part of that. We'll make sure that you get the invitation. Okay, Thank you. Thank you. All right. A little, a little, a little. A second in. What is it? Thank you. Thank you. I know I tried. Thank you. Thank you, Heidi. I have enough for getting that check for us. Also putting that pressure on. We'll move on to oral communications. First, it's wishing to address the City Council or the successful agency on any items that are not listed. And the agenda may do so at this time. Do we have any requests to speak for them? No, Mayor. Is there any members of the public that would like to address the City Council on items not listed on the agenda? You may do so at this time. Okay. Seeing none. Move on. To the consent calendar items are considered routine and will be enacted by one motion on one vote. Are there any requests from the public to remove any items? No, there. Are there any council members that would like to remove any items or recuse for abstain from voting Man to attain the motion Second we have a motion on the floor. How those in favor? That's unanimous Moving on to item f1a Okay. Item F1A is purchase and sale agreement with affordable housing land consults LLC for the property located on Don 1 Avenue. Thank you, Maywee. Please have a staff report. Yes, thank you, Mayor Good evening. Members of the City Council, Matisse Ryshell Assistant City Manager. As mentioned, the item before you this evening is a recommended purchase and sale agreement with affordable housing land consultants LLC for the property located at the Terminus of Dawn 1 Avenue. So you'll notice the aerial map displayed on the screens. The subject property is identified as the proposed project site. It is again located at the terminus of Don 1 Avenue. It's a vacant, undeveloped property, approximately 1.8 acres in size. It has a zoning of mission residential district, general plan of medium-hydensity, and a subdivision to allow eight units approved was approved in 2006. So this is an image of the property if you're standing on Don Juan Avenue and this is an image of the subject property from the I-5 freeway. So utilizing the allowances provided under state law, the current property owner affordable housing land consultants and some members of the audience and the council may know this group is AMG and associates. It's an affiliated LLC. They're proposing to construct a 107 unit apartment complex on the site with 14 parking stalls. The units would be within a six-story tower with two wings dividing up the units into wing one and wing two with two stalls on either side. This is a rendering of the project standing also on Don Juan Avenue. And here are a few elevations that give you a sense of the scale, the density, and the scope of the project from multiple angles. So as mentioned, the current property owner is utilizing allowances available under state law to propose such a project. So in 2016, the state passed several laws to incentivize the construction of affordable housing. And there are three significant laws applicable to this project. The Housing Crisis Act, SB 330, Density Bonus Laws, and SB 35, the Streamline Ministerial Review Process. So the first housing law, the Housing Crisis Act, SB 330, it declared statewide housing emergency and suspended certain local agency restrictions to expedite housing approvals. So cities may only enforce objective standards. That's the key takeaway from this SB 330. Projects may only be denied or reduce in density if there's evidence on the record that the project may result in specific adverse impacts upon the public health and safety, or if the project cannot meet objective standards. So that's quantifiable standards, not design aesthetics, whether there's potential shadowing on an adjacent property, lighting impacts, et cetera. And the projects would only be subject to a maximum of five hearings, so five public meetings. The other applicable housing law is state density bonus laws. So this again is intended by the state to encourage the construction of affordable housing. So if a project is 100% affordable as the proposed project is, unlimited density is permitted. No parking is required if located within half a mile of a train station, which the subject property is. Additional height allowances are permitted, and five concessions and unlimited waivers are allowed. So concessions, the developer property owner can make specific requests to accommodate the project, or waivers they can ask for a particular regulation in place to be waived. And lastly, SB 35, the Streamline Ministerial Review Process of which this project is undertaking as its review process. The city review is limited to project consistency with existing objective standards. Again, the same thing we saw in the density bonus laws. No parking is required within half a mile of the train station again. No sequel review and no public hearings under SB 35. And if the project meets the objective standards, it must be approved within a 90 days of submittal. So based on concerns over the project density, potential impacts to the neighborhood, the lack of sufficient parking, the city approached the property owner with an alternative proposal and asked if they were interested in selling the property. The owner was receptive to that offer and the city and the property owner have been engaged in good faith negotiations and that has culminated into the recommended purchase and sale agreement that we're presenting this evening. The recommended purchase price is $2.35 million and staff is recommending the utilization of housing in lieu fee funds for that purpose. These are funds that are specifically set aside within the city's budget for the provision of affordable housing. So by utilizing this funding source, the city would be committing to an affordable housing project on the site. However, with city ownership that allows the city to have much more say in the process. So the city could partner with an affordable housing developer to provide a high quality, well-designed senior housing project at a density that is more compatible with the surrounding neighborhood and provide for sufficient parking. The city could require that those provisions are met in a future project. And staff is recommending senior, a senior project is intended to result in a less intensive use on the site to generate fewer traffic trips along Don Juan Avenue and to better align with the character of the neighbourhood. Now last month on September 30th, a mayoral subcommittee comprised of council members Taylor and Campbell met with neighbors around the Don Juan site, explained the city's intention on why we're pursuing purchase of the property, why affordable housing project would be forthcoming using this funding source, and it was an opportunity to hear feedback comments from the community and that meeting was very well attended by the neighbourhood. So pending City Council approval of the recommended action. The city staff is recommending the issuance of a request for proposals to affordable housing developers for a senior only project. So senior would be defined as age 62 plus. The RFP would dictate parking requirements, development standards, height, setbacks, design, density parameters, city ownership would also allow for the project to go through the city's committee and commission review process, providing additional feedback and an opportunity for community engagement. And then there are two also logistic items that would occur within next steps. Persuant to state law, the planning commission is required to find that the property purchase is consistent with the city's general plan. And so that action is tentatively scheduled for November 13th. And the recommended purchase and sale agreement includes a 60 day due diligence period where city staff would conduct some additional testing site inspections to ensure that there are tiny environmental issues on the property. So in summary, staff is recommending that the City Council approve and authorize the City Manager to execute a purchase and sale agreement for the City to acquire the Don Juan Avenue property, appropriate $2.35 million from the Housing in Liu-Fee Fund for the acquisition, authorize staff to prepare and release a request for proposals for a senior affordable housing project to be constructed on the site and find that the recommended action is exempt from sequa. That concludes my presentation. Thank you. Thank you. Are there any questions of staff? How's the member Tamer? Yeah, so in essence, then if the city acquires it, then we can review with subjective standards. We can look at how it works with the neighborhood, things that we work allowed to prior. That's correct. That's correct. Okay, thank you. Any other questions or staff? Okay. I'll open this to the public. Do we have any requests to speak forms? Yes, Mayor. Angela Ducic, followed by Heather Chapman and Carmen Escamilla. Whoops, say okay. I did some. Just stay. Angela Ducic, 31372, Dawn Wan Avenue, 35-year resident on Mission Hill. Good evening, Mayor, members of the City