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NO.2 PORTUGUESE BEND ROAD
ROLLING HILLS,CA 90274
(310)377-1521
FAX(310)377-7288
NOTICE OF ADJOURNMENT
DUE TO LACK OF QUORUM
CITY OF ROLLING HILLS
CITY COUNCIL
NOTICE IS HEREBY GIVEN that an adjourned regular meeting of the
City Council of the City of Rolling Hills scheduled for Monday, January 23, 2012 at 8:00
a.m. was adjourned due to lack of quorum. The next regular meeting of the City
Council will be held on Monday, January 23, 2012 at 7:30 p.m. in the City Council
Chambers at City Hall, 2 Portuguese Bend Road, Rolling Hills, California.
Dated this 23rd day of January, 2012. ,
���� ���
Heidi Luce
Deputy City Clerk
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss
CIT'Y OF ROLLING HILLS )
HEIDI LUCE, being first duly sworn, deposes and says: That she is the
duly appointed Deputy City Clerk of the City of Rolling Hills and that on January 23,
2012, she caused the above Notice to be posted at 5 Buggy Whip Drive and on the door
of Rolling Hills City Hall, 2 Portuguese Bend Road, Rolling Hills, California.
/
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HEIDI LUCE
DEPUTY CITY CLERK
MINUTES OF
A REGULAR MEETING
OF THE
CITY COUNCIL OF THE
CITY OF ROLLING HILLS, CALIFORNIA
MONDAY,JANUARY 23,2012
CALL TO ORDER
A regular meeting of the City Council of the City of Rolling Hills was called to order by Mayor Lay at
7:30 p.m. in the City Council Chambers at City Hall, 2 Portuguese Bend Road, Rolling Hills, California.
ROLL CALL
Councilmembers Present: Heinsheimer,Hill, Pernell, Mayor Pro Tem Black and Mayor Lay.
Councilmembers Absent: None.
Others Present: Anton Dahlerbruch, City Manager.
Michael Jenkins, City Attorney.
Yolanta Schwartz,Planning Director.
Jim Walker, Finance Director.
Heidi Luce,Deputy City Clerk.
Bryan Gruber, Partner, Lance, Soll & Lunghard.
Loren DeRoy, Resident.
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 - (1) Adjourned Regular Meeting of January 3, 2012 and (2) Regular Meeting of
January 9, 2012.
RECOMI��NDATION: Approve as presented.
B. Payment of Bills. �
RECONIlVIENDATION: Approve as presented.
Councilmember Heinsheimer moved that the City Council approve the items on the consent calendar.
Councilmember Hill seconded the motion,which carried without objection.
PRESENTATION
- Presentation to resident Loren DeRoy in recognition of ten years of service
, as Member and Chair of the Rolling Hills Planning Commission
Mayor Lay presented Ms. DeRoy with.a plaque bearing the City tile in recognition of her ten years of
service to the City of Rolling Hills as Member and Chair of the Planning Commission. He thanked her
for service to the Community through her work on the Planning Commission.
COMIVIISSION ITEMS
RESOLUTION NO. 2012-01. A RESOLUTION OF THE PLANNING COMMISSION OF THE
CITY OF ROLLING HILLS GRANTING APPROVAL FOR A CONDITIONAL USE PERMIT
TO RETAIN A GUEST ROOM, PREVIOUSLY APPROVED AND CONSTRUCTED AS A
TACK ROOM AND REQUEST FOR A VARIANCE TO EXCEED THE MAXIMUM
PERMITTED DISTURBANCE OF THE LOT, IF A STABLE AND CORRAL ARE
CONSTRUCTED IN THE FUTURE, ON A PROPERTY DEVELOPED WITH A SINGLE
FAMILY RESIDENCE AND ACCESSORY STRUCTURES IN ZONING CASE NO. 808, AT
7 RINGBIT ROAD EAST, (LOT 38-SF), (SHADDEl�. THE PROJECT HAS BEEN
DETERMINED TO BE EXEMI'T FROM THE CALIFORNIA ENVIRONMENTAL
QUALITY ACT(CEQA).
Mayor Lay introduced Planning Commission Resolution No. 2012-01 granting approval of the
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applicant's request in Zoning Case No. 808 at 7 Ringbit Road East for consideration by the City Council
and asked for staff's comments. Councilmember Pernell recused himself from consideration of this item
due to the proximity of his property to the subject property.
