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4/6/19810 r� l MINUTES OF A SPECIAL MEETING OF THE CITY COUNCIL CITY OF ROLLING HILLS, CALIFORNIA April 6, 1981 A special meeting of the. City Council of the City of Rolling Hills was called to order at the Administration Building,.2 Portuguese Bend Road, Rolling Hills, California by Mayor Crocker at 7:30 P.M. Monday, April 6, 1981. ROLL CALL PRESENT: ABSENT: ALSO PRESENT: PURPOSE OF MEETING .Councilmembers Heinsheimer, Swanson, Mayor Crocker Councilmen Pernell, Rose Teena Clifton William Kinley June Cunningham Barbara Hein Ken Dyda C. Aylesbury H. Banach Dr. & Mrs. D. Basque Dr. & Mrs. D. Bray W. Daniel Dr. & Mrs. N. Donner .Mr. & Mrs. J; Downing Dr. & Mrs. R. Gibson Mrs. C. Hanscom Mrs. S. Hatch Mrs. P. Hathaway Mrs. M. Harper Mr. & Mrs. C. Gregory Mr. & Mrs. G. Feister Mr. & Mrs. R. Heckman Mr. & Mrs. W. Hines D. Gales Mrs. F. Hummel H. Gelles Mr.. & Mrs. P. Kelly Mr. & Mrs. E. Lyle Mrs..V. Leeuenburg W. Kester Mrs. L. Ishak Mrs. J. Murdock Mrs. F. Nebolon Mrs. S. Ormsby Mrs. D. Provine Mr. and Mrs. R. Rothi Mrs. J. Roberts Mrs. M. Schmidt T. Terry Mrs. J. Wendorff Mrs. T. Wiater Mrs. J. Witmer Dr. E. Williams Mayor Crocker said the purpose of the special meeting was to dis- cuss the matters called out in the agenda, specifically an update of the Flying Triangle Geology, discussion of a Method of Assessment for the proposed Klondike Canyon Abatement District, and approval of Plans for'the Intersection Improvement of Portuguese Bend Road/Palos Verdes Drive North. The Mayor said that in accordance with requirements of the Government Code, no other business could be discussed at a special meeting. In response to questions from the audience about who was no- tified of the meeting, the Manager.explained that by law members of the Council and local newspapers were notified at least twenty four hours in advance, the notice was posted at the gates and the Administration Building, and because there was sufficient time, notices were also mailed to members of.the Planning Commission and the Board of Directors of the Rolling Hills Community Association. 2 April 6, 1981 Mayor Crocker welcomed.Rancho Palos Verdes Mayor Barbara Hein, Councilman Ken Dyda, Rolling Hills Planning Commissioners Watts and Hanscom, Planning Commission Chairman Jody Murdock and Dr. David Bray member of the Rolling Hills Community Association Board of Directors. FLYING TRIANGLE GEOLOGY UPDATE The City Manager reported that two 24" auger holes have been dug as authorized by the Council as a preliminary step in obtaining inform- ation needed to develop a Plan of Control in the event the Council pro- ceeds with steps to form an abatement district. One was dug in Klondike, Canyon and the other is located on the Anton Weber property located.: at 53 Portuguese Bend Road, and they are used by the geologists for visual inspections. A trench going downward into the canyon has been complete and the geologists planto meet at the site on Wednesday to inspect it. The information obtained from the visual inspections is still in prelim- inary form, and another trench is.planned for exploration of the canyon between the Evans and Kelly properties. It is hoped that the exploratory work will indicate the direction of movement and the feasibility of fill- ing the canyon to stop the landslide. A final determination will not be made until the exploratory work is completed. Mrs. Clifton said it may be necessary to hold additional special meetings as the information be- comes available. Mayor Crocker said preliminary information indicates that the level of stability.provided by a buttress fill might be marginal, and would be affected by factors such as intrusion of water from future heavy rains. The Mayor said that a stability factor.of 1.5 would be immune from nor- mal weather .conditions. Mayor Crocker asked Councilman Heinsheimer to briefly review the geology map, which was posted, and to comment on .the meeting of geologists held a few weeks ago. Councilman Heinsheimer sa and earlier indicated that the ancient slide that had not mov in a portion of the Flying Tri year the City and Community As the cause, and it has been det movement in an area within the active slide. Geologists have catastrophic movement that wou in sudden loss of property, bu be a slow motion.movement that problems with utilities and se area and those properties just in.the area .defined as the.anc Councilman Heinsheimer explain was whether the slide is morin Ld reports on the area prepared in 1968 -e was an area defined on the map as an �d in recent centuries. When movement Ingle was first detected within the past 3ociation funded an effort to determine ermined that there is slow continuous - ancient slide that is now considered:an advised that there will not be a sudden Ld cut off access to the area or result if it is not stopped the result would would result in some failure of the road,. -ious problems to properties within the.. adjacent to them. Other properties with - Lent slide would not be directly affected. �d that the first area of uncertainty r Lyenerally Darallel to the canvon. or toward the canyon, and tests are being made to attempt to determine the direction of the movement. If the