Newport Beach — 2024-11-12

IV. CLOSED SESSION - Council Chambers Conference Room\nA. CONFERENCE WITH REAL PROPERTY NEGOTIATORS\n(Government Code § 54956.8): 2 matters\n1. Property: A portion of the public right-of-way adjacent to 929 Zurich Circle (423-\n282-04) and 944 Via Lido Nord (423-281-10) (approximately 1,105 square feet).\nCity Negotiators: Seimone Jurjis, Assistant City Manager, and Lauren\nWhitlinger, Real Property Administrator.\nNegotiating Parties: Palmer Luckey on behalf of the 929 Zurich Circle Trust\nand the 944 Via Lido Nord Trust.\nUnder Negotiation: Instruction to City Negotiators regarding price and terms of\npayment.\n2. Property: 9080 Talbert Ave., Fountain Valley, California 92708 - APN: 157-132-\n38.\nCity Negotiators: Seimone Jurjis, Assistant City Manager, Mark Vukojevic,\nUtilities Director, and Lauren Whitlinger, Real Property Administrator.\nNegotiating Parties: Harold Betts with RECollective on behalf of the Boer\nFamily Trust.\nUnder Negotiation: Instruction to City Negotiators regarding price and terms of\npayment.

1. Minutes for the October 22, 2024 City Council Meeting\nWaive reading of subject minutes, approve as written, and order filed.\nMinutes

10. Approval of Professional Services Agreement with Stantec Consulting\nServices, Inc. for the Arterial Pavement Rehabilitation Project (Project Nos.\n23R15, 25R11 and 25R15) (Contract No. 8895-3)\na) Determine this action is exempt from the California Environmental Quality Act\n(CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines\nbecause this action will not result in a physical change to the environment, directly or\nindirectly; and\nb) Approve a professional services agreement with Stantec Consulting Services,\nInc. for Arterial Street Rehabilitation Engineering Design Services for a total\nnot-to-exceed amount of $369,973, and authorize the Mayor and City Clerk to\nexecute the agreement.\nStaff Report\nAttachment A - Location Maps\nAttachment B - Agreement

11. Amendment No. One to a Professional Services Agreement with MetaSource,\nLLC for Document Archiving Services\na) Determine this action is exempt from the California Environmental Quality Act\n(CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines\nbecause this action will not result in a physical change to the environment, directly or\nindirectly; and\nb) Approve Amendment No. One to Professional Services Agreement with\nMetasource, LLC for Document Archiving Services by $50,000, for a new\nnot-to-exceed amount of $170,000, and authorize the Mayor and City Clerk to\nexecute the Amendment.\nStaff Report\nAttachment A - Amendment No. One\nAttachment B - Agreement\nNovember 12, 2024

12. Amendment No. One to Lease with Newport Harbor Post No. 291 of the\nAmerican Legion for Use of the Real Property and Tidelands Located at 215\n15th Street\na) Find this project is exempt from the California Environmental Quality Act (CEQA)\npursuant to Section 15301 (Existing facilities), and Section 15302 (Replacement or\nReconstruction) of the CEQA Guidelines, California Code of Regulations, Title 14,\nChapter 3, because this project has no potential to have a significant effect on the\nenvironment; and\nb) Authorize the City Manager and City Clerk to execute Amendment No. One to\nLease Between the City of Newport Beach and Newport Harbor Post No. 291 of the\nAmerican Legion for use of City Property, the uplands and adjacent tidelands\nlocated at\n215 15th Street, in a form substantially similar to the amendment attached to the staff\nreport.\nStaff Report\nAttachment A - Amendment One\nAttachment B - Original Lease\nAttachment C - Audit Report\nMISCELLANEOUS

13. Budget Amendment to Appropriate a Donation from the Dorothy Arens\nRessel Trust to the Library’s Fiscal Year 2024-25 Library Materials Budget\na) Determine this action is exempt from the California Environmental Quality Act\n(CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines\nbecause this action will not result in a physical change to the environment, directly or\nindirectly; and\nb) Approve Budget Amendment No. 25-025 to increase revenue in account number\n01060005-561005 by $15,737.06 and increase expenditures by the same amount in\naccount number 01060005-841052.\nStaff Report\nAttachment A - Budget Amendment\nNovember 12, 2024

14. Acceptance of the State of California Office of Traffic Safety Selective Traffic\nEnforcement Program Grant PT25191\na) Determine this action is exempt from the California Environmental Quality Act\n(CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines\nbecause this action will not result in a physical change to the environment, directly or\nindirectly;\nb) Authorize the City Council to accept a $360,000 Selective Traffic Enforcement\nProgram award granted to the Newport Beach Police Department by the State of\nCalifornia, Office of Traffic Safety; and\nc) Approve Budget Amendment No. 25-016 increasing NBPD revenue estimates\nand expenditure appropriations by $360,000.\nStaff Report\nAttachment A - Budget Amendment\nAttachment B - Agreement\nACTION: MOVE AFFIRMATIVE ACTION OF THE CONSENT CALENDAR, EXCEPT FOR\nTHOSE ITEMS REMOVED

