9/6/22 Council Meeting

# ADJOURNED REGULAR CHICO CITY COUNCIL MEETING - September 6, 2022

Minutes

## 1.1. REGULAR CITY COUNCIL MEETING - 6:00 p.m.

1.2. Call to Order - Mayor Coolidge called the September 6, 2022 - Regular City Council meeting to order at 6:00 p.m. in the Council Chamber, 421 Main Street, Chico, CA.

1.3. Invocation – Pastor Bryan Meyers, Grace Community Church

## 1.4. Pledge of Allegiance to the Flag

## 1.5. Roll Call

Present: Bennett, Morgan, O'Brien, Tandon Reynolds, Coolidge Absent: Brown

## 1.6. September 6, 2022 Closed Session Announcement

City Attorney Ewing announced that Council met with staff in Closed Session on the following items as detailed on the agenda.

No action was taken; direction was provided.

2.3. CONFERENCE WITH LABOR NEGOTIATOR

2.4. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION: Warren v. Chico

2.5. CONFERENCE WITH LEGAL COUNSEL – PENDING LITIGATION: Estate of Tyler S. Rushing et al v. AG Private Protection

2.6. CONFERENCE WITH LEGAL COUNSEL – PENDING LITIGATION: BCSC: Case No. 22CV01954: Chicoans Against Financial Mismanagement – No on Measure H et al v. City of Chico, et al

2.7. CONFERENCE WITH REAL PROPERTY NEGOTIATOR: Pursuant to Gov. Code Sec. 54956.8. (3 properties)

## 1.7. Presentation: Youth Program Grants - Jennifer Macarthy, Deputy City Manager

2. CONSENT AGENDA – All matters listed under the Consent Agenda were considered routine and could therefore be enacted by one motion.

A motion was made by Vice Mayor Reynolds and seconded by Councilmember Tandon to approve the Consent Agenda, as read.

The motion carried by the following vote:

AYES: Bennett, Morgan, O'Brien, Tandon Reynolds, Coolidge NOES: None ABSENT: Brown

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## 2.1. CONSIDERATION OF APPROVAL OF A SUPPLEMENTAL APPROPRIATION/BUDGET MODIFICATION NO. 2023-PWE-002 FOR CIP NO. 12058- BICYCLE PATH LITTLE CHICO CREEK TO 20TH STREET PARK

The Public Works Director-Engineering requested consideration and approval of a Supplemental Appropriation/Budget Modification for the transfer of funds from Fund 212 Transportation (TDF) funds to capital project (12058-Bicycle Path Little Chico Creek to 20th Street Park) to better align with the anticipated use of funds. (Leigh Ann Sutton, Public Works Director-Engineering)

## 2.2. RESOLUTION NO. 53-22 - RESOLUTION OF INTENTION OF THE CITY COUNCIL OF THE CITY OF CHICO TO ABANDON AND VACATE A PORTION OF TWO (2) PUBLIC UTILITY EASEMENTS PURSUANT TO THE PUBLIC STREETS, HIGHWAYS, AND SERVICE EASEMENTS VACATION LAW (BELVEDERE HEIGHTS SUBDIVISION PHASE 4 ) ASSESSOR'S PARCEL NOS. 018-580-075 AND 018-580-076

Adopted a resolution of intention to abandon and vacate a portion of two public service easements on lots 152 and 153 of the Belvedere Heights Subdivision Phase 4, located at the northerly terminus of Dawncrest Drive and scheduling a public hearing for October 4, 2022. (Leigh Ann Sutton, Public Works Director - Engineering)

## 2.3. ITEMS REMOVED FROM THE CONSENT AGENDA - None

3. BUSINESS FROM THE FLOOR - Members of the public addressed the Council at this time on matters not already listed on the agenda. The Council could not take any action on requests made under this section of the agenda.

Addressing the Council were Robyn Engle, Julie Threet, Nichole Nava, Katie Posey, Jesica Giannola, Robert Bowman.