Council, ladies and gentlemen, and attendance at tonight's meeting. I am familiar with the State's Affordable Housing Act and how the city's general plans shall be in compliance with the state's requirement. Now personally, I think it sucks how the state's housing acts supersedes local zoning requirements regardless of the negative impacts. However, I am total support and encourage the council, encourage council approval for the purchase of the Don 1 property. City ownership will allow for a more reasonable and feasible density and on-site parking to mitigate the negative impacts of said construction. One thing I do ask when the roadway is improved to accommodate new construction, The city takes into consideration the homes that have a five foot setback, one being in mind. So when I step off my front porch or miss miss porch, I don't get hit by a car. In addition, there was a 125 year old California California Peppertree designated a heritage tree by the city and It needs to be protected From being removed if they're gonna improve the right away right there it would make a great traffic calming device but Thank you for listening to me Thank you. Next speaker please. Good evening. Honourable City Council members and staff. Excuse me. Can I interrupt for just a second? Is it possible to have staff maybe adjust that microphone. When you listen, when you play back, it's difficult to hear the folks that they want to make statements. Is it right now it's kind of in a wacky position? Is that possible? There we go. Thank you so much. Is that better? OK. My name is Heather Chapman, and both as a nonprofit leader committed to the well-being of San Juan residents at risk of homelessness and as a homeowner in the mission flats. I want to thank you for your efforts toward building a healthy community for more people, rather than just thinking about more housing. At the neighborhood meeting my neighbors and I agreed that this location needs a lot of tender care to make sure that new development doesn't overwhelm its old town charm. And while the conversation about that has been that it should be mostly, that it should be for seniors, it seems to me that everyone's main concern is cars, not who drives them. So I ask you to consider modifying staff's recommendation by not specifically limiting proposals to senior housing but asking for proposals with affordable housing development with a priority on senior housing, we would do a couple things. First, we would be better stewarding the city's funding. If you limit the proposals to only senior developments, you may get proposals that are more expensive than what could otherwise be proposed, especially since there's currently limited funding for senior affordable housing. But by allowing other types of proposals as well, you can make sure that the city is considering all of the options and getting the best product for the best price. Let's see what the developers come up with without tying their hands. Secondly, by expanding the proposals you'd accept, you could end up meeting a really serious need in the city as you can see on the paper that Chris just gave you. The need, while the need for non-age restricted affordable how rentals is double, that the need of senior affordable rentals is double that the need of senior affordable rentals. The city's affordable rental stock is 10 times higher for seniors than it is for non-seniors. Finally, I'm just not convinced that senior housing is the only or even the best way to accomplish a limited impact on Don Juan Avenue. Assuming you could get a walking path put in along the freeway leading down to El Orno, non-age restricted housing might be cheaper and it might actually cause less impact. Senior housing would have fewer trips in and out on Don Juan, but far more ambulances and fire vehicles which are much more obtrusive. Senior housing would have fewer parking needs than other types of housing, but not necessarily fewer than a walk-to-work community. This neighborhood already has a walk-ability score of 82 out of 100, and that's something that especially young people are really looking for in housing. So it seems to me that small units with only one parking spot each with an incentive, maybe, for people who own no cars at all would attract the kind of residents that would rarely even be on Don Juan Avenue since they could access the housing on foot and buy that bike path and they would rarely be using emergency vehicles. So we know that this housing is not for everyone. It takes a certain kind of person to live with limited cars but this is amazingly prime location for affordable housing and I think we can find the right renters without limiting the options to only seniors. And I had more to say but thank you. Thank you. Next speaker please. Carmen Escamilla, followed by Sharon McEugh. Hi, Carmen Escamilla. I'm a 24 year resident of Mission Hill. And I do think the city for your efforts in mitigating this massive project by buying the property. But I do want to emphasize that the number of parking spaces should match the number of units, if at all possible. The city's own housing element reports states that despite San Juan having a train station, the train is not used for commuting to work, and even our bus system is not used by any significant number of people going to work. I lived in affordable housing when I came to this country. So I'm a huge proponent of affordable housing. Living 11 people in two bedrooms was not very easy. And again, I wanna thank the city for proposing to make this senior housing. We all know that people, no matter how low in the economic scale you are, you need a car to get around. Just two days ago, I was awakened by two people that parked near my bedroom window and they were talking. Not very loud but enough that I could hear them. It turned out they were not from the community. If we have no places for these people to park they're going to be parking up and down our streets, not just in Mission Hills but in Mission Flats and they'll be coming and going at all hours and night of the day. So it is a detriment to our community if you do not have enough parking available. The narrowness of the street is also something that you've heard us say over and over again is a great concern to us. And statistics show just by the way that seniors have the best driving records of any age group. So thank you City Council members, especially Mr. Taylor and Mr. Campbell for being on this subcommittee to work on this and Please hold fast to making this senior affordable housing. Thank you. Hello, good evening. I'm Sharon McKegg, resident of, we call it old mission Hill on Isadora Street. And I want to thank you for seeking out this purchase. We really appreciate it that you, you know, I heard words to consider the density, consider the character of the neighborhood. So I really appreciate that. Still a little nervous about how many units would be going in. And of course I'm just echoing the parking in the cars. Many people on that street, many homes are just a few feet out their door and it's the cars and all. So thank you. I'm really just here to say thank you for doing that and pursuing that. I look forward to working with you on seeking a compatible density and the character. I think of how many times I've driven in some areas of our wonderful neighbors and Clemente Dana Point and some areas, I'm like, what happened? Someone was asleep at the wheel because it's not pretty or character and there's cars everywhere. So thank you for prioritizing that in our city, our wonderful town, and maybe we can get SDG and E to put the wires under ground in our neighborhood to make some room for this. All right, thank you so much. Have a great evening. Unfortunately he left the building already. Oh good. Next speaker please. Tom it whistle does not wish to speak or wants to register his support for the item. Is there anyone in the audience that would like to address the City Council? You may do so at this time. Okay. I bring it back to the Council. Council Member Campbell. I wonder if I could ask staff a question please. The, if this RFP proposal goes through, when we do an RFP proposal, is part of that process, do we have the right as a commuter, as a C, to say that you can only have one, so in that RFP process, we go out to developers and say, okay, here are the rules. We are going to allow you to rent these apartments out, but you can only, you have to limit everyone of your clients to one parking spot. They can't have more than one car. Or we actually really don't want you guys to have a car at all. We really want you to walk into the downtown area. I recognize I think we all recognize the need for affordable housing. But if the challenge that as far as being able to restrict usage for a potential developer, do we have the right as a seat to make that standard request that standard? I think you'll have pretty broad authority and discretion. Obviously that would include that type of limitation that might impact the number or type of responses that you get, but from a