tests show that the movements is toward the.canyon, the second determination is whether to attempt to do the engineering which would provide the soil for filling the canyon. If that is done, the third determination is whether the re- sult would provide sufficient stability to stop the slide. In order, to pursue the investigation the Council has authorized funds for the preliminary excavations as outlined by the Manager, and the Council has also investigated various legal means for paying for the corrective work if it is determined that the corrective work would be beneficial. THE CITY ATTORNEY ARRIVED AT 7:50 P.M. Mayor Crocker said that at the last meeting the Council adopted a resolution initiating proceedings for formation of a landslide abate- ment district, subject to working out a number of details as to how .it would function, and subject also to obtaining geology information which would verify that if the work was done it would be successful in stop- ping the landslide. The Mayor said there may be an issue about whether the buttress fill would provide sufficient stability to make it an effective resolution of the problem. The level of stability achieved may be 1.0, which would raise a serious question of whether that would be a satisfactory level. Standards required by the City of Rancho Palos -2- 3 April 6, 1981 Verdes as a satisfactory level of stability were discussed with Mayor Barbara Hein and.Councilman Ken Dyda of that city. Mayor Crocker said a discussion of desired stability would be premature without the report of the geologists and engineers, which is due within the next week. The report containing their recommendations will be available for residents to review when it is presented. Councilwoman Swanson said she considered discussion of formation of a district premature, and she moved that the resolution initiating '' the procedures for. formation of a district, which was adopted at the last meeting, be rescinded. Councilwoman Swanson said the process for district formation is more complex than she originally thought, and because of the complexity of the matter and the prematurity.of the action to initiate district formation,, it was her opinion that more information should be obtained and public hearings should be held; after public hearings she said a.district should -be formed in the area where it has the greatest chance of succeeding, and in her opinion the area which can benefit most from formation of.a district is the area of ..active landslide. The motion died for lack of a second. 0 In response to comments from the audience Mayor Crocker said the 0 only business before the Council is discussion of matters on the agenda for the special meeting. He said residents would have an oppor- tunity to speak at the public hearing which will be held if the Council m decides to go ahead with formation of a district.' The.Mayor said that CO in answer to Councilwoman Swanson's comments about not understanding Q the complexities of the matter, he knew exactly what the implications Of the Council's actions:were,.and the conditions required before moving ahead were clearly expressed. Since the conditions have not yet been borne out by the geologists, the Mayor said no judgment will be made at this time on whether to proceed; that decision will be made at a future meeting, after the geologists' reports have been received .and evaluated, and the Council assesses the benefit versus the cost. If there is a chance the work would not result in a significant benefit the Mayor said the Council would not be in favor -of it, since their intent is to find a solution which would result in stopping the slide, with a high probability of keeping it stopped. Mayor Crocker advised Councilwoman Swanson.that the question of whether or not to Proceed with formation of an abatement district is not an item on the agenda of the special meeting; the business before the Council is dis- cussion of a method of assessment if a district is._formed. Councilman Heinsheimer said.that in considering.the.matter at the last meeting the Council considered three possible concepts for A district; the active slide area; the Flying Triangle tract; and the entire city. Since the largest area seems to be the most econ- omically viable with the greatest chance of succeeding, the entire city was chosen in order to initiate the procedure and schedule public hearings. Councilman Heinsheimer said „the boundaries of the district can be changed; also, he said, the Council may elect not to.proceed with formation ,of a district if the sentiment of the community indi-' sates that the residents are against it. A public hearing will be held at La Cresta School on May 11, and information will be provided within legal constraints prior to the hearing. Mayor Crocker said claims totalling $10.8 million have been filed against the City. Counsel has advised that the City has no liability at this time, and in the event.a district is formed, Mayor Crocker said the residents who have filed claims would be required to waive their claims before any expenditure was authorized to correct the problem. The Mayor said that if the district is not formed and the residents proceed with their claims agains the City and the Association