2. Reading of Ordinances\nWaive reading in full of all ordinances under consideration, and direct the City Clerk\nto read by title only.\nNovember 12, 2024\nORDINANCE FOR INTRODUCTION

3. Ordinance No. 2024-29 and Resolution No. 2024-80: Amendments to Ground\nLease and Local Coastal Program Amendments Related to the Lido House\nHotel Site (PA2020-068)\na) Find this action is consistent with the California Environmental Quality Act\n(CEQA). Pursuant to Section 15062 of the CEQA Guidelines, the changes\nauthorized under the project are not substantial, as they do not involve new significant\neffects or a substantial increase in the severity of previously identified significant\neffects, and therefore, a subsequent Environmental Impact Report (EIR) does not\nneed to be prepared;\nb) Adopt Resolution No. 2024-80, A Resolution of the City Council of the City of\nNewport Beach, California, Adopting a Local Coastal Program Amendment to\nChange the Development Limit Specified in the Coastal Land Use Plan Related to\nthe Lido House Hotel Located at 3300 Newport Boulevard and 475 32nd Street\n(PA2022-068);\nc) Waive full reading, direct the City Clerk to read by title only, introduce Ordinance\nNo. 2024-29, An Ordinance of the City Council of the City of Newport Beach,\nCalifornia, Adopting a Local Coastal Program Amendment to Change the\nDevelopment Limit Specified for the Lido House Hotel Located at 3300 Newport\nBoulevard and 475 32nd Street (PA2020-068), and pass to second reading on\nDecember 10, 2024;\nd) Authorize the City Manager and City Clerk to execute the Second Amendment to\nGround Lease between the City of Newport Beach and Lido House, LLC (Tenant), to\nupdate certain terms and conditions related to mortgage financing of the leased\npremises, in a form substantially similar to the agreement prepared by the City\nAttorney; and\ne) Authorize the City Manager and City Clerk to execute the Option Agreement to\nGround Lease with Related Third Amendment to Ground Lease and Third\nAmendment to Ground Lease between the City of Newport Beach and Lido House,\nLLC (Tenant), to incorporate the property located at 475 32nd Street into the leased\npremises and allow the Tenant to construct five cottages and various site and public\nimprovements, in a form substantially similar to the agreement prepared by the City\nAttorney.\nStaff Report\nAttachment A - Resolution No. 2024-80\nAttachment B - Ordinance No. 2024-29\nAttachment C - Resolution No. 2022-78\nAttachment D - 10-25-22 Staff Report\nAttachment E - CCC Approval Letter\nAttachment F - Ground Lease 2nd Amendment\nAttachment G - Option Agreement with 3rd Amendment\nNovember 12, 2024\nORDINANCES FOR ADOPTION

4. Ordinance No. 2024-25: Amending Chapter 15.02 (Administrative Code\nRelated to Construction and Demolition Waste Permits) of the Newport\nBeach Municipal Code\na) Determine this action is exempt from the California Environmental Quality Act\n(CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or\nreasonably foreseeable indirect physical change in the environment) and 15060(c)\n(3) (the activity is not a project as defined in Section 15378) of the CEQA\nGuidelines, California Code of Regulations, Title 14, Chapter 3, because this action\nwill not result in a physical change to the environment, directly or indirectly; and\nb) Conduct second reading and adopt Ordinance No. 2024-25, An Ordinance of\nthe City Council of the City of Newport Beach, California, Amending Section\n15.02.085 (Addition of Section 105.3.1.1) of Chapter 15.02 (Administrative Code)\nof the Newport Beach Municipal Code, to Update Administrative Procedures for\nthe Handling of Permit Deposits and Fees Associated with Waste Generated from\nConstruction Projects Having a Valuation Over $100,000 or that Result in the\nComplete Demolition of a Structure.\nStaff Report\nAttachment A - Ordinance No. 2024-25\nAttachment B - NBMC Chapter 15.02 (redline)