purely legal perspective, you could impose that once you get the proposals back. Thank you. Council Member Hart. Thank you Mr. Mayor. You know I studied little economics in my lifetime. A lot of supply and demand says that, demand says chase a supply and eventually arrive at an equal equilibrium and things become available at a reasonable price between consumer and provider. and the government gets involved. The move we see in California over the last several decades is what happens when the free market is folded, spindled, mutilated, beyond recognition thrown through a fun house mirror, then shown to the voters of California and said, see what happens, what capitalism does. And so we regulate it more and more and more and folded and spindle and mutilate it more. And now here we are with the state government. I want to build a, that's going to, wants to override local control to allow 116 units and 14 parking spaces. And I hope you understand that that's your end result. You cannot regulate yourself out of over-regulation. It doesn't work. So that's what we're left with. There's a couple of choices as a local municipality. And so we're doing this and I understand your concerns about the senior living and we're having to put our own restrictions on it in order to save a neighborhood. the way forward with this. Well, let me just say we've been dealing with this as a council for about three years now. And a lot of it's been done out of the site of the public because most of these things have go through in close session and bounce between staff and the developer. And we've been trying to work with developer, but we haven't had a whole lot of leverage quite honestly it just got to the point where we have a very inventive and smart city manager and I'd like to compliment Mr. Seagull who doesn't get enough credit for the work he does on behalf of this community. This is the best of a situation which I wish we had been able to resolve it to where we could have gotten, turned back the clock a couple decades and got you your eight units or eight duplexes, but that's not where we're at these days. And so we don't know where what's going to come back our way. We're going to do it the best way we can, which is local control, because we care about this community as opposed to some developer taking advantage of state laws, which don't care about San Juan Capastrano. So thank you. Council Member Taylor. Yeah, thank you, Mayor. I just had a question. It's sort of in the same line as Councillor Member Campbell about parking. If someone rents one of these rents in a formal unit and they only have one, they can only have one car parked there, right? But you cannot prevent them by law from having five cars parked throughout the community, can you? Is there, you know, could you actually, is there a, would it be legal to say to someone you can only own one vehicle and live here or could you have two or three cars, you only have your one spot and you use your one spot but then you put your other four cars out in the community. I've never heard of any law that would restrict that. Is there such a thing? I can't say that I've heard of any such restriction. I think conceivably it would be possible. I think enforcement might be a bit of an issue in terms of how much time and effort would be involved in enforcing that. But conceivably, that's the type of restriction you could impose on a piece of property. Yeah, okay. That's sort of my concern with not going to family housing would be that you have the husband and wife both have a car, and then you have three kids that grow up. Now, they're off to college or local community college, and now they have to have a vehicle and then you have three kids that grow up. Now they're off to college or local community college and now they have to have a vehicle to get there and so forth. So that's one of the reasons why I think a senior project is what's appropriate for this particular neighborhood because it is so restricted in the ability to, I mean I would love to be able to do more family housing and I think you know the city is doing that we have our 50 unit permanent supportive housing that is not age restricted so that is something that's opening up soon next to our city hall. So I think we're we're always looking for that opportunity but in this case I think the senior component is really the only thing that kind of makes it compatible with the neighborhood, so I will be supporting that. Thank you. I don't know much about seniors, but I don't think they drive as much, and I think what one of the speakers mentioned, if you go in front of your place. I mean, the street is so narrow. I think what's really difficult is when decisions are made outside of our city and they affect our residents. A lot of the restrictions or a lot of what's being pushed out of our state is taking away local control. And I think what's really important is that we have a city council here that is approving more housing than a lot of other communities. And we're doing it in a way that's responsible as much as we can. And I think it's because we have credibility with a lot of folks. I also echo the praise of our city manager who thinks outside the box. He's not narrow and is focused. He's always looking for opportunities to make things just fit what San Juan is. And I think this is an opportunity, thanks to his leadership, that we found ourselves with. This is a great opportunity, obviously. You know, it may not be perfect, but at least our residents are commissioners and our city council's gonna get it, shape the project and I think that's important. So I'll leave it up for emotion unless there's more comments. Council member Campbell. Yeah, it's You find your I find myself in a position of you know, what is the best of both evils? You know the reality is as as councilman Hart mentioned eight units would be way better than Whatever it might go in there 40 40, 50, whatever it might be, 60 if that's what the number ends up to be. I think all of us are, I certainly am mostly concerned about preserving that neighborhood in the best possible way we can. And I also share the concerns regarding traffic and trips and that sort of thing on Don Juan. It is not the widest street in the world. I know there's going to have to be some improvements made. But unless you're tearing down four or five houses and building a four lane, it's going to be very, very difficult to have vehicles pass at a fast rate. So I'm in supportive of staff recommendation. I'd like to move staff recommendation please. Second. Any other comments? Mayor Proon. Yeah, and this does, I can make this comment after the vote. But one of the comments made refer to a potential path of pedestrian path of travel from the site down to the under crossing at Alhornia, which will allow pedestrian access to the commercial center there at Marbeque without having to go all the way around the neighborhood and back out. Is that a feasible thing? Is that private property that connects that path? Or would the city have access to be able to create a walkway like that as part of the project? Thank you, Councillor Mourn for an weekend. I'm going to look at the answer and maybe we can look at it. We have looked at it. My recollection is it's caltrans right away, but we can take a look. And then as part of a pathway for a future project we can look at that. It's possible it's intuitive it seems like a make lot of sense. All those in favor? Hi. Hi. That's the animus. Moving on to F2A. Item F2A is cooperative agreement with Orange County Transportation Authority for project V funding for expanded summer weekend and special event trolley services. May we please have a staff recommendation. for Project V funding for expanded summer weekend and special that trolley services. May we please have a staff recommendation. Yes, Mr. Mayor, members of the City Council, Tom Tome, Public Works and Community Services Director. The City's trolley program is funded primarily through Project V funds. Project V is a measure M funded program and measure M is a half-sense transportation sales tax that was passed in 1990 and that was reviewed, excuse me, renewed in 2011. Project V is a program that establishes local community-based transit circulators. In other words for us it's our trolleys that complement the regional bus and transit services in the area. The current program funds 90% of the expenses and our current program started in 2018 and technically finished here at the end of June, the end of this fiscal year. We call it the summer weekend in special event trolley service. Summer weekends essentially kick off Memorial Day weekend and end on Labor Day weekend. The program currently runs on Saturdays and Sundays from 11 a.m. to 9 p.m. on Saturdays and on Sundays from 11 a.m. to 7 p.m. The program also includes city sponsored special events and holidays. Those include Memorial Day or Swallows Day Parade, Egg Shravaganza event, Fourth of July festivities at the Sports Park, Summer Nights Concert Series, four of those in the summertime on