the litigation, if successful, would be in amounts substantially greater than the amounts required to do the corrective work if an abatement dis- trict is formed. Mayor Crocker explained that if the Council decides to proceed With formation of a district, objections from owners of more than 50% of the assessed valuation, presented in the form required by the statute, would be required to stop formation of a district. In order to assess -3- April 6, 1981 residents within a district, Mayor Crocker said he had worked out a formula, assigning 1/2 unit.to each parcel in the City and 1/2 unit for each improved and habitable dwelling on a parcel. He proposed that all properties in the City, with the exception of the Flying Triangle, be assessed on that basis, with the assessment per unit set at $1,000. Further, he proposed that properties within the Flying Triangle, but outside of the active Klondike Slide area be assessed two -units ($2,000),.that residents within the active Klondike Slide area be assessed three units ($3,000) and that the roadways owned by the Rolling Hills Community Association be assessed twenty units. Based on that formula, Mayor Crocker said the total assessment would generate $760,500. The assessment would be deductible, and after taxes would cost each family outside of the Flying Triangle approxi- mately $500.. In discussing the proposed formula with members of the Council, Mayor Crocker said that Councilman Pernell proposed that the Community Association's assessment be increased from $20,000 to•$200,000. Councilman Pernell also favored the formula developed by Rancho Palos Verdes which assigned assessments based on one unit per acre of land and one unit per 1,000 square feet of improvements. The Mayor said that if the Rolling Hills Community Association's assessment was increased as recommended by Councilman Pernell, the annual assessment on Rolling, Hills properties would probably double. Mayor Crocker said there is a legal question about whether the entire City can be included in an abatement district, since properties within the area are supposed to benefit directly from formation of a! district. He said the Council chose the entire City on the basis of economics rather than a geologic area. He said that if a district is formed the five directors would have the power to increase assessments; however, he said it is possible through enabling resolutions to limit the power of the directors with regard to the amount that can be assessed without further vote of the residents, and the terms of the director -s could be limited. Councilwoman Swanson said she would not support a formula which h would involve the entire City.. It was her opinion that the properties within the active slide area and the properties within 100' of the perimeter of the area should be assessed, and she said those residents could bond for the corrective work over 20 - 30 years. She suggested that in addit-ion a private non-profit foundation could be established for private donations. Mayor Crocker said it was his opinion that residents in the limited slide area would not be able to borrow against their properties or bond for long terms, and he asked Mr. Harry Gelles to comment. Mr. Gelles said he lives in the Flying Triangle, but his home is not in the active slide area. He said he agrees with Mr. Crocker and it is his opinion that few people in the active slide area would be able to borrow the.money needed to save their homes unless they have - substantial personal net worth. Councilman Heinsheimer said the Council is not trying to se -11 the proposal, but is trying to define it. The area affected by the slide is very small, and the City is limited by Proposition 133, and is not in a position to handle an emergency like the landslide. The impact of publicity about Rolling Hills properties should be considered, as well as long-term problems like earthquake, fire, flood or other catas- trophes which could occur in various areas. He said this is a test case of whether the community will organize to solve local problems of general interest. Mayor Crocker asked that residents indicate by a show of hands how many present at the meeting were opposed to formation of a dis-, trict, and how many were in favor of it. The majority of residents present indicated that they oppose formation of a district including the entire City. The Mayor said all residents will have an opportunity to make their wishes known at the public hearing and will be advised of the procedures for opposing the proposal in a mailing which will; be sent by certified mail, return receipt requested, as required by law. The Mayor said he would recognize members of the audience who wish to speak, and he asked that discussion be limited and not focus on whether or not the speaker is in favor of forming an abatement district. THE CITY ATTORNEY WAS EXCUSED AT 9:10 P.M. Im April 6, 1981 5 Mr. Philip Kelly, 8 Hackamore Road, said he would not oppose an assessment of $500 or $1,000 if it.is a one-time thing. A -r. Kelly said he was told at a recent large meeting that the people who bought properties in the Flying Triangle area knew of the geological problems, signed waivers before purchasing the properties, and bought the proper- ties at lower prices than other properties in Rolling Hills. Mr. Kelly said that since residents in the Flying Triangle bought land under such special circumstances, and they constitute about 1/2 of 1% of the total ..population of the City, they should be willing to assume the resulting financial burden,_ which can be amortized over 20 - 30 years. The Manager was asked to comment on Mr. Kelly's statements. Mrs. Clifton said that one resident in the Flying Triangle who lost his home.