Planning Director Schwartz presented the staff report pertaining to the case. She stated that the Planning
Commission approved the applicant's request on a 4-1 vote with Commissioner Mirsch abstaining
because she was not yet on the Commission when this case was first heard. She stated that the structure
was built in 1965 with permits as a 255 sq. ft. two-story tack room and subsequent to that, the upper
story has been used as a guest room and the bottom story has been used for storage. She stated that the
applicant is requesting to retain the structure as it is currently used; and that the applicant proposes to set
aside an area elsewhere on the property for a future stable and corral.
Planning Director Schwartz stated that the Planning Commission, feeling that the structure is in
character with the community despite its use, requested that the City Attorney's office review the
applicant's request. The City Attorney's office responded that the structure could be approved based on
� the fact that the bottom story is not habitable space and further recommended that if the Planning
Commission approves the applicant's request, a covenant be recorded restricting the use of the bottom
story.
Following brief discussion, Councilmember Heinsheimer moved that the City Council receive and file
Planning Commission Resolution No. 2012-01 in Zoning Case No. 808 at 7 Ringbit Road East. Mayor
Pro Tem Black seconded the motion, which carried without objection. Councilmember Pernell returned
to the dais.
PUBLIC HEARING
ZONING CASE NO. 807 - REQUEST FOR A SITE PLAN REVIEW FOR GRADING AND
CONSTRUCTION OF A GUEST HOUSE, STABLE, CORRAL AND 5' HIGH RETAINING
WALLS; CONDITIONAL USE PERMIT TO CONSTRUCT A GUEST HOUSE AND A
STABLE WITH CORRAL AND VARIANCES TO EXCEED THE MAXIMUM PERMITTED
DISTURBED AREA OF THE NET LOT, TO CONSTRUCT TWO WALLS WHICH ARE 5'
HIGH ACROSS THEIR ENTIRE LENGTH AND ONE OF WHICH WOULD ENCROACH
INTO THE SIDE YARD SETBACK ON A PROPERTY DEVELOPED WITH A SINGLE
FAMILY RESIDENCE AT 5 BUGGY WI�IP DIZIVE, (LOT 245-A-MS), ROLLING HILLS,
CA, (NGUYEI�. PROJECT HAS BEEN DETERMINED TO BE EXEMPT FROM THE
CALIFORNIA ENVIRONMENTAL QUALITY ACT, (CEQA).
Mayor Lay introduced Zoning Case No. 807 at 5 Buggy Whip Drive for the City Council's
consideration stating that the field trip scheduled for earlier in the day was postponed due to the rain and
will be rescheduled. Mayor Pro Tem Black and Councilmember Heinsheimer recused themselves from
consideration of this item due to the proximity of their properties to the subject property and left the
dais. Mayor Lay opened the public hearing and called for public testimony.
Frank Gargas, 19 Buggy Whip Drive addressed the City Council stating that he supports the Nguyen's
project and he believes a homeowner should be able to do what they need to do on their property within
the realm of the City's rules. He further stated that the Nguyen's took a property that was an eyesore
and turned it into a beautiful piece of property. �
Hearing no further public comment, the public hearing was continued. Following discussion, a site visit
to 5 Buggy Whip Drive was scheduled for Tuesday, January 31, 2012 beginning at 10:00 a.m.
Mayor Pro Tem Black and Councilmember Heinsheimer returned to the dais.
OLD BUSINESS
None.
NEW BUSINESS
CONSIDERATION OF THE 2010-2011 ANNUAL FINANCIAL AUDIT.
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Mayor Lay introduced the item for consideration. . Finance Director Walk'er stated that submitted for
consideration is the fiscal year 2010-2011 comprehensive annual financial report along with the audit
letters submitted by Lance, Soll & Lunghard, He reviewed,the 2010-2011 financial highlights which
included an election, $708,000 in COPS funds returned'to.the State and payment of the Ca1PERS side-
fund in the amount of $151,000 which reduced the pension cost in the current fiscal year by
approximately 4%. He stated that the City also switched over to a new financial software system and
entered into a settlement agreement regarding the Poppy Trail landslide in fiscal year 2010-2011. He
stated that the general fund ended the year with a surplus of approximately $100,000 mostly being due
to building permit revenue being up and expenses being down. He added that financial statements have
been upgraded from a general purpose statement, which is not recognized in the general community, to a
Comprehensive Annual Financial Report (CAFR) with a transmittal letter and a statistical section; and
that the City will apply for a National Award of Excellence from the Government Financial Officers
Association based on the new financial report. He introduced, Bryan Gruber, Partner, Lance, Soll,
Lunghard to present the audit.