Wednesdays, Labor Day Service, and then our annual Christmas tree lighting ceremony, which is our next special event coming up. The service is successful in terms of ridership metrics, in terms of customer satisfaction. We carry approximately 20,000 passengers a year. We average about 25 passengers per hour per trolley in service. It's a simple service. It includes two trolleys on a 20 minute frequency. The northern terminus of the program is over at LaZonha. And the southern terminus of the trolley service is a combination of places on Stonehill Drive, one with a Dana Point connection near Delavispo Street and another by the Marriott Hotel. Recently, we expanded the service for a couple special events. We took the northern terminus for their north to Hunipero, Saro wrote in the cul-de-sac off of the west side of J. Saro and Camino cap and we were able to serve as folks from the Grove site and from the Silverado Memory Care Facility. So in January, I brought an item to the council to consider a resolution for us to apply for a grant for these funds. Knowing that the program was going to end at the end of the fiscal year, cities like us who had a successful program that ran for five to six years were going to run out of funding. So we submitted a proposal for the continuation of our service east of the five freeway. And recently, a couple weeks ago, staff was notified by OCTA staff that we were successful in getting the grant funds to extend our service, so not only continue the existing service, but to extend the east of the freeway for the next seven years. Retroactive to July one of this year. So that service, that expanded service, again, will go for seven years, will go east of the five freeway. It includes capital funding as well, so not just the operation and maintenance of the service, but capital in year one to purchase two hometown trolleys. We currently have two hometown trolleys. We currently have two home town trolleys. We're going to double that so that we can continue the same schedule and paradigm of a 20-minute frequency going east of the freeway. And then in year two we have additional funding to augment the maintenance chart and enhance the garage doors for storage of the two new trolleys. So I'm really quickly I'm going to go over the proposed route or for our service. I've shared this with the council in January. If you can orient yourself to the left side of the screen where you can see the train depot. That area there is what we've been branding as the mobility hub. That's in front of Salmas and Sundry Tomato. We use it as an extended loading zone for pickups and drop-offs for food deliveries, you name it. And it's been successful there. That's gonna be the location where the current route, which for the sake of this conversation, they will call it the Red Route, the one that goes north and south and stays west of the freeway, we'll have a transfer point with our service that goes east. We'll call that the blue route. This is the blue route. Trolley's would go south on Communocapistrono, passing very convenient places to stop, to pick up some food, the Von Shopping Center, Trader Joe's, et cetera, and would make a left on San Juan Creek Road to get through or underneath the five freeway. Along San Juan Creek Road, we continue to the San Juan Hills Golf Course, which is a nice amenity for the community. Also an opportunity there to pick up parking for people that may park there and want to ride into town. It will go down further east on San Juan Creek Road and have a stop by San Juan Hills East community. We'll make a left at the new Windmill Park on Lenovia Avenue, which we know on the west side. We have Windmill Park on the east side. We have an exciting program in the future in collaboration with the Ecology Center to create a community farm project. We continue north on Lenovia Avenue, past Kaya Royal where we installed a new traffic signal to our take a highway at which point we make a right on or take a highway. We're staying on take or take a highway just for a little bit because of the potential with traffic and impacting our headway times and we make a right on Via Cordova where we have a dedicated right turn pocket. We take that down to Cook, uh Cucordova Park and we make multiple stops heading westbound on Chia Royo, servicing the neighborhoods in that area. And we would continue that all the way past the Linovia intersection to Rancho Viejo Road, at which point we could hopefully service the new families and folks that are parked over there or living over there at Petra Avalina, the Teorador property. We would go up on Rancho Viejo Road and pick up folks from the seasons in Villa Paloma and folks that like to frequent, again, another large parking lot, the Badrida Bone Restaurant, other good restaurants over there, until we get to or take a highway, at which point we make a left. We had back over the five freeway and we have a new stop at the in-of-the-mission hotel. And you're right there in the downtown. At that point, on Old Mission Road, we continue to Camino Capastrano, make a left and we're back to the mobility hub. The route and all takes about 15 minutes, but we can make all the stops and be pretty efficient. The total cost of the service is estimated at $2.8 million over the next seven years. Again, the project fee grant covers 90% of that for the city or $2.5 million. The city's required 10% match, approximately $300,000, would come from our air quality management district AB 2766, the good part of this project there's no net impact to the general fund associated with the trolley program. With that, I'll go over the recommendations very briefly here. This evening we want you to approve and authorize the city manager to execute a future cooperative agreement with OCTA for project v grant funding for the new expanded summer trolley service. OCTA staff is working on the cooperative agreement right now, but I don't anticipate them to happen for the next couple months. So we're being a little proactive in this, which leads to our second item to appropriate $472,000 from the Facilities Operation Fund to purchase two new 32-foot hometown trolleys. This is important, and another reason why we're here this evening, because the trolleys have to be manufactured. They come from Wisconsin. Takes about nine months for them to go. I have a purchase order ready to go first thing tomorrow morning. Then we like you to authorize the CD Manager to purchase the two hometown trolleys through hometown manufacturing, the same vendor who created or constructed our current trolleys. We want you to authorize staff to solicit proposals for trolley operations beginning summer 2025. And lastly, find that the proposed action this evening is exempt from the California Environmental Quality Act. That concludes my presentation and I'm happy to answer any questions you might have. Questions of staff? Council member Campbell? You just automatically think I have questions. No, I saw you going for the button. Yeah. Let's say, assumption. Safe assumption. On a previous slide, when you went over, you looked at net costs and the city participation in that. So when you're looking at a $2.8 million over the next seven years, that's just the cost of providing the service, not the cost of the trolley, is that correct? It's everything. So it includes the cost of the trolley is in year one and approximately $80,000 in year two, year two for the garage doors. So then is it makes sense then that if we appropriate 400, what was that the number 472? 472. Then that will be reimbursed to the city when the program gets initiated is that correct correct so we will we will advance the money and do the purchase Perfect and be reimbursed once we have delivery Good Last question mr. Tom and nice work by the way, you know really good stuff We're the opportunity to serve the side of freeway is pretty exciting as I look at the route that existing trolley route for what you call the red route, is there is a significant amount of residences on that route that are not being served. Those are the residences on Delabespo between where it takes the, let me see here, where's the turn? Yeah, where it takes the turn at Alipaz and to Del Aveon. So in that area above that, on Del Avispo, that's a significant amount of our population that isn't being serviced now by the trolley. Is there any way, you know, considering that we have two, if you look at the scope of both of the sites, the blue line and the red line, is there any way that you could consider picking up that area of undelibispo that's not being serviced at this time? We can look at it. We have tried that before. Years ago when we first started, it's typical for this program for us to augment the route from time to time. In fact, one of our funding partners, AQMD, wants to see us kind of challenging the route to make it more efficient. One of the issues we experienced on Delabispo was folks do kind of migrate to the stops, but there's also some key elements on Oli Paz and Camino Delavillon that are nice amenities