` in a fire in 1973 did sign a waiver in order to re -build his home'in the original location, against'the advice of the County geologist; but in no other case that she was aware of were any waiverssigned, nor, as far as she knew, was there a price advantage in purchasing property in the Flying Triangle because,of geology problems. Councilman Heinsheimer suggested that the Manager research the matters stated by Mr.. Kelly, determine whether any purchasers of property _signed waivers prior to oo purchase, and be prepared to answer questions at the Public Heating. 0 In response to questions about how the district would show up on r'i the tax bill and title.report,.the Manager said the assessment would CO be defined on the tax bill by one word, probably '.'Klondike" and it m would not become part of the title report unless the assessment was Q not paid and it became a lien on the property. Mrs. Marilyn Harper,.18 Wideloop Road, asked whether the Council considered the crisis situation in the Flying Triangle an "Act of God", Councilman Heinsheimer said it is.a mistake to get bogged down on what has happened,'or what should have been known; he said this is an exam- ple.of how serious problems within a city can be handled. Mrs, Harper said that publicizing the landslide by formation of an abatement dis- trict is a way.of assuming liability. Mayor Crocker said that since claims have been filed against the City he considers formation of an abatement district a trade-off for possible litigation, which would also adversely affect all residents. Mr. Wolfgang Daniel, 2 Eastfield Drive, asked why the agenda for ttie special meeting was not sent to all residents. Mayor Crocker said the meeting was called after time required for publication of a News- letter had expired; the Manager said the notice of the special meeting was published as required by law. The Mayor said the meeting was called for purposes of discussion, and no action would be taken. Councilman Heinsheimer said that before the Council can proceed it is necessary to determine three things;,direction of the slide, availability of soil and evidence that there would be sufficient stability resulting from the corrective work. Mayor Crocker said it is also necessary to re- quire that the residents who have filed a claim against the City waive those claims in exchange for the entire community joining in the solu- tion. Councilman Heinsheimer explained that although the Council has adopted a resolution of intent which initiated procedures for forming a -district, the Council is notnecessarily commited to a district, and can abandon the plan even if more than 50% of the residents do not express opposition to it. Mr. Charles Aylesbury. 2 Middleridge Lane South, asked about the voting procedure. Mayor Crocker said the residents would be instruc- ted about the procedures which are required by the statute. Mrs. Tess Wiater, 3 Roundup Road said she sympathizes with the residents who are affected by the landslide, but she said the Council seems to be running scared of the threat of litigation, and she said a precedent will be set which could require assistance for anyone in the City who has a serious problem. Mayor Crocker said the abatement district would be for this landslide only, and formation of an abatement district would not constitute a commitment for a future situation. Dr. Edward Williams, 2740 Palos Verdes Drive North, said he is opposed to the abatement dis- trict, and suggested that residents form a telephone committee to con- tact other residents to oppose the procedure. Mr. Harry Gelles, 3 Runningbrand Road, said a number of meetings have been held in the Flying Triangle to discuss methods of assessment, -5- I April 6, 1981 and he suggested that a higher disproportionate assessment be made to the residents in the Flying Triangle and active slide area. Mr. Gelles suggested that the formula be 1 - 5 - 10, rather than the 1 - 2 - 3' formula proposed by Mayor Crocker. Mr. Gelles said he shares the con- cern expressed by other residents about being in a slide abatement dis- trict, but he thinks it would be preferable to loss by breaking'up"o.f residences, and the attendant publicity. Mr. Gelles said that on a dollars and cents basis, all properties in the City will be affected if a few residences in Rolling Hills are allowed to break apart, and he wished to commend Mayor Crocker publicly on his courageous stand and his attempt to find the only solution that will work. Mrs. Sue Hatch, 5 Middleridge Lane North, asked about the time frame for ex-' pressing objections. Mayor Crocker said the notice will be sent 20.:- 30 days before the hearing, and objections can be expressed during that time, or at the meeting. The Manager said the