6/26/2006MINUTES OF
A REGULAR MEETING
OF THE
CITY COUNCIL OF THE
CITY OF ROLLING HILLS, CALIFORNIA
JUNE 26, 2006
CALL TO ORDER
A regular meeting of the City Council of the City of Rolling Hills was called to order by Mayor
Pro Tem Black at 7:33 p.m. in the City Council Chambers at City Hall, 2 Portuguese Bend Road,
Rolling Hills, California.
ROLL CALL
Councilmembers Present: Hill, Pernell and Mayor Pro Tem Black.
Councilmembers Absent: Heinsheimer and Mayor Lay (excused).
Others Present: Craig Nealis, City Manager.
Mike Jenkins, City Attorney.
Yolanta Schwartz, Planning Director.
Nan Huang, Finance Director.
Marilyn Kern, Deputy City Clerk.
Lt. Greg Ahn, LASD, Lomita Station.
CONSENT CALENDAR
Matters which may be acted upon by the City Council in a single motion. Any
Councilmember may request removal of any item from the Consent Calendar causing
it to be considered under Council Actions.
a. Minutes - Regular Meeting of June 12, 2006.
RECOMMENDATION: Approve as presented.
b. Payment of Bills.
RECOMMENDATION: Approve as presented.
C. Financial Statement for the month of May, 2006.
RECOMMENDATION: Approve as presented.
d. BFI Recycling Tonnage Report for May, 2006.
RECOMMENDATION: Receive and file.
Councilmember Hill moved that the City Council approve the recommendations in the Consent
Calendar. Councilmember Pernell seconded the motion, which carried unanimously by those
Councilmembers in attendance.
PLANNING COMMISSION ITEMS
RESOLUTION NO. 2006-08. A RESOLUTION OF THE PLANNING COMMISSION OF
THE CITY OF ROLLING HILLS GRANTING A VARIANCE TO PERMIT
CONSTRUCTION OF AN ADDITION, A PORTION OF WHICH WOULD ENCROACH
INTO THE FRONT SETBACK; GRANTING A VARIANCE TO LOCATE A SERVICE
YARD IN THE FRONT SETBACK AND NOT TO EXCEED 3 -FOOT WALLS IN THE
FRONT AND SIDE SETBACKS AND GRANTING A VARIANCE FROM THE
REQUIREMENT THAT AN AREA FOR A FUTURE STABLE AND CORRAL BE SET
ASIDE AT AN EXISTING SINGLE FAMILY RESIDENCE IN ZONING CASE NO. 725,
AT 9 PACKSADDLE ROAD EAST, (LOT 6 -GF), (NEGRI).
City Manager Nealis presented the staff report outlining the applicant's request and providing
background regarding the property and Planning Commission action relative to Zoning Case
No. 725.
In response to Mayor Pro Tem Black, City Manager Nealis pointed out on the plan where a
previous future stable location had been noted on a plan of the property. He indicated that
staff feels this previous stable location was not technically feasible due to topographic and
access conditions on the property, but that it was reviewed for compliance to standards that
were applicable at that time, but not at present. He stated that the Planning Commission
required findings to be specifically stated in the resolution that it is not the structural
development that is causing the Variance from the requirement to have an area set aside for a
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future stable and corral but rather the existing topographical conditions on the property
before and after the proposed structures.
Following discussion, Councilmember Pernell moved that the City Council receive and file
Resolution No. 2006-08. Councilmember Hill seconded the motion, which carried
unanimously by those Councilmembers in attendance.
TRAFFIC COMMISSION ITEMS
None.
PUBLIC HEARINGS - Continued
CITY OF ROLLING HILLS DRAFT BUDGET FOR FISCAL YEAR 2006-07.
RESOLUTION NO. 1004: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ROLLING HILLS ESTABLISHING THE 2006-07 FISCAL YEAR APPROPRIATION LIMIT
FOR THE CITY OF ROLLING HILLS.
RESOLUTION NO. 1005: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ROLLING HILLS ADOPTING THE FY 2006-07 CITY OF ROLLING HILLS BUDGET
INCLUDING THE ANNUAL REPORT ON: GENERAL FUND, COMMUNITY
FACILITIES FUND, MUNICIPAL SELF INSURANCE FUND, REFUSE COLLECTION
FUND, SOLID WASTE CHARGES, COPS FUND, TRAFFIC SAFETY FUND, TRANSIT
FUND -PROP. A, TRANSIT FUND -PROP. C, AND UNDERGROUND UTILITY FUND
FOR FISCAL YEAR 2006-07.
RESOLUTION NO. 1006: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ROLLING HILLS ESTABLISHING THE FISCAL YEAR 2006-07 MERIT PAY PLAN.