for the route, which attracted more riders to the ecology center farm and the sports park. So when we kind of circumvent that around Dela Bispo, we just experienced some calls at the time that we'd like to go to the sports park, we'd like to go to the ecology center, and those folks over there also appreciated the service. So that's the thought that went into it. I understand, and my request is, or my ask, you know, to do some investigation on this, is it doesn't evolve around changing the route, the existing route, but simply adding additional miles, maybe a mile and a half, two miles to the existing route. So augmenting the existing route with picking up Delabespo. So I noticed in the blue, you know, you have an area where they literally make a circle around a certain, and it's laid out very well I might add. So it would like staff to consider looking at that and perhaps providing services to those residents. Thank you. Thank you. Councillor Bratheil. Yeah, great work. Did our staff write this, write Thank you. Thank you Councilmember Taylor Yeah, great great work did did our staff write this like write the grant for this Well done. Thank you What what are the what are the chances of adding more time in the future? I mean is it the 11 a.m. to 9 p.m. might be a little early for some people to be going home. I think the greatest opportunity here obviously is that people won't have to park in the downtown because that's going to be pretty restricted. But if you were going to see a play or something or a movie and dinner, it's going to keep you later than 9 p.m. Is there well we can similarly to council member Campbell's comment we can we can look at it we're always trying to balance the metrics of our our ridership goals so part of what's we're part of what's connected to the 90% reimbursement is that we're hitting over 10 passengers per hour per trial. We're successful with 25 right now. We don't have as much wiggle room as some of our coastal communities that are getting 50, 60 people an hour during the summer. But I have had conversations with the city manager and those are the types of opportunities that we want to maximize when we start the program. With all the new, you know, all the new restaurants and so forth opening up, things are going to change in town, you know, so people that it may make the metrics possible that it could go a little bit later, now another hour later or something like that. We'll take a look at it. But we'll be watching for that, huh? Yeah. Okay, thank you. Council Member Hart. Thank you. I'd just like to point out that this is one of the outcomes of what happens when the council listens to the residents. This was originally originated from a comment made on one of the residents of San Juan or whatever Facebook pages by a couple residents on the east side of the freeway and it was brought to staff and staff took it and ran with it and did a great job and Mr. Tom appreciate the work you've done with this. You've done an excellent job with the grant and moving forward with it and couldn't complement you enough with it. But we do listen to you to the residents out there. So please keep the ideas coming. Okay, Tom. I got to ask again. Could we get that red line also apart from council members' camels requests? Could we get it to go to Troy's neighborhood and mine as well? I mean I did get a request from some of my constituents about, hey, you know, village San Juan is so far away, which I have to say that's the neighborhood I live in. But, you know, there are a lot of housing out, there are lots of residential out there that, you know, the comment was we feel a little left out. So, I think it's something I know you look at, you tweak, I know you've expanded, especially for special events, you tweak, I know you've expanded, especially for special events, you tweak the route, you're probably getting data from doing that. So even if it's just for special events, try to see if we could go to the east side of the freeway but the north end of town. And see what it does to your route. I know you're sticking to the 20 minutes because it does increase the amount of people that ride it and it is a convenience and because if you're going to sit there and wait like people do for the public bus there's a reason no one gets on them. You're not going to sit there in an hour and a half or 45 minutes to wait for a bus. There's so many options out there now but you know the trolley in the tweaks that you have made for special events not too long ago. I mean I got a lot of great feedback. I'm sure you did as well. Obviously our residents are enjoying the trolley. You've done a great job with it, but you know we could explore some tweaks that would be helpful and obviously you got to get data from that. So I understand if you say you know what, this is turning into a 40 minute route or a half an hour route and we're not really getting any writers out of it. We make our decisions oftentimes based on data so we're happy to get that feedback from staff. Are there any other comments on this? Thank you. Sorry, we're not even in comments yet. Yeah, we haven't even done the public. I apologize, I got lost. All right, any other questions of staff? Okay, thank you, Tom. I'll open this up to the public. Are there any requests to speak forms from the public? you, Tom. I'll open this up to the public. Are there any requests to speak from the public? No, Mayor. Is there anyone present they would like to address the city council on this item? Okay, we'll move on. Council Member Comments. Council Member Taylor. I'll just make a motion for staff recommendation. Sackle. We have a motion on the floor. All those in favour? Aye. Aye. Thank you. Thank you, Doug. Moving on to item F 3A. I am F3A's appropriation of funds for local streets payment rehabilitation project and Stee Hall support of housing project. May we please have a staff report? Thank you, Mr. Mayor Ben Seagull, City Manager. The item tonight really has to do with an appropriation of funding from the city's reserves and set aside for some major projects that are nearing completion. And so our new engineering environmental services director, Nardi Khan and our chief financial officer, Ken Olimon, will be walking through the projects and details and the specific funding needs. But I just wanted to provide a quick overview because the council has really been anticipating this need for a couple years now. So you in recent budget cycles have been setting aside money knowing that you have major, I would say historic capital projects underway and those projects have serious funding demands and specifically in the last budget cycle, the city had revenues that far exceeded our expenditures but rather than appropriating all of that for new projects. Now you did identify some new projects, some new park projects, some beautification projects in the downtown, etc. But you took the lion's share of that money, and you set aside knowing that you were getting started with a massive residential roadway rehabilitation project, really, over 30 linear miles and hitting about every, you know, residential street in the community. You were about to get on a way with that. You were coming off of completing the Camino Capastrano arterial highway project. But you also had a skate park project at, right down the roadway here adjacent to the sports park. You also had a full renovation of the sports park. And you're working with Janary to build a new city hall and the council chamber that now we're sitting in. So in both the last budget cycle and prior budget cycles, when you had that revenue. And then you also continue to set aside money knowing that these projects may have some additional costs associated with them. The one in particular that we're seeking an appropriation for tonight, so taking that money that was set aside and designated for a specific project is our local streets program. And what Ms. Khan will explain is that while our contractor was in the community, we identified several additional improvements to be completed. We think that is the cost-effective approach, both for longevity of the street. And so we don't have to redo the street in the next few years or address a drainage issue that could have been addressed when our contractor was already in the neighborhood doing work. So we saw some efficiencies there. City Hall, which we're scheduled to move into in just a couple of months now, just has probably a minor funding need. But the good news is that the requests that you're going to hear tonight from Ms. Conn and Mr. Olimom are within that amount that you set aside. So with that I will ask Ms. Conn to get started and walk through the streets project and what work was completed and what additional appropriations necessary. Thank you. Is that better? Oh, sorry. Thank you. So just for the purpose of the recording, Mr. Mayor, members of the Council, Nardi Con, a Director of Engineering and Environmental Services for the city. I'm going to be talking about a couple of projects today and our funding