5. Ordinance No. 2024-26: Local Coastal Program Amendment Related to\nChanging Land Use for the Hanna Residences at 3014 Balboa Boulevard\n(PA2020-060)\na) Find this amendment exempt from the California Environmental Quality Act\n(CEQA) pursuant to Section 15303 under Class 3 (New Construction or Conversion\nof Small Structures) of the CEQA Guidelines, because it has no potential to have a\nsignificant effect on the environment and local governments are exempt from the\nrequirements of CEQA in connection with the adoption of a Local Coastal Program,\nand further that the exceptions to the Class 3 exemption do not apply; and\nb) Conduct second reading and adopt Ordinance No. 2024-26, An Ordinance of\nthe City Council of the City of Newport Beach, California, Amending Title 21 (Local\nCoastal Program Implementation Plan) of the Newport Beach Municipal Code to\nChange the Zoning District From Commercial Neighborhood (CN) to Two-Unit\nResidential (R-2) and to Amend Setback Map S-2B - Balboa Peninsula to\nRemove a Front Setback Designation Abutting the Side Property Line For the\nProperty Located at 3014 Balboa Boulevard (PA2020-060).\nStaff Report\nAttachment A - Ordinance No. 2024-26\nNovember 12, 2024

6. Ordinance No. 2024-27: Local Coastal Program (LCP) Amendment to\nIncrease the Development Limit Specified for Bay Island (PA2022-087)\na) Find this action exempt from the California Environmental Quality Act (CEQA)\npursuant to Section 15303 under Class 3 (New Construction or Conversion of Small\nStructures) of the CEQA Guidelines, because this project has no potential to have a\nsignificant effect on the environment; and\nb) Conduct second reading and adopt Ordinance No. 2024-27, An Ordinance of\nthe City Council of the City of Newport Beach, California, Amending Title 21 (Local\nCoastal Program Implementation Plan) to Change the Development Limit\nSpecified for Bay Island from 23 Dwelling Units to a Maximum of 25 Dwelling Units\n(PA2022-087).\nStaff Report\nAttachment A - Ordinance No. 2024-27

7. Ordinance No. 2024-28: Amending Title 21 (Local Coastal Program\nImplementation Plan) of the Newport Beach Municipal Code Relating to\nAccessory Dwelling Unit Regulations (PA2021-113)\na) Find this project is statutorily exempt from the California Environmental Quality\nAct (CEQA) pursuant to Section 15282(h) of the CEQA Guidelines, which states that\nthe adoption of an ordinance regarding second units to implement the provisions of\nSections 65852.1 and 65852.2 (now 66310 through 66342) of the Government\nCode are exempt from the requirements of CEQA; and\nb) Conduct second reading and adopt Ordinance No. 2024-28, An Ordinance of\nthe City Council of the City of Newport Beach, California, Adopting Local Coastal\nProgram Amendment No. LC2021-003 as Modified by the California Coastal\nCommission to Amend Title 21 (Local Coastal Program Implementation Plan) of\nthe Newport Beach Municipal Code to Implement Council Policy K-4 (Reducing\nthe Barriers to the Creation of Housing) and New State Law Requirements Relating\nto Accessory Dwelling Units (PA2021-113).\nStaff Report\nAttachment A - Ordinance No. 2024-28\nNovember 12, 2024\nRESOLUTIONS FOR ADOPTION

8. Resolution No. 2024-81: Initiating General Plan and Zoning Amendments\nRelated to the Lower Castaways Aquatics Facility (PA2024-0138)\na) Determine the adoption of this resolution is exempt from environmental review\nunder the California Environmental Quality Act (“CEQA”) pursuant to Section 15262\nof the CEQA Guidelines, California Code of Regulations, Title 14, Division 6,\nChapter 3, because it involves feasibility or planning studies for possible future\nactions which the agency, board, or commission has not approved or adopted; and\nb) Adopt Resolution No. 2024-81, A Resolution of the City Council of the City of\nNewport Beach, California, Initiating Amendments to Table LU2 of the General\nPlan Land Use Element and to the Castaways Marina Planned Community (PC-\n37) Development Plan to Increase the Anomaly 54 Development Limit and to\nAllow a Community Recreational Facility at Lower Castaways Park, 100 Dover\nDrive (PA2024-0138).\nStaff Report\nAttachment A - Resolution No. 2024-81

9. Resolution No. 2024-82: Approving an Amendment to the Key and\nManagement Compensation Plan and Authorizing the City Manager to Enter\ninto Amendment C to the Employment Agreement with the Fire Chief\na) Determine this action is exempt from the California Environmental Quality Act\n(CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines\nbecause this action will not result in a physical change to the environment, directly or\nindirectly;\nb) Adopt Resolution No. 2024-82, A Resolution of the City of Newport Beach,\nCalifornia, Approving an Amendment to the Key and Management Compensation\nPlan and Authorizing the City Manager to Enter into Amendment C to the\nEmployment Agreement with the Fire Chief; and\nc) Authorize the City Manager to Execute Amendment C to the Fire Chief\nEmployment Agreement.\nStaff Report\nAttachment A - Resolution No. 2024-82\nAttachment B - Costing Summary\nNovember 12, 2024\nCONTRACTS AND AGREEMENTS