Mr. Gruber provided an overview of the results of the audit and the audit process. He stated that the
audit was a successful audit with no significant issues or findings. He stated that the audit was
conducted by a team of auditors over the course of a week's time in October and the process included a
review of the City's internal controls and testing of the financial statements. He stated that the summary
of the audit is presented in three pieces of communication, the audit communication letter which
provides an overview of the process and lists any difficulties or deficiencies. The second is the
management letter which reports as required by auditing standards, any deficiencies in internal control,
which there were none; as well as issues with legal compliance of which there were none reported as
well. And, the third letter provides the independent auditors report which is included in the financial
statements where an opinion is expressed by the auditors regarding the financial statements as to
whether or not they are properly stated in all material respects. He stated that Lance, Soll & Lunghard
expressed an unqualified opinion, which is the best opinion that can be received in a financial audit.
Councilmember Heinsheimer moved that the City Council receive and file the 2010-2011
Comprehensive Annual Financial Audit as presented. Councilmember Pernell seconded the motion,
which carried without objection.
CONSIDERATION OF A THREE-YEAR PROFESSIONAL SERVICES AGREEMENT WITH
LANCE, SOLL &LUNGHARD, LLC FOR ANNUAL AUDIT SERVICES.
Mayor Lay introduced the item for consideration. Finance Director Walker stated that presented for
consideration is a new three-year agreement with Lance, Soll & Lunghard for audit services through the
fiscal year 2013-2014 audit. He stated that the Budget/Finance Committee met in November to review
the proposal and subsequent to that meeting at the request of the Committee, the proposal reflects a 3%
increase the first and second year and no increase the final year of the contract. Councilmember Pernell
asked for clarification regarding the negotiation process with the audit fum. City Manager Dahlerbruch
stated that staff requested a proposal and that the proposal was reviewed with the Budget/Finance
Committee. He stated that the original proposal included a 3% increase each year and it was at the
request of the Committee that the current increase structure was proposed. Discussion ensued
concerning other options possible to reduce cost with Councilmember Pernell suggesting that there be a
0% increase the first year and 3% increase the two subsequent years.
Following brief discussion, Councilmember Hill moved that the City Council approve a three-year
agreement with Lance, Soll and Lunghard, LLC for annual audit services as presented and direct staff to
• execute the contract. Councilmember Heinsheimer seconded the motion, which carried with
Councilmember Pernell and Mayor Pro Tem Black opposed.
Following further discussion concerning the price increase structure, staff was directed to discuss with
Lance, Soll, Lunghard the option of a 0-3-3 increase structure or possible adding a fourth year to the
contract at no increase and bring an amendment to the agreement back to the City Council if appropriate.
� OPEN AGENDA- APPROXIMATELY 8:00 P.M. - PUBLIC COMI��NT WELCOME
None.
MATTERS FROM MEMBERS OF THE CITY COUNCIL
None.
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MATTERS FROM STAFF
None.
MATTERS FROM THE CITY ATTORNEY
City Attorney Jenkins briefly reviewed the California Environmental Quality Act (CEQA) requirements
and its applicability to cases being heard by the Committee on Trees and Views.
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.
No closed session was held.
ADJOURNMENT
Hearing no further business before the City Council, Mayor Lay adjourned the meeting at 8:08 p.m. to
an adjourned regular meeting of the City Council scheduled for Tuesday, January 31, 2012 beginning at
10:00 a.m. for the purpose of conducting a field trip to 5 Buggy Whip Drive. The next regular meeting
of the City Council is scheduled to be held on Monday, February 13, 2012 beginning at 7:30 p.m. in the
City Council Chambers at City Hall, 2 Portuguese Bend Road, Rolling Hills, California.
Respectfully subr�itted,
�
Heidi Luce
Deputy City Clerk
Approved,
��
James Bla ,M.D.
Mayor Pro Tem
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City Council Meeting
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