## 4. PUBLIC HEARINGS

## 4.1. APPEAL OF PLANNING COMMISSION DENIAL OF USE PERMIT 19-25 AND AR 19-22 (TOWNEPLACE SUITES HOTEL; APN# 018-230-001)

City Council considered an appeal by the applicant, Continuum Hospitality, LLC, of a Planning Commission denial of a use permit (UP 19-25) and associated architectural review application (AR 19-22) to construct a four-story, 112 room hotel building on a vacant 4.09 acre site located south of Sierra Sunrise Terrace and northeast of the intersection of Deer Creek Highway (SR 32) and Bruce Road. The property was designated Commercial Mixed Use (CMU) on the General Plan Land Use Diagram and is zoned CC (Community Commercial). Pursuant to Chico Municipal Code (CMC) Section 19.44.020, Table 4-6, a hotel use may be established in the CC zoning district subject to use permit approval. The proposed project was determined to be categorically exempt from environmental review pursuant to CEQA Guidelines Section 15332 (Infill Development Projects).

(Report - Brendan Vieg, Community Development Director)

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## Ex Parte Announcements:

Councilmember O'Brien - received emails from Gary Taylor which outlined concerns about the proposed project.

Councilmember Bennett - met with Jim Stevens and staff with questions

Vice Mayor Reynolds - spoke with Jim Stevens, Gary Taylor and several ladies who are part of the California Park Association

Mayor Coolidge - spoke with Jim Stevens

Councilmember Tandon – spoke with Jim Stevens and Gary Taylor

9/6/22 Council Meeting

REGULAR CHICO CITY COUNCIL MEETING September 6, 2022 Chico Municipal Center, Council Chamber, 421 Main Street

1.1.

REGULAR CITY COUNCIL MEETING - 6:00 p.m. 9-6-22 Agenda

1.2.

Call to Order - Mayor Coolidge called the September 6, 2022 - Regular City Council meeting to order at 6:00 p.m. in the Council Chamber, 421 Main Street, Chico, CA.

1.3.

Invocation – Pastor Bryan Meyers, Grace Community Church

1.4.

Pledge of Allegiance to the Flag

1.5.

Roll Call

1.6.

September 6, 2022 Closed Session Announcement

1.7.

Presentation: Youth Program Grants - Jennifer Macarthy, Deputy City Manager

2.

CONSENT AGENDA - All matters listed under the Consent Agenda were considered routine and enacted by one motion.

2.1.

CONSIDERATION OF APPROVAL OF A SUPPLEMENTAL APPROPRIATION/BUDGET MODIFICATION NO. 2023-PWE-002 FOR CIP NO. 12058- BICYCLE PATH LITTLE CHICO CREEK TO 20TH STREET PARK The Public Works Director-Engineering requested consideration and approval of a Supplemental Appropriation/Budget Modification for the transfer of funds from Fund 212 Transportation (TDF) funds to capital project (12058-Bicycle Path Little Chico Creek to 20th Street Park) to better align with the anticipated use of funds. ( Leigh Ann Sutton, Public Works Director-Engineering ) 2.1. Staff Report

2.2.

RESOLUTION NO. ______ - RESOLUTION OF INTENTION OF THE CITY COUNCIL OF THE CITY OF CHICO TO ABANDON AND VACATE A PORTION OF TWO (2) PUBLIC UTILITY EASEMENTS PURSUANT TO THE PUBLIC STREETS, HIGHWAYS, AND SERVICE EASEMENTS VACATION LAW (BELVEDERE HEIGHTS SUBDIVISION PHASE 4 ) ASSESSOR'S PARCEL NOS. 018-580-075 AND 018-580-076 Adopted a resolution of intention to abandon and vacate a portion of two public service easements on lots 152 and 153 of the Belvedere Heights Subdivision Phase 4, located at the northerly terminus of Dawncrest Drive and scheduling a public hearing for October 4, 2022. ( Leigh Ann Sutton, Public Works Director - Engineering) 2.2. Staff Report

2.3.

ITEMS REMOVED FROM THE CONSENT AGENDA - None

3.

BUSINESS FROM THE FLOOR - Members of the public addressed the Council at this time on matters not already listed on the agenda. The Council could not take any action at this meeting on requests made under this section of the agenda.

4.

PUBLIC HEARINGS

4.1.

