MISSION VIEJO AGENDA

City Council, Community Development Agency,
Community Development Financing Authority,
Housing Authority, and Library Board of Trustees*

July 5, 2011, at 5:00 PM (Closed Session Business)
July 5, 2011, at 6:00 PM (General Business)

City Hall, 200 Civic Center,
Mission Viejo, California, 92691
City Council Chamber

CALL TO ORDER—CITY COUNCIL, COMMUNITY DEVELOPMENT AGENCY, COMMUNITY DEVELOPMENT FINANCING AUTHORITY, HOUSING AUTHORITY, AND LIBRARY BOARD OF TRUSTEES

*Note: All Board and Agency memberships are reflected in the title “Council Member.”

ROLL CALL:
Council Member Kelley
Council Member Reardon
Council Member Schlicht
Mayor Pro Tem Ury
Mayor Leckness

PLEDGE OF ALLEGIANCE: Council Member Reardon

INVOCATION: Mayor Leckness

CLOSED SESSION

CS1. Conference with Real Property Negotiator pursuant to Government Code Section 54956.8. Property is an approximate 10.5 acre Site commonly referred to as the “Former K Mart” located at 28601 Los Alisos Boulevard and Comprised of Assessor Parcel Nos. (APNs) 839-161-08 and 839-161-09 owned by Union Dominion Realty/Pacific Los Alisos L.P. (“UDR”). CDA negotiators: Dennis Wilberg, City Manager/CDA Executive Director, Charles Wilson, Director of Community Development, James Williams, Economic Advisor, Celeste Brady, CDA Counsel, William P. Curley III, City Attorney. Owner’s negotiators: Jeremy Cyr of UDR and John Ramirez, Kerra Carlson of Rutan & Tucker, Frank Spevacek of Rosenow Spevacek Group, ad Peter Whittingham of Curt Pringle Associates, all on behalf of UDR. Under negotiation: potential acquisition and/or disposition of real property interests for long term affordable housing and the price and terms of payment therefore related to the above-listed property. Factors affecting price and terms under negotiation: recorded covenants, scope of development of property, affordable housing requirements. Factors affecting time of payment: conditions to closing, due diligence period, and schedule of development and development of affordable housing.

CS2. Conference with Real Property Negotiator pursuant to Government Code Section 54956.8. Property is an approximate 4.9 acre parcel near the northeast corner of Crown Valley Parkway and the I 5 freeway, with a common street address of 27741 Crown Valley Parkway, Mission Viejo, CA 92691, identified as APN 761-111-16, and commonly known as Kaleidoscope (“Project”). The Project is currently owned by Crown Valley Holdings LLC, a Delaware limited liability company (“Owner” or “Developer”). The City of Mission Viejo (“City) and Community Development Agency of the City of Mission Viejo (“CDA”) negotiators are: Dennis Wilberg, City Manager/Executive Director, Keith Rattay, Assistant City Manager/Director of Public Services, Celeste Brady, CDA special counsel, and William P. Curley III, City Attorney. The Owner’s negotiators are: Colby Durnin of Sentinel Development Services, Inc. on behalf of Crown Valley Holdings LLC and counsel Timothy Carlyle. Under negotiation is the price or terms relating to the proposed amendment of that certain Agreement Affecting Real Property (“Covenants Agreement”) recorded against the Development Parcel and Project on July 8, 1999 of which covenants the CDA holds the beneficial interest and of which the City is an intended beneficiary. Factors affecting such price or terms: approval of an exception to a prohibited use, modification of maintenance and operational covenants, and other amendments to such Covenants Agreement, which have arisen from Developer’s request for the CDA’s consent to tenancy at the Project by LA Fitness.

CS3. Conference with the City’s Real Property Negotiators Pursuant to Government Code Section 54956.8. Real property Denoted as Assessor’s Parcel No. 784-291-01 with a Common Street Address of 24701 San Doval, Mission Viejo, California, Commonly Known as O’Neill Elementary School Owned by Saddleback Valley Unified School District The Negotiating Parties are: City of Mission Viejo; Dennis Wilberg, City Manager, Keith Rattay, Assistant City Manager, Charles Wilson, Director of Community Development, and William Curley, III, City Attorney. Owner Negotiators are: Saddleback Valley Unified School District, Clint Harwick, Superintendent. Under Negotiation will be the Price and Terms of a Lease-Hold Interest in the Real Property.