City Manager Nealis provided an update on the estimated FY 2005-06 revenue projections for
Building and Safety Fees indicating that since the last meeting, the Finance Director had
acquired four more months of actual financial data and that the FY 2005-06 projection is
$343,000 which is in keeping with the projection for FY 2006-07.
Mayor Pro Tem Black opened the public hearing and called for testimony. Hearing none and
no discussion, he closed the public hearing and called for a motion. Councilmember Pernell
moved that the City Council adopt Resolution Nos. 1004, 1005 and 1006. Councilmember Hill
seconded the motion, which carried by the following roll call vote:
AYES:
Councilmembers Hill, Pernell and Mayor Pro Tem Black.
NOES:
None.
ABSENT:
Councilmember Heinsheimer and Mayor Lay.
ABSTAIN:
None.
OLD BUSINESS
RESOLUTION NO. 1007: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ROLLING HILLS, CALIFORNIA, ASSIGNING TO THE CITY OF ROLLING HILLS
ESTATES ITS AVAILABLE PROPOSITION C TRANSPORTATION FUNDS.
City Manager Nealis reported that this resolution memorializes the direction given by the City
Council at their meeting of June 12, 2006. Hearing no discussion, Mayor Pro Tem Black called
for a motion.
Councilmember Hill moved that the City Council adopt Resolution No. 1007. Councilmember
Pernell seconded the motion, which carried unanimously by those Councilmembers in
attendance.
NEW BUSINESS
CONSIDERATION OF RESOLUTION NO. 1008. A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF ROLLING HILLS, CALIFORNIA, APPROVING
CONTINUATION OF THE REIMBURSABLE CONTRACT BETWEEN THE CITY AND
THE COUNTY OF LOS ANGELES COMMUNITY DEVELOPMENT COMMISSION FOR
THE IMPLEMENTATION OF THE COMMUNITY DEVELOPMENT BLOCK GRANT
(CDBG) PROGRAM, FOR FISCAL YEAR 2006-2007, CONTRACT NUMBER 72263.
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City Manager Nealis reported that this resolution is required to maintain the City's existing
three-year agreement for this program. He indicated that the City accumulates these funds
from year to year and provides them to adjoining communities to maintain the City's
demonstration of support for low and moderate income housing. Hearing no discussion,
Mayor Pro Tem Black called for a motion.
Councilmember Hill moved that the City Council adopt Resolution No. 1008. Councilmember
Pernell seconded the motion, which carried unanimously by those Councilmembers in
attendance.
REQUEST FOR MODIFICATION OF A CONDITION OF APPROVAL FOR PARCEL
MAP NO. 23991 RELATING TO THE UNDERGROUNDING OF CERTAIN UTILITIES
AND A REQUEST TO ALLOW AN APPLICANT TO CONTINUE CONSTRUCTION AT
18 PORTUGUESE BEND ROAD.
City Manager Nealis presented the staff report providing background regarding the approval
of a two -lot Subdivision at 17 Portuguese Bend Road, and the condition of that approval that
the owner of the property be required to underground the utilities, remove one pole and
move two poles into the easements of the two new lots, the original and amended subdivision
improvement agreement, and the subsequent sale of the properties. He indicated that the
applicants have provided correspondence requesting relief from the requirement to move the
two utility poles on the interior of the properties to the easements and explained the new
proposed configuration of the electrical facilities. He reported that the request also includes
that the property owner at 18 Portuguese Bend be allowed to continue construction of his
residence and explained that the improvement agreement stipulates that building permits will
not be issued until the required undergrounding is complete.
In response to Councilmember Pernell, City Manager Nealis explained the original
requirement that the applicant remove one pole and move two poles into the easements of
the two new lots and pointed out the poles on the original plan. He also explained the original
concept that was determined to not be feasible by the Edison Company to underground wires
in the canyon toward Blackwater Canyon Road. He also explained that the plan still calls for
the removal of a pole and undergrounding of the wires over Portuguese Bend Road.
Councilmember Pernell queried whether there were any other poles in close proximity to the
properties that could be undergrounded.
Mr. Stan Lamport, representing Mr. Manelaous Saridakis, owner of 18 Portuguese Bend Road
and Dr. Robert Marshall the previous owner of 17 and 18 Portuguese Bend Road. He
explained the Dr. Marshall had sold the properties but has remained involved. He explained
that he recalls that during the subdivision process the emphasis was the undergrounding of
the lines across Portuguese Bend Road. He further explained the original concept of
undergrounding all of utilities on the property and the difficulties that arose in crossing the
canyon. He also explained the revised plan offered by the applicants due to the difficulties in
obtaining the required easement consent from neighboring property owners to cross their
properties with the Edison facilities. He said that Edison recommends that the existing poles
on the north and south of the properties remain in place, although the north pole may be
relocated slightly for safety reasons and that Edison would underground the two spans of
wires and the one pole between the existing northern and southern poles. He further
explained the undergrounding of the lines that currently cross Portuguese Bend Road since the
applicants have secured an easement from the property owner of 15 Portuguese Bend Road.