requests for each of those, like Ben had indicated. I'm going to start with our local streets pavement rehabilitation project. And for this particular work, we have paved about 30 miles of residential streets. And in many of these areas, they have not been paved for at least 10 years or more. So we did find a lot of changed conditions when we went out to the field. Overall, this project is a historic investment in our local streets, something that we haven't seen done before at this scale. What we did in order to execute this work is we organized five zones where we were going to be grouping the work, the ones that had roads in the vicinity. This covered the majority of public residential streets and it improved the pavement quality which extends the life of the pavement so we should have a good pavement going forward and of course it should be lasting us longer with the project itself. So for prior city council actions, we came to you with our capital project budget in 23, 24 and we have the local streets pavement, we have a lotation covered there. Then we came back in September of 2023 with the Construction Contract Award to RJ Noble who was the lowest responsive and responsible bidder. Moving on to November of 23, we came back to request approval of a new signal at Lenovia and Calieroio. What we are requesting today is appropriations for materials quantity and added scope that we uncovered as part of the project execution. So we started with a contract award of $11 million, $953,000. And we had an approved contingency of 2.4,000,000. This was the amount that was included the signal work. At the second time we came to council. Total appropriation for the project came to $14,378,000. And with that authorization, like I said, we had executed work in five zones. I'm going to go through each one of them to talk about some of the work that we did there. So for zone one is the village of San Juan community and casitas neighborhoods. This is south of J. Sarah High school and the in at the mission hotel. In this location we encountered material quantity changes of a million dollars. We are still actively working in this area. We have not completed the work. What we've done is done quite a bit of the pavement work and then we're coming back and restriping, adding loops during some more slurry seal in the areas that had better pavement. As I go through each of these slides I have some maps in here that show the areas that have been treated and what we did going into this is we looked at the pavement condition so the areas where we have a red on the line are those that were in the worst condition and then we move on to orange, yellow, green and blue. So just for general information that kind of depicts where the pavement was identified as being most impacted. And what we did is we executed the work based on the extent of kind of the condition of that pavement. For streets, for example, that we're in better condition. We're able to do a slurry seal versus, you know, a grind and overlay for areas that are shown as right here. I have some before and after photos here to show the results of the work. In this case we're looking at Kaliit Chweka which is in our zone one as and as you can see the condition of the road before it was very deteriorated a of cracks, and then you can see the final product along the same street looking significantly improved. On the picture on the right, you can see we haven't quite finished the striping, but of course the pavement work has been completed. In zone two, this is the Los Rios Historic District, south to Dana, Mesa Drive at Dana Point border and north of Delabisco. In this area we encountered material quantity changes of $901,000. We also had project enhancements in this area. We did some repaving and drainage improvements in the Los Rios district. In Los Rios specifically, the Los Rios district, we had to do some night work on Paseo Adelanto to avoid conflicts with River Street and in order to keep all the businesses open in that area. We have a lot of pedestrian activity, a lot of restaurants, so we did work during the nighttime. And that accelerated the work to reduce conflicts, but it also meant we had to put a lot of resources into getting that work done quicker. In the Los Real Street, we had to do a new set of plans for some drainage issues that we encountered. We had to replace the storm drain and reconnect it to the mainline. And we also had some streets that were originally slated for a slurry seal application that were re-evaluated in the field and Morro bus treatment had to be applied. The sample project I have here is Dana Mesa Drive. And as you can see, again, the before photos, we tried to capture the same location just to show the contrast. You can see the improvement in these areas as well. And this was a location also where we did some drainage improvements. You can kind of see the water trickling through the right side of the street there and the image on the left and you can see that we've been able to eliminate that. For our zone three, this is a stone register states and Capastrano Royal and Mission Hills Ranch. Here we had material quantity changes of $450,000 and we also had some project enhancements. We had streets that were originally slated for slurry seal and similar to other locations based on our engineers' evaluations. We had to do a more robust treatment of a grind in overlay and that took some extra work there. We also had some work with Santa Margarita Water District that we accommodated so we had to demobilize from this area and remobilize. And we did some curb ramps and a crosscutter that are shown in that image right there. You can see we're working on the curb ramp, providing an ADA accessible curb ramp. So wherever we found a substandard ramps, we did upgrade those for enhanced accessibility. Photo I have here is a mission hills drive. This is in our zone three and again you can see the improved pavement condition. At this location we also worked with the Mission Health Community HOA to resolve some tree up lift issues that we were experiencing so you can see that some of the trees have been managed in the photo here and that should also extend the life of the pavement. So another successful project there. And then in our zone four, this is Galano, Belfer Terrace in South of Ortega Highway from Lenovia East to Avenida Sieda. We had material quantity changes here of $900,000 and some project enhancements where we did a ranch of Yeho Road between Ortega Highway and Collier Arroyo. We added that work. We also added a Lenovia Avenue between San Juan Creek Road and Ortega. And we also installed a brand new signal here at Lenovia and Collier Arroyo for which we had come to the council on approval but that work was added to this contract so we wanted to showcase that work here as well and as you can see in the photo we are also working on the curb ramps here. A lot of the quantity changes had to do with these curb ramps and bringing them up to standards and drainage, of course. And on this photo here, I have a Paseo Esteban, again, just some of the similar things that you've seen in others, improved conditions. In zone five, our last zone here is the Madonna tract, Los Corales, Lomas Verdes, and Valier Road from San Juan Creek Road to Avenida, California. Here we added some work, we added the ADA parking space and a partial sidewalk that connected the Windmill Park entrance. And we also, in addition to the pavement work that we had planned, of course, we had some drainage issues on Pasella Bronze and we had to do a lot of investigation on how to resolve that. But we came up with a good solution. And we think it's going to be successful as it has been at our other locations. And I have a photo here for Collius Enremo. Again, we see some of the work active here with all the crews and the effort it took to get it paved We think it's been again a good product So just in summary for this particular project we had an approved budget of $14,378,207 We have the construction cost which was the scope of the original contract of $11.9 million. Our overage costs were about $3.6 million. Enhanced rehabilitation costs for extra work with $3.7 million. The new signal at Lenovia was $1 million. And we will be getting Santa Margarita Water District reimbursement of $960,000. So we're taking that out of our total as that will be revenue coming into the city to offset those costs. And we do have a reimbursement agreement, of of course with Santa Margarita Water District. So our total cost on the project at completion and we think we're going to be done in a couple of couple more months where we're getting really close is 19 million dollars. So the difference between the amount that was approved and the amount of the work that was completed is the $4.976 million of which we're going to be talking about how we're proposing to fund that here shortly. So I'm going to transition over to our new City Hall Supportive Housing Project. As you all know, this is a public-private partnership. We have a total of 49 