Council can con- tinue the hearing for up to 60 days. Mr. Dyda recommended that the Council set a time certain for -receiving objections. Mrs. Sandy Ormsby, 2 Eucalyptus Lane, said the abatement district is an emotional issue, and residents are concerned about how to get the revenue with- out including the entire City in an abatement district which could cloud the titles to property. Mrs. Ormsby asked whether the assess- ment could be put on the Community Association assessment rather than on the City tax. Mayor Crocker said it was his understanding that the Association's by-laws would have to be amended. Dr. David Bray said the Board has met with loan officers to discuss borrowing money, and some avenues are open if needed. Dr. Bray said the Assoc= iation can assess up to $400,000 without amending the by-laws. Mr. • Gelles said assessment through an abatement district would be deduct- ible, and an assessment through the Community Association would not. Mrs. Ginny Leeuwenburgh, 12 Eastfield Drive, said she was told that the Council hired an attorney, at a cost of $10,000, to set up an abatement district. Mayor Crocker said an attorney was hired by the Council to advise them in matters pertaining to the landslide and setting up a district, if the Council decides to do so. The Mayor said Mr. Coughlan is the special counsel, he charges by the hour, and is also counsel for the City of Rancho Palos Verdes. Mayor Crocker.:concluded the discussion of'the matter. 11 I T ` T7RSECTION IMPROVEMENT, PORTUGUESE BEND ROAD/PALOS VERDES DRI k'E' { iR`�" 7.:-')S Mayor Crocker reported that the City of Rolling Hills Estates is planning certain improvements at the intersection of Portuguese Bend Road and Rolling Hills Road with Palos Verdes Drive North. The initial proposal called for widening of the approach to Rolling Hills and would require removal of an olive tree and a palm tree at the entrance to the City. The Mayor asked the Manager to display the plan and explain the proposal. Mrs. Clifton said the original proposal was to widen the roadway back to the gate, and would require moving of the -palm tree on the east side of Portuguese Bend Road. The plan has been amended to re= tain the palm tree in the present location, and provide three lanes' ,exiting from Rolling Hills; a right turn.lane,.a through lane and a left turn lane. There will be one lane entering the City. The Manager explained that transition lanes on the southeast and southwest corners of the intersection will require come modification of the banks, but the area will be landscaped to the satisfaction of the Rolling Hills Landscape Committee. Mrs. Clifton explained that the easement for Palos Verdes Drive North is 200 feet wide, and all of the improvement will be within the road easement. Funds available to the City of Rolling Hills have been allocated -to the City of Rolling Hills Estates for the projec .. Councilwoman Swanson reported that as Chairman of the Traffic Commission she worked with the City of Rolling Hills Estates on the proposed improvement of the intersection. In response to comments of many residents in the community about the bottleneck in the main gate area, especially during the rush hours, Councilwoman Swanson moved that the original concept be approved. Mayor Crocker seconded the motion for purposes of discussion. Councilman Heinsheimer said the plan as amended should be approved, and if in the future the am April 6, 1981 Council wishes I a more . re e . xte . nsi . ve improvement the palm tree can be. moved and the approach to.the City can be widened in thegate area. Councilman Heinsheimer said it is important that the entrance to the City look as narrow as possible to protect the privacy of theroads, and it was his opinion that the palm trees should be left in their present position to retain the rural look. Mayor.Crocker.coneurre'd, and he asked the residents to indicate by a'show of hands how many consider the exit a problem. Mrs. Carol Hanscom, 12 Williamsburg Lane, said that Roiling Hills Road contributes to the congestion.,The Manager'said' .*.that . , - will. .be. ,re -aligned. '_�'.Mrs-..Hanscom said the number of cars in Rolling Hills is increasing, and more trips are made as local schools are closed. It was her opinion that the work should be done now, instead of.some'work now and additional.worlk in a.few years. The motion to -approve ' the original concept failedto carry on the following roll call vote: 'AYES: Councilwoman Swanson . NOES- Councilman Heinsheimer, Mayor Crocker 00 ABSENT: Councilmen Pernell, Rose 0 c C0'un ilman"Heinsheimer-moved that the amended -plan be approved. CO The motion was seconded by -Mayor Crocker and carried by -the following co roll call*'v'ote: AYES. Councilman Heinsheimer) -Mayor Crocker NOES' Councilwoman Swanson ABSENT: -Councilmen Pernell, Rose The Manager reported that she had discussed the amended,plan with members of the Council . and Councilmen Pernell and. -Rose both ' indicated that they were in favor of retaining thepalmtree in its present location. Mayor Crocker requested .that the Manager advise the City of Rolling Hills Estates of the Council's action.. ADJOURNMENT 887 The meeting was adjourned at 10:10 P.M. APPROVED: Mayor am City Clerk