Mr. Lamport explained that the property owner of 18 Portuguese Bend Road is requesting to
be allowed to resume construction of the residence on his property because of concerns
relating to the timing of his construction loan. He indicated that Dr. Marshall has been
working for quite a while to resolve all of the issues relating to the undergrounding of utilities
on these properties and he further explained the problems that arose when. neighboring
property owners would not grant easements for Edison wires to cross their properties and the
difficulties in creating a plan that would be satisfactory to all parties involved. He stated that
he feels that the City is still receiving a substantial benefit of the original requirement since the
utility line that crosses Portuguese Bend Road will be placed underground.
Councilmembers discussed the letters from the neighboring property owners at 16 Pine Tree
Lane and 1 Lower Blackwater Canyon Road who did not grant an easement to Edison to
change the existing layout of the utilities crossing their properties.
Mr. Ken Allen, applicants' utility consultant, explained the construction constraints of placing
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wires underground in a canyon. He further explained the moving of poles into easements and
the requirements of Edison for an 8 ft. wide drivable easement to service their facilities and
indicated that it is his understanding that the City did not wish to clear these easements to that
extent due to the existing trees that are located in this easement. Mr. Allen further explained
the revised underground plan and stated that he feels that this is the best option.
Councilmember Pernell commented on the economic relief to the applicant should the City
Council approve the plan. Mr. Allen explained the costs to Southern California Edison
Company to construct and maintain underground utility facilities.
Councilmember Hill stated that he feels that the applicants have come to an impasse and in
order to move the project forward he would move that the City Council approve the revised
underground utility configuration and that the current owner of 18 Portuguese Bend Road be
permitted to obtain building permits prior to the undergrounding of the utilities.
Mayor Pro Tem Black commented on the two parts to this matter and requested that the
request for approval of the new underground configuration plan and the request for
permission to allow the owner of 18 Portuguese Bend Road to obtain building permits prior to
the undergounding of the utilities be considered separately.
In response to Councilmember Pernell, Planning Director Schwartz explained that she had
attended several meetings with the applicants, their consultant and representatives of Edison.
She explained Edison s requirement to obtain easements from affected neighboring property
owners and that the two property owners who would not grant the easements made it
difficult for the applicants to complete the required utility configuration.
In response to Mayor Pro Tem Black, it was explained that there are overhead wires to the
property on Lower Blackwater Canyon Road. Mr. Allen explained the configuration of the
utility lines on Lower Blackwater Canyon Road.
Councilmember Pernell commented on the economic relief to the applicants. City Attorney
Jenkins explained that there would be constraints to asking the applicants to underground an
off site area that was not in direct connection with the subdivision. Mr. Lamport explained
that there is not a great deal of cost benefit to the applicants under the new configuration. He
stated that costs are minimal for moving poles and that the bulk of the costs are for the
undergrounding over Portuguese Bend Road.
In response to Councilmember Pernell regarding the proposed separation of the two issues at
hand, Mr. Lamport explained that the highest priority for the owner of 18 Portuguese Bend
Road is to begin construction of the residential structure on the property.
Further discussion ensued regarding the proposal for undergrounding presented by the
applicants. Mayor Pro Tem Black commented on the visibility from Portuguese Bend Road of
northern most pole adjacent to 15 Portuguese Bend Road and queried whether this pole could
be made less visible. Mr. Allen explained that grading of the easement that would need to
occur to relocate that pole. Mayor Pro Tem Black explained the Community Association's
involvement in and support for clearing of easements. Mr. Allen explained that if the pole
were to be moved that it would change the angle of the wires and that this affects one of the
property owners who refused to grant an easement. He further explained that the pole would
be replaced with a taller one, which would probably be more visible from Portuguese Bend
Road. Mr. Allen stated that poles must be placed on a level pad and not on a slope for
maintenance purposes. He further explained Edison construction and safety constraints
related to construction of underground and overhead utilities and explained where the poles
in question would most likely be placed.
Mr. Manelaous Saridakis, reported that a pole will remain on his property that will be in his
view. He explained the $400,000 escrow deposit that was made to assure that the
underground utility work would be done. Mr. Saridakis stated that he would like to move
forward with his project.
Mayor Pro Tem Black indicated that Councilmember Hill had made a motion, which had not JJ."
been seconded. He indicated that he would still like to keep the two issues separated and
stated that he does not support granting permission for the owner of 18 Portuguese Bend
Road to move forward. The motion died for a lack of a second. City Attorney Jenkins stated
that it would be appropriate to separate these two items.
Councilmember Hill moved that the City Council approve the revised underground utility
configuration. Councilmember Pernell seconded the motion.