units that will be built as part of the housing component with one manager unit, so for a total of 50, there's going to be our low-income supportive housing. And then, of course, we have it tied to our City Hall project. It's gonna be a 16,000 square foot new City Hall, and it will house all of our administrative staff, development services, department, engineering and environmental services, our finance team, city manager office, and human resources. Overall, just a quick snapshot on this project. We are expecting completion in December of 2024. We're progressing quite well if you haven't been to see the site. We have a little photo here. It's looking quite finished. We still have a lot of work to do on the inside. We had some existing funding for the City Hall and the county and this council chamber pardon of $7.4 million in total. And what we're requesting today is a $500,000 appropriation for any city hall expenses that could potentially exceed the budget. And if there's any funding that is not used for the new City Hall, we are asking for that to move to our local streets project. The way we break down current city hall is we have the city's contribution to the new city hall of $2.8 million to 0.834 to be exact. And that amount includes a project management, IT services, leases for the temporary city hall. City council chamber, this scope is completed and within budget, but that is the 3.162 million. And we also have some supporting projects that have made all of that work possible. These include yard improvements, the demo for the utilities department modular trailer, signage the conference room improvements at the community center for again, a total appropriation of $7.4 million. And with that summary of the two projects, I'm going to turn it over to Ken Oli-Mom who is going to talk to us a little bit about how we are proposing to fund those improvements. Thank you, and if I may interrupt before you begin, Mr. Oli-Mom. Are there any questions up to this point of staff? Okay, take it away. Thank you so much. Ken O'Leigh-Mom, Chief Financial Officer, Mayor, Council Members. I'm going to briefly talk about our funding recommendations. This slide summarizes our funding needs as well as our funding recommendations. As you can see from this slide for the Street Project, we have a funding request of $4,976,000 for the new City Hall of Funding Request of $500,000 for a total funding request amounting to $5,476,000. We recommend that that total be funded by $2,976,000, the from funds retained by City Council in the General Fund Balance to ensure project completion and $2.5 million from the city's capital replacement City Hall Reserve. More about those two funding sources in the next two slides. In this slide here, I want to give a little bit of background regarding the funds that were retained to ensure the completion of projects that were underway at the time of the adoption of the 2425 budget. The proposed budget for 2425 showed that the fund balance for the general fund was projected to exceed reserve targets by $6.5 million. Of that $6.5 million, the City Council appropriated in the 2425 budget $1.7 million for improvements to CERA Park, Acute Park, the La Solubility, the TJ Meadows Building, the Public Works Operations, one building, the Maintenance Yard Improvements, Christmas Enhance Christmas decorations, and other miscellaneous improvements. However, you also very prudently set aside $4.8 million of that excess fund balance to be retained and held pending the possible application towards potential additional funding needs that would be associated with major projects that were underway at the time that the budget was adopted. You did this very deliberately. You knew that it was very likely that those additional funds would be needed to ensure the completion of those projects. And in fact, in August, the City Council appropriated $1.3 billion for the skate park to address cost increases that were associated with a project that was, in fact, a budgeted year's prior. In that same meeting, you appropriated $325,000 of cash to be transferred from the General Fund to the Agriculture Preservation Fund pursuant to the requirements of the skate parks environmental impact report and you also appropriate $135,000 for a hostile or for-fueled improvements. This leaves $2.9 million that staff recommends be applied for the additional cost there's incurred on the local streets project which uses entirely consistent with the purpose for which those funds were retained. In this slide here we've summarized the components of the city's reserve target. Included in the $22.5 billion of the city's general fund reserve target is $2.5 million that was established at the inception of the City Hall project for the City Hall project and other capital projects. Now that that project is substantially complete, we recommend that the funds in this reserve be applied towards completion of the City Hall Project and the local streets project. I note that between now and our next budget workshop in May, city staff will be researching the reserve targets of other local agencies and return to city council in May 2025 with additional information about such reserve targets and any information about whether or not the city's reserve targets may need to be adjusted. This slide here summarizes the proposed application of the funds that are held in the capital replacement city hall reserve with 2 million going towards the local streets project and $500,000 for the City Hall project. In summary, staff recommends that the City Council appropriate $2,976,000 for the streets project from funds retained to ensure completion of the projects. Appropriate $2 million for the streets project from the Capital Replace of the City Hall Reserve. Appropriate $500,000 from that same reserve for the City Hall project. Increase the street project contingency by $4,976,000 and direct staff to reallocate any unused funding to the streets project as needed. Authorize the city manager to approve change orders for the streets project up to $7,401,000. And authorize the city manager to execute amendments to the jamboree housing disposition and development agreement that may be required to complete the project and finally find that the proposed actions are categorically exempt from CEQA. That completes our presentation. We would be happy to answer any questions. Thank you, Ken. Any questions of staff? Okay. I will now open this item up to the public. Do we have any request to speak forms on this item? No, Mayor. Is there anyone president that would like to address the city council on this item, you may do so at this time. All right. I bring it back to the city council for a motion or comments. Councilmember Taylor. Would you mind if I ask a question at this point? You could ask whenever you'd like. Okay. We still have more street pavement to go beyond this, right? Where's our funding source for that? It will be coming out of, and first of all, we'd spend provided for in the seven-year capital improvement program. And so general fund monies and street dedicated funds have been assigned to those projects. At this time, we don't have any information that suggests that significant additional funds would be required, but should that occur, we would be coming back to you with our plan to address those. Okay, thank you. Council Member Hart. Yeah, I understand that this has been a uniquely ambitious year for street improvements. With that, you find all sorts of unexpected surprises that cost unexpected money. The next few years I assume are not quite as ambitious and costly. Is that correct? I'll save that actually to the city manager. Yeah, that's a good point. Council Member Hart, this was a unique project. So for example, prior the prior year, the city completed Communicapastrano, which is a massive arterial from the Dana Point City limits to Lagoon and the Gell City limits and that was within budget. So it didn't have some of the challenges associated with all these residential neighborhoods, many of which haven't been addressed. I know Ms. Con mentioned over 10 years, we have streets that haven't been touched in 40 years. We have a much better handle on our arterial streets. We have a third party review the arterial streets every two years Whereas I think the residential streets it's once every six years So it's a far less likely that you're going to see the type of Material quantities changes under drainage issues that we haven't already picked up over some of the interceding cycles The the projects next in the queue the major projects would be picked up over some of the interceding cycles. The projects next in the queue, the major projects, would be Camino Delavio, well, Rancho Vihua, north of J. Sarah, Lenovia, a small portion of Delavisco, and then that's actually this current fiscal year. So you should see some work this fiscal year. Then next summer, our fiscal year starts July 1, so next summer, the major projects, we have a few major arterials that will be underway. That would be San Juan Creek