APPEAL OF PLANNING COMMISSION DENIAL OF USE PERMIT 19-25 AND AR 19-22 (TOWNEPLACE SUITES HOTEL; APN# 018-230-001) City Council considered an appeal by the applicant, Continuum Hospitality, LLC, of a Planning Commission denial of a use permit (UP 19-25) and associated architectural review application (AR 19-22) to construct a four-story, 112 room hotel building on a vacant 4.09 acre site located south of Sierra Sunrise Terrace and northeast of the intersection of Deer Creek Highway (SR 32) and Bruce Road. The property was designated Commercial Mixed Use (CMU) on the General Plan Land Use Diagram and is zoned CC (Community Commercial). Pursuant to Chico Municipal Code (CMC) Section 19.44.020, Table 4-6, a hotel use may be established in the CC zoning district subject to use permit approval. The proposed project was determined to be categorically exempt from environmental review pursuant to CEQA Guidelines Section 15332 (Infill Development Projects). ( Report - Brendan Vieg, Community Development Director) Recommendation : The Community Development Director recommends that the City Council hold a public hearing and either: a) Adopt the following resolution denying Use Permit application 19-25 and Architectural Review application 19-22: RESOLUTION OF THE CITY OF CHICO CITY COUNCIL DENYING USE PERMIT 19-25 AND ARCHITECTURAL REVIEW 19-22; IDENTIFIED AS APN 018-230-001 (TownePlace Suites Hotel) (Attachment A) OR b) Adopt the following resolution approving Use Permit application 19-25 and Architectural Review application 19-22, subject to the recommended conditions herein: RESOLUTION OF THE CITY OF CHICO CITY COUNCIL UPHOLDING AN APPEAL AND APPROVING USE PERMIT 19-25 AND ARCHITECTURAL REVIEW 19-22; IDENTIFIED AS APN 018-230-001 (TownePlace Suites Hotel) (Attachment B) 4.1. Staff Report and Attachments

5.

REGULAR AGENDA

5.1.

CONFIRMATION OF ADMINISTRATIVE SERVICES DIRECTOR Section 605 of the City Charter states that the appointment of department heads is subject to confirmation by the City Council. In order to meet this requirement, City Council is being presented with the employment agreement for the Administrative Services Director. (Report - Mark Sorensen, City Manager) Recommendation : A. In compliance with Government Code Section 54953(c)(3), the City Manager shall first orally report a summary of the recommendation for final action related to the Administrative Services Director employment agreement as follows: "The City Manager is proposing to enter into an employment agreement with Barbara Martin as the Administrative Services Director; and the City Manager is proposing to appoint Barbara Martin with an annual salary of $149,000.00." B. The City Manager recommends Council Confirmation of the appointment of Barbara Martin as Administrative Services Director. 5.1. Staff Report

5.2.

CONSIDERATION OF THE FINANCE COMMITTEE SEWER UTILITY RATE RECOMMENDATION Costs for ongoing wastewater treatment have increased over the years to address more stringent regulations, and operational needs, while sewer fees collected by the City have remained largely unchanged. Capital Improvement Projects (CIP) for the collection system have not been realized due to low revenue collection causing infrastructure to age far beyond its normal useful life in many areas. The lack of sufficient long term capital improvement funding for both the Water Pollution Control Plant (WPCP) and collection system have become concerning for staff. Multiple technical studies were performed including a full WPCP facility analysis, sewer enterprise valuation analysis, collection system analysis, and a rate study combining all the information to recommend monthly sewer rates to properly manage and operate the full sewer enterprise. At the April 27, 2022 Finance Committee meeting, the Committee moved 3-0 recommending a proposed sewer rate increase with 50% of the collection systemneed, volumetric, based on winter month water consumption, and a gradual increase over five years. (Erik Gustafson, Public Works Director - Operations and Maintenance) Recommendation : The Public Works Director - Operations and Maintenance recommends the City Council consider the Finance Committee recommendation, approve a sewer rate schedule, and direct staff to initiate the Proposition 218 process including the public hearing notice document. 5.2. Staff Report

5.3.

ITEMS ADDED AFTER THE POSTING OF THE AGENDA

6.

REPORTS AND COMMUNICATIONS - The following reports and communication items are provided for the Council’s information. No action can be taken on items under this section unless the Council agrees to include it on a subsequent agenda.