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Discussion ensued regarding the separation of the two items. Mayor Pro Tem Black reiterated
that he is not in favor of the City Council granting the property owner of 18 Portuguese Bend
Road permission to move forward with his development before the underground utilities
have been constructed. Councilmembers discussed an amendment to the motion that the
underground utilities must be complete before building permits are issued. Mr. Lamport
expressed concern about this amendment and indicated that Edison has expressed that it
would take six to nine months to complete the work and reiterated the concerns of Mr.
Saridakis regarding his construction loan. Mayor Pro Tem Black expressed concern regarding
delays in beginning the undergrounding on these properties. Mr. Lamport indicated that the
applicant would be willing to research further alternatives to the undergrounding but the
critical issue is that Mr. Saridakis needs to move forward with the development due to his
construction loan.
Dr. Robert Marshall, former owner of 17 and 18 Portuguese Bend Road, explained that he has
done everything in his power to keep this project moving forward. He presented a timeline
that begins in October, 2003 and provided a copy of a preliminary design and engineering
agreement with a copy of a check for $10,000 for Edison to begin the design work. He
explained the difficulties in obtaining easement approvals from the neighboring property
owners and the time it took to reconfigure the utility lines. He stated that there were
numerous delays and indicated that he feels that he diligently worked to begin the process in a
timely fashion. Dr. Marshall provided information regarding the Cox Communications and
Verizon bids to complete the work. Dr. Marshall further explained the easement approvals
that were needed for neighboring property owners and the time it took to obtain them and
the other delays that he encountered. Dr. Marshall urged the City Council to allow Mr.
Saridakis to move forward with the development on his property.
Following discussion, Councilmember Hill withdrew his motion that the City Council approve
the revised underground utility configuration and stated that he feels that there would be an
undue hardship on Mr. Saridakis if he is not allowed to move forward with the development
on his property. He commented on the delays in the process that were encountered during
the planning phase of the undergrounding of the utilities on these properties. Councilmember
Hill suggested that the City Council may wish to place a condition on any approval for the
property owner of 18 Portuguese Bend Road to move forward with his development that no
Certificate of Occupancy would be issued for the structure until the underground utility
requirements are met. Councilmember Pernell withdrew his second.
Councilmember Hill moved that the City Council approve the revised underground utility
configuration presented by the subdivider of 17 and 18 Portuguese Bend Road and that the
current owner of 18 Portuguese Bend Road be permitted to obtain building permits prior to
the undergrounding of the utilities and that a Certificate of Occupancy and final permit not be
issued until the revised underground utility configuration is constructed. Councilmember
Pernell seconded the motion.
Councilmember Pernell provided comments regarding the City's intent to have the original
agreement made by the subdivider abided by as close and as soon as possible.
Councilmember Hill stated that he feels that the City is in a much more compelling position to
have the underground work completed if Mr. Saridakis is allowed to continue with
construction.
Discussion ensued regarding whether the City Council should hold off on acting on this item
until all .Councilmembers are present and whether a field trip was in order. Councilmembers
concurred to move forward with the motion on the floor.
Following the discussion, the motion carried by the following roll call vote:
AYES: Councilmember Hill and Councilmember Pernell.
NOES: Mayor Pro Tem Black.
ABSENT: Councilmember Heinsheimer and Mayor Lay.
ABSTAIN: None.
Staff was directed to return with revisions to the improvement agreement to memorialize this
action at the next City Council meeting.
OPEN AGENDA - APPROXIMATELY 8:00 P.M. - PUBLIC COMMENT WELCOME
None.
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MATTERS FROM MEMBERS OF THE CITY COUNCIL
None.
MATTERS FROM STAFF
None.
MATTERS FROM THE CITY ATTORNEY
CLOSED SESSION
The City Council finds, based on advice from legal counsel, that discussion in open
session will prejudice the position of the local agency in the litigation.
Existing Litigation:
G.C. 54956.9(a)
Judith Hassoldt and William Hassoldt, Individuals, Plaintiffs, vs City of Rolling Hills, et.
al., Los Angeles County Superior Court, Case No. BC275012.
G.C. 54956.9(a)
Hui -Tse Sheen, Individual, Plaintiff, vs City of Rolling Hills, Rolling Hills Community
Association, et. al., Los Angeles County Superior Court, Case No. YC051963.
No closed session was held.
ADIOURNMENT
Hearing no further business before the City Council, Mayor Pro Tem Black adjourned the
meeting at 8:50 p.m. to the next regular meeting of the City Council scheduled to be held on
Monday, July 10, 2006 in the City Council Chambers at City Hall, 2 Portuguese Bend Road,
Rolling Hills, California.
Respectfully submitted,
p'� S _ ) z
Marilyn Kern
Deputy City Clerk
A d,
James ack
Mavo ro Tem
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