Road, community de la Vione and Alapaz. So that funding is already available and we're at this point, we think it will be adequate. Any council members, Campbell? Thank you. So if you could characterise the percentage of completion we are on our painting project, where are we at? To clarify, the local percentage for completion of the project when you say the project you mean the local streets project or Restoration of streets for the local streets project. I would say about 90% yeah Okay, and and we'll get to 100% we think in the next couple months right for the end of the year Okay, and then we start over but no And we'll get to 100% we think in the next couple months. Right, right. For the end of the year. OK. And then we start over. But no, OK. And so staff is pretty confident that while we're significantly over our budget amount, the contingency amount, that the remaining amount of the project will come in within budget or relatively close to budget? We think it will be within the 4.976 that we're requesting we did make a note of the 500,000 that we're requesting for city hall. We actually think city hall will require less than that amount and so we're asking the council to allocate any unused portion of that 500,000 to complete the project. Thank you. I just want to thank staff and even our contractor for being open to speaking to a lot of our H.O.A. Board members and residents that have been telling me about their discussions with them. A lot of people haven't even seen this done in their neighborhoods. So there's always lots of questions. And I think concerns of missing something because they feel like it might be 40 years until they get to see this again, hopefully not with good management. But I want to especially point out the Mission Hills Drive neighborhood. I know they, if you look at this slide, 12, I think it is. For zone three, you could tell where they removed all these trees, and it was just forward thinking for them to do that because a lot of the damage was done from roots. And if you look closely at that picture you can see where there is some Repair to the concrete there along that street so Kudos for that HOA for looking out for their neighborhood and Anticipating what might happen if they just say okay, they're gonna pay the streets We're gonna leave these trees here and you know two years from now they're just going to be cracked again So we have a lot of residents that are involved and you know chime in and we really appreciate That feedback and especially when boards look at hey, they're gonna do this. Let us get ready and prepare for You know something that they really appreciate so Obviously, I want to thank the team for being open to listening. Thank you, Mayor. And it really was, it was so much more than a street project. It was really an infrastructure project because while the contract was out there, we addressed both through some of the previously approved plans but also kind of in the field observations and then some supplemental work. We addressed drainage issues that have been ongoing in neighborhoods for many, many years that through some additional design and additional cost we were able to correct. Any other comments? Or a motion? I'll make a motion right now for a minute. This is one of, so now I've been on the C Council for like six years or something, and it's so different than I thought it was going to be as an experience. This is, I've come to appreciate the real value that you're doing a good job in the community of nobody's paying attention. And the things are just kind of going the way they're supposed to go, and there's just not a lot of noise, and that's like the greatest compliment. I, uh, this is probably one of the things that I'm the most proud of of everything that we've done in the last six years. I'm just so pleased that we did something so unharbled and so responsible. And, and I have to share too many stories just because it's the nature just for the public. Maybe it's listening to homes only handful of you here, but it's fun. You'll like this. You know this is really good. The first the first the first experience was I got a relatively hostile email from a constituent complaining about the quality of the roads in the stone the stone. I think it's area three. Remember which is where I live. And before I could respond because I was out of town the paving started in the stone, I think it's Area 3, remember, which is where I live. And before I could respond, because I was out of town, the paving started in the neighborhood. So after decades of no paving work at all in the neighborhood, she sent me a hostile email and within 24 hours saw, you know, millions of dollars of construction work being completed. And I just responded, I think, and said, don't worry, I took care of it for you. So that was one. And then the other one I got today, which was from a realtor in that neighborhood, complaining about how long it was taking to finish the streets all of two weeks, I think, because it was impairing her sale of a home, which again goes to that's, you know. I just, appreciative of staff, this doesn't happen just for willing it this isn't a I'm sure there is some political discipline and all credit us with some of that but you can't do it with just political willpower there's there's funding and executing in a timely manner and this is something I think that we're going to be proud of for decades so I'll make a motion to approve stack of recommendation to get the funding I need to wrap up this portion of the project. And hopefully we can be in a position to preserve more funds to wrap up what we need to do in the years to come. So I can grab a motion on the floor. I'll those in favor. Hi. Hi. That's unanimous. I now turn the meeting over to the chair of the successor agency. That is me. That is me. So I now call the successor agency regular meeting. October 15, 2024 to order. The record should reflect the roll call taken previously at the City Council meeting. Items on the consent calendar are considered routine and may be enacted by one vote. Does anyone wish to remove a consent calendar item for discussion or abstain from voting? Is there a hearing none? Is there a motion to approve the consent calendar? Second. Second. Is there any discussion on the motion hearing none? All those in favor hi motion carries unanimously there are no board action item scheduled this evening to board members have any comments Me hearing none the motion is adjourned to Tuesday December December 10, 2024, 5 p.m. for a public business session in the City Council Chamber. Mayor, Mayor Pertem, I turn the meeting over to you. There are no council action items this evening. Do we have any city council reports? Yeah, I'd like to make a quick report. Over the weekend, I attended the at the out of the writing park, the Pony of for the Cure, which was well attended. It was it was a lot of fun. They had had a great great display, a lot of pageantry out there. And a great way for the question coalition and American Council Society to raise funds for cancer research. And then the second thing I want to mention was adjacent in another event that's going on in the right part is a program called Rugby Tens which we are not a great rugby country but it's a very very interesting sport and very well attended by athletes in our high schools in South Orange County. Great turnout of athletes, super international, flavor, very colorful, very beautiful, and I was really enjoyed myself and I just wanted to make an announcement that it will be going along. And this is like, there was a team there from South Africa or from central from Kenya from Central Africa So there'll be a lot more competition coming three more weekends It's a free event and and I think the community would be would really enjoy going out there and taking a look at it So I'm gonna let you know that Any other council reports City Manager report. Thank you, Mayor. Just a reminder for the community that next Tuesday, the 22nd, the council will be opening its newest park with a ribbon cutting event at the new windmill park on the Nova Encai Arroyo. There is street parking. There will be some light refreshments. It's a great public-private partnership with the San Juan Hills Golf Club that involved the Golf Club covering the capital costs associated with building the project and then also paying annual license payment to the city that will cover the maintenance of that parking and return. The Golf Club was able to expand onto a portion of that parcel, that city-owned parcel for the future expansion of their course. But again, a great public-private partnership that park is just about complete. We're on the final punch list items. It's a great community, amenity, amenity, and we hope the neighborhood and everyone in the community can come join us next Tuesday. Thank you. Thank you. I now adjourn the meeting to November 12th, Tuesday, November 12th, 2020, 4 at 3 p.m. for executive session and 5 p.m. for the public business session and the city council chambers have a good evening.