CS4. Public Employee Performance Evaluation of the Incumbent for the Position of City Manager Pursuant to Government Code Sections 54957 and 54957.6.

REPORT OF CLOSED SESSION

PRESENTATIONS

P1. Adoptable Pets of the Month
Recommended Action: Receive presentation on adoptable pets at the Mission Viejo Animal Services Center.

P2. Recognize Assistant City Manager and Director of Administrative Services Irwin Bornstein on his Retirement from the City
Recommended Action: Present Certificate of Commendation to Irwin Bornstein.

P3. Proclaim July 2011 as National Recreation and Parks Month
Recommended Action: Present proclamation.

P4. Target Symphony in the Cities “Prelude in the Park” Presentation
Recommended Action: Receive presentation.

PUBLIC COMMENTS

Persons wishing to address the Council on City business that is not listed on the Agenda may do so at this time. "Public Comment" forms are available at the entrance to the Council Chamber. Each Speaker may be allotted three minutes.

Those wishing to address the Council on any item that is listed on the Agenda should submit to the City Clerk a "Request to Speak" form before the Mayor announces that agenda item. The Mayor will call speakers during consideration of each item.

CONSENT CALENDAR

1. Waive Reading of Ordinances and Resolutions
Recommended Action: Approve the reading by title of all ordinances and resolutions and declare that said titles appear on the public agenda shall be determined to have been read by title and further reading waived.

2. City Council Minutes
Recommended Action: (1) Approve the Minutes for the Budget Workshop of June 15, 2011, as presented or as amended; and (2) approve the Minutes for the regular City Council Meeting of June 20, 2011, as presented or as amended.

3. Check Register dated June 10, 2011 in the amount of $395,770.37
Recommended Action: Ratify the accompanying check register.

4. State Legislative Advocacy and Government Relations Services
Recommended Action: Approve the proposed Professional Services Agreement with Townsend Public Affairs for State legislative advocacy and government relations services for a total not to exceed amount of $60,000 for the period of July 6, 2011 to June 30, 2012.

5. Destruction of Records -- Citywide 2010 Records Purge
Recommended Action: Adopt Resolution 11-XX Authorizing and Directing the City Clerk to Destroy Certain City Records and Documents Pursuant to the Government Code of the State of California.

6. 2011 Residential Resurfacing (CIP 838)
Recommended Action: Award the construction contract for the subject project to All American Asphalt in the amount of $5,052,540.

7. Orange County Transportation Authority (OCTA) Master Funding Agreement
Recommended Action: (1) Approve the Master Funding Agreement with Orange County Transportation Authority (OCTA) subject to any minor modifications required by the City Attorney and City Engineer; and (2) authorize the Mayor to sign the agreement on behalf of the City.

8. Acceptable Condition Levels for the City's Street Network
Recommended Action: Establish the range of acceptable average condition levels for all classifications of road types within the City’s street network at either “Good” or “Very Good,” as defined by the Pavement Condition Index (PCI), for fiscal years 2011-12 and 2012-13.

9. City of Mission Viejo Seven-Year Public Works Capital Improvement Program (Fiscal Year 2011-2012 through Fiscal Year 2017-2018)
Recommended Action: (1) Adopt Resolution 11-XX Adopting a Seven-Year Public Works Capital Improvement Program beginning with the 2011–2012 Fiscal Year; and (2) direct the Director of Public Works to transmit the Seven-Year Public Works Capital Improvement Program to the Orange County Transportation Authority by August 15, 2011.

10. Maintenance of Traffic Signals and Appurtenance, Interconnect, Flashing Beacons, Illuminated Street Name Signs, Safety Lights and CCTV Cameras-Contract Extension
Recommended Action: Approve Fifth Amendment to Contract A07-48 with Republic ITS extending the term of the contract to September 30, 2011.

11. Oso Parkway Widening, I-5 to Country Club Drive (CIP 791)-Acquisition of Right-of-Way
Recommended Action: (1) Approve the Agreement for Acquisition of Real Property between the City of Mission Viejo and Mission Viejo Country Club in the amount of $946,815 for the purchase of the necessary right-of-way and landscape maintenance easements required for the widening of Oso Parkway from I-5 to Country Club Drive; (2) authorize the City Clerk to record the easement deeds in the office of the County Recorder subject to any minor revisions required by the City Attorney and City Engineer.

12. 2011 Residential Resurfacing (CIP 838)-Slurry Seal
Recommended Action: Approve the bid specifications and authorize staff to advertise for construction bids for the 2011 Residential Slurry Seal Project.

13. Parking Restrictions on Bellogente South of Crown Valley
Recommended Action: Adopt Resolution 11-XX To Install Parking Restrictions on Bellogente.

14. Avery Parkway Pavement Rehabilitation, Camino Capistrano to Marguerite Parkway (CIP 837)
Recommended Action: Award the construction contract for the subject project to All American Asphalt in the amount of $244,244 contingent upon approval of the FY 2011-2012 CIP Budget.

15. Adoption of Mission Viejo Housing Authority Bylaws and Authorization to Establish a State Local Agency Investment Fund (LAIF) Account
Recommended Action: (1) Adopt Housing Authority Resolution 11-XX Adopting the Bylaws of the Mission Viejo Housing Authority, and 2) adopt Housing Authority Resolution 11-XX Authorizing investment in the State Local Agency Investment Fund (LAIF).

16. 2011-2013 School Crossing Guard Services
Recommended Action: (1) Award the contract in the amount of $731,000 to All City Management Services, Inc., for school crossing guard services for the period July 1, 2011, to June 30, 2013; (2) authorize issuance of a purchase order to All City Management Services, Inc., in an amount not to exceed $365,500 for the period July 1, 2011, to June 30, 2012, pending adoption of the 2011-13 Budget by the City Council; and (3) authorize the relocation of the crossing guard location for Bathgate Elementary School from the intersection of Barbadanes and Ridgemark to the intersection of Napoli and Ridgemark as recommended by the Planning & Transportation Commission at its May 9, 2011, meeting.

17. Oso/Marguerite Intersection Improvements (CIP 844)
Recommended Action: Approve construction contract Change Order 1 to Purchase Order 100265 to GASS Construction Company, Inc., in the amount of $451,548.

18. Marguerite Tennis Center Renovation Project (CIP 501)
Recommended Action: (1) Approve Change Order No. 1 to Friess Construction, Inc. for construction management services of the said project in the amount of $80,232; and (2) approve Change Order No. 3 to RJM Design Group for architectural, design and engineering services of said project in the amount $97,250.

19. Purchase of Additional Disk Space for the Backup System
Recommended Action: Approve a purchase order to GovPlace for the purchase of additional disk space for the Data Domain backup system in an amount not to exceed $60,466.14

20. Mileage Reimbursement
Recommended Action: Adopt Resolution 11-XX Adopting the Standard IRS Mileage Reimbursement Rate of 55.5 Cents Per Mile for the Period From July 6, 2011 to December 31, 2011.

PUBLIC HEARINGS

OLD BUSINESS

21. Extension of the Rental Use Agreement with Outta Bounds Events for use of the Thomas R. Potocki Center for Youth Activities from September 6, 2011 through June 30, 2012.
Recommended Action: Approve an extension of the Rental Use Agreement between the City and Outta Bounds Events for use of the Thomas R. Potocki Center for Youth Activities from September 6, 2011 through June 30, 2012 in the amount of $3,000.

22. Annual Routine Street Sweeping Services
Recommended Action: (1) Terminate the existing Fourth Amendment, two-month contract extension with Sunset Property Services as of July 31, 2011. (2) Award a contract for the subject services to Arakelian Enterprise, Inc., dba Athens Services for the period of August 1, 2011 through June 30, 2013 in the amount of $653,868.00 (3) authorize staff to issue a purchase order to Arakelian Enterprises, Inc., dba Athens Services for the period of August 1, 2011 through June 30, 2012 in an amount not to exceed $316,934.00 pending adoption of the Fiscal Year 2011-2013 budget by the City Council.

NEW BUSINESS

23. Second Amendment to Owner Participation Agreement, including First Amendment to Covenants Agreement and Maintenance Agreement, among the Community Development Agency of the City of Mission Viejo ("CDA" or "Agency"), the City of Mission Viejo, as Successor Agency to the CDA, and Crown Valley Holdings LLC, a Delaware limited liability company ("Developer" or "Owner")
Recommended Action: Adopt Joint Resolution 11-XX Approving the Second Amendment to Owner Participation Agreement, with attachments thereto that include First Amendment to Covenants Agreement and Maintenance Agreement.

ITEMS REMOVED FROM THE CONSENT CALENDAR

MAYOR’S, COMMISSION, AND COMMITTEE REPORTS

24. Orange County Fire Authority (OCFA) Report
Recommended Action: Receive report.

25. Foothill/Eastern Transportation Corridor Agency Report
Recommended Action: Receive report.

26. San Joaquin Hills Transportation Corridor Agency Report
Recommended Action: Receive report.

27. Investment Advisory Commission Vacancy
Recommended Action: Direct the City Clerk to post and publish the Notice of Vacancy for the Investment Advisory Commission.

STAFF REPORTS

City Manager’s Report

28. Adoption of the 2011-13 Budget
Recommended Action: Hold a public discussion on the 2011-13 Budget as necessary and then approve: (1) Resolution 11-XX, adopting a budget for the City of Mission Viejo for 2011-13 and appropriating funds for FY 2011-12 only; and (2) Resolution 11-XX, establishing an appropriations limit for FY 2011-12, and, (3) Resolution 11-XX, updating the City's classification system and establishing salary ranges for authorized job classifications.

29. Adoption of the 2011-13 Budget for the Mission Viejo Community Development Agency
Recommended Action: Adopt CDA Resolution 11-XX Adopting a Budget for the Mission Viejo Community Development Agency for 2011-13 and Appropriating Funds for FY 2011-12 Only.

30. Adoption of FY 2011-12 Budget for the Mission Viejo Community Development Financing Authority
Recommended Action: Adopt CDFA Resolution 11-XX Adopting a Budget for the Mission Viejo Community Development Financing Authority for the 2011-12 Fiscal Year.

31. Adoption of FY 2011-12 Budget for the Mission Viejo Housing Authority
Recommended Action: Adopt Housing Authority Resolution 11-XX Adopting a Budget for the Mission Viejo Housing Authority for FY 2011-12.

City Attorney’s Report

32. City Council Determination Regarding a need for City Recreation Facility Use of and at O'Neill Elementary School and Direction to the City Manager to advise Saddleback Valley Unified School District of the City's Interest in Exercising its Statutory Priority to Lease the Whole of the Subject SiteRecommended Action: Adopt Resolution 11-XX Determining that the City has a need for additional exterior and interior recreation space, by a 4/5's vote; and further direct the City Manager to advise Saddleback Valley Unified School District of the City's interest in exercising to lease the whole of the O'Neill School site pursuant to statute.

33. Update Regarding Assembly Bill 1x26 and 1x27
Recommended Action: Receive update.

COUNCIL MEMBER COMMENTS AND ACTIONS

34. Council Member Reports of Events and Activities Attended
Recommended Action: Receive reports.

Council Member Kelley
Council Member Reardon
Council Member Schlicht
Mayor Pro Tem Ury
Mayor Leckness

35. Reimbursement for Overlooked First Quarter Receipts
Recommended Action: Approve payment.

Adjournment to Monday, August 15, 2011, at 5:00 PM

At the hour of 9:30 p.m., the City Council will review the remaining agenda items and make a decision regarding the items to be considered before the 11:00 p.m. adjournment and the items to be continued to the next meeting.